A new insight paper from Siemens Financial Services (SFS) reveals that OEM and vendor sales are on average around 20% higher and their profits boosted by almost 25% with integrated smart financing programs.
Entitled Sealing the Deal: How Smart Financing programs enable sales & profit; the paper exposes the measurable difference integrated smart finance can make to a vendor’s bottom line.
As part of the research, SFS interviewed 50 of its international vendor partners. Their responses highlight the consistent importance of such programs across industries and on deals of all sizes.
The research reveals that offering financing options as an integral part of the sales process and the customer value proposition makes a significant positive contribution to OEMs’ and vendors’ revenues and profitability.
Such financing programs come from specialist providers. These financiers have an in-depth understanding of machinery and technology, an international footprint, and a range of financial capabilities that can provide the optimum financing solution for each individual customer.
As part of a series on vendor sales financing, the paper also offers insight into the key considerations when working with a financing partner as well as an ‘optimal partner checklist’.
“At a time where investment appetite remains cautious, smart financing programs are proving to be a significant differentiator for vendors,” commented Carolyn Newsham, Digital Industries Financing Partner, Siemens Financial Services GB&I. “Not only do they enhance customer value propositions, they are also shown to instil confidence and enable manufacturing customers to invest in technology.”
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