07 May GEN Z Car Buyers Are Here. Is Your F&I Department Ready?
Who is Gen Z?
This demographic is widely described as people born between 1995 – 2015. The top end of this group is just now becoming car buyers. They are shopping for a car for the first time and will have their first early experiences with the F&I department. This is all new for them and dealerships (and F&I) have to be ready.
What makes them different?
Unlike the Millennials, they have grown up from the beginning being connected to a different level of technology. They do not remember a world without cell phones and smartphones. Everything in their world has been touchscreen and all the information they could ever want has been available at the touch of button.
They also have grown up in the world of social media – Facebook, Instagram, SnapChat, Tik Tok, Twitter, etc. Everything in their world is connected to their smartphones and they spend hours each day tethered to it (well, we all do, don’t we?).
They have a shorter attention span than Millennials on average and have little patience for information channels where too much effort is needed to get simple answers or information.
Some F&I Strategies to Sell to Gen Z Buyers…
Here are a few tips on how your F&I department can make a stronger and more profitable connection to your Gen Z buyers…
- Increase Your Social Media Presence: Consider adding explainer videos to your website or the dealership YouTube channel. Gen Z buyers are heavy viewers of YouTube. Studies have shown up to 32% of their buying decisions are influenced by videos. Give them content that explains some of the common F&I products you offer and how they could be of value.
Try a short blog or article that can be linked through social media channels to give these buyers a quick education on what F&I does and how you can help make their purchasing experience a quick and painless one. This generation is exposed to more information than ever…give them a good impression right from the start so they come in ready to ask more about what you have to offer.
- The Touchscreen-Friendly Office: Most F&I departments should already have touchscreen technologies available for easy and engaging menu selling but in case yours does not, consider switching soon. Gen Z buyers want an interactive experience when making a buying decision. The paper menus and scripted speeches about why tire & wheel is important won’t resonate with this buyer.
- All Digital F&I Experience: COVID has made an all-digital F&I experience a reality now and buyers love it. Dealerships are making it easier to shop for a car online so why not include the F&I process in that as well?