Emphasized Text

Afterpay US has a new name and feel: Cash App Afterpay. But Afterpay’s mission and merchant advantages remain the same, delivering more shoppers with one seamless experience.

Text Wrap

Afterpay US officially becomes Cash App Afterpay.Afterpay’s pay over time offering is now available to Cash App customers when checking out with Afterpay merchant partners.&nbsp;What does that mean for merchants like you? Little will change. You’ll still experience all the benefits of Afterpay, including higher average order values and more sales. Only now, you can reach more customers, thanks to Cash App’s vast network of 50m monthly active users, a strong customer and engaged customer base that can help you capture more spend1.Bringing two powerful brands together&nbsp;Cash App is the number one finance app in the US2, used by 57 million customers to bank, transfer money and make purchases. Meanwhile, Afterpay is one of the leading Buy Now, Pay Later providers, enabling customers to pay in installments.Both platforms attract highly engaged Gen Z customers, and both platforms empower customers to manage their money beyond traditional financial institutions.Together, they represent the future of payments, where millions of consumers can bank, shop and pay the way they want.Crucially, for merchants, the combination of Cash App and Afterpay means connecting with even more customers and driving even more sales.What it means for merchantsFrom now on, Afterpay will look different on your website. The new Cash App Afterpay brand and icon will appear like this:

Article Image

To update your website with the new branding, head to<a href="https://developers.cash.app/docs/merchant/welcome%2Fgetting-started" rel="noopener noreferrer" target="_blank"> our developer portal</a>, where you will find instructions tailored to your website or platform partner.Your back-end processes, payment settlements, and checkout experience will remain the same for Afterpay customers.Customers can still pay with Afterpay (now named Cash App Afterpay) or pay with Cash App Pay or they can use Afterpay through their Cash App.&nbsp;&nbsp;If you have any questions, take a look at our<a href="https://developers.cash.app/docs/merchant/migration/faq" rel="noopener noreferrer" target="_blank"> FAQs</a>.

Button

All references to any registered trademarks are the property of their respective owners. Afterpay does not endorse or recommend any one particular supplier and the information provided is for educational purposes only.

1Block Q4’24 Earnings &nbsp;Sensor Tower U.S. 2020 - 2021; 2MAUs as defined as a user that has one or more sessions in an app within a month. For illustration purposes only and not to-scale. Sensor Tower, Monthly Active App Users iOS and Android, FY2023

Afterpay US has a new name and feel: Cash App Afterpay

Afterpay US has a new name, Cash App Afterpay. Find out what that means for merchants and how to update your website.

Afterpay US is now Cash App Afterpay 

Say hello to Cash App Afterpay

Afterpay now Cash App Afterpay

Managing money and monitoring cashflow might not be the glamorous side of your business, but in today’s climate it’s something businesses are hyper-aware of.

In support of this, Afterpay is making changes to the way we process your direct debits, when you have a negative balance, so that you can better manage your cash flow and working capital. <h2>Why would I have a negative balance?</h2>When a customer’s order is refunded, and they selected Afterpay as their checkout method, that refund amount is displayed as a negative balance. This negative balance will remain when you have a higher dollar amount in a day than of your total orders.

<h2>So what's changing?</h2>Historically when you had a negative balance, Afterpay would send you an invoice or direct debit you. From today, we’ll apply any negative balances against your future orders. All negative balances will be rolled into future payments unless it goes beyond certain thresholds / limits, giving you more time to offset these, and avoid an ongoing negative balance.

Image

<h2>Long-standing negative balances.</h2>If your negative balance extends beyond certain thresholds / limits, we reserve the right to collect your payments via invoices or direct debit attempts.Have any questions on this product update? Reach out to our Merchant Support team below.

Afterpay is making changes to the way we process your direct debits, when you have a negative balance, so that you can better manage your cash flow and working capital.

Afterpay is making changes to the way we process your direct debits, when you have a negative balance, so that you can better manage your cash flow and working capital. Find out more!

Product update: Managing negative balances

Product update: Managing negative balances.

Retail is changing. Here's what merchants need to know...

Retail has always been trend-driven and fast-paced, but the past few years have been more tumultuous than ever. After a global pandemic, a surge in e-commerce, and a subsequent swing back to in-store shopping, retailers are facing historically high inflation rates.As we enter a new year, many retailers may well be wondering: what’s next?To help retailers chart their path towards success in 2023, Square worked with Wakefield Research to survey 500 US retailers and 2,000 nationally representative consumers over the age of 18 for its annual <a href="https://squareup.com/us/en/the-bottom-line/selling-anywhere/future-of-commerce" rel="noopener noreferrer" target="_blank">Future of Commerce report</a>. Square sellers also shared insights from their point of view on steps they're taking firsthand or plan to take to navigate the future of their retail store and the needs of their customers.

