Captive launches new approach to F&I sales

Change is in the air for Toyota dealers.
From January 1 2009, they will roll out a change cycle management
programme, developed by Toyota Financial Services (TFS), that will
put in place a new system for selling finance and insurance
(F&I) to car buyers. 

The programme was unveiled to Toyota dealers at a conference in
mid-December, and the implementation process is already underway,
said managing director of TFS, David Betteley.

From the beginning of 2009, TFS will for the first time offer
customers PCP deals on non-Toyota brand used cars. The decision
will help dealers who may have been having trouble placing
customers with other used car finance providers, and will help
retailers to retain clients.

 “We have recruited a team of specialist trainers and
consultants to deliver training and coach performance throughout
the dealer network, and all our dealers have signed up,” Betteley
explained. 

Personal contract purchase (PCP) and other balloon-based
products are “a particular focus” of the programme, he
added. 

The change cycle management programme is part of TFS’s
“long-term” commitment to dealers, Betteley said. “We’re looking to
move away from 0% schemes into a sales process affordability
offering. Tactical schemes will continue, but we’re shifting the
emphasis to a long-term and sustainable approach,” he
commented. 

“At the moment we are offering some 0% financing, and while some
of these deals may continue into next year, they will be gradually
replaced by the change cycle management process with low-rate PCP
consumer offers,” Betteley explained.

Jo Tacon