The rise of Buy Now, Pay Later (BNPL) payment options is reshaping the landscape for subscription merchants, particularly among millennials who are increasingly favoring flexible payment solutions. A recent report from PYMNTS Intelligence highlights the significant impact of BNPL on revenue growth and customer loyalty. With 39% of millennials using BNPL in the past year, merchants can capture a larger market share by integrating this payment method into their offerings. The financial benefits are clear, as BNPL users tend to spend more, with an average increase of $150 during peak shopping days like Black Friday. Furthermore, subscribers who rely on BNPL are more likely to remain loyal, as 30% of subscribers contribute to 79% of total revenue. By adopting data-driven strategies and seamless onboarding processes, subscription businesses can enhance customer experiences and reduce churn. Ultimately, incorporating BNPL is not just a trend but a strategic necessity for merchants aiming for sustainable growth.
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