BLOG: The changing face of credit: How BNPL usage across Generation X is accelerating

Buy Now Pay Later (BNPL) is the payment industry’s hottest trend - and a payment method that retailers can’t afford to ignore. It’s an exciting opportunity for merchants, and a way for customers to leverage enhanced buying power.

The innovative finance option is on course to generate over $100bn in sales in the U.S alone in 2021, while the industry as a whole has experienced stratospheric growth, with its total user base hiking 85% in less than a year and a half.

Unlike the old style of ‘revolving credit’, BNPL makes consumer lending instantly available at ecommerce checkouts through easily-integrated plug-ins, allowing brands to offer an ever-increasing variety of payment options to suit the circumstances of any customer.

The solution provides a much-desired service for the modern consumer, for which convenience and flexibility are critical factors - perhaps even more so than price – as shoppers seek to manage their finances more closely than ever. BNPL isn’t about getting consumers spending when they don’t need to; it helps them to get the products they want with a payment plan that best suits their financial circumstances.

It’s often thought that the spike in BNPL usage is being driven by younger consumers, leveraging the finance option for fast fashion-type purchases. But the reality is that BNPL is becoming a payment solution favoured by all age groups. BNPL is used by over 30% of Generation X shoppers, and nearly 20% of baby boomers.

This shift in the demographic of BNPL shoppers is offering new opportunities to retailers across sectors such as home improvement, which typically have much higher average order values. From high-income professionals to rising metropolitans, these new demographics are looking for BNPL solutions in high-value markets, something that DivideBuy is uniquely placed to offer with longer lending terms of two to 12 months.

Quick Installation for Immediate Benefits

Many BNPL solutions offer a fast application process, and an immediate credit decision, which means that customers can start buying the items they want, and easily spread the cost of their purchases with no hidden charges. DivideBuy’s solution considers the applicant’s current circumstances, not just their credit history, helping retailers to accept a wider range of customers.

It’s also easier than ever to implement BNPL at the checkout, and alongside top shopping carts like WooCommerce, Magento and Shopify. Retailers can easily integrate DivideBuy’s customisable API plug-in solution into their systems, or we can install it on their behalf.

Once set up, DivideBuy’s BNPL solution can increase average basket values by more than a third, and boost sales conversions by up to 70% typically. By offering immediately available interest free credit at checkout, retailers also typically see an increase in repeat purchases rates and greater customer satisfaction when they give consumers the option to spread the cost in this way.

Additionally, DivideBuy’s system also offers merchants a high level of customisation that allows retailers to implement BNPL solutions strategically to empower their businesses. Merchants can set up DivideBuy’s solution on the specific product lines or bundles that will benefit the most, ensuring that BNPL adds the most value possible to their brand.

As we act as the lender, DivideBuy is entirely independent and non-reliant on brokers or other lenders, meaning that we accept the fraud and credit risk, so that our retailers can continue to operate as normal and get paid on delivery. This unique approach empowers retailers to boost acceptance rates, because we can make more accurate assessments of a customer’s credit worthiness.

DivideBuy generates a multitude of benefits for businesses, making it the perfect solution for the modern brand looking to take the next step on their path to growth.

Want to know how DivideBuy can help retailers attract more customers? Contact us at

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