In today’s hyper-competitive automotive market, profitability isn’t just dependent on selling a higher volume of cars; it is also based on how effectively your F&I team is motivated to maximize every opportunity that comes its way. The driving factor behind this motivation is how you structure your pay plan, and making sure every customer knows about the great protection products you have to offer. More than just a way to calculate commission, a pay plan can shape behaviors and drive the culture within your F&I team, good or bad. That is why doing everything you can to create a pay structure that is beneficial to the F&I team and the dealership is not just essential, it can be the difference between a profitable dealership and one that is losing money every year. Today, we’ll be diving into why an unbiased pay plan review can be beneficial for your dealership and how EFG can help you MAKE MORE MONEY IN 2025 with our complimentary pay plan review voucher*.
Your F&I pay plan is the difference between a team that generates value for the dealership and the customer by ensuring the customer sees a presentation of all available protection plans you offer, and one that only cares about their next paycheck. A proper compensation structure should motivate and empower your F&I team to sell the right products to the right customers, knowing they will be properly compensated for doing some of the most critical work in a car dealership. Poorly constructed compensation plans could negatively steer how F&I managers prioritize product sales and finance reserves, without the dealership even realizing it. Because of this, a pay plan isn’t just a formula to calculate a paycheck; it is one of a dealership’s most powerful tools for shaping behavior, reducing chargebacks, taking care of the customer, and ultimately maximizing both reinsurance performance and long-term dealership profitability.
Are you unintentionally creating a pay plan that incentivizes the wrong behavior and complacency amongst your F&I team? For instance, having a flat percentage pay structure removes any motivation for top performers to be rewarded for product sales, which directly benefits the dealer’s reinsurance position while ensuring the customer is fully protected. And, some plans don’t encourage product sales over making all the finance profit in finance reserve, leading to chargebacks on any products sold if those loans are refinanced. A compensation plan that is too complex might make it hard for F&I team members to see the real value between effort and reward.
By fully understanding the value and importance that the F&I pay plan brings to your dealership, having a thorough, unbiased review from an outside third party should be a no-brainer. There are plenty of reasons to take advantage of EFG Companies’ complimentary pay plan review, including:
Overall, EFG’s pay plan review can help you craft a compensation plan that benefits everyone in the dealership, not just ownership. This empowers and
If you’re looking to take the first steps to motivate your employees to Make More Money in 2025, now is the best time to do so. At EFG, we’re offering a complimentary, no-pressure Pay Plan Review Voucher* to help your dealership identify ways to maximize long-term performance. This non-intrusive assessment reviews your dealership’s current compensation structure against industry standards to identify ways to improve your F&I pay plan. Let’s work together to create Energized Employees for your dealership today.
*Pay Plan Review Voucher available to franchise dealers only who meet the required unit volume
