Deferred and Split Payments for Food Purchases
Casino group will soon propose deferred or instalment options to their customers, through the Casino Max app. Other retailers (including Carrefour and Leclerc) already featured payment methods based on credit cards; this new offer still stands out as it applies to food purchases and to transactions worth as little as 20 euros, too.
The Casino Max app has been available since October 2017 and can be used at Géant and Casino supermarkets. It includes their “Scan Express” feature enabling customers to scan the items they intend to buy with their smartphone and show their barcode at checkout for more security. This app is intended to be further enhanced in the days to come via integrating deferred payments and instalments (splitting the bill into four payments).
This service (managed by Banque Casino) will provide customers with a way to pay later (up to 31 days after the actual purchase): a €20 minimum cart amount applies; or to pay in four instalments starting from €50. According to Casino, the fee applied to these payment facilities should remain very low.
Despite the economic recovery which allowed many households to improve their financial situation, many people in France still live below the poverty line (nearly 9 million people in 2015, source: INSEE) and food purchases weigh heavily on these customers. Casino does not target hard discount customers, but still sees that some have trouble making ends meet at the end of the month, as it reflects on the group’s sales figures. And credit solutions are becoming popular among French customers (27% have subscribed a consumer credit in 2017). This considered, retail groups such as Casino intend to make their customers’ daily lives easier through relying on these services.
Comments – Adjusting mobile apps to actual needs
An ecosystem started to take shape based on retailers’ all-in-one mobile apps, combining different sets of features (products’ scans, payment solution, digital loyalty cards, customised discount offers, etc.). This evolution relies on consumers’ expectations and needs as they increasingly use mobile devices (including at checkout), however, they do not want to install too many apps.
Banque Casino goes for a rather innovative approach as they target food expenses, while most of the other available solutions are meant to pay for durable goods. This initiative is in line with their intent to streamline purchasing processes while enhancing customer relation. Besides, split and deferred payments ensure more flexibility for consumers.