Afterpay Technology Intelligence

What is Afterpay?

Afterpay is a buy now, pay later service allowing shoppers to split purchases into four interest-free payments. Founded in 2014 in Australia, Afterpay was acquired by Square (Block, Inc.) in 2022.

Popular with younger consumers, Afterpay makes purchases more accessible without traditional credit while merchants pay transaction fees to access this customer base.

Key Features

Pay in 4

• Split: 4 equal payments
• Interest-free: No interest charges
• Biweekly: Every 2 weeks
• Instant: Immediate approval

For Merchants

• Integration: Easy setup
• Paid upfront: No payment risk
• Marketing: Brand directory

Consumer App

• Shop: Discover brands
• In-store: Use at physical stores
• Manage: Track payments

Use Cases

Fashion Brands

Apparel retailers target millennial and Gen-Z shoppers. Afterpay users often have higher basket sizes.

Beauty Retailers

Cosmetics brands make premium products accessible. Impulse purchases become more achievable.

Footwear

Shoe brands reduce cart abandonment. Sneaker drops become more accessible with split payments.

Lifestyle Products

Home decor and accessories benefit from flexible payments. Larger purchases spread over time.

Code Examples

Checkout Button

<!-- Afterpay Express Checkout -->
<script src="https://portal.afterpay.com/afterpay.js"></script>
<afterpay-placement
    data-locale="en_US"
    data-currency="USD"
    data-amount="100.00">
</afterpay-placement>

Create Checkout

curl -X POST "https://global-api.afterpay.com/v2/checkouts" \
  -u "MERCHANT_ID:SECRET_KEY" \
  -H "Content-Type: application/json" \
  -d '{
    "amount": { "amount": "100.00", "currency": "USD" },
    "consumer": { "email": "[email protected]" },
    "merchant": { "redirectConfirmUrl": "https://yoursite.com/confirm" }
  }'

Comparison

vs Klarna

• Options: Klarna more flexible
• Simplicity: Afterpay clearer
• Markets: Afterpay ANZ strong

vs Affirm

• Terms: Affirm longer
• Amounts: Affirm higher limits
• Audience: Afterpay younger

Strengths

• Simple 4-payment model
• Strong millennial/Gen-Z appeal
• Square/Cash App integration
• In-store capabilities