Laybuy (ASX:LBY) share price leaps 7% on UK marketing update

The company's latest product launch has been surpassing expectations.

The Laybuy Holdings Ltd (ASX: LBY) share price is flying higher today, reversing the losses of the past 5 days. This is on the back of the buy now, pay later (BNPL) provider releasing an update on its operations in the United Kingdom.

At midday, Laybuy shares are fetching 51.5 cents a share, up 7.3%.

jump in asx share price represented by man leaping up from one wooden pillar to the next

Image source: Getty Images

What's the latest at Laybuy?

Laybuy investors have been injected with a dose of excitement today following its latest announcement. So much so that the company's daily traded volume on Tuesday has exceeded its average monthly volume.

According to the release, the company launched its affiliate marketing network ahead of schedule in the United Kingdom at the end of August. Since then, the response has surpassed the BNPL player's expectations.

Specifically, orders processed and gross merchandise volume are more than 5 times greater than the company's internal month one forecast.

The affiliate network launched in the UK has given shoppers access to hundreds of new retailers. Some of these retailers include Amazon, ASOS, eBay, and Levi's.

Hailed as the company's latest product innovation, Laybuy's affiliate marketing network is geared towards creating a seamless shopping experience. The offering enables an easy 3-step process for shoppers — shop, checkout, and 'Pay in 6'.

Additionally, shareholders were treated to an impressive growth statistic, boding well for the Laybuy share price. According to the release, the value of goods purchased using Laybuy has increased by more than 500% year on year. From here, the company suspects this growth will accelerate with its launch of the affiliate marketing network.

Management commentary

Commenting on the successful launch, Laybuy UK and Europe General Manager, John Gillan said:

Since launching in the UK in 2019, we have been leading a revolution in how consumers shop and pay, helping shoppers spread the cost of their purchases and free themselves from paying interest.

However, we also know that having Laybuy as a payment option can help merchants increase their sales because it allows consumers to spread their payments and fit more into their budget. We are excited that those on our new platform can now enjoy the benefits of Laybuy.

Laybuy share price snapshot

The Laybuy share price has endured a difficult past year on the ASX. Over the 1-year timeframe, shares in the BNPL company have slumped 65.9%.

It appears investors haven't been too fond of the widening losses on the bottom line. However, Laybuy's trailing revenue for the past 12 months has roughly doubled to NZ$32.674 million.

Motley Fool contributor Mitchell Lawler has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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