Buy now pay later is a trending option on almost every popular shopping e-commerce site, especially after the outbreak of the pandemic in 2020. The option of buy now and pay later on e-commerce websites is increasing and it is estimated to grow by 12,00 percent by 2024.
The buy now pay later option lets your customers pay for the products in installments, with no additional fee, interest charges, or hidden fee. Apart from customers merchants also enjoy some benefits like an increase in conversion rate, bringing new customers, and staying competitive.
Buy now pay later is an ideal option for a young audience, especially for people who have no credit cards. Younger generations usually have limited income, but they like to do online shopping.
In this blog, we will highlight some important points of the buy now pay later option. Benefits of BNPL, how it works, and reasons to add the pay now pay later option to your e-commerce site.
How Does Buy Now, Pay Later Work?
Popular e-commerce sites give their customers an option to place an order and pay for them later. Merchants can add the buy now pay later option in the checkout stage, normally we see some options like COD, UPI, net banking, credit card, and there is another option to pay in installments. Merchants can work with payment gateways that give the facility for installment payments. There are some reliable payment gateways you can partner with, which make it easier for you to accept payments in installments and your customers can enjoy shopping without worrying about limited money in their hands.
BNPL is beneficial specifically for the items which require a decent budget like fitness equipment, home appliances, furniture, etc. Allowing your dear customers to pay later facility will increase sales, and build trust, and satisfaction.
How Buy Now Pay Later Option is Beneficial For Merchants and Customers?
Every business practice is only successful when the business and its customers both benefit from the strategies. As a merchant, you do not have to think about growing sales only, but satisfying your customer should also be a prime motto. This BNPL option is equally amazing for both merchants and customers.
Some people want to buy, but their pocket does not allow them to place orders. As a result, sales get affected, by allowing customers to pay later increases the sales.
Helps Staying Competitive
Some famous e-commerce sites are already giving BNPL options. As we mentioned above by 2024 it is estimated to grow by 1200 percent worldwide. So, if you start giving the BNPL option you will start getting benefits and it will help you to stay in the competition.
Attract New Customers
Some sites still do not believe in the BNPL option and it is a great chance for you to start it today. It will increase the sales certainly, and even you can bring new customers to your website is a plus point. It is attractive even by its name “Buy Now Pay Later”, people who have a limited budget will surely come to your store and buy.
Build Trust Among Customers
BNPL options grow trust among the customers towards your business. It makes them feel that you are caring for their concerns, and it will build strong trust in their mind. No matter how often they purchase, they will come to your site whenever they need to buy something.
Start Buy Now Pay Later Payment Method Now
We are sure you are convinced to add the BNPL option to your e-commerce site. Giving your customers the option to pay later can grow sales drastically and build trust among the customers. Not only existing customers but also new customers can turn into loyal and permanent customers. It increases the conversion rate, decreases cart abandonment, and overall benefits.