Buy Now, Pay Later (BNPL) payment platform Afterpay is partnering with retailer Gap to offer flexible spending options as the holiday shopping season approaches.
“Working with Afterpay gives our customers the ability to choose from our family of brands when shopping,” said John Strain, Gap’s chief digital and technology officer, in one Explanation on Wednesday (November 11th).
Participating Gap brands include Old Navy, Gap, Banana Republic and Athleta.
“By adding Afterpay to our other payment options, we can offer a more personalized shopping experience, add added convenience and control to our customers, and reach a younger population that may not have been able to shop with us before,” added Strain.
When consumers shop Gap Brands online, they can choose Afterpay at checkout and pay for purchases in four interest-free installments.
“We are proud to partner with Gap Inc. to bring Afterpay to such a strong group of brands and their customers,” said Melissa Davis, director of North America at Afterpay.
“This partnership is based on our shared desire to enhance the digital shopping experience for the very valuable Millennial and Gen Z consumers who prefer to spend their own money and pay with Afterpay over time.”
The addition of Gap rounds off a successful first quarter for Afterpay, which averages 15,000 new customers per day for a total of 6.5 million customers. The company has more than 14,000 dealers in its shop directory. The platform added Gap – the largest retailer to date – due to a large number of customer inquiries.
Founded in 2010, the Australian startup has added a number of new ones Brands in the summer, including Charlotte Tilbury, Fenty Skin, Fila, Huda Beauty, Puma and Vineyard Vines. The BNPL market includes Klarna, Splitit, Openpay, FuturePay, Sezzle, Affirm, Quadpay and others.
ON PYMNTS A poll carried out in conjunction with PayPal found that people were looking for a new way to shop, which made BNPL hot for the holidays. Research has found that 48 percent of shoppers who prefer BNPL would not buy from dealers who didn’t offer it.
Last month AfterPay partnered with Simon Mall in a national collaboration. It also teamed up with Major Retailers in the US before the holiday shopping season. Afterpay announced that its customers have reported a 300 percent increase in the average order value when customers use the platform.
NEW PYMNTS DATA: BUY NOW, PAY LATER, CONSUMER STUDY
Over: Buy Now, Pay Later: Millennials and the Changing Dynamics of Online Credit, a collaboration between PYMNTS and PayPal, explores the demand for new flexible credit options and the way consumers, especially in the millennial demographics, are paying online. The study is based on two surveys of nearly 15,000 US consumers.