Fintech
Singapore Buy Now Pay Later Business Report 2022-2028: BNPL Firms are Expected to Slow Down their Expansion Strategy Amid Rising Interest Rates
The “Singapore Buy Now Pay Later Business and Investment Opportunities – 75+ KPIs on Buy Now Pay Later Trends by End-Use Sectors, Operational KPIs, Market Share, Retail Product Dynamics, and Consumer Demographics – Q3 2022 Update” report has been added to ResearchAndMarkets.com’s offering.
BNPL payments are expected to grow by 37.3% on an annual basis to reach US$1,105.2 million in 2022.
Medium to long term growth story of BNPL industry in Singapore remains strong. BNPL payment adoption is expected to grow steadily over the forecast period, recording a CAGR of 19.1% during 2022-2028. The BNPL Gross Merchandise Value in the country will increase from US$804.9 million in 2021 to reach US$3,158.3 million by 2028.
In Singapore, buy now pay later (BNPL) is a small but rapidly growing Fintech sector. One of the major contributors to the growth of the Singaporean BNPL industry has been the increased usage of e-commerce platforms during the global pandemic outbreak. As Singapore continues to move towards a cashless society, BNPL platforms are becoming increasingly popular in the city-state. This popularity is evident from the growing BNPL transactions and year-on-year growth in Singapore.
The publisher expects the growth to continue in the Singaporean BNPL industry, and millennials, which form the largest segment of BNPL users, are expected to drive major transaction value and volume growth over the next three to four years as they have begun to enter into their spending years. Moreover, more BNPL services are expected to pop up in the country as their popularity continues to grow among Singaporean shoppers from the short to medium-term perspective.
To drive sustainable growth in the Singaporean BNPL industry, new guidelines are being developed to better safeguard consumer interests. Notably, the Singapore Fintech Association (SFA) has formed a BNPL working group that consists of members such as Atome, Grab, and hoolah, which will work under the guidance of the Monetary Authority of Singapore (MAS).
Consolidation between BNPL firms is expected to gain rapid momentum as players seek to strengthen their position in the region
Amid the growing competition in the BNPL market, consolidation trends are expected to gain rapid momentum in the region as firms seek to strengthen their position in the industry. Notably, mergers and acquisitions are expected to accelerate in Singapore as firms face headwinds amid rising inflation and interest rates. These trends have started to emerge in the Singaporean market in H1 2022.
- In March 2022, Pace Enterprise (Pace), one of the leading BNPL players in Singapore, announced that the firm had acquired Rely, the home-grown Fintech startup which offers BNPL in the region. This acquisition of Rely will further strengthen Atome’s merchant network.
- As of March 2022, Pace has more than 5,000 point-of-sales across the Asian region. Notably, the firm is on track to meet its goal of one million users by the end of 2022 and is also aiming to have an annualized gross merchandise value of US$1 billion by the end of 2022.
Over the next three to four years, the publisher expects more such mergers and acquisition deals in Singapore and across the Asian region as firms continue to strengthen their position in the market.
BNPL integration platforms are raising a funding round to further accelerate the growth of their platform
The BNPL market worldwide has become increasingly crowded, with more and more players launching the service. These players are then entering into strategic partnerships with merchants to drive adoption among consumers.
However, with so many players entering the space, merchants find it cumbersome to work with several BNPL providers. This has resulted in innovative startups, such as BNPL integration platforms, that integrate several BNPL products into one platform. These innovative startups are raising funding rounds to accelerate their rapid expansion globally.
- In April 2022, Optty, a Singapore-based BNPL service aggregator, announced that the firm had raised US$9 million to launch the platform for retailers. In the stealth mode, the platform was handling 185 integrations with 41 BNPL providers such as Afterpay, Grab, Klarna, Affirm, Scalapay, and Zip. By the end of 2023, the firm plans to integrate more than 100 BNPL brands and digital wallets.
- Notably, the firm reduces the operational time for retailers to just a few minutes, as opposed to when the retailers work with BNPL providers directly, where they wait at least a week for offering their customers with BNPL payment option. Moreover, by offering several BNPL payment methods through the same platform, retailers record more conversion rates and sales.
