Pay later plans are rapidly changing the landscape of consumer spending and merchant engagement, providing flexibility and financial relief to consumers while boosting sales for businesses. Recent findings show that over 56% of consumers utilized installment payment options in the past year, with a remarkable 76% expressing high satisfaction with buy now, pay later (BNPL) services. These plans are particularly beneficial for individuals living paycheck to paycheck, as they are four times more likely to use card installment options compared to those who are financially stable. For merchants, offering pay later options not only drives consumer spending—averaging 25% more per transaction—but also fosters customer loyalty. Enhanced visibility of these payment options during the pre-checkout phase has been linked to increased consumer engagement and conversion rates. The January 2025 eBook delves deeper into the factors driving the adoption of these plans, revealing strategic insights for merchants looking to capitalize on this trend.
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