GPS-based vehicle tracking has proven to be a valuable resource for dealerships. However, many companies utilize GPS technology solely for the purpose of tracking and repossession, missing a critical opportunity to do much more with the technology. When you have the right GPS technology with the right provider, your GPS technology goes far beyond being a shiny red locate button to find a vehicle.
Savvy users of GPS are utilizing the resource to not only mitigate risk for their business, but also to help their customers through behavior modification.
How? Through on-time payment reminders.
Payment reminders make it easy for drivers to maintain awareness of their payment schedule as well as encourage them to pay on time, which ultimately helps them create better payment habits and improve their credit scores. And if your drivers are making their payments, it increases the profitability of your business while also keeping your customers happily in their car to do all the things they need to be doing each and every day.
Spireon’s customers using GoldStar GPS have found this simple payment reminder feature extraordinarily effective in reducing delinquencies and avoiding the need for repossessions. One customer reported that thanks to features like the payment reminder, his company has been able to reduce repossession by 20% in one year alone.
According to the latest Used Car Industry Report from NIADA, surveys showed that dealers saw the majority of their automobile sales in the first quarter of 2016 from Buy Here Pay Here and Subprime. However, in the same report, less than 36% used GPS devices.
With the financial stability of your dealership business at risk, why aren’t more dealers using GPS devices? It’s not only the tracking feature that keeps you in business. It’s the satisfied customers. So help your customers create better payment habits to help them now and into the future.
Remember, nobody wants to see a vehicle purchase end in a repossession. Not you the dealer or finance company, not your customer. And certainly not Spireon. So breathe easy and mitigate unnecessary risk while also helping your customers by choosing a GPS-based telematics system that provides layers of protection – payment reminders, vehicle disable and if all else fails, quick and cost-effective recoveries.