Bengaluru
E-commerce firm Flipkart has witnessed a strong adoption of the ‘Flipkart Pay Later’ credit facility, which has doubled its user base to over 6 million in just seven months. ‘Flipkart Pay Later’ offers an affordability shopping experience to customers and is witnessing an upward trend in monthly sign-ups.
According to research, the Buy Now Pay Later (BNPL) market will grow 10x over the next five years, surpassing $40 billion by 2026. Interestingly, 45 per cent of customers prefer to make purchases with BNPL options even if they have a credit card owing to the convenience that BNPL provides, said Dheeraj Aneja, SVP and head, Fintech and Payments Group, Flipkart. Due to the rising demand, Flipkart Pay Later has recently expanded its offerings to provide credit up to Rs 1 lakh and is available on Flipkart and Myntra platforms and plans to expand its offerings further.
Having recently expanded its offerings, Flipkart Pay Later now provides customers credit up to Rs 1 lakh, depending on the customer’s credit profile. Customers can shop any number of times throughout the month and pay the total bill amount in part within 30 days or through EMIs.
The platform enables customers to manage their cash flows better through a credit facility with no physical paperwork and zero down payment. The 30-day credit product has witnessed significant adoption in repeat purchase categories such as grocery, lifestyle, general merchandise and home. The longer-tenured EMI options have seen strong adoption in high-value categories such as mobiles, consumer electronics, and large appliances. This payment option currently processes more than 3 million transactions monthly, 90 per cent of which come from repeat customers.
