Rent-to-own News

Rent-to-own News - Rent-to-own dealers discuss the industry's hottest issues at APRO's All-Industry Roundtable

September 26, 2007

More than 200 rental dealers representing both small, medium and large companies attended the new All-Industry Roundtable during the 2007 APRO Convention and Buying Show in Reno on September 26. Discussions centered on the most top-of-mind issues facing the rent-to-own businesses today in an open forum format. Lead by moderator and APRO board member Kevin Quinn of KLQ Enterprises, dba Quality Rentals, representatives from stores large and small sat in a horseshoe-shaped seating arrangement to discuss whether business was up or down, what types of advertising are or aren't working, whether the subprime lending debacle is helping or hurting business, how dealers felt about lifetime reinstatement fees and more.

 

New for the annual roundtable discussion this year was electronic keypad polling by attendees. For example, when Quinn would ask a multiple-choice question, attendees could keypad in their responses and see instantly what the results were. Here's a sampling of questions (and answers) asked:


  • Should the federal government set guidelines on RTO pricing? (87 percent said no)
  • How do you feel about lifetime reinstatement? (36 percent said they support lifetime reinstatement; 35 percent support current state laws on reinstatement fees; 17 percent said they support full reinstatement for up to one year or less)
  • Does your company offer lifetime reinstatement? (54 percent no; 46 percent yes)
  • Have your revenues increased or decreased in mature stores? (70 percent have seen an increase)
  • Has your customer count increased or decreased in mature stores? (51 percent decreased; 40 percent have seen an increase)

 

Lively discussions ensued about exactly how to implement lifetime reinstatement, as well as whether accepting telephone and online payments has negatively impacted store traffic (it has). Here are a few more interesting conversations:


  • Television advertising is becoming too expensive on the networks and doesn't generate great returns. However, demographic/neighborhood specific cable TV advertising is affordable and can really target niche markets.
  • The high price of gasoline is hurting business. Customers are spending their money at the gas pump instead of renting multiples these days.
  • Variable data cards appear to be an extremely effective direct mail marketing approach.
  • The quality and performance of a store manager can make or break your business, no matter where your store is located.
  • Some of the large chains stopped taking credit card payments over the phone to protect the security of its customers and to avoid potential identity theft lawsuits.
  • The industry should take every precaution to combat bed bug infestation as the number of bed bug lawsuits are on the rise.

 

Finally, discussions ensued about if and when to sue customers as a collections tool and what the ramifications are if stores become too litigious; ways to reduce the high cost of bank fees for credit card and check processing; and whether helping customers build their credit is something the industry would be willing to do. Attendees left the session most likely more informed. But perhaps Gary Ferriman summed up the meeting nicely by saying, “While our customer count is down, our profits are up. What's wrong with that? As I see it, our cups are way more half full than empty.” Click here to view the photo gallery of the event.

About APRO
The Association of Progressive Rental Organizations is the official voice of the rent-to-own industry and the most accurate and trustworthy source of rent-to-own news in the industry. Founded in 1980, APRO is the national, nonprofit trade association advocating and representing the rent-to-own industry before the U.S. Congress, state legislatures, courts, media and the public.

For more information, visit www.rtohq.org.




APRO's 2010 Legislative
Conference!

We would like to
thank our attendees
for a great success!
Get Social with RTOHQ.org!
Watch RTOHQ Rent to Own videos on YouTube!
Follow RTOHQ on Twitter!
Join RTOHQ on Facebook!
Share RTOHQ and bookmark your favorites
Featured APRO Photo:
From the APRO 2006: Awards Banquet Album
Larry Sutton

View All RTO Photos
in the RTOHQ.org gallery
RTOHQ: The Magazine
RTOHQ: The Magazine is the Association of Progressive Rental Organizations' award-winning rent-to-own industry magazine, and it's available here.
Click the links below to download each article as a PDF

Complete issue of RTOHQ: The Magazine | January-February 2010
Download the entire January - February 2010 issue of RTOHQ: The Magazine by clicking on the link above (PDF).

 

The Year of the Tiger
by Kristen Card

According to Chinese astrology, the Year of the Tiger begins in February 2010. Tiger John Cleek is making the most of it as he winds down his two-year term as APRO’s president. He reflects on personal and industry-wide accomplishments and the love of family that sustains him.

 

Following the Leaders

In the 30-year history of the Association of Progressive Rental Organizations, 17 rental dealers have served as president. To mark APRO’s special anniversary, 15 of these leaders share their experiences in helping to shape the rent-to-own industry.

 

The Keep Rate Conundrum
by Ed Winn III

Calculating keep rate does not seem to improve the rent-to-own business in any discernible way—and yet this calculation, beyond all the others, has had enormous legal and political implications for rent-to-own almost since its inception.

 

Vendor Spotlight: What's in a Name?
by Neil Ferguson

These three departed rent-to-own vendors--Joe Eason, Tom Kitchens and Norm Smith--live on, their names indelibly linked to key industry events and honors.

 

See the current issue of RTOHQ: The Magazine...

[PDF format] [HTML format]
Visit the RTOHQ: The Magazine Archives...

 

Association of Progressive Rental Organizations
1504 Robin Hood Trail
Austin, Texas 78703
800/204-2776, ext. 103
Fax 512/794-0097