Nice update Tirol01BNPLOverall slightly disappointed with SPT &...

Nice update Tirol01

BNPL
Overall slightly disappointed with SPT & the BNPL sector over the past few months, however, I’m still rather optimistic for SPT & ZIP. Vaccine, competition and margins all called into question, however, I’m not worried about this. SPT is complimentary to all other BNPL players, SPT reviews compared to other competitors are strong (just check out PayPal...) and SPT margins come from the merchants not customers.

SHARE PRICE
I’ve noticed SPT follows ZIP share price movements currently, fortunately for us ZIP is killing the USA market with 1.3million customers added in the first 3 weeks of November and more than 15,000 app downloads a day, surpassing APT. If ZIPs share price does well over the next few weeks and the shorter’s bugger off we could be in for a good run. SPT is a few years behind ZIP & APT and Brad is managing his costs wisely unlike some other BNPL players who are hiring like crazy and at some point will need to cut staff to manage costs, Brad is slowly building up the team while using third parties to assist. I often get frustrated but try and remember the importance of a strong foundation which may be overlooked by the market currently.

SPT PROGRESS
I’m expecting an announcement at end of this week or early next regarding a funding facility, visa update and sales update. SPT doesn’t seem too focused on merchant onboarding, this would indicate the Visa & MasterCard partnerships are still the focus.The reviews on trustpilot are improving each week and the new videos on YouTube have had 100k views in a day. As Brad said on LinkedIn, SPT is just beginning the campaign to reach millions of people.

OUTLOOK
The buying season is upon us and once that finishes the US will pass the next stimulus to keep up momentum. Value stocks are the focus at the moment such as banks and travel etc. I do expect this to shift next month, back to growth stocks. Let’s hope. We also need to remember unemployment is expected to increase for the next few years. BNPL will stay around for alittle longer yet!

Watch this space.