What is Sezzle?
Sezzle is a buy now pay later tool that makes it easy to break up a large purchase into multiple installments, at no cost to the user.
Typically this is 4 payments over 6 weeks with 0% interest. Consumers love it because it does not require any credit or impact their credit score, and they will never be sent to collections for an inability to pay.
Merchants love it because it tears down a barrier that prevents some customers from buying… The pricing barrier.
This is truly a disruptor tool that is going after an underserved market of individuals that don’t have great credit, but are capable of paying off small debts.
And it’s an established multi-billion dollar industry. I can’t believe how many people ask me if this sort of thing works, yes, it works.
Over 1 million active shoppers and 10,000+ mechants
5.5% / Sezzle Transaction
- includes processing fees
5% / Sezzle Transaction
- includes processing fees with annual contract
How Will Sezzle Work With My Ecommerce Store?
What makes Sezzle different than competitors?
As opposed to other “buy now, pay later” tools, Sezzle does not impact an individuals’ credit in any way, and they offer no interest payments. They know how hard it is for credit agencies to stand out, so they don’t make any money charging customers fees or interest. They commit themselves to being very customer centric, and what is good for your customer is good for your bottom line.
What metrics is Sezzle going to improve for my Ecommerce store?
Sezzle merchants see an average order value increase of 20% along with a 10% increase in repeat purchases. It also increases your overall conversion rate by removing a large barrier to purchase.
Merchants also see up to 10% of additional revenue simply by being listed in the Sezzle directory, because customers actively look for stores they can use their Sezzle account with. This is a great way to drive new revenue for FREE as there is no cost to being in the directory. Sezzle is actually becoming a platform for their own users and driving traffic among their thousands of merchants.
Who has to manage Sezzle and how long does it take to setup?
Setting up Sezzle could not be easier. Their 4 step checklist takes less than 5 minutes to complete. Once you’ve installed the tool, you really don’t need to go into the backend and tinker with anything. You can pop in to look at orders coming in from the account and to be sure you’re getting the value out of the tool, but mostly it is “set and forget”.
When should you use Sezzle?
This tool works best for stores that typically see purchases of $500 and below. Customers can use it for purchases up to $1,000, however Sezzle has to be more strict about who can make those kinds of purchases due to an increased risk of fraud.
Some examples of industries that do well with Sezzle are Fashion, Beauty, Supplements, and Electronics. Travel may be a good industry as well given that the Greyhound Bus company utilizes this tool.
And truthfully, the younger generations are better target customers for this type of tool, but even if you only have a 10% millennial or younger audience, that is enough to gain some benefits by adding a buy now pay later tool to your stack.
When shouldn't you use Sezzle?
If your store averages purchases of over $1,000, or if you offer high fraud risk products, then this tool isn’t for you.
Also, subscription companies are not likely to have success with this tool given that the nature of their product is some form of monthly payment. Subscription products just don’t work here.