AutoNews
By: John Irwin on June 21, 2017
Read time = 2 ½ minutes
An interesting article in the 6/21/2017 AutoNews F&I section by John Irwin cites the reasons for cost/price increases in GAP.
Guaranteed Asset Protection claims—and losses—are on the rise, and ballooning negative equity appears to be partially to blame.
F&I Showroom – Feature
By: Gregory Arroyo, May 2017
Read time = 1 ½ minutes
The script was written: The record 3.6 million off-lease vehicles set to return to the market this year was supposed to set off the long-awaited collapse in used-vehicle pricing. Prices have softened, but not to the levels or pace most market insiders predicted heading into 2017.
The Detroit Bureau
By: Joseph Szczesny on June 29, 2017
Read time = 1 ½ minutes
No one is arguing the case that after several years of consistent increasing new car sales, we are experiencing a sales drop.
“Additionally, we are also seeing lease penetration rates come down from record highs and starting to see a slowdown in the growth of incentives as a result. Both are good signs for the long-term health of the automotive industry and show manufacturers’ commitment to profitability and preserving future used-car values.”
Focus on used-car buyers to maximize F&I’s per-vehicle retail profit.
“Not only aren’t used-car buyers second-class, they’re a better class than new-car buyers when it comes to their total value for the dealership,” says Ed French.
Dealerships often overlook vehicle service contract opportunities, leaving money on the table when closing a sale. Whether as an add-on to a new car sale or an additional offering for a high-mileage purchase, a proven vehicle service program will increase sales, customer satisfaction and profits to your dealership.
Vehicle service contracts are an important tool for “closing the sale” and will generate additional revenue, so it is important for dealerships to take every opportunity to provide this option. The best provider can offer plans for new, used, foreign and domestic vehicles while providing a very reliable source of revenue and profits back to the dealership.
