Square marks another key milestone in its integration of Afterpay, extending buy now, pay later (BNPL) functionality to its millions of in-person sellers in the United States and Australia, the company announced.
Just three months after first bringing Afterpay into the Square ecosystem with e-commerce integration, Square and Afterpay moved swiftly to unlock the ability for sellers using any Square point of sale software – Square Point of Sale, Square for Retail, Square Appointments, or Square for Restaurants – to now offer Afterpay across online and in-person commerce.
To use Afterpay in-person, buyers simply tap to pay using a mobile wallet loaded with their virtual Afterpay card, and pay over four interest-free installments. Square sellers receive their full earnings from each sale immediately.
In their first quarter together, a combined Square and Afterpay has already proven to attract new shoppers and drive incremental revenue for sellers of all sizes. Sellers using Square Online are seeing the following impact for their businesses:
Transaction sizes are up: Across both the US and Australia, average transaction size with Afterpay is 3x greater than non-BNPL purchases.
Rapid growth in buyers: Globally, we observed a 180% increase in new consumers leveraging Afterpay through Square sellers between February and March 2022.
Meaningful growth among key merchant categories: In the US, retail businesses that offered Afterpay as a payments option on their website are seeing a meaningful lift in overall online sales, with men’s and women’s clothing stores growing 17%; specialized apparel and accessories, 15%; pet stores, 13%; sporting goods stores, 12%; and jewelry and watch shops, 10%. In both countries, beauty and personal care businesses saw significant upticks in online sales, registering a 26% increase in Australia and a 16% increase in the U.S.
This growth is already extending to in-person commerce; during the beta period, average order value (AOV) for in-person Afterpay purchases more than doubled in Australia, while in the US orders averaged a 50% increase.
“More than ever, shoppers expect to be able to make purchases with their preferred method of payment,” said Leslie Babineaux, owner of Fort Worth, Texas-based A Touch of Chic Boutique. “Square has made it straightforward for a business of my size to offer Afterpay, with no additional work required on our end. Our customers are thrilled that they can use BNPL when they come in store, and in a short amount of time, we’ve already seen that shoppers spend nearly double the amount with us when purchasing with Afterpay.”
Sydney-based wedding jeweler, The Callie Corp, has seen first-hand the value that offering Afterpay via Square has had on their business: “We’ve been offering Afterpay on our Square Online store and have been blown away by the demand. Our average transaction sizes are up, we’re acquiring more new customers, and more are returning for multiple purchases,” said Rebecca McIntyre, CEO and founder of The Callie Corp.
“Our buyers are young, high-intent consumers who prefer Afterpay and quickly become repeat customers for our merchant partners,” said Nick Molnar, Afterpay Lead at Square. “Together, Afterpay and Square can help sellers of all sizes capture the next generation shopper and compete at a larger scale.”
Square sellers can enable Afterpay starting today and try BNPL at promotional rates until September 10. Automatic enablement will roll out to eligible Square sellers over the following weeks, and Afterpay can be easily toggled on or off via sellers’ Square Dashboard at any time.
Banking 4.0 – „how was the experience for you”
„So many people are coming here to Bucharest, people that I see and interact on linkedin and now I get the change to meet them in person. It was like being to the Football World Cup but this was the World Cup on linkedin in payments and open banking.”
Many more interesting quotes in the video below:
