Affirm Holdings, Inc. (AFRM): Business Model Canvas [Jan-2025 Mis à jour]

Dans le monde dynamique de la fintech, Affirm Holdings, Inc. (AFRM) a révolutionné le financement des consommateurs en offrant une alternative révolutionnaire aux modèles de crédit traditionnels. En tirant parti des algorithmes d'apprentissage automatique de pointe et d'une approche centrée sur l'utilisateur, Affirm a transformé la façon dont les milléniaux et les consommateurs avertis du numérique subissent des transactions financières, fournissant des solutions de paiement de versement transparentes et flexibles qui se libérent des contraintes de la banque conventionnelle. Plongez dans la toile du modèle commercial complexe qui alimente cette plate-forme innovante et découvrez comment l'affirmation est de remodeler le paysage financier d'une nouvelle génération de consommateurs.

Affirm Holdings, Inc. (AFRM) - Modèle commercial: partenariats clés

Partenaires marchands

Au quatrième trimestre 2023, Affirm a établi des partenariats avec plus de 265 000 partenaires marchands dans divers secteurs:

Secteur	Nombre de marchands	Pourcentage du total des partenaires
Commerce électronique	129,500	48.9%
Vente au détail	82,000	30.9%
Voyage	53,500	20.2%

Partenaires d'intégration technologique

Les partenariats technologiques d'Affirm comprennent:

• Shopify: intégré à 100% des marchands Shopify
• BigCommerce: une intégration active couvrant 75% des marchands de plate-forme
• WooCommerce: partenariat couvrant 45 000 magasins en ligne

Institutions financières

Le réseau de partenariat financier d'Affirm comprend:

Partenaire financier	Type de collaboration	Ligne de crédit
Rive de la rivière croisée	Partenaire de prêt principal	1,2 milliard de dollars de crédits
Banque celtique	Partenaire de prêt secondaire	Ligne de crédit de 750 millions de dollars

Processeurs de paiement

Partenariats de processeur de paiement clés:

• Visa: couverture de traitement des transactions de 98%
• MasterCard: l'intégration du réseau couvrant 95% des transactions
• American Express: Partenariat partiel de traitement des transactions

Fournisseurs de portefeuilles numériques

Partenariats sur l'écosystème des paiements numériques:

• Apple Pay: intégration complète
• Google Wallet: support de transaction complet
• Samsung Pay: traitement intégré des paiements

Affirm Holdings, Inc. (AFRM) - Modèle d'entreprise: activités clés

Développement de la technologie de financement des consommateurs

Affirm a investi 244,8 millions de dollars dans la recherche et le développement au cours de l'exercice 2023. Le développement de la technologie se concentre sur:

• Algorithmes de décision de crédit en temps réel
• Infrastructure d'application mobile
• Capacités d'intégration de l'API

Métrique d'investissement technologique	Valeur 2023
Dépenses de R&D	244,8 millions de dollars
Ingénieurs logiciels	Plus de 450 professionnels
Demandes de brevet	37 brevets technologiques actifs

Création d'algorithmes de notation de crédit alternatifs

Affirm utilise des modèles d'apprentissage automatique analysant plus de 200 points de données pour l'évaluation du crédit.

• Approche d'évaluation du crédit non traditionnel
• Capacités d'évaluation des risques en temps réel
• Modèles d'apprentissage automatique propriétaires

Fournir des solutions de paiement à tempérament

Le volume des transactions traité a atteint 16,64 milliards de dollars au cours de l'exercice 2023.

Métrique de la solution de paiement	Valeur 2023
Volume total des transactions	16,64 milliards de dollars
Taille moyenne du prêt	$373
Partenaires marchands	287 000+ marchands actifs

Maintenir une plate-forme de prêt numérique robuste

La plate-forme prend en charge les décisions de crédit instantanées avec une disponibilité de 99,7%.

• Infrastructure cloud
• Architecture des microservices évolutifs
• Protocoles avancés de cybersécurité

Gérer le risque de crédit et la prévention de la fraude

Mise en œuvre des techniques avancées de gestion des risques avec un taux de facturation net de 2,4% en 2023.

Métrique de gestion des risques	Valeur 2023
Taux de redevance net	2.4%
Précision de détection de fraude	97.6%
Taille de l'équipe de gestion des risques	125+ professionnels

Affirm Holdings, Inc. (AFRM) - Modèle d'entreprise: Ressources clés

Technologie avancée d'évaluation du crédit d'apprentissage automatique

La plate-forme d'évaluation du crédit d'apprentissage automatique d'Affirm traite environ 4,5 millions de décisions de crédit par mois. La technologie évalue plus de 200 points de données par transaction avec une précision prédictive de 92,3%.

Métrique technologique	Valeur quantitative
Décisions de crédit mensuelles	4,5 millions
Points de données par transaction	200+
Précision prédictive	92.3%

Algorithmes de modélisation des risques financiers propriétaires

Les algorithmes de modélisation des risques d'Affirm utilisent des capacités de traitement des données en temps réel avec un Taux de détection de fraude à 99,7%.

• Vitesse de traitement d'évaluation des risques: 0,03 seconde par transaction
• Fréquence de mise à jour du modèle d'apprentissage automatique: trimestriel
• Complexité de l'algorithme: architecture de réseau neuronal multicouche

Infrastructure numérique et application mobile

Métrique d'infrastructure	Valeur quantitative
Téléchargements d'applications mobiles	3,2 millions
Temps de réponse de l'application	0,5 seconde
Time de disponibilité des infrastructures cloud	99.99%

Analyse des données et informations sur le comportement des consommateurs

Affirmer les processus de plus de 17,1 millions de profils de consommateurs uniques avec des algorithmes de prédiction comportementale avancés.

