This slide illustrates the ways in which captive financial services can be used as tools to enhance sales.

1. Impact of Captive Finance
TFS Concept Template
This model has been conceptualized from Transcendent Research © Transcendent www.transcendent.com.sg
Enhance Sales
Tailor-made financing campaigns
can stimulate sales volume.
Leveraging financial services
enables manufactures to increase
potential customers’ access to
their products. For instance,
offering low initial payments
reduces the barrier to entry for
new customers, thereby making
the product a viable option for a
wider customer base.
Furthermore, financing can be
used as a sales tool to up-sell
customers to higher models by
framing the difference between
different tiers as a small difference
in monthly payment amounts as
opposed to a lump-sum value.
Easy Start:
Low initial payments
Balloon:
New customer base created by reducing
monthly payments
Variable Cash Flows:
Up-sell between models by matching
cash flows