The report “KSA Buy Now Pay Later Market Outlook to 2027- Driven by digitalization, government support as a part of Saudi vision 2030 increasing Genz & millennials population due to influx of expatriates coupled with shifting preference towards easy interest free extra credit line sources” provides a comprehensive analysis of the potential of Buy Now Pay Later Industry in Saudi Arabia. The report also covers overview and genesis of the industry, market size in terms of revenue generated; market segmentation by types of services, by end users, by revenue division on the basis of Number of Transactions, on the basis of Number of Transactions, by Age Group of Consumers; growth enablers and drivers, challenges and bottlenecks, trends driving adoption of digital innovation; regulatory framework; end user analysis, industry analysis, competitive landscape including competition scenario, market shares of major players. The report concludes with future market projections of each product segmentation and analyst recommendations.
During the LEAP tech conference held recently in Riyadh, global payment solutions provider Checkout.com shared findings from a survey of Saudi consumers it conducted in partnership with YouGov, and shared key growth metrics, outlining the rapid expansion of Saudi Arabia’s e-commerce market, and rising eagerness from the public to use BNPL products.
Buy Now Pay Later Market Overview:
Buy now, pay later (BNPL) arrangements are becoming increasingly popular in Saudi Arabia, a trend that has been fuelled by the e-commerce boom and embraced by the country’s youth, tech-savvy population eager to adopt what they feel is a more convenient and transparent way to finance purchases. Digital Payments are gaining foothold in the KSA Market as mode of payment because more FinTechs are collaborating with merchants.During the LEAP tech conference held recently in Riyadh, global payment solutions provider Checkout.com shared findings from a survey of Saudi consumers it conducted in partnership with YouGov, and shared key growth metrics, outlining the rapid expansion of Saudi Arabia’s e-commerce market, and rising eagerness from the public to use BNPL products.
Market Segmentation:
- By mode of payment (Online and Offline): Buy Now Pay Later market can be segmented on the basis of mode of payment: online and offline. Covid-19 fueled the need for online mode of transaction due to adoption of cashless payments which led to the boom of the industry in the country
- By end user (Ecommerce Giants, Physical Retailers, Travel and Entertainment Merchants and Food Aggregators): Buy Now Pay Later market can be segmented on the basis of type of end user: Ecommerce Giants, Physical Retailers, Travel and Entertainment Merchants and Food Aggregators
- By age group (Below 24 years, 24-36 years, 36-50 years and Above 50 years): Buy Now Pay Later market can be segmented on the basis of age group: Below 24 years, 24-36 years, 36-50 years and Above 50 years. This is attributed to the increasing working age populationwhich is gradually shifting from credit cards to BNPL as mode of payments
Competitive Landscape in KSA BNPL Market:
The competitive rivalry is in the medium range as BNPL industry in KSA is just picking up. With major Startups emerging and trying to gain traction in this hugely attractive industry. Few of the major players include Tamara, Tabby, PostPay and Spotii. The market is also witnessing inception of global giants in the industry such as the recent acquisition of Spotii.Future Outlook and Projections of the Industry:
The KSA BNPL industry is estimated to expand at a CAGR of ~xx% in between 2022P and 2027E on the basis of number of transactions done. Increasing adoption of cashless society with emergence of digital payments fueled by surging working age class will derive the traction of BNPL industry among the users in KSA Increasing demand for extra credit line with less stringent KYC procedures without relying on CIBIL scores will be traction for consumers for utilization of BNPL services. Average order value of BNPL transactions is estimated to expand at a CAGR of xx% in between 2022P and 2027E. A gradual increase in the contribution of below 24 years of age group in market share will be observed in the coming future. This is attributed to increasing GenZ and millennials who will be readily adopting BNPL as the mode of their transactions. Online mode of payment will continue to dominate the BNPL industry in KSA due to Sharia compliant which promotes digital payments when compared to offline mode.Key Segments Covered in KSA BNPL Market
- Market Size of Buy Now Pay Later in KSA
- on the basis of Revenue, 2019-2022P
- on the basis of Number of Transactions, 2019-2022P
- on the basis of Average Order Value, 2019-2022P
Market Segmentation By mode of payment:
- Online
- Offline
Market Segmentation By end user:
- Ecommerce Giants
- Physical Retailers
- Travel and entertainment Merchants
- Food Merchants
Market Segmentation By age group:
- Below 24
- 24-36
- 36-50
- Above 50
Key Target Audience:
- Millennials
- Low income group
- Students
- Merchants
- FMCG goods buyer
- Developing nations
- Undeveloped countries
Time Period Captured in the Report:
- Historical Year: 2019-2022
- Base Year: 2022
- Forecast Period: 2023- 2027F
Companies Covered:
- Tabby
- Spotii
- Tamara
- Cashew
- PostPay
Key Topics Covered in the Report:
- BNPL Industry positioning
- Socio demographic Outlook of Saudi Arabia
- Economic Landscape and Expatriate Population of Saudi Arabia
- Overview of Global BNPL Industry
- Presence of Global BNPL Players
- Disruptors of Credit card Globally
- Case Studies of Leading Global BNPL Providers
- Trends of BPNL Industry
- Market size of BPNL
- BNPL transaction process
Key Features and developments in KSA BPNL
- Ecosystem of Major Entities in Buy Now Pay Later Industry in KSA
- SWOT Analysis of KSA BNPL
Issues and Challenges in KSA BNPL
- Investment Analysis of players in BNPL Space
- Role of Government and regulations in KSA BNPL
Porter’s Five force Analysis in KSA BPNL
- Market Size of Buy Now Pay Later in KSA on the basis of Revenue, Number of Transactions and Average Order Value, 2019-2022P
- Market Segmentation by mode of payment, by end user, and by age group
- Future Market Size of Buy Now Pay Later in KSA on the basis of Revenue
- Future Market Segmentation by Mode of Payments, by end user and by age group
- Future Market Size of BNPL in KSA
Industry Speaks
- Analyst Recommendations
- Research Methodolog
Additional benefits of purchasing an enterprise license:
- TAM/SAM/SOM Analysis
- Customer Cohort Analysis
- Marketing Initiatives
- White Space Opportunity Analysis
- Interactive Data Visualizations
- Customization: 20 Analyst Hours
- 3 Months Post Sales Analyst Support
- Complimentary Update Next Year
- Custom Webinars
Table of Contents
1. Executive Summary
2. Country Overview
3. Global Overview of Buy Now Pay Later Industry in KSA
4. Market Overview of Buy Now Pay Later Industry in KSA
5. Market Size of Buy Now Pay Later Industry in KSA
6. Market Segmentation of Buy Now Pay Later Industry in KSA
7. Industry Analysis
8. Demand Analysis
9. Competitive Analysis
10. Future Outlook and Projections of the Industry, till 2027
13. Research Methodology
Companies Mentioned (Partial List)
A selection of companies mentioned in this report includes, but is not limited to:
- PostPay