As the BNPL market continues to evolve and mature over the next three to four years, the publisher expects more such innovative startups to emerge in the global market. This will subsequently drive the market growth from the short to medium-term perspective.
BNPL firms are expected to slow down their expansion strategy amid rising interest rates
During the global pandemic period, BNPL firms recorded strong growth and, as a result, aggressively expanded their operations around the world. However, as central governments around the world hike interest rates, which will eat up profit margins of BNPL firms, the publisher expects the players to slow down their expansion strategy.
- In July 2022, Zip Co (Zip), one of the leading global BNPL firms from Australia, shut down its operation in Singapore. This move is part of the firm’s strategy to preserve cash, which resulted in the slowdown of its expansion strategy.
- Notably, the exit of Zip from the Singaporean market is an indication that the market is entering into a period of consolidation amid the period of high-interest rates globally.
From the short to medium-term perspective, the publisher expects more global BNPL firms to slow down their expansion amid the economic headwinds experienced by businesses across different industries.
Scope
Singapore BNPL Market Size and Spending Pattern
- Gross Merchandise Value Trend Analysis
- Average Value Per Transaction Trend Analysis
- Transaction Volume Trend Analysis
Singapore Buy Now Pay Later Operational KPIs
- Buy Now Pay Later Revenues, 2019 – 2028
- Buy Now Pay Later Share by Revenue Segments
- Buy Now Pay Later Merchant Commission, 2019 – 2028
- Buy Now Pay Later Missed Payment Fee Revenue, 2019 – 2028
- Buy Now Pay Later Pay Now & Other Income, 2019 – 2028
- Buy Now Pay Later Accounts, 2019 – 2028
- Buy Now Pay Later Bad Debt, 2019 – 2028
Singapore Buy Now Pay Later Market Share Analysis by Key Players (Atome, Hoolah, Rely, Grab, Split)
Singapore Buy Now Pay Later Spend Analysis by Channel: Market Size and Forecast
- Online Channel
- POS Channel
Singapore Buy Now Pay Later in Retail Shopping: Market Size and Forecast
- Gross Merchandise Value Trend Analysis
- Average Value Per Transaction Trend Analysis
- Transaction Volume Trend Analysis
Singapore Buy Now Pay Later in Home Improvement: Market Size and Forecast
- Gross Merchandise Value Trend Analysis
- Average Value Per Transaction Trend Analysis
- Transaction Volume Trend Analysis
Singapore Buy Now Pay Later in Leisure & Entertainment: Market Size and Forecast
- Gross Merchandise Value Trend Analysis
- Average Value Per Transaction Trend Analysis
- Transaction Volume Trend Analysis
Singapore Buy Now Pay Later in Healthcare and Wellness: Market Size and Forecast
- Gross Merchandise Value Trend Analysis
- Average Value Per Transaction Trend Analysis
- Transaction Volume Trend Analysis
Singapore Buy Now Pay Later in Other: Market Size and Forecast
- Gross Merchandise Value Trend Analysis
- Average Value Per Transaction Trend Analysis
- Transaction Volume Trend Analysis
Singapore Buy Now Pay Later Analysis by Consumer Attitude and Behaviour
- Buy Now Pay Later Sales Uplift by Product Category
- Buy Now Pay Later Spend Share by Age Group
- Buy Now Pay Later Gross Merchandise Share by Income
- Buy Now Pay Later Gross Merchandise Value Share by Gender
- Buy Now Pay Later Adoption Rationale Gross Merchandise Value Analysis
Companies Mentioned
- Grab PayLater
- Atome
- Hoolah
- rely
- octifi
- FavePay Later
- Split
- Citi Bank
- convertCASH
- BridgerPay
Leading global payments platform SPAYZ.io has confirmed it will be attending iFX EXPO Dubai 2025 on 14 to 16 January. Exhibiting at Stand 64 at Trade Centre Dubai, SPAYZ.io’s team of professionals will be on hand providing live demonstrations of its renowned payment services for payment providers. Attendees will also receive exclusive insight into SPAYZ.io’s plans for 2025 alongside early early access to its upcoming plans for the new year.
