As other large auto retailers shrink field networks and eliminate middle management positions, Group 1 Automotive Inc. has added a layer of managers to its finance and insurance operations.
The Houston company hired regional F&I directors in each of its three regions in the United States and one in the United Kingdom, the company recently told analysts. The mission of the newly created job is to boost F&I gross profit for each vehicle retailed by training store-level F&I managers and designing pay plans to motivate them.
After four years of steady increases, Group 1 suffered a 9 percent decline in the F&I gross profit it made on a per-unit basis, to $982 in the first nine months of this year. Overall revenue from F&I fell nearly 20 percent in the third quarter from the year-earlier period to $37.5 million and dropped 33 percent in the first nine months of the year to $102.2 million.