Card issuing platform, Marqeta, has agreed a partnership with Scalapay to leverage Marqeta’s platform to issue cards online and in-store.
Specifically, the companies have signed a five-year exclusive contract. Marqeta will issue virtual cards for online and in-person transactions, creating a more seamless payments experience for merchants and consumers.
According to Marqeta’s fall 2022 State of Credit survey, more than 1-in-3 people (35%) surveyed said they now use BNPL more than credit cards.
Notwithstanding the conclusions in the report, US credit card balances are currently at record levels.
The flexibility of the Marqeta platform further enhances the shopping experience provided by Scalapay. By leveraging Marqeta’s innovative Just-in-Time Funding feature, once a Scalapay consumer is approved for their loan and completes a purchase, a virtual card is instantly created and funded for the exact loan amount. This card can be immediately used for payments both online and in-store through a digital wallet and via the existing checkout or POS. The result is an exponential expansion of the number of partners where customers can finance their purchases.
“We are constantly seeking new ways to leverage modern payment technologies with the aim of creating a seamless experience for our customers. Marqeta’s technical acumen and scalable platform are an ideal partner for us in supporting our partners to create better shopping experiences for their customers.” said Simone Mancini, CEO, Scalapay.
Scalapay: Italy’s first fintech unicorn
Scalapay has seen significant momentum since it was founded in 2019. It has raised over $727m in funding to-date. With more than 5,000 stores and 7,000 physical points of sale, Scalapay’s pay in 3 or 4 instalments’ products reaches more than 5 million users across Europe. Scalapay merchants have seen a 48% increase in average order value, increased cart conversion, and decreased abandonment rates. In addition, Marqeta will help accelerate merchant onboarding by reducing friction at the point of sale and creating a faster and more seamless experience for their end users.
