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The ‘Golden Quarter’ is a retail term used to describe the holiday season, including Black Friday, Cyber Monday, and the run-up to Christmas. These sales peaks represent a key opportunity for merchants to maximise profits, win new customers and reward existing ones.
If you’re a business owner, you’ll know that the sooner you start prepping for these peak dates, the better. From defining your offers, to ensuring you have enough stock in and can deliver on lead times, the list is long – but worth it!
Of course, if you’re doing it, your competition is probably doing it as well. So how can you add an edge to your Golden Quarter prep and make sure you’re poised to overtake competitors?
Here are some practical tips for success.
1. Compliance and security
Being able to offer finance is exciting – and you’ll want to shout it from the rooftops. But there are important steps to take to make sure you’re protecting yourself, your team and your customers.
Make sure that your retail finance options comply with all relevant regulations – especially security guidance, which is paramount when handling customer financial data. Watch this video for more information about how to safely promote your finance solutions this quarter:
2. Offer flexible payment options
Having multiple payment methods at your checkout is a must-have – including credit and debit cards, digital wallets, buy now pay later (BNPL) solutions, and instalment plans.
This flexibility attracts a broader range of customers and encourages customers to make larger purchases – since they can spread the cost over time without incurring additional charges.
3. Promotions, discounts and loyalty programs
Everyone loves a bargain, but the Golden Quarter is specifically defined by offers, promos and deals. The good news is that you can apply this to your retail finance options as well. For example, you can offer a discount for customers who spread the cost with interest bearing or interest free credit.
You can even incorporate finance options into your loyalty program. Consider rewarding customers who make purchases using certain financing options with points, cashback or exclusive discounts for future purchases.
4. Online financing tools
Make sure your online store has user-friendly financing tools and calculators. These tools can help customers estimate their monthly payments and make informed decisions.
For example, DivideBuy’s Eligibility Checker lets customers run a soft credit search on the amount they want to borrow. And our Convert+ tool shows customers how much their monthly instalments will be depending on the length of payment terms. This leads to our next point…
5. Cross-sell and upsell
Leverage retail finance to cross-sell and upsell additional products or accessories. You could offer customers the option to bundle related items or upgrade their purchase with finance.
There are other ways to keep customers in your pipeline – for example, DivideBuy’s finance solution offers customers who aren’t eligible for the payment plan they want the chance to take alternative borrowing options.
6. Marketing and promotion
Highlight your financing options in your marketing campaigns, both online and in-store. Make sure your customers know that you offer finance, and how they can use it to make the most of sale season.
Many shoppers still have reservations about taking out finance, so put their minds at ease through informative blog posts, FAQ sections, or dedicated customer education materials.
7. Inventory management
There’s nothing worse than running out of stock during a sales peak! Make sure you have adequate inventory for the increased demand during the Golden Quarter.
Retail finance can drive even higher sales volumes, so if you’re new to finance, be sure you have enough stock available to meet increased customer needs.
8. Compliance and security
Being able to offer finance is exciting – and you’ll want to shout it from the rooftops. But there are important steps to take to make sure you’re protecting yourself, your team and your customers.
Make sure that your retail finance options comply with all relevant regulations – especially security guidance, which is paramount when handling customer financial data.
9. Data and analytics
Understanding your customer base, including how they behave and what they’re buying, is crucial and we all know that already. This is also the case with your retail finance solution.
Find a finance provider who can give you access to these insights, as well as recommendations on the best way to act on them (like DivideBuy’s Merchant Portal and Merchant Success team).
10. A/B testing
Experiment with different retail finance strategies to determine which one is helping you reach your goals. Do your customers prefer to spread the cost over 6 months, 12 months or more? Do they engage more with your finance options earlier on in the funnel or only at checkout?
Again, these are insights your finance provider really should be giving you, as well as helping you to implement and track the testing.
The Golden Quarter is a busy time for merchants, and it can be easy to rush things out to win more sales. By implementing these strategies, you can leverage retail finance to attract more customers, increase sales, and make the most of the Golden Quarter in the retail industry.
Want to make retail finance part of your customer journey? Book a demo with us and get started now!
