Clearpay Scores Big with Small and Medium Retail Partners on Clearpay Day
Clearpay analysed the shopping trends from its bi-annual Clearpay Day sale event that ran from 29 April to 1 May to understand consumer behaviours. While there were strong results for all merchants, customers showed their support for small and medium businesses (SMBs).
During the event these retailers saw:
- A 32% uplift in sales;
- A 33% uplift in new customers.
Clearpay Day drives results for beauty focused SMBs
The data revealed that consumers were particularly shopping small for their beauty and wellness products this season, as they embrace wellbeing, self care and the popular “clean girl” beauty trend by investing in skincare.
- 33% of beauty purchases were made at SMBs;
- Beauty focused SMBs benefited from a 46% increase in new active customers.
Older generations enjoy the Clearpay Day deals
Analysis of Clearpay Day customers demonstrated that BNPL is increasingly becoming the payment choice for all generations, and not just the young:
- The majority of transactions (50%) were undertaken by Millennials;
- But Baby Boomer and Gen X generations saw the biggest growth in use of Clearpay, at 54% and 45% respectively.
Rich Bayer, UK Country Manager at Clearpay, said: “Clearpay Day is a proven sales event that produces a great boost to the bottom line for many of our merchants, both small and large. The vast majority (96%) of transactions were made by debit card, indicating that shoppers spent their own money when making purchases, and used Clearpay as a budgeting tool to pay in instalments, rather than risk falling into revolving debt by using credit cards.”
Millennials were the first adopters of BNPL, and while they still account for the majority of purchases, other generations are catching up. Older generations account for 33% of spending on Clearpay, but it is the fastest growing cohort, with spending increasing by 850% since January 2020. According to an Accenture report, Clearpay also saved consumers up to £28 million in credit card fees and interest in 2021.
With Clearpay shoppers can spread costs across four instalments with no interest and no risk of falling into a revolving debt trap. Today, three million UK customers use Clearpay at more than 9,500 retailers after just three years since launching in the market.