BNPL is not only a consumer financial product, but also a mo...

BNPL is not only a consumer financial product, but also a mobile payment method, as well as a new type of consumer platform that has a higher efficiency and a better experience.

In Europe and the United States, credit card transactions are still the mainstream of the payment market, and mobile payment is in a secondary position. But for millennials/Generation Z young people, they generally understand and welcome mobile payments. At the same time, many of them don't have credit cards, and many hold cards but don't like traditional credit card services.

From the perspective of merchants, in the context of the continuous impact of the new crown epidemic on the global economy, buying first and paying later has brought new traffic, and increased the conversion rate and customer unit price, thus injecting new vitality into retail transactions.

In fact, merchants need to pay 4% to 5% of fees to BNPL companies-higher than the 2% transaction fees they pay to credit card companies. But they are still willing to do so, because the BNPL service does help them acquire new customers.

Therefore, it can be said that the buy-after-pay platform meets the needs of B and C at the same time.