GAP Insurance Sales are Easier with These 3 Strategies
Guaranteed Asset Protection (GAP insurance) is always a tricky product to present to buyers in F&I. After all, it's ‘insurance’ and everyone is programmed from the moment they have to buy car insurance that it’s there as a ‘just in case’ protection. Everyone hates having to pay for it…until they need it.
For those in F&I that dread this sale, there are some fresh ways to approach the customer that may not be so difficult or awkward.
There are 3 ways to approach selling GAP insurance that may help get higher penetration and make the customer’s F&I experience easier…
- Establish Trust - Every customer walking into F&I is ‘on guard’ and just waiting for the whole encounter to fall apart. But it never needs to be that way if you establish yourself as a trusted advisor instead of a ‘salesperson’. Build rapport and let the customer know right from the start that you are there to help them, not sell them. Let them know you understand the stereotype of F&I staff and that’s NOT you.
- Paint the Picture - Your presentation of GAP should be framed by the answers they gave when you interviewed them. A ‘one size fits all’ approach simply doesn’t work for today’s buyers…they have too much information at their fingertips. Ask the right questions and walk them through scenarios that will affect them if they choose GAP and if they don’t. Make them see it and feel it.
- Revisit One Last Time - If you get the hard ‘No’, there is nothing wrong or unprofessional about reminding them one last time before you finish the paperwork that they refused GAP. Let them know they cannot add it after the sale and this is their final chance to reconsider. You may be surprised how many will stop and give it a second thought.
GAP insurance is ultimately there to help the buyer avoid financial hardship in the case of a total loss. You can drive that point home without being pushy or alarmist and still have a high percentage of sales if you master the softer approach right from the start.
With the extra effort necessary to sell GAP, it’s important to look at the current process for qualifying a buyer for GAP prior to presenting it on the menu. Is your staff taking the time to really assess whether or not GAP is the right fit? What information can be examined ahead of time to better prepare for the qualifying questions necessary to close more policies?
To sell GAP, it’s important to drill down with the buyers in F&I to get them to see the benefit of this coverage. Car buyers are already told they don’t need it or that their insurance company already offers it but if you are armed with the right qualifying questions, your GAP penetration can increase easily.