Among the numerous marketing campaigns that stimulate retail sales, such as Black Friday or Cyber Monday, there is another one - Afterpay Day. Now it is gaining popularity in the United States, but, like previous initiatives of American marketers, it may well reach Russia.
The essence of the Afterpay Day event is that the participating retailers allow their customers to make purchases in installments on a certain day. Buyers can receive their purchases by paying immediately only 25% of their value. They pay the remaining 75% in three installments, at intervals of two weeks. If the client does not comply with the payment schedule, he will be charged a late payment penalty.
The “Installment Day” allows American retailers to significantly increase sales in their stores. The organizer of the event, the Australian company operator of the payment system Afterpay, reports that the Afterpay Day in March 2019 led to an average increase in sales of retailers within two days of the promotion by 110%.
Some retailers reported an increase in sales of 300%.
The company also promotes Afterpay Day as a way to attract new customers. The organizers of the action, by the way, note that the generation of millennials and representatives of generation Z (the most important consumers of today) are not inclined to resort to traditional forms of consumer lending and are looking for alternatives. According to banking statistics, only one out of three millennials in the United States owns a credit card.
Steve Madden and Schutz shoe stores and other retailers in the clothing, footwear, and accessory sales area took part in the recent Afterpay Day event in the United States from 14 to 15 in August.