• Points de données des consommateurs suivis: 350+
• Précision prédictive du comportement des consommateurs: 85,6%
• Capacité de traitement des données en temps réel: 50 000 transactions par seconde

Équipes d'ingénierie et de technologie financière talentueuses

Composition de l'équipe	Valeur quantitative
Total des employés	1,600
Taille de l'équipe d'ingénierie	680
Expérience technique moyenne des employés	7,4 ans

Affirm Holdings, Inc. (AFRM) - Modèle d'entreprise: propositions de valeur

Options de paiement de versement flexible et transparent

Affirm offre des prêts à tempérament allant de 50 $ à 17 500 $ avec des termes de 3, 6 ou 12 mois. Au troisième rang 2023, la taille moyenne du prêt était de 304 $, avec un taux de pourcentage annuel (APR) entre 0 et 36%.

Terme de prêt	Montant minimum	Montant maximum	Gamme APR
3 mois	$50	$17,500	0-36%
6 mois	$50	$17,500	0-36%
12 mois	$50	$17,500	0-36%

Pas de frais cachés ou d'intérêt pour aggraver

Affirmation facture un modèle d'intérêt simple avec un intérêt total divulgué à l'avance. En 2023, 87% des prêts d'Affirm avaient 0% APR pour les consommateurs.

• Frais d'origine zéro
• Pas de pénalités de paiement en retard
• Aucune structure d'intérêt composée

Décisions de crédit instantanée

Affirm fournit des décisions de crédit en temps réel en utilisant d'autres points de données. En 2023, la société a traité 8,8 millions de clients uniques avec un taux d'approbation de 60,2%.

Métrique	Performance de 2023
Clients uniques	8,8 millions
Taux d'approbation	60.2%

Intégration d'achat sans couture

Affirmer des partenaires avec plus de 245 000 marchands au cours du troisième trimestre 2023, y compris les grands détaillants comme Amazon, Target et Walmart.

Produits financiers personnalisés

Ciblage des Millennials et Gen Z, 68% de la clientèle d'Affirm a moins de 40 ans. Le volume brut des marchandises (GMV) a atteint 16,7 milliards de dollars au cours de l'exercice 2023.

Client démographie	Pourcentage
Moins de 40 ans	68%
Volume de marchandises brutes (2023)	16,7 milliards de dollars

Affirm Holdings, Inc. (AFRM) - Modèle d'entreprise: relations clients

Plate-forme numérique en libre-service

La plate-forme numérique d'Affirm a traité 16,64 milliards de dollars de volume de transactions totales au cours de l'exercice 2023. La plate-forme permet à 16,3 millions de consommateurs actifs de gérer les transactions financières indépendamment.

Métriques de plate-forme numérique	2023 données
Volume total des transactions	16,64 milliards de dollars
Compte de consommateurs actif	16,3 millions
Taille moyenne des transactions	$270

Recommandations financières personnalisées

Affirm utilise des algorithmes avancés pour fournir des recommandations financières personnalisées avec une précision de 87% basée sur des modèles de dépenses de consommation individuels.

• Les modèles d'apprentissage automatique analysent 3,2 millions de profils de consommateurs uniques
• Taux de précision de la recommandation: 87%
• Taux d'acceptation de l'offre personnalisée moyenne: 42%

Support client de l'application mobile

L'application mobile d'Affirm prend en charge 12,5 millions d'utilisateurs actifs mensuels avec des fonctionnalités de service client en temps réel.

Métriques de support d'application mobile	2023 statistiques
Utilisateurs actifs mensuels	12,5 millions
Temps de réponse moyen	8,2 minutes
Taux de satisfaction client	94%

Communication transparente sur les conditions de paiement

Affirm fournit des conditions de paiement claires avec zéro frais cachés, ce qui entraîne une compréhension des clients de 96% des conditions de prêt.

• Frais d'origine zéro
• Pas de pénalités de paiement en retard
• Divulgation de taux d'intérêt transparent

Processus d'intégration numérique convivial

Le processus d'intégration numérique d'Affirm permet à 93% des nouveaux utilisateurs de terminer l'enregistrement en 3 minutes.

Métriques du processus d'intégration	2023 données
Temps d'intégration moyen	3 minutes
Taux d'inscription réussi	93%
Succès de vérification des utilisateurs	98.6%

Affirm Holdings, Inc. (AFRM) - Modèle d'entreprise: canaux

Application mobile

L'application mobile d'Affirm a téléchargé 2,3 millions de fois au quatrième trimestre 2023. L'application prend en charge 18,7 millions d'utilisateurs actifs au 31 décembre 2023. Le volume des transactions d'application mobile a atteint 4,2 milliards de dollars au cours de l'exercice 2023.

Métrique de l'application mobile	2023 données
Téléchargements totaux	2,3 millions
Utilisateurs actifs	18,7 millions
Volume de transaction	4,2 milliards de dollars

Site Web de l'entreprise

Affirm.com reçoit 12,5 millions de visiteurs uniques mensuels. Le taux de conversion du site Web s'élève à 3,6% pour 2023. Le trafic Web annuel génère 2,8 milliards de dollars de volume de transactions.

