Twenty Percent of Consumers to Use BNPL this Holiday Season

TSG and ETA survey finds savvy consumers are leaning on easy-to-use payment technologies including BNPL, 1 click accounts, digital wallets, and eCommerce for holiday shopping

Omaha, NE, Nov. 16, 2022 (GLOBE NEWSWIRE) -- Economic uncertainty has driven many consumers in the U.S. to think twice about holiday shopping; however, savvy consumers are finding new payment technologies like buy now, pay later (BNPL), digital wallets, and eCommerce is making it easier than ever to shop.

Twenty percent of consumers said they plan to use BNPL this holiday season to help them manage their budgets. That’s according to new insights released by TSG (The Strawhecker Group), a globally recognized analytics, intelligence, and solutions-focused firm in the payments industry, and the ETA (Electronic Transactions Association), the world’s leading advocacy and trade association for the payments industry.

TSG and ETA surveyed over 1,000 U.S. consumers in October to see if some of the newer payment technologies and habits formed through the Covid-19 pandemic continue to drive payment choice at checkout. Download the associated infographic.

“We found that ease of use is the key driver for thirty-five percent of consumers,” says Mike Strawhecker, President of TSG. “Over fifty percent of shoppers now use peer-to-peer payment apps or leverage 1-click accounts as a method of payment.”

Another technology that continues to make strides is digital wallets. The study found that compared to last year, more consumers were planning to make at least some payments through a digital wallet this year (73% in 2021 vs. 78% in 2022).

Still, plastic remains king when it comes to holiday spending. Using a debit card at checkout was the most popular option for shopping in-store (61%), but both credit and debit card usage were equally popular online (57% and 55%, respectively). Payment with a credit card was the second most popular option for in-person spending (53%), followed by cash (39%) and then digital wallets (28%).

While pandemic concerns around in-store shopping have waned, 84 percent of consumers plan to shop online. The top three online channels for shopping this year are Amazon (71%), retailer websites (52%), and other marketplaces such as Etsy, Facebook, and eBay (19%). In fact, TSG found that eCommerce spend was up nearly 50 basis points during the week of Amazon’s second Prime Day (compared to 2021).1

Although concerns remain for consumers around affordability and inflation, savvy shoppers continue to enjoy the seamlessness of recent payment technologies as they fill their carts this holiday season. For more information about this study, please visit our website. or email us.

Survey Methodology: TSG and ETA surveyed 1,081 consumers in the U.S. to understand how payment preferences and spending trends have shifted this holiday season. The survey was conducted between October 18, 2022 and October 20, 2022. The survey represents consumers across demographics such as state, gender, age, and household income. The margin error is +/-3.0% at a 95% confidence level

1Data sourced from CLIMATE, powered by TSG. CLIMATE aggregates data from issuers and merchants through TSG’s external data partner, Replica. Replica provides detailed, timely data covering mobility, economic activity, demographics, and land use, with nationwide coverage. Email us to learn more.

About TSG

TSG (The Strawecker Group) is a globally recognized analytics and consulting firm that supports the entire payments ecosystem, serving over 1,000 clients from Fortune 500 leaders to more than a dozen of the world's most valuable brands. Trusted by industry leaders, TSG's strategic services, market intelligence, and analytics merge to empower clients with actionable and accessible information. Please visit

About ETA

The Electronic Transactions Association (ETA) is the world’s leading advocacy and trade association for the payments industry. ETA members span the breadth of significant payments and fintech companies, from the most prominent incumbent players to the emerging disruptors in the U.S and in more than a dozen countries around the world. ETA members make commerce most prominent by processing approximately $26.5 trillion annually in purchases and P2P payments worldwide and deploying payments innovation to merchants and consumers. Please visit  


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