Afterpay Expands Buy Now, Pay Later Option to Top Retailers

·2 min read

Afterpay’s buy now, pay later (BNPL) service is now available at Amazon, CVS, Dell, Kroger, Macy’s, Nike, Nordstrom, Nordstrom Rack, Sephora, Target, Victoria’s Secret, Walgreens and Yeti for shoppers using the payment app.

The company said the retailers and brands now accepting the payments option “represent almost half of all U.S. e-commerce volume.” For select consumers using the app, they can peruse the Afterpay Show Directory to buy from these top merchants and brands. The BNPL allows shoppers to pay over time without finance changes or paying interest.

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The expansion of its service comes as e-commerce maintains its momentum after explosive growth in 2020.

Zahir Khoja, general manager of Afterpay North America, said that over the past year, “we all relied on online shopping for the things we needed during the pandemic. But, as we celebrate the physical reopening of stores, consumers still want the convenience and flexibility of buying with the click of a mouse as part of their ‘new normal.'”

In a statement today, Afterpay said U.S. e-commerce growth “nearly tripled in the first three months of 2021 compared to a year ago, as more consumers shopped from the comfort of their home.” The company said online sales soared to “a record-breaking 43.7 percent in 2020 and grew 39 percent in Q1 2021, the second-highest pandemic period increase behind the Q2 2020 peak.”

With its BNPL app, purchases are made by Afterpay using a “one-time card.” Transaction details are then “automatically populated at checkout, ensuring a seamless checkout experience,” the company said.

Afterpay also said most of its customers “start their shopping journey on the Shop Directory in the Afterpay app. On a monthly basis, Afterpay sends approximately 31 million leads on average to its merchant customers from its Shop Directory.”

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