LendTech Finance Pioneer DivideBuy Achieves £250 Million Lifetime Sales Milestone
- Disruptive UK LendTech innovator follows an impressive 2021 with the latest lifetime sales milestone achievement
- Success attributed to DivideBuy’s unique business model of being both tech solution provider and credit provider, a shift in consumer attitudes, and the acquisition of several merchant partners throughout 2021 and 2022
- DivideBuy targeting further growth and new product launches under its new commercial senior leadership team, led by payment industry veteran Teresa Byrne
Newcastle-under-Lyme, 18 October 2022 – DivideBuy, the leading UK Point of Sale (POS) finance pioneer, has today announced that it has reached a milestone £250 million in lifetime sales, in what has been yet another extraordinary year of success for the Newcastle-under-Lyme LendTech innovator.
With its unique business model of being both the tech solution provider and credit lender, with its own FCA licence, agile SaaS tech stack and finance book, DivideBuy has helped merchants to offer a wider range of customers interest free credit with no hidden fees, driven by the company’s ethos of responsible lending. To date, DivideBuy has more than 500 merchant partnerships, including many outside of traditional retail segments, demonstrating the appeal of flexible, fair finance methods to a growing number of customers.
Following its announcement of a £300 million funding agreement with global investment management firm Davidson Kempner Capital Management LP in 2021 to expand its agile SaaS checkout finance platform, DivideBuy has seen its success continue throughout 2022 with the appointment of a new commercial senior leadership team, headed up by payment industry veteran Teresa Byrne as Chief Commercial Officer, as well as winning the ‘Best POS Solution’ category at the Cards & Payments Awards 2022.
Interest free POS finance is the fastest-growing payment method in the world today, accounting for 2.9% of global eCommerce transaction value in 2021 and projected to account for a 5.3% share of the market by 2025. As an easy and convenient payment option in comparison to credit cards that charge interest and higher fees, it is also a hit with the millennial generation, and consumers in higher income brackets who want more choice and flexibility in how they pay – a crucial factor as rising living costs place pressure on household budgets.
With shifting attitudes broadening the appeal of POS finance to consumers across all income brackets, DivideBuy attributes its strong sales growth in a fiercely competitive market to its ability to expand consumer bases for merchants across several sectors.
Teresa Byrne, Chief Commercial Officer at DivideBuy, comments: “Consumers are increasingly favouring the flexibility of POS finance to spread the cost of purchases. It’s now one the world’s fastest-growing payment methods – a trend that we’ve seen many brands leverage to increase sales and better service their customers at a time when the market is booming.
“As both the technology platform provider and lender, we can remain in control of each part of the lending process, making our interest free lending work in the interest of both the consumer and the merchant. Unique to DivideBuy, merchants can register, approve and onboard customers in a matter of seconds through soft credit checks that don’t leave a mark on the customers’ credit score. Being powered by an innovative LendTech like DivideBuy gives both merchants and consumers an added security over each sale. We want to become the perfect credit partner for consumers and merchants, offering the nation’s shoppers ethical, transparent and truly flexible finance.”
DivideBuy, which offers a fast 60-second application process and an immediate decision so that customers can spread the cost of their purchases with no hidden charges, provides merchants with an eCommerce credit plugin that also integrates with shopping cart functionalities such as Shopify, Magento, WooCommerce and Craft Commerce.
DivideBuy offers merchants the ability to extend more payment convenience and flexibility to their customers, while merchants also benefit from faster customer approval and onboarding, as well as data insights that can be used to influence targeted offers and loyalty incentives.
By introducing POS finance at checkouts, either online or in-store, merchants across sectors have been able to boost revenues, with DivideBuy’s SaaS platform enabling merchants to achieve:
- 70% increase in sales conversions;
- 43% increase in ‘big ticket’ item sales;
- and a 35% increase in average basket value.
Demonstrating the understanding and support it provides to its merchants and the buying choices of their customer bases, in 2022 DivideBuy scrapped late payment fees for consumers, an industry-first move aligned with the company’s ethos of responsible lending.
To find out more about DivideBuy and its benefits for retailers and their customers, go to their website.
