Fuelled by push-back on credit cards, retail finance has seen a surge in popularity. As a result, the payment method has become more of a hygiene factor for merchants and is almost as commonplace as accepting card payments – both online and in store.
According to McKinsey & Company, the retail-financing balances in the US alone have more than doubled between 2015 and 2019, with Accenture pinning the retail finance industry as a more-than $1.8 trillion opportunity, globally.
But with more and more retailers responding swiftly to consumer payment preferences, why are lenders failing to capitalise on the billion-dollar opportunity and losing merchant partners to new entrants?
