Afterpay, Westfield Shopping Centers Partner On BNPL, Mall Plans

Australia’s Afterpay, a buy now, pay later (BNPL) company, and Paris-based Unibail-Rodamco-Westfield, owner of Westfield shopping centers in the U.S., are teaming up to bring malls into the 21st century.

The companies said, in a press release, that the partnership would “jointly invest in new customer experiences, retail innovation, events, marketing and on-premises advertising at Westfield shopping centers.” The release said the “joint activity” will start out at U.S. Westfield shopping centers, but that the goal is to take the partnership global in the coming months.

Already, a number of new brands with a Westfield location in the U.S. have recently begun to accept Afterpay — including Lush Cosmetics, Aldo, The Children’s Place and The Container Store. Afterpay said it is “one of the only payments companies to successfully take its online business to physical retail.”

Since fall 2020, the BNPL company said, nearly 4.5 million customers have set up an Afterpay Card to shop in person.

“Afterpay is the ideal BNPL partner for us,” said Colin Shaughnessy, executive vice president, U.S. Leasing, for Unibail-Rodamco-Westfield. He said linking up with Afterpay would “provide increased choice and flexibility for consumers.”

“We are thrilled to partner with Westfield, as shoppers and retailers alike celebrate the reopening of stores,” said Zahir Khoja, general manager of Afterpay North America. He said Afterpay offers contactless payments “while also allowing shoppers to spend responsibly and avoid revolving debt and interest.”

A recent survey conducted by Westfield found nearly half of consumers are eager to shop in-person again — with 63 percent of consumers calling traditional shopping a “special treat.” The pandemic had pummeled brick-and-mortar retailers, as fear and COVID-19 shutdowns took their toll.

With the surge in eCommerce during the pandemic, what would consumers be looking for with traditional shopping? Westfield said that many shoppers want to try on clothes, browse the shelves and look over the quality of items. The mall owner said its survey showed that 73 percent of shoppers enjoy going home with their purchases in hand.

A joint survey for Afterpay and PYMNTS showed BNPL is growing rapidly, but unevenly among small and medium-sized businesses (SMBs).