How BNPL is changing shopping habits
Black Friday has evolved into a month-long shopping event in South Africa, with consumers starting their bargain hunting as early as October. With the rise of Buy Now Pay Later services and a 94% growth in BNPL transactions, South Africans are finding smarter ways to manage their spending while retailers adapt to changing consumer behaviours both online and in-store.
Image: Henk Kruger
South African consumers are no longer waiting until the last week of November to hunt for bargains. With Black Friday now a month-long event, shoppers start eyeing deals as early as October. Larger retailers are expected to roll out bigger-ticket offers earlier, too. While this may pull some spending away from December, it reflects a growing need for consumers to plan for end-of-year and back-to-school costs.
E-commerce is expected to surge by the end of 2025, and digital payments will play a bigger role in Black Friday spend. With only one in five South Africans holding a credit card, services like Buy Now Pay Later (BNPL) are giving more shoppers access to promotions and driving sales growth. Through PayJustNow, retail transaction value grew 94% comparing November 2022 to November 2023, and a further 140% when comparing November 2023 to November 2024.
Consumers are leaning on BNPL for convenience, splitting payments on big-ticket purchases rather than dipping into savings. We’ve also seen a shift toward quality over quantity, paired with a stronger awareness of overconsumption. High-end second-hand stores, offering exclusive pre-loved designer fashion and accessories, were among last year’s top-performing BNPL sellers. Looking ahead, we expect electronics sales to climb, with Chinese manufacturers diverting more technology into South Africa and making it available at more accessible price points.
Despite e-commerce’s growth, brick-and-mortar retail remains a powerhouse. Just over half of PayJustNow’s Black Friday weekend transactions last year happened in-store, with emporium-style retailers, selling across categories like homeware, appliances, furniture, and electronics, drawing the most foot traffic. That said, decision-making starts online. In November, PayJustNow’s deals page attracted close to 50 million views, driving more than 100% growth in unique clicks to online stores. Notably, consumer interest surged early, with an 85% increase in site visits between September and October.
The sweet spot for discounts remains in the 25–30% range. While some partners have gone as far as 60% off in past years, we expect to see more of those aggressive promotions this year.
* McChlery is the chief data and analytics officer at PayJustNow.
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