Buy Now Pay Later: Generation Z Attitudes & Usage Study  

For more information or interviews, contact:  

Katie Wilson, Marketing Manager,

Insights in Marketing 

Phone: 847.835.0500  


Download high-res graphics here 

Read IIM’s Gen Z financial services research findings here 

Download IIM’s Gen Z BNPL Usage infographic here

For Immediate Release 

Will This Holiday Season Mark the End of Layaway and Debit Cards? An Insights in Marketing Study Explains Why More Gen Z Consumers Use Buy Now Pay Later Than Any Other Generation  

CHICAGO, Dec. 14, 2022 – As the holiday shopping season heats up, buy now pay later (BNPL) apps are a hot commodity with younger consumers. 

Insights in Marketing recently surveyed 1,000 consumers, ages 18-25, and conducted online focus groups to learn why more Gen Z consumers are drawn to BNPL than any other generation. The independent Insights in Marketing financial services study revealed 100% of survey participants discovered BNPL apps while shopping online. One in five respondents had tried BNPL, and 80% said they used these microloans more in 2022 than in 2021.  

BNPL companies have also integrated “debit cards” into their mix allowing consumers to now purchase in-store in addition to online.

Which BNPL Apps Do Gen Z Consumers Use Most? 

Most Zoomers rely on word-of-mouth recommendations from friends and family members before trying BNPL, and then tend to use multiple BNPL apps or websites, mainly Afterpay (58%), Klarna (44%), Affirm (29%) and PayPal Credit (27%). 

Why do Zoomers use BNPL? 

All respondents agreed quick approval and interest-free transactions are the main draw, and ranked other reasons: 

  1. Avoid credit card debt and fees
  1. Receive merchandise immediately (vs. waiting to complete layaway payments) 
  1. Stretch budgets 
  1. Make affordable payments in a set timeframe 
  1. Establish a credit history for future loans and rewards credit cards  

What do Gen Z consumers buy with BNPL apps? 

Younger consumers believe it’s safer to use BNPL than a debit card online, and use BNPL to make a series of smaller interest-free payments when buying apparel, technology, appliances/furniture, selfcare/cosmetics and travel.  

Why do Zoomers stop using BNPL? 

Most respondents limit their use of BNPL due to: 

  • Concerns about overspending 
  • Buyers’ remorse after impulsive purchases 
  • Difficult returns  
  • Delayed refunds 
  • Missed microloan payments  

Most Gen Z consumers participating in the Insights in Marketing study are on a quest to build a solid credit history for future car and home loans, and would rather pay with a rewards credit card. However, many don’t qualify for credit cards, or cannot afford the annual fees.

About Insights in Marketing 

Founded in 1989, Insights in Marketing is a research-based marketing consultancy representing global brands. Learn more at Https://  

Additional Downloadable Graphics Available HERE

Gen Z BNPL Usage


Gen Z BNPL Preferences

GEN Z BNPL Preferences

IIM BNPL Infographic

IIM BNPL Infographic

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