Afterpay customers can now make a purchase in-store by simply tapping their Afterpay card on the payment terminal at checkout.

The card, which can be accessed in the digital wallet to make a purchase using Apple Pay or Google Pay, is activated in the Afterpay app.

Previously, Afterpay customers would use a custom barcode solution to make purchases in-store, which was first introduced to Australian and New Zealand customers in 2016. This required point of sale integration, which was often a barrier for merchants due to the time and cost attached.

By creating an Afterpay card, merchants can simply share a couple of data points with Afterpay to get started.

For customers, they simply need to complete a one-time card set-up via the Afterpay app to create their Afterpay card. At the checkout, they no longer need to ask for Afterpay or hand over their phone as they tap their virtual card at the point of sale like any other card.

According to Afterpay co-CEO and co-founder, Nick Molnar, more than 25% of Afterpay revenue is now generated in physical stores.

“To move beyond the barcode solution to an Apple Pay and Google Pay enabled card reflects a significantly enhanced customer experience but also the ability for retailers to integrate with no technical work required, particularly for small and medium sized businesses,” he said.

“Over the past five years we have built a strong in-store offering, with tens of thousands of merchants currently offering Afterpay in-store in Australia.

“The new Afterpay virtual card makes it even easier for millions of our Australian customers to split their in-store payments in four instalments without incurring interest. There is enormous opportunity to reach a new customer, who out of habit or preference, opts to shop in-store, to seamlessly utilise Afterpay at the point of checkout.

“Merchants will also benefit as it will remove integration effort and costs for their business to support Afterpay in-store, which in turn provides more merchants for customers to shop at, in more verticals, with more merchants on offer.

“We are committed to continually innovating our product and find new ways to be more accessible to our customers and add increased value to our merchant partners.”

The barcode solution will continue to be supported within the app for existing customers in addition to the card until July 2021. New Afterpay customers will only have the option to pay with the Afterpay card.