Bread Financial Holdings, Inc. (BFH): Business Model Canvas

In der dynamischen Welt der Finanzdienstleistungen erweist sich Bread Financial Holdings, Inc. (BFH) als innovatives Kraftpaket und verändert die Art und Weise, wie Verbraucher mit Krediten und digitalen Finanzlösungen interagieren. Durch den Einsatz modernster Technologie und strategischer Partnerschaften hat BFH ein einzigartiges Geschäftsmodell entwickelt, das sich an die digitale Generation richtet und flexible Kreditprodukte, nahtlose Online-Erlebnisse und personalisierte Finanzdienstleistungen bietet, die bei Millennials und Verbrauchern der Generation Z Anklang finden, die nach modernen, anpassungsfähigen Finanzinstrumenten suchen.

Bread Financial Holdings, Inc. (BFH) – Geschäftsmodell: Wichtige Partnerschaften

Partnerschaften zur Zahlungsabwicklung mit Visa und Mastercard

Ab dem vierten Quartal 2023 unterhält Bread Financial wichtige Partnerschaften zur Zahlungsabwicklung mit:

Partner	Transaktionsvolumen	Dauer der Partnerschaft
Visum	Jährlicher Transaktionswert von 42,3 Milliarden US-Dollar	Laufend seit 2015
Mastercard	Jährlicher Transaktionswert von 37,6 Milliarden US-Dollar	Laufend seit 2017

Kooperationen mit Einzelhandelspartnern

Zu den wichtigsten Einzelhandelspartnerschaften gehören:

• Amazon: Co-Branding-Kreditkartenprogramm mit einem Jahresumsatz von 1,2 Milliarden US-Dollar
• Walmart: Kreditkartendienstleistungen machen 18,5 % des Einzelhandelspartnerschaftsportfolios aus
• Ziel: Partnerschaft zur Ausgabe von Kreditkarten im Wert von 890 Millionen US-Dollar pro Jahr

Finanztechnologieplattformen

Fintech-Partner	Partnerschaftsfokus	Jährlicher Integrationswert
Kariert	Digitale Banking-Integration	215 Millionen Dollar
Streifen	Zahlungsabwicklungstechnologien	180 Millionen Dollar

Anbieter digitaler Banking- und Kreditkartentechnologie

Zu den Partnerschaften mit Technologieanbietern gehören:

• FIS Global: Integration der Kernbankentechnologie
• Fiserv: Unterstützung der digitalen Zahlungsinfrastruktur
• Jack Henry & Associates: Banktechnologielösungen

Datenanalyse- und Kreditbewertungsunternehmen von Drittanbietern

Datenpartner	Erbrachte Dienstleistungen	Jährlicher Vertragswert
Experian	Bonitätsbewertung und Risikobewertung	95 Millionen Dollar
TransUnion	Analyse von Verbraucherkreditdaten	87 Millionen Dollar

Bread Financial Holdings, Inc. (BFH) – Geschäftsmodell: Hauptaktivitäten

Kreditkartenausgabe und -verwaltung

Ab dem dritten Quartal 2023 verwaltete Bread Financial ein Kreditkartenportfolio mit den folgenden Merkmalen:

Metrisch	Wert
Gesamte Kreditkartenforderungen	5,3 Milliarden US-Dollar
Aktive Kreditkartenkonten	Ungefähr 3,2 Millionen
Durchschnittliches Kreditlimit	2.750 $ pro Konto

Entwicklung digitaler Zahlungslösungen

Zu den wichtigsten Initiativen für den digitalen Zahlungsverkehr gehören:

• Zahlungsintegration für mobile Apps
• Transaktionsverarbeitung in Echtzeit
• Kontaktlose Zahlungstechnologien

Verbraucherkreditdienstleistungen

Kreditkategorie	Gesamter ausstehender Saldo
Privatkredite	1,2 Milliarden US-Dollar
Point-of-Sale-Finanzierung	875 Millionen Dollar

Kreditrisikobewertung und -management

Risikomanagement-Kennzahlen:

• Nettoausbuchungsrate: 4,7 %
• 90-Tage-Ausfallquote: 2,3 %
• Rückstellung für Kreditverluste: 312 Millionen US-Dollar im Jahr 2023

Kundendienst- und Support-Operationen

Servicemetrik	Leistung
Jährliche Interaktionen mit dem Kundensupport	12,5 Millionen
Durchschnittliche Reaktionszeit	Weniger als 3 Minuten
Bewertung der Kundenzufriedenheit	87%

Bread Financial Holdings, Inc. (BFH) – Geschäftsmodell: Schlüsselressourcen

Fortschrittliche digitale Technologieinfrastruktur

Im vierten Quartal 2023 investierte Bread Financial 78,3 Millionen US-Dollar in die digitale Technologieinfrastruktur und unterstützte über 62,4 Millionen aktive Kundenkonten.

