Splitit Payments Limited (ASX:SPT) has announced the global launch of Splitit InStore.
Splitit InStore enables shoppers to pay in instalments using Splitit for in-person and phone purchases from participating merchants.
The new product will provide an instalment payment option to shoppers, initiated by the retail sales associate, when making larger value purchases, such as home furnishings, jewellery, luxury retail and sporting goods.
Splitit InStore will also enable shoppers to use ApplePay and GooglePay accounts via Splitit, using pay-by-link with a Splitit QR code, text message or email, when buying from participating merchants.
The new product was developed to meet growing merchant demand, as evidenced by the recent signing of multiple new notable merchants to launch Splitit InStore. The new merchants are estimated to add over US$1 billion in combined addressable sales volume.
They include La-Z-Boy Furniture Galleries, Gem Shopping Network, PROCAM, Fabergé, KEF and Aftershock PC Australia.
CEO, Brad Paterson, said Splitit InStore is expected to launch commercially in August 2021 for new and existing Splitit merchants to opt-in.
The recent shift to online has increased shopper expectations of flexible payment options at checkout. As we see a return to in-store spending in many countries, the number one request of our customers has been to provide an omnichannel experience,” Mr Paterson said.
“Splitit InStore was developed with our target shopper in mind, empowering our merchant customers to initiate a seamless instalment payment offering that allows shoppers to pay in a frictionless way. The addition of Apple Pay and Google Pay adds to this by creating an even simpler payment experience.
According to Mr Paterson, US ecommerce sales increased 39% YoY in 2021 Q13 , accounting for 13.6% of all retail sales . However, despite the continued trend towards ecommerce sales, the in-store market size in the US alone in 2021 is predicted to be US$450 billion and global in-store sales are expected to reach US$21.4 trillion in 2024 accounting for 77% of overall sales.
“As such, Splitit’s in-store strategy has the potential to expand Splitit’s addressable market significantly with the initial focus on select industries with a higher average order value and assisted sales initiated by a sales associate,” Mr Paterson said.
David Hilst, owner of five La-Z-Boy Furniture Galleries stores in Illinois and Indiana, says online shopping has transformed the way we shop for furniture.
“But consumers still want to see, feel and experience our furniture firsthand,” he said.
“Splitit delivers a seamless in-store experience. We can meet the shopper in the store and offer an instalment option instantly — it’s the best online experience in an offline environment. You don’t get this with other financing options.”