E-commerce and Paytech: Examining the Dynamics of "Buy Now, Pay Later, The case of Scalapay

Abstract

Over the last decade e-commerce and fintech have been the subject of massive growth. In this perspective, the way of shopping has been changed and the need for convenience and fast transaction is growing especially for Millennials and Generation Z. This thesis explores the connection between e-commerce and Paytech, focusing on the "Buy Now, Pay Later" (BNPL) transaction method, presenting the case study of Scalapay. Chapter I defines e-commerce, providing definitions and today’s classifications into new business models. In this section, an Italian framework is given exploring new trends of transaction method. Chapter II traces the evolution of financial technology, also known as Fintech. A particular attention is put on the regulatory context at European level, demonstrating that the adaptability to the norms is one of the main features for fintech businesses and a powerful strength. Chapter III three delves into the definition and development of Paytech in Europe and Italy. New trends are set during the years highlighting regional variations and regulatory landscapes. Chapter IV analyzes the impact of BNPL on electronic commerce, emphasizing how it influences consumer behavior and purchase decisions. Chapter V presents the case study of Scalapay, demonstrating how BNPL transaction method integrated to an ecommerce boost the revenue, brand competitiveness, and increase conversion rates. Finally, this thesis aims to examine the value of Buy Now Pay Later transaction method in e-commerce business models, a SWOT analysis provides to understand possible implication for the actuation of this payment method. However, the growing popularity of BNPL changes consumer habits and credit expansion but without incurring in delinquent behavior. With the right strategy, BNPL applied to e-commerce businesses can leverage business competition and achieve greater success.