Two important BNPL partnerships announced this week
This week, two significant ‘Buy Now, Pay Later’ (BNPL) partnerships were announced. One between United States (US) based online travel shopping company Expedia and BNPL leader Afterpay. The second is with UK-based Fly Now Pay Later and Worldline integrating the payment tech to their TravelHub. These two partnerships highlight the considerable growth of BNPL in the travel industry. Although more BNPL solutions were already being integrated, current economic hardships are catalysing the roll out of these initiatives. For more detail on BNPL in aviation read here.
On 21 November 2022, Expedia Group “the world’s leading traveller technology platform” announced their partnership with BNPL provider, Afterpay. Now, US-based customers booking flights and hotels will have the option to pay in four interest-free payments over six weeks.
The partnership comes at a time of considerable economic hardship worsened by soaring cost of living prices. These shifts are influencing consumer behaviour. One survey by PYMNTS found that nearly 22 per-cent of consumers are planning to spend less of holiday travel this year.
Announcing the partnership, Alex Fisher, Head of Revenue, North America, Afterpay said:
“As consumers prepare for the peak holiday travel period, we are excited to provide an easy and flexible service that will allow our customers to book and pay in four instalments for their preferred flights and accommodations, interest-free and over time.”
Highlighting the technology in use, Christian Gerron, Senior Vice President Media and Brand Partnerships, Expedia Group said:
“Expedia Group is proud to become Afterpay’s first major US travel partner […] This highlights our ongoing growth in developing cutting-edge traveller technologies that provide our partners with new ways to deliver great experiences to their customers which, in turn, drive customer loyalty.”
On the same day, a partnership between Worldline and Fly Now Pay Later was announced. Worldline is a global leader in secure payments and trusted transactions. Fly Now Pay Later, ‘the travel industry’s leading BNPL provider’ has been integrated into Worldline’s TravelHub. Customers will now have the option to spread the cost of their travel.
Jasper Dykes, CEO and founder Fly Now Pay Later said:
“As a dedicated team of travellers committed to making paying for travel simpler and fairer, we are delighted to announce the partnership with Worldline as a highly respected pioneer in secure payments and trusted Transactions. We’re all about making sure that travel payments work for everyone, so welcome the opportunity to work with merchants to help their customers spread out the cost of a hotel, flight or holiday.”
Guillaume Tournand, Head of Growth, Worldline highlighted the additional benefits for their company:
“Partnering with Fly Now Pay Later has provided us with access to a wealth of travel expertise. As the partner of choice for merchants, banks and acquirers, operating in 50 countries, we pride ourselves on providing a world-class service for those seeking secure payments and trusted transactions when booking their holidays, business trips and more.”
As the cost of living increases around the globe, and travel companies continue to integrate more BNPL options to keep pace with other retail sectors, we can expect to see more BNPL options within the industry.
Article by Jess Brownlow