Retailer Guide to Afterpay

Take advantage of Afterpay to grow your business and get convert customers who might be on the fence about your products.

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You might have seen Afterpay spring into every retailer out there seemingly overnight. If you’re trying to decide if it will be right for your business, this guide will take you through what you need to know.

How does Afterpay work for retailers?

As a retailer, the Afterpay signup process is quick and relatively simple. When you fill out the enquiry form, a customer service representative will contact you in order to discuss your needs with Afterpay. Afterpay works both online and in-store, so you can choose how it suits you best.

If a customer buys something online using Afterpay, they simply select Afterpay at the checkout, and once the customer has received their item, Afterpay will settle with you and assume any credit or fraud risk. The instalments that the customer pays go to Afterpay instead of you since Afterpay will pay the debt that is owed to you initially.

How does Afterpay integrate with my point of sale?

Afterpay integrates with a variety of point-of-sale platforms as well as ecommerce platforms that you might have used to integrate online sales into your website. Some platforms that Afterpay instantly integrates with include:

  • Commerce Vision
  • Futura4Retail
  • Infinity
  • Island Pacific
  • Neto
  • Shopify
  • Magento
Afterpay may also be able to assist you outside these platforms. Afterpay offers comprehensive technical support for the initial integrations and ongoing maintenance if something should go wrong.

What benefits does Afterpay offer my business?

Some of the features that can benefit your business with a merchant agreement with Afterpay include:

  • Set installments for customers. Afterpay informs you about purchase installment amounts and frequency to make it easier for potential customers to decide whether or not they want an item.
  • New customers. Afterpay gives you the opportunity to benefit from more sales and the possibility of an increased customer base.
  • Rise in repeat purchases. The likelihood of repeat customers to purchase from your business increases, plus they will be more inclined to spend more per transaction.
  • Payment upfront. As soon as the customer receives their item, Afterpay settles with their merchants quickly and automatically. There are no complicated processes or lengthy wait times associated with payment.
  • Name recognition. As Afterpay is currently used by over 1,400 retailers across the country, it’s clear to see that customers from all industries are a fan of it. You are able to benefit from this recognition if you incorporate Afterpay into your business.
  • Zero fraud or credit risk. This is really important. Although it might seem like Afterpay could be high-risk, Afterpay assumes all end-customer non-payment risk for every transaction. This takes you and your business off the hook and you no longer have to chase up defaulting customers.

How much will Afterpay cost my business?

The fees that you can be charged depend on your business's agreement with Afterpay. However, the fees below are a general guide as to what businesses can expect with an Afterpay agreement.

  • A $0.30 fee per transaction.
  • A commission rate fee that is applied per transaction. This can range from 4-6% based on your agreement.

Although $0.30 per transaction doesn’t seem like a lot when you’re selling your products for much more than that, it’s important to factor in the commission rate fee as well.

What interest-free plans does Afterpay offer shoppers?

Now that you’re convinced about Afterpay, you might have a few questions as to how it works for your customers. Afterpay is a credit line for customers, where they use it to buy items from your store (online or in a physical shop) and pay the money back later.

Customers make four payments made over an eight-week period, with the first payment taken at the initial purchase of the item. If they do not adhere to the payment schedule, they are charged late fees until they have paid off their instalment.

The eight weeks are interest-free, so the customer owes the instalments that are reflected on the website.

How do I start offering Afterpay at my store?

In order to start offering Afterpay at your store, you just need to fill out the online enquiry form that is available on their website. Some of the details that you need include:

  • Your ABN
  • Your Point of Sales (POS) provider
  • Your average order value
  • The total for your annual sales
  • The payment platform you use
  • Personal details, such as your name and address
  • Your industry
  • The type of business you have
  • What sales channels you use and whether they’re online, in-store or both

Once you provide all of this information and more, a representative will get back to you within the next 24-48 hours.

FAQs about Afterpay

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13 Responses

    Default Gravatar
    JoshuaSeptember 5, 2019

    What customer info does the retailer get from a customer who wishes to pay using Afterpay?

      Avatarfinder Customer Care
      JeniSeptember 5, 2019Staff

      Hi Joshua,

      Thank you for getting in touch with Finder.

      The customer who is paying with Afterpay in the store will have a barcode which will be used to process the payment. The merchant/retailer only gets the order details like the amount, the order date, time, month and year as well as the Afterpay order number but not the customer’s personal info.

      I hope this helps.

      Thank you and have a wonderful day!


    Default Gravatar
    WayneJuly 14, 2019

    I own a retail store in the bathroom and Flooring industry is there a minimum or maximum spend we can offer our customers ?

      Default Gravatar
      NikkiJuly 15, 2019

      Hey Wayne,

      Thanks for reaching out!

      The minimum spend or purchase amount for an Afterpay payment is $35. Retailers on the Afterpay platform provide a limit per transaction, which
      at its maximum is $1,500. The maximum outstanding limit is $2,000, which is reserved only for customers who have previously demonstrated strong repayment capability behaviour over time with Afterpay.

      According to Afterpay, Average orders using Afterpay are around $150 which is really aimed at providing customers with a budgeting tool to spread out payments over time. First-time Afterpay users always need to pay the first instalment upfront

      Hope this helps! For any further questions, feel free to reach out to us again, we’re here to help.


    Default Gravatar
    KarenMay 21, 2019


    I would like to offer Afterpay as a payment option to customers in my party plan business. This is a reputable business associated with the direct selling in Australia. This payment option would increase sales dramatically. Is it possible?

      Avatarfinder Customer Care
      JeniMay 21, 2019Staff

      Hi Karen,

      Thank you for getting in touch with Finder.

      Please note that Afterpay is a ‘buy-now-pay-later’ platform that allows customers to pay for their purchases over four, fortnightly installments. I’m afraid that they only offer their payment methods to merchants and not to service providers. You may contact their support directly to discuss your possibility of using their payment method on your party plan business.

      I hope this helps.

      Thank you and have a wonderful day!


    Default Gravatar
    MarioFebruary 12, 2019

    Hi all!

    I have a physical store and an online store. If I have Afterpay registered for my online store, how can I also apply it to my physical stores?

      Avatarfinder Customer Care
      JoshuaFebruary 13, 2019Staff

      Hi Mario,

      Thanks for getting in touch with finder. I hope all is well with you. :)

      You would need to directly get in touch with Afterpay. The same process applies. You would still fill out the online enquiry form that is available on their website. When filling out the form, you can indicate that you are running both an online and in-store shop. After about 24-48 hours, someone from Afterpay should be getting in touch with you.

      I hope this helps. Should you have further questions, please don’t hesitate to reach us out again.

      Have a wonderful day!


    Default Gravatar
    StoreWALLJanuary 16, 2019

    If you are an online business like us, you need to use a shopping cart service which is has integration with afterpay. It can’t be just any shopping cart, and from reading many forums they don’t do one off integrations (it is only with major shopping carts).
    The 6% (ex GST) fee is steep so you need to be comfortable you will get new sales from it.

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