Global payment solutions provider Splitit Payments has forged a strategic alliance with Middle East Buy Now Pay Later (BNPL) provider tabby.
The tie-up will enable tabby to integrate Splitit’s instalment payment platform through a white-label solution.
This will enable tabby’s merchants to provide shoppers the option of paying through instalments with credit cards.
The integration is expected to be completed by the end of the third quarter this year.
It will also enable tabby to expand its offering to additional merchant categories and those with higher average order values.
tabby, with a presence across the UAE and Saudi Arabia, counts Ikea, Marks and Spencer, SHEIN, and Toys R Us amongst its 2,000 merchant partners.
The firm provides a consumer financing option, enabling shoppers to pay for items in four equal instalments.
tabby founder and CEO Hosam Arab said: “This is a great partnership for us at tabby as it allows us to broaden our product offering to existing merchants as well as enter new verticals across the markets we serve.”
For Splitit, the alliance with tabby provides entry into the growing UAE and Saudi markets, where the e-commerce market in 2020 was valued at $7bn and $11bn respectively.
Moreover, the expansion of the company’s technology to offer white-label offering is expected to drive growth opportunities and broaden future revenue streams.
Splitit CEO Brad Paterson said: “Having expanded our platform capability, we can now also offer white-label solutions as a way to enter new regions such as the Middle East by partnering with established players that already have a strong market presence.
“While we remain focused on further penetration of Splitit’s branded product in the US, APAC and Europe, this provides a new low-cost, high-margin revenue stream which we can easily emulate in other markets.”
In February this year, Splitit secured a receivables funding facility from Goldman Sachs Bank to accelerate its growth.