The Buy Now, Pay Later (BNPL) market is growing at a rapid rate, with over 360 million users worldwide, projected to surge by 157% to 900 million by 2027.
It was valued at $80.77 billion in 2024, making BNPL the fifth most used payment method in e-commerce.
Let’s take a look at these latest user numbers, market valuations, demographic trends, and transactional shifts, highlighting their significant impact on consumer spending habits worldwide.
Top BNPL Statistics 2026
- BNPL has 360 million users today, expected to reach 900 million by 2027 (+157%).
- BNPL users are expected to grow by 157% to 900 million by 2027.
- The BNPL market growth is predicted to reach $80.77 billion.
- The U.S. BNPL market is expected to reach $9.2 billion by 2030.
- PayPal Credit is the #1 BNPL app, with 57% of consumers using it.
- BNPL e-commerce payments forecast to hit $565.8 billion by 2026.
- 18% of U.S. BNPL users miss payments.
BNPL Users
The number of BNPL users has increased rapidly worldwide and in the US over the past years. The predictions display that this number will increase further in the upcoming years.
However, the BNPL growth of users in the United States is forecasted to decline for the third successive year.
There Are Over 360 Million BNPL Users Worldwide
A study conducted in 2022 revealed that over 360 million people worldwide used the BNPL payment option.
Further, the Buy Now Pay Later users are expected to grow by 157% and reach 900 million global users by 2027.
Juniper Research states that the economic downturn will drive the growth of BNPL users worldwide. Low-cost credit solutions are expected to become more prevalent in the upcoming year as they are a more accessible alternative to credit cards.
Source: Juniper Research.
United States Is Expected To Cross 94 Million BNPL Users
The number of BNPL users in the US was 88.2 million back in 2023 and is forecasted to reach 94.4 million. This will be a 7.1% YoY growth in 2023.
These users are expected to purchase $81 billion worth of goods and services with BNPL this year.
In addition, by the end of 2026, the number of BNPL users in the United States will reach 105 million.
One of the major reasons for this increase is the flexibility offered by the BNPL option and the increasing awareness among people in the country.
The following table displays the number of BNPL users recorded in the United States over the years.
| Year | Number Of US BNPL Users | Percentage Change In Users |
|---|---|---|
| 2026* | 104.6 | 4.9% |
| 2025* | 99.7 | 5.6% |
| 2024* | 94.4 | 7.1% |
| 2023 | 88.2 | 11.7% |
| 2022 | 79 | 56.1% |
| 2021 | 50.6 | 102.3% |
Source: Insider Intelligence.
Buy Now Pay Later Market Size
BNPL market was valued at $6.13 billion in 2022 and is projected to grow at a CAGR of 26.1% from 2023 to 2030.
Global BNPL transactions are expected to hit $576 billion by 2026 (up from $120 billion in 2021), which is a 380% increase in 5 years.
As digital finance continues to evolve, there’s been a parallel surge in alternative payment options, including cryptocurrencies. Number of Cryptocurrencies has grown significantly in recent years, reflecting the increasing diversification of financial tools available to consumers. This growth highlights the shift toward decentralized and flexible payment ecosystems.
Let’s uncover the latest predictions and figures about the global and American BNPL market growth in this section.
BNPL Market Size Worldwide Is Predicted To Reach $80.77 Billion
In 2023, the BNPL market was worth $71.93 billion and is forecasted to reach $80.77 billion in 2024.
Besides, 5% of all online purchases were recorded through BNPL in 2022. These purchases are estimated to rise to 7% by 2026.
The following table provides details on the BNPL industry growth market size recorded over the years.
| Year | BNPL Market Size |
|---|---|
| 2023 | $71.93 billion |
| 2024* | $80.77 billion |
| 2025* | $97.25 billion |
| 2026* | $111.55 billion |
| 2027* | $124.82 billion |
Source: Oberlo.
US BNPL’s Market Size Is Predicted To Reach $9.20 Billion In 2030
The Buy Now Pay Later statistics in the United States indicate that it was valued at $1.64 billion in 2022 and is expected to grow at a CAGR of 24.3% between the forecast period of 2023 and 2030.
One of the major drivers of the BNPL market in the United States is the convenience consumers get. Other drivers of the market are changing consumer preferences.
Moreover, Millennials and Gen Zs prefer alternative payment options that align with their financial habits and preferences.
Source: Grand View Research.
BNPL Usage Stats
BNPL is widely used for online purchases worldwide and holds a 5% market share in e-commerce transactions. Furthermore, BNPL is the most preferred payment method for online shopping in Europe.
