On today’s episode of Training Camp, host and F&I expert Adam Marburger shares his formula for optimizing dealership finance and insurance (F&I) operations. Drawing from his extensive experience working with dealerships nationwide, Marburger outlines four key pillars that drive F&I performance, urging dealers to embrace change, refine their processes, and stay ahead of industry shifts.
Marburger emphasizes that improving F&I operations starts with a willingness to adapt. “If you’re gonna continue to do what you’ve always done, you’re gonna continue to get what you’ve always got,” he states, stressing the need for action and innovation. He then breaks down four essential pillars for success:
- Audit F&I product offerings – Dealers must stay informed on market trends and ensure they offer the right mix of F&I products that align with consumer demand. Consulting with providers helps identify high-performing products that enhance the customer experience.
- Define and follow processes – Consistency is key. Marburger highlights that while processes may not be exciting, they prevent costly mistakes and create a structured approach to F&I operations. Sticking to a defined process helps teams navigate challenges and maintain efficiency.
- Implement accountability – Growth in both business and personal development requires accountability. Ensuring that processes are enforced and that employees are held responsible for performance leads to long-term success.
- Optimize profit-sharing structures – With many dealers now participating in underwriting profit, Marburger urges a review of reinsurance programs. He points out that outdated structures may no longer be beneficial, referencing the 831(b) tax code that provides advantages for dealers leveraging the right reinsurance strategies.
Beyond these pillars, Marburger underscores the importance of continuous training, professional coaching, and mentorship in F&I. He warns that margin compression will persist in 2025, making it critical for dealers to maximize profitability in both fixed operations and F&I.
"Our F&I teams must be willing to drill, rehearse, train, develop, and serve. If we do those things, my friends, you will have a very, very healthy F&I department." – Adam Marburger
