New research from retail finance specialist Pay4Later reveals that the vast majority of mid-sized retailers expect a major increase in sales through white labelled finance packages.
Pay4Later, the UK?s fastest growing provider of point of sale credit, found that between now and 2017, two thirds (66%) of the retailers interviewed expect their sales via white labelled customer finance packages to rise, with 36% claiming they will increase by over 10% in the next three years.
54% of retailers interviewed believe the main reason for the growth of retailer finance packages is due to the process of offering credit becoming quicker and more efficient.
Meanwhile, 44% of retailers believe people are more willing to take out credit, while a further 25% suggested more credit is being made available.
Improvements in technology have also made it easier to understand a customer?s credit profile and reduce the chances of loans becoming bad debt according to 14% of retailers.
Scott Law, CEO of Pay4Later said: ?The amount lent to shoppers through our platform has increased by over 100% in the past 12 months.
?We estimate that retailers who cannot provide finance packages for major purchases are missing out on around ?4.9 billion in sales a year and more are waking up to this loss.
?Our analysis shows retailers that offer credit can see sales increases of up to 40 per cent and order values rise by up to 300 per cent.?