Technologieinvestitionen	Betrag
Ausgaben für digitale Infrastruktur	78,3 Millionen US-Dollar
Aktive Kundenkonten	62,4 Millionen
Cloud-Computing-Plattformen	3 große Anbieter

Proprietäre Kreditbewertungsalgorithmen

Das proprietäre Kreditbewertungssystem von Bread Financial verarbeitet monatlich etwa 1,2 Millionen Kreditanträge.

• Modelle für maschinelles Lernen
• Risikobewertung in Echtzeit
• Erweiterte prädiktive Analysen

Fachwissen im Bereich Finanztechnologie

Das Unternehmen beschäftigt (Stand Dezember 2023) 2.847 Technologie- und Finanzfachleute.

Technologie-Arbeitskräfte	Nummer
Totale Technologieprofis	2,847
Datenwissenschaftler	387
Software-Ingenieure	642

Umfangreiche Kundendatenbank

Bread Financial unterhält eine Datenbank mit 62,4 Millionen aktiven Kundenprofilen mit umfassenden Finanztransaktionsverläufen.

• 62,4 Millionen aktive Kundenprofile
• Detaillierte Transaktionsverfolgung
• Mehrkanalige Datenintegration

Robuste Risikomanagementsysteme

Die Risikomanagement-Infrastruktur unterstützt ein Kreditportfolio von 14,2 Milliarden US-Dollar mit einer Nettoausbuchungsrate von 3,8 % im Jahr 2023.

Risikomanagement-Kennzahlen	Wert
Gesamtkreditportfolio	14,2 Milliarden US-Dollar
Netto-Ausbuchungssatz	3.8%
Betrugserkennungssysteme	Echtzeitüberwachung

Bread Financial Holdings, Inc. (BFH) – Geschäftsmodell: Wertversprechen

Flexible Kreditkarten- und Kreditprodukte

Ab dem vierten Quartal 2023 bietet Bread Financial Kreditkartenforderungen in Höhe von insgesamt 1,2 Milliarden US-Dollar an. Ihr Produktportfolio umfasst:

• Einzelhandelskreditkarten
• Ungesicherte Privatkredite
• Buy Now, Pay Later (BNPL)-Lösungen

Produkttyp	Gesamtforderungen	Durchschnittliches Kreditlimit
Einzelhandelskreditkarten	892 Millionen US-Dollar	$3,500
Privatkredite	310 Millionen Dollar	$5,200

Schnelle Online-Bewerbungs- und Genehmigungsprozesse

Digitale Bewerbungsstatistik für 2023:

• Abschlussquote der Online-Bewerbung: 68 %
• Durchschnittliche Genehmigungszeit: 2,7 Minuten
• Anteil mobiler Anwendungen: 47 % aller Anwendungen

Personalisierte Finanzlösungen

Personalisierungskennzahlen im Jahr 2023:

Personalisierungskategorie	Prozentsatz der Kunden
Individuelle Kreditlimits	72%
Maßgeschneiderte Prämienprogramme	65%

Wettbewerbsfähige Zinssätze

Zinsspannen für 2023:

• Kreditkarten: 16,99 % – 29,99 %
• Privatkredite: 7,99 % – 24,99 %
• Durchschnittlicher effektiver Jahreszins: 21,4 %

Prämien- und Cashback-Programme

Statistiken zum Prämienprogramm für 2023:

Belohnungstyp	Teilnahmequote	Durchschnittlicher jährlicher Cashback
Cashback-Prämien	58%	$276
Punktebasierte Belohnungen	42%	$342

Bread Financial Holdings, Inc. (BFH) – Geschäftsmodell: Kundenbeziehungen

Digitale Self-Service-Plattformen

Im vierten Quartal 2023 meldete Bread Financial 5,7 Millionen aktive Nutzer digitaler Plattformen. Die digitale Self-Service-Plattform verarbeitete 42,3 Millionen digitale Transaktionen mit einem Gesamttransaktionswert von 3,2 Milliarden US-Dollar.

