Alternative payments inch closer to e-commerce domination in New Zealand

The growth of BNPL has pushed up adoption of alternative payments.

Alternative payment solutions such as PayPal, Apple Pay, and Google Pay now collectively account for 39.5% of e-commerce spending in New Zealand, according to GlobalData. 

The growth of buy now pay later or BNPL services was named as one of the factor driving growth in alternative payments in the country. 

“BNPL services are increasingly being used by online shoppers, as they offer a viable short term financing option enabling consumers to split high-ticket purchases into manageable instalments. Afterpay is the leading brand in this space, while other prominent brands include Laybuy, ZipMoney and Klarna,” the data and analytics company said in its latest financial services consumer survey.

In total, payment cards together account for 43.8% of the total e-commerce spending in New Zealand. This can be attributed to the discounts, cashback, and promotional offers associated with these cards, said GlobalData.