How ‘Buy Now, PayLater’ is Transforming Online Shopping
April 02, 2022
Over the years, online shopping has undergone tremendous changes. Whether its small value orders, groceries or e-commerce, anything can be purchased online, with the “Buy Now, Pay Later” model. Let’s get to know how this mode of purchase has transformed the way people shop online.
In the recent years, the way people shop has changed drastically. Although some customers still prefer using cash as the primary mode of payment, there are many others who rely on digital payments solutions such as Credit Cards, Debit Cards, and Net Banking. Recently, the ‘Buy Now, Pay Later’ model has brought a significant revolution in the online shopping landscape, especially with the younger crowd. Let’s get to know more about this phenomenon in detail.
What is Buy Now, Pay Later?
The ‘Buy Now, Pay Later’, or BNPL, is a payment option that gives you the flexibility to purchase, without having to pay from your pocket. To avail of this facility, you need to approach a lender. Once you subscribe to their service, the lender agrees to a stipulated amount, on your behalf. You are required to repay the amount within the stipulated time period. You can either repay this amount as lump sum or via Equated Monthly Instalments (EMIs).
One of the best examples of this is the PayLater service by ICICI Bank, which gives you up to 45 days of digital credit, with just a click. Using the credit line, you can shop online, pay bills and make payments to any merchant UPI ID, easily and instantly.
Changes in customer experience:
Previously known as instalment plans/payment plans, the ‘Buy Now, Pay Later’ model influences a customer’s choice of products. This model allows customers to pay and stay engaged with a brand. Simple financing options like BNPL increases the trust between retailers and consumers, leading to higher sales.
More flexible solution:
As compared to Credit Cards, ‘Buy Now, Pay Later’ is a flexible solution. While applying for a Credit Card with any lender, you are required to meet the eligibility criteria and submit the necessary documents. However, in the case of the ‘Buy Now, Pay Later’ model, you can easily avail this facility.
Increases buying power:
It has also transformed the way people shop online. Enjoy deals and discounts from top merchants. The ‘Buy Now, Pay Later’ model is a wallet-friendly option to make any purchase, without the price tag being a major concern. This, in turn, increases customer satisfaction.
Provides interest-free payment facility:
‘Buy Now, Pay Later’ is a transparent and easy-to-use option, for a younger generation of shoppers. BNPL offers many of the same benefits as other modes of digital payments, without any of the pain points, making it a go-to option for consumers.
Greater access to instant gratification
A seamless payment experience and an increased spending power allows consumers, particularly those belonging to the younger generation, access to products and services that are beyond their budget.
Only select customers can avail PayLater by ICICI Bank. It can be availed basis a pre-approved offer. The customers eligible for this facility will receive an invite pop-up, when they log in to the iMobile Pay app. Once you log in, enjoy an instant payment option, without worrying about your budget.