The article below nails it. How many dealerships have chaos and a backlog standing at the F&I offices? Worst yet, how many customers bypass F&I entirely because the GM doesn’t want the vehicle delivery process to exceed 3.6 hours? Look at the stat below-Just crazy.
Depending on whom you ask, the time spent completing a deal at the average dealership is between 3.6 hours (J.D. Power 2017 U.S. Sales Satisfaction Index) and an eternity (the average shopper). Most of the time that a buyer spends at a dealership isn’t dedicated to picking out a vehicle or negotiating a price.
Today, the expectation of time has hit new levels. If a doctor or dentist makes you wait, walk out. Unfortunately, if you already transferred your insurance, took off your plates and really need a car, you are trapped in the madness of the dealership’s delivery process. The article below really speaks to organization and consideration for the customer. Know a lease from a financed customer, look at the schedule of deliveries and send relevant information to the new buyer – they will appreciate it and reward you with F&I revenue. Final point, why do most dealerships give up on selling service contracts after delivery? Offer up a payment plan and contact the customer 12 months later… the close rate is high if they want to keep the car.
Automotive News – January 13, 2020 – F&I Marketing
As auto retailing shifts toward allowing consumers to buy vehicles entirely online, it behooves dealerships to do more to market and promote finance and insurance products, F&I trainers and dealership managers agree.
That may mean giving the F&I department its own marketing budget. But above all, F&I pros say, it means educating consumers, before they arrive at the dealership, about why they need those products. Doing so adds transparency and creates consumer interest, which makes car shoppers more apt to want and buy F&I products.
To do so, F&I trainer Ron Reahard, president of Reahard & Associates in Soddy Daisy, Tenn., created videos that explain what the products are, what mishaps and problems they cover and the peace of mind they offer. Each is narrated by an expert, giving the videos them the voice of authority.
For example, who better than an ASE-certified master technician to explain that today’s vehicles are virtually computers on wheels and when something goes awry, their complex, expensive components are typically replaced, not repaired?
In another video, a certified professional financial adviser lays out in detail why consumers should establish financial relationships with new lenders when making a secured purchase such as a vehicle.
