merce shoppers are more likely to use buy-now-pay later //

According to Adobe’s most recent ecommerce survey, Ecommerce shoppers used buy-now-pay later (BNPL) in January and February. This was a 10% increase over last year.

BNPL up, revenues down. This despite the fact that revenue increased 19% during this period. Inflation is causing shoppers to use payment plans to buy lower-priced goods. Last year, BNPL sales grew by 27% and 14% respectively over 2021.

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Most used for groceries. In the first two months, BNPL grocery use was up 40% YoY. This is the largest increase among all categories that Adobe tracks.

Vivek Pandya, Adobe Digital Insights’ lead analyst, stated that the rise in buy-now-pay later grocery shopping indicates that consumers are more likely to make larger online purchases to take advantage special offers and stock up on staples. This allows them to manage their living expenses more easily,” Vivek Paandya, Adobe Digital Insights’s lead analyst, said in a press release.

Popular for furniture. Furniture saw the second largest increase in BNPL usage with 38% more payments in the first two month of the year.

Why do we care? The total U.S. credit card debt was a record $930.6billion at the close of last year. This is an 18.5% increase on 2022 according to the Federal Reserve Bank of New York. According to a WalletHub Report, the average credit card balance for a household is $9,990. Consumers are paying more for debt because of rising interest rates.

It is evident that BNPL is essential to ecommerce businesses. This allows consumers to control their spending and avoid interest charges on purchases. Marketers need to emphasize this service to shoppers.

MarTech first published the post More Ecommerce Shoppers Using Buy-Now-Pay-later