Sustainable business growth and profits require that you consistently sell more, and close more high-value sales. However, this can often be a challenge for businesses when consumers worry about how big purchases affect their finances or budget. One possible solution to this challenge is to offer finance options to your clients to motivate them to make a costly purchase work well within their budget limitations.
The main objective of consumer financing is to break down the costs of buying expensive services and goods by enabling clients to make smaller scheduled payments. Instead of having your clients settle massive amounts during a purchase, you can offer the possibility of bi-weekly or monthly payments. Financing helps businesses remove the shock of high purchase prices and shifts attention to the incredible value the service or product will bring. Read on to find out how to improve your sales and overall cash flow by providing finance options to your customers.
Minimise the barrier to ownership
An easy way of increasing your sales is to offer your clients more flexibility regarding their payment options by providing cost-effective finance options. That way, you can quickly eliminate a significant barrier to sales conversion: the high initial purchase price. Most consumers appreciate financing since it gives them more purchasing power to get what they desire without high up-front costs.
Increase your average order values
The other way in which offering finance to customers helps improves sales is that it can boost your up-selling ability, thus allowing your business to benefit from more oversized orders. Larger transaction sizes will ultimately lead to more profits and optimal growth of your firm. For example, encouraging customers to make slight increases in their loan payments in technology finance could help them access better upgrades and new features.
Promote customer loyalty
Financing programs also encourage loyalty and increase the potential of earning more sales from repeat business, which ultimately drives business growth. Once customers learn the benefits of your financing plan and use it once, they will likely return once more when they require similar services. A few delighted customers can result in numerous referrals and more sales if your business is ready to offer flexible finance plans at reasonable rates.
Attract and gain new customers
A notable benefit of customer financing is that it allows businesses to gain new clients that they would otherwise not attract. For instance, if your customer is interested in upgrading their business offices, they would be more willing to work with a firm that offers financing options to allow cost-effective business expansion without affecting daily operations. Business finance breaks down huge investments into more manageable monthly payments that businesses can afford, thus broadening your B2B customer base.
Improve customer experience
Customer experience includes all the numerous touch points where a business interacts with a customer. One way to improve the overall customer experience of your business and generate more sales is to offer reasonably priced business finance solutions. Financing encourages more interaction with your customers and may lead to upselling and repeat business opportunities.
Enhance your competitive advantage
Smaller businesses can capitalise on consumer financing to have a better chance of competing with big stores. It can be through adding extra consumer incentives to their financing deals to enhance their competitiveness further. For instance, offering no-interest business loans and more extended repayment periods can allow you to get more sales and boost profits.
Easy to set up
It is relatively easy to set up customer finance deals to sell your services or products better. Get in touch with a reliable finance company like Tower Leasing and discuss your needs. You will learn more about the benefits of leasing and get a customised plan that fits your business and your target customers. It is a relatively uncomplicated process, and you can focus on building your company knowing that you can close more deals through customer financing.
Offer finance to your customers – find out more
As a supplier, you can help your customers by spreading their cash flow and provide a finance quote tailored to their needs. This increases your chances of securing the order over your competitor and maximises your potential sales. Adding a well-designed finance program can offer immense value to your company and its clients, enabling you to increase your sales while satisfying your clients at reasonable costs.
Get in touch today for tailored, flexible business finance.
Find out more about the benefits of partnering with Tower Leasing.