Success Crafted

Splitit: The Flexible Buy Now Pay Later Solution You Need

Are you looking for a flexible and convenient way to pay for your purchases? Splitit may be the perfect solution for you.

Splitit is a buy now pay later platform that allows customers to split the cost of their purchases into interest-free instalments using their credit or debit cards. In this article, we’ll explore what Splitit is, its payment options, merchant partners, and company history.

What is Splitit? Splitit is a buy now pay later (BNPL) solution that enables customers to pay for their purchases in instalments.

Unlike traditional BNPL platforms that require customers to apply for a new credit line, Splitit allows customers to use their existing credit or debit card accounts to make purchases. This means that customers do not have to go through a credit check or pay any interest or fees.

Instead, Splitit simply splits the cost of the purchase into smaller, interest-free payments. Splitit’s Payment Options:

Splitit’s payment options are easy to use and offer unprecedented flexibility and convenience to customers.

Customers can use their credit or debit card accounts to make purchases and split the payment into several instalments. The number of instalments can vary depending on the merchant’s policy, but generally, the payment is split into two to twelve instalments.

One of the advantages of Splitit’s payment system is that it does not affect the customer’s credit score. This is because Splitit does not report the payments to credit bureaus.

Moreover, Splitit does not charge any interest or fees, which means that customers can enjoy the convenience of instalments without any additional cost. Splitit’s Merchant Partners:

Splitit has partnered with various merchants to provide BNPL solutions to their customers.

Splitit’s payment gateway is easy to integrate into online and physical stores, making it accessible to a wider range of merchants. This means that customers have the flexibility to choose from a wide range of merchants when making their purchases.

Some of Splitit’s merchant partners include Samsung, Adidas, Dyson, and Shopify. Splitit is also integrated into various e-commerce platforms, such as Magento, WooCommerce, and BigCommerce.

Company History:

Splitit was founded in 2012 by Alon Feit and Gil Don. The founders were inspired by their experience in the credit transactions industry and wanted to offer a new and innovative BNPL solution to customers.

Splitit was initially launched under the name PayItSimple in Israel and gained considerable traction. In 2016, Splitit expanded its operations to the United States and the United Kingdom.

In 2019, Splitit rebranded its platform and launched a new website to improve the user experience for customers and merchants. Splitit has seen significant growth in recent years, thanks to its innovative payment system and its ability to partner with various merchants.

Splitit has received funding from various investors, including Australian venture capital firm, Ascot Capital, and has gone public on the Australian Stock Exchange. Conclusion:

Splitit provides a convenient and flexible BNPL solution that offers customers the ability to spread the cost of their purchases over instalments.

With its innovative payment system and merchant partnerships, Splitit is quickly becoming a popular choice for customers and merchants alike. Whether you’re shopping online or in-store, Splitit offers a hassle-free payment option that is easy to use and does not affect your credit score.

How Does Splitit Make Money? Splitit is a buy now pay later (BNPL) platform that allows customers to pay for their purchases in instalments.

While Splitit does not charge any interest or late fees, it still makes money through a fee structure that is based on fixed and variable fees. Fees and Fee Structure:

Splitit charges fixed and variable fees to merchants for the use of its BNPL platform.

The fixed fee is a set amount that merchants pay for each transaction, while the variable fee is a percentage of the transaction value. The variable fee differs by country but can range from 3% to 7% of the transaction value.

Splitit also charges fees for payment transfers, which are payments made to merchants for their transactions. These fees vary by country and can be as low as $2.50 or as high as $10.

Payment transfers can take up to 30 days, which means that merchants may have to wait a while before they receive payment for their transactions. No Late Payment Fees, Use of Credit and Debit Cards:

Unlike other BNPL platforms, Splitit does not charge any late payment fees to customers.

This means that customers have more flexibility and are not penalized if they are unable to make their payments on time. Splitit also allows customers to use their available credit on their credit or debit cards to pay for their purchases.

This patented technology makes it easy for customers to use their existing credit and debit cards without having to worry about applying for new credit or facing penalties for late payments. Benefits for Merchants:

Splitit’s BNPL platform offers several benefits for merchants.

One of the advantages of Splitit is that it can help to increase order value and conversion rates. This is because customers are more likely to make purchases if they can spread the cost over instalments.

Splitit also offers white-label solutions for merchants, which means that merchants can customize the platform to fit their branding and user experience needs. This allows merchants to offer a BNPL solution that is unique to their brand.

Additionally, Splitit offers B2B transactions, which means that merchants can use the platform to make purchases from other merchants. This can help to streamline the purchasing process and make it easier for merchants to transact with each other.

Splitit Funding, Revenue & Valuation:

Splitit has received several rounds of funding to support its growth and development. In 2019, Splitit raised $30 million in debt financing from Silicon Valley Bank, while in 2020, it raised $71.5 million in equity financing from various investors, including Invesco, S Capital, and Australian venture capital firm, Ellerston Capital.

The company’s valuation has also grown significantly since its inception. In 2018, Splitit was valued at $210 million, while in 2020, it was valued at $248 million.

This growth in business value is attributed to Splitit’s ability to meet the needs of its customers and merchants. Splitit’s revenue has also grown in recent years.

In fiscal year 2020, Splitit reported $7.9 million in revenue, a 203% increase from the previous fiscal year. This growth in revenue is a testament to the success of Splitit’s business model and the increasing popularity of BNPL solutions.

Overall, Splitit’s fee structure, merchant benefits, funding, revenue growth, and valuation are all factors that contribute to its success as a BNPL platform. With its innovative payment system and merchant partnerships, Splitit is well-positioned to continue growing and expanding its reach.

In conclusion, Splitit is a buy now pay later platform that offers customers a flexible and convenient way to pay for their purchases in instalments. Splitit charges both fixed and variable fees to merchants, but does not charge any interest or late fees to customers.

The patented technology used by Splitit allows customers to pay with their existing credit and debit cards, without the need to apply for new credit. Additionally, Splitit offers several benefits to merchants, such as increased order value, conversion rates, and B2B transactions.

The company has seen significant growth in funding, revenue, and valuation, making it a popular choice for merchants and customers alike. The importance of Splitit lies in its innovative payment system, which provides an alternative payment option that is both accessible and user-friendly.

As more customers turn to BNPL solutions, the continued growth of Splitit reflects the importance of offering flexible and convenient payment options to consumers.

Popular Posts