Buy Now, Pay Later Solutions to Unlock Growth Potential for B2B Companies
Global buy now, pay later market to reach a five-fold growth of $656.34 b****** by 2026 with omnichannel technology and data collection, says Frost & Sullivan
Zero-interest fees and flexible repayment plans are vital in boosting the global buy now, pay later (BNPL) market, according to Frost & Sullivan’s latest report. Emerging as an alternative credit payment approach, BNPL aims to meet the need of younger consumers who often have a limited credit history and low credit scores. The global BNPL market is expected to reach $656.34 b****** by 2026 from $136.55 b****** in 2021, registering exponential growth at a compound annual growth rate (CAGR) of 36.9%.
Latest Aithority Insights: Top Skills Needed to Become an AI Engineer
“The increasing use of next-generation platforms in digital and e-Commerce spaces has revamped payment methods and enabled customers to control their spending,” explained Dewi Rengganis, Information & Communication Technology Industry Analyst at Frost & Sullivan. “The rise of BNPL can help satisfy consumers’ demand by offering faster credit financing with zero interest fees, compared to legacy payment methods that typically charge up to a 60% annual percentage rate (APR).”
Rengganis added: “Innovative solutions, such as customer-focused apps, point of sale (POS), and merchant commerce solutions, will be essential for facilitating the widespread adoption of BNPL. Data-driven platforms are crucial for delivering customer experience and driving the market growth.”
Data Privacy and Security: Chicago Public Schools Suffers Major Data Breach Affecting 100K Accounts
Customers’ surging adoption of BNPL methods presents the following growth opportunities for its market participants:
- Business-to-business (B2B) credit product: B2B customers tend to make repeat purchases and have payment terms for more than 30 days. Businesses can improve their c*** conversion cycle, increase revenue growth, streamline reconciliation tasks, and digitize trade credit processes.
- Omnichannel technology and data collection: A holistic customer experience can be achieved through customer data collection. Creating a partnership with artificial intelligence (AI)-driven technology providers or building in-house data warehouse systems will aid BNPL providers in producing positive omnichannel experiences and a seamless customer shopping journey.
- Expansion to emerging markets: The growing awareness of the BNPL methods in under-served regions provides ample opportunities for BNPL providers to expand to emerging markets and reach a larger customer and merchant base.
Global Buy Now, Pay Later Growth Opportunities is the latest addition to Frost & Sullivan’s ICT research and analyses available through the Frost & Sullivan Leadership Council, which helps organizations identify a continuous flow of growth opportunities to succeed in an unpredictable future.
Top Machine Learning Insights: LivePerson Collaborates with UCSC to Build the Future of Natural…
[To share your insights with us, please write to sghosh@martechseries.com]
Comments are closed.