Most ecommerce platforms will supply you with the basics right out of the gate – Visa, MasterCard, AMEX, PayPal, Apple Pay, Android Pay, Google Pay etc. However, there’s no doubt that ‘Buy Now, Pay Later’ is a well sought after gateway in retail right now, especially for ecommerce! Selecting the right platform or combination of platforms can be difficult, as there are so many out there (including AfterPay, ZipPay, ZipMoney, OpenPay, FuturePay and so many more).
When looking into the market share of these platforms, AfterPay is definitely domination the market, with over 1,500 retailers and over $300 million in processed revenue through their platform. We’ve outlined some things you should consider when selecting to use a ‘Buy Now, Pay Later’ platform and how it could work with your business, not against it:
– Know your audience: Widely used by the younger generations, the larger market for ‘Buy Now, Pay Later’ is teens and people in their early 20s with high disposable income.
– Know your product: Some products can work extremely well with a post-payment platform, others not so much. The largest market for using post-payment platforms are generally higher value fashion, apparel etc. as these products appeal to the demographic that mainly use these platforms. The cost of your products will also help align which platform is right for you, as some have minimum and maximum lending amounts.
– Do your research: There are so many post-payment platforms out there which all look very similar on the surface. However, there are key differences between each platform, which represent a huge consideration to your customer, including ease of customer experience, payment terms & time frames, merchant fees, implementation, execution etc.
– Will it work in-store? Most retailers will implement a ‘Buy Now, Pay Later’ platform into their ecommerce store first, but a great consideration is the increasing usage of these digital platforms in physical retail stores. If you have one or multiple storefronts, consider implementing and integrating it into your stores.
Want to learn more about selecting the right payment gateway for your online store? Contact Reload to chat with one of our ecommerce experts.