Afterpay Limited has more than 3 million active users in the U.S. alone, the majority of which are from the Millennial and Gen Z generations. In 2020, the company said Millennials will hold the highest spending power across all generational groups — accounting for nearly $15 trillion worldwide.
As the younger generations continue to increase their spending power, the company expects growth in e-commerce and digital payments to follow.
In 2019, Afterpay experienced nearly 80 percent of customers using mobile devices for purchasing during the holiday shopping season — a 12 percent increase from 2018. During the season, the company saw most shopping from consumers in Los Angeles, Chicago, New York, Houston and Philadelphia, in the U.S.
Black Friday continued to see the most shopping traffic of the season globally for Afterpay, followed by Boxing Day in Australia and New Zealand and Cyber Monday in the U.S.
The payment service provider also acts as a traffic driver for brands through the company’s shop directory, which includes over 9,000 retail partners. And over the holiday shopping season, Afterpay’s top retailers in the U.S. included DSW, Urban Outfitters, Ulta Beauty and Goat.
Globally, Afterpay’s retail partners experienced a 3 percent basket size increase from 2018, from consumers using the payment service.
The “best-selling brands” in the U.S., on Afterpay, were Colourpop, Nike, Levi’s, Ray-Ban, Steve Madden and Jeffree Star Cosmetics. And the top-selling items on Afterpay were basketball shoes, running shoes and cosmetics.
Influencer-backed cosmetic brands and warm blankets also topped best-selling items on Afterpay. The company said this is due to the “ease of gifting items that do not require sizing.” However, according to a survey by the company, Millennials reported most frequent purchases are fashion and beauty, over other categories including books, entertainment and home goods.
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