Want more from your F&I?

As auto dealers weather industry turbulence, they increasingly rely on F&I departments to bolster profits. As such, it’s critical to present a full range of solutions that educate consumers — and also meet them where they feel comfortable, whether that’s online or in a dealership.

That’s where Allstate Dealer Services steps in with custom-designed programs based on proven experience in understanding what dealerships need to enhance sales and profits.

Of course, Allstate already fulfills one dealer priority: name recognition. With 71% of consumers more likely to choose recognizable brands and one in eight consumers already an Allstate customer, brand recognition isn’t a problem.

“Consumers see the "Good Hands®" company as a trusted brand, whether they’re Allstate customers or not,” says Thomas Hackett, national sales and training director for Allstate Dealer Services.

But the Allstate advantages go deeper.

For example, the company’s network of local, independent agents can provide customized F&I programs that maximize profits.

“Our agents are experienced and knowledgeable about their markets,” says Larry Guy, national training senior manager for Allstate Dealer Services. “Dealer profitability comes from their understanding of markets and what drives dealer performance.” 

Moreover, agents can offer dealers tailored F&I sales presentation tools that mesh with nontraditional approaches. For example, some dealerships empower salespeople to also handle F&I presentations, offering consumers a seamless sales experience.

These agents are also trained to look beyond traditional growth methods. So instead of simply presenting strategies to boost F&I profits, an Allstate Dealer Services agent can specifically address pricing models and inadequate reinsurance programs. 

“Our agents look at multiple data sets including product volume and loss ratios by product line then analyze those against current reserves to ensure maximum program profitability,” Hackett explains.

That customized approach carries into other areas. Take a dealership’s product index. Some F&I providers might focus on raising the index by trying to sell more of the products that sell well. But an Allstate agent can take a contrarian approach that identifies traits shared by customers who don’t purchase F&I products.

“Putting more pressure on the kinds of customers that already buy three products significantly increases the risks of them buying nothing,” Guy says. “We’ve developed advanced performance-reporting tools that identify those who don’t purchase any F&I products. … That allows our local agents to coach and mentor the F&I personnel on how to overcome their objections.” 

Speaking of coaching, Allstate Dealer Services and its agents provide extensive product training for dealerships along with critical follow-up training through content that F&I personnel can access online, on-site and on demand.

“It all works hand-in-hand with our agents’ in-store training and our live educational events,” Guy says.

Looking ahead, Allstate offers dealers yet another reason to offer "Good Hands®" protection to their customers. Continual research that generates insights into what engages customers—and helps sell F&I products. 

The company is always developing tools that enhance sales processes, says Dave Border, president of Allstate Dealer Services. 

“Instead of asking what dealerships think they want next,” Border continues, “we’re flipping the equation by looking at key data points to determine what customers need and demand.”

For instance, to satisfy online consumers, Allstate Dealer Services can embed web tools within a dealer’s website that offer educational videos and other materials.

“When properly educated, most customers see value in F&I products,” Border says. “But a bad process skews which products people will buy and even where they’ll buy them. “We want to put F&I on the same footing as the rest of the car-buying process — make it a value-add, not perceived as a burden at the end of the process.”

Visit Allstate.com/AutoNews to learn how you can maximize your F&I profit potential with Allstate Dealer Services.