When you want to be the best…
-The good news and bad news regarding experimentation and breakthrough-
Your F&I department producing, 30-50% of your net income, is critical to your success.
How do you know the F&I department is functioning the way it should?
In asking this question of hundreds of dealerships, common responses from dealers satisfied with results include:
1) We are doing better than last year on a budget.
2) We are in the top 10-20% of our brand nationally.
3) We are doing well relative to our “Twenty Group”.
This type of benchmarking is a good starting point for moving toward the current best practices, but it doesn’t get you to the best possible position. In fact, this kind of thinking prevents you from being the best.
When Edison began his crusade to develop a working light bulb, he didn’t know he would try “10,000 different ways.” He had a burning desire, which fueled him until he achieved his goal. To borrow a basketball metaphor, Edison really “wanted the ball.” Do you?
To achieve breakthrough numbers in your F&I department will take some experimentation and innovation. The thought of 10,000 tries to achieve the best is daunting — that’s the bad news about experimentation.
Here’s the good news: Having worked with hundreds of car dealerships, we can help you limit the necessary implementation to rise to the top – increasing PVR by $300 and penetration by 50% or more. We have already done the “Edison component” of the program; we just need to tailor it to your culture.
Do you really want the ball?