Affirm's Adaptive Checkout helps LuisaViaRoma drive sales with personalization
In 2000, LuisaViaRoma became one of the first European luxury retailers to embrace e-commerce, and the business has grown ever since. The family-owned Italian company is now growing its customer base in the United States—with acceleration from Affirm’s Adaptive Checkout™.
The new solution lets retailers give shoppers more choice in how they can pay over time at more price points. As shoppers consider their purchase, the technology translates price into multiple payment options—from 4 interest-free payments to be paid every 2 weeks to monthly installments, up to 36 months for some merchants.
The result is a customized shopping experience that drives more conversion, as LuisaViaRoma discovered. The luxury retailer tested Adaptive Checkout this summer with its U.S. customer base, and the results included a 21% increase in conversion on Affirm sales. In addition, customer approvals and Affirm sales volume rose 13%, respectively.
“Those are great numbers,” said Leah Cavazzini, who leads marketing for the U.S. at LuisaViaRoma. “They show that the more flexibility we offer clients, the more they will shop with us.”
More flexibility leads to more customers
With its tailored selections of payment options, Adaptive Checkout enhances the personalized experience that many shoppers expect from luxury brands. It also makes it easier for new customers who might not otherwise have made a luxury purchase.
“Adaptive Checkout lets our brand become more accessible to a wider range of people,” said Cavazazini. “That’s a huge value to our company in expanding our customer base and our brand awareness.”
The Adaptive Checkout test also brought LuisaViaRoma an increase in ideal customers who made a purchase with Affirm. “These are very desirable customers for us who will probably come back and shop more,” she said.
Adaptive Checkout works for multiple client segments
As the Italian retailer looks toward the holiday season, Cavazzini is focusing on two large segments: younger shoppers who prefer sporty brands and luxury shoppers who make expensive purchases. She thinks Adaptive Checkout is a solution that will work well for each segment, since it seamlessly tailors multiple pay-over-time options at most price points.
“I think the best part about Adaptive Checkout is it really offers flexibility to our clients in being able to choose different payment options,” Cavazzini added. “Having this flexibility gives us a competitive edge that no other platform or partner offers.”
She also liked how simple the tech integration was for offering Adaptive Checkout to LuisaViaRoma customers. “It was super easy. All we had to do was say yes.”