Offering monthly payment options to customers can have a huge impact on your business, from expanding your customer base to increasing your revenue potential from every sale. For customers, the option of low monthly payments can help them achieve necessary upgrades when finances are tight or get them the upgrade that they really want when they don’t have the cash on hand.

Why, then, do so many businesses decide that financing isn’t right for their customers, before even offering it to them? We’re going to debunk the myth that financing isn’t helpful to customers by showing you why consumer financing benefits both you and them.

Why Should Customers Care About Consumer Financing?

Financing makes it possible for your customers to turn their aspirations into reality. There’s no doubt that home improvement projects are expensive, and many customers will hesitate when committing to such a big purchase, no matter how much they may want it. You can offset the sticker-shock of a large upfront investment by offering the option of affordable monthly payments, which will be much easier to manage.

Plus, with flexible financing options such as varying amortizations, customers can access higher-ticket items and projects without having to increase their monthly spend. For instance, the cost-per-month for a $15,000 loan with 120-month amortization works out to $189.61. However, a $20,000 loan with 240-month amortization would be $179.30—they’re getting more money and paying less per month.

Comparing Interest Rates

We’ve made the process as convenient as possible by allowing you and your customers to complete the application on the spot at the point of sale. In many cases, the biggest hesitation will revolve around interest rates. Here’s what you need to know.

If your customer needs financial support for their home improvement project, they’re going to get it from somewhere, whether it’s through your business or somewhere else. Our interest rates are lower than many other lenders, which can have a significant impact on how much customers are paying. Let’s break it down:

• Interest rates on a credit card can be as high as 19.99%, possibly even more depending on the type of card. (Cash advance rates will be higher as well.)
• The rate on unsecured personal loans can be up to 47%.
• In comparison, the interest rate with SNAP Home Finance is under 10%.

By choosing a loan through SNAP Home Finance, your customers can secure significantly lower monthly payments, which means they are better equipped to afford the home improvement project of their dreams.

How to Circumvent Credit Card Purchases

A common obstacle we’ve seen to closing financing deals is that many customers are opting to put home improvement purchases on their credit card. These customers are likely doing one of two things:

• They’re paying it off right away through other means (a cue to upsell because they obviously have available dollars to spend).
• They’re using their credit card to facilitate the transaction and paying it off over time.

Here are a few tips to remember when you’re sitting at the kitchen table:

1. Start by asking which of these scenarios they fall into.
2. Customers who pay off debt slowly over time are prime candidates for low monthly payments. Plus, their cost of borrowing will be lower with SNAP Home Finance.
3. Remember, the interest rate on most credit cards is higher than ours. Clearly showing them the cost breakdown of each option allows them to understand where they’ll find the most savings each month.
4. For customers who are paying off their credit card purchases through things like bank loans, show them the affordability, and then play up the added convenience.
5. The process with SNAP Home Finance is quick and simple—the application can be done on the spot, they can find out the same day if they’re approved, and then you can keep the project moving, rather than having to wait on their bank for rates and approvals.

At the end of the day, the goal is to make your customers’ lives easier (and happier) by enabling them to complete the home improvement project of their dreams. With our flexible financing options, you have the power to do just that.

For more information on promoting low monthly payments with SNAP Home Finance to your customers, or for tips to overcome common customer objections, reach out to your Business Development Manager today!

You can also contact Max Zubrick at [email protected] for more information. If you’re a contractor who’s interested in growing your business with consumer financing, click here to join SNAP Home Finance.

Many businesses and brands are turning to video as a useful tool for their marketing and advertising campaigns—as many as 86% of businesses, to be exact—and of those that already use it:

• 93% say that it’s a cornerstone of their marketing strategy.
• 80% say that they’ve noted a direct, positive impact on their sales.

Keep reading to learn more about the power of video as a sales tool, and how you can integrate it easily and effectively into your business with minimal cost and effort.

Why Video is Such a Powerful Selling Tool

Simply put, video is effective because it’s such a rich sensory tool that allows audiences to easily envision their aspirations.

• It makes aspirations feel attainable in an emotional and visceral way.
• It enables them to see their wants and needs manifested in “real life”.
• They’re better able to imagine attaining that aspiration and establish an emotional connection to it.
• When done right, it can elicit an emotional response from a potential customer.
• The more they can connect with your video content, the more likely they are to buy into what you’re selling.

All these qualities have become even more useful during the COVID-19 pandemic. The vast majority of us are watching more videos online than ever before—providing people with this type of content can help make it easier for them to experience what you have to offer.

You’ll want to start by using videos as sales aids. You can always publish them online to generate views, but this is secondary. Sales aids are what will give you the most bang for your buck.

7 Ways to Create Effective Video Content on a Budget

Fortunately, creating sales aid videos on a budget isn’t difficult. Here are some tips on how to do it right.

1. Plan it out. Start with a clear vision of what you’re trying to accomplish, or what question you’re trying to answer, with your video. This will make it easier to figure out how you want your video to look, feel, and sound. The clearer your vision is from the get-go, the less time and money you’ll spend on editing and reworking it down the road.
2. Set a reasonable budget. Without a budget, you’ll likely end up spending more than you intended and wind up with a haphazard and ineffective video sales strategy. If possible, allow yourself a bit of a buffer in case you want to add more to your video later in the process.
3. Start with stock footage. There are plenty of great websites that provide high-quality stock video with a reasonably priced subscription. You can always move to shooting your own video when comfort and budget allows. Click here for some useful sites with free stock video footage you can start with.
4. Keep it short. People don’t have long attention spans anymore, so short and sweet is the way to go. Stick to a minute or less to keep your audience engaged. Plus, shorter equals cheaper.
5. Use simple editing tools. You don’t need to source an expensive video editor—use an easy-to-use online platform to do it yourself instead. VEED is an online video editor that’s perfect for beginners. The basic plan only costs $12 USD per month, which allows you to create videos up to 25 minutes at 1080p export quality. Some other options for simple video editors include Filmora and Animoto, which are free.
6. Get help from freelance experts. If you want to enlist help, consider a freelancer. These are people who have expertise and experience, and who are adept at parachuting in on projects to produce high-quality, engaging content. You can also present your budget to them and ask for specifics about what could be produced at that price point. Some great sites for hiring freelancers include Fiverr and Upwork. Like anything else you source online, be sure to read reviews from previous clients.
7. Measure your success and adapt. Make sure you’re always tracking engagement and metrics on your videos so you can see which are the most successful. For sales aid videos, the measurement would be how it impacts sales, so make sure you’re listening to feedback at the kitchen table. Are your potential customers engaging with the video content? Do they still have questions? This can help you make future updates for even stronger video content.

Developing a plan for the number of videos you want and the subject matter they will cover is the best way to create a successful video sales and marketing strategy. Start small and gradually ramp up until your video marketing efforts really start showing their return on investment.

For more tips on using video or other marketing strategies, reach out to your Business Development Manager today!