Innovating for future growth: Automotive assurance products’ strategy

The rise of the internet and social media has marked the beginning of a significant shift in the traditional auto dealer, Original Equipment Manufacturer (“OEM”), and captive finance lender profit models. Now that consumers have shifted their research online and new car pricing became far more transparent, new car margins have continued to be under attack, creating a need to search for alternative ways to maintain profitability. This has led to finance and insurance products (“F&I”) being viewed as a more key building block in total profit.

The report reviews various opportunities and trends throughout the market, including:

  • OEM benefits
  • Evolving with the market
  • Creating the optimal sales force
  • Dealer training: cost center or profit driver?
  • Dealer compensation plans
  • Aging infrastructure: a barrier to the future
  • Fixing it better: using claims as a sales tool
  • Capturing the customer downstream
  • Understanding the world of reinsurance
  • Getting along with the parents: relationships between the assurance unit and OEM parents

The report “Innovating for future growth: Automotive assurance products’ strategy” is only an introduction of our products and services. We can help our clients give stakeholders more active and direct reasonability in planning, innovation, operations, and delivery. PwC’s has a broad experience assisting assurance units to strengthen their business models, including:

  • Business strategy, market entry, program design
  • VSC technology strategy and implementation
  • Product innovation and rationalization
  • CFPB
  • F&I benchmarking
  • Dealer voice of customer (VOC)
  • Tax planning