Buy Now Pay Later (BNPL) Market Opportunities and Strategies to 2034 - AI-Powered, Cloud Integration, and Strategic Partnerships Revolutionize B2C and B2B Payments - ResearchAndMarkets.com

The "Buy Now Pay Later (BNPL) Market Opportunities and Strategies to 2034" report has been added to ResearchAndMarkets.com's offering.

The global buy now pay later market reached a value of nearly $231.5 billion in 2024, having grown at a compound annual growth rate (CAGR) of 46.72% since 2019. The market is expected to grow from $231.5 billion in 2024 to $1.43 trillion in 2029 at a rate of 44.10%. The market is then expected to grow at a CAGR of 40.57% from 2029 and reach $7.89 trillion in 2034.

This report describes and explains the buy now pay later market and covers 2019-2024, termed the historic period, and 2024-2029, 2034F termed the forecast period. The report evaluates the market across each region and for the major economies within each region.

Growth in the historic period resulted from the growth of contactless and digital payments, growth in government initiative, growing banking infrastructure development and rising investment in fintech startups. Factors that negatively affected growth in the historic period were regulatory scrutiny and consumer protection concerns and lack of awareness of BNPL late payment fees.

Going forward, the growing e-commerce industry, rising smartphone usage and internet penetration, rise in integration of artificial intelligence and machine learning and rise of digital wallets will drive the growth. Factors that could hinder the growth of the buy now pay later market in the future include cybersecurity and fraud risks and rising default rates.

North America was the largest region in the buy now pay later market, accounting for 35.74% or $82.75 billion of the total in 2024. It was followed by Western Europe, Asia-Pacific and then the other regions. Going forward, the fastest-growing regions in the buy now pay later market will be Middle East and South America where growth will be at CAGRs of 46.38% and 45.21% respectively. These will be followed by North America and Africa where the markets are expected to grow at CAGRs of 44.95% and 44.84% respectively.

The global buy now pay later market is highly fragmented, with a large number of small players in the market. The top ten competitors in the market made up to 4.41% of the total market in 2023. Block, Inc was the largest competitor with a 1.90% share of the market, followed by Affirm Holdings Inc. with 1.04%, PayPal Holdings Inc. with 0.57%, Klarna Bank AB with 0.21%, Mastercard Incorporated with 0.16%, PayU with 0.14%, Shop Pay Installments (Shopify Inc.) with 0.11%, Sezzle with 0.102%, Latitude Group Holdings Limited with 0.098% and Visa Inc. with 0.07%.

The buy now pay later market is segmented by channel into online and POS. The online market was the largest segment of the buy now pay later market segmented by channel, accounting for 98.25% or $227.44 billion of the total in 2024. Going forward, the POS segment is expected to be the fastest growing segment in the buy now pay later market segmented by channel, at a CAGR of 48.44% during 2024-2029.

The buy now pay later market is segmented by application into consumer electronics, fashion and garment, healthcare, leisure and entertainment, retail and other end-uses. The consumer electronics market was the largest segment of the buy now pay later market segmented by application, accounting for 39.05% or $90.41 billion of the total in 2024. Going forward, the healthcare segment is expected to be the fastest growing segment in the buy now pay later market segmented by application, at a CAGR of 51.36% during 2024-2029.

The buy now pay later market is segmented by enterprise size into large enterprises and small and medium enterprises. The large enterprises market was the largest segment of the buy now pay later market segmented by enterprise size, accounting for 73.38% or $169.88 billion of the total in 2024. Going forward, the small and medium enterprises segment is expected to be the fastest growing segment in the buy now pay later market segmented by enterprise size, at a CAGR of 46.35% during 2024-2029.

The top opportunities in the buy now pay later markets segmented by channel will arise in the online segment, which will gain $1.18 trillion of global annual sales by 2029. The top opportunities in the buy now pay later markets segmented by enterprise size will arise in the large enterprises segment, which will gain $855.08 billion of global annual sales by 2029. The top opportunities in the buy now pay later markets segmented by application will arise in the consumer electronics segment, which will gain $464.63 billion of global annual sales by 2029. The buy now pay later market size will gain the most in the USA at $390.22 billion.

Market-trend-based strategies for the buy now pay later market include use of AI-powered buy now pay later (BNPL) services for providing user-friendly experience, collaborations redefining the future of buy now pay later services, revolutionizing B2B payments with flexible installment solutions, integration with cloud based payment solutions to improve operational efficiency and new strategic partnership enhances BNPL offerings for multinational corporations.

Player-adopted strategies in the buy now pay later market include focus on expanding business capabilities through strategic acquisitions, business operations through strategic collaborations and partnerships and operational capabilities through the launch of new solutions.