Unordered Highlight List

Here are the 2023 retail trends that merchants and retailers need to know…<h2>Delivery demands will rise</h2>As online shopping becomes more entrenched, expectations around delivery are also maturing. In 2023, consumers will only expect faster, more convenient shipping and delivery.For retailers, this means offering more shipping options, from standard shipping to express and same-day delivery options, as well as buy online, pick up in-store if possible.Retailers should consider staggered pricing options to avoid being stung by higher delivery fees and implement strategies to reduce returns, says Shippit CMO Brett Chester. When returns do happen, <a href="https://afterpay-newsroom.yourcreative.com.au/wp-content/uploads/2022/11/Afterpay-Gen-Z-US-Report-2022.pdf" rel="noopener noreferrer" target="_blank">over 55%</a> of shoppers across all generations prefer to shop with brands who allow online purchases to be returned in-store.As part of the larger Future of Commerce report, the Square Future of Retail report found that consumers are increasingly open to and even looking for efficiency in their shopping experience. In fact, <a href="https://squareup.com/us/en/the-bottom-line/selling-anywhere/future-of-retail" rel="noopener noreferrer" target="_blank">41% would choose tech when making pickup or delivery arrangements</a>. Don't forget to keep Gen Z shoppers in mind. A <a href="https://afterpay-newsroom.yourcreative.com.au/wp-content/uploads/2022/11/Afterpay-Gen-Z-US-Report-2022.pdf" rel="noopener noreferrer" target="_blank">2022 Afterpay report on Gen Z</a> found that 48% of Gen Z consumers reported shopping in-store to avoid delivery fees.<h2>Automation creates better experiences for customers and employees</h2>Beyond shipping, the ways in which businesses can optimize their workflows and processes are growing and changing faster than ever. As lines between sales channels blur, and businesses need to connect with customers across more channels, businesses may look to automation to decrease the time their staff spends on time-consuming menial tasks.The more you can free up time for your staff, the more your staff can focus on creating meaningful and memorable experiences for their customers. Beyond that, with staff retention being tricker than ever, freeing up manual resources to allow your employees to focus on the more meaningful sides of the job increases their engagement. The Future of Retail report found that <a href="https://squareup.com/us/en/the-bottom-line/selling-anywhere/future-of-retail" rel="noopener noreferrer" target="_blank">41% of retailers</a> are planning to automate operations to increase staff efficiency. Other top-mentioned areas for automation include inventory management and customer communications.

Although it can be intimidating to begin the process of automating pieces of your business, it's important to think of these updates through the consumers' lense. <a href="https://squareup.com/us/en/the-bottom-line/selling-anywhere/future-of-retail" rel="noopener noreferrer" target="_blank">75% of consumers surveyed</a> in the Future of Retail report noted that automation technology wouldn't deter them from shopping at a retailer, and, in fact, 23% said that modernization would make them more likely to shop there.<h2>Self-service will bridge the labor gap</h2>Self-service isn't a new concept in retail, but traditionally it's been used within the realm of discount retailers and supermarkets.That's slowly changing thanks to the rise of online shopping, which has seen customers become accustomed to having complete control over their shopping journey. As a result, growing numbers of brick-and-mortar retailers are offering self-serve features that mimic the convenience, speed, and autonomy of online shopping.For some retailers, like Uniqlo, that looks like self-checkout; for other's, it's about allowing customers to easily find and access products (rather than having to ask staff or requiring assistants to bring the product out from storage). Buy online, pick up in-store is another form of self-service, by giving customers more control over checkout and when they pick up their products.<h2>Brick and mortar is back, with an emphasis on experience</h2>While physical stores took a major hit during the height of COVID-19, the scales are beginning to equalize as consumers return in store to shop. The net effect - a hybrid of online and in-store purchasing.But while in-store shopping may have returned, it's evolving too. Ana Piteira, the founder of Reliquia Jewellery and Blanca, opened a store two years ago and says she views her brick-and-mortar presence as "an extension of our online presence." She continues, "It's not only about the sales that you're generating; it's about having a showroom for your product where people can go and see, touch and feel the range."Her sentiments are echoed by AllBirds co-founder Tim Brown, who <a href="https://www.businessoffashion.com/articles/direct-to-consumer/the-state-of-fashion-2023-report-dtc-online-stores-multi-channel/" rel="noopener noreferrer" target="_blank">has described</a> the brand's 54 stores as a "powerful word-of-mouth awareness" tool that drives loyalty and "a customer acquisition vehicle" for the best customers that we have within our ecosystem."Experts predict that for brick-and-mortar stores, the emphasis will be on experiences rather than simply sales. <a href="https://squareup.com/us/en/the-bottom-line/selling-anywhere/future-of-retail" rel="noopener noreferrer" target="_blank">94% of retailers</a> said they plan to focus on enhancing their in-store customer experience, turning commerce into an event.For some retailers that means hosting events in-store (lululemon, for example, holds yoga classes in-store); for others it's about enhancing the day-to-day customer experience with interactive features such as touch-screen mirrors or product demonstrations.<h2>Customer acquisition &amp; retention strategies will shift</h2>As inflation rises, along with customer acquisition costs, attracting and retaining consumers will become more important than ever in 2023. While the outlook may seem ominous, there is still plenty that retailers can do to stay one step ahead.Across generations, shoppers will be savvier with their hard-earned dollars, reporting that the <a href="https://afterpay-newsroom.yourcreative.com.au/wp-content/uploads/2022/11/Afterpay-Gen-Z-US-Report-2022.pdf" rel="noopener noreferrer" target="_blank">top reason for purchasing from a brand again being that they offer good discounts and sales</a>.If you already have customers coming back to shop at your store, be sure to have an automatic loyalty program set up. This both encourages shoppers with incentives, as well as provides you with valuable customer information to help inform their shopping experience.Customers who enroll in a rewards program like <a href="https://squareup.com/us/en/software/loyalty" rel="noopener noreferrer" target="_blank">Square Loyalty</a> are twice as likely to be repeat customers. They also spend an average of 43% more than customers who aren't enrolled in a loyalty program.As the data bears out, there's a clear trend between customers frequenting their favorite businesses and wanting to stay in touch. In fact, the <a href="https://squareup.com/us/en/the-bottom-line/selling-anywhere/future-of-retail" rel="noopener noreferrer" target="_blank">Square Future of Retail Report</a> found that 86% of them prefer to stay in some kind of communication with their top shopping destinations. To best stay in touch, businesses should meet their consumers where they are and aim to interact on their favorite channels, all of which can be leveraged without paid media dollars:

<h2>Follow your customers lead on where to sell</h2>As automation frees up time from time-consuming tasks, it allows employees to focus more on connecting with customers - and there are more ways to connect with them than ever before. Retailers surveyed within the <a href="https://squareup.com/us/en/the-bottom-line/selling-anywhere/future-of-retail" rel="noopener noreferrer" target="_blank">Future of Retail</a> report now sell their goods on an average of four different channels, with 81% of retailers planning to expand the number of digital channels they sell on over the next 12 months.58% of consumers are open to trying newer, digital methods of shopping, and they're interested in:

If you're not selling through social media, you're missing out on a huge opportunity. According to the <a href="https://squareup.com/us/en/the-bottom-line/selling-anywhere/future-of-retail" rel="noopener noreferrer" target="_blank">Future of Commerce report</a>, in 2022 the number of retailers selling goods directly through social channels rose to 91%, up 10% from the year before. Through the pandemic, businesses had to adapt and shift to online sales, many businesses seeing huge growth in eCommerce (according to the <a href="https://www.census.gov/library/stories/2022/04/ecommerce-sales-surged-during-pandemic.html" rel="noopener noreferrer" target="_blank">U.S. Census Bureau</a>). But in 2022, retailers saw a <a href="https://squareup.com/us/en/the-bottom-line/selling-anywhere/future-of-commerce" rel="noopener noreferrer" target="_blank">5% decrease</a> in online sales from the year prior. While this may be a seemingly small shift, it's important that businesses adapt and meet customers where they are. Wherever your customers are shopping, make sure checkout is fast and easy. The <a href="https://squareup.com/us/en/the-bottom-line/selling-anywhere/future-of-retail" rel="noopener noreferrer" target="_blank">Future of Retail report</a> found that 34% of businesses ant to provide more payment options, like <a href="https://portal.afterpay.com/v2/checkout/en-US/sign-up" rel="noopener noreferrer" target="_blank">BNPL</a> and 28% want to provide a quick, hands-off purchase process. Again keeping in mind the next generation of consumers — almost <a href="https://afterpay-newsroom.yourcreative.com.au/wp-content/uploads/2022/11/Afterpay-Gen-Z-US-Report-2022.pdf" rel="noopener noreferrer" target="_blank">1 in 5</a> Gen Zs — have abandoned a purchase in the last 12 months because their preferred payment method was not available (with <a href="https://afterpay-newsroom.yourcreative.com.au/wp-content/uploads/2022/11/Afterpay-Gen-Z-US-Report-2022.pdf" rel="noopener noreferrer" target="_blank">44% of Gen Zs using BNPL in the last 12 months</a>). In the words of Afterpay's Head of Sales, Alex Fisher, "Gen Zs and millennials have experienced multiple recessions, which has changed the way they navigate the world when it comes to saving and spending. Due to these microeconomic impacts, younger generations are increasingly credit averse, preferring to pay over time with BNPL. As BNPL adoption goes mainstream, retailers will need to meet this Gen Z and millennial demand for payment optionality — enabling them to truly shop omnichannel."Download the full Future of Retail report <a href="https://squareup.com/us/en/the-bottom-line/selling-anywhere/future-of-retail" rel="noopener noreferrer" target="_blank">here</a>.

How retail will change in 2023, from faster delivery to a rise in self-service technology and experiential retail.

top retail trends for 2023

2023 retail trends you should know: a comprehensive guide to stay ahead of the game

retail trends 2023

A new report uncovers exactly how Americans will approach the festive period and how rising inflation will impact their shopping plans.