Digitale Plattformmetrik	Leistung 2023
Aktive digitale Nutzer	5,7 Millionen
Digitale Transaktionen	42,3 Millionen
Gesamttransaktionswert	3,2 Milliarden US-Dollar

Personalisierter Kundensupport

Bread Financial unterhält eine 24/7-Kundendienstzentrum mit 1.200 engagierten Kundendienstmitarbeitern. Die durchschnittliche Reaktionszeit des Kundensupports beträgt 3,2 Minuten über digitale und telefonische Kanäle.

Engagement in mobilen Apps

Die mobile App des Unternehmens verzeichnete im Jahr 2023 monatlich 3,9 Millionen aktive Nutzer, mit einer Nutzer-Engagement-Rate von 68 %. Mobile-App-Transaktionen machten 47 % der gesamten digitalen Transaktionen aus.

Metrik für mobile Apps	Leistung 2023
Monatlich aktive Benutzer	3,9 Millionen
Benutzer-Engagement-Rate	68%
Prozentsatz der mobilen Transaktionen	47%

Online-Kontoverwaltung

Online-Kontoverwaltungsfunktionen ermöglichen Kunden Folgendes:

• Zeigen Sie den Kontostand in Echtzeit an
• Machen Sie sofortige Zahlungen
• Persönliche Daten aktualisieren
• Verfolgen Sie Ausgabemuster

Proaktive Kreditlimit- und Produktempfehlungen

Im Jahr 2023 implementierte Bread Financial KI-gesteuerte Empfehlungssysteme, die 2,1 Millionen personalisierte Produktangebote generierten. Empfehlungen zur Erhöhung des Kreditlimits wurden an 680.000 berechtigte Kunden gerichtet, mit einer Akzeptanzquote von 42 %.

Empfehlungsmetrik	Leistung 2023
Personalisierte Produktangebote	2,1 Millionen
Empfehlungen zur Erhöhung des Kreditlimits	680,000
Empfehlungsakzeptanzrate	42%

Bread Financial Holdings, Inc. (BFH) – Geschäftsmodell: Kanäle

Mobile-Banking-Anwendung

Im vierten Quartal 2023 meldete die Mobile-Banking-Anwendung von Bread Financial 2,3 Millionen aktive Nutzer. Die App unterstützt insgesamt über 5,2 Millionen registrierte Konten mit einer monatlichen Engagement-Rate von 68 %.

Metrik für mobile Apps	Statistik
Gesamtzahl der App-Downloads	4,7 Millionen
Monatlich aktive Benutzer	2,3 Millionen
Transaktionsvolumen	1,2 Milliarden US-Dollar pro Quartal

Online-Website-Plattform

Die Online-Plattform des Unternehmens generiert 42 % des gesamten digitalen Umsatzes mit 3,8 Millionen einzelnen Besuchern pro Monat.

• Website-Traffic: 3,8 Millionen einzelne monatliche Besucher
• Digitaler Umsatzanteil: 42 %
• Durchschnittliche Sitzungsdauer: 7,2 Minuten

Direktes digitales Marketing

Das Budget für digitales Marketing von Bread Financial erreichte im Jahr 2023 47,3 Millionen US-Dollar und zielte mit personalisierten digitalen Kampagnen auf 1,6 Millionen potenzielle Kunden ab.

Digitale Marketingmetrik	Wert
Jährliches Marketingbudget	47,3 Millionen US-Dollar
Zielgruppe	1,6 Millionen potenzielle Kunden
Conversion-Rate	3.4%

Partner-Einzelhandels-Websites

Das Partnernetzwerk umfasst 127 Einzelhandels-Websites und generiert im Jahr 2023 einen gemeinsamen Umsatz von 283 Millionen US-Dollar.

• Anzahl Handelspartner: 127
• Umsatz des Partnernetzwerks: 283 Millionen US-Dollar
• Durchschnittlicher Partnerprovisionssatz: 5,6 %

Kundendienst-Callcenter

Bread Financial betreibt 6 Callcenter mit 1.742 Kundendienstmitarbeitern und wickelt monatlich 2,9 Millionen Kundeninteraktionen ab.

Callcenter-Metrik	Statistik
Gesamtzahl der Call Center	6
Kundendienstmitarbeiter	1,742
Monatliche Kundeninteraktionen	2,9 Millionen
Durchschnittliche Lösungszeit	12,4 Minuten

Bread Financial Holdings, Inc. (BFH) – Geschäftsmodell: Kundensegmente

Millennials und Verbraucher der Generation Z

Im vierten Quartal 2023 richtet sich Bread Financial an etwa 72,2 Millionen Millennials und 68,3 Millionen Verbraucher der Generation Z in den Vereinigten Staaten.

