A new service known as ‘buy now, pay later’ will be launched by Marks & Spencer on its official site starting next month. This move has been initiated as an effort to grab the attention of younger customers as well as boost trade during the Christmas period.
The fashion retailer has collaborated with Clearpay in order to provide its customers the choice of making payments for their orders above £30 as instalments free-of-interest.
The Australian company and its rival Klarna both are among the fintech firms being hit by millennials who are on a tight budget. Several rivals of M&S rivals, including Asos and H&M, already provide pay later services in an attempt to attract younger shoppers, including families comprising of young kids.
M&S said in a statement that its customers were searching for means to spread cost, specifically for larger purchases. Now, with the Clearpay service, the customers will be able to spread their total cost over 4 instalments which can be paid back in 6 weeks. The maximum amount spend is £800, which doesn’t need any credit application. In fact, the customers can handle their payments via one mobile phone app.
Notably, Clearpay, which was launched recently in the United Kingdom, says that it had garnered over 200,000 customers in its initial days of trading.