Aftermarket Accessorizes F&I
Even as experienced managers try to survive on reserve and service agreement income, progressive F&I departments are looking beyond traditional products to aftermarket accessories to increase profit — much to the delight of parts managers!
Aftermarket products include bed liners for trucks, bug guards, 3M clear door guards and custom-cut protective bras, head light covers, custom wheels and entertainment centers. These products provide a solid, “added” profit center for the dealership because they are non-cancelable and can be made while the customer is waiting to get into the F&I process.
The creation of an aftermarket sales desk allows customers to personalize their new vehicles and adds thousands in revenue to the dealership’s bottom line. Or, to put it another way, one small step can create two profit areas. This new wrinkle to the system is a mere insert of a step between the sale of the unit and the financial documentation of the deal.
An aftermarket sales desk allows the F&I manager to focus on selling the intangibles of insurance and financing. With an increased focus on insurance-related products, the F&I manager will have ample time to address the customer’s questions and increase production and profitability.
The aftermarket sales desk also provides an entry level F&I position and the ultimate cross-training situation. The aftermarket salesperson can back up the F&I manager for vacation days and absences due to illness or injury.
Where can you find products to sell at the aftermarket desk? Check with the parts department manager. The dealership vendor who supplies environmental protection products may very well be the person who has access to the new 3M products. Let the vendors do the product research for you.
All you need to set up an aftermarket function is one desk, three chairs, a telephone and laminated presentation book. Add one custom car enthusiast and you have the ingredients to “two-step” your way to increased revenue!
Dealer Marketing Magazine, March 2003, p. 14.