Pay afterwards: why it's smart, sometimes mandatory and increasingly popular

Online shopping has never been easier, but what about payment? More and more consumers choose to pay in arrears, and not without reason. In this blog you can read why this payment method is so popular, what the rules are, what possibilities you have as a webshop and what our members say about it from their own experience.

First see, then pay

In the Netherlands, it has become a legal requirement and quite normal for consumers to be able to pay at least 50% of their online purchases in arrears. That means: your customer can pay upon delivery or even afterwards. This prevents someone from paying and then receiving nothing, a reassurance, especially in times of online scams.
Did you know this is different abroad? Here, especially credit cards are the norm.

Note: this rule only applies in the Netherlands, so do you sell in Belgium as well? Then you don't have to offer this there, although it can be smart to do it anyway for your customer confidence.

How can you offer post-payment?

There are many ways for customers to pay. We list the most popular ones for you:

1. Klarna and Riverty

These payment giants immediately advance you the money and arrange the payment with the customer.
You have your money immediately.
The customer does have to go through a credit check, and so can be rejected.
You pay a commission.

2. In3 and SprayPay (spread payment)

With In3, your customer pays in three equal installments, without interest. SprayPay offers longer installments, sometimes with interest.
Ideal for more expensive purchases.
More administration and terms.

3. Invoice payment

Send an invoice yourself? It is possible, but keep in mind that you also bear the risk and do the administration.
Full control.
You have to go after your money if the customer doesn't pay.

4. Credit card with delayed debit

Some credit cards only debit after delivery. This only applies if you clearly state this.
Note: PayPal is not a post-payment method.

Where can you be sure of your money?

What do you gain as a webshop?

More turnover, more trust. Simply put: people buy faster if they know they don't have to pay until the product arrives. But there is more:

• Higher conversion: customers are less likely to drop out during the payment process.
• More professional appearance: Paying in arrears conveys reliability and inspires confidence, especially among new customers.
• More repeat purchases: a pleasant first experience more often leads to repeat customers.
• Improved customer satisfaction: customers feel more confident if they can first see if a product meets their expectations.
• Competitive advantage: do you offer postpayment and your competitor does not? Then you are more attractive to the hesitant buyer.
• No risk with outsourcing: if you outsource your payments to a payment provider, you often transfer the risk of non-payment.

"Since I've been offering post-payment, I've gained hundreds of new customers. Many people just find it safer."

But, there are drawbacks, too.

• Not every customer is approved by payment providers.
• You pay commission.
• And if you arrange it yourself, you run the risk of non-payment.

" Sometimes Klarna rejects a customer, but then I send a separate payment link. Those are often paid anyway."

Social issue

In addition to the disadvantages for you as an online shop, there is, of course, also a social issue. How often do we read in the news that consumers (especially younger generations) get into (money) problems because they buy everything on credit. They get into debt faster due to arrears and extra costs, and have trouble keeping track of their spending. On the one hand, this is an opportunity for online stores, but on the other, it is also an issue that causes society to have a negative view of late payments.

To conclude

Post-payment is not only a legal obligation, but also an opportunity. It helps to build trust, increase conversion and provide customers with a pleasant, safe payment experience. In addition, it makes your webshop look more professional and therefore more reliable. It also creates extra payment convenience, making consumers more likely to make a purchase.

At the same time, it also has disadvantages, such as extra costs for the webshop, the risk of customers being rejected by credit checks and, if you arrange it yourself, the chance of non-payment.

Therefore, choose a method that suits your webshop and your customers, and offer them the freedom to pay in their own way, while you keep a grip on your risks and costs.