Australian buy now, pay later giant AfterPay has entered a transformational partnership that will give merchants using Stripe code the opportunity to offer customers the option of installment-based purchases.
Ten years since launching, Stripe’s infrastructure powers hundreds of billions of euros of payments for businesses in over 140 countries and territories around the world.
The collaboration with AfterPay will enable Stripe merchants tp introduce a four month installment payment plan for consumer purchases at the checkout.
The two companies are also teaming up with website-building platform Squarespace to offer the combined integration of Stripe and Afterpay to their ecommerce customers in Australia, New Zealand, and the US.
Noah Peper, Stripe's business lead for Apac, says: "We’ve seen strong demand from users around the world for flexible payment options, and this partnership gives businesses on Stripe an effective tool for capturing more sales and reaching new customers."
AfterPay is on of Australia's hottest stocks, tearing along on the back of a boom in e-ecommerce sales. The company reported sales growth of 115% to $4.1 billion in its first quarter filing in October 2020.
Stripe merchants in Australia, New Zealand and the US can now integrate Afterpay, and the service will be made available to merchants in the UK and Canada soon.
Elsewhere in the red hot BNPL space, Swedish firm Klarna is expected to announce a monster funding round of $1 billion in the coming days, tripling its valuation to $31 billion. Existing investors are part of the round which comes ahead of a potential direct public listing in 2022.