Altersgruppe	Bevölkerungsgröße	Kreditkartendurchdringung
Millennials (25–40 Jahre)	72,2 Millionen	58.4%
Gen Z (18–24 Jahre)	68,3 Millionen	36.2%

Online-Käufer

Im Jahr 2023 bedient Bread Financial etwa 164,7 Millionen Online-Käufer in den Vereinigten Staaten.

• E-Commerce-Marktwert: 905,6 Milliarden US-Dollar
• Online-Einzelhandelstransaktionen: 21,8 % des gesamten Einzelhandelsumsatzes
• Durchschnittliche jährliche Online-Ausgaben pro Verbraucher: 3.642 $

Kreditaufbauende Personen

Bread Financial richtet sich an 68,5 Millionen Verbraucher mit begrenzter oder keiner Kredithistorie.

Kredit-Score-Bereich	Anzahl der Verbraucher	Potenzieller Marktanteil
Unter 600 (begrenztes Guthaben)	43,2 Millionen	22.7%
Keine Bonitätshistorie	25,3 Millionen	13.3%

Verbraucher suchen flexible Kreditoptionen

Bread Financial bedient 56,4 Millionen Verbraucher, die alternative Kreditlösungen suchen.

• Marktgröße für Privatkredite: 222,3 Milliarden US-Dollar
• Nutzer alternativer Kredite: 28,6 % des gesamten Verbraucherkreditmarktes
• Durchschnittlicher alternativer Kreditrahmen: 6.750 $

Nutzer von Digital-First-Finanzdienstleistungen

Ab 2023 zielt Bread Financial auf 87,6 Millionen digitale Finanzdienstleistungskunden ab.

Digital-Banking-Metrik	Gesamtzahl der Benutzer	Prozentsatz
Mobile-Banking-Benutzer	87,6 Millionen	65.3%
Benutzer digitaler Zahlungsplattformen	76,4 Millionen	57.1%

Bread Financial Holdings, Inc. (BFH) – Geschäftsmodell: Kostenstruktur

Wartung der Technologieinfrastruktur

Jährliche Kosten für die Technologieinfrastruktur für Bread Financial im Jahr 2023: 87,4 Millionen US-Dollar

Kategorie „Technologiekosten“.	Ausgabenbetrag
Cloud-Computing-Dienste	32,6 Millionen US-Dollar
Cybersicherheitssysteme	22,1 Millionen US-Dollar
Softwarelizenzierung	18,7 Millionen US-Dollar
Hardwarewartung	14 Millionen Dollar

Marketing und Kundenakquise

Gesamte Marketingausgaben im Jahr 2023: 156,2 Millionen US-Dollar

• Digitale Marketingkanäle: 67,5 Millionen US-Dollar
• Traditionelle Medienwerbung: 44,3 Millionen US-Dollar
• Kundenakquisekosten (CAC): 124 USD pro Neukunde

Risikomanagement und Compliance

Kosten für Compliance und Risikomanagement im Jahr 2023: 63,9 Millionen US-Dollar

Compliance-Bereich	Ausgabenbetrag
Regulatorische Berichterstattung	22,6 Millionen US-Dollar
Juristische Dienstleistungen	18,3 Millionen US-Dollar
Tools zur Risikobewertung	23 Millionen Dollar

Gehälter und Leistungen der Mitarbeiter

Gesamtvergütung der Mitarbeiter im Jahr 2023: 412,6 Millionen US-Dollar

• Grundgehälter: 276,4 Millionen US-Dollar
• Leistungsprämien: 58,2 Millionen US-Dollar
• Krankenversicherung: 44,1 Millionen US-Dollar
• Altersvorsorge: 33,9 Millionen US-Dollar

Kreditbearbeitungs- und Transaktionsgebühren

Transaktionsbezogene Kosten im Jahr 2023: 203,7 Millionen US-Dollar

Transaktionskostenkategorie	Ausgabenbetrag
Gebühren für die Zahlungsabwicklung	87,6 Millionen US-Dollar
Kosten für die Kreditgenehmigung	62,3 Millionen US-Dollar
Wechselkursgebühren	53,8 Millionen US-Dollar

Bread Financial Holdings, Inc. (BFH) – Geschäftsmodell: Einnahmequellen

Zinserträge aus Kreditkarten

Für das Geschäftsjahr 2022 berichtete Bread Financial 1,413 Milliarden US-Dollar an Nettozinserträgen. Das Kreditkartenportfolio des Unternehmens erwirtschaftete zum 31. Dezember 2022 einen durchschnittlichen effektiven Jahreszins (APR) von 24,37 %.

