3 prominent BNPL companies in Australia

By Leandra Monteiro

Buy now pay later (BNPL) has rapidly become one of the most convenient ways to buy goods and services instantly. BNPL companies allow shoppers to buy something right away, spread out the cost over time and not have to pay any interest.

According to IBISWorld, the Buy Now Pay Later industry in Australia is forecast to continue growing over the next five years, albeit at a slower pace than the past five years, as the industry matures. Online retailing is projected to expand over the period, benefiting industry operators. The number of new users using buy now pay later BNPL services will likely increase, driving industry revenue growth.

Here are 3 prominent BNPL companies in Australia:

• Afterpay

Founded in 2014 in Sydney, Australia, Afterpay has millions of global customers and hundreds of thousands of merchant partners now using the platform across Australia, the US, Canada, the UK, New Zealand, and the EU (where it is called Clearpay).

Afterpay’s business model is completely free for customers who pay on time – helping people spend responsibly without incurring interest, fees or extended debt. Afterpay empowers customers to access the things they want and need, while still allowing them to maintain financial wellness and control, by splitting payments in four, for both online and in-store purchases.

• Humm

hummgroup is revolutionising the way people pay, developing some of the most exciting and accessible consumer finance products including humm, bundll, humm90 and hummpro.

hummgroup continues to design products and features around the core needs of financially savvy consumers spanning millennial spenders through to young families and SMEs. The company facilitates purchases for 2.7 million customers and operates in Australia, New Zealand, Ireland and the United Kingdom. Following an initial partnership with Mastercard in 2020 the company announced in 2021 that it had partnered with Westpac NZ to offer bundll in New Zealand, and with Velocity to offer the first airline points accrual on BNPL payments.

• Zip

Zip is a global Buy Now, Pay Later (BNPL) company providing fair and seamless solutions that simplify how people pay. Founded in Australia in 2013, its mission is to be the first payment choice, everywhere and every day. The company give consumers, merchants and businesses around the world access to transparent, flexible and interest-free credit.

Zip exists to create a world where people can live fearlessly today, knowing they’re in control of tomorrow. Disrupting the broken credit card model, it puts the financial well-being of its customers and merchants at the centre of everything that it does. Over 90,000 retailers around the world offer Zip as a payment choice to their 12 million and growing active customers globally.

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