Elavon, the card payments processor owned by U.S. Bank, wants to squeeze its way into the fast-growing buy-now-pay-later business.
Elavon, which doesn’t offer a BNPL, is “assessing” how to capitalize in on the new trend, Elavon CEO Jamie Walker said in an interview Friday. Asked whether the company is more likely to build a BNPL offering or buy its way in, Walker said details of Elavon’s strategy are being worked out.
“I think it’s going to be a combination of both,” he said. “I would anticipate at a minimum some partnerships to get us going.”
Consumers use BNPL to pay for a product or service over a series of installments, oftentimes four payments. Whether shopping online or in stores, consumers are increasingly being offered the BNPL payment option at checkout, and gravitating to it.
Atlanta-based Elavon’s card processing services are available through a variety of merchants, including the national retailer Costco, according to online ads. The company is well-positioned to operate in the BNPL arena, Walker said.
New research from The Strawhecker Group analyzes key trends and consumer attitudes.
Download a free infographic covering several findings from the full report.
Consumers have increasingly adopted Buy Now, Pay Later (BNPL) services for multiple reasons; a desire for financial flexibility, a way to avoid incurring credit card debt, or to purchase items outside of their budgets. However, despite its popularity, consumer debt and missed payments have led to calls for additional research and regulation. Read the press release.
To take a closer look, The Strawhecker Group (TSG) conducted a survey of over 1,500 U.S. consumers in early 2021 with the goal of understanding domestic attitudes and perspectives on the use of BNPL services. The complete findings, a selection of BNPL provider profiles, and market landscape details can be found in the firm’s new report Buy Now, Pay Later: An Analysis of Key Trends and Consumer Attitudes.
Highlights of this extensive 81-page report include:
- Buy Now, Pay Later Background
- Key Players in the Buy Now, Pay Later Space
- Buy Now, Pay Later Consumer Survey
- Concluding Thoughts: The Future of Buy Now, Pay Later