PetSmart® Launches Omnichannel Partnership with Buy Now, Pay Later Leader Afterpay

Rhea-AI Summary

PetSmart has announced a partnership with Afterpay, enabling customers to utilize a "Buy Now, Pay Later" payment option in-store and online. This allows shoppers to make purchases in four interest-free installments, enhancing affordability while shopping for pet products and services. PetSmart aims to cater to the rising demographic of pet owners, particularly among Millennials, who are increasingly seeking flexible payment solutions. This initiative aligns with PetSmart's strategy to ease financial stress for new pet owners and further expands its omnichannel retail offerings.

Positive

• Partnership with Afterpay enhances payment flexibility for customers, allowing interest-free installments.
• Targets Millennial demographic, increasing potential market reach.
• Enhances omnichannel strategy with additional payment options and services.

Negative

• None.

PHOENIX, Sept. 15, 2021 /PRNewswire/ -- Today, PetSmart, the largest specialty pet retailer of services and solutions for the lifetime needs of pets, announced its partnership with Afterpay, the leader in "Buy Now, Pay Later" payments, to give customers the opportunity to have flexible payment options when shopping both in-store and online.

PetSmart customers using Afterpay can make purchases and pay for them in four interest-free installments, due every two weeks. Customers receive their products upfront just like any other purchase method, but have the freedom to pay over time. Afterpay is available for all PetSmart products, as well as Pet Services like grooming, training, day camps and more.

As the largest omnichannel specialty pet retailer, PetSmart is the first company of its kind to offer Afterpay's Buy Now, Pay Later service. Having recently added offerings like curbside pickup and same-day delivery, the addition of Afterpay is part of PetSmart's strategy to give customers more freedom and flexibility when shopping for their pets and ease stress that comes with becoming a new pet owner.

Afterpay has a powerful demographic of young and engaged shoppers, many of whom are now becoming pet parents. In fact, Millennials currently represent the biggest share of pet owners in the U.S.¹, and pet-related searches on Afterpay's platform increased by nearly 270% in 2021 when compared to the same period last year². Together, Afterpay and PetSmart are servicing a new generation of pet owners who prefer to budget their purchases and ease their upfront spending.

"Afterpay empowers our customers with the financial freedom and flexibility to make purchases at PetSmart quickly and easily – and on their terms," said Will Smith, Senior Vice President and Chief Marketing Officer. "We're excited to provide this innovative program to our customers, whether they're shopping in store or online."

"By joining forces with PetSmart, we are meeting the growing demand of pet ownership by younger generations during what continues to be uncertain times," said Zahir Khoja, General Manager of Afterpay North America. "Starting today, PetSmart customers can budget the costs that come with caring for a pet while avoiding revolving debt and expensive, interest-bearing credit products."

Afterpay is the leading payment solution offered by nearly 100,000 of the world's favorite retailers with nearly 20 million customers in North America alone³. After signing up, customers can use the Afterpay app to shop, manage payments, and view reminders. There are no fees if customers pay on time.⁴

About PetSmart
PetSmart LLC is the largest specialty pet retailer of services and solutions for the lifetime needs of pets. At PetSmart, we love pets, and we believe pets make us better people. Every day with every connection, PetSmart's passionate associates help bring pet parents closer to their pets so they, together, can live more fulfilled lives. This vision impacts everything we do for our customers, the way we support our associates and how we give back to our communities. 

PetSmart operates approximately 1,650 pet stores in the United States, Canada and Puerto Rico, as well as more than 200 in-store PetSmart PetsHotel® dog and cat boarding facilities. The retailer provides a broad range of competitively priced pet food and products, as well as services such as dog training, pet grooming, pet boarding, PetSmart Doggie Day Camp™ and pet adoption. 

PetSmart, PetSmart Charities® and PetSmart Charities® of Canada work with nearly 4,000 animal welfare organizations to bring adoptable pets into stores so they have the best chance possible of finding a forever home. Through this in-store adoption program and other signature events, PetSmart has facilitated more than 9 million adoptions, more than any other brick-and-mortar organization.

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 or extended debt⁵. As of June 30, 2021, Afterpay is offered by nearly 100,000 of the world's favorite retailers and nearly 20 million customers in North America alone⁶.

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 Source: Statista July 2021 
² Source: Afterpay data
³ Results announced in FY21
⁴ Late fees may apply. Eligibility criteria apply. See afterpay.com for full terms.
⁵ Late fees may apply. Eligibility criteria apply. See afterpay.com for full terms.
⁶ Results announced in FY21

 

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SOURCE PetSmart

FAQ

What is the significance of PetSmart's partnership with Afterpay?

PetSmart's partnership with Afterpay introduces a flexible payment option, allowing customers to pay in four interest-free installments, thereby increasing affordability for pet products and services.

How does Afterpay benefit PetSmart customers?

Afterpay allows PetSmart customers to manage their budget by breaking down payments into manageable, interest-free installments, making shopping less financially burdensome.

When was the partnership between PetSmart and Afterpay announced?

The partnership was announced on September 15, 2021.

What payment options are available through Afterpay at PetSmart?

Customers can use Afterpay to purchase any PetSmart products and services, including grooming and training, by paying in four installments due every two weeks.

Which demographic is PetSmart targeting with the Afterpay partnership?

PetSmart is primarily targeting Millennials, who represent a significant share of pet owners in the U.S. and are interested in flexible payment options.