Trends

 

01 26 2015

Consumers Spending More on Pricier Items

01 26 2015

Consumers More Willing To Make Major Purchases

Alternative business financing can help owners expand their inventories, and for businesses that sell larger, high-dollar items, now might be the ideal time to explore this option.

A recent study from Synchrony Financial found 4 in 10 shoppers are willing to make a purchase of $500 or more within the next 12 months – an increase of 33 percent from the previous year. Meanwhile, businesses that offer store credit or financing are also in luck, as a quarter of those surveyed said they are open to using these means as a way to afford a major purchase, up 12 percent from last year.

These findings will be especially important to small business owners who use online channels for sales.

“For the third consecutive year, our Major Purchase Consumer Study has tracked the importance of digital tools for research, and these latest findings confirm more consumers and omni-channel shoppers are now purchasing bigger ticket items online,” Toni White, chief marketing officer of Synchrony Financial, stated in a press release. “At the same time, related opportunities emerged to increase consumer satisfaction with retailer websites and the reliability of online reviews as well as the visibility of promotions and financing options – considerations for retailers as they focus on providing the best shopping experience.”

Shoppers’ willingness to spend more on big-ticket items could be attributed to rising consumer confidence. Recent data from Thomson Reuters and the University of Michigan showed U.S. consumer sentiment reached its highest level in more than seven years during October, with more Americans showing positive sentiment in regard to personal finances and the overall economy.

Consumers shop around

Another finding from Synchrony Financial’s 2014 Major Purchase Consumer Study was that shoppers tend to visit multiple retailers before making a final purchase decision. In fact, on average, major purchase shoppers visited four unique retailers.

This shows that small businesses have to devote time, energy and money to marketing efforts in order to compete with similar merchants.

Small business loans can help retailers put marketing campaigns into action, as well as help owners expand their inventory of larger, more expensive items, including everything from TVs and stereos to household appliances.

From small business working capital loans to merchant cash advances, there is no shortage of options available for small business owners looking to maximize their market share.

Featured


Find Out How Much Funding You Qualify For

Fields marked with an * are required
By clicking this button I agree to all terms and conditions.

Terms & Conditions

General Acceptance

Any applications submitted electronically shall have the same force and effect as if the application bore an inked original signature(s). The above information, together with any accompanying financial statements, schedules, or other materials, is submitted for the purpose of obtaining credit and is warranted to be true, correct, and complete.

 

US Patriot Act:

To help the government fight the funding of terrorism and money laundering activities, Federal law requires all financial institutions to obtain, verify, and record information that identifies each person and business that seeks a business loan. What this means for you: When you apply for a loan, we will ask for your business name, address, and Tax Identification Number. We will also ask for your name, address, date of birth, and other information that will allow us to identify you. We may also ask to see your driver’s license or other identifying documents.

 

For Loan/Merchant Services:

The Merchant and Owner(s)/Officer(s) identified in the application (individually, an “Applicant”) each represents, acknowledges and agrees that (1) all information and documents provided to National Funding, Inc. (“NF”) including credit card processor statements are true, accurate and complete, (2) Applicant will immediately notify NF of any change in such information or financial condition, (3) Applicant authorizes NF to disclose all information and documents that NF may obtain including credit reports to other persons or entities (collectively, “Assignees”) that may be involved with or acquire commercial loans having daily repayment features and/or Merchant Cash Advance transactions, including without limitation the application therefor (collectively, “Transactions”) and each Assignee is authorized to use such information and documents, and share such information and documents with other Assignees, in connection with potential Transactions, (4) each Assignee will rely upon the accuracy and completeness of such information and documents, (5) NF, Assignees, and each of their representatives, successors, assigns and designees (collectively, “Recipients”) are authorized to request and receive any investigative reports, credit reports, statements from creditors or financial institutions, verification of information, or any other information that a Recipient deems necessary, (6) Applicant waives and releases any claims against Recipients and any information-providers arising from any act or omission relating to the requesting, receiving or release of information, and (7) each Owner/Officer represents that he or she is authorized to sign this form on behalf of Merchant.(8) I consent to receive direct mail, faxes, text-messages, and e-mails sent by National Funding and its affiliates for the purposes of transmitting account updates, requests for information and notices, and (9) this request is for business and not for consumer purposes.

 

For Equipment Services:

I hereby certify: (1) the information provided is true and correct, (2) you are hereby authorized to investigate all bank, credit, and trade references, and said references are hereby authorized to release any requested information to you or your nominee, (3) such authorization shall extend to obtaining personal credit profile in considering this application and subsequently for the purposes of update, renewal or extension of such credit or additional credit and for reviewing or collecting the resulting account, (4) this information may be transmitted by us to you and by you to underwriter(s) for the purpose of granting me credit, either electronically or manually, and that by submitting this application, I take full responsibility for transmission thereof, (5) I am over 18 years of age, (6) I acknowledge my rights under the Fair Credit Reporting Act, (7) I consent to receive direct mail, faxes, text-messages, and e-mails sent by National Funding and its affiliates for the purposes of transmitting account updates, requests for information and notices, and (8) this request is for business and not for consumer purposes.

 

Text Messaging:

By providing my wireless phone number to National Funding, Inc., I agree and acknowledge that National Funding, Inc. may send text and multimedia messages to my wireless phone number for any purpose. I agree that these text or multimedia messages may be regarding the products and/or services that I have previously purchased and products and/or services that National Funding, Inc. may market to me. I acknowledge that this consent may be removed at my request but that until such consent is revoked, I may receive text or multimedia messages from National Funding, Inc to my wireless phone number.

  
The Federal Equal Credit Opportunity Act prohibits creditors from discriminating against credit applicants on the basis of race, color, religion, national origin, sex, marital status or age (provided the applicant has the capacity to enter into the binding contract); because all or part of the applicant’s income derives from any public assistance program; or because the applicant has in good faith exercised any right under the Consumer Credit Protection Act. If for any reason your application for business credit is denied, you have the right to a written statement of the specific reasons for the denial. To obtain the statement, please write to National Funding Inc., 9820 Towne Centre Drive, San Diego, California 92121. Funding amount and credit approval is subject to a full credit profile review.