Afterpay and Simon Announce Collaboration Ahead of Holiday Shopping Season

Rhea-AI Summary

Afterpay (ASX: APT) and Simon Property Group (NYSE: SPG) have formed a national collaboration to enhance in-store payment services for retailers as the holiday shopping season approaches. This initiative allows shoppers to make immediate purchases while paying over time, interest-free, thereby boosting sales for participating retailers. With over 5 million U.S. customers using Afterpay at 15,000 retailers, this collaboration aims to drive consumer spending during challenging economic times by providing a secure, contactless payment option.

Positive

• Collaboration expected to drive additional sales for retailers during the holiday season.
• Over 5 million U.S. customers using Afterpay can enhance foot traffic at participating retailers.
• Contactless in-store payment solution aligns with consumer safety trends.

Negative

• Dependence on economic conditions; potential impact of consumer spending downturn.

SAN FRANCISCO, Oct. 6, 2020 /PRNewswire/ -- Afterpay (ASX:APT), the leader in "Buy Now, Pay Later" payments, and Simon, announced today a national collaboration to support retailers and promote Afterpay in-store payment services to consumers ahead of the busy holiday shopping season.

"Afterpay's unique in-store payment solution allows our shoppers to make immediate purchases from our retail tenants, while paying over time, interest free - driving additional sales for our retailers," said Mikael Thygesen, Chief Marketing Officer, Simon. "We believe the service is well-suited for these challenging economic times and a great option for our consumers and retail tenants alike."

"With the busy holiday season upon us, we are proud to offer a truly multi-channel payment solution that has proven to bring new customers and increased sales to our retail partners," said Melissa Davis, Afterpay's EVP of North America. "Our new in-store solution is yet another way to support merchants by offering a powerful budgeting tool that allows shoppers to spend their own money over time - whether they prefer to buy in a physical store or online."

At participating retailers, customers in the U.S. will be able to pay securely and simply for their in-store purchases in four installment payments, without the need to take out a traditional loan or pay upfront fees or interest.¹ The service is completely free for consumers who pay on time and, because the payment is contactless, it is a safe and clean way to make a payment.

Customers can initiate a purchase in stores by simply tapping the card icon in the Afterpay app, which activates the Afterpay card in the wallet and can be used to make purchases with Apple Pay or Google Pay.  Shoppers can then take their purchase home right away and pay over time, interest-free.  Because Afterpay payments are made with the retailers' existing payment terminals, there are no merchant integration costs associated with accepting Afterpay.

Today, more than five million U.S. customers use Afterpay at more than 15,000 top retailers in the two years since launching in the market.²

About Afterpay Limited
Afterpay Limited (ASX: APT) is transforming the way we pay by allowing customers to receive 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, fees or extended debt. As at June 30, 2020, Afterpay is offered by more than 55,400 of the world's favorite retailers and is used by more than 9.9 million active customers globally.  

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

About Simon
Simon is a real estate investment trust engaged in the ownership of premier shopping, dining, entertainment and mixed-use destinations and an S&P 100 company (Simon Property Group, NYSE: SPG). Our properties across North America, Europe and Asia provide community gathering places for millions of people every day and generate billions in annual sales.

¹ Eligibility criteria apply. Late fees may apply. See afterpay.com for full terms.
² According to FY20 business results.

 

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SOURCE Afterpay

FAQ

What is the collaboration between Afterpay and Simon about?

Afterpay and Simon are collaborating to enhance in-store payment options for retailers, promoting Afterpay's services ahead of the holiday shopping season.

How does Afterpay's in-store payment solution work?

Customers can make purchases in four interest-free installments using Afterpay's app, enabling immediate product access without upfront costs.

What is the significance of Afterpay's collaboration with Simon for SPG shareholders?

The collaboration could drive increased sales and foot traffic to SPG's retail properties, potentially boosting revenue.

How many customers use Afterpay in the U.S.?

More than 5 million customers in the U.S. use Afterpay at over 15,000 retailers.

What benefits does Afterpay's payment solution offer to retailers?

Afterpay's solution provides an additional sales channel without integration costs, enhancing customer experiences and sales opportunities.