Latest news with #AffirmApp
National Post
30-04-2025
- Business
- National Post
Affirm Launches "AdaptAI" – its AI-Powered Promotions Platform
Article content Article content SAN FRANCISCO — Affirm (NASDAQ: AFRM), the payment network that empowers consumers and helps merchants drive growth, today announced it is introducing 'AdaptAI,' its AI-powered promotions platform, to its merchant partners. AdaptAI has enabled Affirm to deliver personalized financial benefits – such as exclusive APR rates, special repayment terms, and immediate cash savings – directly to consumers via the Affirm App and Affirm Card. Now, merchants can deliver these same targeted, real-time promotions and credit offers, which are optimized specifically for a customer's shopping preferences, spending habits, and purchase details, at the point of purchase. Article content 'Unlike conventional credit card rewards—which are opaque, static, and subsidized by the financially vulnerable—AdaptAI dynamically matches the right benefit to the right consumer at exactly the right moment,' said Vishal Kapoor, Affirm's SVP of Product. 'Consumers no longer need to spend more, keep track of, or wait months to recoup their rewards. Now, they can immediately receive tailored, transparent value at the time of purchase. This is only made possible with Affirm's AI-powered technology and real-time underwriting, and builds on what we do best: delivering customized payment options that help consumers take their money further.' Article content Today's consumers expect individualized experiences, especially when paying. Affirm has successfully met this need by offering payment solutions customized to each consumer's purchase and financial profile. Now, thanks to AdaptAI, Affirm's merchant partners can unlock additional value for shoppers right at checkout. Article content Each of these bespoke offers translates into tangible consumer value, such as significant savings or added flexibility. Consider a $500 purchase: A merchant using AdaptAI could offer a first-time shopper a 0% APR promotion over 12 months, potentially saving that customer about $120 in interest compared to typical revolving credit card costs. Alternatively, that same merchant could offer its most loyal customers–who Affirm knows value predictability and more time to pay–an interest-bearing offer with extended repayment terms, tied to an event such as a Memorial Day sale. For these customers, spreading a $500 purchase out over 24 months at 10% APR might better align with their budgeting preferences, despite the added cost of about $4 per month in simple interest. This AI-driven nuance can allow merchants to meaningfully reward customers based on their real-time needs, boosting customer satisfaction and loyalty, and ultimately driving greater engagement and conversion. Article content Affirm has leveraged AdaptAI across its own consumer products, including the Affirm App and Affirm Card, driving nearly 10% incremental improvements in conversion rates. Building on this proven success, Affirm is now making this powerful AI-powered promotions platform broadly available for its merchant partners. Article content Merchants interested in offering these tailored benefits to their customers can get in touch here. Article content About Affirm Affirm's mission is to deliver honest financial products that improve lives. By building a new kind of payment network — one based on trust, transparency, and putting people first — we empower millions of consumers to spend and save responsibly, and give thousands of businesses the tools to fuel growth. Unlike most credit cards and other pay-over-time options, we never charge any late or hidden fees. Follow Affirm on social media: LinkedIn | Instagram | Facebook | X. Article content Rates from 0–36% APR. For example, a $800 purchase might cost $72.21/mo over 12 months at 15% APR. Payment options through Affirm are subject to an eligibility check, may not be available everywhere, and are provided by these lending partners: Options depend on your purchase amount, and a down payment may be required. CA residents: Loans by Affirm Loan Services, LLC are made or arranged pursuant to a California Financing Law license. For licenses and disclosures, see Article content Article content Article content Article content Article content Article content
Yahoo
30-04-2025
- Business
- Yahoo
Affirm Launches "AdaptAI" – its AI-Powered Promotions Platform
Retailers can now introduce personalized, real-time financial benefits, on top of Affirm's flexible pay-over-time plans, to customers at the point of purchase SAN FRANCISCO, April 30, 2025--(BUSINESS WIRE)--Affirm (NASDAQ: AFRM), the payment network that empowers consumers and helps merchants drive growth, today announced it is introducing "AdaptAI," its AI-powered promotions platform, to its merchant partners. AdaptAI has enabled Affirm to deliver personalized financial benefits – such as exclusive APR rates, special repayment terms, and immediate cash savings – directly to consumers via the Affirm App and Affirm Card. Now, merchants can deliver these same targeted, real-time promotions and credit offers, which are optimized specifically for a customer's shopping preferences, spending habits, and purchase details, at the point of purchase. "Unlike conventional credit card rewards—which are opaque, static, and subsidized by the financially vulnerable—AdaptAI dynamically matches the right benefit to the right consumer at exactly the right moment," said Vishal Kapoor, Affirm's SVP of Product. "Consumers no longer need to spend more, keep track of, or wait months to recoup their rewards. Now, they can immediately receive tailored, transparent value at the time of purchase. This is only made possible with Affirm's AI-powered technology and real-time underwriting, and builds on what we do best: delivering customized payment options that help consumers take their money further." Today's consumers expect individualized experiences, especially when paying. Affirm has successfully met this need by offering payment solutions customized to each consumer's purchase and financial profile. Now, thanks to AdaptAI, Affirm's merchant partners can unlock additional value for shoppers right at checkout. Each of these bespoke offers translates into tangible consumer value, such as significant savings or added flexibility. Consider a $500 purchase: A merchant using AdaptAI could offer a first-time shopper a 0% APR promotion over 12 months, potentially saving that customer about $120 in interest compared to typical revolving credit card costs. Alternatively, that same merchant could offer its most loyal customers–who Affirm knows value predictability and more time to pay–an interest-bearing offer with extended repayment terms, tied to an event such as a Memorial Day sale. For these customers, spreading a $500 purchase out over 24 months at 10% APR might better align with their budgeting preferences, despite the added cost of about $4 per month in simple interest. This AI-driven nuance can allow merchants to meaningfully reward customers based on their real-time needs, boosting customer satisfaction and loyalty, and ultimately driving greater engagement and conversion. Affirm has leveraged AdaptAI across its own consumer products, including the Affirm App and Affirm Card, driving nearly 10% incremental improvements in conversion rates. Building on this proven success, Affirm is now making this powerful AI-powered promotions platform broadly available for its merchant partners. Merchants interested in offering these tailored benefits to their customers can get in touch here. About AffirmAffirm's mission is to deliver honest financial products that improve lives. By building a new kind of payment network — one based on trust, transparency, and putting people first — we empower millions of consumers to spend and save responsibly, and give thousands of businesses the tools to fuel growth. Unlike most credit cards and other pay-over-time options, we never charge any late or hidden fees. Follow Affirm on social media: LinkedIn | Instagram | Facebook | X. Rates from 0–36% APR. For example, a $800 purchase might cost $72.21/mo over 12 months at 15% APR. Payment options through Affirm are subject to an eligibility check, may not be available everywhere, and are provided by these lending partners: Options depend on your purchase amount, and a down payment may be required. CA residents: Loans by Affirm Loan Services, LLC are made or arranged pursuant to a California Financing Law license. For licenses and disclosures, see AFRM-PR View source version on Contacts Press Contact: AffirmAndrea Hackettpress@ Sign in to access your portfolio
Globe and Mail
18-03-2025
- Business
- Globe and Mail
Is Affirm Stock a Buy, Sell, or Hold As Rival Partners With Walmart?
