What's happening with the Credit?

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Are you up to date with the changes and improvements that credit offers today?

I can say that 98% of retailers in Brazil do not know what is happening with credit. After all, everything in today's world is undergoing modernization processes . And of course, credit would not be left behind. And that is the subject of this week's article.

What do you think about following us and understanding once and for all what this unique payment method will provide? My tip is that you stay here to understand all the benefits and new features of the credit plan. You won't regret it.

Prepare your notes and start getting one step ahead of 99 acres database your competitors now.

Happy reading!

THE RESIGNIFICATION OF CREDIT IN 2022:
Selling more and selling well is one of the main goals of any retailer, regardless of the time of year. However, what sets a good retailer apart is their search for knowledge and understanding which tools can be useful.

The year 2021, despite being quite turbulent due to the pandemic, has already brought some improvements to the credit sector, such as the implementation of PIX . In 2022, other things have changed in the payments sector, which is the digitalization of the credit operation itself.

A fundamental step to speed up payments through credit.

However, are you really up to date and prepared for all these strategies?

WHAT'S HAPPENING WITH CREDIT?
Store owners can no longer see credit as they did in the past. Today, there is a lot of technology and a lot of differentiated information involved. With them, it is now possible to increasingly transform data into information and this must be taken into account so that you have a credit plan that generates good results for your business.

Many retailers consider credit operations and default rates to be a major problem and think that the best way to deal with this is to stop selling on credit or even to significantly tighten the rules for using this payment method.

I can already tell you that these are completely wrong ways of looking at the credit model.
Now imagine if you had a way to understand your customers and see exactly which ones aren't paying and not sell more to just those specific customers?

With the changes to the credit system, this has become entirely possible. Nowadays, with all the tools we have access to, retailers can identify exactly where in the operation the risk actually lies. We are talking about which customers to stop selling to and which customers it is possible to offer credit to with greater peace of mind.

One tip I can give you is that the trick is often the average ticket . Assessing this data can make all the difference and help you understand where the default is.

Keep in mind a universal strategy: the customer with the highest average transaction ticket is always the customer who poses the greatest risk of defaulting on your credit card. Therefore, the ideal is to assess default and only increase the ticket for customers who have been in the transaction for a longer period of time and keep their payments up to date.

And now I have another important point: new customers. This is a new barrier and a new difficulty that we need to be careful about. Therefore, what you need to identify in the store is who you will stop selling to in order to bring the default rate to an adequate level. The new customer, with profile E, for example, is one that you can stop selling to. However, it is worth remembering that it is important to evaluate all of this based on data.

Always remember that: zero default does not exist.
And if you manage to do that, you will be doing harm to your business. You will be killing your credit portfolio.

Want to understand more about this in a visual way? Check out the full video on our channel.

All of this has a general impact on collection costs, on people seeking credit recovery, costs with credit bureaus to blacklist these debtors and a series of processes, in addition to a bad experience in the store. That is why it is so important to invest in good credit services that have a credit score and default control.