Afterpay has tapped Leanplum, which offers companies a “multichannel engagement” platform, to create a more personalized shopping experience for consumers.
The companies said in a joint statement that Afterpay, which offers a “buy now, pay later” financial solution for consumers, is specifically using Leanplum “to improve engagement through data-driven personalization. ”
Terms of the deal were not disclosed.
Afterpay said it selected Leanplum as its marketing solution so it can “connect, engage and grow” user activity. This is done via Leanplum’s “multichannel capacity, intuitive user interface and unparalleled data analytics on customer behavior and campaign insights,” the company noted.
Frazer Adnam, CRM marketing director at Afterpay, said as the company’s customer base expands, “we sought a partner that could help us offer our customers a personalized user experience at scale with active and timely engagements. “Leanplum gives us the ability to trigger communications at key moments in the customer journey, which helps optimize our user experience.”
Afterpay noted that as it expanded from Australia and into a global marketplace, “user acquisition grew rapidly. In order to translate the expansion of the largely Millennial customer base into long-term revenue growth, having an optimized onboarding process and first-purchase customer journey was critical.”
Afterpay’s solution allows consumers to shop from “name brands they love and pay by making four interest-free payment installments every two weeks instead of one upfront lump sum,” the company said in a statement. “This fresh spin on purchasing inhibits credit debt, appealing strongly to Millennial and Gen Z consumers by giving them the freedom to purchase products they need without the financial stress of an upfront lump sum.”
Afterpay is free for shoppers who pay on time. It is offering by 40,000 retailers and has more than 6.1 million active users. The solution is available in Australia and New Zealand as well as the U.S. It’s also in the U.K., where it is known as Clearpay.
During a WWD event this past fall, global chief revenue officer and cofounder of Afterpay, said Millennials spend money differently and have completely different views of personal finances as compared to other demographic cohorts.
Molnar, who is a Millennial, said his generation emerged into adulthood during the Great Recession, and, as a result, tend to be frugal and shy away from credit card debt. He noted that of those aged 18 to 30, two-thirds do not own a credit card. “When you ask a Millennial what the number-one thing they are most scared of they say [they] are more scared of credit card debt than they are of dying,” Molnar told attendees.