Point of Sale Financing and the New Year

As Black Friday and Cyber Monday pass, the new year is approaching. It’s time to evaluate your website’s conversion rates (CVR) and cart abandonment metrics. Your store could benefit from improvements if your CVR is 2-2.5% and cart abandonment is 80-85%.

You aim to turn visitors into buyers, maximizing ROI on your marketing spend. One solution is offering flexible payment options, such as point of sale (POS) financing, which appeals to younger, credit-averse consumers.

Consumer payment preferences are shifting.

A large percentage of your visitors belong to Gen Z and millennials. By 2020, these groups will make up 40% of online consumers, and 63% of millennials don’t use credit cards. This shift underscores the need for businesses to offer alternatives like embedded financing.

POS financing allows consumers to choose how and when they want to pay, offering flexibility that traditional credit cards lack. This is crucial as younger generations increasingly prefer more personalized financing options.

Streamlining checkout with embedded financing

One of the main reasons for cart abandonment is limited payment options. Offering POS lending or BNPL solutions at checkout can make a big difference. With a financing button, customers can easily choose their payment terms, eliminating the need for credit cards and reducing the likelihood of abandoned carts.

Additionally, embedded lending platforms offer real-time personalized financing options, addressing customers’ concerns about long or complicated checkout processes.

The omnichannel advantage for in-store and online

Consumers now expect a seamless experience across online and physical stores. You can meet this expectation by implementing omnichannel lending and in-store financing, providing the same financing options whether customers shop online or in-store.

This approach reduces friction and increases loyalty by offering customers a unified, flexible payment experience.

Preparing for the new year with embedded financing

As the new year approaches, integrating embedded finance platforms into your checkout process will help you attract more customers, lower cart abandonment rates, and increase conversions. Offering flexible, personalized financing will ensure you’re ready to meet the needs of modern consumers while staying ahead of the competition.

 

The benefits of personalized payment options

With more consumers seeking alternatives to traditional credit, POS financing offers a tailored solution. You provide a more flexible and convenient shopping experience by allowing customers to choose their payment terms. This approach increases the likelihood of completed purchases, especially for higher-priced items.

The integration of white-label BNPL and embedded finance solutions also builds trust. Customers are more likely to complete their transactions when they feel in control of their payment terms, reducing the friction associated with checkout.

Simplifying the checkout process for the new year

A critical factor in improving conversion rates is making the checkout process as simple as possible. Embedded lending platforms reduce the number of steps in the process, allowing customers to complete financing applications quickly. This directly addresses the 28% of shoppers who abandon their carts due to long checkout times.

By offering in-store and e-commerce financing, customers can choose how they pay with clear, upfront financing terms. This enhances the shopping experience, leading to higher conversion rates and customer satisfaction.

 

Omnichannel financing for a seamless experience

Consumers now expect a smooth, unified experience, whether online or in-store. With omnichannel financing, you provide consistent, flexible payment options across all platforms. This approach ensures customers can choose the best payment method, regardless of where they shop.

Offering embedded finance platforms in e-commerce and physical stores reduces friction, allowing shoppers to transition between channels without hassle. This flexibility encourages repeat purchases, leading to long-term customer loyalty and higher overall sales.

Get ready for the new year with embedded financing.

As the new year approaches, it’s the perfect time to ensure your business is prepared for the evolving expectations of modern consumers. Integrating embedded finance solutions into your checkout process gives your customers the power to select payment options that suit their needs. This not only increases your conversion rates but also helps reduce cart abandonment.

By embracing POS financing and white-label BNPL, you can meet the demands of younger generations and create a more seamless, enjoyable shopping experience. Don’t wait—now is the time to enhance your payment offerings and position your business for success in the year ahead.