The news: Six in 10 consumers say that flexible payment options, such as installments, credit cards, and special financing, help make summer activities and purchases possible, per Synchrony’s In Sync with Consumers survey. 

• 50% of consumers plan to apply for financing for summer leisure spending.
• 62% of consumers say flexible payment options are important in helping them enjoy summer activities or make purchases they might otherwise delay.

Consumers said they were open to spending on  travel, dining, clothing, entertainment, and home improvement in summer, per the survey.

How we got here: Despite geopolitical uncertainty, tariffs, and economic pressure from the war in Iran, consumers still want to indulge in summer fun.

• 75% of consumers say they have summer leisure plans this year, per Synchrony.
• 78% of consumers plan to take a trip this summer, up from 61% the prior year, per Numerator.
• And more than 1 in 5 travelers plan to go abroad, a 10-point increase YoY, despite the average international round-trip fare spiking 14%, per Kayak.

Why this matters: Payment flexibility is increasingly determining where and how consumers shop, especially for big-ticket items. Merchants who partner with payment providers may be better poised to pick up significant spending.

• For younger generations, booking travel is linked to installment plan availability: 62% of millennials and 49% of Gen Zers say buy now, pay later (BNPL) influences their choice of merchant for travel, compared with 5% of baby boomers, per a PYMNTS Intelligence report.
• Repeat users are even more likely to be loyal to merchants based on installment availability: 87% of frequent BNPL users say these plans influence where they shop, per PYMNTS.

Implications for merchants: Strategic partnerships with finance providers can drive customer loyalty and stickiness. Companies eyeing younger consumers or selling discretionary services  should prioritize offering installment plans, as  payment flexibility can influence merchant selection and repeat business.

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