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September 29, 2020

American retailer Target to pilot Sezzle’s BNPL services

US-based instalment payments platform Sezzle has begun the limited tests of its buy now, pay later (BNPL) services with retailer Target.

Free Report
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What does the future hold for BNPL market?

The global Buy Now Pay Later (BNPL) market is estimated at a massive $120 million in 2021 – representing just less than 3% of the global ecommerce market. Yet the user-base is massive, with leading provider, Klarna, alone reportedly having 87 million users in 2021. This market is only expected to grow, with established companies like Apple and Goldman Sachs moving into the BNPL sector in bids to capitalize on this trend. To help you make the most of this growing market, GlobalData’s Buy Now Pay Later in 2022 and Beyond report provides detailed insight into the BNPL sector. This report:
  • Discusses the disruptive potential of the BNPL sector on the payments industry
  • Identifies the leading companies that are driving sector growth and the benefits this new payments solution provides to both merchants and consumers
  • Analyzes the consumer’s risk of using BNPL loans and government attempts at introducing regulations to the sector
  • Uncovers the main risks that consumers expose themselves to when borrowing with BNPL
Download this free report to get to know where this developing market is headed, and how you can reshape your strategies.
by GlobalData
Enter your details here to receive your free Report.

Under the proof of concept (POC), few visitors of Target.com will test the Sezzle platform’s efficacy in two product categories for Target’s retail operations.

Previously, Target also worked with Australia’s Afterpay on similar instalment payment options for online shoppers.

No details regarding the duration or extent of these tests have been divulged.

In a press release, Sezzle noted: “The POC is preliminary in nature and does not represent any guarantee of a future commercial contract.

“Sezzle will provide a further update to the market at the conclusion of the POC, with the timing of this not yet known.

“This announcement was approved by the Company’s CEO and executive chairman Charlie Youakim, on behalf of the Sezzle board.”

Sezzle offers interest-free instalment payments to its users. Users can split their purchases into four such payments over the course of six weeks.

This will not affect customers’ credit scores if they pay the instalments in time.

Sezzle facilitates BNPL services for over 16,000 active merchants in the US and Canada. It serves as many as 1.6 million customers.

It is being claimed that the service helps in reducing the online shopping cart abandonment among shoppers.

Earlier this month, Sezzle rolled out a virtual card to offer interest-free instalments solutions to customers for both in-store and online purchases.

Last month, the Texas-based company announced plans to foray into the Indian market by the end of this year.

Free Report
img

What does the future hold for BNPL market?

The global Buy Now Pay Later (BNPL) market is estimated at a massive $120 million in 2021 – representing just less than 3% of the global ecommerce market. Yet the user-base is massive, with leading provider, Klarna, alone reportedly having 87 million users in 2021. This market is only expected to grow, with established companies like Apple and Goldman Sachs moving into the BNPL sector in bids to capitalize on this trend. To help you make the most of this growing market, GlobalData’s Buy Now Pay Later in 2022 and Beyond report provides detailed insight into the BNPL sector. This report:
  • Discusses the disruptive potential of the BNPL sector on the payments industry
  • Identifies the leading companies that are driving sector growth and the benefits this new payments solution provides to both merchants and consumers
  • Analyzes the consumer’s risk of using BNPL loans and government attempts at introducing regulations to the sector
  • Uncovers the main risks that consumers expose themselves to when borrowing with BNPL
Download this free report to get to know where this developing market is headed, and how you can reshape your strategies.
by GlobalData
Enter your details here to receive your free Report.

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