Mambu’s Simon Hammerschmidt On The Start Of A New Form Of Payment

Why It Matters

BNPL’s rise reshapes consumer spending habits and forces retailers to upgrade checkout experiences, while Mambu’s involvement signals a shift toward more integrated, low‑friction payment ecosystems that could redefine credit access.

Key Takeaways

• BNPL drives higher average basket size by spreading cost
• Consumers favor zero‑interest installments for everyday purchases
• Mambu positions itself as infrastructure partner for emerging payment models
• Retailers see increased conversion rates with seamless split‑payment options

Pulse Analysis

Buy‑now‑pay‑later has moved from a niche offering to a mainstream financing option, with global transaction volumes surpassing $1 trillion last year. The model’s success hinges on its simplicity: shoppers can defer payment without traditional credit checks, often at zero interest, which boosts average order values and reduces cart abandonment. Fintech platforms like Mambu provide the cloud‑native core banking infrastructure that enables lenders and merchants to launch BNPL products quickly, scaling to meet volatile consumer demand while maintaining regulatory compliance.

Hammerschmidt’s comments point to a next‑generation payment form that could make the checkout experience even more frictionless. By embedding low‑or‑zero‑interest installment plans directly into point‑of‑sale systems—both online and in‑store—retailers can offer instant financing without redirecting customers to third‑party apps. This seamless integration not only enhances the shopper’s perception of affordability but also encourages impulse purchases, as evidenced by younger consumers opting for higher‑priced items like handbags when payments are split into four easy installments.

The broader implication for the financial services industry is a push toward modular, API‑driven payment ecosystems. As BNPL matures, regulators are scrutinizing its impact on consumer debt, prompting providers to adopt transparent terms and robust risk models. Mambu’s strategic partnerships position it to help banks and fintechs navigate this evolving landscape, offering the scalability needed to launch innovative payment solutions while safeguarding against credit exposure. The convergence of easy access, zero‑interest financing, and embedded technology could herald a new standard for consumer credit, reshaping how money moves at the point of sale.

Original Description

Simon Hammerschmidt, Global Head of Strategic Partnerships at Mambu talks to FF News about the recent developments in the payments ecosystem with buy now pay later; and whether or not a new form of payment could lie on the horizon.

I think it’s the ease of access. It’s a kind of seamless process at the point of sale, whether you’re doing it from that e-commerce point of view or even at the till. I think it was also the element that it’s either low or zero interest. So, it’s just a way of spreading your purchase over a slightly longer period and therefore increasing wallet spend.”

“I know certainly with my kids they are more tempted to buy a slightly larger purchase. My daughter’s just got her first job. She’s happier to buy that handbag or that pair of shoes if she can just split that over 4 easy payments and it doesn’t actually cost her any more to do it.”