The Buy Now, Pay Later (BNPL) market is booming, with global users expected to grow from 360 million in 2022 to 900 million by 2027—a 157% increase. This surge isn’t just a global trend; it’s been playing out in South Africa for seven years, where we’ve seen over 100% year-on-year growth in transaction values at PayJustNow alone. Consumers are demanding more flexibility and convenience in how they shop, embracing BNPL as more than just a payment method.

The modern shopping journey is no longer linear. Consumers want to browse, compare, and buy in ways that fit their lifestyles, whether through mobile apps, social media, or traditional retail channels. BNPL providers are at the heart of this transformation, bridging the gap between retailers and shoppers by offering a connected commerce experience.

BNPL’s role in the marketing mix

BNPL providers have the ability to facilitate product discovery by directing millions of consumers through their platforms and into merchant stores, helping customers find their favourite brands and products. Through machine learning, they also enable access to personalised deals and promotions, making shopping more engaging and rewarding. 

Increasingly, retailers are viewing our platform as an extension of their marketing mix, where hyper-personalisation and retargeting strategies are driving meaningful engagement. PayJustNow’s Deals platform receives 30 million impressions, and a million unique clicks on average each month.  This level of integration is redefining retail convenience, turning BNPL from a simple payment solution into a smart shopping tool.

Beyond a payment option

Beyond checkout, consumers are embracing BNPL platforms for their ability to provide a frictionless shopping journey from start to finish, with features such as instant refunds, digital wallets for managing funds, and seamless transaction processing across thousands of instore and online retailers, while their personal and payment information lives securely in one platform. 

And our retailers are seeing tangible benefits. Superbalist, for example, saw 20% of their first-time buyers making use of PayJustNow as a BNPL solution in just the first two months after adding the option. By giving their customers greater freedom and more spending power, they’re seeing a significant increase in their checkout completion rate.

Enabling greater spending power is all about leveraging and augmenting data correctly to deliver responsible access, which is where fintechs come in. We’ve grown our base to 2.6 million consumers, while maintaining a default rate of less than 2%, and helping so called “thin file” consumers safely build a credit profile. 

BNPL adoption in South Africa is growing in tandem with global trends. In markets like India and Brazil, where digital payments and mobile commerce are surging, BNPL is playing a critical role in driving economic inclusion. 

As the retail sector continues to evolve, the integration of BNPL and other frictionless shopping solutions will be pivotal in shaping consumer behavior. Retailers that embrace these innovations will not only drive sales and foster long-term customer loyalty, but drive greater economic access and growth.