The State of Marketing Compliance for the Buy Now, Pay Later Industry
We surveyed BNPL compliance leaders on their organization's marketing compliance practices for insights into trend information on the depth of compliance programs, concerns, and challenges.
Here are the top marketing compliance program insights that BNPL companies can use to benchmark their initiatives in 2023.
Keeping up with regulations and budget are top marketing compliance challenges
Almost half (48%) of respondents said that keeping up with regulations was a top marketing compliance challenge, which makes sense given the evolving regulatory environment for this industry.
BNPL lenders are increasingly struggling with budgets in 2023. 24% of respondents said that budget is a top challenge this year, compared to only 7% in 2022.
Employee costs, compliance technology, and training/development are top areas of marketing compliance spend
With current budgets, BNPL companies are spending the most on employee costs (35%) and compliance technology (35%).
Half of Buy Now Pay Later companies expect budgets to increase in 2023
Half (50%) of BNPL companies said that they expect budgets to increase in 2023, and the other half said that they do not.
Federal and state regulatory changes and data privacy are top regulatory concerns for 2023
38% of respondents said that federal regulatory changes (including impending BNPL industry regulation) are a top concern for 2023.
15% said that state regulatory changes are a top concern, followed by data privacy and protection (13%), and UDAAP (8%).
Other concerns include fair lending and personal liability.
Over half of BNPL companies lack compliance monitoring on at least one marketing channel they're currently using
56% of BNPL companies reported that at least one marketing channel that they're currently using is not monitored for compliance.
No matter what marketing compliance challenges your company facing, PerformLine has a solution.
Struggling with comprehensive oversight of your merchants? Our omni-channel compliance monitoring solution can help with that.
Trying to keep up with an ever-changing regulatory landscape? Our ready-to-use rulebooks cover a wide range of existing and new regulations and guidelines for your industry and product(s).
Budgetary or bandwidth restraints? PerformLine can help ease the strain on your compliance team while increasing your coverage.
Don’t know where to start with your compliance program? We have years of experience working with similar companies and can get you started.