PROFIT

Say no to one-size-fits-all

1

“ BNPL has strong consumer and merchant appeal because it offers a friction-free , apparently affordable payment option ,” says Gauhman . “ To differentiate in a crowded market , retailers should look to develop a seamlessly embedded finance offer tailored to their specific brand values and the needs of their customers . For example , Hamburg Football Club ( HSV ) partnered with ComDirect Bank to offer fans a current account including credit and debit cards , a ‘ payment ’ bracelet and various promotions and discounts such as TV subscriptions to watch games .”

Deploy brand equity to simplify

2 customers ’ financial needs “ Its current problems aside , Klarna has developed an aspirational brand out of payment which is a dull but necessary task ,” says Hatami . “ Retailers can reverseengineer this approach . Imagine banking with Zara or Dior , not just buying products from them .”

“ Understanding your customers ' financial needs in the context of your brand is key ,” adds Gauhman . “ As part of their experience of your brand , do customers need to insure , borrow , save or pay ? Could your brand help streamline these tasks ?”

Outside retail , brands are already adopting this approach : Mercedes for example has a “ Fuel & Pay ” payment platform that enables drivers to buy and pay for fuel via a Mercedes app or through their vehicle ’ s infotainment system . In addition , most US airlines offer forms of BNPL and in the EU Lufthansa and TAP are already doing so . “ These brands simplify things for the customer , allowing them to enjoy what the brand allows them to do – be it to drive or fly ,” says Hatami .

Alessandro Hatami Pacemakers

90 July 2022