Embedded Lending

Lending can reinforce core engagement and retention loops by driving purchases and brand loyalty.

Brands can drive revenue by distributing loans with close to zero marginal CAC;

Brands have access to highly predictive proprietary data signals for underwriting and pricing; and

Brands are increasingly offering financial products to their customers, leveraging their $0 marginal distribution cost to compete against financial services providers with multi-year CAC payback periods. At SciFi, we believe that lending is the biggest opportunity in embedded finance, and that several successful Embedded Lenders will emerge in the ... See more

Because the Embedded Lender splits the infrastructure costs across multiple brand partners and drives down unit costs with scale, the Embedded Lender can be profitable even when a brand could not be.

Loans can be offered when users have significant need and/or high intent;

The “Holy Grail” for the Embedded Lender is to see the same borrower across multiple brand partners, giving the lender a viewpoint on borrowers that no other company could possibly build.

Borrowers are already accustomed to borrowing from multiple lenders other than their principal banking provider;

There is a massive opportunity for brands across technology and finance to distribute loans to their customers. By offering lending products, brands have the opportunity to increase their revenue while also driving engagement, retention, and loyalty. Despite having no or limited incremental distribution cost in cross-selling these loans, extremely ... See more