Using finance to boost peak trading performance

As the Golden Quarter continues to build momentum, retailers across the UK are preparing for the most important trading window of the year. From Black Friday and Cyber Monday through to Christmas and January sales, these weeks can make a decisive difference to annual performance.

Yet with consumers still balancing the cost of living and rising expectations around convenience and flexibility, success now depends on more than sharp pricing or slick marketing. Increasingly, it comes down to how customers are able to pay.

Offering flexible retail finance solutions - from interest-free credit to buy now, pay later (BNPL) - is no longer just a nice-to-have. It’s become a proven driver of conversion and customer loyalty, helping retailers maximise sales when it matters most.

Turning browsers into buyers

Even at peak trading times, many shoppers hesitate before making a big-ticket purchase. Whether it’s upgrading a TV, buying fitness equipment, or refreshing a living space, the upfront cost can still be a barrier.

In fact, research from McKinsey shows that while some UK consumers are still willing to splurge, the majority are now making selective, deliberate trade-offs - postponing big-ticket purchases and prioritising everyday value instead. In other words, shoppers aren’t necessarily spending less overall; they’re just being more cautious about how and when they buy.

Providing the option to spread payments helps remove that hesitation. Customers gain the freedom to buy what they want today, in a way that suits their budget, and retailers see a tangible lift in average order value (AOV).

Recent Novuna Consumer Finance research reinforces this point, showing that shoppers spend up to 166% more when offered finance options compared to paying upfront. The biggest uplifts are seen in categories like technology, electronics and sporting goods, where affordability and aspiration often go hand in hand.

Rather than relying purely on discounts, retailers can use finance messaging like “From £25 per month” or “Spread the cost with 0% interest” to convert browsers into confident buyers. It’s a small shift that can make a big impact during the busiest trading weeks of the year.

Competing on flexibility, not just price

In a crowded marketplace, it’s easy to get drawn into a race to the bottom on discounts, particularly around Black Friday. But margin-heavy promotions aren’t the only way to drive sales.

Finance offers a smarter alternative: giving customers affordability without sacrificing profitability. By promoting flexible payment terms rather than slashed prices, retailers can hold value while still creating a compelling purchase reason.

Brian Flesk, Head of Retail at Novuna Consumer Finance, explains:
“Finance isn’t just a payment method; it’s a sales accelerator. There’s a direct link between the availability of finance and how much more shoppers are prepared to spend - especially when they’re treating themselves.”

That “treat yourself” mentality is particularly strong in the run-up to Christmas. In Novuna’s research, shoppers said they were more likely to increase spending on personal purchases like jewellery, sports gear and technology when finance was available - all categories where thoughtful gifting and self-purchases overlap during the festive season.

Creating omnichannel experiences that convert

Peak trading is no longer confined to the high street or ecommerce alone. Customers increasingly mix channels - researching online before visiting stores, or seeing a product in-store and completing their purchase at home.

Retailers that provide a consistent finance journey across touchpoints stand to gain the most. Whether it’s a smooth digital application process or real-time approval in-store, a joined-up finance experience ensures customers can say “yes” wherever they choose to buy.

Novuna’s technology supports exactly that: fast credit decisions, omnichannel integration, and a customer experience that matches the pace of modern retail. In the rush of the festive season, a frictionless finance process can be the difference between a lost opportunity and a closed sale.

Understanding customer trends to drive smarter sales

Novuna's research also highlights how behaviour differs by demographic - insights that can help retailers refine their marketing and product strategies during peak periods.

Men, for instance, tend to spend more on electronics, with average spend almost tripling when finance is offered. Women show the biggest increase in sporting goods, suggesting opportunities to tailor promotions by audience and category.

Generational trends are just as telling. Younger shoppers (25–34) more than triple their tech spending when given the option to pay monthly, but even over-55s show strong uptake, particularly in health and leisure categories, where finance helps smooth the cost of larger purchases.

These patterns reinforce a simple truth: finance isn’t just for one type of customer. It’s a universal driver of confidence and affordability across age groups and interests.

Building loyalty beyond the Golden Quarter

While finance can spark short-term sales spikes, its long-term impact is just as important. Customers who enjoy a smooth, transparent finance experience are more likely to return, upgrade and recommend - creating a lasting relationship built on trust and convenience.

Retailers also gain valuable insights from finance data, from which categories perform best on instalment plans to when customers are most likely to repurchase. Those insights can inform loyalty strategies and targeted marketing long after the Christmas decorations come down.

In this sense, finance isn’t just a way to boost Q4 results, it’s a strategic tool that strengthens performance year-round.

Partnering for performance

As retailers navigate another peak season, one thing is clear: flexibility wins. Finance empowers customers to shop confidently, lifts sales without compromising margins, and helps retailers stay ahead in an increasingly competitive market.

At Novuna Consumer Finance, we work with more than 3,000 retailers, from national brands to niche online specialists, providing fast, flexible finance solutions that integrate seamlessly across channels. Our goal is simple: to help partners convert more customers, grow responsibly, and deliver the kind of experiences that keep people coming back.

Because in a marketplace where attention is short and competition is fierce, finance doesn’t just facilitate sales - it drives them.

Ready to make this your most successful peak season yet? Discover how Novuna’s retail finance solutions can help your business grow.