The ACT has recorded double digit sales growth in bikes bought with its retail finance partner in the 12 months running to the end of September.
With bike imports into the UK in freefall, the trade association suggests that in order to combat a predicted decline in sales of bikes, retailers will need all the tools they can get to drive new bike business – and that retail finance is just one method that can tempt customers into completing a sale.
Though imports are down, value is up, in part thanks to electric bike imports which now represent around 12% of those bikes landing in the UK. According to recent research of exactly where independent stores are selling more bikes, it is largely the assisted segment of the market driving increased business year-on-year.
Pedal-assist aside, women’s road cycling and commuter bike sales are also standouts in the new research.
With a loan limit of £15,000, the ACT’s recommended finance supplier Ride it Away is deemed an alternative to cycle to work scheme where the capped £1,000 often puts electric models out of a customer’s price range.
The ACT told CI.N: “Around 850 retailers are offering finance via the ACT’s Ride it away scheme, yet most are not maximising it to its full potential. The businesses that do utilise it well are reaping the rewards with total Ride it away sales over the last 12 months accounting for £100m. But with just a fraction of IBDs offering finance, and even less using it effectively, the ACT estimate this annual figure has the potential to increase threefold!”
To read up on the potential of retail finance and how to tutor your staff to drive these sales, check in with our training article here.
Alternatively, if you’re not a Ride It Away partner, you can read more here.