PayMongo, a Manila-based online payment processing platform, announced on Tuesday a partnership with Atome Philippines to expand BNPL acceptance among merchants in the country. This partnership enables PayMongo’s 10,000 plus merchant network in the Philippines to offer their customers flexible deferred payment options, with no additional annual or service fees as an alternative checkout payment option.
Cash payments fell below 50 percent of POS share in 2021 and will decline to less than one-third share of transaction value by 2025, according to the 2022 Global Payments Report by FIS WorldPay. Digital and mobile payments will absorb the bulk of that spend, said the report. At the same time, BNPL payment adoption is expected to grow steadily in the Philippines, recording a CAGR of 50.9 percent during 2022-2028 according to researchandmarkets.com. BNPL Gross Merchandise value in the country will increase from $383 million in 2021 to reach $9476.8 million by 2028. The certainty and transparency of BNPL repayment and credit terms as well as aversion to high interest fees have led to BNPL’s growing popularity, especially among millennials and Gen Z consumers.
Anson’s, the leading premium home appliances and electronics store in the Philippines has been one of the merchants to first accept Atome payments via PayMongo. Kristoffer Cheng, eCommerce and Digital Marketing Manager for Anson’s, said: “Setting up Atome as a buy now, pay later option in our website was a quick and easy experience because PayMongo makes integration seamless.”
Founded in 2019, PayMongo is one of the fastest growing fintech companies in the Philippines. PayMongo offers a quick and fully-online onboarding process and seamless API integration with retail websites or apps, which allow them to accept digital payments such as credit and debit cards, online banking, e-wallets, and now buy now pay later, during checkout.
Atome launched in the Philippines in October 2021 and allows customers to split their shopping bills with flexible deferred payment options, with no additional annual or service fees. Atome has grown to partner 500 plus online and offline retailers in the Philippines, including ZALORA, Agoda, Rustan’s and the SM Store. Recent partnerships include the Suyen group, which covers 200 plus physical retail outlets such as Bench, Human, Kashieca, Cotton On, Aldo, Charles & Keith, Jo Malone, Mothercare, American Eagle and La Senza, as well as Primer Group which distribute brands such as TUMI, Rox, The North Face, Bratpack, Columbia and The Travel Club.
“Our partnership with Atome enables our merchants to offer a seamless and flexible payment checkout experience. With the growing trend towards digital payments and the appeal of zero-interest payment options, especially among digital-native customers, we’re confident this partnership will help our merchants grow sales and delight both new and returning customers,” said Miel Pahati, PayMongo Head of Partnerships.
Jeremy Wong, Head of Strategic Partnerships at Atome, said: “More than ever, consumers want choice, flexibility and a more personalised shopping and payment experience. Our partnership with PayMongo in the Philippines will accelerate the acceptance of flexible deferred payment options, and will support thousands of merchants in enabling a superior, secure checkout experience for consumers, in-store and online. This, in turn, will optimise customer conversion, increase average orders and repeat sales.”