Four-fifths of Tabby shoppers plan to use buy now, pay later (BNPL) services for essential purchases in 2024, according to the MENA-based shopping and financial services app.
The study, based on a survey of 2,500 users, reveals that essential items like education, groceries and medical expenses are twice as likely to be bought using BNPL compared to discretionary items such as fashion and beauty products.
Tabby’s data suggests that for many shoppers, BNPL offers an affordable and accessible way to purchase high-value essentials such as household appliances and insurance, as customers prioritise spending on necessities.
Two-thirds of Tabby shoppers also said that BNPL is an essential tool to manage cash flow, indicating that BNPL remains a vital tool for money management. It provides an accessible and affordable way for customers to access credit.
Hosam Arab, CEO and co-founder of Tabby, said: “Our research shows that BNPL is an important tool that helps customers take control of their spending. Tabby is committed to supporting our community and helping our customers make financially sustainable and responsible decisions.”
Tabby, valued at $1.5billion following its latest funding round from investors including Wellington Management, STV, Mubadala Investment Capital, and PayPal Ventures, operates in Saudi Arabia, UAE and Kuwait.
Used by more than 12 million users, Tabby helps manage spending and maximize finances. More than 40,000 global brands and small businesses, such as SHEIN, Amazon, Adidas, IKEA, H&M, Samsung and Noon, utilise Tabby’s technology to drive growth and customer loyalty through flexible payments both online and in stores.
