WHY DOES MY DEALERSHIP NEED A SPECIAL FINANCE DEPARTMENT?
If you run an automotive dealership, you just want to sell cars to people who can pay up hassle free. Unfortunately, potential customers with bad credits do exist too. So, what are you going to do about that? Let them go? With some special financing scheme, you can in fact turn this population of prospects into customers for your dealership. Remember bad credits don’t last forever, and these individuals can be big shots who made a few bad choices. So, treat them right when they are down, and they may just become lifetime customers.
Special financing may sound like a very big word, but it just means making plans for every individual to leave your dealership with a deal that satisfies them at least. You may well already be practicing Special Finance business funding of your prospects and not know it. If your F & I team doesn’t come to you with a lot of reports about deals that didn’t go through, you might well be practicing special financing because it’s never that smooth in the automotive industry.
Now, the chances of your sales personnel closing every customer that waltz into your lot are slim. The odds look better if they are perhaps selling some of these sub-prime customers to your primary sources. However, since we attach so much attention to maximums and super sizes, why not have both in on these transactions?
The chances that over 50% of the population that reside around your dealership have a poor credit is somewhere around the highs. That’s a lot of potential buyers who with a little special financing can boost your monthly sales by a solid figure. Even for a mega dealer, already doing great numbers, going for a few more would still be a win-win, right? This about expanding your business, not changing strategy.
Keep in mind that, special finance customers aren’t people who stay home and watch Steve Harvey’s Family Feud all day. They are not just figuring out how they can take advantage of the next welfare or unemployment check that swings by. This population includes doctors, lawyers or other professionals who made a few poor credit choices. Remember, bad things do happen to good people. Not only will they provide some extra business for your parts, service and body shop, serving them well will see them sing your praises and the referrals that come with could be well worth it within the long run.
These days, it is very common for people to go ahead and talk about how bad business is, it is not going to get better by letting potential customers go. The class of the customers that trod into your dealership didn’t change, it’s the circumstances these potential customers face that has changed.
When every other dealership is backing out from dealing with these customers, you could go ahead and take advantage of the mild rivalry and turn them into customers. Always remember that now is when you can really stand out. Most F & I’s would walk away from this market because it’s quite difficult to navigate, but don’t be one of them. Go get these customers.
More info: www.richiebellowest.com/ondemand