Buy now, pay four centuries later [YuriArcurs/E+ via GettyImages]
Insert Twitter side-eye… Twitter CEO Jack Dorsey just treated his other company Square to a massive shopping spree. Mobile payments company Square is Jack Dorsey's more valuable (and favorite) child. You might've seen Square's sleek payment tablets at craft coffee shops, or swiped your card through its little white reader at food trucks. Now, Square is buying “buy now, pay later” (BNPL) firm Afterpay for a whopping $29B — its largest acquisition yet.
Good time to BNPL... Square stock jumped 10% on the news, while Afterpay soared 35%. Square shares have doubled in the past year, as people ditched cash during the pandemic. Now, it'll have a BNPL service to add to its digital payment offerings. And BNPL has been #trending.
Payment options affect purchasing behavior… Nearly half of Gen Z shoppers and 70% of Millennials are more likely to make a purchase if they can BNPL it. And since Square makes money off each card swipe and transaction, it wants to go where purchasing goes: Bank of America predicts the market for BNPL could grow 10 to 15X by 2025.