Southeast Asian O2O platform Fave enters Malaysia and Singapore!

Southeast Asian O2O platform Fave has launched a buy now, pay later (BNPL) service called "FavePay Later" in Malaysia and Singapore, allowing its 6 million users to quickly obtain interest-free credit, which can be used in more than 40,000 stores . It also aims to redefine how a new generation of consumers obtain and use credit.

FavePay Later allows eligible users to make three equal payments while automatically repaying their loan every month. There are no fees for on-time payments , and customers can also receive up to 10% cash back on every use .

Currently , the service is available at all Fave merchants in Malaysia and Singapore, including well-known retail brands such as Pandora, Marks & Spencer, Best Denki, Puma, GNC and others.

As consumers are now more cautious about financial spending due to prolonged social lockdowns and restrictions, FavePay Later allows them to use credit effortlessly and restore confidence to merchants . Without having to deal with additional platform issues , the service is hassle-free for merchants, who will enjoy higher conversion rates and improved customer stickiness without additional risk.

Fave CEO Joel Neoh said as one of the leading payment apps in the region, the company believes in pushing boundaries and innovating to create better experiences.

Joel Neoh said, “FavePay Later was built based on customer needs , and we’re excited to continue providing technology to help our customers shop better.

FavePay Later is currently available on iOS, with Android to be launched next month. Meanwhile , a new study by Juniper Research shows that by 2023, BNPL services will account for more than 24% of total international physical goods e-commerce transactions, up from just 9% in 2021. By 2026, the number of BNPL users worldwide will exceed 1.5 billion transactions, up from 340 million in 2021.

The market is also expected to grow at a compound annual growth rate of 21.2% from US$7.3 billion (RM30 billion) in 2019 to US$33.6 billion in 2027, with Asia Pacific leading the growth, according to Coherent Market Insights .

Recently, Fave opened its application programming interface (API) for online e-commerce platforms to support FavePay payments. As it builds on its growing partnerships with large technology companies this year , Fave will expand its BNPL services to Southeast Asia’s largest e-commerce companies in the second half of 2021 .

Southeast Asia

O2O