How furniture retailers are growing revenue with Snap Finance
Furniture retailers lose a large number of potential sales when shoppers with credit scores below 670 get declined for traditional financing. With nearly a third of U.S. consumers falling into this category and an average furniture ticket around $800, every walk‑away represents meaningful lost revenue. Snap Finance helps retailers capture these customers by using an ability‑to‑pay underwriting model, quick decisions, and a lease‑to‑own structure that doesn’t rely on FICO® score minimums.1 When implemented well with strong sales‑floor training, clear marketing, and consistent measurement, Snap often helps retailers lift conversion, increase average order value, attract new non‑prime customers, and improve long‑term loyalty.
Key Takeaways
Many declined shoppers walk away: Traditional financing turns down many credit-challenged customers, and many leave without buying.
Snap Finance supports customers traditional financing often leaves behind: Ability‑to‑pay underwriting and lease‑to‑own terms give more shoppers a real chance at approval.
Training drives conversion: Sales‑floor confidence in explaining Snap is the biggest factor in program success.
Marketing visibility matters: Customers need to see Snap early in the journey, not just at checkout.
Snap makes an impact: Retailers often see higher conversion, stronger AOV, new customer acquisition, and improved retention when Snap is fully integrated.
Furniture retailers using Snap Finance are capturing customers other stores walk away from. Here’s what that looks like in real numbers.
Many furniture shoppers can’t get approved through traditional financing. This is a major problem for retailers because these shoppers often leave without buying anything. Snap Finance helps solve this gap by giving more customers another chance to say “yes.”
The numbers show how big the opportunity is for furniture retailers. About 29% of U.S. consumers have a credit score below 670, and proprietary research from Snap found that 78% of people in this group say they’ve been turned down for financing. When these shoppers get declined, many walk out. The average price paid for furniture is $779, so that walk‑away hurts.
In this article, we’ll explore what Snap Finance looks like in a furniture store, how it can lift conversion, and what it takes to roll it out the right way.
The conversion problem at most furniture retailers
The decline rate for standard financing
Traditional financing relies heavily on FICO scores, which means shoppers with subprime credit (credit scores below 670) often get declined. For many retailers, this group makes up a large share of foot traffic. If they’re unable to offer alternatives to traditional financing, the sale may be lost.
What happens to declined customers
Most declined customers leave the store right away. A few may come back later with cash, but usually for a smaller item. Many never return at all. For a high‑ticket category like furniture, this creates a major revenue gap.
The walk‑away math
Losing even one furniture sale can mean losing hundreds of dollars in margin, so losing several per month adds up fast. When the average ticket is close to $800, even a small improvement in sales can make a big difference.
The lifetime value loss
A customer who gets declined once rarely becomes a repeat buyer. They may go to a competitor who offers alternative financing options. Over time, this hurts long‑term customer value and loyalty.
How Snap Finance captures this segment
Underwriting on ability to pay
Snap Finance looks at more than traditional credit, using multiple data points to determine creditworthiness. This may mean customers who have low or thin credit may be able to get what they need with Snap.1
No FICO score gate
Snap does not require a minimum FICO score. This means more subprime shoppers have an opportunity to qualify for lease-to-own financing, helping retailers recover sales they might otherwise lose.
Quick decisions
Most Snap decisions come back in seconds. This keeps the sales process moving and reduces stress for both the shopper and the associate.
Lease‑to‑own structure
Snap uses a lease‑to‑own model instead of traditional installment financing. Customers make recurring payments to Snap and own the item once they complete the terms of their lease agreement. This structure allows Snap to support many customers who might not qualify for other financing options.
What implementation looks like
Integration setup
Snap connects with major point-of-sale (POS) systems, e‑commerce carts, and in‑store workflows. Most retailers can get set up quickly once the technical pieces are in place, and Snap offers robust support through its Merchant Portal.
Sales associate training
Training is the most important part of a strong launch. Associates need to know when to bring up Snap, how to explain it in simple terms, and how to guide customers through the application. Stores that invest in training are likely to see higher usage and stronger conversion.
Marketing and messaging
Customers should see Snap early in their shopping journey. Strong placements include:
Product detail page (PDP) badges
In‑store signs
Email and SMS campaigns
Social ads
When customers know they have a way to make payments over time, they feel more confident choosing the items they want. Snap provides merchant partners with marketing materials such as digital banners, in-store signage, and more at no cost.
Customer service readiness
Customer service teams should be ready to answer questions about payments, terms, and how the lease‑to‑own model works. Clear answers build trust and reduce friction.
