NEW YORK, March 3, 2020 /PRNewswire/ -- Katapult, formerly known as Zibby, is the only financial technology company in the eCommerce marketplace that provides a solution and growth opportunity for retailers who want to provide a no-credit-required financing option to their customers. The company's rebrand comes at a time when the need for options catering to customers with low and evolving credit is greater than ever.
As of 2019, there are over 131 million Americans who need or desire credit but struggle to get it. Most companies that offer payment options to non-prime consumers have not yet tapped into or mastered the eCommerce space and those that have, require a high credit score, leaving nearly 50% of American consumers unable to purchase what they need online and a missed $42 billion market opportunity for retailers.
"I'm very proud that Katapult has been able to close the gap by leveraging non-FICO data sources to offer payment options both online and in-store to consumers with little or no credit," says Orlando Zayas, CEO of Katapult.
Non-prime consumers used to have limited options to obtain certain items: purchase outside of their means, secondhand or not at all. But through Katapult, these consumers can get approved for up to $3,500, allowing them to have access to lease-to-own products such as furniture, electronics, appliances, auto and more. Katapult simultaneously gives consumers the power to obtain while increasing retailers' reach into an untouched consumer base.
The rebrand from Zibby to Katapult is reflective of the literal catapult of success the company has experienced the past two years and its expected growth trajectory.
Founded in 2013, Katapult is a lease-to-own platform that propels retailer growth, while giving non-prime customers the purchasing power they deserve. Half of the U.S. has a FICO score below 700, and financing options are limited. When it comes to purchasing durable goods like furniture or electronics, non-prime customers are often forced to make low-quality purchases or go without.
Katapult has flexible pay-over-time options that make sense for non-prime consumers' financial needs. Customers are approved quickly by using non-FICO data sources because Katapult believes that customers' credit scores don't always fairly reflect their ability to be financially responsible.
The cutting-edge system integrates seamlessly with online platforms and point-of-purchase systems. Funding is quick, so retailers spend energy attracting a new customer base and growing sales, and consumers get access to what they need. Everyone wins!
Tribe Builder Media