Jun
29
How do you sell credit in retail when customers only want to use their mileage cards?
Filed Under Corporations
Retailcreditman asked:
Lets say your ringing in a transaction and at the end of that transaction you offer your customer a 10% discount if they apply for a store credit card and are approved. Like most people they decline the offer. Instead they insist on using their card that awards airline mileage per dollar spent. Our card offers free shipping on full priced merchandise, 10% of first transaction, monthly coupons, and payments ava online and in store locations. The fine print of our credit card agreement is a 24% interest. SO my question is how do i convince them that our card is better and how can i make my store more successful in exceeding their goal to percent for credit? Since that is a large part of how our success is measured.
OLLIE
Lets say your ringing in a transaction and at the end of that transaction you offer your customer a 10% discount if they apply for a store credit card and are approved. Like most people they decline the offer. Instead they insist on using their card that awards airline mileage per dollar spent. Our card offers free shipping on full priced merchandise, 10% of first transaction, monthly coupons, and payments ava online and in store locations. The fine print of our credit card agreement is a 24% interest. SO my question is how do i convince them that our card is better and how can i make my store more successful in exceeding their goal to percent for credit? Since that is a large part of how our success is measured.
OLLIE
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2 Responses to “How do you sell credit in retail when customers only want to use their mileage cards?”
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Good question because personally, I **** it when they do that and I think most people do as well. (sorry, but it’s true…) I think the reason is because we like to buy but don’t like to pay if you know what I mean. By that time I get to the register, I don’t want to take ten minutes to fill out an application for ANOTHER credit card, it just extends the painful paying process.
My two suggestions:
1) Highlight the 10% discount. Especially on large purchases, saying something like “this would save you $15.00 off this $150.00 purchase so you’d only end up paying $135.00 for what you have here today.” Don’t mention the interest rate if you don’t have to. Like you said, it’s in the fine print. We know we’re getting ripped off with store cards.
2) Can you somehow get customers to consider signing up for the card, without being too much of a pest (and all sales people have to somewhat of a pest), before they get to the register? Maybe offer some candy or a refreshment at a counter with your credit card information in a well-traveled area where a friendly low-pressure sales person is not too far away.
Good selling.
I don’t know.