SPAYZ.io delivers a host of payment solutions that leverage the latest technological innovations and open access to the fastest growing emerging markets across Africa, Europe and Asia. Over the past year, there has been huge demand for its Open Banking and local payment method services, alongside bank transfers, mass payouts, online banking and e-wallets.
Yana Thakurta, Head of Business Development at SPAYZ.io commented: “We look forward to once again participating at iFX Dubai to expand our network of partners and clients. It’s a fantastic way to kick off the year, connecting with thousands of industry leaders from FOREX platforms to trading companies, and everything in between.
“Our key goal for iFX Dubai EXPO 2025 is to expand our portfolio of solutions and geographies. We’re using this as an opportunity to partner with like-minded entities who share our ambition to provide payment solutions that are truly global.”
Come meet SPAYZ.io’s team at the Trade Centre Dubai at Stand 64. You can also book a meeting slot with a member of a team.
The post SPAYZ.io prepares for iFX EXPO Dubai 2025 appeared first on News, Events, Advertising Options.
Airtm, the most connected digital dollar account in the world, is proud to announce the addition of two distinguished industry leaders to its Board of Directors: Rafael de la Vega, Global SVP of Partnerships at Auctane, and Shivani Siroya, CEO & Founder of Tala. These appointments reflect Airtm’s commitment to innovation and financial inclusion as the company enters its next phase of growth.
“We are thrilled to welcome Rafael and Shivani to Airtm’s Board of Directors,” said Ruben Galindo Steckel, Co-founder and CEO of Airtm. “Their unique perspectives and proven track records will be invaluable as we continue scaling our platform to empower individuals and businesses in emerging markets. Together, we’ll push the boundaries of financial inclusion and innovation to create a more connected and equitable global economy. Rafael and Shivani bring a wealth of experience and strategic insight that will strengthen Airtm’s mission to connect emerging economies with the global market.”
Rafael de la Vega, a seasoned leader in fintech global partnerships and technology innovation, is currently the Global SVP of Partnerships at Auctane. With a proven track record of delivering scalable, impactful solutions at the intersection of fintech, innovation, and commerce, Rafael’s expertise will be pivotal as Airtm continues to grow. “Airtm has built a platform that breaks down barriers and opens up opportunities for people in emerging economies to connect to global markets. I am excited to contribute to its growth and help further its mission of fostering financial inclusion on a global scale,” said Rafael.
Shivani Siroya, CEO and Founder of Tala, is a pioneer in financial technology, renowned for empowering underserved communities through access to credit and essential financial tools. Her leadership in leveraging data-driven innovation aligns seamlessly with Airtm’s vision of creating more equitable financial opportunities. “Empowering underserved communities has always been at the core of my work, and Airtm’s mission resonates deeply with me. I’m thrilled to join the Board and work alongside such a dynamic team to expand access to financial tools that truly make a difference in people’s lives,” said Shivani.
The post Airtm Enhances Its Board of Directors with Two Strategic Appointments appeared first on News, Events, Advertising Options.
The Ever-Evolving Landscape of Fintech: Top Stories Today
The fintech world continues to thrive with new developments shaping its future. Today’s highlights cover Revolut’s enhanced crypto fraud protections, Bestow’s recognition as a leading fintech company, Advyzon’s CEO receiving a prestigious award, Tyme Group’s global expansion supported by Nubank, and the rise of Israeli fintech startups. Let’s dive into the details and explore the broader implications.
Revolut Steps Up Crypto Fraud Protection
In a significant move to fortify customer trust, Revolut has announced enhancements to its crypto fraud protection systems. Leveraging advanced security risk scores, the company aims to shield users from the growing menace of crypto-related scams. The platform’s new measures will involve deeper scrutiny of transactions, sophisticated algorithms to flag potential fraud, and proactive alerts for unusual activities.
Revolut’s focus on fraud protection reflects the escalating challenges faced by fintech firms operating in the crypto space. As digital currencies gain traction, fraudsters continue to exploit vulnerabilities, necessitating robust security mechanisms. Revolut’s initiative could set a precedent for the industry, emphasizing that user safety is as critical as innovation. However, the success of these measures will depend on striking the right balance between security and user experience.
