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F&I in Age of Car Dealerships’
Contactless Transactions
Even before the COVID-19 pandemic, friction
in the F&I office was a customer issue.
Tim Blochowiak, vice president-dealer sales at
Protective Asset Protection, an F&I provider and trainer.
Since the widespread containment ef- Even before the COVID-19 pandemic,
forts caused by COVID-19, auto dealer- this friction was an issue. According to a
ships have been among the hardest-hit recent industry survey, approximately 87%
industries. of car shoppers disliked some aspect of car
shopping at dealerships, with the majority
Much of this is as a result of many dealer- saying they felt pressure to buy right away
ships either being forced to close or limited or to buy additional F&I features.
to online sales. If they’re still open, the virus
crisis has limited showroom foot traffic. This pressure and mindset are reduced
when car shoppers have information
This means that contactless transactions ahead of time on F&I product options.
are, at least for the near future, priori- This allows them to research the benefits
ty No.1 in the transaction playbook for of these products in the comfort of their
dealers. Because of this, F&I must play home, as opposed to being in the F&I of-
a leading role in helping educate people fice where they don’t have time to make
online during the research, transaction proper considerations.
and post-sale phase of each sale.
COMPLETING THE TRANSACTION
WHERE F&I CAN HELP THE ONLINE PROCESS OUTSIDE OF THE DEALERSHIP
5 things If they weren’t focused here before F&I can also be a great benefit to the con-
COVID-19, dealers are now full speed tactless transaction at the completion of
the deal and when the consumer then takes
ahead with online digital retailing op-
tions for customers. As part of this, ownership of the delivered vehicle. Paper-
more dealers are beginning to lever- work must be completed online through
you need to know about age additional online education of F&I F&I and therefore it is imperative that each
options when shoppers are beginning dealer has a robust and reliable online con-
the MIADA website: their research online. tract process necessary to complete each
transaction outside of the dealership.
1. We link directly to all of the key Dealers (and lender partners) want to
COVID-19 resources, including the make sure customers are matched with This “new normal” will certainly be crit-
Back to Business MS site the right vehicle, loan and terms up ical for all involved – dealers, lenders and
2. You can easily join or renew directly front. When it comes to additional F&I customers – in the near term, but the
from the site. options, dealers want to leverage the COVID-19 pandemic may also serve as a
3. All events are listed in a handy online experience to remove any fric- catalyst for longer-term change.
calendar. tion that historically was perceived to
4. Our sponsor and auction directory take place toward the completion of the Contactless transactions will continue
are available directly online and deal inside the F&I office. to grow as dealer sales and F&I person-
5. You can read, share or print our nel are forced to work from home, and
magazines, in digital format, from While many F&I options can be benefi- as consumers are wary of visiting dealer-
our site. cial to a car buyer (such as vehicle ser- ships in person.
vice contracts and ancillary protection
plans), the customer may perceive these Having the necessary digital retailing
CLICK HERE TO VISIT products as “upsells” at the last minute tools and resources available will not
MSIADA.ORG inside the F&I office. only help sales grow again, but over time
it will help dealers build trust. n
MIADA MISSISSIPPI DEALER Q2 2020 | 9
