Buy Now Pay Later: A powerful credit offering that’s proven to generate more sales
Buy Now Pay Later is a well-established and highly effective ‘soft-sell’ marketing message that generates more leads, closes sales and enables businesses to up-sell. It’s particularly attractive to customers who prefer to leave their savings in the bank or who have short-term financial obligations and might otherwise delay their purchase. It also allows customers to buy the product they really want, rather than being limited to their original ‘cash’ budget.
In short, BNPL is the ‘go to’ finance option for customers looking to buy today, locking in the purchase price, while deferring repayment for up to 12 months – and it can make the difference between a customer choosing you or your competitor!
The FCA & Buy Now Pay Later
As part of its ongoing oversight of consumer finance, the FCA has recently reviewed BNPL and introduced new requirements, including how interest has to be calculated. These constructive changes to how BNPL operates, will both strengthen the product and make it better for customers.
The success of BNPL across all our retailers, the demand for it from consumers, and the FCA’s enhancements to the product for consumers, is why our lenders continue to be committed to offering it.
Maximising your Buy Now Pay Later campaign
BNPL is a finance product that works well all year round but it particularly comes into its own at expensive times of the year. Sales for home improvement-related products can slow when consumers are facing upcoming seasonal expenses. Having a finance option with a deferral period can help people take the plunge and complete purchases, safe in the knowledge their first repayment is not due for 6 or 12 months.
For customers who want to impress Christmas guests with a new kitchen, a second bathroom, or the additional space created by a loft conversion or conservatory – Buy Now Pay Later is the finance option they will look for
The future’s bright for Buy Now Pay Later
Demand for Buy Now Pay Later shows no sign of diminishing and will continue to be an important finance option for the foreseeable future. A recent global survey, conducted by BigCommerce, found that over 33% of consumers said it allowed them to buy a more expensive product than they originally had in mind – not a figure to be dismissed. BNPL has also been at the heart of the recent growth in digital payments, more than holding its own against interest free.
If you need assistance with creating Buy Now Pay Later promotions, please contact Heather Carey | firstname.lastname@example.org
Find out more about Buy Now Pay Later for the home improvement sector>>
September 2, 2019 - Uncategorized