How Has The Buy Now Pay Later Market Size Evolved In Recent Years?
The buy now pay later market has seen exponential growth recently due to the surging popularity of flexible payment methods. Key points include:
• The market size was valued at $231.51 billion in 2024 and is expected to accelerate to $343.52 billion in 2025, indicating a CAGR of 48.4%.
The growth is primarily fueled by the surge in online shopping trends, consumer preference for flexible payment options, the rising influence of digital wallets and mobile payment systems, and the increasing competitiveness among payment service providers.
What Are The Estimated Market Size And Expected Annual Growth Rates For Global Buy Now Pay Later Market?
The BNPL market is set for a massive growth trajectory in the coming years.
• By 2029, the market size is expected to reach a staggering $1438.64 billion with a CAGR of 43.1%.
The growth drivers are manifold, mainly the expansion of BNPL services to physical retail, increase in cross-border e-commerce, adoption by traditional retailers, focus on responsible lending and consumer protection, evolution of embedded finance and BNPL as a service. Concurrent trends impacting growth include integration with point-of-sale systems, personalization of BNPL offers, collaboration between BNPL providers and merchants, and regulatory developments in the BNPL space.
What Are The Key Factors Fueling The Growth Of The Buy Now Pay Later Market?
The rise in the utilization of online payment methods propels the BNPL market forward. These payments, made for goods or services bought online or offline, allow customers to make small-ticket purchases both offline and online and ensure quick payments. A prime example of this is the UK-based financial services company, UK Finance, which reported in 2023 that 86% of adults in the UK are engaging with at least one form of remote banking, subsequently pushing the growth of the BNPL market.
What Is The Segmentation Of The Buy Now Pay Later Market?
The Buy Now Pay Later market considered in this report is segmented as follows –
1) By Channel: Online, POS
2) By Enterprise Size: Large Enterprises, Small and Medium Enterprises
3) By End Use: Consumer Electronics, Fashion and Garment, Healthcare, Leisure and Entertainment, Retail, Others End-User
Pre-Book The Buy Now Pay Later Global Market Report 2025 Report For Swift Delivery And Comprehensive Insights Here:
What Trends Are Shaping the Buy Now Pay Later Market?
Technological advancements are key trends propelling the BNPL market. Major players strive to offer customers innovative digital services to maintain their market position. For instance, Temenos, a Switzerland-based software company, launched Temenos Banking Cloud in January 2022, the first AI-driven BNPL banking service, creating additional revenue options for banks and fintechs and strengthening customer relations.
What Are The Key Players In The Buy Now Pay Later Market?
Major players in the BNPL market include:
• Paytm Postpaid
• PayPal Holdings Inc.
• Affirm Inc.
• Klarna Inc.
• Splitit Ltd.
• Sezzle Inc.
• Perpay Inc.
• Openpay
• Quadpay Inc.
• LatitudePay
• Laybuy Group Holdings Limited
What Is The Leading Region In The Buy Now Pay Later Market?
North America emerged as the largest region in the BNPL market in 2024 and Asia-Pacific is expected to be the fastest-growing region in the forecast period. The BNPL market report covers regions including Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East and Africa.
