Tekmetric has partnered with Affirm to give auto repair shops the ability to offer installment payments to their customers.
As part of the partnership, Affirm’s payment network can be accessed through Tekmetric’s auto repair shop management solution, the companies said in a press release on Tuesday (August 13).
Auto repair shops that use Tekmetric’s platform can add Affirm as a payment option in just a few clicks, the press release said.
Repair shop customers can then select “Affirm” during checkout and, once approved, split the cost of their purchase into monthly or biweekly payments and see the total cost of their purchase, according to the press release.
“Our partnership with Affirm enables our partner repair shops to improve customer satisfaction by offering flexible payment plans and achieve higher repair order values and customer loyalty through versatile payment options,” said Sunil Patel, founder and CEO of Tekmetric, in the press release.
According to the press release, Tekmetric joins more than 292,000 retail partners that offer Affirm at checkout.
“Consumers increasingly expect flexibility when paying at checkout. A recent Affirm survey found that more than half of respondents have used or would use the ‘buy now, pay later’ option,” said Pat Suh, senior vice president of revenue at Affirm, in the press release. “By partnering with Tekmetric, we can help the auto repair shops that use their platform meet this consumer demand and accelerate revenue growth.”
Digital tools and platforms are making it easier for drivers to pay high bills for car repairs, especially unplanned ones, PYMNTS reported in February.
According to “The Credit Accessibility Series: BNPL’s Wide-Ranging Impact on Consumers and Merchants,” a collaboration between PYMNTS Intelligence and Sezzle, millennials are particularly likely to use BNPL for vehicle maintenance.
The report found that 5.8% of millennials said they paid for vehicle maintenance costs in their last BNPL transaction, compared to 3.9% of Gen Z consumers, 3.2% of Gen X consumers and 1.7% of baby boomers and seniors.
In January, Bumper, a London-based fintech company that allows customers to finance car repairs in installments, raised $48 million and said it would use the money to expand across Europe, targeting car dealerships and repair shops in the UK, Spain, Germany, the Netherlands and Ireland.
