The number of consumers using buy now, pay later services continued to grow in 2024, with much of that growth due to high usage among younger generations, according to a new survey by J.D. Power.
Nearly half of Generation Y and Z respondents said they used BNPL compared to just 21% of consumers from other generations. Also, for the first time in the survey’s history, more consumers from Gen Z said they use BNPL instead of credit cards.
Gen Y customers have the highest overall satisfaction with their BNPL lender among generational cohorts, with a satisfaction score of 627 on a 1,000-point score. Gen Y customers cite the convenience, cost, a recommendation from a family member and trust with the brand as reasons that helped them choose their BNPL lender.
Respondents also gave higher marks to card-based BNPL services, with the top three highest-rated brands in the survey being card-based solutions offered by legacy card issuers
