Pace Enterprise (Pace), Asia Pacific’s fast-growing fintech solutions provider has announced an exclusive regional partnership with luxury goods and retail specialist, Valiram to offer Pace’s Buy Now Pay Later (BNPL) solution to all its or Valiram’s customers, allowing them to split their purchases over 3 interest-free installments.
The partnership will extend Pace as an alternative payment option to over 20 international brands represented by Valiram in the region, including popular consumer brands such as Michael Kors, TUMI, Victoria’s Secret, Bath & Body Works, Steve Madden as well as Nike in Thailand and Pedro in Malaysia.
According to a joint statement released, the roll out will progressively extend to include more brands and payment via Pace will be available upon checkout across all points-of-sale, including websites, mobile apps, and over 200 points-of-sale in Singapore, Malaysia, Thailand and Macau.
“Through this partnership, the brands under our group will be able to unlock a new segment of consumers,” said Executive Director of Valiram, Mukesh Valiram. ”With Pace’s simple, accessible and transparent interface which gives users control over their budgeting and expenditure, we also hope to empower our customers to practice sustainable spending,”
Beyond Valiram, Pace has also secured multiple local and regional merchant partnerships, with brands such as ALDO, Miniso, Swee Lee, OG, Benjamin Barker, and Motherswork.
“Our aim is to change the way consumers in Asia Pacific shop, and we are proud to be partnering with remarkable brands and institutions to serve a traditionally underserved segment of customers,” said Founder and CEO of Pace, Turochas “T” Fuad. “With over 900 points-of-sale and over 550% growth in gross merchandise value (GMV) since January, we’re encouraged by the exponential growth we’re experiencing.”
BNPL options are appearing across a wide range of retail industries in Malaysia, from fashion to travel. The trend, accelerated by the coronavirus pandemic, benefits individuals who are looking to stretch their ringgit and avoid taking on additional long-term debt.
However, an article that appeared on the Wealth section of The Edge Malaysia Weekly, earlier this year, discusses how the growing popularity of BNPL also raises concerns of users who may be caught in this new debt trap in the long term.
According to the publication, the ingenuity of BNPL is that the service presents credit terms to those who do not have a credit card, prefer not to use one or cannot get one. For many, this service enables them to buy necessities that they otherwise would not be able to afford all at once.