Are you looking for a competitive edge in the eCommerce market? Have you considered offering Buy Now Pay Later (BNPL) as a payment option on your website? If not, you might want to consider reading further, or you could be missing out on some profound benefits.
Here’s a taster:
- Drive sales
- Improve customer satisfaction
- Establish a broader range of potential buyers
- Increase repeat customers
But are there any risks associated? Let’s dive in.
Pros of Buy Now Pay Later
First and foremost, Buy Now Pay Later can increase sales by making products more accessible to a broader range of customers. By offering a more flexible payment option, customers who may not have been able to afford your products upfront can now make a purchase and pay it off over time.
Additionally, BNPL can improve customer satisfaction and loyalty. Customers who use BNPL tend to have a higher average order value and are more likely to make repeat purchases. By offering a payment option that meets their needs and preferences, you can foster a strong relationship with your customers and encourage them to return to your store again. Up to 90% of Buy Now Pay Later users are repeat customers.
By advertising the BNPL option on your website and in your marketing materials, you can attract customers who are specifically looking for this payment option.
So, with all these advantages at the table, ‘too good to be true’ might be coming to mind. In some cases, the thought is valid. The most significant risk is the potential for bad debt if customers fail to pay their instalments on time or default altogether. This can result in financial losses for your store and negatively impact your bottom line. In addition, BNPL can be risky from a fraud perspective if proper security measures are not in place.
However, that all depends on which Buy Now Pay Later service provider you choose to partner with.
Which Buy Now Pay Later Options Can You Implement Today?
- Layby: While this option allows customers to reserve an item and pay for it over time, the store holds onto the product until it is fully paid off, which may be inconvenient for customers who want the item right away. Additionally, if the customer cancels the layby, there may be a cancellation fee.
- Credit Cards: While credit cards allow customers to make purchases and pay them off over time with interest, this can lead to customers accruing debt and paying high-interest rates. Additionally, not all customers may qualify for a credit card, which can limit the potential audience for this BNPL option.
- Third-Party BNPL Services: While third-party services like Afterpay and Klarna can be a convenient and low-risk option for eCommerce stores, they may charge high fees to merchants. Additionally, the store may be liable for any chargebacks or disputes that arise from BNPL transactions, which can result in financial losses.
How About We Take All the Risk? BNPL with Payflex
With Payflex, your customers can shop today and pay later in four interest-free payments.
The first payment is 25% upfront, and the rest is split over three instalments and six weeks. And the best part? It doesn’t cost your customers anything extra! This free spending plan can increase your sales by up to 30%. Plus, you don’t have to worry about the risk of non-payment because we pay you upfront and collect from the customer over the instalment plan. If the customer doesn’t pay, we take the hit, not you.
It’s a win-win situation for both you and your customers. Your customers get the flexibility they need to make their purchases, and you get a boost in sales without any added risk.
How Do I Add Payflex to My eCommerce Checkout?
Integrating Payflex into your eCommerce site is super easy. With our user-friendly plug-ins and add-ons for major CMS platforms, you don’t have to worry about any complicated processes or technical jargon. Simply install the plug-in, and you’re good to go!
If you’re a developer and prefer to build your site from scratch, we have you covered too. Our API documentation is comprehensive and easy to follow, so you can quickly integrate Payflex into your checkout process without any hassle.
That’s the Wrap on Buy Now Pay Later
Finding the right BNPL service, like Payflex, can certainly help you climb the ladder of sales and recognition in the fast-paced and competitive world of eCommerce. So if you’re ready to give payment gateways a go and see your sales soar, don’t miss this opportunity to sign up for Payflex and start offering your customers a hassle-free BNPL option.
