PayPal Take On AfterPay With New Buy-Now-Pay-Later Platform
Renowned e-payment provider, PayPal, has launched a new buy-now-pay-later platform that does not charge retailers an additional cost, as AfterPay continues its global expansion.
PayPal’s interest-free ‘Pay in 4’ platform seeks to leverage its brand trust, and does not charge extra fees to merchants who incorporate its buy-now-pay-later platform.
Some of the first retailers to harness the platform include BigCommerce, Aldo Group and WooCommerce.
The news comes after PayPal launched its ‘Pay After Delivery’ service in Australia earlier this year, rolling out to countries as the UK, France, Spain, Canada and Germany too. The new ‘Pay in 4’ platform will first launch in the United States, with local availability to be confirmed.
According to a comScore study on Large Merchant checkouts, PayPal was found to convert 82% higher than at checkouts without PayPal.
As the name suggests, Pay in 4 offers consumers the ability to pay for purchases in four installments without interest.
Purchases can be between US$30 – US$600 over a six-week period.
PayPal’s Pay After Delivery service invites select customers to not pay for their purchase for 21 days. Money is automatically deducted from a purchaser’s account after the time, with customers covered by PayPal’s Buyer Protection.
AfterPay has continued to expand in the United States, as uptake for buy-now-pay-later platforms continues to increase in the region.