The convergence of several factors presents challenges and opportunities for F&I professionals as we head into the tail-end of the year. Digital retail platforms have exploded as car research and shopping steers online, sparking fear this trend could have a disproportionately negative impact on F&I income.
At the same time, high interest rates and worries over the economy have car buyers contemplating all-cash deals and second-guessing the value of paying for Vehicle Protection Products. Finally, the rise in connected cars, including electric vehicles (EVs) necessitates staying ahead of changing vehicle protection needs.
The wild ride of auto retail shows no signs of slowing down. It’s smart for dealers to prepare and train staff to adapt to evolving market conditions, as well as look to their F&I providers to help them navigate changing vehicle protection needs.