IDEAS home Printed from https://ideas.repec.org/a/bcp/journl/v9y2025issue-9p9349-9369.html

The Impact of Buy Now, Pay Later Services on the Impulsive Buying Behavior of Generation Z in Shah Alam, Malaysia

Author

Listed:
  • Hariz Ikmal Bin Izham

    (University of Wollongong, Malaysia)

  • Karen Poon Yean Peng

    (University of Wollongong, Malaysia)

  • Aw Yoke Cheng

    (Berjaya University College, 55100, Kuala Lumpur, Malaysia)

  • Chong Kim Loy

    (UNITAR International University, 47301 Petaling Jaya, Malaysia)

  • Simranpreet Kaur Hansaram

    (UNITAR International University, 47301 Petaling Jaya, Malaysia)

Abstract

This research investigates the relationship between Buy Now, Pay Later (BNPL) services and impulsive buying behaviour among Generation Z consumers in Shah Alam. The study focuses on three key factors of BNPL usage ease of use, deferred payment structure, and perception of affordability and examines how these elements may influence impulsive purchasing tendencies. This study employed quantitative research design using a structured questionnaire. Distributed among Generation Z respondents in Shah Alam. Data was analyzed to identify significant relationships between BNPL features and consumer behaviour. The findings reveal a significant influence of BNPL's ease of use and perceived affordability on impulsive purchasing, providing insights into the financial habits and short-term spending patterns of young consumers. This study contributes to the understanding of how emerging financial technologies impact consumer markets, with implications for businesses, financial service providers, and policymakers.

Suggested Citation

  • Hariz Ikmal Bin Izham & Karen Poon Yean Peng & Aw Yoke Cheng & Chong Kim Loy & Simranpreet Kaur Hansaram, 2025. "The Impact of Buy Now, Pay Later Services on the Impulsive Buying Behavior of Generation Z in Shah Alam, Malaysia," International Journal of Research and Innovation in Social Science, International Journal of Research and Innovation in Social Science (IJRISS), vol. 9(9), pages 9349-9369, September.
    • Handle: RePEc:bcp:journl:v:9:y:2025:issue-9:p:9349-9369
    as

