Saudi Arabia’s huge surge in recent times with respect to digital transactions, serving as one of the major factors leading to rise of digital credit lending such as that of BNPL in the country: Ken Research

Increasing number of BNPL Players and its customer base: In just one year, the Middle East region has witnessed an upsurge in the number of companies offering BNPL solutions. With so much action happening on the BNPL ground, its user base is making equally big strides. A major chunk of Saudi Arabian consumers has used BNPL payment methods such as Tamara in 2021 when compared to previous years, with more customers exploring the BNPL services.

Inception of digital economy: Saudi Arabia has witnessed a huge surge in recent times with respect to digital transactions, serving as one of the major factors leading to rise of digital credit. With e-commerce growing at 2.5 times faster than before the pandemic coupled with the fact that BNPL giants have witnessed immense adoption within retail and the wider community is a major growth driver for BNPL industry.

Credit recovery and overspending:  BNPL service issuers Horne a risk of not being able to recover loan amounts that consumers fail to pay on time. There is a huge risk of overspending anywhere from 10%-40% more on purchases, as these purchases are easier to make. That’s where BNPL might start to resemble credit cards.

Government regulations: BNPL approved in SAMA’s Regulatory Sandbox comes as part of SAMA’s endeavor to support e-commerce, increase the level of financial inclusion, in addition to promoting and diversify the financial services offered within the financial sector, Amid the growing adoption of BNPL products in Saudi Arabia, the Saudi Arabian central bank has made it mandatory for all (BNPL) firms to get a permit. Failing to get a permit from the central bank in Saudi Arabia will lead to legal actions.

Myriad of Merchant On boarding: BNPL players are currently in the process of on boarding a huge chunk of merchants in order to increase their presence in the region. Cashew Payments has recently partnered with health and wellness players as there is a huge chunk of Emirati youth ready to spend their money in this space. Key Target audience is between 24 to 35 and 35 to 45 but essentially the largest chunk is between 24 to 36. This is perhaps the reason why the industry is booming here because a lot of young people live to shop and shop to live so and of course the need for a credit check because essentially the credit card is not very easily granted.

Spike in Global investors: Since TAMARA’s launch in September 2020, there has been a radical change in the mind-set of global investors towards the region as compared to before.  Investors are now more and more open to investing in the region which has led to a spike in global investor interest from Venture Capital (VC) to Private Equity (PE) firms to investment banks.

The report KSA Buy Now Pay Later Market Outlook to 2027- Driven by digitalization, government support as a part of Saudi vision 2030 increasing Genz & millennials population due to influx of expatriates coupled with shifting preference towards easy interest free extra credit line sources by Ken Research provides a comprehensive analysis of the potential of Buy Now Pay Later Industry in Saudi Arabia. The report also covers overview and genesis of the industry, market size in terms of revenue generated; market segmentation by types of services, by end users, by revenue division on the basis of Number of Transactions, on the basis of Number of Transactions, by Age Group of Consumers; growth enablers and drivers, challenges and bottlenecks, trends driving adoption of digital innovation; regulatory framework; end user analysis, industry analysis, competitive landscape including competition scenario, market shares of major players. The report concludes with future market projections of each product segmentation and analyst recommendations.

ksa-buy-now-pay-later-market

Key Segments Covered in KSA BNPL Market:-

Market Size of Buy Now Pay Later in KSA

on the basis of Revenue, 2019-2022P

on the basis of Number of Transactions, 2019-2022P

on the basis of Average Order Value, 2019-2022P

Market Segmentation By mode of payment

Online

Offline

Market Segmentation By end user

Ecommerce Giants

Physical Retailers

Travel and entertainment Merchants

Food Merchants

Market Segmentation By age group:

Below 24

24-36

36-50

Above 50

Key Target Audience:-

Bankers and associations

Government associations

Corporates

Investment firms

Government Bodies & Regulating Authorities

Fintech companies

Venture capitalists

Request For Sample Report @ https://www.kenresearch.com/sample-report.php?Frmdetails=NTk2MDQ2

Time Period Captured in the Report:-

Historical Year: 2019-2021

Base Year: 2022

Forecast Period: 2023– 2027F

Companies Covered:-

Tabby

Spotii

Tamara

Cashew

PostPay

Key Topics Covered in the Report:-

BNPL Industry positioning

Socio demographic Outlook of Saudi Arabia

Economic Landscape and Expatriate Population of Saudi Arabia

Overview of Global BNPL Industry

Presence of Global BNPL Players

Disruptors of Credit card Globally

Case Studies of Leading Global BNPL Providers

Trends of BPNL Industry

Market size of BPNL

BNPL transaction process

Key Features and developments in KSA BPNL

Ecosystem of Major Entities in Buy Now Pay Later Industry in KSA

SWOT Analysis of KSA BNPL

Issues and Challenges in KSA BNPL

Investment Analysis of players in BNPL Space

Role of Government and regulations in KSA BNPL

Porter’s Five force Analysis in KSA BPNL

Market Size of Buy Now Pay Later in KSA on the basis of Revenue,  Number of Transactions and Average Order Value, 2019-2022P

Market Segmentation by mode of payment, by end user, and by age group

Future Market Size of Buy Now Pay Later in KSA on the basis of Revenue

Future Market Segmentation by Mode of Payments, by end user and by age group

Future Market Size of BNPL in KSA

Industry Speaks

Analyst Recommendations

Research Methodology

For more information on the research report, refer to below link:-

KSA Buy Now Pay Later Market

Related Reports:-

India Buy Now Pay Later Market Outlook to 2026: Cascading Growth driven by one-click payment ease, unmatched expediency among lending solutions and free of cost deferment of payments, coupled with rising adoption by Merchant Payments due to increase in Customer Conversion and Sales Value

UAE Buy Now Pay Later Industry Outlook to 2027: Driven by adoption of cashless society, increasing Genz & millennials population coupled with shifting preference towards easy interest free extra credit line sources

South Africa Buy Now Pay Later Market Outlook to 2027F– Driven by digitalization, government support, increasing working age population, with upsurge in Gen-Z & millennials population coupled with shifting preference towards easy interest free extra credit line sources

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