Buy now and pay later, the online payments method that has so far only been an option for Danish consumers, is now also available to Danish B2Bs. As the first stop in their Nordic expansion, the fintech company Biller is now entering Denmark with their buy-now-pay-later solution tailored for businesses. In Billers experience, this leads to an uptick in online sales of up to 30 percent.
With Biller's entry into Denmark, Danish B2B businesses are now able to offer their business customers a buy-now-pay-later solution. A solution that has so far only been available to consumers in Denmark.
"For some reason buy-now-pay-later only exists for consumers today. That´s surprising when you consider that it makes far more sense for businesses, who get simple and cheap credit without the administrative hassle when they buy their office supplies or other necessities for their business online. In our experience, sellers who add a buy-now-pay-later solution to their webshop are able to attract new customer segments and will see a potential increase in sales of up to 30 percent,” says Christoffer Worsøe, Country Manager for Biller in Denmark.
After launching in the Netherlands in 2021, Biller was in January 2022 acquired by Banking Circle Group, a global leader in financial infrastructure. Experience from the Netherlands show that webshops that integrate a buy-now-pay-later payment method see customers fill up their shopping carts with more items, simply because they can buy what they need when they need it for their business and pay later.
Biller´s experience is also that by adding a buy-now-pay-later payments method, webshops will see an increased conversion of 10 - 30 percent.
Danish B2B e-commerce is growing. A recent survey from the Danish Chamber of Commerce shows that almost two thirds of business buyers prefer to shop online. And they spend a whopping two thirds of their shopping budgets on webshops. Nevertheless, the 290,000 SMEs in Denmark think buying online is troublesome. The Danish Chamber of Commerce points out that 41 percent of Danish businesses believe it´s difficult to negotiate credit online. This discourages them from buying online.
“We will see a significant barrier removed when credit access and purchases on invoice in webshops are digitized and automated. With buy-now-pay-later for businesses we´ll get more SMEs started with e-commerce and they will have access to a much larger online market of suppliers. This represents a significant growth potential for Danish webshops and is fantastic news for the Danish business community and ultimately Denmark's competitiveness," says Niels Ralund, E-commerce Director at The Danish Chamber of Commerce.
As many as 37 percent of Danish companies prefer buying on invoice online. But a business often has to buy hundreds of thousands of Danish kroner in a year before it really pays off for a webshop to offer them payment on invoice. Credit approval often takes one to two weeks and requires a lot of administration and this discourages smaller businesses from e-commerce. The hassle associated with buying online leads smaller businesses to bundle orders in a few webshops to be able to postpone payments. It´s precisely here that Biller sees great growth potential in becoming the preferred form of payment for businesses.
The backbone of the Danish business community consists of SMEs. They represent a huge potential for webshops who lack a proper grip on their SME sales today:
"Our solution is particularly well suited to reach the SME market in a simple and efficient way. When we choose to launch in Denmark, as the first country in the world outside the Netherlands, it´s because Denmark is one of the leading digital nations in the world, but also because our customers can increase sales and expand the market massively to the many SMEs they are doing business with today," says Christoffer Worsøe, Country Manager for Biller.
Denmark is an important first step in Biller's expansion in the Nordic region and the rest of Europe. The ambition for Biller is to cover all of Europe within two years.
"We come well prepared to fulfill our ambitions to become the preferred payment method for B2B businesses in Denmark. We're going to invest whatever it takes to achieve our goals and expect to reach a double-digit growth in payment volume in millions this year, which we will multiply as soon as 2023. As a result, we are also in the process of expanding our team in Denmark with the right commercial competencies and expect to grow our Danish office from three to five employees this year. Our Danish team will be supported by Biller's 100 employees when we reach 2023," says Christoffer Worsøe.
Biller is an AI-powered payment method that connects B2B buyers and sellers in a digital world. Biller has automated the buying process and removed the administrative hassle of online trading between companies. With Biller, companies can buy the goods they need here and now and postpone payment by 30 days, just like with purchases on invoice. Biller comes as a plug-and-play solution which is easily integrated into the most commonly used webshop solutions in Denmark, e.g. Magento, Shopware and WooCommerce.
Biller was founded in 2021 and is headquartered in Amsterdam. Biller is revolutionizing the market for digital payment solutions, a market with an estimated value of approximately 600 billion euros. Biller has been part of the Danish Banking Circle Group since January 2022. Banking Circle Group provides financial infrastructure to leading global financial institutions such as Stripe, Alibaba, and Shopify while processing 6% of all European e-commerce transactions.