Adyen Taps Afterpay to Offer Buy Now, Pay Later
Adyen has teamed with Afterpay to offer brands and merchants who use its payment services a buy now, pay later option to customers. The service officially launched with British footwear and outdoor lifestyle brand Hunter.
Bryony Longden, senior e-commerce manager for Hunter, said the company wanted a way of “offering our customers more flexibility through payments, as we know giving our customers choice to pay in a way that suits them, drives on-site conversion.”
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Longden said by offering Afterpay via Adyen, the company is able to implement “this new payment method quickly and effectively to offer a seamless checkout experience. The ability to split payments really helps to make higher price point items accessible to our customers.”
In the U.K., Afterpay is branded as Clearpay, and offers consumers the option to pay for goods in four installments, “without the need to take out a traditional loan or pay upfront fees or interest,” Afterpay said in a statement, adding that the service is free for consumers who pay on time. Afterpay said it now has more than 13 million customers in the U.S. and close to 2 million users in the U.K.
Afterpay said its data shows that merchants who offer its payment options “see an average increase in conversion of approximately 22 percent — as well as increased basket size, higher customer satisfaction and repeat customers.” The company said more than 90 percent of Afterpay transactions are made by consumers using debit cards.
Ben Pressley, executive vice president of global sales strategy and operations at Afterpay, said pay later options have changed the “retail industry — as young shoppers prefer to use their own money to buy items they need and want — instead of using credit cards which often lead to revolving debt with interest and fees.”
Retailers and brands who offer Afterpay and Clearpay include Gap, Old Navy, Bed, Bath & Beyond, Shein, Goat and Finish Line, among others.
Adyen counts among its clients brands and businesses such as Uber, Tiffany & Co., Etsy, Mango, LinkedIn, Microsoft and Tory Burch, among others.
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