The rising cost of groceries is pushing more consumers to use Buy Now Pay Later (BNPL) services for necessities such as groceries, according to new data from Adobe Analytics.
In January and February, BNPL's share of online purchases jumped 10 percent year-over-year, while revenue fell by 19 percent. This suggests more consumers are using the services for smaller purchases. In the meantime, groceries share of BNPL purchases skyrocketed 40 percent.
That compares to a 8 percent increase for apparel and a 14 percent drop for electronics.
“The rise of Buy Now Pay Later usage for groceries tells us that consumers are likely making bigger purchases online to take advantage of special promotions and stock up on staples, thus managing living expenses in more flexible ways,” said Vivek Pandya, lead analyst at Adobe Digital Insights.
Overall, ecommerce demand is holding up despite economic uncertainty. In 2022, consumers spent $86.8 billion on groceries on ecommerce platforms, up 10.8 percent year-over-year.
“E-commerce demand has remained resilient in an uncertain economic environment, driven in part by lasting pandemic habits where consumers had no choice but to leverage online food and home furnishing shopping services,” Pandya said.
Houseplant Founders Seth Rogen and Mikey Mohr joined anchor Dave Briggs to discuss the changing culture around Cannabis and their smoke-ware brand Houseplant.
Julie Bowen joins anchor Dave Briggs to discuss the What's App ad with a few Modern Family reunions, her most recent spooky role, Xiidra, and Happy Gilmore 2.
Welcome to the new age, where Big Tech runs AI on tiny nuclear plants! Plus, banks make bank, the best kind of cancel culture and the wealth gap explained.
CEO of Century 21 Real Estate, Mike Miedler, joins Cheddar to discuss the future of real estate in states that were affected by Hurricanes Helene & Milton.
