The holiday shopping season is significantly influenced by the visibility and availability of financing options, particularly Buy Now, Pay Later (BNPL) plans. A recent report by PYMNTS, in collaboration with Splitit, reveals that introducing financing options early in the shopping journey can lead to increased consumer spending. The data indicates that 76% of consumers prefer to see BNPL options before making a purchase, with 27.1% more likely to buy higher-priced items when these options are presented upfront. Additionally, 26.9% of shoppers are inclined to purchase more items, while 26.7% would opt to pay full price rather than wait for sales if financing is available early. The report also highlights that customer loyalty drives the usage of pay later options, especially among parents and younger generations. Furthermore, 43% of consumers consider the availability of financing options a key factor in choosing where to shop, emphasizing the need for retailers to offer flexible payment plans during the holiday season to attract and retain customers.
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