Categories
Virtual F&I

Let’s Get Virtual

Glenice Wilder Vice President EFG Companies
Contributing Author:
Glenice Wilder
Vice President
EFG Companies

I admit it – I’ve gone virtual. I have a lovely Alexa® in my home that will do wondrous things, a Ring™ that will keep my home safe, and a Roomba® that will sweep my floors. Siri® responds to my voice commands and my car parallel parks itself. If they could figure out technology to walk the dog, I wouldn’t have to move a muscle at home!

And now, my colleagues in the powersports industry can go virtual as well – with their F&I. Not sure about virtual F&I? Let’s look at a couple of scenarios to which you can relate.

Everyone knows that F&I is complex. With many powersports dealers operating with a small staff, keeping everyone trained and up-to-speed can be a nightmare. And let’s not forget the potential loss in profitability! This year is looking pretty lean and I’m sure you want to maximize every nickel of margin. Effective F&I can give you that profitability on the back-end. But who’s going to make sure that gets done?

Virtual F&I can be a “hidden” ally, filling the role of a vacant F&I department – or providing support to team members hesitant to explain F&I products. Virtual F&I comes in many forms and functions. Before jumping into this virtual world, it pays to evaluate your dealership needs and the available resources.

Categories
Powersports Market

Adapt lending strategies to stay ahead of the trends

Glenice Wilder Vice President EFG Companies
Contributing Author:
Glenice Wilder
Vice President
EFG Companies

Recently, Federal Reserve Chairman Janet Yellen signaled that the Federal Reserve would likely raise rates multiple times this year. Just last month, interest rates bumped a quarter of a point from between 0.25 and 0.5 percent to between 0.5 to 0.75 percent. While this is a very small increase, the change indicates that the Federal Reserve will make good on its promises.

Yellen’s recent statements and Federal Reserve action signal an end to its economic stimulus campaign that was put in place over eight years ago during the financial crisis. In fact, these changes, according to Yellen, are expected to bring the benchmark borrowing rate close to neutral.

So what does this mean for consumers? So far, we’ve seen modest short-term implications. Interest rates on auto loans and some credit card debt have experienced increases; however they remain at low levels compared to historical norms. 30-year mortgage rates have also remained consistent for the most part.

Categories
Business Growth Powersports Market

Are You Primed To Capture Refund Sales?

Glenice Wilder Vice President EFG Companies
Contributing Author:
Glenice Wilder
Vice President
EFG Companies

For many of us, the April 15 tax filing deadline looms large whether we have to pay or we expect a refund. This time of year, powersports dealers have a promising opportunity to significantly increase sales volume.

  • According to the Conference Board, the Consumer Confidence Index® increased in February and remains at a 15-year high.
  • A recent report by Bloomberg on the Consumer Comfort Index, respondents viewed the buying climate as the most favorable in nearly 15 years.

But consumer confidence does not automatically translate into a spending spree. According to Princeton Research Survey Associates, 46 percent of Americans plan to receive a tax refund this year. But only 26 percent plan to spend the refund on a purchase. Now is the time for smart powersports dealers to fine tune their marketing to capitalize on this spending window.