Sites Web marchands de commerce électronique

Affirmant intégré à 245 000 partenaires marchands au T2 2023. Le réseau marchand comprend:

• Amazone
• Walmart
• Cible
• Meilleur achat
• Shopify marchands

Métriques d'intégration des marchands	2023 données
Total des partenaires marchands	245,000
Volume de transaction marchande	16,7 milliards de dollars

Plateformes de marketing numérique

Les dépenses de marketing numérique ont atteint 42,3 millions de dollars au cours de l'exercice 2023. Le coût de l'acquisition des clients était en moyenne de 78 $ par utilisateur.

Engagement des médias sociaux

Les abonnés des médias sociaux sur toutes les plateformes:

Plate-forme	Nombre de suiveurs
Instagram	187,000
Twitter / x	95,000
Liendin	126,000

Affirm Holdings, Inc. (AFRM) - Modèle d'entreprise: segments de clientèle

Consommations du millénaire et de la génération Z

Depuis le troisième trimestre 2023, la démographie de base d'Affirm se compose de 68% des milléniaux et des consommateurs de la génération Z âgés de 18 à 40 ans. L'âge moyen des utilisateurs affirmants a 33 ans.

Groupe d'âge	Pourcentage d'utilisateurs
18-24	32%
25-34	36%
35-40	22%

Acheteurs en ligne à la recherche d'options de paiement flexibles

En 2023, Affirm a traité 16,7 milliards de dollars de volume de transactions totales avec 14,3 millions de consommateurs actifs.

• 87% des utilisateurs préfèrent les options de paiement des versions
• Taille moyenne des transactions: 340 $
• Nombre de partenaires marchands: 264 000

Consommateurs ayant des antécédents de crédit limités ou non traditionnels

Affirm dessert environ 42% des utilisateurs qui ont des antécédents de crédit limités ou non traditionnels.

Crédit Profile	Pourcentage d'utilisateurs
Pas de crédit traditionnel	22%
Historique de crédit limité	20%
Crédit établi	58%

Individus à la recherche de solutions de financement alternatives

En 2023, Affirm offre un financement pour les achats allant de 50 $ à 17 500 $ dans diverses catégories de marchands.

• Top Catégories de marchands:
  • Retail: 38%
  • Électronique: 22%
  • Voyage: 15%
  • Marchandises à domicile: 12%

Consommateurs numériques avertis en technologie

En 2023, les mesures d'engagement de la plate-forme numérique d'Affirm ont montré:

• Téléchargements d'applications mobiles: 6,2 millions
• Visiteurs mensuels du site Web: 22,5 millions
• Pourcentage de transaction numérique: 94%

Utilisation de l'appareil	Pourcentage
Application mobile	62%
Web mobile	32%
Bureau	6%

Affirm Holdings, Inc. (AFRM) - Modèle d'entreprise: Structure des coûts

Développement d'infrastructures technologiques

Les coûts de développement des infrastructures technologiques d'Affirm pour 2023 étaient d'environ 125,4 millions de dollars. L'entreprise a investi massivement dans les ressources de cloud computing et d'ingénierie logicielle.

Catégorie de coûts	Montant (2023)
Infrastructure cloud	52,6 millions de dollars
Génie logiciel	43,2 millions de dollars
Systèmes de cybersécurité	29,6 millions de dollars

Dépenses de gestion des risques de crédit

Les dépenses de gestion des risques de crédit pour affirmer en 2023 ont totalisé 89,7 millions de dollars, ce qui représente une composante critique de leurs coûts opérationnels.

• Modélisation et analyse des risques: 35,4 millions de dollars
• Technologies d'évaluation du crédit: 28,3 millions de dollars
• Systèmes de prévention de la fraude: 25,9 millions de dollars

Coûts de marketing et d'acquisition des clients

Affirm a dépensé 213,6 millions de dollars en marketing et acquisition de clients en 2023, avec un accent important sur les canaux de marketing numérique et de partenariat.

Canal de marketing	Dépenses (2023)
Marketing numérique	98,5 millions de dollars
Marketing de partenariat	67,2 millions de dollars
Campagnes de sensibilisation de la marque	47,9 millions de dollars

Investissements de conformité réglementaire

Les investissements en conformité réglementaire pour Affirm ont atteint 42,3 millions de dollars en 2023, garantissant l'adhésion aux réglementations financières et aux normes de protection des consommateurs.

• Infrastructure de conformité juridique: 18,6 millions de dollars
• Systèmes de rapports réglementaires: 13,7 millions de dollars
• Formation et personnel de la conformité: 10 millions de dollars

Dépenses de recherche et développement

Affirm a alloué 156,2 millions de dollars à la recherche et au développement en 2023, en se concentrant sur des solutions de technologie financière innovantes.

Zone de focus R&D	Investissement (2023)
Technologie de paiement	62,4 millions de dollars
IA et apprentissage automatique	53,8 millions de dollars
Innovation de produit	40 millions de dollars

Affirm Holdings, Inc. (AFRM) - Modèle d'entreprise: Strots de revenus

Frais de transaction marchand

Au troisième trimestre 2023, affirmez des frais de transaction marchande générés de 126,1 millions de dollars, ce qui représente 39,1% du total des revenus.

Catégorie marchand	Pourcentage de frais de transaction
Vente au détail	2.5% - 4.5%
Commerce électronique	3% - 5%
Voyage	3.5% - 6%

Revenu des intérêts des prêts à la consommation

Pour l'exercice 2023, Affirm a déclaré 355,7 millions de dollars de revenus d'intérêts nets, représentant 46,8% des revenus totaux.

• Taux de pourcentage annuel moyen (APR): 21,4%
• Originations totales de prêt en 2023: 16,64 milliards de dollars

Échange des frais du traitement des paiements

Les frais d'échange ont généré 74,3 millions de dollars au troisième trimestre 2023, ce qui représente 23% des revenus totaux.