BNPL Is The 5th Most Used Method Of Payment On E-commerce Sites
According to the forecasts, BNPL is predicted to remain the 5th most used payment method on e-commerce sites in 2026 as well. However, its usage is anticipated to increase by 1% by then.
Here are further details about the market share of payment methods used for e-commerce transactions.
| Payment Method Used For eCommerce Transactions | Market Share In 2022 | Market Share In 2026 |
|---|---|---|
| Digital wallet | 49% | 54% |
| Credit card | 20% | 16% |
| Debit card | 12% | 10% |
| Account-to-account (A2A) | 9% | 10% |
| Buy now, pay later (BNPL) | 5% | 6% |
| Other – incl. cryptocurrency, prepaid, PostPay | 2% | 2% |
| Cash on delivery | 2% | 1% |
| PrePay | 1% | 1% |
Source: Statista.
BNPL Had The Usage Share Of 10% In The European E-commerce Market In 2022
This was the highest compared to other regions of the world. Conversely, the Buy Now Pay Later option is used least in Latin America.
BNPL usage is more dominant in regions with greater e-commerce penetration, inefficient banking systems, higher inflation, and looser financial and consumer protection regulations.
The following table displays the share of the Buy Now Pay Later payment option in the e-commerce transactions of different regions worldwide.
| Region | Market Share Of The BNPL Payment Method In E-commerce Transactions As Of 2022 |
|---|---|
| Europe | 10% |
| North America | 5% |
| Asia-Pacific | 4% |
| Middle East and Africa | 2% |
| Latin America | 1% |
Source: Statista.
BNPL Demographics
According to the figures obtained about BNPL demographics, the payment option is mostly preferred by Black women between 25 and 44 years old.
42% Of US Adults Aged 18 To 24 Use The Buy Now Pay Later Payments Option
Unsurprisingly, over 4 in 10 US adults between 18 and 24 use the BNPL option. Gen Zs are more updated about the alternative payment options available for purchases. They choose the payment options that better suit their finances and savings.
However, the highest usage of the BNPL payment option is observed among users aged 25 to 44 years. This group mainly comprises Millennials, who have major responsibilities and financial stress.
The following table displays details about the usage of the BNPL payment option among different age groups from 2020 to 2023.
| Age Group | Percentage Of People Using BNPL |
|---|---|
| 18 to 24 years | 42% |
| 25 to 34 years | 50% |
| 35 to 44 years | 50% |
| 45 to 54 years | 33% |
| 55 years and older | 19% |
Source: Statista.
29% Of Women Have Used BNPL Over The Last 12 Months
BNPL is most popular among women. 11% of Women reported using BNPL over 5 times for online shopping over the last 12 months.
Comparatively, 26% of the men have used BNPL over the last 12 months, and just 9% have used it more than 5 times.
Besides, 58% of the women use BNPL to purchase clothes and other fashion products online, while 58% of men have used it to purchase electronics and media products.
The following table provides details about the share of online shoppers who have used BNPL over the last 12 months.
| BNPL Usage | Percentage Of Female Users | Percentage Of Male Users |
|---|---|---|
| More than 5 times | 11% | 9% |
| 1 to 5 times | 18% | 17% |
| Not used but will use it this year | 28% | 26% |
| Not used and do not want to use it | 43% | 48% |
Source: ECDB.
Black Consumers Are 63% More Likely To Use BNPL Than White Consumers
Among different racial groups, Black and Hispanic consumers are more likely to use the Buy Now Pay Later option.
People with low incomes, lower credit scores, and unmet credit needs make up a significant share of all BNPL users.
The following table provides further details on the usage of BNPL by different ethnicities.
| Race/ Ethnicity | Percentage Of BNPL Users |
|---|---|
| White | 16% |
| Hispanic | 24% |
| Black | 26% |
General BNPL Statistics
This section highlights the general facts related to BNPL usage and adoption rates.
Paypal Credit Is The Most Popular BNPL App, With 57% Of Consumers Using It
Afterpay and Affirm follow PayPal credit, with nearly 30% of consumers preferring them.
Consumers have various options when talking about buy now, pay later services. They can choose from PayPal Credit, Afterpay, ZipPay, and more.
Users can now utilize the BNPL option for travel-related purchases, such as flights, cruises, and vacation packages, with the help of apps like Uplift.
The following table displays the popularity of BNPL apps.
| BNPL App | Percentage Of Consumers That Use It |
|---|---|
| PayPal Credit | 57% |
| Afterpay | 29% |
| Affirm | 28% |
| Klarna | 23% |
| Zip (Zip Pay) | 19% |
| QuadPay | 15% |
| Uplift | 13% |
| PerPay | 11% |
| Sezzle | 8% |
| Zebit | 6% |
| Splitit | 6% |
Source: C+R Research.
