The news: Affirm is pushing deeper into consumers’ everyday spend alongside financing major purchases, per its fiscal Q4 (ended June 30, 2026) earnings release.

• Affirm’s gross merchandise volume (GMV) grew 36% YoY to $14.1 billion—but total transactions increased even faster to 53 million, or 41% YoY. 
• At the same time, average order value (AOV) decreased by 4%. 

Affirm attributed both the uptick of total transaction and decline in AOV to Pay-in-X’s 41% growth YoY, largely driven by lower-value purchases.

Why this matters: Buy now, pay later (BNPL) players are capturing more everyday spending as consumers build habits with the payment method. 

Affirm is doing that through strategic merchant tie-ups and Affirm Card sign-ups.

• Expanded platform partnerships during Q4 helped grow professional services financing by 74%, elective medical by 85%, and automotive products and services by 140%.
• The number of Affirm Card actives rose above 5.2 million. Cardholders’ average total GMV equaled almost $4,000, or twice the rate of other active users. However, cardholders represent roughly 19% of Affirm’s active customer base. 

Implications for BNPL providers: If installment providers want to compete for US adults’ everyday spending, they’re going to have to get serious on rewards. 

CEO Max Levchin argued that Affirm’s rewards value comes from 0% interest loans, versus direct cash back, per Affirm’s earnings call. But convincing US consumers of that fact will be tricky. 

US consumers can earn ample cash back on no-annual-fee credit cards—making choosing an Affirm Card for a coffee run less likely for shoppers who want to earn with every tap, especially for consumers who already don’t carry a credit card balance. Until BNPL players can rewrite the narrative on US rewards, installment providers will have an uphill battle convincing consumers of their value.

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