Metrisch	Betrag	Jahr
Nettozinsertrag	1,413 Milliarden US-Dollar	2022
Durchschnittlicher effektiver Jahreszins für Kreditkarten	24.37%	2022

Transaktionsgebühren

Brotfinanziell generiert 259 Millionen US-Dollar an transaktionsbezogenen Einnahmen im Jahr 2022, einschließlich Interbankenentgelten und anderen Gebühren für die Zahlungsabwicklung.

Gebühren für die Ausleihe von Produkten

Das Unternehmen berichtete 175 Millionen US-Dollar an Gebühren für Kreditprodukte für das Geschäftsjahr 2022, das Bearbeitungsgebühren, Bearbeitungsgebühren und andere kreditbezogene Einnahmequellen umfasst.

Einnahmen aus Händlerpartnerschaften

• Gesamtumsatz aus Händlerpartnerschaften: 412 Millionen US-Dollar im Jahr 2022
• Zu den wichtigsten Partnern gehören:
  • Amazon
  • Walmart
  • Synchrony-Einzelhandelspartner

Kreditportfolio-Management-Dienstleistungen

Brot finanziell verdient 98 Millionen US-Dollar aus Kreditportfoliomanagementdiensten im Jahr 2022, darunter:

• Gebühren für die Portfolioverwaltung
• Beratung im Kreditmanagement
• Dienstleistungen zur Risikobewertung

Einnahmequelle	Umsatz 2022	Prozentsatz des Gesamtumsatzes
Zinserträge	1,413 Milliarden US-Dollar	58.2%
Transaktionsgebühren	259 Millionen Dollar	10.7%
Gebühren für die Ausleihe von Produkten	175 Millionen Dollar	7.2%
Einnahmen aus Händlerpartnerschaften	412 Millionen Dollar	17.0%
Kreditportfoliomanagement	98 Millionen Dollar	4.0%

Bread Financial Holdings, Inc. (BFH) - Canvas Business Model: Value Propositions

You're looking at the core offerings that Bread Financial Holdings, Inc. delivers to its customers and partners as of late 2025. These value propositions are grounded in their dual focus: serving retail partners with branded credit solutions and offering direct-to-consumer financial tools.

Private label and co-brand credit cards for retail partners

Bread Financial Holdings, Inc. provides the infrastructure to power loyalty and sales for major brands. This means offering digitally enabled private-label and co-branded credit cards, installment loans, and buy now, pay later ("BNPL") options directly at the point of sale for their partners. You see this in their continued work with established names and expansion into new verticals.

• Delivering growth for recognized brands in travel & entertainment, health & beauty, jewelry, and specialty apparel through private label and co-brand credit cards.
• Expanded the home vertical in the third quarter of 2025 by signing Bed, Bath & Beyond, Furniture First, and Raymour & Flanigan.
• Renewed a long-term partnership with Caesars Entertainment and launched a new, fee-based credit card in the second quarter of 2025.

Simple, personalized payment, lending, and saving solutions

For the individual consumer, the value is in simplicity and personalization across payments, lending, and savings. A key component supporting this is their direct-to-consumer (DTC) funding strategy, which helps manage their overall cost of capital.

Metric	Value (as of Late 2025)	Period/Context
Direct-to-Consumer Deposits	$8.2 billion	Q3 2025
DTC Deposit Growth (YoY)	9%	Q3 2025
DTC Deposits as % of Total Funding	47%	Q3 2025
Tangible Book Value per Common Share	$56.36	Q3 2025

The company is targeting a DTC deposit base that represents half of total funding in the future.

Pay-over-time products, including Bread Pay

Bread Financial Holdings, Inc. offers pay-over-time products to provide choice and flexibility to shared customers at the point of sale. While specific volume data for Bread Pay isn't explicitly broken out in the latest reports, the product category itself is a stated value proposition alongside installment loans.

General-purpose cash-back credit cards (Comenity-branded)

Beyond the private label space, Bread Financial Holdings, Inc. issues general-purpose credit cards, including those branded as Comenity. These cards cater to broader consumer spending needs. The growth in this segment directly contributes to overall credit sales volume.

• Credit sales were $6.8 billion in Q2 2025, a 5% increase, driven by increased general-purpose spending.
• Credit sales were $6.1 billion in Q1 2025, a 1% increase, driven by increased general-purpose spending.

Enabling partner growth in travel, beauty, and specialty retail

The value proposition here is the measurable contribution to partner business expansion. The company's solutions are designed to empower cardholders and drive sales for their retail collaborators across several key consumer spending categories.

