Dive Brief:
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BJ's Wholesale now allows shoppers to pay for purchases valued at more than $99 via Citizens Pay, a buy now, pay later payment option, the retailer announced on Thursday.
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The retailer will offer the service on its website for delivery, curbside pickup and buy online pick up in-store orders, the company said. Members can leverage Citizens Pay to finance products ranging from appliances and furniture to everyday essentials.
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Members can apply for a monthly flat rate loan and pay in installments for three, six, 12 or 24 months, per the announcement.
Dive Insight:
The pandemic and economic uncertainty have put consumers' personal finances on the edge, which has driven demand for alternative payment options in retail through services like Klarna and Afterpay.
Beauty retailer Bluemercury began offering Klarna installment plans in stores and online in April. Its parent company, Macy's, joined Klarna's retail lineup in October last year. Afterpay has made various retail partnerships to allow U.S. customers to make purchases using a virtual, contactless card, the company announced in October last year.
The integration of Citizens Pay into BJ's Wholesale's website furthers the warehouse club's omnichannel strategy.
"We're committed to delivering outstanding service to our members, and Citizens Pay will help create more flexibility for them to purchase what they need, when they need it," Chris DeSantis, BJ's Wholesale Club general merchandise manager of sundries and services, said in a statement.
The company appears to be positioning itself for future growth amid the ongoing COVID-19 pandemic. In February, the retailer released new mobile app features, including the ability to reorder previous purchases, digital coupons and in-app shopping lists.
Though BJ's Wholesale saw an increase in curbside pickup orders chainwide last year and higher membership renewal rates, it also experienced a dip in Q1 comp sales compared to the previous year. Still, the wholesale club chain plans to open more stores in Florida, New York, Michigan, Pennsylvania and New Hampshire this year.
The company named Bob Eddy as president and CEO in April following the passing of the retailer's 49-year-old former CEO and president, Lee Delaney.
