Reducing Purchase Friction and Checkout Drop-Offs with Lease-to-Own

Research shows the checkout stage plays a key role in lost purchases. In 2024, one study found that 60% of cart abandonment was tied to checkout experience and purchase options. [1] Checkout runs smoother when consumers have the purchase channels or an alternative purchase method they prefer. [2] 

When options don’t align with consumer needs, an almost-purchase can quickly become a missed opportunity.  

How Checkout Drop-Offs Can Affect Retail Performance 

With abandonment rates averaging nearly 70% online [3], the impact on performance shows up in several ways: 

• Conversion Loss: Each drop-off makes marketing and acquisition spend less effective, since consumer intent doesn’t turn into a purchase [4] 
• Higher Cost of Acquisition from Recovery Efforts: Re-engaging a consumer with a negative experience often requires additional remarketing, which can increase CAC [5] 
• Loyalty at Risk: Consumers who don’t finish their first purchase are less likely to return, reducing the chance to build long-term value [6] 

Where Purchase Friction Shows Up in Retail Checkout 

Three common points where purchase friction appears in checkout are: 

1. Customer Experience Gaps: Consumers at checkout, such as those facing confusing or overloaded flows that feel generic and lack personalization [7][8] 
2. Purchase Access Limitations: Consumers denied at checkout, such as non-prime or credit-challenged individuals who cannot or prefer not to use credit or financing 
3. Operational Breakdowns: Internal systems at checkout, such as an underdeveloped omnichannel design that affects mobile readiness and online checkout [9] 

How Lease-to-Own Supports Retail Purchases 

Lease-to-Own (LTO) gives consumers, particularly those with limited access to credit, an alternative to credit and financing and can help retailers support cart abandonment recovery: 

• Conversion Lift: By giving consumers without access to credit or financing options, LTO can help turn more checkout attempts into completed purchases 
• Lower CAC Pressure: With fewer consumers walking away or abandoning their carts due to a lack of purchase options at checkout, retailers can build their customer acquisition opportunities 
• Stronger Loyalty Potential: Consumers who can complete their first purchase are more likely to return, supporting repeat business 

Next Steps with Acima 

When purchase friction leads to revenue loss, LTO can serve as one option to reduce cart abandonment. With Acima, retailers can: 

• Support consumers with budget-conscious ways to purchase big-ticket items or other durable goods 
• Expand visibility by being discoverable on the Acima store locator, online marketplace, or app 
• Strengthen mobile checkout with an alternative to credit and financing available with the Acima mobile app 

Identifying purchase friction is step one. Taking action with strategies to reduce it is how progress is made. 

Retailers can explore how LTO strategies align with their efforts to lower cart abandonment and support consumer access. Retailers interested in learning more can connect with the Acima team and apply today to start building their next phase of growth.  

The content of this article is provided solely for general interest and should not be relied upon or construed as any form of advice, whether legal, financial, or otherwise. Receipt or use of this information does not create any sort of relationship between us. 

Sources: 

1. Deloitte. Omnichannel competitive landscape: Services checkout study 
2. Forbes Business Council. Removing friction from payments is good for customers and your business 
3. Baymard Institute. E-commerce checkout usability research study 
4. Twilio. Abandoned cart recovery strategies 
5. NetSuite. Cart abandonment: Causes and solutions 
6. Deloitte. Retail distribution industry outlook 
7. Retail TouchPoints. Checkout myths debunked 
8. Retail TouchPoints. Closing the checkout gap: Boosting revenue and customer loyalty 
9. BigCommerce. What is omnichannel retail?