My wife and I opened our own store that sells electronics to people in our neighborhood. I was worried about having a store like this because I thought it would be an easy target for thieves, but so far no one has tried to steal from it. During the early days of the store, there weren’t many customers coming in, and my wife suggested I look into consumer financing companies so that people would be more likely to spend money on our electronics. I didn’t see the link between financing and more customers, but to my wife it was clear.
The explanation that my wife gave me was that people would be more likely to buy from our store if they knew they could make partial payments for the items. Since not everyone has the money needed to buy our electronics for the upfront asking price, they may be able to pay in increments until the total cost has been covered and they own it outright. I contacted one company and set up a system with them for customers to pay with, and made some new advertisements to tell people that we had this option available at our store.
One day after the new ads went in place, people came to the store in droves. They were asking about all of the popular electronics that we had for sale and wanted to open up payment plans with us. It was like nothing I’ve ever seen before. While it was nice to see all of these people coming to the store, I was worried that some of them wouldn’t be able to actually pay for what they were buying at the time. My wife told me not to worry about that, because one way or another, we would get our money, even if they decided that they didn’t want to continue paying.