- Posted by Flexiti Financial
- On December 20, 2016
Ah, the holidays. That special time of year where we push through crowds, gifts in hand, frustration and sweat on our faces, running to our car so we don’t tip over into another hour of exorbitant parking fees. While also a joyous time of year, it can be stressful, and those likely feeling the most pressure are our retailers.
We get that the holiday season is the most important time of the year for our retail partners. Holiday sales can literally make or break their business. And while many of us wait for November, or even the last minute, to begin the holiday shopping spree, retailers have spent months preparing in anticipation of the rush. From balancing stock and deliveries, hiring and training seasonal staff, getting ready for extra-long hours and figuring out how to beat the competition, retailers are desperately planning to drive as many sales as they can.
Understanding the customer and the ability to provide them with an array of products and options to capture sales is critical, whether it be online or in-store. However, examining how your customers can actually pay for the items they want, in particular larger and more expensive items, is typically overlooked.
Competitive Advantage Through New Technology
Fed up with the traditional systems and processes in place by major banks, customers want choice and, much like the adoption of technology across the rest of their lives, are open to embracing new forms of financing options that are available in order to power the lifestyle they want.
Don’t think customers are interested? Our research has shown that, when asked if they would consider financing if it meant they could bring a product home the same day, over half of consumers said yes! Despite these numbers, banks continue to evaluate a loan candidate by their FICO (Fair Isaac Corporation) credit scoring model alone, which leads to a very narrow view of the customer. On top of that, the entire loan process is as cumbersome as shoveling two feet of wet snow. The application process is lengthy, and it can take hours for a customer to get approved. Asking a customer to take a very long walk around the mall (again!) while you wait and see if you can in fact close the sale isn’t exactly the way to fill anyone with holiday cheer. During a season where every sale matters, traditional financing options are about as appealing as a re-gifted tin of fruitcake.
This is why we founded Flexiti Financial. Our technology platforms and processes are purpose-built to look at a customer more holistically and process approvals in as little as three minutes (seriously!). Providing a financing option to drive sales becomes a very real advantage. Sounds a bit more enticing, right?
Flexible Financing on the Fly
The ability to adapt based on competitive positioning and the individual needs of the customer is critical to success this time of year. Once again traditional consumer financing partners, like banks, lack the ability to offer flexible financing options with on-call support. Flexiti wants our retailers to know that we are different and in this together. Merchant support is one of our biggest focuses and this holiday season we’re striving to help our customers the best we can, even working with them to come up with marketing and sales strategies.
Flexiti Financial’s platform allows retailers to instantly offer their customers low or no-interest financing, and the ability to convert large purchases into monthly or deferred payment plans on the fly. Some of our own retail partners have reported a 250% increase in sales because of the flexible financing tools we provide them. That’s a significant boost in sales, and during this time of year may mean the difference between getting in the black, or staying in the red.
After months of planning, retailers are finding out if their strategies are paying off. Offering an easy-to-use and flexible financing option has proven to be a very effective tool in driving foot traffic and closing sales. The team at Flexiti Financial is hoping we can alleviate some of the pressure our retail partners are facing by giving them something that will help them end 2016 on a high note.
Chief Executive Officer