Affirm Holdings, Inc. (NASDAQ: AFRM) saw its stock price surge 5.45% in pre-market trading on Wednesday, following the announcement of a significant new partnership with Mattress Firm, the largest mattress specialty retailer in the United States.
The collaboration, announced just ahead of Mattress Firm's Memorial Day sale, will allow customers to use Affirm's flexible payment options both online and in over 2,200 Mattress Firm locations nationwide. This expansion of Affirm's services to a major retailer is likely driving investor optimism about the company's growth prospects.
Under this new partnership, shoppers at Mattress Firm will have the option to pay for their purchases over time, choosing either biweekly or monthly payment plans through Affirm. This move not only broadens Affirm's potential customer base but also aligns with consumer trends towards flexible payment options in big-ticket purchases. The timing of this announcement, just before a major sales event, suggests that Affirm could see increased adoption of its services in the near term, potentially boosting its transaction volume and revenue.
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