Better Process = Better Profits
The F&I stage of the sale is an essential part of a dealership’s profitable workflow. This is when your dealers can go over the critical final details of the vehicle purchase, including customer financing, credit options, auto service contracts and so much more. Having a smooth F&I process and plan can ensure everything in your dealership is within compliance for revenue generation.
Not having a seamless, expedited and transparent process for F&I can hurt your dealership. It’s one thing to be able to sell a product, but also being able to procure it so the customers feel safe is a tough challenge. A good F&I process manages and gives customers options for payment plans, which helps to build relationships over time.
Many customers have to wait around an hour to get into an F&I office while the F&I Manager loads information. This causes gaps in the time it takes to get in and out of the office. Customers also feel dealers are simply trying to sell, instead of giving reasons why a particular service or payment plan might be better. By having financial managers give customers options, it’s up to the customer to choose the plans they wish to purchase. This ultimately creates a better relationship between the customer and dealership.
What can you do to ensure your F&I Manager is invested in the customer? First, there’s F&I training. Training your F&I Manager will lay the groundwork for proper business procedures so you can work more confidently, and efficiently. How can you invest in the F&I Manager? Many F&I Managers are shown a job is just a job, but with training, you need to show them it’s a career path. The difference between a job and a career path is what makes the F&I Manager passionate about the organization, which helps drive success.
Compliance tools are another way to boost your F&I process. Making sure you stay compliant with new products and services is crucial. For example, do you have copies of drivers licenses out on desks while completing another task? How do you know the right criteria is being met before a deal can be made? Avoid penalties and equip your team to make sensible business choices.
Keeping your dealership tasks organized and compliant isn’t an easy job, but it’s crucial for revenue generation. Whether you’re trying to sell more products, improve compliance in your dealership or refine credit processes, addressing the right problems will drive your dealership forward.
If you’re interested in how CDK Global can help your F&I processes, please visit here.