Divergence or Convergence: What Is the Short Term Future of the BNPL Industry?

04/19/22 • 43 min

In this episode, Adam, Ryan, Nigel and Alex look at how Buy Now Pay Later (BNPL) has evolved, where it is in the present day and where it is heading.

-What percentage of transactions currently use BNPL?
-When will the rate of growth for BNPL slow?
-How do retailers and providers evolve to meet consumer needs?
-How will regulators impact this new financial phenomenon?

Timestamps below:

Divergence & convergence? The Bain answer first! (2:36)
- Macroeconomic pressures (5:32)
- The background of BNPL (6:16)
- Credit modules (8:36)
- What has led to the rise of BNPL? (10:20)
- Effects of consumer experience on change (10:36)
- Data analytics team overview (16:02)
- Incorporating human psychology into algorithms (19:58)
- Merchant benefits (23:06) & (24:07)
- BNPLs are becoming platforms (23:47)
- Where does BNPL fit in with retailer's payment strategies (27:00)
- Where does your biggest cost space sit (29:26)
- Generational shifts & future projections for growth (32:22)
- Who should be getting into BNPL? (33:53)
- Regulators (42:33)

Please subscribe to the show so you never miss an episode, and leave us a review if you enjoyed the first-ever episode of Deciphered.

You can find Adam Davis here
- You can find Ryan Garner here
- You can find Nigel Verdon here
- You can find Alex Lang here

In this episode, Adam, Ryan, Nigel and Alex look at how Buy Now Pay Later (BNPL) has evolved, where it is in the present day and where it is heading.

Timestamps below:

Please subscribe to the show so you never miss an episode, and leave us a review if you enjoyed the first-ever episode of Deciphered.

You can find Adam Davis here
- You can find Ryan Garner here
- You can find Nigel Verdon here
- You can find Alex Lang here

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Volatility and Market Correction: Where Are Fintech Valuations Heading?

In the second episode of Deciphered, Adam Davis, Associate Partner at Bain & Company and Mike Cashman, Partner, Bain & Company are joined by Sarah Kocianski, Strategic Insights Lead for Fintech at Founders Factory, and Tim Levene, Partner and CEO, Augmentum to discuss the future of Fintech valuations.

Where do the market correction and current volatility leave Fintechs?
Timestamps:
- Volatility & market correction, where are fintech valuations heading? (3:08)
- Fintech funding (5:37)
- Macroeconomic pressures vs dry powder in the current market (6:36)
- Are lower risk assets back in favour? (8:01)
- What investors and founders are looking for (10:40)
- Fintech valuations (11:53)
- Are Fintechs overvalued on hype and hope vs fundamentals? (13:21)
- Will companies stay private for longer? (18:10)
- Superior geographies, in terms of investment and valuation perspectives? (19:39)
- What type of fintech do you want to be in this market? (24:52)
- BNPL (25:03)
- Advantages of rising rate environments vs consumer/business defaults (26:41)
- Investing in sectors and trends, from services or product perspectives (27:40)
- PE, VC, and growth equity splits (29:35)
- Sentiments around raising investment (34:30)