Mid-Sized Segment Benefits from Core & Bundled Products

Mid-sized car sales are the biggest segment in the United States this year, up through August to 2.52 million, and at 22 percent outpacing the 15 percent increase in total car and truck sales, according to Autodata Corp. and Automotive News.

While the customer interview and targeted menu selling is crucial for all customers, this segment of consumers finds value in core F&I products. Bundling these products with complementary products can create added benefits for consumers as well as increased profit opportunities in dealership

Tire & Wheel Protection provides coverage that protects the vehicle’s wheels and tires from the everyday hazards of the road. Since tires are the only parts of the vehicle that touch the road, this product is especially appealing to the mid-size segment, where vehicles ride closer to the road. For additional protection from the most common perils of ownership, Tire & Wheel can be bundled in many configurations with:

• Paintless Dent Repair
• Windshield Repair
• Roadside Assistance
• Key Replacement Protection

Theft Protection is also a core product that can now be bundled. Identity Theft Protection is a great product to accompany Theft Protection. Offering Identity Theft Protection is a no-brainer while you are reviewing a customer’s credit and personal information in the Finance Office.

In addition, GAP Protection is a great core product for any consumer. According to Experian Information Systems Inc., the average loan term for new and used vehicles is up by one month from a year ago. With longer terms, GAP is a crucial product to protect customers in a negative equity situation.

(Source: Safe-Guard Products International, LLC e-Newsletter Volume 5, Issue 4)