‘Tis the season to be jolly… but with interest rates rising and inflation soaring, many retailers may be wondering just how jolly this festive period will be.The good news, according to Afterpay and Square’s new Festive Forecast report, is that while Americans are undoubtedly being impacted by inflation, over a third of shoppers plan to increase their spending during the festive period.<a href="https://www.afterpay.com/en-US/festive-forecast-smb" rel="noopener noreferrer" target="_blank">Afterpay’s Festive Forecast </a>surveyed 1000 Americans, who were nationally representative across gender, age and location, as well as 500 Millennials and Gen Z shoppers. It uncovered a wealth of information about how and when shoppers will spend this holiday season, not to mention what they’ll buy.The report also confirmed that although the challenges this holiday season are real, the opportunities are vast, as long as retailers understand the shopper mindset,<h2>Festive Forecast findings, at a glance:</h2><ul><li>78% of shoppers will spend the same or more compared to last year</li><li>77% of Americans will have all their shopping done by December&nbsp;</li><li>Gift cards will be the most popular gift to give, especially among older generations</li><li>Gen Z and Afterpay users are particularly excited about the festive season</li><li>43% of shoppers turn to family and friends for gift inspiration</li><li>44% of consumers say that sales prompt them to purchase</li><li>One in six Americans plans to use a BNPL service</li></ul><h2>Spending remains resilient&nbsp;</h2>The Festive Forecast confirmed that Americans are feeling the impact of rising rates and inflation, and found that more than a third are cutting back on general purchases (38%), canceling or stopping certain activities such as subscriptions (24%), and reducing how much they save (21%).But few plan to cut back on festive shopping. In fact, the majority will be spending the same – or more – than last year, with 42 percent planning to spend the same as last year, 25 percent spending slightly more and 11 percent spending significantly more.<h2>Where shoppers are getting gift inspiration</h2>When it comes to gift ideas, family and friends are the top sources of inspiration (43%), followed by simply being in-store (37%). Social media is another important influence, with around one in four shoppers spotting gift ideas on Facebook (27%) or Instagram (24%).&nbsp;<h2>Sales drive sales</h2>Another shopping cue? Noticing that a product is on sale. Roughly 44% of consumers say that sales prompt them to purchase, while nearly one in three (28%) Americans also say they’d be compelled to shop during a sale event like Cyber Monday - suggesting that Black Friday Cyber Monday (BFCM) is poised to be a major opportunity for retailers this year, particularly among younger shoppers.<h2>Gift cards are a go</h2>Gift cards are once again the most popular gift idea among shoppers, followed by clothing, footwear and accessories and children’s toys. Gift cards are especially popular for older shoppers.<h2>Hello big spenders</h2>One in six shoppers plan to use a BNPL service like Afterpay, citing budgeting and immediacy as reasons. Younger shoppers are especially likely to use BNPL.&nbsp;Shoppers with bigger gifting budgets are more likely to have used Afterpay in the past — and to use it in the future. Why? Many say they enjoy the fast checkout experience and want to avoid waiting to make a purchase.So it pays to ensure that Afterpay is clearly displayed and promoted, whether you run an e-commerce or brick-and-mortar store.For more insights into consumer behavior during the festive period, you can read the full report <a href="https://www.afterpay.com/en-US/festive-forecast-smb" rel="noopener noreferrer" target="_blank">here</a>.

A new report uncovers exactly how Americans will approach the festive period and how rising inflation will impact their shopping plans.

Festive retail trends 2022: How shoppers will spend this holiday season

How shoppers will spend this festive season

Festive forecast US

Square, the seller-focused business within Block, is now offering Afterpay to all eligible sellers in Australia and the US that use Square Online for e-commerce.

Today is a big day for Afterpay. Today, we officially joined the <a href="https://block.xyz/" rel="noopener noreferrer" target="_blank" style="background-color: transparent; color: rgb(0, 0, 0);">Block</a> family and we couldn’t be more excited by the opportunity ahead.&nbsp;Also today, we are excited to <a href="https://corporate.afterpay.com/newsroom/media-release" rel="noopener noreferrer" target="_blank" style="background-color: transparent; color: rgb(0, 0, 0);">announce</a> that Square, the seller-focused business within Block, is now offering Afterpay to all eligible sellers in Australia and the US that use Square Online for e-commerce. This is a critical first step in driving more customers, incremental revenue and overall value to your business.&nbsp;More specifically, Square’s more than a decade of experience building tools for businesses of all sizes will help scale our marketing platform and accelerate our ability to connect you with these engaged next generation consumers.&nbsp;Working together, the combined teams plan to offer an innovative commerce platform with even deeper omni-channel offerings and new financial tools that consumers rely on in their financial lives.Rest assured, Afterpay’s existing brand and functionality will remain and continue to be led by a stellar management team. There will be no interruption to our relationship. If you have any questions take a look at our <a href="https://help.afterpay.com/hc/en-us/articles/4416519066265" rel="noopener noreferrer" target="_blank" style="background-color: transparent; color: rgb(0, 0, 0);">FAQs</a>. We look forward to working with you in 2022 as we realise the full potential of our combination.&nbsp;

Custom Code

Square, the seller-focused business within Block, is now offering Afterpay to all eligible sellers in Australia and the US that use Square Online for e-commerce.

Afterpay officially joins Block

Afterpay joins Block US

How retailers and merchants can stay ahead, socially, this year.

