Millennials Like Retailers That Like To Give Them Credit

Customers under the age of 35 prefer to shop at retailers who offer financing options, and those options affect their buying decisions, according to a new eNation study of 2,000 consumers.

In the study, 59 percent of younger customers said financing offers affects their choice of a retailer, and 56 percent said financing availability impacts their final purchase decision. That compares with just 36 percent of consumers over the age of 55 who will buy or not depending on financing, Chain Store Age reported.

The survey was sponsored by financial startup NewComLink, which lets retailers offer second-look financing for customers with subprime credit ratings. According to Experian, the average consumer between ages 19 and 29 has a credit score of only 628 and is $23,332 in debt, while Baby Boomer consumers have an average credit score of 700 and consumers 66 and up average 735.

Under-35 shoppers, whose annual spending power is estimated at $200 billion, also know more about retail financing options than previous generations: 32 percent are aware of second-look financing options, compared with only 13 percent of 55-plus consumers, according to the survey. Younger shoppers are also more willing that shoppers in general to finance electronics (38 percent versus 27 percent of all shoppers) and jewelry (21 percent versus 11 percent).