There’s something new in store for members of the BrandSource buying group that melds online shopping with brick-and-mortar showrooms.
The same holds true in big-ticket retail, where “waterfall” financing provides a wide range of online lending options for shoppers. Also known as multi-tier financing, the service — offered to all BrandSource members through our partnership with ChargeAfter — uses a growing network of lenders to achieve an 85 percent approval rate across every credit class.
This is especially critical today as consumers face escalating decline rates and restrictive financing offers, and fully 63 percent of millennials and Gen Zers don’t even own a credit card! What’s more, denying a shopper access to financing at checkout can result in abandoned shopping carts, poor conversion rates, and can even impact customer loyalty.
With ChargeAfter’s waterfall approach, customers submit their applications through a single, streamlined gateway, which is put through a “waterfall” of diverse lenders, beginning with prime lending options. If declined, the application flows down to near-prime and, if necessary, sub-prime lenders, all the way down to lease-to-own financing, with results back in less than 3 seconds.
Because multiple lenders are tapped in the waterfall, customers can choose the best rates and terms from a selection of personalized financing options at checkout. Based on our experience, ChargeAfter’s industry-leading 85 percent approval rate and seamless integration with BrandSource’s state-of-the-art Alta e-commerce platform has led to a better-than 30 percent increase in sales and a 52 percent surge in average order value for our members.