Buy Now Pay Later (BNPL) provider Afterpay revealed that its subscription solution would be expanded to the US.
As part of the growth, -US consumers will be boosted with the ability to engage with recurring purchases in installments, from merchants including IPSY, BoxyCharm, Savage X Fenty and Fabletics.
“We believe this new partnership with Afterpay will further advance our mission of making beauty more inclusive by providing even more flexibility and greater access to BoxyCharm and IPSY, and by openly welcoming Afterpay’s highly engaged customers to our beauty community,” said BFA Industries’ VP of Corporate Development & Strategic Partnerships, Milagros Pinon.
“Afterpay already has a high affinity with our Charmers and Ipsters and we are incredibly excited to partner with them in building out their subscription offering.”
It comes as subscription payments are already fuelling significant value for merchants and brands, as well as boosting the payment journey on a global scale.
Zahir Khoja, General Manager of North America for Afterpay, added: “By offering customers the option to pay for subscriptions with Afterpay, we’re not only giving consumers flexibility to pay for more expensive monthly costs, but we’re also helping our merchant partners capture a wider consumer base through this convenient experience. As more retailers expand into the world of subscriptions, Afterpay is more than ready to answer the call for both customers and merchants.”
Afterpay’s subscriptions will be available to consumers across online platforms in the US and Australia by early 2022, with plans to extend this feature in-store and to other regions including Canada, New Zealand, the U.K. and Europe.
Expert Analysis: Similar to the BNPL sector, subscription payments have experienced rapid growth in the past year, with the market predicted to be a $1.5 trillion industry by 2025. The expansion of Afterpay can see the new payment journey become an increasingly integrated part of US ecommerce.