(AFRM), a leading player in the buy now, pay later (BNPL) space, faces renewed pressure as rival Klarna secured a significant partnership with OnePay, a fintech company majority-owned by Walmart (WMT). This move will see Klarna exclusively powering installment loans for Walmart shoppers in the U.S., which means that Affirm will no longer be the exclusive BNPL provider for the retail giant. Also, Walmart's existing integration with OnePay — across its digital and physical shopping channels — gives Klarna a strategic advantage. This shift raises short-term concerns about Affirm's top-line growth, as Walmart has been a significant partner. Affirm responded by clarifying that it remains integrated with Walmart through its existing BNPL offerings, including the Affirm App and Affirm Card. However, the advent of a rival signals a potential headwind. During the six months ending Dec. 31, 2024, transactions through Walmart's integrated Affirm program accounted for roughly 5% of the company's Gross Merchandise Volume (GMV) and about 2% of its adjusted operating income. While not a catastrophic blow, losing market share at a retailer as large as Walmart is a setback. Investor sentiment reflected these concerns, with Affirm's stock dropping 4.2% on Monday. The stock has already tumbled 41.9% from its recent high of $82.53, giving up most of its gains over the past year. Neither Klarna nor Affirm has explicitly confirmed that Walmart is entirely replacing Affirm's services. Still, it's reasonable to assume Walmart will prioritize its fintech venture OnePay when presenting BNPL options to customers. This suggests Klarna's new partnership represents a lost opportunity for Affirm. While the latest development is negative, let's examine Affirm's financials and growth outlook to determine whether its stock is a buy, sell, or hold. Affirm's Road to Growth: Can It Maintain Momentum? Affirm's revenue model heavily relies on its commercial partnerships with merchants and e-commerce platforms. As more businesses integrate Affirm's services, the company experiences increased GMV, consumer engagement, and revenue. However, high dependence on a few major partners makes it vulnerable to shifts in these relationships. During the three and six months ending Dec. 31, 2024, Affirm's top five merchant and platform partners accounted for approximately 51% and 49% of its total GMV, respectively. Amazon (AMZN) alone contributed 25% and 24% of GMV during the same periods. This concentration poses a risk — any major partner opting for a competitor could significantly impact Affirm's growth. Affirm is actively expanding its partnerships and diversifying its merchant base to counterbalance these risks. The company recently extended a key partnership with a major travel industry player, securing a five-year deal that includes new financing programs and additional product offerings. Further, its collaboration with Apple Pay (AAPL) and growing integration with Shopify (SHOP) and WooCommerce will fuel GMV growth. Affirm has also ventured into the UK market, broadening its international footprint to meet the rising global demand for BNPL solutions. Financially, Affirm has maintained strong growth. In Q2, its GMV surged 35% to $10.1 billion, accelerating from the previous quarter. Active consumers (excluding the discontinued Returnly business) grew 23% year-over-year to 21 million, marking the fourth consecutive quarter of acceleration. Meanwhile, active merchants climbed 21%. Affirm has also made notable progress in profitability. Adjusted operating income rose to $238 million in Q2, up from $93 million a year earlier. The company's funding capacity reached $22.6 billion, marking eight consecutive quarters of growth. Despite seasonal variations in delinquencies, Affirm maintains a strong credit profile, ensuring its loans remain attractive to buyers and enhancing its funding capabilities. What's Next for Affirm? While competition remains fierce, including Klarna's recent partnership with Walmart, Affirm continues to strengthen its market position. The company is focused on launching new products, entering new international markets, and deepening its relationships with existing partners. With consumer demand for flexible payment options on the rise, Affirm is well-positioned to capitalize on this trend. Given its growth prospects and the significant pullback from its high, Affirm stock looks compelling from an investment standpoint. Wall Street analysts have assigned the stock a 'Moderate Buy' consensus rating. Additionally, the average price target of $76.41 suggests a potential upside of 74% from current levels, making it an attractive option for investors looking to tap into the expanding BNPL market.
