Switching from Klarna to Affirm drives sales surge for iSense
Paul Longman knows the value of making adjustments—they can transform the quality of your sleep or transform sales for your business.
He’s the founder and CEO of iSense, an innovative mattress company that’s all about giving couples the ability to adjust each side of their mattress for a better night’s sleep. His business offers flexible payments, and recently switched from Klarna to Affirm—an adjustment that brought a material sales increase during the first month.
Transparency is business-critical
Months earlier, Longman noticed that sales were dropping off for a particular segment of customers, and he wondered if they were being rejected for financing. When he asked Klarna for details about customer approvals, he says the company wouldn’t provide the information—not even verbally.
“We lost a lot of ground trying to figure out why our business wasn’t functioning as we expected, and we realized that financing may be the issue,” Longman said. “When we switched from Klarna to Affirm, we immediately saw a difference. More customers were being approved, and sales started coming through via Affirm. We saw those sales go up by a factor of five.”
Aside from sales results, Longman credits Affirm’s transparency as the biggest benefit for iSense. When he asked for detail about how Affirm was helping his company and its customers, he got it.
“We’re still a young company, and we’re still testing what works,” he said. “It just came down to the transparency that Affirm was willing to offer—this gave us a chance to learn more about what customers were doing. That’s critical to us. Knowledge is power!”
Marketing Affirm scores a ‘mutual win’
The process of integrating Affirm was “hassle-free” because the technology worked easily with Shopify, the e-commerce platform used by iSense. When making the switch, Longman appreciated the recommendation to market Affirm to shoppers on product display pages and called it a “mutual win.”
“Affirm has credibility and is well-known in the furniture industry,” he said. “For me, it’s a brand of credibility that I want on our website.”
Offering shoppers the option to pay over time with Affirm is “more important than ever” due to the coronavirus crisis, Longman said. He added that 0% APR offers have been well-received with iSense customers, making up 75% of Affirm sales volume.
“So many shoppers want to hold on to their cash and stay flexible right now,” he said. “I think the zero-interest offers are a real benefit during these times.”
Learn more about how Affirm can increase sales for your business.