BNPL transaction value to rise 106% globally by 2028

A new study from Juniper Research, the foremost experts in fintech markets, has found that by 2028, BNPL (Buy Now Pay Later) transaction value will reach $687 billion, from $334 billion in 2024. This growth will be driven by increasing market maturity and consumer confidence, supported by regulatory initiatives and greater acceptance, particularly within B2B use cases.

Balancing BNPL Regulations with Growth
Several prominent BNPL markets have proposed regulatory changes. Denmark has been the first to implement regulations; granting BNPL consumers greater protections, but potentially restricting the pace of growth. Ensuring consumer protections for BNPL increases its appeal to demographics underrepresented in the current BNPL market, with older adults becoming increasingly open to BNPL – an essential trend for continued market growth.

Research author Matt Purnell remarked: “To develop within increasingly regulated markets, providers must adapt to legislation, justify the use of BNPL over traditional credit solutions, and reward consumer loyalty to maintain customer retention.”

B2B BNPL Is Gaining Momentum
The report found that in 2023, the B2B BNPL market reached $14 billion in spend globally, as service awareness rose, and businesses sought alternative credit arrangements during turbulent economic conditions. Whilst B2B BNPL will continue being a niche subset of BNPL, businesses will increasingly adopt BNPL as it can provide a convenient, low-cost credit option.

The research recommended B2B BNPL providers focus on business types suffering with access to credit, particularly smaller enterprises, in order to maximise their appeal. Partnerships with key B2B services, such as B2B marketplaces and ERP (Enterprise Resource Planning) systems, will be critical to future B2B BNPL growth. Juniper Research