Afterpay, a prominent global player in the Buy Now Pay Later sector, has entered into a partnership with Oceanpayment, marking Oceanpayment as their inaugural full-service payment provider, with a specific focus on the Asia-Pacific (APAC) region.
Upon establishment, Afterpay and Oceanpayment will collaborate to provide payment services in significant markets such as the US, Australia, and the UK (where Afterpay operates as Clearpay).
Furthermore, Oceanpayment will hold the distinction of being the initial payment service provider in the Asia-Pacific (APAC) region to assist merchants in Mainland China and Hong Kong in offering Afterpay’s “buy now pay later” (BNPL) payment product in these pivotal markets. Leveraging their respective core capabilities and resources, Oceanpayment and Afterpay will form a close partnership aimed at assisting merchant customers in expanding and extending their global business reach.
The ongoing impact of high inflation and economic uncertainties on the global consumer market is prompting consumers to curtail spending while demanding greater choices and flexibility in payment options. Concurrently, merchants are witnessing a surge in revenue from customers embracing the Buy Now Pay Later (BNPL) product. With its “zero interest installment” feature, BNPL has emerged as the preferred payment method for younger consumers, particularly millennials and Gen Z, who view it as an effective tool for managing cash flow.
Research indicates a substantial growth in the adoption of BNPL for online purchases, registering a 14% increase in 2022, accompanied by a corresponding 27% growth in sales revenue. This upward trajectory is anticipated to persist, with forecasts projecting the BNPL market to reach a substantial size of USD 744.06 billion by 2027. The increasing popularity of BNPL underscores its appeal as a financial solution amidst evolving economic conditions and shifting consumer preferences.
About Afterpay
Afterpay, serving as the global leader in Buy Now Pay Later (BNPL) services, holds widespread popularity and active adoption among younger generations. Presently operational in key markets including Australia, the US, and the UK (operating as Clearpay), Afterpay provides support to over 200,000 retail merchants spanning diverse industries. With a user base exceeding 19 million active users, Afterpay has established itself as a prominent and preferred BNPL service provider on a global scale.
Upon choosing Afterpay, consumers have the flexibility to opt for a payment plan featuring four interest-free installments distributed over a period of 6-8 weeks. Additionally, for high-value items, consumers in the US have the option to select a repayment period of either 6 or 12 months, where the purchase amount is divided into manageable monthly installments. This provides consumers with varied and tailored payment options to suit their preferences and financial circumstances.
The rapid expansion of global ecommerce has unveiled new and promising opportunities. In the pursuit of catering to the ever-growing demands of consumers, cross-border merchants must integrate these requirements into their strategies for global market expansion. The Buy Now Pay Later (BNPL) option not only addresses the multifaceted needs of consumers but also elevates the overall purchasing experience, encouraging consumers to make more purchases and subsequently driving revenue growth.
By providing BNPL as a payment option with interest-free installments, merchants not only eliminate the necessity for a one-time cash outflow, thereby alleviating financial strain on consumers, but also enhance the likelihood of securing purchases for mid to high-value items. This, in turn, boosts sales and contributes to the growth of Gross Merchandise Value (GMV). Incorporating BNPL into their offerings positions merchants to capitalize on consumer preferences, fostering a seamless and financially accessible shopping experience.
As a leading global provider of payment solutions, Oceanpayment delivers a comprehensive suite of versatile and customizable products and services. These offerings empower cross-border merchants to effectively address the diverse needs of consumers across various countries and regions. With a broad presence spanning Europe, the US, South America, and Southeast Asia, Oceanpayment’s services have garnered increasing popularity in these respective regions.
For merchants seeking international expansion, Oceanpayment provides flexible payment services that extend market reach and elevate the shopping experience for consumers. This, in turn, contributes to heightened conversion rates and facilitates upward revenue growth. The diverse and adaptable payment solutions offered by Oceanpayment align with the dynamic requirements of global commerce, positioning merchants for success in the ever-evolving landscape of cross-border transactions.