| T O P I C R E V I E W |
| fiadmin |
Posted - 07/03/2012 : 18:45:52
Any of you read Marv's March 2012 blog about the mobile F&I menu: http://www.fi-magazine.com/Blog/Mad-Marv/Story/2012/03/Progress-or-Pipe-Dream.aspx
We will be close Industry Summit 2012 with a panel discussion (debate?) on that very topic. It happens on Wednesday, Sept. 12, at 3 p.m. Check out what else we'll be talking about in September at Industry Summit 2012 by going to www.industrysummit.com.
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| 15 L A T E S T R E P L I E S (Newest First) |
| fiadmin |
Posted - 08/09/2012 : 15:47:51
Check out my editorial this month everyone. I just wanted to clarify my stance on the mobile menu and lend my take on all these studies that say Gen Y hates the F&I office. http://www.fi-magazine.com/Blog/Done-Deal/Story/2012/08/F-I-Is-Not-the-Problem.aspx
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| WhatUSay |
Posted - 07/24/2012 : 06:44:33
FYI - The old school and the new school - time will play it out.
Instead of putting F&I managers out of work, mobile technology is more likely to help them do a better job, speakers at last month's Automotive News F&I Week Webinars said. That's not to say there won't be significant changes.
Technology is helping drive the following trends:
-- Mobile electronic devices are cutting F&I managers and customers loose from the F&I office, the notorious "penalty box." Mercedes-Benz and BMW dealerships already can handle lease returns via iPad in the parking lot. Other manufacturers are bound to follow. More functions are available or on the way, such as video presentations for F&I products that customers can watch on their own.
-- Some car retailers, such as Bob Hall Dealership Group of Yakima, Wash., are tapping technology to give salespeople responsibility for F&I, too. The group also created a document-processor position solely to handle finance paperwork, said Mike Hanks, general manager.
-- Customers are able to use their smartphones to compare interest rates on direct-to-consumer auto loans and get price quotes on auto insurance. Meanwhile, DealerTrack Inc. recently said it is rolling out a product that will enable customers to apply online for an indirect loan, in which the dealership gets a cut as a middleman, without going to a dealership.
So what's left for F&I managers to do if customers can get their own loan online, watch a canned presentation about F&I products and pick what they want from an online menu?
Plenty, say F&I Week speakers.
"Is technology going to replace the F&I manager? We don't think so," said James Maxim Jr., president of MaximTrak Technologies in Wayne, Pa. The company's products include an iPad-based F&I menu and reporting system, plus e-contracting and other electronic F&I tools.
"We know that the dealership environment is driven by human interaction, so it's more about giving F&I managers the proper tools to make a phenomenal presentation," he said.
Most F&I Week speakers who addressed the topic recommended that F&I managers get out of their offices, introduce themselves to customers in the showroom and get an idea of the customer's needs and wants before that customer gets to the F&I process.
"Have the F&I manger actually go out and meet the customer when they're first coming into the store, and a lot of times it makes life a lot easier because you've already broken the ground with them." said Carl Bennett, director of North American consulting operations for Reynolds Consulting Services of Dayton, Ohio.
George Angus, head trainer for Team One Group in Scottsdale, Ariz., had a contrary view, but he was the only one.
"Our philosophy is we don't want F&I managers out on the showroom floor. And we don't want anybody talking about F&I products until they come to F&I, simply because one of the things which we found [that] can create sales resistance -- which is the big enemy -- is pre-exposure," Angus said.
Another panelist, Gil Van Over, president of gvo3 & Associates, a consulting firm for compliance strategies, agreed with the notion that technology won't replace F&I managers. Rather, it will help them do a better job, he said.
"The technology we're seeing today is a tremendous help to compliance. The more you can standardize and keep things going within the electronic world, the better off you are," Van Over said.
"E-contracting is almost always correct, whereas manually creating a retail installment sales contract is usually wrong. Whether that's a separate office or whether it's a manager walking around with a tablet and signing customers up, that's to be seen."
You can replay all F&I Week conference events at fandiweek.com. After registering, enter the "View F&I sessions" section within the site.
You can reach Jim Henry at autonews@crain.com.
Read more: http://www.autonews.com/article/20120711/FINANCE_AND_INSURANCE/307119843#ixzz21Y00zbWi
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| WhatUSay |
Posted - 07/24/2012 : 06:40:56
FYI-- good read and good listening.
For most dealerships, the art of steering car buyers from the salesperson to the F&I department is an ongoing challenge.
Not at the Bob Hall Dealership Group in Yakima, Wash.
That's because salespeople sell the car and handle the finance transaction, says Mike Hanks, the group's general manager. He spoke about his stores' "unique selling process" during Automotive News F&I Week last month.
Hanks: Not all salespeople are able to handle both responsibilities.
The transition came with its share of hurdles. Among them: Not all salespeople are able to handle both responsibilities.
But Hanks says the benefits have far outweighed any trouble.
The group has cut overhead and boosted sales. Customers wait times have been slashed. And employees are more enthusiastic and loyal.
To listen to an archive of the Webinar, simply go to www.fandiweek.com and check out the "Dealers Share Their Best Practices" session.
Read more: http://www.autonews.com/article/20120718/FINANCE_AND_INSURANCE/120719844#ixzz21XzBQzMp
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| Marv |
Posted - 07/23/2012 : 14:13:39
Fantastic! I'll be looking forward to that. |
| ns2973 |
Posted - 07/23/2012 : 12:25:31
quote:
Originally posted by Marv
Thanks for your input on this most sensitive and volatile subject Nick.
*For those of you unfamiliar with Nick Sennett, he works for OptionSoft and as most of you know by now, TeamOne (George Angus) has partnered with them to provide an electronic version of their menu.
