F&I penetration on new- and used-vehicle sales grew last year at luxury-brand dealerships, despite the prevalence of leasing among luxury customers, a report from the National Automobile Dealers Association shows.
Out of four dealership categories -- luxury, mass market, domestic and import -- the luxury dealership segment was the only one to grow average F&I penetration on both new- and used-vehicle sales, according to the NADA Data 2017 report, which aggregates data from U.S. light-vehicle dealerships.
The average luxury-brand dealership's new-vehicle F&I penetration, which includes F&I product sales and financing, was 70.7 percent, up from 69.8 percent in 2016 and 66.4 percent in 2015.
On the used-vehicle side, the average luxury brand dealership's F&I penetration rose to 52.6 percent, compared with 50.2 percent the year earlier and 45.8 percent in 2015.
On average for all dealerships, new-vehicle F&I penetration dipped slightly to 90.3 percent, from 90.4 percent in 2016. The average domestic- and import-brand dealerships' used-vehicle F&I penetration fell from 2016, and at mass-market-brand dealerships, average F&I penetration on both new- and used-vehicle sales declined from the year earlier.