Demand for managers in powersports F&I is increasing exponentially. As gas prices rise and income falls, more and more customers are looking for a less expensive alternative to traditional vehicles. The huge profitability offered by the powersports industry has prompted an evolution in powersports F&I. Many of the same principles found in automotive F&I offices are now being applied to their counterparts in the powersports industry.
Dealers have found that using automotive F&I practices as the foundation of their Powersports F&I office, they can significantly increase their profit on every deal. At the same time, the dealer creates positive relationships with lenders and creates a streamlined approval and funding process. In addition, this improved methodology allows the F&I Manager the opportunity to convert cash and outside finance coffee to dealership financing programs.
It is essential that good F&I procedures are practiced consistently. The reason is two-fold: consistency maximizes the potential for profit, as it ensures that aftermarket products are always presented to the customer; it also helps protect the dealership by creating a consistent transaction methodology which follows the strict regulations governing F&I. guidelines
The menu presentation has become an integral part of the powersports F&I office. Most of the products that are offered in the F&I Office protect the dealership as well as the customer’s credit and finances. For example, products such as extended service contracts can cover the unexpected expense of sudden mechanical breakdown. Not only is the customer protected from the financial hardship imposed by costly repairs, the dealership doesn’t have to deal with the aftermath of an angry customer. The same can be said if a customer purchases credit life and/or credit disability insurance and then fails to make his monthly payments due to sickness or accident. In all cases, adherence to the methodologies found in the automotive industry have become the key to profitability in powersports F&I offices.
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