BNPL May Change How You Sell — and How You Shop

by Robert McGarvey

Buy now, pay later (BNPL) is the big, transformative force in retail. In fact, Insider Intelligence estimates BNPL will account for $680 billion in sales in 2025 — up from $285 billion in 2018.

If you are an online retailer, you need to know about BNPL because your customers want it. Online shopping is where BNPL first took off, and now it is becoming an expected option at checkout.

BNPL is everywhere today — even luxury products. For example, says Jackie Mattia, director of financial services strategy at Movable Ink, Peloton owes a great deal of its quick success to its relationship with BNPL leader Affirm which offered many buyers 36 months to pay for their exercise machine. That brought the monthly cost to around $70, which is comparable to a high-end gym membership.

At a different price point is Goldbelly, where the Jacques Torres Valentine’s Day heart truffle box sells for $34.95. But just before checkout, a pop-up advertises “4 interest-free payments of $8.73 with Klarna.” 

Continued at Startup Savant