Survey: Buy now, pay later growing in popularity with younger holiday shoppers
Nearly a third of shoppers are considering using buy now, pay later (BNPL) options this holiday season.
That’s according to data from Morning Consult and Afterpay's new holiday survey of 2,226 American adults, which found that 30% of respondents are considering using BNPL for their holiday shopping this year. Nearly a quarter (23%) said BNPL helps them stretch their holiday budget.
Of those who plan to use BNPL this year, 57% plan to lean into BNPL even more this upcoming season. Millennial parents and Gen Zers are more likely to consider BNPL essential for their holiday shopping, with 41% of Gen Zers being likely to consider BNPL this year and 42% of millennial parents emphasizing its importance to them.
[READ MORE: Survey: Consumers to start holiday shopping early, focus on promotional events]
"As holiday shopping trends continue to evolve, these findings offer valuable insights into consumer behavior, spending patterns, and the growing reliance on flexible payment options like BNPL,” said Afterpay. “Retailers and brands that adapt to these trends are likely to resonate with today’s early-shopping consumers.”
In addition to growing interest in BNPL, free shipping will also play a role in holiday shopping. Nearly half of all shoppers surveyed said they would try to only purchase from brands with free shipping to reduce the burden of shipping costs. Shoppers who plan to buy gifts online are most likely to make purchases via store/brand websites (69%), apps (60%), e-commerce platforms (47%) and social media (18%) this holiday season.
Additional findings from the Morning Consult/Afterpay survey include:
- Despite a majority of folks who want to finish their holiday shopping early, 34% of shoppers plan to focus their shopping efforts in late fall (November), while 15% admit they will be down to the wire, shopping in early to mid-December.
- The most popular gift categories are clothing, shoes and jewelry (60%), followed by toys (35%), electronics (34%), health and beauty products (33%) and video games (31%).
- About a quarter of shoppers plan to make travel-related purchases for holidays, with millennial parents leading the charge at 35%, followed by Gen Zers (33%) and millennials at large (30%).