Monétisation des données et idées

Affirm génère environ 12,5 millions de dollars par an à partir des informations sur les données de transaction anonymisées.

Offres de services financiers premium

Service	Revenus annuels
Affirmant le compte d'épargne	8,2 millions de dollars
Services de notation du crédit	5,7 millions de dollars

Revenu total pour l'exercice 2023: 760,3 millions de dollars

Affirm Holdings, Inc. (AFRM) - Canvas Business Model: Value Propositions

The core value proposition of Affirm Holdings, Inc. is a two-sided network effect: it offers financial transparency and flexibility to consumers while simultaneously acting as a growth engine for merchants. This dual focus has driven the company's Gross Merchandise Volume (GMV) to $36.7 billion for the fiscal year ended June 30, 2025, a clear signal that the market is embracing this model.

For Consumers: Honest financing with no late or hidden fees, showing total cost upfront.

Affirm's primary value to you as a consumer is radical transparency, which is a direct counter to the complexity and hidden costs of traditional credit. When you check out, you see the total cost of your loan in simple dollars and cents, including all interest, before you commit. This is a crucial difference from deferred interest programs or revolving credit lines.

The company simply does not charge late fees, ever. This isn't a marketing gimmick; it's a foundational business decision, and it means Affirm doesn't profit from your mistakes. Since its founding through June 2025, Affirm estimates it has helped consumers avoid approximately $23 million in late fees alone.

For Consumers: Flexible payment options including 0% APR and Split Pay for smaller purchases.

Flexibility is key, and Affirm's Adaptive Checkout technology tailors the payment plan to the purchase and the consumer. You get a range of personalized options, from short-term, interest-free payments (often called Split Pay or Pay in 4) to longer installments stretching up to 60 months for larger items.

The availability of 0% Annual Percentage Rate (APR) financing, especially on the Affirm Card and through key merchant partnerships, is a major draw. For example, a $1,200 purchase over 12 months at 0% APR means you pay back exactly $1,200-no interest, no fees. The rate you are offered will range from 0% to 36% APR based on your credit profile, but the total cost is always fixed and known upfront.

For Merchants: Increased Gross Merchandise Volume (GMV) of $36.7 billion in FY2025.

For a merchant, Affirm is a sales tool, not just a payment method. The proof is in the scale: Affirm facilitated a total GMV of $36.7 billion in consumer purchases for the fiscal year ended June 30, 2025. Here's the quick math: by enabling consumers to pay over time, merchants capture sales that might otherwise be abandoned or delayed.

This massive volume is supported by a growing, engaged customer base, which reached 23 million active consumers in Q4 2025. That's a huge, high-intent audience you're tapping into. Plus, Affirm takes on 100% of the credit, fraud, and chargeback risk, so the merchant gets paid upfront (typically within 1-3 business days) and doesn't worry about the loan repayment.

For Merchants: Higher sales conversion rates and average order values via point-of-sale financing.

The most compelling value for merchants is the direct impact on their core sales metrics. Point-of-sale financing acts as a powerful lever to increase both the frequency and size of purchases.

Merchants using Affirm have reported a more than 70% lift in average cart sizes during fiscal year 2025. Some partners have seen sales conversions increase by up to 25%. This is why merchants are willing to pay a fee to Affirm-the increase in Average Order Value (AOV) and conversion rate more than covers the cost.

Here is a snapshot of the merchant-side value:

Metric	Value Proposition	FY2025 Data / Impact
Gross Merchandise Volume (GMV)	Facilitates large-scale consumer spending	$36.7 billion (FY2025 reported)
Average Order Value (AOV)	Encourages larger purchases	Reported lift of 60%+ to 70%+ for merchants
Sales Conversion Rate	Reduces cart abandonment	Increased by up to 25% for partners
Repeat Purchase Rate	Drives customer loyalty	Approximately 20% repeat purchase rate from high-LTV customers

For Both: Seamless, integrated payment network at checkout (online and in-store).

The final value proposition is the seamlessness of the payment network (a buy now, pay later or BNPL system). It works across channels, which is critical for an omnichannel retail strategy. Affirm is integrated with over 60% of e-commerce in the US, making it a ubiquitous online option.

In 2025, the in-store network expanded dramatically, moving beyond just a virtual card. This is defintely a game-changer for physical retail. Key developments include:

• Launch on Stripe Terminal in August 2025, enabling in-store BNPL for merchants using Stripe's hardware (over one million devices).
• Availability for in-store purchases via Apple Pay on iPhone as of September 2025, offering a quick, tap-and-pay installment option.

This integration means a consumer can use Affirm almost anywhere, online or in a physical store, using the same quick eligibility check and transparent terms. The entire experience is fast, which means less friction and higher conversion for the merchant.

Affirm Holdings, Inc. (AFRM) - Canvas Business Model: Customer Relationships

Direct-to-Consumer (DTC) engagement via the Affirm mobile app and Affirm Card

Affirm's relationship with consumers is rapidly shifting from a purely point-of-sale (POS) service to a direct-to-consumer (DTC) ecosystem, primarily driven by the mobile app and the Affirm Card. This shift builds a direct, sticky relationship that bypasses the need for a merchant integration at the time of purchase. The DTC Gross Merchandise Volume (GMV) surged by 53% to reach $3.2 billion in the first fiscal quarter of 2026 (ending September 30, 2025), demonstrating the success of this strategy.