Reporting and analytics
Retailers should track:
Approval rates
Conversion lift among previously declined shoppers
Average order value (AOV) changes
Repeat purchase behavior
These metrics show the true impact of partnering with Snap and help guide improvements. Snap provides key metrics to its partners in the Merchant Portal.
The conversion lift
Incremental sales from previously declined customers
This is where Snap delivers the biggest impact. Retailers often see strong incremental revenue from shoppers who would have otherwise walked away. Because furniture tickets are high, even a small number of recovered sales can move the needle.
AOV impact
When customers can pay over time, they often choose more complete sets or higher‑quality items. This lifts average order value across the store. According to research from Snap Finance, 76% of Snap merchant partners report that their customers spend more with Snap.2
New customer acquisition
Many subprime shoppers look for retailers that offer alternative financing options. When stores promote Snap, they often see new traffic from customers who didn’t think they could afford furniture upgrades.
Customer retention
A customer who gets a “yes” after hearing “no” elsewhere often becomes loyal. Many customers will return for future purchases once they’ve had a positive experience.
Pre‑implementation checklist
Audit current decline rates
Start by understanding how many customers are being declined today and how much revenue those declines represent.
Identify the anchor categories
Sofas, mattresses, bedroom sets, and dining sets are strong fits for Snap because they represent high need items with high ticket value.
Plan the sales floor training
This is the strongest predictor of success. Associates should feel confident introducing Snap and explaining how it works, so take time to train them.
Plan the customer service rollout
Make sure your team can answer Snap‑specific questions clearly and consistently.
Plan the marketing approach
Snap should appear throughout the customer journey, including online, in‑store, and in outbound campaigns. Use marketing materials from Snap Finance to help inform shoppers that lease-to-own financing is available.
Common implementation mistakes
Skipping the floor training
Training is essential. Stores that skip it may see lower adoption and weaker results.
Hiding the program at checkout only
Early visibility matters. If customers only learn about Snap at the end of the journey, they may already feel unsure about buying.
Underinvesting in marketing
Customers are unlikely to ask about Snap if they don’t know it’s offered. Marketing drives awareness and usage.
Not measuring the right metrics
One key metric is conversion lift among customers with subprime credit. Snap is ideal for many shoppers in this category.
Treating it as a set‑and‑forget program
Ongoing training, marketing updates, and performance reviews keep your team’s ability to offer access to Snap running strong.
How to measure program success
Conversion rate lift
Track how many previously declined customers now complete a purchase.
AOV impact
Track AOV across your entire customer base, not just those who use Snap’s lease-to-own financing.
New customer acquisition
Look at how many first‑time customers cite lease-to-own financing as a reason for visiting, especially those with subprime credit.
Customer retention
Track repeat purchase rates among Snap customers.
Customer service volume
With good training, customer service volume should stay steady and manageable.
How to talk about Snap on the floor
The 15‑second explanation
Everyone on your team should feel comfortable with simple verbiage such as, “Pay over time with Snap’s lease‑to‑own financing. You own the item when you finish your lease agreement.”
Handling common questions
Does it affect my credit? “Applying does not impact your FICO score.”1
What if I miss a payment? “Snap offers clear guidance and support if this situation arises.”
How long is the term? "Snap's multiple payment plans are designed to fit individual needs. Customers can review them before signing."
When to suggest Snap
Bring up Snap early in the process and again if a customer has picked an item but is unsure about payment.
How to hand off to the application
A smooth handoff helps customers complete the process with confidence. Snap’s application process is quick and can be completed in minutes.
Recognizing the customer who could use Snap
Shoppers who have been declined elsewhere or are worried about full upfront payments might be a good fit for Snap Finance. Train your staff to offer information about lease-to-own financing in these situations.
Partnering with Snap as a Furniture Retailer
Furniture retailers who don’t offer a subprime financing option are losing customers who want to buy but don’t get approved through traditional programs. With nearly a third of Americans reporting a credit score below 670 and an average furniture ticket close to $800, the benefit of being able to support these consumers is clear, so partner with Snap today.
Already a Snap merchant partner? Contact your Snap sales rep to explore ways you can better support your customers with lease-to-own financing.
The advertised service is a lease-to-own agreement provided by Snap RTO LLC. Lease-to-own financing is not available to residents of Minnesota, New Jersey, and Wisconsin.
1Not all applicants are approved. Approvals subject to underwriting qualification criteria.
2Merchant Pulse Study. Snap Finance, 2023.