F&I and Showroom, March 2020

www fi magazine com 18 F I and Showroom FINANCE INSURANCE March 2020 every manufacturers focus group and being written about in almost every periodical in our industry lately The menu provides transparency by presenting all the information and options relevant to the customer in one document or on one display Taking a consultative approach in guiding the customer through their options creates transparency with the customer of the F I managers purpose HERE ARE A COUPLE OF THINGS WE SHOULD KNOW ABOUT NO If you want to avoid no more than you might be experiencing it become a skilled conversationalist We can hear no less often by listening to connecting with and learning about our customer and how their vehicle will fit into their life through a good conversation before we present options on a menu We commonly call this the customer interview The problem is that we have been taught to only ask questions that are relevant to us in the interview We learn nothing about the persons lifestyle and how their new vehicle will fit into it Because of this the customer perceives our purpose in F I as only to sell products By learning more about our customers we can present a menu option that is based on the customers needs If we do the customer may perceive the purpose of F I as to consult and recommend products based on what you now know about them personally a different experience for the customer entirely WHEN CUSTOMERS CHOOSE NOT TO ENROLL If the customer agrees to the process and they also agree to you there are only three things that can cause a customer to hesitate when deciding whether to enroll in a product or service Cost value or urgency Granted there may be hundreds of variations on those three but it usually comes down to one of those three reasons Cant afford it dont want it and can I think about it LETS TALK ABOUT COST OR I CANT AFFORD IT But before I do I want to mention a trap many of us have fallen into from time to time Hearing a complaint and assuming it is a no Everybody likes to complain to some degree So is what we just heard really a no or did we just hear a complaint and assume it was a no This commonly happens when price or cost is brought up The customer may say That is a lot higher than the 450 per month I was planning on Many times we assume it is a no and say something like I know how you feel what we could do is go to a less robust plan and stretch out your payments for six more months and that would bring you down to Instead we could assume it is a complaint and just agree with the customer It is but isnt everything higher these days I have just a few more documents that need your signature If cost is a concern and not just a complaint they will let you know and you can address it by offering options When cost is a concern due to budget that is an opportunity One of the primary benefits of any of the products we offer is protection from unexpected expense Ask anyone on a tight budget or who is trying to save and they will tell you nothing is more frustrating than a large unexpected expense Or worse putting that expense on a credit card Finding an extra 25 per month in the budget so they can avoid the unexpected big budget hit in the future is preferable to finding 1400 or 1500 in a moments notice When the no is about cost or price first make sure it isnt a complaint then move the conversation to budget and talk about how our products can benefit their budget not just their vehicle I DONT NEED ANY OF THAT STUFF When the customer doesnt see value in any of the products they are telling you that they dont see how the products could improve their life If we havent bothered to discover any possible needs of the customer before we present a menu this one can be tough to work through The key here is to let the customer know that you will have to present their options anyway and explain why we need to be consistent with each customer Thank them for their patience and proceed When finished say thank you and ask them Mr Ms Customer many of the customers I work with that choose not to enroll in any products tell me it is either because of price or the way the products were grouped I dont hear your reason very often Would you mind sharing with me why you feel that way Based on what they share we can respond accordingly Maybe it was a bad previous experience or they received advice from someone who didnt take the time to discover needs Either way if we have done a good job building rapport and credibility we can then recommend a product or two for their consideration based on what we have learned CAN I THINK ABOUT IT Postponement statements or questions are usually made to cover a concern Most of the time their concern will be about one or both of the concerns outlined above Many F I people attack this concern with an immediate response Instead first confirm that it isnt and they see no value by asking I see so you do see value in the blank you just want to be sure you are making a good decision is that right If they say Thats right let them off the hook by stating Youre not alone what I can tell you though is that after consideration many of those that have thought it over tell me that either they dont see value in the blank after all or it doesnt fit into their budget Which do you think it might be for you Usually it is price or cost If so you can confirm by asking if the product could fit it into their budget is there any other reason why they wouldnt enroll now Then talk about how the product will protect the budget and offer solutions and options to help them make the decision to enroll I began this article by suggesting that how well we handle no can have an impact on the customers satisfaction the profitability of our department and your personal income Perhaps I should have begun by stating the most important thing to know about no is that if we take the time to really understand our customers needs before we present a menu we might hear less of it ABOUT THE AUTHOR John Tabar is the vice president of training at United Development Systems Brown Brown Dealer Services Contact him at John Tabar@ Bobit com