Butter

Butter (formerly Sploor) is a UK-based direct-to-consumer (D2C) BNPL platform that initially focused on providing consumers with holiday installment plans. The platform received FCA-regulated status in 2017, and since then, the platform has expanded into additional verticals through the launch of a shopping app and a physical BNPL card, partly due to the slowdown in the tourism industry as a result of Covid-19. More recently, in December 2021, it launched a browser extension in partnership with Opera. The company claims its differentiating factor is in allowing customers to split up the cost of a transaction from any merchant, without requiring technical integration with the merchant.

Being a D2C platform, Butter allows users to shop through its free-to-use app and the card, and convert transactions into two, three, or four monthly installments at 0% APR, while every late, missed, or partial payment will cost GBP 12 (approximately USD 16). The platform limits each user's credit based on the soft credit check conducted by the platform. Furthermore, if the user does not stay in line with their repayment schedule, Butter can charge interest at 24.9% APR.

The platform’s shopping app includes merchants such as Amazon, Argos, BooHoo, ASOS, H&M, and Zara. As of March 2021, the platform had more than 100,000 customers.

In March 2021, the company raised GBP 15.8 million (approximately USD 22 million) in a funding round led by BCI Finance. The funds will be used to continue the rollout of its shopping app.

Key competitors: None comparable (Butter offers BNPL for travel accommodation)