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Zip has joined Amazon Australia as the online retail giant's first buy now, pay later service

Jack Derwin
  • Amazon Australia has chosen Zip as its first and – for now – only buy now, pay later service.
  • Zip announced its selection on Thursday and said it could now be used on all of the 125 million items available on the ecommcerce site.
  • While Amazon Australia has gotten off to a slow start, it is anticipated it'll become a dominant player in the still-growing online retail space.

In the bustling field of buy now, pay later companies, Zip has managed to pip the rest to the whale of retail – Amazon Australia.

On Thursday it announced that it had partnered with the Australian arm of the e-commerce behemoth – with a market cap of around $US840 billion ($1.2 trillion).

"We’re thrilled to offer Zip customers access to more than 125 million products on Amazon is a best-in-class retailer and Zip is looking forward to being able to give its customers a flexible way to pay," Zip CEO Larry Diamond said in a release issued to Business Insider Australia.

"The agreement with Amazon Australia demonstrates that Zip is no longer an alternative, but a mainstream payment option. We welcome Amazon Australia with wide arms to a list of more than 16,200 retailers who are allowing Aussies to own the way they pay."

While Amazon Australia is still making slow inroads into the country's retail market, it is forecast to secure a dominant market share over the coming years as the online shopping realm grows. By some estimates, there's no reason the industry shouldn't grow to $100 billion.

Zip certainly hopes so, while others its competitors will now be vying to join it.

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