The Affirm Card acts as a key component of this DTC strategy, allowing users to apply Affirm's pay-over-time options anywhere Visa is accepted. The card's GMV is growing at an explosive rate, soaring 135% year-over-year to $1.4 billion in Q1 FY26. As of that quarter, the company had 2.8 million active cardholders, which is a strong indicator of consumer adoption for everyday discretionary spend.

• Active Consumers (Sep 2025): Over 24.1 million
• Active Cardholders (Sep 2025): 2.8 million
• Affirm Card GMV (Q1 FY26): $1.4 billion

Fully automated and digital-first service for instant credit decisions

The core of the consumer relationship is a fully automated, digital-first experience designed for speed and clarity. Affirm underwrites every individual transaction in real-time to provide an instant credit decision, a process that is far more transparent than traditional revolving credit. They are increasingly using cash-flow underwriting, which evaluates real-time spending and deposit patterns, to approve more users who might have thin credit files, like younger consumers.

This automated system allows for a high volume of transactions with minimal human intervention. To put the scale in perspective, the average number of transactions per active consumer increased to 5.8 as of June 30, 2025, up from 4.9 the previous year. That's a defintely solid increase in engagement.

High-touch, dedicated account management for large enterprise merchants

While the consumer-facing relationship is digital, the merchant relationship is highly tiered. For the largest enterprise partners-like Amazon and Apple-Affirm utilizes a high-touch, dedicated account management model. This ensures deep integration, strategic alignment, and co-marketing efforts that drive significant volume.

The success of these managed relationships is clear in the numbers. Affirm's overall active merchant count grew to 419,000 as of September 2025, but the top-tier partners continue to be massive growth engines, with GMV from the top five merchants growing by 41% in Q4 FY25.

Customer Relationship Metric	Fiscal Year 2025 / Q1 2026 Value	Significance
Active Consumers (Sep 2025)	Over 24.1 million	Scale of the direct user base.
Repeat Transaction Rate (Q4 FY25)	95%	High customer loyalty and retention.
Transactions per Active Consumer (FY25)	5.8	Frequency of engagement and stickiness.
Active Merchants (Sep 2025)	419,000	Breadth of the merchant network.
Affirm Card GMV Growth (Q1 FY26 YoY)	135%	Success of the DTC product expansion.

Transparency and trust built on a policy of never charging late fees

Affirm's foundational promise is transparency, which is a key differentiator in building consumer trust. Unlike most credit card and traditional pay-over-time options, Affirm has a strict policy of never charging late fees, hidden fees, or compounding interest.

This commitment to a fair and transparent approach is a powerful retention tool. It means the cost of a loan is known upfront, which resonates strongly with consumers, especially younger ones who are wary of revolving credit card debt. This transparency directly supports the high repeat usage, which is arguably the most critical metric for the business.

Focus on repeat customers, driving transaction volume growth

The primary focus of the customer relationship strategy is to convert first-time users into high-frequency, repeat customers. This is the engine of their transaction volume growth. In the fourth fiscal quarter of 2025, an astonishing 95% of transactions came from repeat borrowers, which is a clear sign that the consumer is highly engaged and loyal to the platform.

This repeat business model creates a powerful network effect: more active consumers lead to higher transaction volume, which in turn makes the platform more valuable to merchants. The high repeat rate, coupled with the increase in transactions per user, is what allows Affirm to drive its Gross Merchandise Volume (GMV), which hit $36.7 billion for the full fiscal year 2025.

Affirm Holdings, Inc. (AFRM) - Canvas Business Model: Channels

You need to see the channels not just as distribution points, but as high-velocity funnels that drive your core Gross Merchandise Volume (GMV). For Affirm Holdings, Inc., the channel strategy in late 2025 is a dual-pronged attack: deep integration at the merchant's point-of-sale (POS) and explosive growth in the direct-to-consumer (DTC) Affirm Card.

The merchant network reached approximately 419,000 active merchants as of September 2025, a massive increase that fuels the primary channel. Overall, the company facilitated consumer purchases totaling $36.7 billion in GMV for the fiscal year ended June 30, 2025. That's the scale we are analyzing.

E-commerce and online checkout integration with partners like Shopify and Costco

The core of Affirm's channel strength remains the seamless integration into major e-commerce platforms and large-scale merchant checkouts. This is the classic buy now, pay later (BNPL) channel, where the financing option appears directly in the payment flow. The goal is to maximize conversion by making the loan option a non-event at checkout.

A key strategic channel is the partnership with Shopify, which expanded its Shop Pay Installments internationally in April 2025, starting with Canada and targeting the UK, Australia, and key European markets next. This move is defintely critical for international GMV growth. While the company lost the Walmart partnership in 2025, which shifted about $1.5 billion in GMV away, the overall merchant network growth to over 400,000 partners shows strong diversification and resilience.

Here's the quick math on the overall platform reach as of late 2025:

Metric	Value (As of Late 2025)	Context
Active Merchants	419,000	As of September 2025, demonstrating merchant network expansion.
Active Consumers	24.1 million	As of September 2025, showing the size of the addressable consumer base.
FY 2025 Gross Merchandise Volume (GMV)	$36.7 billion	Total consumer purchases facilitated for the fiscal year ended June 30, 2025.

Direct-to-Consumer (DTC) channel via the Affirm Card and mobile application

The Direct-to-Consumer channel, primarily driven by the mobile application and the Affirm Card, is the fastest-growing part of the business. It bypasses the need for a direct merchant integration, allowing consumers to use Affirm almost anywhere. Direct-to-Consumer GMV grew 53% year-over-year to $3.2 billion in the first fiscal quarter of 2026 (ended September 30, 2025). This channel increases transaction frequency, which climbed to an average of 5.8 transactions per active consumer in FY 2025.

