Shape the Entire Furniture Buying Journey with LTL

Nearly 40% of U.S. consumers are non-prime, and their needs shape how they research and shop with furniture merchants.¹ New findings from Koalafi’s State of the Lease-to-Own Consumer Report show that when lease-to-own financing is available, visible, straightforward, and easy to understand, shoppers feel more confident in continuing their journey and coming back. For merchants, this means more opportunities to attract high-intent customers, increase sales, and build loyalty through a better experience.

Research and discovery: visibility determines where customers shop

Many non-prime consumers begin their furniture search with urgent needs and limited budgets. For them, financing is essential. When they can’t find a payment option that works, they often leave quietly. Koalafi refers to this silent drop-off as invisible risk: the loss of high-intent customers who never engage because financing was difficult to obtain.

• Koalafi’s research found that 64% of lease-to-own consumers would have gone elsewhere or skipped the purchase entirely if financing was not available.² This decision typically occurs early in the journey, often before a consumer interacts with a store.
• Nearly one-third of the lease-to-own consumers surveyed start their research for large purchases with a search engine, making early, clear messaging about financing critical.²

When lease-to-own options are promoted upfront, merchants meet consumers at the moment they are deciding where to make a purchase.

Purchase decisions: lease-to-own changes how much customers buy

Once consumers find a merchant they trust, lease-to-own influences what they choose and how much they spend. The report shows that financing does more than prevent walkaways; it expands the range of products customers feel comfortable purchasing.

• According to Koalafi’s data, 49% of consumers spent $250 or more than they had planned because lease-to-own options were available.
• Nearly 20% selected a higher-quality or more expensive item than they intended.²

For furniture merchants, these shifts affect outcomes across multiple categories. A consumer who is ready to buy a lower-quality sofa may instead opt for a more durable, high-quality one. A customer choosing a basic mattress may upgrade to a higher tier or complete a full room set.

The key driver is financing visibility. When financing is clearly presented on product pages, across marketing channels, and in sales conversations, customers feel confident saying yes.

Loyalty: a better financing experience leads to repeat business

Lease-to-own doesn’t just close a sale; it sets the tone for whether a customer returns. When the experience is simple, transparent, and respectful, it strengthens long-term loyalty.

Koalafi’s research highlights three factors that most influence whether non-prime consumers come back:

1. A positive, respectful shopping experience
2. An easy, mobile-friendly application and approval process
3. In clear, simple terms, they understand

When these elements align, loyalty tends to increase.

• 70% of Koalafi’s repeat leases happen with the same merchant.³
• Many customers also expect to use lease-to-own again, with 64% likely to do so within the next year and 72% likely to recommend it to friends or family.²

For furniture merchants, this means lease-to-own is not just a conversion tool. It becomes part of the overall experience that customers remember.

Best practices for furniture merchants

Here’s what furniture merchants can do better to support lease-to-own consumers at every step of their journey.

• Make financing visible early
• Use clear lease-to-own messaging in paid search ads, website navigation, product pages, and in-store signage.
• Train sales teams so they can present lease-to-own effectively
• Educated sales associates can introduce financing early and clearly. With lease-to-own, customers may receive higher approval amounts, giving them access to higher-quality or complementary items they may not have realized were within their reach, which can lead to increased sales.
• Partner with providers that prioritize transparency and ease
• Strong approval amounts, clear terms, and simple mobile applications build trust and support repeat business.
• Keep financing visible after the purchase
• Many customers expect to use lease-to-own again. Include financing reminders in follow-up marketing and seasonal outreach.

Lease-to-own influences where consumers look, what they choose, and whether they return. For furniture merchants, promoting financing options clearly and delivering a smooth experience throughout the journey reduces invisible risk and strengthens long-term customer value.

Read Koalafi’s State of the Lease-to-Own Consumer Report to learn more.

Discover how Koalafi can benefit your store.

¹ “The Consumer Credit Card Market.” Consumer Financial Protection Bureau, 2023.

² March 2025 Koalafi data, surveying Koalafi customers.

³ Based on internal Koalafi data.