See how four technology-dependent regional retailers/manufacturers have benefited from modernizing with flexible digital payment systems to stay relevant.
In recent years, Buy Now Pay Later (BNPL) payment digitalization platforms have emerged as an attractive transformation, offering significant benefits to both consumers and retailers.
Modernized retailers and e-commerce retails adopting BNPL platforms can enjoy various well-known advantages.
Besides making payments more flexible, retailers can attain:
1. Increased sales: BNPL services can significantly boost conversion rates.
2. Higher Average Order Value: Customers tend to make larger purchases when offered flexible payment options.
3. Improved cash flow: Despite customers paying in installments, retailers receive the full purchase amount upfront, ensuring steady cash flow.
4. Enhanced customer loyalty: BNPL services can encourage repeat purchases and brand trust.
5. Reduced cart abandonment: BNPL services help decrease cart abandonment rates by providing attractive payment alternatives.
Regional beneficiaries of this technology adoption include:
- A furniture retailer in Singapore, Rozel Furnishing (Nova Group), improved sales of its upmarket designer furniture by making it more accessible to consumers. . Customers could now furnish their homes without the burden of large upfront costs, leading to increased sales of premium products. According to its CEO, Julian Lim, BNPL “allows us to extend flexible and convenient payment options to our customers, making it easier for them to furnish their homes without upfront financial burdens. As the demand for smart financing solutions grows, we’re excited to provide greater accessibility and affordability for homeowners across Singapore.”
- A provider of premium home furnishing and window treatments, Lushcacia Fabrics (Nova Group), has padded up revenues in off-peak seasons. BNPL options allows customers to make purchases all year-round. This payment system transformation has helped the firm stabilize demand and improve cash flow throughout the year.
- A provider of ergonomic workspace solutions, AdapTABLE , has added BNPL to capitalize on the growing remote-working trend in its markets. By offering BNPL, the firm has allowed more customers to invest in comfortable home office setups, driving sales growth.
- A retailer of electric bicycles, YY Ebike , aims to promote sustainable commuting options, but price barriers were a concern. By adopting BNPL options, it has made eco-friendly electric bikes more accessible to budget-conscious consumers. This approach not only boosted sales but has also supported the firm’s commitment to sustainability.
According to Jjohn Cheow, Chief Strategy Officer, Chopnow, the fintech providing BNPL solutions used by the abovementioned beneficiaries: “The demand for BNPL services is at an all-time high, as consumers seek flexible payment solutions for their everyday purchases,” adding that the technology is at “the sweet spot of financial inclusivity, empowering individuals who lack access to credit cards or conventional financial products … by providing flexible financing options…” and also benefitting merchants, “including those with limited digital presence, to expand their customer reach.”