The Affirm Card is a game-changer because it turns all merchants into Affirm merchants, even non-integrated ones. The card's GMV surged by an impressive 135% year-over-year to reach $1.4 billion in the first fiscal quarter of 2026. This explosive growth shows the power of owning the customer relationship.

• Active Cardholders: 2.8 million as of September 2025, a key growth driver.
• Card GMV Growth: 135% year-over-year in Q1 FY2026.
• DTC GMV (Q1 FY2026): $3.2 billion, a 53% year-over-year increase.

Virtual and physical Affirm Card for use everywhere Visa is accepted

The Affirm Card functions as a hybrid debit-financing product, available in both virtual and physical formats, leveraging the Visa network for near-universal acceptance. This is a crucial channel for driving discretionary spend outside the integrated merchant network. The card's architecture allows users to pay in full or apply to pay over time directly through the Affirm mobile application, even at vendors who do not explicitly offer BNPL.

The card's success is not just in online spend; it is also a powerful in-store channel, with GMV derived from in-store usage of the card growing by a staggering 187% in the fourth fiscal quarter of 2025. This clearly indicates the card is successfully bridging the online-to-offline gap for the company.

In-store presence via point-of-sale (POS) systems and self-checkout kiosks

While the Affirm Card is the primary driver of in-store growth, the company maintains a dedicated channel for integrated physical retail. This channel involves direct integration into a retailer's point-of-sale (POS) system or self-checkout kiosks. This allows for the traditional BNPL experience at a physical register, which is essential for big-ticket items in sectors like home goods or electronics.

The strategy is to expand offline retail capabilities and enhance point-of-sale integrations. The 187% GMV growth from in-store Card usage in Q4 FY2025 is the clearest signal of the overall success in capturing physical retail spend, even as the company continues to work on its direct POS integrations.

Developer APIs for seamless merchant integration

The Developer API (Application Programming Interface) is the technical backbone that powers the merchant-integrated channels. It is the channel that allows a merchant to embed Affirm's Adaptive Checkout technology-which offers various payment options like Pay-in-X (short-term, 0% APR installment loans) and longer-term interest-bearing loans-directly into their website or app.

The availability of these APIs is what scaled the active merchant count to 419,000. The API channel is also what facilitates payment links at online checkout and integration into third-party digital wallets, ensuring the payment option is available regardless of the merchant's e-commerce setup. This technical channel is responsible for the majority of the $36.7 billion in annual GMV.

Affirm Holdings, Inc. (AFRM) - Canvas Business Model: Customer Segments

You can't build a massive payment network by focusing on just one customer. Affirm Holdings, Inc. has a dual-sided market, meaning they serve both the consumer who is buying and the merchant who is selling, plus the financial institutions that ultimately fund the loans. This structure is defintely the key to their scale and resilience.

For the fiscal year 2025, the customer base shows strong growth and diversification, which is exactly what you want to see in a high-growth fintech. The core segments are clear: the end-user consumer, the retail partner, and the capital market investors.

Consumers: Over 24.1 million active users who seek transparent, flexible credit.

This is the lifeblood of the business. As of September 2025, Affirm served over 24.1 million active consumers, a number that reflects the accelerating adoption of Buy Now, Pay Later (BNPL) services. These aren't just one-time users; the high repeat transaction rate shows they are integrating Affirm into their regular spending habits. The core value proposition here is simple: transparency. No late fees, no compounding interest, just a clear payment schedule upfront.

Here's a quick snapshot of the active consumer profile in FY 2025:

• Average Household Income: Approximately $73,000.
• Average FICO Score: Approximately 649, indicating a broad reach across the credit spectrum.
• Financial Goal: Primarily focused on cash flow management and budgeting, with approximately 63% of BNPL users citing this as a key reason for use.

Merchants: Over 419,000 businesses, ranging from small to large enterprise.

The merchant base is just as crucial, providing the point-of-sale integration that drives Gross Merchandise Volume (GMV). As of September 2025, Affirm partnered with over 419,000 active merchants. This massive network expansion is what allows the consumer to use the service for a wide range of purchases, from everyday goods to high-value items like travel and medical procedures.

Merchants use Affirm to boost their own sales metrics. For example, merchants using Affirm reported a lift of more than 70% in average cart sizes during fiscal years 2025 and 2024. This is a compelling pitch, and it explains why Affirm continues to secure major partnerships with household names like Amazon, Shopify, and Apple.

Younger demographics (Millennials/Gen Z) who prefer installment payments over revolving debt.

The strategic focus on Millennials and Gen Z is a long-term play against traditional credit cards. These younger demographics are a primary target because they are increasingly adopting BNPL services, seeing them as a more flexible and less opaque alternative to revolving credit. They value the binary precision of an installment loan over the complexity of compounding interest and hidden fees.

The growth in the Direct-to-Consumer (D2C) channel, especially the Affirm Card, is a direct result of targeting this group. D2C GMV grew an incredible 61% in Q4 FY2025, with the Affirm Card's GMV skyrocketing by 132% to $1.2 billion, showing the success of moving beyond the traditional merchant checkout. This segment is the future growth engine. The Affirm Card is a game-changer for customer engagement.

Institutional investors and banks (e.g., New York Life) that purchase loans.