To take advantage of the opportunities, the analyst recommends the buy now pay later focus on AI integration for enhanced service and efficiency, focus on collaborations to integrate complementary services, focus on b2b payment flexibility to target sme market, focus on developing cloud-based integrated payment solutions, expand in emerging markets, continue to focus on developed markets, focus on expanding strategic partnerships and collaborations, focus on competitive pricing strategies for buy now pay later companies, focus on digital engagement and targeted marketing, focus on customer education and trust-building, focus on targeting healthcare end-users in bnpl.

Key Attributes:

Major Market Trends

• Use of AI-Powered BNPL Services for Providing User-Friendly Experience
• Collaborations Redefining the Future of Buy Now Pay Later Services
• Revolutionizing B2B Payments with Flexible Installment Solutions
• Integration With Cloud Based Payment Solutions to Improve Operational Efficiency
• New Strategic Partnership Enhances BNPL Offerings for Multinational Corporations

Key Mergers and Acquisitions

• Super.money Acquired BharatX
• DMI Finance Acquired ZestMoney
• Upgrade Acquired Uplift
• Zip Acquired Sezzle
• Block Inc. Acquired Afterpay Limited

Market Characteristics

• General Market Definition
• Summary
• Buy Now Pay Later Market Definition and Segmentations

Market Segmentation by Channel

• Online
• POS

Market Segmentation by Enterprise Size

• Large Enterprises
• Small and Medium Enterprises

Market Segmentation by End-Use

• Consumer Electronics
• Fashion and Garments
• Healthcare
• Leisure and Entertainment
• Retail
• Other End-Uses

Companies Featured

• Block, Inc
• Affirm Holdings Inc
• PayPal Holdings Inc
• Klarna Bank AB
• Mastercard Incorporated
• PayU
• Shop Pay Installments (Shopify Inc.)
• Sezzle
• Latitude Group Holdings Limited
• Visa Inc.
• Zip Co Limited
• PayPal Holdings, Inc.
• AfterPay Limited
• Openpay Group
• LatitudePay Financial Services
• Amazon Pay Later
• Lazypay
• Paytm Postpaid
• ZestMoney
• Simpl
• Mswipe Technologies Pvt. Ltd
• CRED
• DMI Finance Private Limited
• Samsung
• ePayLater
• Mobikwik
• Flipkart Pay Later
• OlaMoney
• Flexmoney Technologies Pvt Ltd
• MoneyTap
• axio
• Slice
• Westpac
• Kuaishou
• DMI Finance
• BharatPe
• LatitudePay
• Openpay
• Paidy
• Smartpay
• Kredivo Holdings Ltd.
• CommBank
• National Australia Bank (NAB)
• Tencent Holdings Ltd
• GoTo
• Lotte Corporation
• RHB Banking Group
• HSBC Group
• Fintech Farm Ltd
• Santander Group
• Klarna Bank AB
• Payl8r
• Worldline
• Alma
• Temenos
• Santander
• Revolut Group Holdings Ltd.
• Billie GmbH
• Zilch
• Clearpay
• Vipps MobilePay
• Przelewy24
• Tap2Pay
• eCard S.A.
• VeloBank
• Raisin Bank AG
• Twisto
• Mokka
• Klarna International
• Tinkoff
• Comgate a.s.
• mBank SA
• Revolut
• PayPo
• Leanpay
• TBI Bank
• PJSC Sberbank
• Flanco
• Tabit
• Amazon
• Square
• Marqeta
• Upgrade
• PROG Holdings
• Affirm Holdings Inc
• Apple Inc
• Thinking Capital
• Lendified
• Merchant Advance Capital
• CIBC Small Business Loans
• Kabbage
• OnDeck
• Lending Club
• Wells Fargo
• BlueVine
• Square Capital
• RapidAdvance
• Funding Circle
• Credibly
• Fundera
• Open Co
• Powerpay
• Banco do Brasil
• Caixa Economica Federal
• Bradesco
• Itau Unibanco
• Santander Brasil
• Nubank
• PagSeguro
• Creditas
• Geru
• Banco Inter
• Uala
• MODO
• Swap
• Addi
• MercadoPago
• PicPay
• Kueski Pay
• RappiPay
• Tamara
• Postpay
• Tabby
• Spotii
• Zina
• FlexxPay
• Sav
• Comfi
• Saman Bank
• PayU Israel
• PayTabs
• Souhoola
• Lipa Later Group
• Blnk
• Keza Africa
• CD Care
• Zilla
• ValU
• Callpay
• Blue Label Telecoms
• Jumia Nigeria
• Sympl
• Payflex
• Fawry
• MNT-Halan

For more information about this report visit https://www.researchandmarkets.com/r/d5w3g7

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