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  • Frank Tian

🎁 Pay Now, Get Later

Apple wants you to pay later, Amazon wants you to pay first.


This big tech in e-commerce revives the old model of Layaway.


How does layaway work?

  • You lock the price.

  • You pay by installment.

  • Get merchandise after full payment.

This form of purchase originated in the 1930s during Great Depression. It was also popular in the decades' post World War II and through to the 1980s.


Amid the 2008 Great Financial Crisis, layaway resurfaced at multiple retailers including Walmart.


Talking about 100-year supercycles? We are living through them.


Is the revival of layaway a one-off thing?


Probably not.


🇦🇺 Look at Australia, the hub of BNPL providers in recent years.


Up Bank rolled out MayBuy earlier this month, which allows a consumer to create an automated savings plan for a planned purchase.


There is another fintech in the emerging Save Now, Pay Later space, such as Accrue Savings.


🌏 In the backdrop is the fragile economy coming out of the pandemic, clouded by high inflation, labor shortage, and disrupted supply chain.


If you have unopened gift boxes in the basement and rarely worn clothes in the closet, one way to cope with the current environment is to control your own consumption behavior.


In the debt-driven economy, there is a limit on how much we can take.


Welcome to the revival of “Life Within Means”.


Further reading on Amazon Layaway


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