What pawnbrokers could learn from the fishing industry
By Kelly Swisher
The invasive Asian Carp, which is threatening the Great Lakes ecosystem, is getting a name change so that more people will try it when they see it on a restaurant menu. It is becoming “Copi”. This may sound crazy, but it’s nothing new. Look at the Patagonian toothfish; you probably know it better as Chilean sea bass. Just for the record, it’s not even a bass! Oh, the power of perception!
We all know that changing the way we talk about products or our industry changes people’s perceptions. For example; customers respond to something they find less harsh than the word “used”. Nobody sells “a used Rolex” or “used jewelry” anymore. We sell “pre-owned” or “previously loved” items. Why? Because “used” conjures some image of someone using the item and then discarding it when they were done. On the other hand,” pre-owned” feels gentle, like the previous owner took care of it while they owned it.
Why the Perception of Pawn is So Important
It’s time for the Pawn Industry to rebrand itself. In this political and social climate, it is detrimental for any business to say they loan money. We need to realize all the industries that call themselves loan companies, such as Payday Loans, Title Loans, and Installment Loans, are being targeted by politicians and consumer advocacy groups.
As you know, Pawn is unique, and there is no other business like it. So why would we intentionally compare ourselves to others by using the word Loan?
It’s Time to Just Say Pawn.
Here are three actionable ways that pawnbrokers can be a part of the JUST SAY PAWN movement:
- Have a conversation with your staff about why it is important to change the way that we talk about pawn transactions so that everyone is on board.
- Educate our customers on the difference between a pawn and other financial transactions. Loans must be repaid or there are negative financial consequences. Pawns, by contrast, are non-recourse. (Read more about the difference here).
- Move away from using the word “loan” in print or internet advertising.
Kelly Swisher is the President of the Illinois Pawnbrokers Association. He was named the first recipient of the Krupnik-Stempkowski Lifetime Achievement Award in May 2022 by the Midwest Pawnbrokers Association and then the NPA’s Pawnbroker of the Year Award in July 2022. He has previously shared insight about his experience navigating legislative matters with us [click here] and contributed extensive video content for pawnshopdata.com.
