Travel now, pay later

IN FOCUS

In today’s newsletter, we look at:

• BNPL’s growth in Indonesia
• Klarna’s anticipated IPO

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Hey,

I feel like I stayed up late for all of last week. Shopee and Lazada’s deal countdowns and midnight sales have taken away precious sleeping time.

I’ve recently gotten into running again and wanted to get some new gear. What better day to do it than November 11, with vouchers and discounts aplenty? Some of the biggest deals, however, were only available with a buy now, pay later (BNPL) payment option.

But for some, BNPL is not just for deals. It’s also part of the daily grind. And as my Tech in Asia colleague Randy found in this week’s premium story, this is pretty clear in Indonesia.

BNPL has even found its way to the travel space, and has shown great potential for players like Tiket.com and Traveloka. But “with great potential comes great risks for consumers” – is that how the saying goes?

Meanwhile, in this week’s edition of the Hot Take, I look into a Swedish BNPL player, Klarna, and the potential effect of its IPO.

— Miguel

THE BIG STORY

Travel sector takes Indonesia’s BNPL industry on a joyride

Image credit: Timmy Loen

From train systems to gasoline stations, many of the country’s everyday services have spurred activity on BNPL platforms.