Capital Bank Motor is offering a solution with its Remote Business Manager, which works by alerting a dealer when a customer calls Capital Bank for a settlement figure.
Paul McGill, senior director of Capital Bank, explains: “A large majority of a dealer’s customers are researching their finance before they step into a dealership. This often means that dealerships are effectively cut out from the motor finance decision- making process by the lure of the direct lender.
“One reason for this trend is that savvy consumers are much more aware thanks to the internet and can easily shop around.”
By approaching the customer early, the dealer increases the chance of securing commission for the sale of the car.
“This means that the dealerships are, through Capital Bank, beating the direct lenders to first contact with the customer and putting themselves as first port of call in the sales process,” says McGill.
The product allows dealers to agree on the terms of the working relationship, meaning the dealer retains control over the deal to a certain extent and can be confident that Capital Bank is not undercutting normal margins, but is retaining business profitably.