Buy now, pay later users to exceed 670 million globally by 2028

A new study from Juniper Research, the foremost experts in fintech markets, found that by 2028, the BNPL (Buy Now, Pay Later) userbase will increase by 107%, from 380 million users in 2024.

Banks and superapps are leveraging their positions to underrepresented demographics; incentivising BNPL through consolidated offerings tailored to consumers, such as integrated eCommerce platforms.

Disruption from Non-fintech Players Shifts Market Balance
Juniper Research found that despite fintech companies commanding the BNPL market for years, 2023 saw a major shift, as superapps and banks gained traction. WeChat and Grab are notable superapps offering BNPL to users, embedded within platforms offering numerous products. Market leader Klarna recognised the potential of superapps; transforming its app into one. In future, the market will see not only more superapps offering BNPL, but consolidated retail experiences tailored to consumer demand; altering market shares significantly.

Research author Matt Purnell remarked: “As the BNPL landscape becomes increasingly competitive, vendors must not only stand out, but incentivise repeated use through reward points or increasing loan limits for consistently punctual repayments.”

Traditional Financial Institutions Bringing Confidence to BNPL
The research also noted regulatory discussions and general BNPL prevalence have marked a turning point for consumer confidence, with more people utilising solutions. Banks have therefore begun offering their own BNPL products; adding protections to transactions for seasoned BNPL users and risk-adverse or older populations alike. Recognition from banks also provides confidence to businesses, with fraud risk being mitigated relative to non-regulated BNPL vendors. This confidence will result in over 10 billion BNPL transactions forecast in 2028. Juniper Research