Consumer Surveys Reveal Top U.S. BNPL Trends – WWD

Flexible payment options like buy now, pay later are seemingly ubiquitous today, appealing to the consumer’s search for a more transparent way to buy and pay.

According to a survey by Opy, a payments fintech company, which polled 1,000 Americans on BNPL, consumers are also looking for flexible payment options when it comes to healthcare costs.

Largely due to BNPL’s payment flexibility and fixed rates, 69% of Americans said they’re worried about future dental costs, while two-thirds of pet owners say they’re worried about future dental bills. veterinary costs. Indicating a lack of easy and accessible funds to pay for care, the survey also found that 71% of respondents using BNPL rather than traditional payment methods would be welcome. This sentiment was even higher among pet owners, with 86% of respondents saying they would choose to use BNPL to pay for treatments.

“The numbers don’t lie,” says Brian Shniderman, US Managing Director and Director of Global Strategy at Opy USA. “Americans yearn to be able to choose BNPL when making a larger purchase, such as when visiting the dentist or seeking veterinary care for their pets. Additionally, dental patients and pet owners who have greater access to other payment methods will seek more regular visits and treatments, with less worry and anxiety about covering related expenses. . I’m proud to represent a brand that strives to help change lives by offer a fair and friendly way to fund personal and pet care, especially when it comes to a big bill that’s hard to pay in a month or two.

The report’s authors said the survey results indicate that the pandemic has certainly influenced Americans’ feelings toward BNPL. Unsurprisingly, millennials are leading the way here with 75% of respondents indicating that interest in BNPL has increased. When it comes to paying for dental care specifically, two-thirds of consumers surveyed said they were more interested in a BNPL payment option now than before the pandemic. Asked about BNPL’s most desirable feature, a majority said it was payment flexibility.

Meanwhile, a report by Lending Tree found that the use of BNPL could impact Americans’ budgets.

Without a doubt, BNPL has taken the United States by storm. According to the company’s survey of a sample of 1,500 consumers about installment loans, 43% of Americans have used a BNPL service, up from 31% just a year ago.

According to the report’s authors, this is partly because the services are gaining popularity with a wider audience, appealing to more than just the millennial consumer. According to the company’s survey results, 22 % of consumers aged 57-76 said they had used BNPL, compared to only 9% at the same time last year.

Yet according to the survey, 70% of BNPL users admitted to spending more money than they would have if they had to pay for everything upfront. The data also indicated that many have used BNPL 10 or more times, say they have spent too much with the service, and ultimately regret using it.

For many, this overspending has also resulted in a late payment on one of these loans.

The fact that 42% of BNPL users said they had made a late payment is the most disturbing and shocking finding,” the report authors said. “In fact, we were so surprised by what we found that we reworked this and other related questions to make sure the high percentage was not a fluke or mistake. This was not the case.

Although credit cards are still considered the preferred mode of payment, the report indicates that as the BNPL continues to grow, it is gaining a significant share. Already, 47% of consumers surveyed by Lending Tree said they would rather use BNPL to pay for a purchase they don’t have money for up front.

BNPL was rated as preferred over credit cards by 51% of women and 53% of those earning less than $50,000 a year.

Additionally, as consumers discover different BNPL options, 47% of consumers said they are loyal to a specific brand and often choose to shop at retailers that accept their preferred supplier. The top four companies trusted by consumers were revealed as PayPal, Afterpay, Klarna and Affirm.

However, for the remaining 53% of consumers, the decision simply depends on which BNPL their preferred retailer has a relationship with. Notably, buyers indicated that they consider it a good thing that BNPL’s lenders allow buyers to use their services at many retailers through the lenders app.

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