Give your customers the option to ‘Buy Now Pay later'
Posted on in Business News , Cycles News
With the Ride it away ‘buy now pay later' product, you can give your customers the opportunity to ride their new bike away today - and pay nothing for up to six months!
The warmer weather is fast approaching and many customers will be looking to get a new bike just in time for spring/ summer. Now they can buy their dream bike and accessories today and pay nothing until after the summer.
The opportunity to defer payment is a great way to make larger purchases more attractive - especially at a time of year when customers are eager to get the latest products, but may not be able to afford it right away. With this option, customers can 'buy now pay later' with up to 6 months payment-free, after which they pay back in interest free monthly repayments, just like they would with standard retail finance.
Ride it away retailers are able to offer their customers the option to buy now with a minimum 10% deposit and pay nothing else for 3 or 6 months. After 3 or 6 months they'll pay the remaining balance on 0% APR over 12 or 18months - costing your customer no more than it would have done had they paid the same day!
The buy now pay later finance option is available for limited periods only, and available only on purchases over £1000 (unlike the minimum £280 minimum purchase for other finance options). It should be used alongside a retailer's usual finance offering to give customers even more of an incentive to buy immediately, rather than coming back when they have the money in 6 months' time - helping the retailer secure the sale the same day and get their money sooner.
The buy now pay later option has been re-introduced for Easter 2017 to boost sales before the busy summer period and will continue to be made available at specially selected periods throughout the year.
Since the buy now pay later product extends the 12 month payment term by 3 or 6 months, this offering is only available to retailers with FCA authorisation.
For retailers currently only offering 0% finance over 6, 10 or 12 months, now is the perfect time to apply for FCA authorisation to start offering ‘buy now pay later' and access the full range of APRs and term lengths designed to reduce subsidy costs, protect margins and give customers even more choice.
Contact ACT today to discuss getting FCA authorisation. We offer full guidance through the application process.
Already have FCA authorisation? To access the buy now pay later option from the end of August, retailers will need to opt in via V12. Email salessupport@v12finance.com with your shop details, requesting the ‘Buy Now Pay Later' option, or call 02920 468 918.
Not yet a Ride it away dealer? Contact ACT today on 01273 427 700 or info@theact.org.uk to find out more and get an application pack in time to take advantage of this brand new finance offering.