Nick, could/would you share with us a bit about your company's research and interviews with customers before desinging the product? Since there has been more than a few heated comments on other forums questioning customer involvement and success rates, I'm certain this feedback would be interesting.
Sure i can. I'll do a summary for you ASAP. I'm a bit crushed this week with travel but as soon as i can i'll do something up for you. |
| fiadmin |
Posted - 07/20/2012 : 15:25:48
Thanks WUS for stirring it up. And CUD, I totally agree. |
| WhatUSay |
Posted - 07/20/2012 : 10:08:30
It is not about increasing the bottom line or is it about replacing FIM. It is about finding a better way to improve the buying experience, the rest takes care of itself. |
| Marv |
Posted - 07/20/2012 : 09:43:50
Thanks for your input on this most sensitive and volatile subject Nick.
*For those of you unfamiliar with Nick Sennett, he works for OptionSoft and as most of you know by now, TeamOne (George Angus) has partnered with them to provide an electronic version of their menu.
Nick, could/would you share with us a bit about your company's research and interviews with customers before desinging the product? Since there has been more than a few heated comments on other forums questioning customer involvement and success rates, I'm certain this feedback would be interesting. |
| CU Defender |
Posted - 07/20/2012 : 09:34:24
^^^
And this is why I love this forum. So many knowledgeable people. Thanks for the insight.
________________________________________________
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| ns2973 |
Posted - 07/20/2012 : 08:58:15
quote:
Originally posted by snowman
And, here's the thing about electronic F&I menus and I-pad product presentations: They are designed to facilitate and encourage the elimination of the F&I dept. And, don't think they're not. If product providers can make it so simple to deliver product presentations that a monkey in a pin-striped suit can do it (or even a salesperson), then the decision to elimate F&I becomes all that much easier for a DP to make.
As one of the people that had a hand in designing some of these tablet tech, this was NEVER, let me repeat NEVER even close to why they were designed. (at least the ones I work on)
I do get dealer's that ask me if they can use tablet tech to replace staff, my answer is always "of course you can, but it's not just a bad idea, it's a scary one". I can only speak for the project I'm involved in, but it just simply would not work in the hands of salespeople to any degree as effectively as it would in the hands of a finance professional.
The goals in design meetings were basically about 3 things:
1. Giving finance managers a way to interact with their customers in a way that customers want to be interacted with. This was number one. Interactive presentations are to help with a voice on your side. Sometimes customers just need to hear another voice saying the same thing to have it click and see value, just like when a TO manager closes a sale for a salesperson without changing the deal, people just like hearing it from another source in some instances. Another subtle psychology change is the physical act of touching the tablet involves the customer in a way that paper doesn't, they are participating in the process. A subtle difference, but as time progresses, one that will become more and more important. The interactivity was what we wanted, customers we studied felt they were being dictated to with a paper menu, but voted that they felt more in control of the process when using a tablet, and the numbers went up.
2. A virtual interview/turnover: For most of my stores, the number one complaint is a lack of a professional TO from sales. So we wanted to create a tablet based interview that could lay the groundwork for a good turnover and get CSI/interest/objection data remotely and feed it back to F&I pre meeting. The questions are chosen by F&I and adaptable to hit anything you want. This was all about letting you control the turnover remotely, instead of having a SP say too little or too much, you get to control what if any data is seen by a customer pre-turnover. I know there is a huge debate on interview pros and cons, but obviously you adapt the tech to fit your process.
3. Internet deal help: We wanted to be able to have virtual presentations if a F&I manager needed it. Phone TO's always are a huge frustration, so the ability to do a virtual presentation where customers click and see a menu from home as directed by you in the box.
Those were some of the goals we wanted to hit. Never once did we ever consider designing it to replace finance managers, it's just not an option in my mind. |
| jimbo67 |
Posted - 07/19/2012 : 14:02:40
A tool is only as good as the person using it. |
| snowman |
Posted - 07/19/2012 : 13:31:39
quote:
Originally posted by Marv
It would be possible to strictly monitor compliance and still maintain the numbers in the above example but it would require a near herculean effort due to so many possiblities of infraction with so many people involved in the F&I process.
A dealership would have to have a process with checks and balances that has every step recorded in some manner to assure adherance to the law. One trainer I know has such a store that closed their F&I office. He says that some of the SP can't make the jump from sales to F&I so they have a couple of spinners to step in.
I don't think there is any way to insure compliance when F&I is being handled on the sales floor. The inherent conflict of interest is too great, which is yet another reason to have an F&I Manager who does not work for or report to a Sales Manager. Dealers that think they can have SP's do F&I and still be compliant are fools. |
| snowman |
Posted - 07/19/2012 : 13:27:39
quote:
Originally posted by rocky234
Yeah Marv, but the good news, is my son just graduated from law school and he will have a bunch of dealers to sue!!
ha ha ha
rocky234
With all the compliance problems out there now, he might make more money defending them. |
| Marv |
Posted - 07/19/2012 : 12:31:50
It would be possible to strictly monitor compliance and still maintain the numbers in the above example but it would require a near herculean effort due to so many possiblities of infraction with so many people involved in the F&I process.
A dealership would have to have a process with checks and balances that has every step recorded in some manner to assure adherance to the law. One trainer I know has such a store that closed their F&I office. He says that some of the SP can't make the jump from sales to F&I so they have a couple of spinners to step in.
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| rocky234 |
Posted - 07/19/2012 : 12:20:40
Yeah Marv, but the good news, is my son just graduated from law school and he will have a bunch of dealers to sue!!
ha ha ha
rocky234 |
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