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"Buy Now, Pay Later" For Your Business





What It Is


One of the greatest concerns for Shopify owners is abandoned checkouts and constantly trying to find the right solutions to recover them. Customers usually browse a website, adding products to their cart, just to get to the checkout and be deterred by the total amount. With buy now, pay later on the rise, this could help increase your conversions and also potentially increase the average spend per order.


Buy Now, Pay Later allows the customer to enroll in an interest-free payment plan in which the total price is spread out over weeks or months (time varies by the payment provider, more about this later). This has become very popular because many consumers are trying to avoid the revolving debt and extra fees that traditional credit cards create.



How It Works


If you’re able to offer your customers more choice, more convenience, and greater affordability, they’ll associate these benefits with your store and will more likely be returning customers.


Sounds like something you want to try? Here are some popular payment providers who integrate with Shopify (in no particular order):


Sezzle charges sellers 5% per order, the customer's order is split into 4 interest-free payments over 6 weeks, with the first payment collected at the time of checkout.


Affirm charges 2-3% depending on your business and is normally used for big-ticket orders because they offer 3 month interest-free repayment plans or 6 month and 12 month repayment plans with 15% interest.


Klarna charges 0.30 USD transaction fee plus up to 5.99% variable fee, the customer's order is split into 4 interest-free payments over 6 weeks, with the first payment collected at the time of checkout.


Afterpay charges 0.30 USD transaction fee plus a 4-6% variable fee, the customer's order is split into 4 interest-free payments over 6 weeks, with the first payment collected at the time of checkout.


Quadpay charges a variable percentage based on order amount, but does not have the exact amount readily available to the public. The customer's order is split into 4 interest-free payments over 6 weeks, with the first payment collected at the time of checkout.


These are just a few of the many payment providers that offer the buy now, pay later option for your customers. You can choose to add more than one of these companies in case your customers are already using different ones.



By: Jaylene, Customer Success Manager