Afterpay has announced its in-store buy now, pay later (BNPL) service is being offered by major retailers at locations across the country.
“Shoppers can use Afterpay to buy items in select retail stores using their Afterpay card, a virtual, contactless card stored in their digital wallet,” the firm said in a Tuesday (Oct. 13) press release. “Just like using Afterpay online, customers can pay for their in-store purchases in four installment payments, without the need to take out a traditional loan or pay upfront fees or interest. Shoppers can use the Afterpay they know and love, with the added benefit of taking home their purchase that very same day.”
Afterpay first began offering the in-store service in 2016 in Australia and New Zealand, the company said, and it recently was piloted in the United States. Retailers Afterpay lists as offering the service across the U.S. include Forever 21, Finish Line, JD Sports, Levi’s, Skechers, Fresh, APL and Solstice Sunglasses. In addition, the company said, some DSW stores offer the service.
“Just in time for the holiday shopping season, we are thrilled to roll out our in-store capabilities to all customers in the U.S. — making paying in-store more convenient, secure and contactless,” Nick Molnar, Afterpay co-founder and chief executive for North America, said in a prepared statement. “Afterpay customers can now choose either physical or online shopping to buy holiday gifts — which brings new customers and drives more sales conversion to retailers without any additional set-up or integration costs.”
Afterpay says its customers report a 300 percent increase in average order value and a 200 percent increase in units per transaction among shoppers who use the product.
In a Sept. 29 panel discussion with PYMNTS, the topic of potential holiday shopping patterns came up. Molnar said: “We see millennial and Gen Z customers absolutely shopping, and the brands that deeply understand them are growing at faster rates than they have ever grown before. And there’s a huge opportunity. The exclusive product-drop ecosystem is on fire, the online market and just the frequency with which customers are transacting is definitely elevating. There are real opportunities for those brands that deeply understand their consumer.”
Afterpay announced Oct. 6 that it had partnered with Simon Malls to promote the card’s use. As part of the arrangement, customers will pay no fee on top of charges for goods as long as the customer make four scheduled payments on time.
Afterpay also can help Generation Z consumers who might otherwise feel intimated to go into luxury goods stores, Molnar told PYMNTS earlier this year.