November 9, 2021

Postpay, Mastercard and CBD partner for BNPL solution

categories : banking

The Commercial Bank of Dubai (CBD), Mastercard, tutuka and Postpay have strategically partnered to launch the region’s first-of-its-kind “Shop Anywhere” BNPL (buy now pay later) solution that will drive digital payments in the region.

Postpay, supported by CBD, Mastercard and Tutuka, provide a seamless payment journey to customers that enables convenience for BNPL payments, both in-store or online at leading retail outlets across the Middle East.

The Postpay payment process is designed with customers and their convenience at the core. While the first payment is upfront, the following payments are automatically deducted from the credit or debit card customers used to sign up. This enables customers to purchase on-demand, with the added convenience of paying for the goods over time, without any interest, extra charges or hidden fees.

The technology allows consumers to “Shop Anywhere” online and in-store using contactless payments, at thousands of physical stores, including Ace, Apple, Azadea, CenterPoint, Decathlon, GAP, Level Shoes, H&M, Home Center, Mumzworld, Sephora, Sharaf DG, Shein, Zara and thousands of other leading global brands and more coming soon such as Amazon, Noon and Namshi in December.

As the digital payment landscape evolves, Millennials and Gen Z consumers will play a key role in the growth of BNPL solutions.

Postpay Founder and CEO, Tariq Sheikh, commented: “Our purpose is to offer shoppers transparent and interest-free instalments anywhere, online on our Shopping App or in-store - hence 'Shop Anywhere'.'

With the rise of the Mena region's e-commerce sector over the past few years, players such as Postpay have contributed to a major increase in the volume of online transactions. CBD and Mastercard is supporting the region’s e-commerce ecosystem by providing consumers with budget-friendly, diverse payment options that also help merchants grow a loyal customer base and accelerate their sales.

Amit Malhotra, General Manager – Personal Banking Group, CBD, said: “The collaboration with Postpay is in line with our commitment to support the growing fintech ecosystem in the UAE and enhance the overall digital business environment with innovative digital payment solutions like BNPL. This initiative complements our ‘default digital’ strategy by offering our digital services to a new segment to match the rapid evolution of the market”.

Girish Nanda, Country Manager, UAE and Pakistan, Mastercard noted: “Flexibility is a gamechanger in the world of e-commerce today. As a growing breed of sophisticated shoppers increasingly demand diversity in their payment options, Mastercard is committed to answering those needs. We are passionate about connecting consumers to the benefits that come with more convenient payment choices in a growing digital economy.

“We do this through powerful collaborations that leverage our technology and expertise, and we are pleased to partner with Postpay to enhance the consumer shopping experience through this innovative BNPL solution.”

Miranda Perumal, Head of Business Development EMEA at Tutuka commented: “We are proud to be part of this digital, innovative solution that meets the needs of BNPL customers and enables contactless payments whether online or in-store.”

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