Instalment Plans: The New Solution

MoneyLoop
October 28, 2019

Afterpay’s net promoter score rests at 90% with repeat purchases and recommendations from loyal customers. CEO of THE ICONIC, Patrick Schmidt, says that after they launched Afterpay in early 2017, they’ve seen higher NPS scores for Afterpay customers and higher basket values.

Instalment plans really do work – and customers love it.

 

Why instalments?

Interest-free instalments have become one of the most common and accessible digital payment methods used by younger Australians. Due to rising customer demand, companies in various industries have been quick to adopt this popular method. To understand how well instalment plans are expected to perform in the insurance industry, we must first look at how it has been viewed in its existing form.

What makes this payment method so favourable is that it brings instant gratification, and payment can be made later. This means that customers keep coming back, because the convenience of it is too good to refuse.

Australians are now moving away from banks and towards BNPL services. Bunnings received heavy demand from customers to offer OpenPay, a clear demonstration of customer satisfaction with instalment plans even for their day-to-day purchases. Imagine what could be possible if this moved towards the insurance industry, for life’s unexpected emergencies.

How does this tie in with insurtech?

MoneyLoop’s service helps reduce financial stress at the point of claim for those who are unable to pay their excess upfront. There is likely to be high demand for this kind of service and high levels of customer satisfaction for when life takes an unexpected turn. Instalment plans thrive on a convenient, accessible and digital based solution, all of which MoneyLoop is prepared to offer in partnership with insurers.   

Simple solutions are the future of digital payment systems, and MoneyLoop is excited to be a part of it.

Join us as we empower insurers to help their customers during life’s unexpected emergencies.

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