Encouraging your customers to spend smart
Published May 2022
As a business, you want your customers to spend well. But that doesn’t necessarily mean spending more often. No – we’re talking about spending smart.
As the way customers shop continues to evolve, attracting new ones while retaining those you already have could be a real challenge. Offering retail finance as a payment option could be a great way to help grow your business. The opportunity to spread the cost with fixed monthly payments to suit their budget could give your customers an affordable and flexible way to spend a little more on the products and specifications that they really want.
The truth about false economies
There’s a saying, “You buy cheap, you buy twice” many times. And it often rings true.
When we buy something that’s built to last, we have more chance of getting our money’s worth. It’s always worth spending time thinking about a purchase before we pay out.
Of course, we all fall for the lure of the ‘limited offer’ of that ‘never-to-be-repeated’ price in the ‘special buys’ section. But if we just thought ahead a little, it could make a big difference.
Instead of taking do with that bargain sofa, your customers will be glad their budget went that bit further for example when the whole family (and the dog, of course) can comfortably sit together to binge watch a boxset on that much bigger sofa.
Giving your customer more choice
Imagine a customer who decides to take up mountain biking. They research it – there’s a lot of choice out there – and this new biker simply wants the best bike available. But as the research goes on, they realise this is going to be a pricey investment.
If there was some affordable way they could get the model with all the specifications they want, they’d be one happy biker. Of course, with retail finance, there could be – as it gives the option of spreading the cost, whether it’s bikes, cameras, kitchens or conservatories.
Attitudes and shopping habits are changing
Just look at how attitudes to single-use plastics have changed over the past couple of years. Turn on the TV any time and the chances are you’ll come across a programme extolling the virtues of upcycling or repurposing.
Research by Deloitte* shows that 61% of UK consumers have reduced their usage of single use plastics, and that nearly 1 in 3 have stopped buying specific brands or products because they had ethical or sustainability related concerns about them.
The way customers think about what they’re buying has changed dramatically.
Point of sale (POS) finance could help customers to spend smart
It’s because of all these factors that so many customers find retail finance so useful. It could give them the confidence to buy what they really want by thinking about their monthly budget, rather than just what they can afford at that moment. It gives them the flexibility to do their research about their upcoming purchase, taking into account all the factors that are on offer. It means they’re making their money work for them.
And for you as a retailer, it could mean bigger basket sizes with higher specification items. Not to mention how it could help you appeal to a wider customer base.
Find out how you can offer retail finance from Barclays to your customers – contact us today
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To discuss your business requirements and how Barclays can support you, contact us today.