PayPal has now entered the flexible payments race after it launched PayPal Pay in 3. The new program will enable UK-based firms and businesses of all sizes to provide buy now, pay later payments without taking on extra risk, or paying any additional fees.
By using the PayPal Pay in 3 service, companies can give their clients the option of making purchases that range between £45 and £2,000 by paying over three interest-free payment installments. They will be provided with seamless automatic repayments every month. PayPal Pay in 3 will also be made available in the client’s PayPal wallet. The new arrangement will enable buyers to manage their payments online or through the PayPal app.
Official reports indicate that the new service is designed to enable various businesses to drive checkout conversion, revenue, and customer loyalty. They will also have the option that is included in the business’s existing PayPal pricing. No extra fees will be necessary to enable customers to get their products as they need.
PayPal will pay the business or retailer upfront for the entire cost of the purchase. Last year, there was a 39% year-on-year increase in the proportion of buy now, pay later payments in the United Kingdom. That trend is expected to double by 2023.
This new PayPal Pay in 3 enables firms ranging from start-ups to the globally recognized retailer brands to adapt to this changing consumer behavior. It also offers a greater range of payment options. Retailers like Robert Dyas, Crew Clothing, Ryman, and French Connection are blending PayPal Pay in 3 into their services. It is available in the United Kingdom from late October 2020.
The UK Director of Enterprise Accounts at PayPal, Rob Harper, explains:
“During the coronavirus pandemic, we have seen the number of people in the UK shopping online increase dramatically. At the same time, many more consumers are looking to spread the cost of those purchases. We have developed PayPal Pay in 3 to meet that need, building on our heritage as a responsible lender through PayPal Credit, which we launched in the UK in 2014, and has served more than two million customers to date.”
Harper also said that PayPal would continue to offer support to the UK retailers and businesses during these hard times of COVID-19. PayPal will help companies adapt to the changing consumer behaviors around how they shop and also pay, particularly in the lead up to the festivities. Harper added:
“PayPal Pay in 3 offers a flexible way for over 24 million PayPal users to shop while providing companies with a tool that helps drive sales, loyalty, and customer choice.”