News
Zip Co (ASX:ZIP) is a buy now, pay later (BNPL) financial technology company that was founded in 2013. Zip Co boasts nearly 2 million Australian users, which is approximately 30 per cent of the total market.
Unlike its nearest competitors, Zip Co doesn’t break purchases into four or six instalments, instead consolidating account balances into a single ‘wallet’ and charging a minimum monthly repayment on the total.
Showing resilience amidst the early impact of covid-19, Zip Co highlighted a spate of new partnership agreements and cost-cutting measures which included reducing its full-time workforce by 20 per cent. As a result, the number of transactions from Zip Co actually grew in early April 2020, with the company stating that their monthly revenue was up 86 per cent in comparison to the same period from the previous year.
The company announced the launch of its Zip Business platform in August 2020, giving small and medium-sized enterprise (SME) clients a new pathway to access working capital via a similar BNPL model. It combined the launch with a new distribution partnership with eBay, where the new service will be rolled out to merchants across the eBay marketplace. As part of the deal, Zip Co said it would provide eBay merchants with “access to flexible lines of credit” to help cover short-term expenses such as inventory costs and marketing.
In October 2020, Zip Co announced a partnership with Visa, allowing customers to use their service with any retailer (physical store or online) where Visa is accepted. The service will operate with a virtual card which can also be added to Apple and Google wallets.
RELATED STOCKHEAD STORIES
Tech
Zip adds Australia’s largest shopping site eBay to partnership list
News
ASX Large Caps: Local shares cruise to a 5-month high; BNPL stocks surge
Tech
Stock Insiders: Zip continues to perform with strong growth ready to lead a BNPL turnaround
News
ASX Quarterlies: Return of international students boost iCollege results, share price rises ~5%
News
Short & Caught: Who was once short, but now they’re long on City Chic?
News
Closing Bell: Tech leads markets lower after Tesla falls flat and Hongkers goes bonkers, retreats to 2009 (sans the freedom)
News
ASX Quarterlies: The BNPL turnaround we’ve been waiting for? Zip delivers, share price up 5pc
Experts
SUNDAY ROAST: The ASX small caps that lit a fire under Stockhead’s experts this week
Tech
Zip Global CEO heads to the US to drive next phase of growth
Experts
Candlestick SE: Tell us, oh candles, when will the top 6 BNPLs be Buys again. No, really. Hey why are you laughing?
Experts
THE SUNDAY ROAST: The ASX small caps that lit a fire under Stockhead’s experts this week
Experts
MoneyTalks: These lithium stocks are running hot on trading platform Stake
News
ASX September rebalance: Which ASX stocks made the 200 club this quarter and why it matters
Experts
Experts react to ASX indices rebalance as mining stocks promoted, Zip booted
News
Closing Bell: Aussie coal stocks on power trip as EU crisis moves to Gazprom-1
Tech
A tale of two BNPLs: Zip records $1 billion loss; Prospa bottom line up 2,274%
Tech