There’s little doubt that COVID-19 has transformed the way we live, work and connect. As humans, we crave social connection, and when lockdowns prevented us from meeting in person, many people gravitated to social media. And it seems our thirst for social media extends beyond lockdown.In the past year, total social media users increased by<a href="https://influencermarketinghub.com/social-media-marketing-benchmark-report/" rel="noopener noreferrer" target="_blank" style="color: rgb(0, 0, 0); background-color: transparent;"> </a><a href="https://influencermarketinghub.com/social-media-marketing-benchmark-report/" rel="noopener noreferrer" target="_blank" style="color: rgb(0, 0, 255); background-color: transparent;">13.1 per cent</a>.That’s 4.48 billion people, spending two hours and 25 minutes on average on social media, every day.As consumers spend more time on platforms like Facebook, Instagram and TikTok, understanding new social media trends has never been more important for brands and businesses. So, as we enter a new year, we asked experts to identify the biggest trends to be aware of in 2022.<h2>TikTok continues to grow&nbsp;</h2>TikTok users doubled in the past year, and in September 2021 the social media platform clocked up 1 billion users for the first time.

Article Quote

It's important brands get on TikTok now before it becomes much harder to grow in 2023.

This makes TikTok the seventh largest social media platform in the world (after Facebook, YouTube, Whatsapp, Facebook Messenger, Instagram and WeChat) – and one that brands increasingly need to factor into their marketing plans (especially if reaching Gen Z is a priority).The good news is that, as a relatively new social media platform, TikTok offers opportunities that more established platforms do not.“I predict we'll see a continued rise in live shopping on TikTok, where brands host videos showing their products on a live stream, and have easy integrations with Shopify to allow consumers to easily shop within the app.”

<h2>Influencer partnerships go long-term</h2>In 2022, there’s no slowing down when it comes to <a href="https://www.afterpay.com/en-US/for-retailers/access/social-media-tips/influencer-marketing" rel="noopener noreferrer" target="_blank">influencer</a> domination, although in 2022, get used to the term ‘creator’, which is increasingly overtaking the title ‘<a href="https://www.afterpay.com/en-US/for-retailers/access/social-media-tips/instagram-influencers" rel="noopener noreferrer" target="_blank">influencer</a>’.However, experts say there is a noticeable shift in the way that creators and brand partnerships are formed, with businesses moving away from one-off, transactional collaborations to instead focus on longer-term, more strategic partnerships and co-creation/ co-branded experiences.&nbsp;“This creates a more authentic and ongoing relationship with both the brand and <a href="https://www.afterpay.com/en-US/for-retailers/access/social-media-tips/influencer-marketing-examples" rel="noopener noreferrer" target="_blank">influencer</a>'s audience,” says Taryn Williams, founder and CEO of<a href="https://theright.fit/" rel="noopener noreferrer" target="_blank"> TheRightFit.co</a> and<a href="https://www.theinfluencers.com.au/" rel="noopener noreferrer" target="_blank"> Theinfluencers.com.au</a>.

Most influencers provide discounts for ongoing work.

“We are seeing more brands shifting to this style of engagement as it also locks <a href="https://www.afterpay.com/en-US/for-retailers/access/social-media-tips/influencer-marketing-rates" rel="noopener noreferrer" target="_blank">influencers</a> out of working with competitors, and can be financially more beneficial for a brand than paying for individual one-off posts [as] most influencers provide discounts for ongoing work.”&nbsp;Williams adds that 2022 will see an increased focus on diversity and inclusivity, with brands moving towards influencers and creators who are truly representative of their customer base in terms of age, ability, body shape, size, lifestyle, ethnicity, race, religion, sexuality, gender and more.&nbsp;“It’s becoming much less of a ‘token’ gesture or afterthought with leading brands, and something that is now prioritized in all aspects of a brand’s marketing strategy,” she adds.

<h2>Video continues to lead the way</h2><a href="https://www.wyzowl.com/video-marketing-statistics/" rel="noopener noreferrer" target="_blank" style="color: rgb(0, 0, 255); background-color: rgb(255, 255, 255);">Video content will continue to dominate in 2022</a>, with the focus on short-form content that is easy-to-digest and highly engaging. Think: Instagram Reels and TikTok videos (which are increasingly repurposed and posted&nbsp;to other platforms like Instagram).If you didn’t have a social media video strategy in 2021, now’s the time to correct that. And it’s important that video is created with social media in mind, believes Shepherd.“Too many brands create video content and throw it up on social media as an afterthought,” says Shepherd. “With the head of Instagram, Adam Mosseri, recently announcing that Instagram is focusing on pushing video content, it's important brands take this seriously. We've seen the rise of TikTok and short-form video content, and now Instagram doesn't want to get left behind.”“As creators hone their craft in this area, I think we will see more innovative, easy-to-consume, highly engaging short-form content next year,” says Williams. “We’ll continue to see a shift towards ‘lo-fi’ video – which feels more authentic and less overly produced – created for the platform, [rather] than repurposed content that can feel more ‘advertising’ than native. I think the growth of TikTok has expedited this change.”

