On October 20 at 8 PM, Tmall officially kicked off its "Double 11" shopping festival, marking the start of massive sales across various e-commerce platforms. Licensed consumer finance companies are joining this annual shopping extravaganza, launching offers that include interest-free installments, distribution of interest-free vouchers, and cash redemptions, alongside government subsidies and trade-in incentives.

Experts interviewed indicate that consumer finance companies are launching diversified financial products and services, such as interest-free installments and flexible repayment options, enabling precise marketing through digital means. This deep integration of finance and consumption injects robust momentum into the consumer market.

Increasing Interest-Free Installment Options

"I took advantage of the 'Double 11' sales to purchase daily necessities and small appliances. The discounts on e-commerce platforms combined with the interest-free installment offers from Huabei made it feel much more cost-effective," said Ms. Wang, a working professional. She noted that she prioritizes interest-free installments during shopping to alleviate the burden of one-time payments.

The popularity of interest-free installments, which require no interest payments and reduce capital occupation, is growing among consumers. Many consumer finance companies are positioning this as a standard offering for the "Double 11" sales event, with some brands offering installment plans with terms extending up to 24 months.

According to Huabei, a subsidiary of Ant Group, numerous brand merchants are providing interest-free installment offers this "Double 11," including many in the digital, appliance, and home goods sectors. Certain items in electronics and appliances can avail of up to 24 months of interest-free installments through Huabei.

When browsing Tmall, it is noticeable that product pages for some electronics brands clearly display interest-free installment terms and the payment amounts per installment. For instance, the iPhone 17 Pro Max at Tmall's official Apple store offers a 12-month interest-free installment option, with the lowest monthly payment being 833.25 yuan.

Du Juan, a senior researcher at the Suzhou Commercial Bank Research Institute, explained that interest-free installments lower the threshold for consumers purchasing high-ticket items. Those with insufficient funds can enjoy discounted shopping during "Double 11," while those with adequate funds may choose installments to keep their reserves for investment and cash flow.

Upgrading Financial Products and Services

Reviewing the promotional activities launched by various consumer finance companies during "Double 11," it is clear that appliance and 3C (computer, communication, and consumer electronics) are key focus areas for these companies.

For example, Jianxin Consumer Finance's app features a "Trade-in Consumption Zone," where many green and smart home appliance products enjoy full interest waivers. Central Plains Consumer Finance is leveraging the "Double 11" shopping festival atmosphere by integrating it with their "Wednesday Special Treatment Day" branding to launch a "Double 11 Carnival" theme, driving consumption upgrades.

Experts suggest that as a key financial tool for stimulating consumption, consumer finance products and services require further optimization and upgrades to enhance their effectiveness in supporting consumption.

Liu Feipeng, a researcher at China Postal Savings Bank, recommends that consumer finance companies innovate targeted financial products by integrating additional features beyond traditional methods, such as flexible loan terms tailored to specific consumption fields to better serve consumers.

Du Juan further pointed out that consumer finance companies should enhance integration with consumption scenarios and ecosystems to make it easier and smoother for users to access consumer finance services. They also need to bolster protections for consumers' rights concerning data information and fund security, and continue refining their financial products and services based on customer analysis to meet user demands and habits effectively. Additionally, they should leverage digital technology to broaden the depth and breadth of their services, providing more value to users.

"Consumer finance companies can also utilize AI to enhance marketing precision, expanding into diverse scenarios such as culture and tourism, and health, thereby creating a new ecosystem for consumer finance which injects lasting momentum into the consumer market and supports high-quality economic development," concluded Tian Lihui, a finance professor at Nankai University.