Rent-to-own services allow customers the ability to use furniture, electronic goods, or other items while they pay for them through installment payments. These payment plan models target customers with lower income, less access to credit sources or individuals in transition. While catering to this market can be risky, the financial payoff can be significant. Successful rent to own companies implement sales marketing ideas that target their ideal customers, increase revenue and help dispel common rent-to-own stereotypes.
Credit Focus Advertising
Advertise product offers and services based on a no-credit impact or credit check policy. Many consumers are leery of offers that require applying for a credit line, especially if they have limited or shaky credit. Appeal to customers who would not qualify for credit and advertise your no-credit needed offers. When potential customers understand they will not need a credit check to obtain goods through your company, your customer traffic and rentals may increase.
Used Items Promotion
Promote sales of used items that were returned after a renter no longer wanted the products, or were re-acquired after customers stopped making payments. Quick turnover of these goods helps limit storage costs, increases cash flow and can draw budget shoppers with sufficient funding to make direct purchases to your store. Offer these items at bargain prices to lure customers and be prepared to compare the used items to your new product offers for possible up-sell opportunities.
Value Added Services
Offer basic maintenance services and repair as part of your rental agreements. Conduct routine inspections of electronic equipment, provide cleaning services for furniture and offer rapid repair guarantees for faulty products. The added value of this service may draw customers who do not want the risk or hassle of dealing with cleaning or repairing products on their own. This marketing method may broaden the appeal of your services and diversify your customer base. As an added bonus, this business service allows your company to make routine inspections of the rental products to ensure customers are maintaining them in a safe environment, and it can provide a first alert for accounts that need stricter monitoring.
Be an active supporter of local non-profit organizations and activities in the communities where your businesses are located. Obtain positive press for your contributions, such as feature story in your community newspaper. Donate goods to a homeless shelter, sponsor a local school band or volunteer for Habitat for Humanity. Being a good community citizen can help raise the profile of your business and help negate common stereotypes about rent-to-own businesses.
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