According to TransUnion’s Q1 2024 Consumer Pulse Survey, the Philippines is seeing a boom in Buy Now Pay Later (BNPL) services, mostly among Gen Z (aged 18 to 26 years old) with 65% saying they have made a purchase using it in the past 12 months.
Growing up with smartphones and social media, Filipino Gen Z are tech-savvy making them confident with online transactions. This generation’s technological literacy led them to be one of the major users of the BNPL services, which they see as an alternative credit-enabled payment method.
BNPL offers ease and convenience, where payment can be split into manageable installments. It further allows consumers to afford larger purchases by letting them tailor their payment terms to suit their current budget and financial capacity.
In addition to the growth of e-commerce comes the rising concern about the risk of fraud. Some of the common schemes reported are phishing, smishing, and money/gift card scams.
Fortunately, younger consumers have shown a growing awareness of spotting fraudulent and scam tactics. Based on the conducted pulse survey, the percentage of Gen Z who said they were not aware of being targeted by fraudulent schemes dropped by 9%, from 37% last year to 28% this year.
As Filipino Gen Z become more aware of fraud tactics, their increasing digital presence in the marketplace proves confidence in the security of online environments.
For more information, please visit the Philippines Consumer Pulse Study web page.
