At Hotelympia, Electrolux Professional launched a brand new way to access finance and catering equipment. Here,
Darren Lockley, the manufacturer’s head of region for UK and Ireland, explains how Electrolux Express Finance could change the face of catering equipment purchasing, and discusses the benefits it could offer for dealers.
How did Electrolux Express Finance come about?
Electrolux Express Finance is the culmination of 2 years’ worth of research we have conducted into what drives purchasing in the foodservice sector.
To start, our 2014 white paper ‘Out with the old, in with the new’ examined the what, why and when of replacement equipment purchases.
We discovered that 67% of respondents had replaced a piece of kitchen equipment in the previous 12 months, with one in three replacing equipment that has an impact on their operation every 1-2 years.
From this we knew the need was there for a finance-based purchased package to help customers through such regular turnover of kit.
However, we really wanted research to lead what we were doing, and so carried out another survey of over 100 operators across a number of industry segments, focusing on how they purchase.
The results were interesting. Although 80% of respondents were buying regularly in cash, a large proportion of those purchases were on credit cards.
Combine that with the fact that nearly two-thirds of people said they would buy catering equipment on finance if they had the option to do so, we felt the demand was clearly there.
Of course there are many distributors offering equipment on 0% finance over 2-3 years, and that’s great; but rather than do the same, we were keen to develop a service that would make the purchasing journey simpler from start to finish as well as offering the same payment terms over a longer period of up to 5 years.