The Sezzle Inc (ASX: SZL) share price is up, it has just announced that it has signed a partnership with Market America Worldwide, owner of SHOP.com.
How good is this for the Sezzle share price?
Sezzle said that Market America Worldwide is a global product beverage and internet marketing company, which owns SHOP.com, it’s ranked number 19 in Newsweek’s best US online shops.
Market America Worldwide has forged this partnership with Sezzle to provide its global independent distributors (called UnFranchise Owners), their customers and all online shoppers with a flexible and payment option. That seems like a good part of the deal; the merchants will also be able to use the buy now, pay later option.
The US online business was attracted to the fact that Sezzle approves 9 out of 10 consumers for purchase and is routinely voted the best shopping experience and most trusted by consumers. It made the decision a “no-brainer” according to the US business.
Initially, the Sezzle buy now, pay later offering will be made available to all US consumers through SHOP.com and to all US UnFranchise Owners through the UnFranchise.com website beginning early in summer 2021 – which suggests it’ll be in a couple of months. Future plans include to make Sezzle available to online shoppers on Market America Worldwide’s other e-commerce websites over time.
The market will have to decide what to do with the Sezzle share price in reaction to this.
Management comments
Sezzle CEO Charlie Youakim said:
“We’re thrilled to add Market America Worldwide SHOP.com to Sezzle’s extensive base of leading e-commerce brands. This partnership opens the door for millions of shoppers to access Sezzle’s barrier-breaking, next generation of payments. With a shared dedication to shoppers and an innovative approach to e-commerce, our teams have already created a strong relationship that will service our shoppers well.”
Summary thoughts about this for the Sezzle share price
I’m not surprised the Sezzle share price is up in reaction to the news. This one deal alone isn’t going to change things in a huge way, but there’s the potential for more partnerships with other websites.
Sezzle is one of my preferred ASX shares in the BNPL space, but I’m not sure what a good price is to pay for businesses in the sector. So I’m looking at other ASX growth shares right now instead.