<h2>Social commerce gains momentum</h2>Bricks-and-mortar shopping might be back after months of lockdowns, but social commerce isn’t going anywhere.<a href="https://www.afterpay.com/en-AU/business/access/social-media-tips/social-commerce-guide" rel="noopener noreferrer" target="_blank" style="background-color: rgb(255, 255, 255); color: rgb(15, 15, 15);"> </a><a href="https://www.afterpay.com/en-AU/business/access/social-media-tips/social-commerce-guide" rel="noopener noreferrer" target="_blank" style="background-color: rgb(255, 255, 255); color: rgb(0, 0, 255);">Social commerce</a> – aka shopping directly via social media – is a seamless way for brands to connect directly with their customer and convert content directly into sales.Over the past 18 months, most social networks have begun offering in-app shopping solutions, from Instagram to Facebook and Pinterest. And shoppers are spending billions of dollars via social media; in 2020, for example, worldwide social commerce was worth<a href="https://www.researchandmarkets.com/reports/5140143/social-commerce-global-market-trajectory-and?utm_source=CI&amp;utm_medium=PressRelease&amp;utm_code=jgbxsq&amp;utm_campaign=1434944+-+Assessment+of+the+Social+Commerce+Industry+2020-2027+and+Impact+of+COVID-19+-+Mobiles+Segment+Readjusted+to+a+Revised+39.2%25+CAGR+for+the+Next+7-Year+Period&amp;utm_exec=joca220prd" rel="noopener noreferrer" target="_blank" style="background-color: rgb(255, 255, 255); color: rgb(15, 15, 15);"> </a><a href="https://www.researchandmarkets.com/reports/5140143/social-commerce-global-market-trajectory-and?utm_source=CI&amp;utm_medium=PressRelease&amp;utm_code=jgbxsq&amp;utm_campaign=1434944+-+Assessment+of+the+Social+Commerce+Industry+2020-2027+and+Impact+of+COVID-19+-+Mobiles+Segment+Readjusted+to+a+Revised+39.2%25+CAGR+for+the+Next+7-Year+Period&amp;utm_exec=joca220prd" rel="noopener noreferrer" target="_blank" style="background-color: rgb(255, 255, 255); color: rgb(0, 0, 255);">$115.5billion.</a>&nbsp;&nbsp;

<h2>Augmented reality gets real</h2>Instagram and Snapchat filters have been around for a while, but augmented reality (AR) and virtual reality (VR) are becoming more sophisticated as users demand more engaging experiences.Experts say that AR also offers the potential to remove some of the pain points from online shopping.“We'll be able to try on items or see them in our home on our phone in an instant,” says Karyn Parkinson, director at<a href="https://unstoppableecomm.com/" rel="noopener noreferrer" target="_blank" style="color: rgb(49, 49, 49); background-color: transparent;"> </a><a href="https://unstoppableecomm.com/" rel="noopener noreferrer" target="_blank" style="color: rgb(0, 0, 255); background-color: transparent;">Unstoppable eCommerce</a>.“This will give the buyer a more hands-on experience and will overcome a huge barrier that currently exists with online shopping (that is, not being able to touch, feel and try on the product).”Plus, she adds, “as software becomes cheaper and more accessible, we'll see more businesses start to use augmented reality for e-commerce”.

<h2>Increased focus on UGC</h2>Customers are demanding authentic, real-time and real-life reviews of products before they will buy, with<a href="https://embedsocial.com/blog/ugc-statistics/" rel="noopener noreferrer" target="_blank" style="color: rgb(15, 15, 15); background-color: rgb(255, 255, 255);"> </a><a href="https://embedsocial.com/blog/ugc-statistics/" rel="noopener noreferrer" target="_blank" style="color: rgb(0, 0, 255); background-color: rgb(255, 255, 255);">research</a> out of EmbedSocial showing that UGC content has a 35 per cent higher engagement rate on social media than branded content. Brands will utilize this to drive brand awareness, trust and sales, with UGC as a major part of their marketing strategy.&nbsp;“UGC is a fantastic way to build trust and social proof and is very cost-effective, so I think we will be seeing more brands embedded UGC throughout their e-commerce experience and in more marketing touchpoints (retargeting ads, drip-feed emails etc),” says Williams.

Text Caption

Here are the social media trends to know in 2022 to help retailers and merchants stay ahead and drive sales.

Here are the social media trends to know in 2022 to help retailers and merchants stay ahead and drive sales

