As with most auto dealerships, your service and parts department is possibly your company's lifeblood. In a previous report, the National Dealership Association revealed that service and parts accounted for 46% of the gross profits at the average dealership. If your Financial and Insurance (F&I) Department isn't a close second as far as profits are concerned, there is no better time to consider Dealer Reinsurance than now.
The two most important aspects to think about when purchasing a motor vehicle is how you will finance it and how you will insure it. The F&I Business Manager comes in handy when your customers have decided to purchase a certain car. They are the person customers are handed to by the sales department, and their responsibility is explaining to them the available financing options and how each works. The characters of the Business Manager, therefore, determine whether a deal will go through or fall through at the last minute. Here are the qualities which make an excellent F&I Business Manager.
COMPETITION IS FIERCE
With 2019's economy in full swing, consumers are out in force looking for great products and even better customer experiences. This is especially true for car dealerships as online markets pop up and offer the consumer the ease of car shopping from their couch.
No one wants to wait for hours to close a car deal. While sales representatives want to sell more vehicles within a short time window, customers want to get their car as soon as possible. However, negotiations, the exchange of documents and upselling F&I functions often take a lot of time. As long as you can learn how to eliminate the wasteful parts of the sales process, everyone goes home happy.
Topics: F&I Profits
With customers preferring root canals and lines at the DMV over buying a car, Dealerships should be focusing more than ever on improving the customer experience. But when what the customer distrusts most are your F&I Department's policies and products, what can you do?
Topics: customer experience
One of the most exciting things about the automotive industry is that it continually leads the way in the innovation and adaptation of some of the most advanced technologies in the world. Most noticeably, in the past few years the automotive industry has been incorporating key components found in the field of information technology, with the explosion of smart devices, AI (artificial intelligence), and the IoT (internet of things). Of course, one of the main channels the industry uses to convey the value and usefulness of these new features to customers is through their sales team. Dealerships who strive to obtain the highest level of salesmanship by incorporating a multi-pronged approach to training, including the all-important technical training and other vital training aspects, stand uniquely poised to move themselves above and beyond their competition.
Potential customers have more car-buying options than ever before. How can you make your dealership outshine your competitors? Here's four easy ways to start.
Social media is everywhere these days. Statista reports that Facebook alone has over 2.38 billion users as of the first quarter of 2019. It's essential for your dealership to recognize the opportunity to promote your services on social media. This article on sproutsocial.com reports that "the number one challenge for social marketers is the process of developing social strategies to support business goals." Here are some ideas for how to create unique content for your dealership and overcome that challenge:
Customers may love your people, service, and cars, but you'd be hard pressed to find anyone who enjoys the hours long process of completing a purchase at the dealership.
Speeding things up makes good sense as there's a mutual benefit; the more efficiently you can lead customers through sales and F&I, the bigger boost to your business and to the number of satisfied car buyers.
Every dealership's goal is to have customers return again and again for repeat business. Here's the secret…actions, not words, show customers you appreciate their business.