46% Of The People Used BNPL Due To The Convenience It Offers
BNPL offers instant approval with looser lending restrictions than credit cards. BNPL services typically only require a soft credit check, which does not impact the credit rating.
Additionally, the buy now, pay later option provides users with low or interest-free rates, making it more convenient for usage.
Here are the top reasons people prefer to use BNPL over other payment options:
- Convenience/ease of use: 46%
- Flexibility on budgeting: 44%
- Zero interest: 41%
- Flexibility on repayments: 40%
Source: Statista, GoCardless.
18% Of BNPL Users In The US Tend To Miss Payments
24% of US adults saw a decline in credit scores due to late BNPL payments. This figure was just 19% in April 2022.
However, the share of Buy Now, Pay Later users who fell behind by one or two payments has remained stable at around 18% over the past two years.
Debt is the major reason 1 in 5 people in the United States miss their BNPL payments.
Source: Statista.
Nearly 40% Of The Consumers In Australia Has Used BNPL Payment Option
Additionally, my research revealed that Australia has the highest BNPL usage rate globally, with 30.1% of internet users utilizing BNPL in 2023.
The popularity of BNPL varies greatly worldwide. However, Australia has been ahead in its usage over the past years. Even in 2021, 9 in 10 consumers were aware of BNPL in the country, while 2 in 5 have used it.
Other countries with significant BNPL adoption rates are China, Finland, Germany, the Netherlands, New Zealand, Norway, Singapore, the United Kingdom, and the United States.
Buy Now Pay Later Trends And Forecast Stats
Currently, clothing is the most popular BNPL purchase, followed by home decor (furniture and appliances) and electronic devices. The usage of BNPL for these purchases is forecasted to increase further. Hence, the global value of BNPL transactions is expected to surpass $500 billion in the coming years.
The Global Transaction Value Of BNPL In E-commerce Is Forecasted To Reach $565.8 Billion In Volume By 2026
The transaction volume of Buy Now Pay Later was $309.2 billion in 2023 and is predicted to reach $386 billion in 2024. This represents an approximate 77 billion increase in transaction volume compared to 2023.
Furthermore, 2023 saw a nearly 96 billion increase in the transaction volume of BNPL compared to the previous year.
The following table displays further details about the global transaction volume of BNPL in e-commerce over the years.
| Year | Transaction Volume Of BNPL In E-commerce |
|---|---|
| 2026* | $565.8 billion |
| 2025* | $481 billion |
| 2024* | $386 billion |
| 2023 | $309.2 billion |
| 2022 | $214 billion |
| 2021 | $120 billion |
| 2020 | $60 billion |
| 2019 | $34 billion |
Source: Statista.
46% Of Consumers Use BNPL For Purchasing Fashion Accessories Like Clothes, Shoes, And Jewelry
Almost half of consumers prefer the “Buy Now, Pay Later” option for purchasing fashion apparel.
This option enables consumers to purchase luxury goods, designer handbags, and other items that they may not usually afford. Hence, most women prefer buying clothes and fashion accessories using BNPL.
Meanwhile, one-third of the people use the BNPL option to purchase home decor, furniture, or appliances.
Just 1 in 10 people prefer BNPL for travel purchases, while 3 in 10 use it for purchasing technology devices.
Here are further details about the percentage of consumers who purchased different items with the help of BNPL.
| Goods Purchased With The Help Of BNPL | Percentage Of Consumers |
|---|---|
| Clothing, shoes, accessories | 46% |
| Home decor, furniture, or appliances | 34% |
| Technology devices | 27% |
| Beauty and hair products | 26% |
| Groceries | 21% |
| Events like concerts, sports games, and more | 18% |
| Sporting and fitness equipment | 16% |
| Toys | 13% |
| Dining out | 13% |
| Travel | 11% |
| Other | 5% |
Source: Lending Tree.
BNPL is one of the most convenient ways to shop online, as it enables users to purchase items and pay in installments at very low interest rates.
Hence, as a result, the number of BNPL users has already crossed 360 million and is expected to surpass 900 million within the next four years.
Conclusion: Global BNPL Users Expected To Grow From 360M To 900M By 2027.
BNPL has strengthened its position as a major force in digital payments, growing from 360 million users to an expected 900 million by 2027.
With the global market for BNPL projected to exceed $124 billion by 2027 and $9.2 billion by 2030 in the USA alone, its influence is undeniable.
PayPal Credit leads with 57% consumer usage, and despite 18% of U.S. users missing payments, BNPL’s strategic expansion, particularly in fashion (46% of purchases), ensures its continued disruption of traditional credit systems.
