Affirm Updates BNPL App Ahead of Holiday Shopping Season

Ahead of the holiday shopping season, payments network Affirm is upgrading its app.

The company, known for its buy now, pay later (BNPL) offering, now provides users with — among other things — easier access to personalized payment terms and interest-free offers via its app, according to a Wednesday (Oct. 30) press release.

The changes come ahead of a holiday season anticipated to be marked by shifting consumer shopping habits.

“Our app update prioritizes what our consumers want the most: to quickly discover their favorite credit offers from Affirm, seamlessly manage their payments, and see their real-time purchasing potential,” Affirm Senior Vice President of Product Vishal Kapoor said in the release.

Affirm research found that half of consumers think 0% APR financing options are just as valuable, if not more valuable, than traditional discounts, while more than half are using installment payment options to make purchases more affordable, per the release.

“Since testing and getting feedback from consumers on the new experience, we’ve seen more users engage with the app and use it to make purchases,” Kapoor said in the release. “This underscores the value of personalization and a transparent approach that doesn’t penalize consumers when they’re late or hit them with unexpected fees.”

The updated app also lets users get live updates on how much they can spend with Affirm and look for credit offers with a new search function.

Affirm’s news comes weeks ahead of a shopping season projected to kick off with record sales of more than $75 billion between Black Friday and Cyber Monday. A forecast by Bain & Company showed a 5% year-over-year growth for the period, surpassing the overall holiday season growth estimate of 3%.

Meanwhile, BNPL continues to gain traction as a preferred payment method, with 16% of American consumers choosing it over traditional payment options, according to PYMNTS Intelligence research. The trend is especially pronounced among millennials, with 39% saying they used BNPL in the past year.

“The surge in popularity is underscored by a 28% year-over-year increase in gross merchandise volume for BNPL purchases through a single service, indicating its effectiveness in driving sales,” PYMNTS wrote last month.