Financial analytics company GlobalData has released data according to which BNPL is estimated to rise 2. 5 times in the ecommerce payments market by 2026.

As explained by GlobalData analysts, BNPL is gradually becoming a popular payment option among online shoppers in Asia-Pacific (APAC) and is expected to account for 4. 1% share of ecommerce payments value in 2026, says GlobalData, a leading data and analytics company. Already popular in countries like Australia and New Zealand, BNPL is gradually gaining traction in other APAC markets as well.

GlobalData’s E-Commerce Analytics reveals that BNPL accounted for 1. 6% of the ecommerce payments in 2022 in the APAC region. Context and details on the rise of Buy Now, Pay Later in APAC As explained in the E-commerce Analytics research, COVID-19 pandemic followed by the recent surge in inflation adversely affected consumers’ disposable income and consequently the demand for short-term financing solutions is on the rise.

BNPL has thus emerged as a viable payment option for consumers who do not have access to traditional credit options such as a credit card. BNPL allows this demographic to pay for purchases in instalments at later dates. Shivani Gupta, Senior Banking and Payments Analyst at GlobalData, commented that the BNPL payment solutions are gradually strengthening their presence in the region’s ecommerce market supported by the proliferation of BNPL service providers, accelerated demand for flexible payments, and consumers’ gradual shift from offline to online channel.

Key facts and figures when it comes to BNPL in APAC When it comes to the most relevant data extracted from the GlobalData research, we can name the following: Australia and New Zealand have well-developed BNPL markets with high adoption level, which are far ahead of their peers in the region. BNPL share of ecommerce payments in Australia is estimated at 20% in 2022, while it is 12. 5% in New Zealand.

Afterpay, a known BNPL brand in Australia, serves over 20 million customers. Other Asian markets are also catching up to this with countries like Singapore, India and Japan now seeing high adoption of BNPL services. India has seen the fastest jump in BNPL share in the region, which increased from 0.

1% of ecommerce sales in 2019 to 3. 2% in 2021 and is expected to account for more than 5% in 2022. To capitalise on the growing demand for BNPL services in India, leading online retailers such as Amazon are offering their own BNPL solutions.

Lastly, Shivani Gupta concluded that the use of BNPL services is poised for high growth in Asia with consumers shifting to online shopping and growing number of online merchants accepting BNPL brands. .