Appliance retailers are familiar with the following situation: a shopper comes through the doors wanting and needing to bring home a new appliance today. But as soon as they see the price tag, their body language changes. They look at other pieces only to find that they weren’t prepared to pay what a new home appliance costs. At this point, they usually leave disappointed or frustrated and explore other options.
Providing consumer financing for home appliances eliminates the above scenario. Financing gives shoppers the confidence and ability to choose the appliance they want and bring it home the same day. Consumer financing offers accessible, realistic payment options that overcome appliance sticker shock and help you and your team close the deal. Read on to learn more about why offering consumer financing is critical to your success in today’s competitive home appliance market.
Break Down Large Costs into Small Payments
Every home appliance has a significant price tag. Costs are rising at every stage of production and throughout the supply chain, and customers feel those increases at purchase. Choosing a new home appliance should be exciting, but for most consumers, the costs turn the shopping adventure into a stressful experience.
Consumer financing directly combats the logistical and emotional barriers created by larger price tags. Providing flexible payment options breaks down a seemingly impossible cost into affordable monthly payments. For example, instead of paying thousands of dollars upfront for a new stove, shoppers who take advantage of consumer financing plans can bring that appliance home today and pay in low monthly installments. They don’t have to scrimp and save to pay in cash (which would be a nearly insurmountable task for most consumers), and they don’t have to charge it to a credit card and face the high interest fees and overwhelming debt that often accompany credit card purchases.
Financing reduces the shock of a heftier price tag, providing low monthly payment options that allow consumers to buy a new appliance today.
Affordable Payments that Won’t Affect Planned Monthly Budgets
Pricing is the primary objection appliance retailers must overcome to make the sale. Appliance prices are at their highest ever, and consumers feel the strain of continued inflation, creating a challenging sales climate. Consumer financing helps your business maintain affordability so more consumers can choose the appliances they want and need.
According to Bank of America, nearly half of Americans said they lived paycheck to paycheck in the third quarter of 2024. This is an increase from about 35 percent in early 2022. And despite the financial pressures consumers feel, they still need appliances for day-to-day living. Financing these products allows shoppers to replace appliances without disrupting their planned monthly spending, an essential consideration for most consumers. Affordable, predictable payments give your customers the freedom to purchase the equipment and appliances they need for their homes without the stress of a large upfront payment or adding to their credit card debt.
Facilitate Immediate Purchase
Many times, a new appliance purchase is the result of an older piece of equipment failing beyond repair. Shoppers come to your store in a semi-urgent state: they need a new oven to cook food; a washing machine to clean clothes; a refrigerator or freezer for groceries. These appliances play major roles in day-to-day living. When one or more of these units goes out, it’s a race against the clock to replace them.
Unfortunately, sticker shock can make these urgent, stressful situations even more distressing. Shoppers might feel stuck between a rock and a hard place when shopping for a replacement appliance. They need new equipment now, but they’re unsure how they will afford it. Consumer financing provides a simple, accessible solution.
Because financing breaks down big-ticket prices into affordable payments spread out over the course of many months, shoppers can bring home a new appliance now. Financing facilitates immediate purchase so your customers can buy their new appliance, have it installed, and resume normalcy.
Provide Access to Newer, Higher-End Models
Consumer financing not only makes your appliances more affordable, but it also empowers shoppers by maximizing their purchasing power. When large costs are broken down into smaller, more manageable payments, shoppers can upgrade their appliance purchases for just a few dollars more per payment. Customers can reasonably afford newer models with additional features they might not have otherwise been able to if they were paying in cash or with a credit card.
No Hidden Fees
When choosing a financing partner for your appliance store, consider your clients’ experience. Your firm should provide reasonable, affordable payment options and a transparent fee and term agreement. Customers deserve to know exactly what to expect when they sign their financing contract. The last thing they want after purchase is surprise additions to their total or hidden fees that surface over time.
Working with UCFS for consumer financing helps your business overcome sticker shock while providing positive experiences that will keep customers returning to you for future appliance needs.
Offer Appliance Financing Options with UCFS
Consumer financing is your ticket to combating the ever-present appliance sticker shock. Choosing the right financing firm for your appliance store will make the difference between closing the sale and losing it. You and your customers benefit when you partner with United Consumer Financial Services for appliance financing.
We offer
- Straightforward application and prompt credit decision so that you can proceed with the sale
- High approval rates that help you broaden your market, attract new customers, and make your products more accessible
- Simple, stress-free, and affordable payment options that serve the customer
- A transparent fee structure that contributes to a positive client experience
- Financing expertise that eliminates the burdens of in-house programs
We make financing simple and easy for all parties. Bringing home a new appliance with affordable monthly payments is the logical choice for shoppers. UCFS provides the consumer financing solutions you need to sell more appliances and grow your business, and you can start with us today. Reach out today to learn why financing with UCFS is the smart choice for your appliance business.