This is the segment that provides the essential funding capacity, allowing Affirm to offload risk and recycle capital for new loans. These are sophisticated financial players who buy the loans originated by Affirm through asset-backed securitizations (ABS) and forward flow agreements. As of March 31, 2025, Affirm's total funding capacity grew to $23.3 billion.

The diversity of these partners is a huge strength, providing a durable funding model. The company has issued 24 ABS transactions totaling $12.25 billion, involving over 150 unique capital partners. Key institutional relationships include:

• New York Life: Expanded a long-term capital partnership in October 2025.
• PGIM Fixed Income: Secured a $3 billion revolving pass-through facility in June 2025, following a private purchase of $500 million in loans in late 2024.
• Sixth Street Partners: Engaged in a loan sale partnership, ramping up forward flow capacity.
• Moore Capital Management: Extended their long-term capital partnership through May 2027.

This capital market segment is what validates Affirm's underwriting model to the broader financial world. Here's the quick math: the total funding capacity is positioned to support over $60 billion in annual GMV, which gives them a massive runway.

Customer Segment	Key Metric (FY 2025/Q1 FY2026)	Primary Value Proposition
Consumers	Over 24.1 million active users (as of Sept 2025)	Transparent, flexible, no-fee installment payments.
Merchants	Over 419,000 active merchants (as of Sept 2025)	Increased conversion and average order value (70%+ lift in AOV).
Institutional Investors/Banks	Total funding capacity of $23.3 billion (as of Mar 2025)	Access to a diversified asset class (consumer loans) with attractive risk-adjusted returns.

Next Step: Finance should review the latest forward flow agreements with New York Life and PGIM to model the precise cost of funds for the next 12-month loan originations.

Affirm Holdings, Inc. (AFRM) - Canvas Business Model: Cost Structure

You need a clear view of where every dollar goes, especially as Affirm Holdings shifts toward sustained profitability. The core of the company's cost structure is dominated by the expenses required to source, fund, and manage its loan portfolio, which totaled $3.312 billion for the fiscal year 2025. This is a capital-intensive model, so the cost of money and the cost of risk are the two biggest drivers you need to watch.

Here's the quick math: Transaction Costs-which include funding, processing, and credit losses-are the most volatile and significant part of the equation, reflecting the nature of a Buy Now, Pay Later (BNPL) lender.

Total Operating Expenses of $3.31 billion for fiscal year 2025.

Affirm Holdings reported total operating expenses of $3.312 billion for the fiscal year ending June 30, 2025. This figure represents a combination of the direct costs associated with loan origination (transaction costs) and the fixed and semi-variable costs necessary to run the technology platform and the business itself (Selling, General & Administrative, and Research & Development).

To be fair, this total is a significant increase from the prior year, but it reflects the massive growth in Gross Merchandise Volume (GMV) to over $36.7 billion in FY2025. The key is ensuring that revenue growth outpaces this expense growth, which is the defintely the challenge in a high-interest-rate environment.

Cost Component (FY2025)	Amount (Millions USD)	Primary Function
Provision for Credit Losses	$616.68	Cost of risk/Expected loan defaults
Funding Costs	$425.45	Cost to secure capital for loans
Processing and Servicing	$457.85	Managing loan portfolio, payments, & collections
Technology and Data Analytics	$589.72	Platform development, AI underwriting
General and Administrative	$545.05	Back office, legal, HR, corporate overhead
Sales and Marketing	$434.85	Merchant acquisition, consumer awareness
Loss on Loan Purchase Commitment	$242.26	Cost related to loan sale agreements

Significant funding costs related to securing capital for loan origination.

Funding costs are the interest and fees Affirm Holdings pays to banks, institutional investors, and capital partners to get the money it needs to originate loans. For fiscal year 2025, these costs hit $425.45 million. This is a critical expense, and its volatility is directly tied to the overall interest rate environment and the credit quality of the loans Affirm holds or sells.

The company mitigates some of this through its capital-light model-selling a portion of the loans to third parties via forward flow agreements and asset-backed securitizations (ABS). Still, the cost remains a major line item. The total funding capacity grew to $23.3 billion as of March 31, 2025, which is a good sign of investor confidence in their asset quality, but that capacity comes with a price tag.

Provision for credit losses, which escalated 60.3% in Q1 FY2025.

The Provision for Credit Losses is an accounting estimate for loans expected to go bad; it's the cost of risk. This is a non-cash expense that directly impacts profitability. In the first fiscal quarter of 2025 (Q1 FY2025), this provision escalated 60.3% year-over-year to $159.8 million.

For the full fiscal year 2025, the total provision was $616.68 million. This significant expense highlights the macroeconomic pressure on consumer credit quality and the inherent risk in the BNPL model, especially with higher-risk loans. Affirm's ability to manage this line item through better underwriting, powered by AI, is the single most important factor for future net income.

Technology and development costs for the core platform and AI underwriting.

The investment in technology is a fixed cost that drives long-term competitive advantage. Affirm Holdings spent $589.72 million on Technology and Data Analytics (Research & Development) in FY2025. This is where they build the moat.

• Fund AI-driven underwriting models to reduce credit losses.
• Develop new products like the Affirm Card and Adaptive Checkout.
• Maintain the core platform and merchant integrations.

This investment is crucial because their proprietary AI-driven underwriting is what allows them to offer a no-late-fee product while managing risk better than traditional lenders.

Processing and servicing expenses for managing the loan portfolio.

These are the operational costs of running the loan book, essentially the back-end plumbing. This includes expenses for payment processing, loan servicing, and collections activities. For fiscal year 2025, these costs amounted to $457.85 million.

