Australian marketplace for independent retailers ARCHFASHION has partnered with fintech startup zipPay to provide consumers with a digital friendly wallet. As of this week consumers on the ecommerce platform will be able to shop online and pay later without interest.
ARCHFASHION makes more than $100 million in apparel sales per year and is Australia’s first omni-channel solution for the fashion marketplace. The startup helps drive results for bricks and mortar stores online by amplifying their customer reach and accessibility.
Through ARCHFASHION’s partnership with zipPay, customers will now have access to a digital wallet of up to $1,000 in credit. This means that customers can purchase clothes or accessories from a range of boutiques on the ARCHFASHION site and pay off their purchases over a 30 day period. zipPay also charges the consumer no interest, which is a great benefit to online impulse buyers.
Australians spent $19.3 billion online last year, and according to NAB Retail Sales Index those figures are expected to double in the next three years; the amount Australian consumers spend online equates to over 12 percent of all consumer expenditure.
The buy-now, pay-later scheme has previously been employed by traditional retailers and used for layby services. However the same scheme has yet to be employed in the online retail sector. Shoppers want on-demand services and as online purchases continue to increase, it is important that a pay later option is made available. Similar to a layby service, pay later pushes buyers to make fast decisions.
“There are many buy-now, pay-later systems that are simply used for layby but zipPay is more than this. We are also issuing the customer with a new funding source, therefore increasing their buying power at checkout. It is about buying more, buying better, buying now,” said founder of zipPay Larry Diamond.
Consumers sign up with zipPay via their social media login and gain instant access to $1,000 digital wallet. For any purchase online or in-store with affiliated retailers, customers can choose to pay later as their choice of payment option.
“This is a new way to invest in essentials,” said ARCHFASHION managing editor, Elle Glass. “To buy those key pieces on the ARCHFASHION website without the interest you might attract on a credit card.”
ARCHFASHION was first launched six years ago as an online fashion directory and made a crucial pivot into ecommerce in 2012. Butcher said the company was on a mission to catch up to Australia’s international counterparts in terms of online shopping services. Today ARCHFASHION provides its own platform for local boutiques to sell across and also integrations into Shopify, BigCommerce, Magento and WooCommerce to name a few.
In the last year the site has grown its user database by 50 percent and its click-through rate by 100 percent. A key focus for the company is driving online sales growth for partnered boutiques. To create growth for Australian small retailer, ARCHFASHION aims to push up sales through the integration of innovative companies like zipPay.
Image: David Butcher. Source: Supplied.