Nordstrom Joins Top Merchants Offering Afterpay for Online and Physical Stores

Rhea-AI Summary

Afterpay has partnered with major retailers like Nordstrom, Calvin Klein, and Tommy Hilfiger, enabling customers to utilize its Buy Now, Pay Later (BNPL) service in-store and online. With a reported 230% increase in spending since 2020, Afterpay is becoming a preferred payment option among Gen Z and Millennials, especially amid high inflation. This collaboration taps into a core demographic of engaged young consumers, with over 100,000 global retailers now adopting Afterpay's services, which allows customers to shop immediately while paying in four interest-free installments.

Positive

• 230% increase in spending since 2020 indicates growing popularity.
• Strategic partnerships with Nordstrom, Calvin Klein, and Tommy Hilfiger expand market reach.
• Access to a core demographic of Gen Z and Millennials enhances customer engagement.
• Afterpay's model promotes responsible spending with interest-free payments.

Negative

• None.

SAN FRANCISCO, Jan. 26, 2022 /PRNewswire/ -- Afterpay, the leader in "Buy Now, Pay Later" (BNPL) payments, announced today that it has partnered with leading retailers, including Nordstrom, Calvin Klein and Tommy Hilfiger. Nordstrom has already started to offer Afterpay both online and in their retail stores - allowing consumers to shop and pay using a powerful budgeting tool.

Over the past decade, economic uncertainty has shifted financial behavior among Gen Z and Millennials, as these younger consumers become increasingly credit averse - favoring debit over credit card use. Because Afterpay allows shoppers to use their own money and pay over time, it has become a preferred way to pay, with spending up 230% since 2020.² As these younger generations mature and their spending power grows, merchant partners can tap into the Afterpay's core demographic of highly-engaged, young consumers. Brands can also benefit from additional exposure through Afterpay's Shopping App, which refers more than one million shoppers per day² to their online and physical stores. 

"We are constantly evolving to enhance the customer experience both in-store and online at Nordstrom and Nordstrom Rack. This includes offering flexible payment options to meet customer needs," said Dennis Bauer president of payments and credit at Nordstrom. "We have heard from our customers that buy now, pay later programs resonate with them and are excited to partner with Afterpay to make these options available to them."

"With inflation at a 40-year high, it's more important than ever that consumers have access to a flexible payment option for the things they need and want in their life," said Zahir Khoja, General Manager of North America at Afterpay. "Afterpay allows consumers to safely shop and pay in a responsible way, while also allowing brands to reach highly engaged shoppers who often become repeat customers."

Nordstrom, Calvin Klein and Tommy Hilfiger will join Afterpay's growing network of 100,000 global retailers³, providing customers with the ability to receive items immediately while paying over time. For more information, download the Afterpay app or visit Afterpay.com.

About Afterpay Limited

Afterpay Limited (ASX: APT) is transforming the way we pay by allowing customers to buy products immediately and pay for their purchases over four installments, always interest-free. The service is completely free for customers who pay on time - helping people spend responsibly without incurring interest. As of June 30, 2021, Afterpay is offered by more than 100,000 of the world's favourite retailers and nearly 16 million+ active customers have adopted the service.³

Afterpay is currently available in Australia, Canada, New Zealand, the United States and the United Kingdom, France, Italy and Spain, where it is known as Clearpay. Afterpay is on a mission to power an economy in which everyone wins.

¹ Figures released in FY 2021 results
² Source: Accenture, The economic impact of Buy Now, Pay Later in the US
³ Figures released in FY 2021 results

 

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SOURCE Afterpay

FAQ

What retailers are partnering with Afterpay?

Afterpay has partnered with Nordstrom, Calvin Klein, and Tommy Hilfiger.

How much has Afterpay's spending increased since 2020?

Afterpay's spending has increased by 230% since 2020.

What demographic is primarily using Afterpay's services?

Gen Z and Millennials are the primary users of Afterpay's services.

What is the payment structure offered by Afterpay?

Afterpay allows customers to pay for purchases over four installments, interest-free.

How many retailers are part of Afterpay's network?

Afterpay's network comprises over 100,000 global retailers.