Just show the option: adding a BNPL payment option in online shopping can nudge purchase intention

Online retailers are seeking innovative strategies to boost consumer purchases. Previous research has primarily focused on the factors that affect the actual use of BNPL and its impact on consumption, yet neglected the potential presentation effect of a BNPL payment option itself on nudging product consumption. This study examines how the presentation of a BNPL option in e-commerce platforms influences purchase intentions. Five experiments and a supplementary secondary data analysis show that, just adding a BNPL payment option could alleviate consumers’ perceived financial constraints, thereby enhancing their purchase intention. This effect is particularly striking because it affects even those who have no intention of using BNPL or do not possess such accounts, which can be attributed to the high accessibility of BNPL. Furthermore, our study rules out the confounding influence of psychological budget and alternative explanations of increased choice on perceived control and product trust. Examining the moderating effects of purchase type (material vs. experiential) and consumers’ future self-continuity (high vs. low) provides online retailers with more targeted strategies. These insights provide an understanding of how digital nudges, particularly adding a payment option, can subtly shape consumption in e-commerce environments. Our research extends the existing literature on BNPL and consumption, offering practical managerial implications for online retailers to design the payment policy.