Offer finance for smart tvs

Why Offering Finance for Smart TVs Makes Sense

In today’s digital age, smart TVs have become a staple in many households. These advanced devices provide more than just a way to watch traditional television. They offer access to streaming services, apps, and the internet, bringing entertainment and convenience to a new level. However, with the increased functionality comes a higher price tag, which can make smart TVs unaffordable for some consumers. Offering finance options for smart TVs can be a game-changer, making it easier for customers to invest in this technology without having to pay the full amount upfront.

This article will explore the benefits of offering finance options for smart TVs, how retailers can leverage this strategy to boost sales, and how Kandoo, a leading UK retail finance broker, can assist businesses in providing flexible payment solutions.

The Growing Demand for Smart TVs

The demand for smart TVs has seen a steady rise over the past few years. As more households switch to streaming services such as Netflix, Amazon Prime, and Disney+, the need for a device that can support these platforms has become more pressing. According to a report by Statista, smart TV sales in the UK are expected to continue growing, with more consumers seeking the convenience of having their entertainment needs met in one place.

Smart TVs offer features like:

• Access to streaming services: Netflix, YouTube, Amazon Prime, and more.
• Internet browsing: Allowing users to search the web directly from their TV.
• Smart home integration: Many smart TVs can connect with home assistants like Alexa or Google Home.
• App support: Download apps for games, music, and even fitness.
• Voice control: Many smart TVs now come with voice-activated controls for ease of use.

Despite the growing demand, the price of smart TVs can still be a deterrent for many customers. Offering finance options can be a key way for retailers to overcome this obstacle, making high-end smart TVs more accessible.

The Benefits of Offering Finance for Smart TVs

1. Increased Sales

One of the most immediate benefits of offering finance options for smart TVs is the potential for increased sales. Many consumers are more likely to make a purchase if they know they can spread the cost over time, rather than paying a lump sum upfront. By providing finance options, retailers can cater to a broader audience, including those who may not have the disposable income to buy a smart TV outright.

Offering finance allows customers to:

• Spread the cost over several months or years.
• Choose payment plans that suit their financial situation.
• Avoid large one-time payments that could strain their budget.

2. Higher Average Order Value

When customers are given the option to pay in instalments, they may be more inclined to choose higher-end models or add additional features, knowing that they won’t have to cover the entire cost at once. This can lead to an increase in the average order value (AOV), benefiting the retailer's bottom line.

For example, a customer who might have originally considered a basic 32-inch smart TV could opt for a 50-inch 4K model with better features if they have the option to spread payments. This upgrade not only enhances the customer’s experience but also boosts the retailer’s profit margins.

3. Improved Customer Loyalty

Offering finance options shows that a retailer is willing to work with customers to make their purchases more affordable. This can lead to improved customer satisfaction and loyalty. When customers have a positive experience with a retailer, they are more likely to return for future purchases and recommend the retailer to friends and family.

4. Competitive Advantage

In an increasingly competitive market, offering finance for smart TVs can set a retailer apart from its competitors. Many consumers actively seek out retailers that provide flexible payment options, and those that don’t offer financing may lose out on potential sales. By offering finance, retailers can attract more customers and gain an edge over competitors who may not have similar payment plans in place.

How Retailers Can Offer Finance for Smart TVs

1. Partnering with a Retail Finance Broker

One of the most effective ways for retailers to offer finance options is by partnering with a retail finance broker. A finance broker can connect retailers with a range of lenders, making it easier to offer flexible payment solutions to customers.

This is where Kandoo, a leading UK retail finance broker, comes into play. Kandoo specialises in helping businesses offer finance options to their customers, allowing them to make large purchases more manageable. By partnering with Kandoo, retailers can offer a variety of finance options, including interest-free credit, low-interest instalment plans, and deferred payment options.

2. Offering Interest-Free Credit

Interest-free credit is one of the most popular finance options for consumers. It allows customers to spread the cost of their purchase over a set period without paying any additional interest. This can be a highly attractive option for customers looking to purchase a smart TV, as they can enjoy the product immediately while paying for it over time.

Retailers who offer interest-free credit can often see an increase in sales, as it provides a risk-free way for customers to finance their purchase. Kandoo can help retailers implement interest-free credit options by connecting them with the right lenders.

3. Low-Interest Instalment Plans

For customers who prefer longer repayment periods, low-interest instalment plans can be an appealing option. These plans allow customers to spread the cost of their smart TV over a more extended period, typically ranging from 12 to 48 months, with a small amount of interest added to each payment.

While not as popular as interest-free credit, low-interest instalment plans can still be an attractive option for customers who want to minimise their monthly payments. Retailers can offer a range of repayment terms to suit different customer needs, and Kandoo can help facilitate these options.

4. Deferred Payment Options

Deferred payment options allow customers to purchase a smart TV and delay the start of their repayments for a set period, usually 6 to 12 months. This can be particularly appealing to customers who may not have the funds available immediately but expect to have them in the near future.

Retailers can offer deferred payment options to give customers more flexibility, and Kandoo can help set up these arrangements with suitable lenders.

How Kandoo Can Help Retailers Offer Finance for Smart TVs

Kandoo is a trusted retail finance broker that helps UK retailers offer flexible payment options to their customers. By partnering with Kandoo, retailers can access a range of finance solutions tailored to their specific needs and customer base. Here’s how Kandoo can assist:

1. Wide Range of Lenders

Kandoo works with a network of reputable lenders, allowing retailers to offer a variety of finance options, including interest-free credit, low-interest instalment plans, and deferred payment options. This gives retailers the flexibility to offer payment plans that suit different customer needs and budgets.

2. Simple Integration

Kandoo’s platform is designed to integrate seamlessly with a retailer’s existing sales process, whether online or in-store. This makes it easy for retailers to offer finance options without disrupting their current operations. Kandoo provides full support during the integration process, ensuring a smooth transition for both the retailer and the customer.

3. Increased Conversion Rates

By offering finance options through Kandoo, retailers can increase their conversion rates and reduce cart abandonment. Customers are more likely to complete their purchase when they have the option to spread the cost over time, and Kandoo’s user-friendly platform makes it easy for them to apply for finance and get approved quickly.

4. Compliance and Regulation

Kandoo is fully regulated by the Financial Conduct Authority (FCA), ensuring that all finance options offered are compliant with UK regulations. This gives retailers peace of mind, knowing that they are offering finance solutions that are both legal and ethical.

Conclusion

Offering finance for smart TVs is a smart strategy for retailers looking to boost sales, increase customer satisfaction, and gain a competitive edge in the market. By providing flexible payment options, retailers can make high-end smart TVs more accessible to a broader audience, leading to higher average order values and improved customer loyalty.

Partnering with a retail finance broker like Kandoo can make the process of offering finance options simple and effective. With a wide range of lenders, seamless integration, and full regulatory compliance, Kandoo is the ideal partner for retailers looking to offer finance for smart TVs.

By embracing finance options, retailers can not only meet the growing demand for smart TVs but also position themselves as customer-centric businesses that offer value and convenience.