Factors To Consider When Choosing Point Of Sale Consumer Financing For Your Business
Did you know that offering Point Of Sale (POS) consumer financing to your customers can increase sales?
Yes, that’s right. POS Consumer financing can benefit your business in many ways. It can also improve your customer service, attract more customers, and increase your conversions. A huge part of running a business is about trying to find ways to meet the demand of the customer’s needs and wants. And what they want is consumer financing. In fact, customers are more likely to buy from a company that offers this service.
However, you need to choose the right platform and partner that is suited to your business.
So, with that being said, here are a few things to consider when choosing the right POS finance partner for your business.
What is Consumer Financing?
Quite simply, it is a ‘buy now, pay later’ option. It provides your customers with the opportunity to buy your goods or services in an affordable way. For example, let’s assume you have a product or service worth $600. The customer needs it, but can’t afford to pay full price. This is where consumer financing comes in and you offer them a payment plan. They pay $100 dollars each month for the next six months.
The result? A happy customer, and more sales for you!
Thanks to the digital world, it is now easier than ever for your customers to apply for finance. They can apply directly from their smartphones, through your website, or in-store.
Let’s take a deeper look at the important factors to consider when choosing the right Point Of Sale financing company for your business.
Does The POS Finance Company Offer a Multi Lender Network?
One of the most important things to look at when choosing a POS finance partner is whether or not they give your shoppers direct access to a multi-network of reputable lenders. The bigger the network of lenders, the higher approval rates for your customers. The reason why this is an important factor to consider is that most single lender networks use prime lenders to source loans. A prime lender is more inclined to approve a low-risk borrower meaning that credit history, existing debts, and monthly income plays a major part in the final decision. With multi-lender networks, consumer applications are vetted against a variety of prime, near-prime, and sub-prime lenders who offer different terms and payback plans based on a shopper’s unique financial needs.
Does The POS Finance Company Provide An Easy Application Process?
Shoppers expect a certain level of ease when visiting your website or store. If the user experience is not seamless or takes more time and effort than it is worth, consumers are more likely to drop off the page. Lengthy application forms, strict processes, and lack of information can influence the buyer’s decision to leave your store. In order to keep your customers happy and gain their attention until the sale is finalized, it is best to keep the application process and response as simple and as fast as possible. With POS finance partners like ChargeAfter.com, shoppers are able to apply for the loan and receive a response to their application within minutes. And the best part of all is that the customer never has to leave your store or the shopping cart page at all!
Does The POS Finance Company Support All Platforms?
In this day and age, finding one platform to suit all your offline and online needs is ideally the easiest and best solution to streamline all transactions in your business. Partnering with a Point Of Sale Consumer Finance company that offers support for all online platforms like Shopify or Woocommerce and also provides you with an easy to use management database eliminates the need to develop a new internal system or website. With the right partner, you can simply add the necessary code or plugin to your existing site.
The Bottom Line
Whether your business is big or small, you need to offer your customers a financing option. The customer gets the product or service they want at a price they can afford and you get bigger sales and more conversions!
The real question is not whether you should offer consumer financing, but, which Point Of Sale financing partner is best suited for your business. Any business that is able to meet the demands of its customers is likely to be successful.
So, if you want to elevate your business, stay ahead of your competition, and provide excellent customer service, consumer financing is the way to go!