US Buy Now, Pay Later (BNPL) User Penetration, by Generation, 2018-2025 (% of digital buyers in each group)
Buy now, pay later (BNPL) services are defined as interest-free solutions provided by third-party payment platforms that allow consumers to purchase and finance a product or service, and pay in scheduled installments; also known as digital installments, installment lending, and point-of-sale ... financing. Users are typically allowed to pay off balances in weekly, biweekly, or monthly installments. Failing to adhere to a predetermined payment plan will usually lead to late fees and interest charges. Consumers access these solutions at the point-of-sale (digitally or in-person), usually via a merchant’s website or app, via the third-party provider’s app, or via proximity mobile payment apps like Google Pay and Apple Pay. Examples include Affirm, Afterpay, Klarna, Sezzle, and PayPal’s BNPL service. Excludes services that provide a revolving line of credit, and retailer- and bank-branded financing options.More
Estimates are based on the analysis of survey and traffic data from research firms, historical consumer adoption and buying trends, payment adoption trends, reported company data, interviews, demographic and socioeconomic factors, and macro-economic conditions.