Buy Now Pay Later Market Technology And Insights From Industry Leaders | Report To 2030

 The global buy now pay later market size was estimated at USD 6.13 billion in 2022 and is anticipated to grow at a compound annual growth rate (CAGR) of 26.1% from 2023 to 2030. The global buy now pay later (BNPL) transactions were estimated at over USD 200 billion in 2022. One of the main drivers is the aggregate preference among consumers for supple and suitable payment options. BNPL services enable customers to make purchases without immediate payment, providing greater financial flexibility and ease of burden from upfront charges. The increase in e-commerce has also played a significant role in driving the BNPL market’s growth. Consumers seek seamless and efficient payment methods as online shopping becomes more predominant. BNPL services integrate seamlessly into online checkout processes, enabling a swift and hassle-free payment experience. With the growth of e-commerce platforms and the widespread adoption of digital wallets, BNPL solutions have become an attractive option for both customers and merchants alike.

 

BNPL services address the challenge of affordability for customers. With the ability to split payments into interest-free installments, BNPL providers allow consumers to make larger purchases without facing financial strain. This has led to increased average order values and repeat business for merchants as customers feel more comfortable making substantial purchases. Moreover, the accessibility and ease of signing up for BNPL services have contributed to their popularity. Most BNPL platforms offer quick and straightforward registration processes, often requiring minimal credit checks. This inclusivity appeals to a broader consumer base, including individuals with limited credit history or lower credit scores, who may face challenges obtaining traditional credit. 

Gather more insights about the market drivers, restrains and growth of the Buy Now Pay Later Market 

 

Detailes Segmentation:

 

Channel Insights

In terms of channel, the online segment dominated the market in 2022 with a revenue share of over 65.0%. Numerous businesses globally are striking partnerships to focus on adopting several methods for online payment, including BNPL, as part of their post-pandemic revival plans. For instance, in August 2021, a BNPL solution provider named Uplift, Inc. entered a partnership with Tripster, an all-in-one travel booking site. Through this partnership, Tripster enabled its customers to plan the whole vacation in a single place and pay with surprise-free monthly installments through Uplift with ease.

 

Enterprise Size Insights

Based on enterprise size, the large enterprises segment dominated the market in 2022 with a revenue share of over 60.0%. The growth of the large enterprises segment can be attributed to these factors, including the widespread adoption of BNPL payment solutions to provide their customers with an affordable and flexible payment method for purchasing high-value products. As a result of BNPL, shoppers usually purchase more products owing to the ease of the purchase, thereby driving sales growth. Thus, BNPL helps large enterprises in significantly improving customer experience.

 

End-use Insights

In terms of end-use, the retail segment dominated the market in 2022 with a revenue share of over 73.0%. The industry is witnessing increased adoption of BNPL solutions as they allow customers to easily distribute the cost of the purchase over a time of pre-determined and interest-free payments. For instance, in October 2021, Affirm, Inc., a BNPL solution provider, announced its partnership with Theory, a clothing site for customers, to offer customers interest-free payments over time for accessories and sportswear. Such factors bode well for the growth of the segment.

 

Regional Insights

In terms of region, North America dominated the market in 2022 with a revenue share of over 29.0%. The regional market growth can be attributed to the presence of a large number of prominent players in the region. Moreover, numerous fintech companies in this region are entering into partnerships with entertainment companies to offer BNPL services for booking hotels. For instance, in September 2021, Uplift, Inc., a BNPL solution provider, announced its partnership with SeaWorld Parks & Entertainment, Inc., an American Theme Park and entertainment company. Through this partnership, Uplift, Inc. offered its BNPL payment options for booking hotels for SeaWorld San Antonio, SeaWorld Orlando, and SeaWorld San Diego.

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Key Companies profiled:

• Affirm, Inc.
• Klarna Inc.
• Splitit Payments, Ltd.
• Sezzle
• Perpay Inc.
• Zip Co, Ltd
• PayPal Holdings, Inc.
• AfterPay Limited
• Openpay
• LatitudePay Financial Services
• HSBC Group

 

Buy Now Pay Later Market Segmentation

Grand View Research has segmented the global buy now pay later market based on channel, enterprise size, end-use, and region:

Buy Now Pay Later Channel Outlook (Revenue, USD Billion, 2017 - 2030)
• Online
• POS

Buy Now Pay Later Enterprise Size Outlook (Revenue, USD Billion, 2017 - 2030)
• Large Enterprises
• Small & Medium Enterprises

Buy Now Pay Later End-use Outlook (Revenue, USD Billion, 2017 - 2030)
• Retail
o Consumer Electronics
o Fashion & Garment
o Others
• Healthcare
• Leisure & Entertainment
• Automotive
• Others

Buy Now Pay Later Regional Outlook (Revenue, USD Billion, 2017 - 2030)
• North America
o U.S.
o Canada
• Europe
o Germany
o U.K.
o Sweden
• Asia Pacific
o China
o India
o Japan
o South Korea
o Australia
• Latin America
o Brazil
o Mexico
• Middle East & Africa
o UAE
o Kingdom Saudi Arabia (KSA)
o South Africa

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