As the Gross Merchandise Volume (GMV) grows-which was over $36.7 billion in FY2025-these expenses naturally rise. The key is that they must grow slower than GMV and revenue, indicating improved operational efficiency and scale. The goal is to automate as much of the loan lifecycle as possible, pushing this cost component down as a percentage of total revenue.

Next step: Finance needs to model the sensitivity of the $425.45 million in Funding Costs to a 50-basis-point change in the Fed Funds Rate by the end of the month.

Affirm Holdings, Inc. (AFRM) - Canvas Business Model: Revenue Streams

You need to know exactly where the money comes from to assess Affirm Holdings's long-term viability, and the good news is their revenue model is highly diversified. The company generated a total revenue of approximately $3.22 billion for the fiscal year ended June 30, 2025, which represents a strong 39% increase year-over-year, showing a clear path to scale.

This isn't a single-stream business; it's a portfolio of income sources that de-risks their model, balancing merchant fees, consumer interest, and capital markets activity. The key takeaway is that they are successfully monetizing both the merchant side and the consumer side of their Buy Now, Pay Later (BNPL) platform. To be fair, the shift toward profitability in Q4 2025 was a pivotal moment, with net income hitting $69.2 million, a dramatic turnaround from the prior year's loss.

Total Revenue of $3.22 billion for fiscal year 2025

Affirm's total revenue for the fiscal year 2025 reached approximately $3.22 billion, a substantial increase that highlights the rapid adoption of their installment payment solutions across the US and Canadian markets. This top-line growth is a direct result of a record Gross Merchandise Volume (GMV) of $36.7 billion for the year, up 38% year-over-year, driven by their expansive merchant network and a growing base of 23 million active consumers.

Here's a quick math on the quarterly breakdown, which shows the complexity of their revenue structure. The fourth quarter of fiscal year 2025 alone saw total revenue of $876.42 million, demonstrating the power of their multi-faceted revenue streams.

Affirm Holdings, Inc. - Q4 FY2025 Revenue Breakdown (in millions)

Revenue Stream	Amount (Q4 FY2025)	YoY Growth (Q4 FY2025)	Description
Interest Income	$419.1 million	+24%	Interest charged to consumers on loans held on Affirm's balance sheet.
Merchant Network Revenue	$239.45 million	+56.2% (Network Revenue)	Fees paid by merchants for facilitating transactions and taking on credit risk.
Gain on Sales of Loans	$116.9 million	+67%	Profit realized from selling loans to third-party investors, like securitization trusts.
Card Network Revenue	$67.11 million	N/A (Included in Network Revenue)	Fees generated from the use of the Affirm Card.
Servicing Income	$33.9 million	+22.8%	Fees earned for managing and servicing off-balance sheet loan portfolios.
Total Revenue	$876.42 million	+33%

Merchant Network Revenue (fees paid by merchants)

Merchant Network Revenue is the core fee-based income, where Affirm charges merchants a fee for the service of offering installment payments to their customers. In Q4 FY2025, this revenue stream was a significant component, reaching $239.45 million. This revenue is crucial because it aligns Affirm's success directly with the growth of its merchant partners, which now number over 419,000.

This stream is often higher on 0% Annual Percentage Rate (APR) loans, as the merchant pays a larger fee to subsidize the consumer's interest. It's a strategic choice, so the company accepts a lower Revenue Less Transaction Costs (RLTC) percentage on these shorter-duration, 0% APR products to drive massive transaction volume and onboard new customers.

Interest Income on loans held on the balance sheet ($419.1 million in Q4 FY2025)

The traditional banking component of the business is Interest Income, which is the interest charged to consumers on loans that Affirm chooses to keep on its own balance sheet. This income stream grew by 24% year-over-year in Q4 FY2025 to $419.1 million, fueled by a 24% increase in the value of loans held for investment. This is a defintely important stream, but it comes with the risk of credit losses.

Affirm's underwriting model, which uses artificial intelligence (AI) to assess risk, allows them to manage this risk effectively. The strategic mix shift toward 0% APR products, which represented 29% of GMV in Q4 FY2025, actually helps here because the allowance rate for losses on those loans is roughly 60% lower than for interest-bearing loans.

Gain on Sales of Loans to third-party investors ($116.9 million in Q4 FY2025)

This revenue stream reflects Affirm's role as a loan originator and capital markets operator. It's the profit earned when they sell loans to third-party investors, such as through securitizations. This is a critical source of non-interest income that manages liquidity and reduces credit risk exposure on Affirm's balance sheet. The gain on sales of loans jumped a remarkable 67% in Q4 FY2025 to $116.9 million, indicating strong demand for Affirm's loan assets in the capital markets.

The strong increase here signals two things: improved loan sale volumes and better pricing for their loan portfolios. It's a sign of capital market confidence in their underwriting quality.

Servicing Income from managing off-balance sheet loan portfolios ($33.9 million in Q4 FY2025)

Servicing Income is the fee Affirm earns for managing the loans it has sold off its balance sheet to third-party investors. This includes collecting payments, handling customer service, and managing delinquencies. For Q4 FY2025, this income stream grew 23% to $33.9 million. This revenue is low-risk and highly valuable because it provides a steady, recurring fee based on the size of the off-balance sheet portfolio, which remained stable at approximately a 2% annualized yield.

• Merchant Network Revenue: Fees from retailers for the payment service.
• Interest Income: Interest paid by consumers on loans held by Affirm.
• Gain on Sales of Loans: Profit from selling consumer loans to investors.
• Servicing Income: Fees for managing loans held by third parties.