Successful Combo Product Sales
There is nothing hotter in the F&I office today than combo packages. Combo packages take individual products like tire and wheel and paintless dent repair and puts them together to create a compelling value proposition for customers. The challenge most F&I people face with having five to seven items on their menu is finding themselves saying “and another product you can take advantage of is X and another product you can take advantage of is Y” and so on and so on. Not only is this selling style exhausting for the customer it is very ineffective and a little embarrassing too.
To maximize product sales the F&I professional must give an A+ combo product presentation. Think of it this way, the menu is designed to show all the products they want to buy. How you present the menu will determine how many products they will buy. Keep in mind, your goal is to help the client make buying decisions. The best methodology for this to happen is to first look at it from their perspective. Retail buyers are more educated and savvy than ever before. The best sales people will tell you they experience the best results when they inform their customers so they can make a buying decision. No real surprise here, people don’t want to be sold. Helping people to make buying decisions is effective for incremental product sales and protects CSI. You’ll never hear a happy customer say, “I was sold a car at the dealership today.” Rather, the happiest customers will tell their friends, coworkers and family “I bought a car today!” That excitement and experience is “solid gold” to the dealership and the sales professional simply because it’s the walking billboard for future sales from the entire client’s network!
So how does this work in the F&I office? Before you give you’re A+ presentation you first must plan your strategy. Knowing what the client wants to buy before you present is paramount to your success. How would you do that? Have a meet and greet with the customer before you conduct an interview, which is after they have agreed to purchase the vehicle. Doing a “fly by” early on during the buying process is simple and effective. Introduce yourself as a business manager and thank them for coming in to buy at your store.
Don’t skip the interview process, however. This is your chance to understand what the client wants to buy and you can give them the advantage to do so with your presentation. Now that you have your strategy for helping your clients to buy more products, plan your presentation. You’re A+ presentation includes great word choices; this is so you don’t sound like you’re selling a bunch of products that have no value to your client. Here is a great example of how to cover five products in your menu presentation without having to say “and another product you can take advantage of…”.
Using this simple and easy to understand word track will provide your clients the information they need to making a buying decision without the wordy drama you would have to go through explaining each of the products you just told your client is not covered under the factory warranty period. You just set the stage for your client to buy five products beyond the vehicle service contract without each requiring a lot of individual explanation creating buyer resistance or even panic:
- Environmental interior and exterior protection
- Dent and ding coverage
- Key replacement coverage
- Tire and wheel coverage
Remember you’re informing them so they can make buying decisions. Start with this word track: “Here is how your deal is structured”…Once you cover the deal structure move right into the next phase of the menu; “Let me tell you what you get with the vehicle you are buying today.”
At this point you transition to the back of the menu to begin your visual presentation. Your new Accord comes with two factory warranties, first is the comprehensive three year, 36,000 mile warranty. This covers everything accept the wearable items. These items include, but are not limited to, the tires, brake pads, hoses, belts, and bulbs. It also doesn’t cover regular maintenance, such as oil changes and tire rotations. It doesn’t cover the way your vehicle looks inside and outside, so it won’t cover stains when you spill something, rips and tears on the seats or dent or dings on the exterior as well as your windshield chips and cracks. In addition, it will not cover the lost or damage to your keys and damage caused by road hazard to your tires and alloy wheels. What it does cover is everything else, such and the on-board computers, sensors, electronics, the nine miles of wire, the navigation, power windows, heated seats and the power sun roof and so on. The second warranty is the five year, 60,000 mile Powertrain Warranty. That covers just the engine, the drive line and the transmission; the internally lubricated parts. It won’t cover the on-board computers, sensors, electronics, the nine miles of wire, the navigation, power windows, heated seats and the power sun roof. That is only covered under the comprehensive three year 36,000 mile warranty.
It also gives you a streamlined presentation with the emphasis on your core products: vehicle service contracts and GAP. Returning to the front of the menu, referring to column one, “Our clients like to take advantage of all of them together, pointing to the payment. Then, “in column two, you can take advantage of these items less the ________-at this payment (pointing to the monthly payment).
Don’t forget to stay focused and be the professional consultant your clients deserve at your dealership!
Mark Ekhoff is the Vice President of Business Development for Automotive Development Group.