Buy Now Pay Later (BNPL)
Buy Now Pay Later (BNPL) is a payment model in which buyers only pay the purchase amount after receiving the goods — in a single sum or in instalments. Well-known providers are Klarna, TWINT Pay later and PayPal Pay Later.
Buy Now Pay Later (BNPL)
Buy Now Pay Later (BNPL) is a payment model where buyers pay the purchase amount after receiving the goods or service — either as a total amount after 14–30 days (Pay Later) or in several instalments (Pay in Installments). BNPL providers typically handle the credit checks, the default risk and the settlement with the buyer.
For merchants, BNPL has three advantages: higher conversion (customers are more likely to order if they do not have to pay immediately), higher shopping cart value (instalment payment lowers the barrier to entry) and risk minimisation (the BNPL provider bears the default risk). However, the costs are higher than for immediate payment methods.
In Switzerland, the main BNPL options are: Klarna (CH, DE, AT, FR, IT — international), TWINT Pay later (Switzerland only) and the classic purchase on account managed independently (without External providers). The Swiss BNPL market is growing strongly and is estimated to exceed EUR 2.5 billion in 2026.
BNPL Examples
A customer selects Klarna in the checkout and pays for the order after 30 days — the Comerciante is paid out immediately by Klarna.
A buyer uses TWINT Pay later: she confirms the purchase in the TWINT app and settles the amount within 30 days.
An online shop offers Klarna instalment payments: EUR 300 in 3 monthly instalments of EUR 100 each — interest-free for the buyer, the Comerciante bears the costs.
BNPL FAQ
What is Buy Now Pay Later (BNPL)?
BNPL is a payment model in which buyers only pay after receiving the goods — in a single sum or in instalments. The BNPL provider assumes the credit check and default risk.
Which BNPL providers are there in Switzerland?
The most important BNPL providers in Switzerland are Klarna (international), TWINT Pay later (CH only), Cembra (purchase on invoice) and the classic purchase on invoice managed in-house.
How much does BNPL cost for comerciante?
BNPL is more expensive than instant payment methods: Klarna costs 1.60–2.40% + EUR 0.20–0.30, TWINT Pay later 2.30% + EUR 0.18–0.30. In return, the provider assumes the default risk.
Does BNPL increase the conversion rate?
Yes, studies show that BNPL can increase conversion by 20–30%, especially with higher shopping cart values. Customers are more likely to order when they do not have to pay immediately.