    Download full text from publisher

    File URL: https://www.rsisinternational.org/journals/ijriss/Digital-Library/volume-9-issue-9/9349-9369.pdf
    Download Restriction: no
    File URL: https://rsisinternational.org/journals/ijriss/articles/the-impact-of-buy-now-pay-later-services-on-the-impulsive-buying-behavior-of-generation-z-in-shah-alam-malaysia/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Ismah Osman & Nur Afizah Muhamad Ariffin & Muhammad Farhan Naim Bin Mohd Yuraimie & Muhammad Faiz Bin Ali & Muhammad Aziz Farhan Bin Noor Akbar, 2024. "How Buy Now, Pay Later (BNPL) is Shaping Gen Z's Spending Spree in Malaysia," Information Management and Business Review, AMH International, vol. 16(3), pages 657-674.
    2. Marco Di Maggio & Emily Williams & Justin Katz, 2022. "Buy Now, Pay Later Credit: User Characteristics and Effects on Spending Patterns," NBER Working Papers 30508, National Bureau of Economic Research, Inc.
    3. Richard H. Thaler, 2008. "Mental Accounting and Consumer Choice," Marketing Science, INFORMS, vol. 27(1), pages 15-25, 01-02.
    4. Stephanie M. Wilshusen, 2022. "Consumer Credit Card Payment Deferrals During the COVID-19 Pandemic," Consumer Finance Institute discussion papers 93694, Federal Reserve Bank of Philadelphia.
    5. Norhafizah Abdul Halim & Shazwani Mohd Salleh & Siti Noor Syalwani Mustapa & Norhasyikin Rozali & Siti Murni Mat Khairi, 2024. "“From Instant Gratification to Long-Term Consequences: How Buy Now, Pay Later Influences Consumer Behavior and Financial Stabilityâ€," International Journal of Research and Innovation in Social Science, International Journal of Research and Innovation in Social Science (IJRISS), vol. 8(9), pages 403-411, September.
    6. Pham, Thi Song Hanh & Ahammad, Mohammad Faisal, 2017. "Antecedents and consequences of online customer satisfaction: A holistic process perspective," Technological Forecasting and Social Change, Elsevier, vol. 124(C), pages 332-342.
    7. Lauren Ah Fook & Lisa McNeill, 2020. "Click to Buy: The Impact of Retail Credit on Over-Consumption in the Online Environment," Sustainability, MDPI, vol. 12(18), pages 1-15, September.
    8. Minkyung Choy, 2024. "The Effect of Payment Delay on Consumer Purchase Intention," Administrative Sciences, MDPI, vol. 14(9), pages 1-19, September.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Kumar, Ashish & Salo, Jari & Bezawada, Ram, 2024. "The effects of buy now, pay later (BNPL) on customers’ online purchase behavior," Journal of Retailing, Elsevier, vol. 100(4), pages 602-617.
    2. Lauren Skinner Beitelspacher & Thomas L. Baker & Adam Rapp & Dhruv Grewal, 2018. "Understanding the long-term implications of retailer returns in business-to-business relationships," Journal of the Academy of Marketing Science, Springer, vol. 46(2), pages 252-272, March.
    3. Mengyuan Zhou, 2022. "Does the Source of Inheritance Matter in Bequest Attitudes? Evidence from Japan," Journal of Family and Economic Issues, Springer, vol. 43(4), pages 867-887, December.
    4. Babak Naysary & Ruth Tacneng & Amine Tarazi, 2021. "Adoption of fintech services: role of saving and borrowing mechanisms," Working Papers hal-03335254, HAL.
    5. Nurnikman Podin & Nur Tasha Idayu Yusoff & Ng Rong Jie & Siti Nurbalqis Abd Halim & Nur Fatin Athirah Amran & Faizah Mohd Fakhruddin, 2025. "Exploring the Impacts of Buy Now, Pay Later (BNPL) Payment Method among Millennials and Generation Z in Malaysia," International Journal of Research and Innovation in Social Science, International Journal of Research and Innovation in Social Science (IJRISS), vol. 9(6), pages 6488-6503, June.
    6. Bożena Baczewska & Bogusław Block & Mariola Janiszewska & Krzysztof Leśniewski & Agnieszka Zwolak, 2022. "Assessment of Mood and Hope in Critically-Ill Patients as a Basis for the Improvement for the Palliative and Hospice Care," IJERPH, MDPI, vol. 19(16), pages 1-10, August.
    7. Yamani, Ehab, 2019. "Diversification role of currency momentum for carry trade: Evidence from financial crises," Journal of Multinational Financial Management, Elsevier, vol. 49(C), pages 1-19.
    8. Julian Hackinger, 2024. "Cognitive ability and the house money effect in public goods games," Journal of the Economic Science Association, Springer;Economic Science Association, vol. 10(2), pages 393-414, December.
    9. David R. Bell & Jeongwen Chiang & V. Padmanabhan, 1999. "The Decomposition of Promotional Response: An Empirical Generalization," Marketing Science, INFORMS, vol. 18(4), pages 504-526.
    10. Martín Egozcue & Sébastien Massoni & Wing-Keung Wong & Ričardas Zitikis, 2012. "Integration-segregation decisions under general value functions : "Create your own bundle -- choose 1, 2, or all 3 !"," Post-Print halshs-00747008, HAL.
    11. Gerlinde Fellner & Matthias Sutter, 2009. "Causes, Consequences, and Cures of Myopic Loss Aversion - An Experimental Investigation," Economic Journal, Royal Economic Society, vol. 119(537), pages 900-916, April.
    12. Arkes, Hal R. & Hirshleifer, David & Jiang, Danling & Lim, Sonya, 2008. "Reference point adaptation: Tests in the domain of security trading," Organizational Behavior and Human Decision Processes, Elsevier, vol. 105(1), pages 67-81, January.
    13. Hossain Tanjim & Morgan John, 2006. "...Plus Shipping and Handling: Revenue (Non) Equivalence in Field Experiments on eBay," The B.E. Journal of Economic Analysis & Policy, De Gruyter, vol. 6(2), pages 1-30, January.
    14. repec:osf:socarx:ucyzb_v1 is not listed on IDEAS
    15. Matthew G. Nagler, 2016. "Equilibrium with Consumer Adjustment to Choice," Working Papers 10, City University of New York Graduate Center, Ph.D. Program in Economics.
    16. Schade, Christian & Steul, Martina & Schröder, Andreas, 2002. "Starting points' effects on risk-taking behavior," SFB 373 Discussion Papers 2002,15, Humboldt University of Berlin, Interdisciplinary Research Project 373: Quantification and Simulation of Economic Processes.
    17. McHugh, Sandie & Ranyard, Rob & Lewis, Alan, 2011. "Understanding and knowledge of credit cost and duration: Effects on credit judgements and decisions," Journal of Economic Psychology, Elsevier, vol. 32(4), pages 609-620, August.
    18. Sutter, Matthias, 2007. "Are teams prone to myopic loss aversion? An experimental study on individual versus team investment behavior," Economics Letters, Elsevier, vol. 97(2), pages 128-132, November.
    19. Liu, Zhiqiang & Yan, Miao & Fan, Youqing & Chen, Liling, 2021. "Ascribed or achieved? The role of birth order on innovative behaviour in the workplace," Journal of Business Research, Elsevier, vol. 134(C), pages 480-492.
    20. repec:ehl:lserod:33114 is not listed on IDEAS
    21. Kim, Joonkyung & Zhao, Min & Soman, Dilip, 2023. "Converging vs diverging: The effect of visual representation of goal structure on financial decisions," International Journal of Research in Marketing, Elsevier, vol. 40(2), pages 362-377.
    22. Kristien Werck & Bruno Heyndels & Benny Geys, 2008. "The impact of ‘central places’ on spatial spending patterns: evidence from Flemish local government cultural expenditures," Journal of Cultural Economics, Springer;The Association for Cultural Economics International, vol. 32(1), pages 35-58, March.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bcp:journl:v:9:y:2025:issue-9:p:9349-9369. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Dr. Pawan Verma (email available below). General contact details of provider: https://rsisinternational.org/journals/ijriss/ .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.