Pay Later, a micro-credit offering of Flipkart, has garnered a lot of attention from buyers. The e-commerce giant is planning to expand its credit offering, targeting a 2X growth over the next six months.
Flipkart Pay Later offers credit solutions to buyers on the e-commerce platform. It is a 30-day credit product that does not have an interest fee. The company claims that it offers bank-grade security without an OTP for most transactions. Additionally, it has end-to-end digital KYC, a checkout process for items priced up to Rs 10,000, and a single-click payment mechanism that makes purchasing a low-cost item easy.
At present, there are over 2.8 million customers who have adopted Flipkart Pay Later and have made over 42 million transactions on the platform to date. Owing to the growing reliance on digital payment, Flipkart Pay Later has seen a 70 percent adoption rate among customers at the time of check-out and plans to cross the 100 million transaction benchmark by the end of the year.
Ranjith Boyanapalli, Head, Fintech and Payments Group, Flipkart, said, “As a homegrown platform, enabling accessibility and affordability for customers is at the heart of all our offerings. The success of Flipkart Pay Later so far has shown the benefits that the construct is able to provide to millions of customers and made us confident of its market-readiness for much wider adoption, both on and outside Flipkart Group's platforms.”
“By expanding the offering, we want to enable the customers across the country to fulfill their shopping needs in a seamless and hassle-free manner,” he added.
Further, Flipkart Pay Later has seen an increase of over 50 percent in the number of registered users as of July 21 in comparison to the previous year. Customers have used the offering mainly for purchases across categories of beauty and general merchandise, home, and lifestyle.