Break out the barbecues, swimsuits, and fill up your gas tank because Summer Solstice is tomorrow!
From an astronomical standpoint, the Summer Solstice happens when the sun is at its furthest point from the equator. Those living North of the equator enjoy the longest hours of daylight. But for many of you reading this, it’s also a huge opportunity to take advantage of an increase in consumer spending.And believe it or not, much of this discretionary income comes from an overlooked source: Tax refunds. The IRS paid out more tax refunds this year compared to last, with the average federal refund totaling $3,211. While some might splurge on that sparkling new 50” flat screen plasma or the latest smart phone to hit the market, many consumers prefer to make smarter, practical investments that may earn a return – monetary or otherwise:
Travel & Hospitality
It is often said that “travel is the only thing you can buy that makes you richer,” so one popular option is to travel more. In fact, an overwhelming 88 percent of Americans plan to take a summer vacation this year. Part of this is because many Americans want to enjoy warmer climates after suffering through a harsh winter. Part can be linked to travelers doing multi-generational trips to build family bonds. Besides airlines seeing an increase in seats filled, retailers can enjoy a sales boost from tourists looking for souvenirs and auto repair shops seeing an up-tick from out-of-town visitors.
Auto Dealers
Refund checks enable consumers to make car down payments in what is known to car dealers as “tax buying season.” Dealer.com data shows that “national traffic to dealership websites increases throughout early summer, and peaks in July, with a 10 percent year-over-year average increase.”
Word to the wise for auto dealer general managers: make sure your website is up to date and highlights all promotions you’re running for summer. Consider reviewing your digital advertising mix with these tips from Dealer.com. It all starts with educating car buyers on your website, encouraging them to visit your lot, getting them into the driver’s seat for a test drive, all so they can sign on the dotted line by using their refund for a down payment.
Building Supply & Home Furnishing
Homeowners emerging from one of the harshest winters on record to squint into the longest days of summer are flocking to the building suppliers, construction contractors, and remodeling craftsmen who can help them realize their summertime projects – from repairing fences to remodeling bathrooms. Be sure to remind your customer that investing in their home can increase its resale value. So when looking at installing a new air conditioner, energy efficient appliances, or new windows, higher quality might earn a higher return. What’s more, some of these improvements like solar panels and energy efficient appliances may even qualify for tax breaks… the federal government keeps on giving!
Auto Repair
Whether it is new tires, new brakes, or a full body tune up, tax refunds can go a long way with vehicle maintenance to ensure it operates at peak performance now and into the future. But remember, $3,211 is the average refund distributed by the federal government, not everyone receives that amount. For those prospects whose refund check doesn’t quite cover the full bill, Multiple Check (otherwise known as hold check) might be the best option for them. Multiple Check lets customers write 2-4 checks for the total repair amount, the repair shop completes the work like normal, and all checks are guaranteed funds for the repair shop. It’s a win-win situation for auto repair managers and customers alike.
Barbecues, swimsuits, and even baseball may be seasonal but making money never goes out season, so it’s in your best interest to accept every payment method and to make creative use of check payments. This is especially true if you choose a processing company that offers a check guarantee that can help you close additional sales with confidence. Read our check guarantee guide to learn how.
