With so many merchants now opting into the ‘Buy Now, Pay Later’ schemes, it’s almost impossible to avoid the different types of payment options that are used to make purchasing those favourite items more achievable.

A survey by comparison service, Compare the Market, found that 23pc of 18 to 24-year-olds have turned to buy now, pay later services to fund their spending since the start of lockdown.

There are often times when you may need to buy something, but you can’t quite afford the whole sum in on go, which is where these ‘Buy Now, Pay Later’ schemes come into play. But what are they? How do they work? Well, we’ve gathered some key information on these popular payment schemes to help iron out the facts and bring you up to date on the ins and outs of Buy Now, Pay Later and why they’re a great choice for your eCommerce store.

What Is Buy Now, Pay Later?

A Buy Now, Pay Later scheme is as simple as it sounds, it enables the customer to simply make a purchase and dependant on the particular agreement, pay off the total sum over a period of time rather than in one go. It’s often found that these schemes give up to 30 days to pay off the total amount, with others allowing up to 12 months before the total amount is due. This makes the buying process much more attractive to the consumer, giving them a flexible payment option on the products they want there and then.

Why Use Buy Now, Pay Later?

Introducing a Buy Now, Pay Later scheme to your eCommerce store is a great way of enhancing the customer experience, giving them a flexible way to pay for the items they want. By boosting online sales and enhancing the user experience, it’s a much more positive way to encourage customer lifetime value, which is a great long-term goal to achieve. It’s often found that with the flexible option of paying later, consumers are more likely to keep coming back for more, knowing they can manage their payment options by opting into these schemes to make shopping a better experience for themselves.

Laybuy Merchant Overview

Simple Integration

When it comes to integrating these payment options to your store, you’ll find that certain providers such as Laybuy are partnered with leading eCommerce and POS platforms. This ensures that the integration process is quick and simple, with on-going support when required for your developers and other members of your team. The process for both merchant and consumer is streamlined and efficient, making it effortless for people to make payments with a positive user journey.

Laybuy Merchant Overview

Improving Customer Experience

With ‘buy now, pay later’ schemes on the rise and no sign of this slowing down it’s important to identify just how these new payment options are improving the overall customer experience and therefore resulting in customer lifetime value. With the choice of a buy now, pay later scheme, customers are getting much more choice when it comes to purchasing things they may not have been able to afford in one transaction, resulting in customers being able to purchase the items they really want when they want too. You also find that customers much prefer to control their spending in this way, knowing exactly what goes in and out each month rather than receiving a surprise credit card bill at the end of the month. With more choice, flexibility and ease of use, its clear to see why ‘buy now, pay later’ schemes are becoming the preferred payment method for many. 

If a ‘buy now, pay later’ scheme is something you’re interested in adding to your e-Commerce store, or you simply want some more information on the options available, get in touch today! 

 

In association with Laybuy

Looking to utilise Buy Now, Pay Later payment options for your eCommerce store? Contact one of our consultants today to find out more.