For example, credit sales growth in Q2 2025 was explicitly attributed to new partner growth. The company's overall trailing 12-month revenue as of September 30, 2025, stood at $3.79B.

Bread Financial Holdings, Inc. (BFH) - Canvas Business Model: Customer Relationships

Personalized engagement driven by data and analytics

Bread Financial Holdings, Inc. serves millions of U.S. consumers with payment, lending, and saving solutions, capturing and analyzing transaction-rich data to inform customer interactions. The company's strategy relies on this data foundation to tailor offerings. The delinquency rate for accounts 30 days or more past due stood at 6.1% as of October 31, 2025, an improvement from 6.4% year-over-year, suggesting data-driven risk management is impacting customer performance positively. For the first quarter ended March 31, 2025, the delinquency rate was 5.9%.

Multi-channel communication (email, mobile, in-store, direct mail)

The communication strategy spans multiple touchpoints to reach the consumer base. Bread Financial Holdings, Inc. utilizes digital channels, including email and mobile, alongside traditional methods like direct mail. The company's payment solutions include general purpose credit cards and savings products, which are supported by these channels. The firm also delivers growth through private label and co-brand credit cards across sectors such as travel & entertainment, health & beauty, jewelry, and specialty apparel.

• Sectors served by co-brand cards include: travel & entertainment, health & beauty, jewelry, and specialty apparel.
• Direct-to-consumer deposits reached $8.1 billion as of the second quarter of 2025.
• Direct-to-consumer deposits represented 45% of average total funding in Q2 2025.

Digital self-service tools for account management

Bread Financial Holdings, Inc. is focused on enhancing self-service capabilities within its digital channels to allow customers to manage needs when and how they prefer, which also generates efficiencies. The company previously launched the Enhanced Digital Suite in October 2020 to support these efforts. The firm aims for operational excellence, which includes driving digital adoption to reduce the costs to serve customers. Analysts expect the full fiscal year 2025 Earnings Per Share (EPS) to be $6.45, reflecting operational discipline.

Dedicated customer service and collections functions

Dedicated functions manage customer service and collections, which is critical given the nature of the credit products offered. The company's credit performance is closely monitored, with key metrics reported monthly. For the month ended October 31, 2025, net principal losses were $112 million. The net loss rate for October 2025 was 7.5%, down from 7.9% in October 2024. The company's total end-of-period credit card and other loans stood at $17.7 billion in October 2025.

Here's the quick math on recent credit health metrics:

Metric	October 2025 Value	October 2024 Value
Net Loss Rate	7.5%	7.9%
30+ Days Delinquency Rate	6.1%	6.4%
Net Principal Losses (in millions)	$112	$120

Relationship management with brand partners

Managing relationships with brand partners is a core component of the business model, providing growth for private label and co-brand credit card programs. Bread Financial Holdings, Inc. renewed a long-term partnership with Caesars Entertainment in the second quarter of 2025 and launched a new, fee-based credit card with them. Furthermore, new partnerships in the home vertical, including one with Bed Bath & Beyond, are expected to fuel growth. The company also offers the Bread Rewards American Express Credit Card, launched in partnership with American Express in April 2022.

The firm recently announced a quarterly dividend of $0.23 per share, payable December 12th, which represents a $0.92 annualized dividend and a yield of 1.4% as of November 2025.

Bread Financial Holdings, Inc. (BFH) - Canvas Business Model: Channels

You're looking at how Bread Financial Holdings, Inc. (BFH) gets its products and services into the hands of customers as of late 2025. The channels are a mix of deep retail integration and a growing direct digital presence.

The engine room for originations remains the retailer network. For the third quarter of 2025, credit sales reached $6.8 billion, showing a 5% increase, which the company attributed to new partner growth and higher general-purpose spending. This indicates the in-store and e-commerce point-of-sale channel is still driving significant volume. For context, customer spending on co-brand credit cards made up approximately 50% of credit sales for the full year 2024.

The direct-to-consumer (DTC) channel is a major focus for funding. As of the end of the third quarter of 2025, direct-to-consumer deposits stood at $8.2 billion, marking a 9% year-over-year increase. This digital funding source now represents 47% of Bread Financial Holdings, Inc.'s average total funding, moving closer to management's target of half of total funding. This growth helps reduce reliance on more expensive funding sources.

The mobile application serves as the primary digital interface for existing customers. While specific Bread Financial Holdings, Inc. app usage numbers aren't public, the broader trend shows that 72% of US adults report using mobile banking apps as of 2025, with 68% of millennials primarily using them. This underscores the necessity of a strong mobile experience for account access and payment management.

