蘑菇AV

Mobile wallet use is driving this trend, bringing wallet-based payments options like buy now, pay later (BNPL) and cryptocurrency along with it. They can also help merchants maximize ecommerce sales growth. Mobile wallets play a key role here, too. Payment providers can also expand online payment methods, boost authorization rates, and speed up wallet-based checkout.

It already has 36.3 million US proximity payment users, per our forecast, and getting access to Apple鈥檚 132.5 million iPhone owners (of whom 61.3 million use Apple Pay) could be a game changer. It could also be a big opportunity for other device-agnostic payments apps that don鈥檛 offer contactless payments鈥攍ike BNPL firms Klarna and Affirm. That could help them finally break into in-store retail.

Partnering with a major BNPL player like Klarna could help Mastercard catch up to Visa鈥檚 head start

The firm鈥檚 worldwide ecommerce retail sales are expected to grow nearly 14% year over year (YoY) in 2023 and reach $746.22 billion, per Insider Intelligence forecasts. After Affirm partnered with Amazon, for example, its fiscal Q2 2022 volume surged 115% YoY. And 础尘补锄辞苍鈥檚 push into payments can open new opportunities for Stripe.

The buy now, pay later (BNPL) provider鈥檚 transactions grew 10% YoY over the holiday weekend. The number of Afterpay app users jumped 8% YoY. Afterpay attracted users across all demographics: 26% were Gen Zers, 44% were millennials, 24% were Gen Xers, and 6% were boomers. The top spending categories outside of fashion and beauty were personal care, followed by household supplies.

Ingenico and Splitit are focused on cutting customer friction to grow their in-store BNPL presence.

With $21.99 billion in BNPL payment value, according to our July 2023 forecast, Klarna would be the largest BNPL provider to integrate with Apple Pay. June 18, 2024. Banking big: Which is the largest commercial US bank by consolidated assets? A) JPMorgan Chase. B) Bank of America. C) Goldman Sachs. D) Wells Fargo.

Its growth and cost-cutting measures brought the BNPL fintech its second straight profitable quarter. And it鈥檚 projecting full-year profitability for FY 2024

For example, despite their growth, buy now, pay later (BNPL) services are used by only about 4% of US social commerce buyers, per our March 2024 survey. But they鈥檙e used by 11% of US digital buyers overall, per our April 2024 survey conducted by Bizrate Insights.

The BNPL provider has been prepping for this for years. Its profitability push and cost-cutting initiatives should set it up for a strong listing

More than a third (37%) of US Gen Zers have used a BNPL service to make at least one recent purchase, per September 2023 Morning Consult data. 27% of Gen Zers would forgo a purchase if BNPL was not an option, according to PYMNTS.com and i2c. This year, almost half (48.1%) of US Gen Z digital buyers will be BNPL users, accounting for 21.9 million people, per our June 2023 forecast.

If you want to learn how to get insights like these delivered to your inbox every day, and get access to our data-driven forecasts, reports, and industry benchmarks, schedule a demo with our sales team.

础尘补锄辞苍鈥檚 BNPL partners鈥擜ffirm and Citi鈥攍ikely benefited from growing consumer demand for the tool

While BNPL losses remain low, consumers may be overextending themselves, making it harder for consumers to pay off their growing credit card balances

And PayPal鈥檚 enhanced one-time checkout increased buy now, pay later (BNPL) use by 15% to 20%. Making Venmo profitable. One tool PayPal is using is the Venmo Debit Card. In Q3, monthly active debit card accounts grew 30% YoY. But that鈥檚 just 5% of active Venmo accounts, showing room for growth. We forecast US Venmo users will total 76.4 million in 2025.

The tie-up will bring the BNPL provider to a bevy of merchants鈥� checkout pages鈥攚hether they like it or not

Orders made via buy now, pay later (BNPL) increased 85% over Cyber Five, according to Adobe Analytics. 鈥淚t鈥檚 a win-win for retailers鈥� as it increases basket size and boosts conversion rates, our analyst Grace Broadbent said on the 鈥淏ehind the Numbers: Reimagining Retail鈥� podcast.

The BNPL provider is racking up partners in a major expansion push before its now-delayed IPO

The travel booking site partnered with Stripe and Klarna to offer BNPL and smoother bank transfers.

The key stat: 54% of US consumers who took on debt to pay for holiday gifts are at least somewhat concerned about repaying it, per data from CivicScience. 27% of buy now, pay later (BNPL) users concerned about paying debt owe between $100 and $500, 10% owe between $500 and $1,000, and 19% owe $1,000 or more.

The tool can help Klarna stand out from BNPL competitors, potentially leading to higher market share in the long run as BNPL spending grows: US BNPL payment volume is expected to increase 25.5% year over year in 2023, per Insider Intelligence forecasts.

Last year, we predicted India鈥檚 CBDC plans would materialize in 2022 and that the CFPB would hone in on BNPL players.

The Swedish player launched as a buy now, pay later (BNPL) company in 2005 and pivoted to being a broader shopping app in 2021. The app lets consumers shop by product category or by brand and pay in installments at any retailer. Klarna also offers a browser extension that applies discounts to shoppers鈥� carts in seconds.

Modernizing BNPL. BNPL isn鈥檛 new to Latin America鈥攊t鈥檚 the digital evolution of a decades-old habit. In Venezuela, the Cashea app gained 1.2 million users in just over a year from launch by offering four interest-free payments and charging only for missed ones, per Bloomberg.