Source: Coindesk
Bestow Earns a Spot Among Top 100 Financial Technology Companies of 2024
Bestow, a digital life insurance innovator, has been named one of the Top 100 Financial Technology Companies of 2024. This recognition highlights Bestow’s transformative approach to life insurance, combining cutting-edge technology with customer-centric solutions. By simplifying the traditionally cumbersome insurance process, Bestow has made life insurance more accessible and affordable.
The accolade underscores the growing importance of insurtech in the broader fintech ecosystem. Bestow’s achievements signal a shift in consumer expectations—convenience, transparency, and technology-driven solutions are becoming non-negotiable. As insurtech continues to disrupt traditional insurance models, the emphasis will likely shift from mere digital transformation to delivering personalized and predictive services.
Source: PR Newswire
Advyzon CEO Hailin Li Wins ThinkAdvisor 2024 Luminaries Award
Hailin Li, CEO of Advyzon, has been honored with the ThinkAdvisor 2024 Luminaries Award for Fintech Executive of the Year. This award recognizes his exceptional leadership and Advyzon’s commitment to empowering financial advisors with innovative tools. Under Li’s stewardship, Advyzon has excelled in providing comprehensive technology solutions, enabling advisors to deliver superior client experiences.
Li’s recognition highlights the pivotal role of leadership in driving fintech innovation. Advyzon’s success is a testament to how visionary leadership can redefine financial advisory services. As advisors increasingly rely on technology to navigate complex markets, platforms like Advyzon are becoming indispensable. The award also serves as a reminder that the human element—inspired leadership—remains crucial even in a tech-driven industry.
Source: Business Wire
Nubank Backs Tyme Group’s International Expansion
In a strategic move, Nubank has announced an investment in Tyme Group, a digital bank with operations in South Africa and the Philippines. This partnership aims to accelerate Tyme’s growth in emerging markets, leveraging Nubank’s expertise in scaling digital banking operations. Tyme’s unique business model focuses on financial inclusion, catering to underserved populations in developing economies.
Nubank’s investment signifies a growing trend among fintech leaders to expand their footprint in emerging markets. The collaboration between Nubank and Tyme underscores the potential of digital banking to bridge financial inclusion gaps. However, challenges such as regulatory complexities and technological infrastructure limitations in these regions must be addressed to ensure sustainable growth.
Source: Business Wire
Israeli Fintech Startups Gaining Global Momentum
Israel’s fintech ecosystem is making waves internationally, with startups leveraging the country’s robust tech culture and innovation-driven mindset. From payment solutions to cybersecurity for financial services, Israeli fintech firms are attracting significant investments and partnerships globally. This trend reflects the country’s position as a hub for technological advancement and entrepreneurial spirit.
The rise of Israeli fintech startups is a testament to the country’s ability to harness innovation for global impact. However, scaling these ventures beyond local markets remains a challenge. Strategic partnerships and a focus on addressing global financial challenges will be crucial for these startups to cement their position on the world stage.
Source: Calcalist Tech
Broader Implications for the Fintech Industry
- Enhanced Security in Crypto: Revolut’s initiative highlights the need for continuous advancements in fraud prevention. The increasing complexity of scams calls for adaptive security measures that can evolve with emerging threats.
- Recognition Drives Innovation: Bestow’s accolade and Hailin Li’s award demonstrate the power of recognition in fostering innovation. Industry acknowledgment not only boosts morale but also sets benchmarks for others to emulate.
- Global Collaborations: Nubank’s partnership with Tyme Group underscores the importance of cross-border collaborations in fintech. As markets globalize, such alliances will play a pivotal role in shaping the future of financial services.
- Emerging Market Opportunities: Investments in developing economies highlight the untapped potential of these regions. Fintech companies must focus on understanding local needs and challenges to create impactful solutions.
- Tech Hubs as Catalysts: The success of Israeli fintech startups emphasizes the role of regional tech hubs in driving industry growth. Policymakers and stakeholders must nurture these ecosystems to sustain innovation.
The post Fintech Pulse: Your Daily Industry Brief (Revolut, Bestow, Advyzon, Tyme Group, Nubank) appeared first on News, Events, Advertising Options.
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