Fragmentation Gives Way to Consolidation Across Pay-Later Landscape, Says Splitit CEO | PYMNTS.com

Highlights The buy now, pay later (BNPL) ecosystem is experiencing significant evolution and fragmentation, attracting established players like Klarna and J.P. Morgan Chase alongside FinTech startups. This is changing how consumers access credit and how merchants approach payment options. Merchants are increasingly integrating pay-later options at the point of sale to drive consumer demand and facilitate purchases, with platforms like Shopify facilitating this integration. However, they also need to consider associated costs and the potential impact on their margins. The growth and increasing visibility of the BNPL sector are leading to greater regulatory scrutiny, as evidenced by filings with the Securities and Exchange Commission. This suggests a move toward more formal oversight of this evolving financial product. The pay-later ecosystem has evolved through the past few years, with a broad range of solution providers and available options. The idea of paying over time means differen...