The Road to ROI with F&I

Sales of vehicle service agreements is the perfect way to increase your dealership's profits. If you're not serious about selling service contracts, you're leaving money on the table. Here are a few tips and tricks to promote vehicle service agreements—even with the toughest customers.

Dealerships understand the importance of vehicle service agreements as it poses great benefits for both the dealership and the company. For instance, a vehicle service agreement is a great option for customers who have no disposable cash to invest in repairs. At the same time, vehicle service agreements generate F&I revenue for the dealership. For this reason, we're going to show you how to effectively promote vehicle service agreements to your customers.

Vehicle service agreements provide secure protection when purchasing an asset as costly as an automobile. They protect car owners when an expensive repair might be more than their budget allows. Here are four examples of who can benefit from vehicle service agreements.

Vehicle service agreements are a win-win scenario for the dealer and the customer. However, despite the benefits that these service contracts offer, many dealerships struggle to communicate the plan's many advantages to the client effectively. As well, consumers come in prepared to "just say no." This combination results in a minimal number of conversions or sign-ups. Here are a few strategies that work well with today's savvy, informed consumers. 

We hear it all the time-- our Toyota (or Honda) customers just do not buy vehicle service agreements, because these cars do not break down. In reality, certain brands are more dependable than others. This also means that service agreements for these brands are less costly and a great value. Your job as a Business Manager is to guide your customers gently to realize that a factory-backed service agreement is an excellent choice. Always listen closely, and position yourself as a trusted counselor with the customer's best interests at heart. In this way, not only will you raise your penetration and dollars per car averages easily, but your CSI numbers will soar as well.

Vehicle service agreements are one of the best features in your sales arsenal, rather than something you struggle too tack on to finish a deal. Why? The answer is simple. Service is what keeps a car running! Every car will need routine maintenance and periodic, and, emergency service for any vehicle they own and operate, like it or not. Vehicles just break down, sooner or later. Parts wear out, emergencies arise, and if a good service agreement is not in place to cover their investment, where will they be?

Dealerships are missing out on huge revenue. Customers are interested in buying vehicle service agreements, but are walking out of the door unsatisfied. Dealers don't even know they missed a sale.  

Below are 4 tips on promoting vehicle service agreements. 

There are more than a few people who wonder about the necessity of vehicle service agreements, so in this blog post, we're going to discuss what it is and why it's necessary for your customers. Many of your customers may be wondering if it's important to get...and you need to tell them why they should!

Missing sells on vehicle service agreements can really add up if a dealership is not focused on actively promoting them. From customers who are interested in obtaining service agreements to the customer who doesn't realize yet that they need one, opportunities are ripe for the picking for the dealership that is engaged and understands the potential.

When you Google vehicle service agreements, the overwhelming majority of the results pages are littered with articles and posts telling consumers to stay as far away from them as they possibly can.