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Bill me later6/5/2023 ![]() "Credit tends to be a loyalty accelerator for merchants in terms of seeing a higher average online value of purchases," Bland said.īland declined to comment if or when the short-term payments plan rolled out in France would be brought to the US. "The thing that tends to not get as much attention from a segmentation perspective is how much Millennials and Gen Z actually use and leverage our products," Bland said, "and that's something that we're certainly focused on, helping these consumers with flexibility around various financing options."Īnd by offering consumers the ability to buy now, pay later, PayPal drives sales for its merchant customers, Bland said. ![]() ![]() Millennial and Gen Z consumers, in particular, have been quick to adopt these new forms of credit, Bland said. ![]() Offering customers the ability to stretch payments over time, especially during times of economic uncertainty, is key. Read more: POWER PLAYERS: Meet the 8 PayPal execs shaping the payment giant's future as its stock rockets to record highs and e-commerce surges Offering consumer credit benefits PayPal's merchants, tooĪmid the coronavirus pandemic, with more consumers shopping online, buy now, pay later has taken off. "With COVID and what's happening right now, credit can play a very important and critical role for us," he added. "Our launch in France is exactly what a lot of consumers are moving towards, which is using this product and creating a smoother cash flow experience for them," Doug Bland, senior vice president and general manager of global credit at PayPal, told Business Insider. In June, it launched a new product in France, giving customers the ability to split purchases into four equal payments over three months. The former two, in particular, have resonated with a younger audience thanks to their short-term payment plans spread over just four payments and ability to directly embed themselves in merchants' websites.Īnd while PayPal has leaned toward longer-term installments, it appears the payments giant is catching on to the newcomers' strategy. However, it's been younger fintechs like Afterpay, Klarna, and Affirm that have gotten attention recently for their buy now, pay later programs. PayPal rebranded it as PayPal Credit in 2014, offering shoppers interest-free installment payments, spread over 6 months. But the payments giant has actually offered a buy now, pay later solution since 2008, when it acquired Bill Me Later. PayPal has long been known for facilitating e-commerce checkouts and for its peer-to-peer payments app, Venmo. ![]() Visit Business Insider's homepage for more stories.īuy now, pay later isn't new, but fintechs and incumbents alike have been making big bets that consumers will spend more if they can split up purchases into installments.Buy now, pay later startups like Afterpay and Klarna have seen a boost during the pandemic as more consumers shop online and look for ways to stretch their dollars.The tech giant just launched a buy now, pay later solution in France, offering consumers the ability to split purchases into four installments.While PayPal has had a buy now, pay later solution since 2008, its focus is shifting to shorter-term payment plans geared toward young consumers.PayPal is building out its credit business as shopping trends shift due to coronavirus.Account icon An icon in the shape of a person's head and shoulders. ![]()
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