Tokopedia has expanded its digital payment method offerings with the introduction of GoPayLater Cicil for select Tokopedia customers, allowing customers to convert shopping transactions into installments with a choice of one, three, six or 12 months.
GoPayLater Cicil has a limit of up to Rp 15 million (US$1008). The method is carried out in an integrated and seamless process from registration to disbursement, collaborating with a number of financial services partners, including Bank Jago as GoTo's strategic partner.
With a fast-and-easy activation process, GoPayLater Cicil users can adjust the payment tenor and loan limit, while also having peace of mind, as the method is transparent with no hidden fees; the only fee applied is the instalment fee that starts at 2 percent per month.
GoPayLater Cicil complements the list of payment options with an instalment scheme on the Tokopedia platform as part of GoTo, the largest digital ecosystem in Indonesia.
Tokopedia SVP of Fintech and Payment Vira Widiyasari said that GoPayLater Cicil is another way in which our ecosystem is providing benefits to users.
“The enthusiasm of Tokopedia customers in transacting using the Buy Now Pay Later (BNPL) method increased almost threefold in 2021 compared to the previous year. In the future, we will continue to make the lives of Indonesians easier by increasing collaborations and ensuring greater integration within the GoTo ecosystem,” she said.
The addition of GoPayLater Cicil at Tokopedia also supports GoTo's steps in developing its fintech business, as well as improving user experience and convenience.
Hans Patuwo, GoTo director and head of payments and financial services, noted that GoPayLater Cicil further complements the digital payment options available in the GoTo ecosystem.
“As business integration deepens and use cases increase across platforms, we will gain a broader understanding for underwriting and data scoring. This will enable us to innovate and deliver financial solutions that are inclusive, responsible and tailored to customer needs. Our innovation in fintech is part of our efforts at increasing financial inclusion in Indonesia," he said.
Previously, GoTo has introduced the GoPay digital payment option on Tokopedia, which has since become the most widely used electronic money (e-money) payment option on the platform, reaching 93 percent of the total value of e-money transactions on Tokopedia in Q1 2022.
Financial inclusion in Indonesia can be improved further, especially amid the acceleration of digitalization during the pandemic, as evidenced by the increase in electronic money transactions along with the growth of digital lending.
The digital lending service Buy Now Pay Later (BNPL) continues to grow as it is supported by a simple registration process and quick disbursement period, making financial services more accessible.
The service is predicted to continue to grow in Southeast Asia, particularly Indonesia where around 35 percent of the adult population does not have a bank account as reported in a joint 2021 survey by Bank Indonesia and the National Committee for Financial Inclusion (DNKI).
