Razer Fintech, the fintech arm of Razer, announced today (Dec 17) its partnership with Singapore startup Rely to offer buy now pay later (BNPL) services to regional merchants registered under its Razer Merchant Services (RMS).
Through this partnership, RMS’ merchants will now be able to provide interest-free BNPL services for its customers.
This means customers can get items that they want instantly, without having to pay the full cost upfront.
With zero interest, it helps to increase the customers’ likelihood of going through with a purchase as they don’t have to bear any extra costs.
RMS encompasses powering online payments as a card processing gateway supporting global scheme cards and over 110 payment methods for global blue-chip merchants.
According to Razer, it is also the region’s largest offline payment network of over 1 million physical acceptance points.
“We are excited to have partnered Rely, a fast-growing fintech that already works with blue chip merchants such as Qoo10 to extend their innovative BNPL solution to our extensive network of merchants across Southeast Asia,” said Lee Li Meng, CEO, Razer Fintech.
“Providing this timely access to Rely’s BNPL solution adds to our fintech offerings and further expands our digital payments ecosystem for our customers. This collaboration is also aligned to our longstanding commitment to continue using our know-how in fintech to build new and innovative ways to meet the needs of a burgeoning and digital-savvy youth and millennial segment in Southeast Asia.”
Buy Now, Pay Later Picking Up In Singapore
BNPL solutions are transforming the financial sector in Southeast Asia, which is home to millions of young, tech-savvy consumers.
While it can be argued whether BNPL plans are risky or cause people to spend more, what can’t be denied is the newfound popularity and convenience of this payment choice.
As consumer preference has shifted toward using debit over credit, the BNPL trend is definitely picking up in Singapore.
Besides Rely, there are already a few BNPL players in Singapore including hoolah and Atome.
Even ride-hailing Grab has recently jumped on the bandwagon, with the introduction of two new credit services targeted at helping customers buy now, and pay later in March.
This comprises of a postpaid service that lets users pay for their Grab services at the end of the month, and an instalment product that will let customers spread their payments across a few months when they buy from Grab’s merchants.
According to a survey conducted by Finder in October 2020, almost 1.1 million Singaporeans have used a BNPL service.
“We are thrilled to partner Razer Fintech to accelerate the adoption of Rely’s BNPL service across its extensive network of merchants including international brands in Southeast Asia. Rely has been growing rapidly especially among Millennial and Gen Z consumers,” said Hizam Ismail, CEO of Rely.
“Through this partnership, millions of young and tech savvy shoppers benefit by getting access to flexible interest-free payment options at their fingertips. We look forward to further expanding our services to more merchants and consumers both in Singapore and the region.”
This partnership follows Rely’s recent funding from Goldbell Financial Services to process up to S$100 million in its ‘buy now, pay later’ transactions.
Rely also announced that it’s planning to expand its services in Singapore, Malaysia and South Korea.
Featured Image Credit: Vulcan Post