Affirm CEO Sees Greater BNPL Demand as Gas Prices Climb
The head of buy now, pay later provider Affirm says gas prices are weighing on consumers. “The U.S. consumer undoubtedly sees the higher gas prices, so can’t, can’t ignore that,” Max Levchin said in an interview with CNBC’s “Squawk Box” Friday (Aug. 28). “They’re also coming to us to help manage those prices across all […] The post Affirm CEO Sees Greater BNPL Demand as Gas Prices Climb appeared…
Affirm's CEO Max Levchin highlighted the impact of rising gas prices on consumers and the increasing demand for buy now, pay later services. Gas prices reached a national average of $4.07 per gallon, up nearly a dollar since a year prior. Levchin noted that consumers are more budget-conscious and turning to BNPL providers for assistance in managing their finances.
While overall consumer health remains strong, Levchin warned that sustained high prices could be concerning in the long run. Affirm reported earnings showing BNPL usage expanding to everyday spending, with affordability focusing on multiple transactions. The CEO emphasized the value of free money and how consumers use it to fit purchases into their monthly budgets.
Recent research found that Affirm, along with Klarna, PayPal Pay Later, and Afterpay, is increasingly used by consumers, with many opting for multiple providers due to differences in their offerings.
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