Why should I offer my customers retail finance?

Thursday 20th January 2022

The customer is always right. And what your customers are telling us, is that they want an affordable finance option when it comes to buying those big-ticket items. An opportunity to spread the cost over a term that suits them.

In fact, in our latest survey, 50% of customers said they went ahead with their recent purchase because a suitable retail credit option was available. What’s more, 50% of customers said they actually increased their order value because of it.

But if that’s not enough to convince you, here are our top 5 reasons you should be offering retail finance to your customers.

1. Increase footfall and traffic

Whether your retail model is mostly in store, online or a mixture of the two, a compelling finance product can bring customers through your door and on to your website. More traffic = more opportunities to convert. It’s that simple.

2. Accelerate purchasing decisions

Once you have attracted the extra customers, give them an offer they can’t refuse with an interest free payment option. They can easily spread the cost without having to pay additional charges, so why wouldn't they?

3. Increase customer loyalty

A good customer experience is the key to ensuring they won’t go anywhere else, which is why it can be scary to trust a third party. Customers often don’t differentiate between multiple companies working together and a bad experience with another service such finance or delivery of goods can reflect badly on you.

On the other hand, a partner you can rely on can help you create a great customer experience, and that’s what you get with Novuna. Our UK-based customer experience team are one of the best out there, accredited by the Institute of Customer Service and with a 4.5/5 customer satisfaction rating.

4. Stimulate recommendations

According to experience management software brand Qualtrics, customers who rate a company as delivering “good” customer experience are 37% more likely to recommend. That’s a whole lot of new business potential – too much to pass up. Make sure you’re providing the type of service your customers want to see.

5. Increase average order value

When a customer is making a big-ticket item purchase, they will have likely have a budget in mind. If their dream item is too expensive, they will have to re-think, right? Not necessarily, with finance. They may be eligible to borrow more than they could afford to pay upfront, making upselling and cross-selling a doddle for your team.

So there you have it. 5 irresistible reasons to offer your customers the finance options they want. Like what you see? Get in touch with our team today.