Benjamin Quinlan’s Post

Here’s an extract from a February 2022 report we published that pissed off A LOT of BNPL CEOs: “While we envisage a more sanguine future ahead for BNPL firms that can rapidly adapt their business models, it is going to be a case of ‘Buy Now, Pray Later,’ for those who fail to get it right.” In the report, we ripped the standalone BNPL business model to shreds. In fact, we predicted that most independent BNPL providers would be forced to shutter their operations unless they initiated rapid - and drastic - changes to their business models. Why? Because the unit economics of most standalone BNPL businesses didn’t make any sense. This was an unpopular (and contrarian) opinion at the time, especially vis-à-vis what our global competitors were saying. So much so that it that prevented us from winning any additonal business in the BNPL space (i.e. the firms we genuinely wanted to help did not want to work with us). In fact, in the words of one BNPL CEO (which has since flunked): “If you’re not a fan of our business model, why on earth would I want to work with you?!” So, were we right? In the 21 months following the launch of our report, it’s been a bloodbath in the BNPL industry. Countless standalone BNPL firms have closed up shop (e.g. LatitudePay and Openpay in Australia), exited markets (e.g. Atome exited from Hong Kong in April 2023), and/or entered into Liquidation (e.g. Singapore’s Pace filed for a voluntary wind down in August 2023). Those left standing have either pivoted their businesses or heavily rationalised their operations. So yes, we were right. But the point of this post is not about giving Quinlan & Associates a pat on the back. It’s about reminding people of the value of good advice (and integrity) in an environment that rewards sponsored social media influencers and advertorials. While our opinions may sometimes be unpopular and can sit in stark contrast to the views of our competitors, we are never afraid to take a position. Even if that position is likely to lose us business. As long as our views are backed up as much as possible by hard facts / data (and not speculative hypotheses), I always believe in telling our clients the unfiltered truth. Just as you’d expect from your doctor! So, if your business is struggling to see light at the end of the tunnel, or if you’d simply like to make better data-driven decisions with respect to your strategy and operating model, drop us a line to find out how we can help you to “move the needle.” We are happy to deliver difficult messages if we believe it’s the best advice for your organisation - in short, advice that delivers results. After all, that’s what you should be paying a good consultant for! See our “Buy Now, Pray Later” report below if you’re keen on some good bedtime reading. Unlike Harry Potter, it’ll send your kids straight to sleep 😉 #bnpl #buynowpaylater #consumerfinance #consulting #managementconsulting #strategyconsulting