There are certain idiosyncratic benefits of flexible payment options for merchants which include the following:
- Increased conversion along with average ticket size.
- Improved rapport with consumers.
- Highly repetitive business.
- Improved-quality data analytics.
- No labor requirement.
Let’s further break down some of these along with figuring out what they truly mean for a merchant. Short term personal loans are availed to improve their business and personal constraints.
What are flexible payments?
Prior to getting into the benefits of providing it, to explore the meaning of the term payment of flexible. Short-term personal loans are critically beneficial financially.
Additionally, flexible payments provide customers the option to purchase now and pay later, or otherwise, pay in installments. This is similar to the way a credit card works, however it technically comes without the increased interest rates.
While there are multiple benefits of short term personal loan, are they applicable to EMIs as well?
● Affordability: Loans, secured and collateral-free, can assist to fulfill a dream. It offers affordability as well as the freedom to purchase anything to desire. Instead of spending a greater amount of money in one go, one can repay the lender in parts over a time period.
● Flexibility: Additionally, EMI benefit is understood as the flexibility it provides. One can critically choose to have a standard repayment plan where one pays a consistent EMI amount throughout the short-term personal loan tenure or also choose to have a Flexi plan where one can increase the EMI if one has extra funds in hand.
● No brokerage: one must know that one does not require to pay any brokerage to middlemen for the loan EMI. Since it is a direct transaction between them and the lender, one is free of paying any supplementary costs to a mediator.
Higher Conversion and Average Ticket Size
One of the main advantages of implementing quality consumer financing programs is the higher revenues it offers. It typically does so particularly by improving rates of conversion as well as the average order size of each sale. For such a fact, conversion rates rise around 20-30%, along with average size of ticket enhanced by 30 More Repeat Business.
While elevating the likelihood along with the size of a single sale is profoundly beneficial in itself, it is generally compounded further by the increase in the repeat business that it usually offers. Affirm is a highly dominant and popular fintech lending platform. They are predominantly reported that 90% of such gross merchandise value came from repetitive business.
Certain spells are good things for merchants that rely on repeat business to maintain steady revenues. Consistency is considerably critical for growing businesses, as well as the ability to maintain strong grip, ever lasting business relationships with a consumer base offers business owners the peace of mind they require to make growth-focused financial decisions moving forward.
High-Quality Data and Analytics
By providing financing themselves, merchants offer access to an extra set of helpful sales data that they wouldn’t have if the consumer had to obtain it elsewhere. By understanding what consumers buy as well as how they buy, merchants can essentially understand their ideal customer profile as well as more effectively target their niche marketing and finance products to them accordingly.
Adding further to this, a quality fintech partner will make sure that merchants have a clean, readable dashboard that critically allows them to analyze the data their customers provide easily. This perhaps takes a lot of the additional effort off the shoulders of business owners as well as allowing them a simplified way to view and react to novel information without hiring anyone to enter or organize it. This then connects well with the final key benefit of flexible payment options for merchants. Short-term personal loans can provide ease to the customers to overcome financial constraints due to personal reasons.
No Labor Requirement
Luckily, these don’t have to take the financing journey on their own. Today’s market, experienced fintech partners can critically connect merchants with a highly network of quality lenders with ease.
Some of these partners take care of all of the details, for them to include:
- Creation and deployment of the software interface.
- Maintenance and bug fixes.
- Information gathering and organization.
- Data security.
- Lender relations.
All of these necessary functions would generally require additional staff as well as the resources if an individual wanted to handle them in-house. With an increased quality fintech partner, merchants can take advantage of the scale of the economy along with saving both money as well as time while still providing a cutting-edge experience for their consumers.
Availing the advantages of Flexible Payment Options With Skeps
Skeps make sure that retailers can take advantage of all of these key features as well as more with our POS financing program. As the only end-to-end consumer financing platform, we provide unprecedented rates of approval and improved speed while ensuring to keep data safe and secure. Our platform can be utilized on any online point of sale along with a wide variety of consumer financing offers.
To adopt Flexible Payment Plans Is A Great Idea
To break down expenses for customers, it is highly ideal for fluctuating incomes or limited resources.
Making products/services accessible to a larger audience by providing flexible options of payment.
Align with instant gratification trends, offering an immediate access to all the products and services.
Gaining a highly competitive edge by embracing flexible payment options that essentially meet consumer preferences.
Appealing to those without the required means for a single-time payment, to expand the customer demographic.
Periodic payments decrease the risk of default, elevating flow of cash and financial stability.
Assist customers in managing budgets by breaking down larger expenses into smaller payments.
Fulfilling consumer desires for enhancing access to goods as well as services through flexible plans.
Tap into novel demographics as well as markets by catering to diverse financial capabilities.
To increase the likelihood of attracting along with retaining customers by providing flexible options of payment.