With a projected 2022 market size of $67.2 billion, the sporting goods industry remains a lucrative consumer sales space. Therefore, forward-thinking sporting goods businesses can finish strong in 2022 and set the stage for a rebound in 2023.
While many potential solutions are available, one method for adding and maintaining a customer base involves offering point-of-sale (POS) financing. Businesses in many industries are already taking full advantage of this strategy, and sporting goods businesses can as well. Now is the perfect time, as deer hunting season is right around the corner.
Below, we take a closer look at the benefits of offering point-of-sale financing for sporting goods items such as deer blinds and tree stands.
Deer Blinds: A Top Commodity During Hunting Season
After firearms and optics, deer blinds are one of the most commonly purchased items in preparation for hunting season. Without a quality deer blind, hunters could struggle to conceal themselves well enough to land that coveted trophy buck.
The only real downside to deer blinds is cost. Though entry-level ground blinds can cost as little as a few hundred dollars, the top-end tower blinds that hunters covet can cost thousands of dollars.
Many hunters purchase multiple blinds — or at least they would like to — meaning that a single hunter has the potential to spend thousands at a sporting goods store.
They are more likely to make these big-ticket purchases when the option exists to spread the cost over several months. That’s where point-of-sale financing comes into play.
The Importance of Options When Selecting Deer Blinds
Before we get into the benefits of point-of-sale financing for sporting goods stores, let’s evaluate why it is essential for hunters to have options when selecting deer blinds. Choosing a deer blind can be a very personal process for hunters.
Many hunters start the blind-shopping process with different preferences. Some prefer simple ground blinds, whereas others want higher-end tripods or tree blinds. If a potential customer finds a blind they like but feels that they aren’t ready to open their wallet, they may just stick with their current equipment rather than settling for a lesser option.
Offering point-of-sale financing can alleviate this customer pain point and encourage more spending in the lead-up to deer hunting season.
Why Hunters May Need Multiple Blinds
Even if a hunter can afford to purchase one of your deer blinds outright, this may not be enough. Many hunters like to set up multiple deer blinds throughout a property they are hunting on. This gives them more opportunities to spot a deer during their limited hunting window.
With point-of-sale financing, a hunter who came in to purchase a single deer blind may opt for more than one. With the option of spreading out the cost of equipment, they just might buy two, three or even four types and sizes of blinds.
Benefits of Offering Point-of-Sale Financing
For decades, point-of-sale financing was primarily made available for large purchases, like financing vehicles, home remodeling projects, or machinery. However, consumers and businesses are increasingly open to the idea of financing small ticket purchases, some of which may cost as little as $1000.
According to McKinsey, the small ticket financing market had an estimated value of between $8 and $10 billion in 2019. Researchers also found that these types of purchases were increasing in frequency at a rate of 40% or more.
These statistics demonstrate that there is a high demand for point-of-sale financing services. By offering these services, a sporting goods business can tap into benefits such as:
Increased Customer Satisfaction
By providing customers with affordable purchasing options, their overall satisfaction with a brand will increase. Greater satisfaction means stronger feelings of loyalty towards a single brand or store. Ultimately, this can also translate to a higher average customer lifetime value.
Higher Sales Volume Leading Up to Hunting Season
Business owners must capitalize on seasonal sales opportunities to reach revenue goals and achieve sustained success in the competitive sporting goods space. Offering point-of-sale financing is a great way of doing exactly that.
By offering point-of-sale financing, businesses can maximize sales volume in the weeks and months leading up to hunting season. They can also highlight these financing opportunities during other seasonal surges to keep profits high year-round.
Greater Total Revenue
Cumulatively, higher sales volume and increased customer satisfaction will lead to greater total revenue. Business owners can leverage this additional capital to open new locations, invest in inventory, hire more staff, or explore growth opportunities.
How LendingUSA Makes It Easy to Provide Point-of-Sale Financing
If you are interested in offering point-of-sale financing but aren’t sure where to begin, LendingUSA can help. Our simple and efficient process makes it easy for your customers to access the funds they need to purchase sporting goods like deer blinds and tree stands.
Once you enroll in our program, you can start offering point-of-sale financing to every customer that steps through your door. They can apply in minutes and break down the cost of their purchase into affordable monthly payments. Through LendingUSA’s platform, you will get paid fast so that you can use the additional sales revenue immediately.
After financing their purchase of your products, consumers can make payments via our user-friendly platform. They will appreciate the payment flexibility that you are providing them through your partnership with LendingUSA.
Ready to pump up your sales numbers in the weeks preceding this hunting season? If so, schedule a demo with LendingUSA today and see firsthand why over 10,000 merchants and 150,000 borrowers have chosen us as their point-of-sale financing partner throughout the years.
Check out more info on our Sporting Goods Financing for customers.