What to Expect from BNPL in the Coming Years

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Let's look at the main trends that are expected on the market in the coming years.

Personalization
Today, payment terms are fairly standardized: the bulgaria whatsapp phone number client can split the payment into four equal parts. However, some clients want to pay faster: 50% now and 50%, say, in four days.

Others value paying off interest or having flexibility in the monthly payment amount to spread payments over 6 or 12 months. The future lies in personalized solutions that allow you to choose the term and amount of payments.

This includes, for example, the ability to select the number of payments or to split these payments over time. However, successful personalization will require a more precise segmentation of the audience based on economic and behavioral characteristics.

At the moment, the most progressive Russian players providing the service are: Yandex, T-Bank, Sber, Alfa-Bank. They will probably be the first to introduce personalization elements into their offerings.

In my opinion, Yandex is uniquely positioned in the BNPL market due to its ability to collect and analyze customer preference data through Yandex Analytics, as well as Yandex Pay’s integration into many services outside the ecosystem. This will allow the company to develop personalized offers that will improve the user’s shopping experience in two ways.

Firstly , Yandex will be able to personalize the shopping feed (the shopping feed and products that you see on the main Yandex Market). Moreover, for active users of Split, the company will be able to show exactly those products that are available for purchase through the service, thereby simplifying the customer experience and increasing conversion.

Secondly , Yandex will be able to use analytical data to adapt Split's financial terms. For example, if the system understands how customers spend money on Yandex platforms and sites where Yandex Pay is available, it will be able to offer more favorable terms for certain categories of goods.

This could include a reduced down payment on essential items, such as 10% instead of the standard 25% of the purchase amount for customers with a steady income and good credit history.

Russia's largest banks also have a huge reservoir of data that will allow them to personalise financial terms within their BNPL products in the future.