Company News • 10.04.2015

Shops 'losing £4.9 billion sales' because they don't offer credit

One in eight shoppers have cancelled purchases because no finance is available

Around one in eight shoppers questioned say they have walked away from a major...
Around one in eight shoppers questioned say they have walked away from a major purchase in a store or online over the past 12 months because the retailer could not offer credit.
Source: Pay4Later Ltd.

Retailers who cannot provide finance packages for major purchases are missing out on around £4.9 billion in sales a year, research1 from retail finance specialist Pay4Later shows.

Pay4Later, the UK's fastest growing provider of point of sale credit, enables retailers to offer finance solutions including interest-free credit to customers and carried out the research to find out what finance services shoppers want from store groups. The study found people are cancelling purchases either because retailers reject them for credit or because retailers do not offer finance packages.

Around one in eight shoppers – equivalent to 5.68 million adults – questioned say they have walked away from a major purchase in a store or online over the past 12 months because the retailer could not offer credit. Around two-thirds (65 per cent) of the failed purchases would have been for less than £750 – but the average value was £880 with eight per cent planning to spend more than £2,000, the research shows.

Younger shoppers are more likely to cancel a sale because they cannot get credit – 22 per cent of those aged 18-24 years old have walked away from a major purchase in the past year because they were not offered finance. Pay4Later, which works with over 1,000 retailers including The Watch Hut, Mothercare and leading car dealer Pendragon, has expanded its panel of lenders to substantially increase the chances of shoppers being accepted for credit.

Scott Law, CEO of Pay4Later said: "With nearly £5 billion in sales going missing in the past year because retailers cannot or will not provide credit it is clear there is an issue that needs to be tackled. It is not just the lost sales for retailers – there is also the issue of would-be customers being embarrassed if they are rejected when they apply for credit. Nobody should be lending – or borrowing – irresponsibly but stores should be making it possible for customers to complete transactions on their terms."

"When Government figures are showing retail sales have risen year-on-year for 18 months in a row it should be obvious that stores which cannot offer credit will lose out to competitors."

Source: Pay4Later Ltd.

related articles:

popular articles:

Thumbnail-Photo: Digital Signage Summit Europe - 30 % discount...
07.06.2019   #customer analysis #marketing

Digital Signage Summit Europe - 30 % discount

Many of the world’s foremost digital signage experts, thought leaders and leading technology and service suppliers will come together to present a unique mix of keynotes, conference channels, awards and exhibition showcase.

Now in its 14th year, DSS Europe is the leading European strategy event exploring the business and technology of Digital Signage and DooH - here is a 30% code for our readers – 415839The theme of this year’s conference is ‘Customer ...

Thumbnail-Photo: Denmarks largest garden center chain is chasing a green profile...
26.06.2019   #sustainability #electronic shelf labels (ESL)

Denmark's largest garden center chain is chasing a green profile

Electronic shelf labels for paper reduction

Plantorama introduces electronic shelf labels in all stores, which significantly reduces the chain's paper consumption. The project will strengthen the chain's green profile and will have a positive influence on the customer experience and ...

Thumbnail-Photo: Tackling organized retail crime with video analytics...
26.06.2019   #video surveillance #digital video surveillance

Tackling organized retail crime with video analytics

Inpixon joins forces with National Anti-Organized Retail Crime Association

Inpixon, an indoor positioning and data analytics company, announced it is collaborating with the National Anti-Organized Retail Crime Association (NAORCA Worldwide) to combat retail crime by providing a free 90-day trial offer for IPA Video™ ...

Thumbnail-Photo: When the product becomes the POS
19.08.2019   #mobile payment #pos systems

When the product becomes the POS

“Mobile-first” or the future of the Point of Sale

The classic Point of Sale means physical sales areas including a terminal, cash systems and queues. But this traditional image is changing. Nowadays many customers in brick-and-mortar retail outlets expect the same experience as online and require ...

Thumbnail-Photo: APG Cash Drawer: new SMARTtill business development manager...
15.05.2019   #cash management #cash handling systeme

APG Cash Drawer: new SMARTtill business development manager

APG Cash Drawer announces hire of SMARTtill business development manager

APG Cash Drawer, a fast-growing global manufacturer of cash management solutions, announced today the addition of Tony Pusateri as SMARTtill Business Development Manager. ...

Thumbnail-Photo: Changing markets: embracing disruption to harvest opportunity...
18.06.2019   #digitization #event

Changing markets: embracing disruption to harvest opportunity

Reporting from the first annual Retail & Brand Experience World Congress in Barcelona

More than 200 industry insiders highlighted the many challenges facing the retail sector today in interesting talks and lectures.Topics included the customer experience, the use of technologies, digital media, omnichannel strategies, personalization ...

Thumbnail-Photo: Introducing a new, powerful mobile POS in Posiflex’s MT series...
25.06.2019   #epos systems #cashpoints

Introducing a new, powerful mobile POS in Posiflex’s MT series

MT-5310W from Posiflex combines the mobility of a tablet with the functionality of a fixed POS terminal. .

Today’s customers have higher expectations than ever when it comes to service. To meet and exceed customers’ ever-growing expectations, Posiflex is pleased to present MT-5310W, the latest addition to the popular MT series: a hybrid ...

Thumbnail-Photo: Improving performance with video training
19.06.2019   #personnel management #video

Improving performance with video training

Video tutorials for inventory management or customer service excellence

Smart Retail Solutions (SRS) has announced their ProfitTrax Platform is now including Best Practice Video Training in its Advanced Analytics Suite. Their team has successfully implemented the update because they believe the key to profit improvement ...

Thumbnail-Photo: Frictionless checkout across all channels to build loyalty...
04.07.2019   #mobile payment #customer satisfaction

Frictionless checkout across all channels to build loyalty

H&M and Klarna elevate the shopping experience for US consumers

H&M and Klarna announced that they have expanded their current partnership agreement to also include the US market, in the development of an unrivalled payments and shopping experience across touchpoints. Together, H&M and Klarna are aiming ...

Thumbnail-Photo: U.S. merchants lack critical tools to fuel global expansion...
10.07.2019   #online trading #e-commerce

U.S. merchants lack critical tools to fuel global expansion

Top challenges: payment localization, compliance, and cybersecurity

Rapyd, a FinTech-as-a-Service provider, today announced the results of its inaugural ‘2019 State of Cross-Border eCommerce: U.S. Merchant Outlook’, which found that most U.S. business units (91 percent) prioritize cross-border sales as a ...

Supplier

Delfi Technologies GmbH
Delfi Technologies GmbH
Landgraben 75
24232 Schönkirchen
APG Cash Drawer
APG Cash Drawer
4 The Drove
BN9 0LA Newhaven