How does this headline sit with you? “The US Car Industry Starts to Implode”.
As we move into the second half of 2025, it’s the perfect time to take a hard look at your sales and F&I solution strategy. Is your vehicle sales strategy and F&I menu aligned with ever-changing consumer mindsets, customer retention goals, and maximizing your profit potential? Staying the course with your current product strategy won’t be enough to drive the growth you need through year-end.
It’s time to think about integrating a traffic-driving loyalty program that does MORE than just bring customers into your showrooms to buy a vehicle. It also strategically funnels them through the service drive AND maximizes your underwriting participation profitability. While it provides great lifetime coverage for your customer’s most expensive asset – creating a customer for life of their vehicle ownership – it also turns customer retention into revenue.
Let’s talk about why NOW is the perfect time to assess your vehicle sales and F&I performance and how the right loyalty program can supercharge your strategy. Then, let’s close out 2025 stronger together.
All signs are pointing to OEMs raising the price of new vehicles by as much as $7,500 to offset tariffs and their own increasing costs. Your inventory costs are increasing while units on the lot are stagnating. What happens next?
- Your customers will delay purchases because of the perceived value, and
- Your gross will suffer as you continue to combat rising vehicle prices.
So, how do you drive customers to your dealership and give them the confidence to buy? Drive Forever®, Worry Free can do just that as your Why Buy Here product.
Is it Time for a Profit-Packed 3-Fer Loyalty Program?
While you can’t affect tariffs or the economy, you can ensure your Why Buy Here makes your inventory more attractive with EFG’s Driver Forever Loyalty powertrain protection program.
Start taking advantage of these three benefits today:
- Drive traffic to your showroom for increased sales.
- Drive traffic to your service drive for required maintenance, which in turn, brings customers back for their next vehicle, too.
- Drive higher reinsurance profitability, with vehicle verification of ownership every 5 years.
Tariffs and higher prices have put pressure on new and used vehicle sales, and hesitant consumers are holding on to their autos even longer. There has never been a better time than now to introduce a loyalty program. Complimentary to the consumer, this program gives buyers the confidence to purchase and differentiates your dealership from the competition with a solid “Why Buy Here” offering.
What Would You Do with 20% More Sales?
There’s no shortage of Drive Forever® dealer success stories and proof that it drives customers to your showroom. And for one dealership in particular, the benefits of the limited powertrain protection could be seen almost immediately.
- The dealership experienced an amazing 20 percent increase in used car sales
- Customers viewed the limited powertrain protection even more favorably than a manufacturer’s warranty
- Many said they wouldn’t even consider buying a used car without it
- In the client’s own words, Drive Forever® Limited Lifetime Powertrain Protection is truly a “game changer”
Products such as Drive Forever® provides dealerships and their service departments with a green light to keep repair and maintenance moving smoothly. High customer satisfaction with dealer service helps tremendously with client retention and converting those service customers into future buyers.
What if Your Customers Kept Coming Back?
A powertrain product that requires customers to perform their repair and maintenance work at your dealership naturally drives consistent traffic to your service drive, creating a steady stream of returning customers. This built-in service drive loyalty protects the customer too – it ensures that their vehicles are maintained according to manufacturer standards while strengthening the relationship between the dealership and the customer over time. Frequently quoted because it’s true – research shows that customers who regularly service their vehicles at a dealership are significantly more likely to purchase their next vehicle there. By tying the powertrain coverage to your dealership-exclusive service, this program helps retain long-term business and increases the likelihood of repeat sales.
How Can a Loyalty Program Impact Reinsurance Profitability?
Through the Drive Forever Limited Lifetime Powertrain Loyalty Program, customers can continue to enjoy their lifetime loyalty benefits by verifying vehicle ownership every five years. This is done by simply scanning a QR code and completing a short web questionnaire. In turn, you don’t carry the burden of continuing lifetime coverage on vehicles that have been sold or traded, boosting your reinsurance profitability.
At EFG Companies, we’re more than just an F&I product provider – we’re your dedicated business partner and trusted advisor, here to guide you through these challenging economic times. You can connect with me on LinkedIn or contact me directly via email at efifield@efgusa.com.