- UK home improvements market worth £42 billion annually, with average household spending running at £1721.20
- 85% of companies servicing the home improvements marketplace do not currently offer consumer finance options to their customers
- Financial providers' longevity and experience in the marketplace are ranked amongst the most important criteria by companies considering a financial services partner
"Companies servicing the British home improvements market should be taking proactive steps to expand their service offering to protect trading volumes in the face of increased market pressures. We are completely committed to this market as we believe there is a significant opportunity for providers to capitalise on consumer demand for home improvements products given the limitations being placed upon their ability or desire to move home. A key part of any proposition has to be offering customers finance options that enable them to spread the cost of purchases."
Bruno Heese, Unsecured Lending Sales Director, GE Money Home Lending
New research* by GE Money Home Lending reveals that 85% of companies servicing the home improvements market do not currently provide consumer finance options to their customers.
With annual household spending on home improvements running at £1721.20**, many Britons may be attracted by finance options that enable them to spread the cost of this expenditure across the year. Companies servicing the home improvements marketplace can capitalise on consumer's appetite for flexible payment options by offering finance directly to their customers.
Currently, just 15% of companies servicing the home improvements marketplace offer consumer finance to their customers when selling products. This limits the payment options available to the millions of Britons that cumulatively invest £42 billion** in home improvements each year.
If they were to offer finance products to customers, 41% of companies operating in this marketplace state that competitive interest rates on such products would be amongst the three most important criteria when selecting a financial services provider to partner with. The other key criteria identified by 27% of companies were a financial lender's longevity and experience in the marketplace.
Bruno Heese, Sales Director, GE Money Home Lending said: "Consumers increasingly expect retail outlets to provide finance options for purchases. From the big-ticket purchases such as a new bathroom suite, to a minor purchase such as a new blind for a kitchen window, consumers increasingly wish to spread the cost of payment. Companies that can meet the needs of their customers are likely to be at a considerable competitive advantage in the home improvements marketplace."
Corporate Communications
[email protected]
business unit
tags