Google Pay launch BNPL at checkout

Google says it will enable merchants in the US who accept Google Pay online to integrate the Zip Pay-In-4 BNPL service, issued by WebBank.

Google Pay launch BNPL at checkout

This integration, scheduled for a pilot launch in January 2024, comes as Buy Now, Pay Later (BNPL) adoption is on the rise, offering consumers enhanced flexibility in their payment choices at checkout.

Recent research by Zip has highlighted the growing relevance of BNPL services in consumer spending.

Approximately 41% of Americans report that BNPL options have enabled them to manage holiday expenses more effectively.

Additionally, 47% of BNPL users find this payment method particularly appealing due to its purchase-splitting feature.

“Consumers are increasingly seeking flexibility at checkout, while merchants are looking for innovative ways to boost sales and enhance customer loyalty,” comments Larry Diamond, CEO, Zip.

“With Zip available in the Google Pay checkout experience, we are bridging a gap and providing a flexible credit product for the many consumers overlooked by traditional credit products.

By offering Zip payment solutions through Google Pay, we’re empowering consumers with more choices while providing merchants with a powerful tool to increase conversion rates and build lasting customer relationships.”

During the pilot phase, when shoppers tap the Google Pay online checkout button on select merchant’s Android apps, the customer will see a promotional banner within Google’s home screen letting them know that the Zip BNPL option is available.

If the user taps on this banner or selects to change their form of payment, they’ll see a list of BNPL providers along with more details on their product offering.

If the user chooses Zip, they can learn more about the terms and conditions and then go through a few steps to complete the purchase.

Once approved, customers can conveniently spread out their payments for purchases over $35.