Why should my business offer Payl8r finance?

With most businesses back up and running as we make our way back to (almost) normal life, it’s a great time to start thinking about the ways that you can develop and grow your business in the second half of 2021.

After an uncertain and unreliable year, it’s become clearer than ever that consumers are looking for flexible payment options that allow them to take control of their spending. Finder, 2020 reports that during the pandemic, over half (52%) of buy now pay later users are using finance providers more than they previously were, with a whopping 9.5 million UK shoppers stating that they “avoided buying from retailers that don’t offer BNPL options at the checkout.”

The stats are clear - by not offering finance, your business may be missing out on prospective customers - and potentially quite a lot of them! If you’re still on the fence about introducing credit options to your customers, or you're new to the world of retail finance, take a look at five reasons for offering finance below and why Payl8r should be top of your list.

Engage with a wider audience

With 37% of British residents having used a Buy Now Pay Later provider, it’s evident that a large portion of UK shoppers are familiar with spreading the cost of their purchases. It’s also clear from Finder’s Buy Now Pay Later report, that millions of UK shoppers are likely to avoid businesses that do not offer a financing option. Keeping up with the latest buying trends is crucial - particularly when it comes to your shoppers spending habits, so offering a credit option is almost essential when it comes to growing your business in 2021. A credit option, however, is only useful if it suits your audience - which is why we strive to offer finance to the widest demographics. Whether your customers are largely recent graduates, or retired pensioners, or anywhere in-between, our services stretch far and wide to include a range of customer groups. In our conversation with Martin Williams, Beauty Works’ Operations Manager, he stated “You are hugely outperforming the other providers on our website by 3-4 times,” as we make it our mission to make our payment plans accessible to the widest range of customer demographics.

Let your customers pay on their terms

Giving your customers the ability to spread the cost of their order, and allowing them to pay on their own terms is a great way to give your customers a sense of power over their purchases. We all want to feel as though we’re in control over our spending, and by giving your customers the chance to split their payments, you’re allowing them the freedom to make payments on their own terms - which will only help to increase customer satisfaction and loyalty. If customers feel as though they are a priority, they’re likely to have a better experience with your business, and more importantly, they’re more likely to stick around. From the business’ perspective, we also acknowledge the importance of quick payments that aren’t reliant on the customer’s repayment - which is why we always transfer funds to the merchant just 24 hours after a successful order. This means you’re never waiting around for a payment, and wouldn’t be held accountable for repayments, as Payl8r takes on the full responsibility of the loan, so you can get back to doing what you do best!

Don’t miss out on millennials

With millennials being the most popular group using 'buy now pay later' services, alongside the general decline in credit card use, we know that this generation are looking for alternative ways to take control of their spending. Without a finance provider, your business may be ignoring a large portion of millennials, who when shopping, would likely opt for a credit facility at checkout. Whether you’re looking to bring in a new millennial audience, or want to keep your current customer base on side - bringing a finance provider onboard is a good starting point. When Payl8r was created, it was done so by millennials, for millennials - with the aim of making flexible finance options for this generation, taking into account the difficulties faced by many millennials who had struggled to get credit previously. Using Open-Banking technology, we’re able to review applicant’s affordability, alongside their credit history - so even those with thinner credit files, can be reviewed and accepted for finance.

Generate more sales

After a turbulent year, every business wants to get back on its feet and come back better than ever, which makes it a great time to start thinking about how you can generate more sales and increase your conversion rates. A finance provider gives you the chance to do just that, by tapping into those who may have initially been on the fence, or reluctant to spend. By giving them the choice of paying in manageable monthly instalments, you may encourage customers to take the plunge and go ahead with a purchase as opposed to window shopping or abandoning their cart. We know that for any business, securing those extra sales is most important, which is why we integrate both online and in-store to help maximise those conversions - wherever your customers shop. 

Increase average order values 

Another way retail finance can transform your business, is the positive effect it can have on your average order values. If your customers don’t have to pay for their order total upfront, they may be inclined to purchase more products, or take up a higher priced service, because they are able to pay it off in monthly instalments. In a recent report on Ecommerce Average Order Values, Sales Cycle confirms that “adding a ‘buy now and pay later’ and more convenient payment options can encourage customers to first of all make a purchase, but also to add more to their baskets.” Payl8r can help to increase your average order values by offering straightforward credit plans over 3, 6, 9, or 12 months that give your customers a chance to split their payments in a way that works for them.

Social Money Ltd t/a Payl8r. Credit is subject to creditworthiness and affordability assessments.