6 social media trends brands and retailers need to know in 2022

6 social media trends you need to know in 2022

Six social media trends you need to know in 2022 US

Partywear, pets, and a festive “homecoming” for in-store shopping marked the 2021 holiday shopping season. More people shopped outside their homes and beyond their usual categories, using Afterpay in-person at their favorite retail stores.Each year, we dive into the&nbsp;data from Afterpay users and merchants to find the leading holiday shopping season trends, from where people shopped to what they bought. Here are the top six trends from 2021, plus advice for retailers as they prepare for the year ahead.&nbsp; 1. In-store shopping returned﻿2021 saw an in-store shopping growth of 384% year-over-year, with a 442% increase on Black Friday alone. Last year, consumers embraced ecommerce and BOPIS (buy online, pick up in store) to check off their holiday shopping lists. While online shopping remained strong, more consumers were open to visiting their local malls and shops to browse and buy in-person. This is good news for merchants with brick-and-mortar locations. As Omicron may dampen social activities for a few more weeks, expect a bustling spring shopping season.&nbsp; 2. Mobile-first shopping drove referralsThis season, we invited shoppers to “Afterpay it” with their holiday shopping lists–and they did. Consumers discovered new brands and products via Afterpay, driving a 41% increase in referral traffic to merchants. More than 90% of those referrals came from the Afterpay mobile app. Much of that was driven by young shoppers, with 11% more Gen Z consumers shopping our platform year-over-year between Black Friday and Cyber Monday. 3. Shoppers favored convenience and varietyDepartment stores, a retail format that had lost favor among younger shoppers in recent years, saw a resurgence this season. Shopping with department stores was up 256% year-over-year, in part due to the convenience of finding gifts for everyone in the family all at one place. Consumers also turned to gift cards to ease the holiday shopping burden, especially given the ongoing supply chain issues - spending on gift cards multiplied 50x year-over-year. 4. People got out in styleThe return of holiday office parties and social gatherings drove an uptick in spending on partywear. Shoppers sought to dazzle, with velvet and sequin clothing increasing 188% and 146% year-over-year, respectively. Glamorous outfits like these have the added benefit of helping people feel more confident and outgoing–traits that will help us all ease back into social events in 2022. Consumers also boosted their confidence by hitting the slopes, with a 10x increase in spending at ski and snow merchants.&nbsp; 5. Pets were pampered&nbsp;From leashes and collars to bespoke bowls, consumers upgraded their pet’s apparel and accessories this season. Quarterly sales in the pet category were 376% - a strong indicator that more consumers are using Afterpay for more than just their apparel and beauty spending. Expect this category to continue growing as people further integrate their furry companions into their lives this year. 6. Not to be forgotten: home makeoversHoliday outings aside, consumers still spent a lot of time at home. Spending in the home goods category grew 49% year-over-year. During the busy Black Friday and Cyber Monday period, leading items included air fryers, candles, and coffee makers - up 22% year-over-year. As cold weather and Omicron loom over the next few months, expect this category to continue to perform well.&nbsp; 6. Inclusivity is inGender-fluid and gender-inclusive clothing continued to grow as a category. Sales for products described as “unisex” grew 57% year-over-year as&nbsp;more brands expanded their gender-fluid and unisex product lines. Shoppers also gravitated toward diverse businesses for their holiday shopping, with more than a half a million customers supporting Black and female-owned businesses.&nbsp;

“With this newfound appetite to go back into stores, consumers showcased braver shopping decisions and emulated their fashion senses across all their lifestyle choices,” says Shakaila Forbes-Bell, Afterpay’s consumer shopping psychologist.

Looking ahead: Shopping in 2022“With this newfound appetite to go back into stores, consumers showcased braver shopping decisions and emulated their fashion senses across all their lifestyle choices,” says Shakaila Forbes-Bell, Afterpay’s consumer shopping psychologist. In 2022, “people will continue to build off their style into their homes or through their pets - cementing these categories from one-off trends to staple items. In this permanent hybrid world, we can expect even more experimental consumer behavior across the board."Growth of BNPL will continue in the US and globally as well. Last year, spending on BNPL in the US alone increased 230%, as consumers opt to spend responsibly without incurring interest. With more consumers looking to use Afterpay to discover and pay for products in all areas of their life, we expect merchants from a broader range of categories to join us in 2021. ﻿Want to speak with a member of our team about increasing traffic to your site or store front? Reach out to us by clicking <a href="https://retailers.afterpay.com/merchant-enquiry/" rel="noopener noreferrer" target="_blank" style="background-color: transparent; color: rgb(17, 85, 204);">here</a>.&nbsp;

That’s a Wrap: Afterpay’s Insights from the 2021 Holiday Shopping Season

Beyond meeting Afterpay users and seeing the latest designer styles, our favorite part of New York Fashion Week was speaking with merchants on the leading edge of retail transformation at our House of Afterpay pop-up.

One of the most insightful panels focused on the next wave of retail innovation. Leading the conversation was Jill Manoff, Editor in Chief of Glossy, who was joined by Raissa Gerona, Chief Brand Officer at Revolve; James Aquilina, SVP/GM, International &amp; Global Commercial, M·A·C Cosmetics; and our own Nick Molnar, Co-founder and CEO of Afterpay. Together, they talked about the power of authenticity when partnering with creators and influencers; how brands can implement technology with humanity; and the importance of staying true to values.&nbsp;

