Afterpay, an Australian buy now, pay later (BNPL) company announced its partnership with the US-based payments platform Stripe. The partnership will enable existing as well as new Stripe merchants to provide Afterpay’s services to their customers.
The deal will allow Stripe’s customers to purchase items immediately and pay for them over four installments. Customers will not need to take a loan or pay interest on such transactions. Enterprises that use Stripe can start accepting payments via Afterpay’s BNPL service without the need for any application or underwriting process.
Australia’s booming e-commerce landscape
Due to the COVID-19 pandemic, the e-commerce sector across Australia has expanded rapidly in 2020. As per a report published by Salesforce, the growth of the e-commerce sector in New Zealand and Australia was the highest around the world at 107 percent.
Currently, Afterpay’s stocks are one of the hottest in Australia due to a significant spike in e-commerce sales.
Stripe & Afterpay work with Squarespace
Due to the increase in demand by retailers looking to sell online, Stripe and Afterpay are also joining forces with the website-building platform Squarespace. Squarespace will provide the combined integration of Afterpay and Stripe to their e-commerce customers across New Zealand, the US, and Australia. Merchants across Canada and UK will be able to avail these services in the coming months.
According to Afterpay, around 83% of retailers witness a decline in shopping cart abandonment when they provide a flexible payment alternative to their customers and Squarespace provides the perfect solution.
Noah Peper, Business Lead Stripe’s APAC division, said that he has seen high demand from users across the world for flexible payment alternatives. He added that the partnership will provide enterprises on Stripe a tool to boost sales and expand their customer base.
Paul Gubbay, Chief Product Officer, Squarespace, said that the partnership will help them provide their merchants more flexibility during a transaction with customers and also boost topline sales.
More about Afterpay & Stripe
Afterpay is an Australian fintech company that operates in multiple locations including New Zealand, Canada, the United Kingdom, and the United States. The company aims to help its customers make online and in-store purchases while maintaining their financial wellness.
Stripe was founded in 2010 and has headquarters in San Francisco, California, and Dublin. The company predominantly offers application programming interfaces and payment processing software for mobile applications and e-commerce websites.
For more updates and latest tech news, keep reading iTMunch!
Image: <a href=”https://www.freepik.com/photos/background”>Background photo created by snowing – www.freepik.com</a>