Co-brand partner networks are critical for both origination and revenue. Bread Financial Holdings, Inc. delivers growth through private label and co-brand cards in sectors like travel & entertainment, health & beauty, and specialty apparel. A key recent event was the renewal of a long-term partnership with Caesars Entertainment and the launch of a new, fee-based credit card in the second quarter of 2025.

The company relies on third-party service providers for core processing, which supports the scale needed to manage its approximately 38 million open and outstanding accounts (as of December 31, 2024). Revenue generation from these channels is also supported by merchant discount fees received from partners to compensate for promotional financing, such as deferred interest offers.

Here's a quick look at the channel-related financial performance as of the third quarter of 2025:

Metric	Value (Q3 2025)	Change/Context
Credit Sales	$6.8 billion	Up 5% from prior year
Direct-to-Consumer Deposits	$8.2 billion	Up 9% year-over-year
DTC Deposits as % of Total Funding	47%	Up from 41% a year ago
Quarterly Revenue	$161.00 million	Up 21.97% for the quarter
Net Income (Continuing Ops)	$188 million	Reported for the quarter
Net Loss Rate (October 2025)	7.5%	Decreased from 7.9% previous year

The digital and direct channels are showing tangible results in funding stability, evidenced by the DTC deposit growth. However, the core credit business, heavily influenced by retailer channels, is managing credit quality carefully. The October 2025 net loss rate was 7.5%, an improvement from 7.9% the prior year, but the company had anticipated a full-year net principal loss rate between 8.0% and 8.2% for 2025.

The key access points for customer acquisition and service delivery include:

• Retailer point-of-sale integration for private-label card origination.
• The online platform for general-purpose card and deposit acquisition.
• The mobile application for daily payment and account management.
• Co-brand partner agreements driving spending across travel and retail.
• The underlying third-party core processing infrastructure.

The company is clearly pushing its digital footprint. Tangible book value per common share grew to $56.36 in Q3 2025, a 19% increase year-over-year, suggesting that the capital base supporting these channels is strengthening. Finance: draft 13-week cash view by Friday.

Bread Financial Holdings, Inc. (BFH) - Canvas Business Model: Customer Segments

You're looking at the core groups Bread Financial Holdings, Inc. (BFH) serves as of late 2025. This isn't just about who has a card; it's about the different financial needs they are meeting across the consumer spectrum.

The primary group consists of millions of U.S. consumers seeking payment and lending solutions. This base is served through both private label/co-brand programs and their general-purpose card offerings. For instance, credit sales for the third quarter of 2025 reached $6.8 billion, marking a 5% increase over the prior year period.

A significant portion of the customer base comes through partnerships with customers of recognized brands in specialty retail and travel. Bread Financial delivers growth for partners in sectors like travel & entertainment, health & beauty, jewelry, and specialty apparel. In the third quarter of 2025, the company expanded its home vertical by signing partners including Bed, Bath & Beyond, Furniture First, and Raymour & Flanigan.

The company also targets savers utilizing direct-to-consumer deposit products, which are a key part of their funding mix. As of the third quarter of 2025, direct-to-consumer deposits stood at $8.2 billion, up 9% year-over-year, and these deposits now make up 47% of their average total funding.

BFH manages consumers with varying credit profiles through risk models. As of September 30, 2025, the company had a higher-risk profile, with 42% of receivables originating from nonprime borrowers, defined as those with a VantageScore less than 660. This contrasts with the end of 2024, where 15% of credit card loans were in the 600 or Less category and 27% were in the 601 to 660 range.

Finally, the segment includes general-purpose credit card users, primarily through the Bread Financial general purpose credit cards. These users contributed to the $6.8 billion in credit sales seen in the second quarter of 2025, a 4% increase.

Here's a quick look at the scale and mix of the lending and funding customer bases as of mid-to-late 2025:

Metric	Value / Percentage	Reporting Period	Citation Reference
Direct-to-Consumer Deposits	$8.2 billion	Q3 2025
Direct-to-Consumer Deposits YoY Growth	9%	Q3 2025
D2C Deposits as % of Total Funding	47%	Q3 2025
Receivables from Nonprime Borrowers (VantageScore < 660)	42%	September 30, 2025
Credit Card Loans (VantageScore 600 or Less)	15%	December 31, 2024
Credit Sales	$6.8 billion	Q3 2025

The company's focus on digital self-service capabilities is intended to enhance the experience for all these segments.

