The world has witnessed drastic changes in just a few short months. The economic fallout from the COVID-19 pandemic has impacted nearly 50 million workers since the end of February, according to Mark Zandi, chief economist at Moody’s Analytics in a recent CNBC1 report.
While Moody’s also believes “the COVID-19 recession is over1,” automotive dealers of every size should be taking this time to review every aspect of their business to ensure maximum readiness for when the economy truly turns positive again.
Everything from reviewing F&I training protocols to refining inventory strategies are top-of-mind for dealers today. What’s more, dealers should also be taking this time to review their complete lineup of F&I program offerings and portfolio of services to ensure they have the right makeup of value-added products for customers.
It All Starts with Identifying Vehicle Trends
The right F&I portfolio begins with understanding what people are buying. Sure, incentives are hot for new cars currently, but supply levels and aggressive offers mean the sale of used cars and trucks will dominate car lots for some time. In fact, according to PureCars data reported in TorqueNews2, during the last week of May, used vehicles represented 10 of the top 14 vehicles sold nationwide.