BNPL Company Affirm Rolls out Adaptive Checkout


The buy now, pay later (BNPL) network Affirm has launched a new product called Adaptive Checkout, which it says allows merchants on its network to give customers more choices when it’s time to pay.

The San Francisco-based company announced the product in a news release on Wednesday (Sept. 22), saying that it provides “optimized biweekly and monthly payment options for each transaction side-by-side in a single integrated checkout solution.”

Early access merchants have seen average cart conversion increases of 26%, as well as a 22% increase in approvals and a 20% spike in sales compared to offering monthly payments solely through Affirm.

Among those merchants is the vacuum cleaner maker Bissell, which says Adaptive Checkout has given its customers more flexibility at checkout. “Since adding Adaptive Checkout, we’ve seen incremental increases in sales volume and average order value, driving meaningful growth for our business while continuing to provide the premium home cleaning solutions our customers expect,” said Kevin Marsh, the company’s director of D2C eCommerce and data activation.

“Providing an optimized set of payment options for consumers to choose from has resulted in our highest-converting checkout solution for merchants,” said Geoff Kott, chief revenue officer at Affirm. “Adaptive Checkout extends our ability to intelligently service a wide range of transactions, providing the option to select from four interest-free payments every two weeks to monthly payments spanning three to 36 months.”

Read more: Affirm, Afterpay, PayPal Earnings Show BNPL’s Explosive Growth and Potential

The announcement comes weeks after Affirm’s most recent earnings statement helped highlight the rapid growth of BNPL.

Revenues surged by 71% year over year in the company’s fiscal fourth quarter to reach $262 million, while revenue guidance for the current quarter, at $240 million to $250 million, exceeded Wall Street estimates of $233 million. Gross merchandise value expanded by more than 100% to $2.5 billion during that period.

The company has also seen its customer base bloom, with the number of active customers increasing by 97% to 7.1 million in the last quarter.