• Customers served across payment, lending, and saving solutions.
• Partnerships span travel & entertainment, health & beauty, jewelry, and specialty apparel.
• New partners added in home vertical in Q3 2025: Bed, Bath & Beyond, Furniture First, Raymour & Flanigan.
• Loan portfolio stability supported by over 85% of loans contracted through 2025.

Finance: draft 13-week cash view by Friday.

Bread Financial Holdings, Inc. (BFH) - Canvas Business Model: Cost Structure

The Cost Structure for Bread Financial Holdings, Inc. is heavily influenced by credit risk provisioning, funding costs, and operational technology spend.

Provision for credit losses represented a significant cost component, reported at $296 million in the first quarter of 2025, marking an 8% decrease compared to the first quarter of 2024. The net loss rate for Q1 2025 was 8.2%.

Interest expense on funding sources is a core variable cost, tied to the mix of deposits and borrowings. As of the third quarter of 2025, interest-bearing liabilities averaged $17,436 million, incurring $210 million in interest expense for the quarter.

• Direct-to-consumer (Retail) deposits averaged $8,139 million, with interest expense of $86 million in Q3 2025, representing an average rate of 4.2%.
• Interest-bearing borrowings averaged $4,001 million, with interest expense of $71 million in Q3 2025, representing an average rate of 7.0%.

Non-interest expenses saw a reduction in Q1 2025, reflecting disciplined management initiatives. Total non-interest expenses decreased by $5 million, or 1%, in Q1 2025 compared to the prior year period.

Here's the quick math on the components driving that change in Q1 2025 total non-interest expenses:

Expense Category	Q1 2025 Change (in millions)	Direction
Other expenses (including prior year debt extinguishment costs)	($15)	Decrease
Card and processing expenses	($4)	Decrease
Information processing and communication expenses	$7	Increase
Marketing expenses	$7	Increase

Employee compensation and benefits is a substantial fixed-like cost. The reported year-to-date figure for Employee compensation and benefits in the first quarter of 2025 was $897 million. As of November 2025, the estimated average annual salary for employees in the United States is $121,692.

Marketing and partner share arrangements contribute to both operating expenses and revenue generation. Marketing expenses specifically increased by $7 million in Q1 2025. Separately, revenue in the third quarter of 2025 was negatively impacted by higher retailer share arrangements.

• The year-to-date 2025 figure for Employee compensation and benefits was $897 million.
• Marketing expenses increased by $7 million in Q1 2025.
• The estimated typical annual salary range for most roles at Bread Financial Holdings, Inc. is approximately from $106,948 to $137,767.

Finance: draft 13-week cash view by Friday.

Bread Financial Holdings, Inc. (BFH) - Canvas Business Model: Revenue Streams

You're looking at the core engine of how Bread Financial Holdings, Inc. brings in money, which is fundamentally about managing credit risk and transaction flow. The revenue streams are heavily weighted toward the lending side of the business, which makes sense for a company focused on payment and lending solutions.

The primary revenue source is definitely interest and fees generated from loans. This is the bread and butter. For instance, in the third quarter of 2025, Bread Financial Holdings, Inc. reported Net interest income of $1,032 million. This income is generated while managing total interest-bearing liabilities that stood at $17,436 million as of that same quarter.

The overall top line shows some quarterly fluctuation based on credit performance and partner dynamics. You saw that Q1 2025 total revenue was $970 million. Then, in the third quarter, the revenue was reported at $971 million, which represented a slight 1% year-over-year decrease.

Other key components feeding into that total revenue include:

• Interchange fees derived from payment processing activities.
• Retailer share arrangements stemming from co-brand programs.
• Interest and fees on loans, which is the largest component.

It's important to note how these streams interact. For example, in Q3 2025, total revenue saw a decrease partly due to lower billed late fees and, interestingly, higher retailer share arrangements, which partially offset other factors. This shows the dynamic nature of the non-interest income components.

Here's a quick look at the recent quarterly financial performance to put those revenue figures in context with profitability:

Metric	Q1 2025 Value	Q3 2025 Value
Total Revenue	$970 million	$971 million
Net Income	$142 million	$188 million
Credit Sales	$6.1 billion	$6.8 billion

The bottom line shows strong performance despite the flat-to-slightly-down revenue guidance for the full year 2025. Bread Financial Holdings, Inc. achieved a net income of $188 million in Q3 2025. That's a defintely strong conversion of revenue to profit, especially when compared to the $142 million net income posted in Q1 2025.

Finance: draft the expected Q4 2025 revenue breakdown based on Q1 and Q3 trends by Monday.