Vimeo Embed

Transformation and innovation are not new themes within the retail sector, but the how, when, where, and why of consumer shopping behavior change constantly. The COVID-19 pandemic accelerated some trends and surfaced others, causing many merchants to rethink strategies ranging from omnichannel to payments.&nbsp;Revolve, a fashion retailer for Millennial and Gen Z shoppers, started as an online retailer but has experienced rapid growth by being present wherever customers are. Gerona noted that Revolve’s offline and social media presence is just as important as connecting with customers via its online store, allowing the brand to engage with shoppers in multiple ways, multiple times a day. Even more important is how Revolve views customers: as friends. This has enabled the brand to foster relationships with a growing network of influencers who support Revolve. In these efforts, Gerona said, it’s critical that brands empower audiences but not direct them--it’s all about individuality and authenticity. Ambassadors and influencers have been especially important throughout the pandemic, as brands around the world were forced to find meaningful ways to connect with consumers without the benefit of in-person stores or experiential activations.&nbsp;MAC Cosmetics takes a similar viewpoint, especially in regard to the brand’s 13,000-strong community of MAC makeup artists. These incredible artists are encouraged to be ambassadors for the brand through authenticity, self-expression, and creativity--and they bring customers along with them. This kind of human-to-human connection is vital in a world that is increasingly online and digital.&nbsp;MAC has proven that technology and humanity don’t have to be at odds--the brand has invested heavily in tech that enables human connection and brings the physical experience of shopping to whichever device a customer has in-hand. This involves virtual makeup try-ons and shade matching, providing tech to makeup artists so they can provide individual-level service to customers, and offering the convenience (and safety) of buy online, pick up in store via Afterpay, or delivery via Postmates and Uber.&nbsp;Generation Z is nothing if not adaptable, and adapt they did throughout the pandemic. Molnar was candidly surprised at how eagerly this generation has embraced the Afterpay brand and integrated it into their lives. The growing distrust of traditional credit cards among this generation and among Millennials has made Afterpay a wallet staple for today’s consumers. But it’s Afterpay’s ecosystem of engaged merchants, influencers, and users that has made it a magnet to next-gen shoppers. Discovery, Molnar noted, is central to the Afterpay experience, and why the Shop Directory drives so much traffic for merchants. It’s also why Afterpay has expanded to brick-and-mortar stores in recent years; the magic of in-person shopping will always be a draw to many consumers.&nbsp;Omnichannel has become central to so many retailers’ growth strategies as the ability to seamlessly blend in-person, out-of-home, mobile, and online brand experiences is critical for merchants. Aquilina noted that beyond providing that seamless and engaging experience, MAC works to understand the culture of local markets and offer solutions based on employee and customer sensitivities. As a brand with significant presence in both the East and West, MAC approaches the modernization of its retail experiences with both local and global nuances in mind--such as offering WeChat programs in Shanghai to help customers better navigate stores.&nbsp;Ultimately, succeeding in retail transformation comes down to values. For Revolve, that’s recognizing that diversity and inclusion are non-negotiable--from who Revolve hires to who leads the brands it carries. Innovation can only get a brand so far--they must put in the work to be reflective of the customers they serve (for example, Gerona noted that 80% of Revolve’s 800 brands are women-owned!).Afterpay has always been about enabling people to get what they need or want now, without worrying about paying up front or being saddled with fees down the line. Early in the pandemic, Afterpay recognized the financial hit so many consumers experienced due to lost income, and launched a series of promotions to further enable people to get what they need. People responded and engaged enthusiastically, noted Molnar, and have since paid Afterpay back as loyal customers--simply because Afterpay remained true to its values. And that is perhaps the most transformational approach a brand can take today.

To learn more about innovation, trends, and transformation in the retail sector, follow our merchant blog.&nbsp;

Beyond meeting Afterpay users and seeing the latest designer styles, our favorite part of New York Fashion Week was speaking with merchants on the leading edge of retail transformation

Exploring the Next Wave of Retail Innovation

Exploring the Next Wave of Retail Innovation with MAC Cosmetics, Revolve, and Afterpay at NYFW

For many of our app users, Afterpay is more than a way to pay flexibly. It’s also a tool to easily discover new products, brands and retailers to love.

Our customers asked and we delivered: we’re excited to introduce Favorites. Now available on the latest version of the Afterpay app for <a href="https://apps.apple.com/au/app/afterpay-shop-now-pay-later/id1230286588" rel="noopener noreferrer" target="_blank">iOS </a>and <a href="https://play.google.com/store/apps/details?id=com.afterpaymobile&amp;hl=en_AU&amp;gl=US" rel="noopener noreferrer" target="_blank">Android</a>, Favorites allows users to easily save and track the products they want right from their mobile devices.We developed Favorites in direct response to user demand and our own research. When our customers are shopping online, they’re not always in a position to buy a product immediately and often rely on bookmarks to save stores and products they want to keep track of. With Favorites, customers can rest assured knowing they can save items to revisit at a later date.Favorites incentivizes shoppers to return more frequently to track saved items, which means increased referral traffic from return shoppers to our merchant partners. The more users leverage Favorites, the more personalized their Afterpay recommendations become as an added benefit.

As our customers better track products directly from the Afterpay app, product discovery is increased and the overall shopping experience is enhanced.To use Favorites, shoppers simply tap the ❤ on stores in the Shop tab or save any product from retailers using the in-app browser. Users see recent Favorites at the top of their home screen and track them all from the Profile menu.

For many of our app users, Afterpay is more than a way to pay flexibly. It’s also a tool to easily discover new products, brands and retailers to love.