Buy now, pay later (BNPL) continues to prove its popularity across the globe, despite the risks associated with the technology. While its hype has died down, usage continues to quietly rise. This is especially the case in the Philippines, as UnaCash, the digital financial solutions provider, reveals a 40 per cent increase in unique BNPL users between 2023 and 2024.
The UnaCash findings revealed that there were 20.3 million unique BNPL users in 2023, while by the end of 2024, there were 28.4 million. The Philippines (30.36 per cent) was the country that saw the largest amount of BNPL usage when making digital commerce in Southeast Asia (SEA), except for Singapore (32.30 per cent). Other countries which saw considerable usage include:
- Indonesia (23.51 per cent)
- Malaysia (22.09 per cent)
- Vietnam (19.74 per cent)
In terms of BNPL penetration, UnaCash found that Singapore ranked first (31.36 per cent, 1.9 million users out of a 6.05 million total population). Malaysia ranked third (22.09 per cent, 8.15 million users out of a 34.67 million total population), followed by Thailand (18.72 per cent, 13.46 million users out of a 71.89 million total population) and Indonesia (17.89 per cent, 50.30 million users out of a 279.80 million total population).
“Filipinos are clearly embracing the flexibility and convenience that buy now, pay later services offer, and businesses are embracing this critical strategy to enhance customer accessibility and satisfaction,” explained Erwin Ocampo, head of product for UnaCash.
“Flexible payment options are becoming the norm, a main selling point especially among Gen Zs and Millennials. Embracing partnerships with financial services players is a way for businesses to meet the shifting demands of consumers and position themselves for long-term success in the competitive marketplace.”
Important role of BNPL: only the beginning
These data sets clearly illustrate the overall use of BNPL as a flexible payment option along with its significant role in expanding the digital marketplace. Internal behavioural data from UnaCash also revealed that consumers primarily focus on purchasing gadgets and electronics, particularly through mobile devices. As technology continues to evolve rapidly, the demand for these products remains high, contributing to the growth for BNPL.
Looking ahead, UnaCash anticipates an increase of BNPL usage in the Philippines by 28.39 per cent among the total population at the end of 2025. Its growth is also particularly notable among BNPL users on digital commerce platforms, where there is an expected usage increase of 34.24 per cent.
