As the digital landscape continues to reshape consumer behavior, one payment option has been gaining significant traction among younger shoppers in North America: Buy Now, Pay Later (BNPL). This payment method allows customers to make purchases and pay in installments, often without interest.
It’s not just a passing trend—it’s a revolution in the way people, especially Millennials and Gen Z, manage their finances. For resellers considering joining COCARD, or members who are already thriving as member-owners, it’s essential to understand why BNPL is booming and how it can help our merchants reach their sales goals.
Why is BNPL Exploding in Popularity?
The rise of BNPL is no random event. It’s the result of a perfect storm of economic, technological, and cultural shifts, particularly among younger consumers.
Shifting Expectations
Millennials and Gen Z have grown up in a digital world where convenience is king. They’re used to getting what they want, when they want it, with minimal friction. BNPL fits seamlessly into this expectation, offering a flexible, user-friendly alternative to traditional credit cards.
Economic Realities
Let’s face it—today’s younger consumers are navigating a tough economic landscape. From student loans to rising living costs, Millennials and Gen Z are looking for ways to make their money go further. BNPL provides a way to do just that. Instead of paying for big-ticket items upfront or racking up credit card debt, they can spread out payments over time. This flexibility is a game-changer.
Tech-Savvy Integration
BNPL is thriving because it’s easy to use. Leading BNPL providers like Klarna and Affirm make it simple for consumers to choose the option at checkout, both online and in-store. For merchants, integrating BNPL into their POS systems is a no-brainer. It’s a way to meet the demands of today’s shoppers while staying ahead of the competition.
Who’s Leading the BNPL Charge?
| Age | Percentage Who Are BNPL Users |
| 18-24 | 42% |
| 25-34 | 50% |
| 35-44 | 50% |
| 45-54 | 33% |
| 55+ | 19% |
Source: BankRate
Usage rates across generations show just how powerful BNPL has become. Spoiler alert: It’s not just tech-savvy teenagers. BNPL has broad appeal, but it’s especially popular among younger consumers.
- Millennials (Ages 29-44): The largest group of BNPL users, Millennials are digital natives who value convenience and flexibility. They’re often balancing student debt, housing costs, and other financial pressures, making BNPL an attractive option. According to recent studies, over half of Millennials have used a BNPL service, and this number is only expected to grow.
- Gen Z (Ages 15-28): The first generation to grow up with smartphones in their hands, Gen Z is all about instant gratification. They’re frequent online shoppers, heavily influenced by social media, and wary of credit card debt. BNPL is perfectly tailored to their needs, offering a way to buy what they want without the financial hangover of high-interest credit or endless monthly payments.
- Budget-Conscious Consumers: Beyond age demographics, BNPL is particularly appealing to consumers in lower to middle-income brackets. These shoppers are looking for ways to manage their money carefully, and BNPL’s transparent, often interest-free installment plans provide a solution that traditional credit can’t match.
Should Merchants Jump on the BNPL Bandwagon?
For members showcasing COCARD’s POS solutions, BNPL is more than just a trend—it’s a tool that can transform a merchant’s business. Here’s why offering BNPL is a must for merchants looking to thrive in today’s market:
Boosting Sales and Order Value
BNPL has a proven track record of driving sales. By offering customers the option to pay over time, merchants can reduce friction at checkout, leading to higher conversion rates. In fact, retailers who offer BNPL have reported increases in both the number of transactions and the average order value. For merchants, this means more revenue with little additional cost.
Attracting a Younger, Digital-First Audience
Millennials and Gen Z aren’t just consumers—they’re trendsetters. By offering BNPL, merchants can tap into these demographics, attracting a younger, tech-savvy audience that values flexibility. This isn’t just about making sales today; it’s about building a loyal customer base for years to come.
Reducing Cart Abandonment
Cart abandonment is a persistent challenge for online retailers. BNPL can help address this issue by making it easier for consumers to complete their purchases. By offering a more manageable payment option, merchants can reduce the number of customers who abandon their carts at the last minute. This leads directly to increased sales and happier customers.
Staying Ahead:
The retail landscape is more competitive than ever. If you know COCARD, you know we thrive on adopting new POS solutions before the competition, and definitely before massive adoption.
As BNPL continues to grow in popularity, more and more retailers are catching on. Merchants who fail to offer BNPL risk being left behind as consumers flock to competitors who provide the payment options they want. By integrating BNPL into their POS systems, merchants can stay ahead of the curve and meet the evolving demands of today’s shoppers.
Conclusion: The Time for Pay-Later is Now
The rise of BNPL among younger consumers in North America isn’t just a passing fad—it’s a fundamental shift in how people shop and manage their finances. For resellers considering joining COCARD, this is an opportunity you can’t afford to miss. By offering POS solutions that include BNPL, you can provide merchants with the tools they need to attract and retain customers in an increasingly digital, competitive marketplace.
For merchants, the message is clear: BNPL is a must-have. It’s a way to drive sales, attract younger customers, and reduce cart abandonment. Most importantly, it’s a way to stay relevant in a rapidly changing world. As BNPL continues to grow, those who adopt it now will be the ones who thrive in the future. The time to act is now—don’t let this opportunity pass you by.
Get in touch today to learn how COCARD maximizes value for both members and the merchants they serve.