Market Overview

EFG Companies Announces Training Graduates Contribute $205K in Additional F&I Revenue Per Year

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- LOVE (Learning Opps Through Virtual Engagement)
Supports F&I Producers After Training and Helps Maintain Performance
Improvements -

EFG Companies, the innovator behind the award-winning Hyundai
Assurance program, today announced that the average EFG trainee
generates an additional $204,605 per year in F&I income through a 22
percent performance increase. To help sustain this performance increase,
EFG Companies also announced the launch of EFG Learning Opps Through
Virtual Engagement (LOVE), a dynamic digital portal designed to boost
F&I Producer knowledge, reinforce training learnings, and reduce the
cost of a poor hiring decision for a dealership. To see one of the many
training videos featured on EFG LOVE, visit
http://bit.ly/2LgOnVY.

This press release features multimedia. View the full release here:
https://www.businesswire.com/news/home/20180724005281/en/

EFG Companies' Learning Opps Through Virtual Engagement (LOVE) is a dynamic digital portal designed  ...

EFG Companies' Learning Opps Through Virtual Engagement (LOVE) is a dynamic digital portal designed to boost knowledge, reinforce training learnings, and reduce the cost of a poor hiring decision for a dealership. (Photo: Business Wire)

Many dealer principals and general managers complain that their past
experience in sending F&I producers to training only impacts per-month
results in the short term. In addition, when training is not reinforced
in the dealership, improvements are quickly negated by diminishing
returns. EFG Companies conducted a six-month analysis of the true impact
of its industry-leading, behavior-based F&I training combined with its
award-winning, in-store engagement model. The company compiled a series
of metrics, both pre- and post-training, with both the trainees and
their dealership management. EFG trainee performance showed:

  • EFG's guided-discovery training represented $204,605.00 in additional
    F&I income per producer per year, based on 80 turns per producer per
    month
  • Average trainee F&I performance increased 22 percent
  • PRU increased from $967 to $1,180 on average

"It's clear that using multi-sensory learning methods with interactive
tools better enables F&I managers to effectively deliver measurable
results to a dealership's bottom line," said John Pappanastos, President
and CEO of EFG Companies. "That's why we developed EFG LOVE for our F&I
class graduates. This analysis proved that our proprietary
behavior-based approach to F&I producer development can generate more
than $1.13 million in average F&I revenue per producer per year. With an
average training cost of $2,000 per producer, the dealer sees a
100-times return on the initial investment in the first year."

Ensuring Sustainable Results

In addition to fortifying the lessons learned from EFG's in-classroom
training, EFG LOVE equips dealers with information and best practices on
how to both sell to, and employ, the soon-to-be largest generation in
the workforce with the most buying power – Millennials.

Numerous industry studies have shown that retail automotive faces a
recruiting and staffing crisis. The 2017 National Automobile Dealers
Association (NADA) Workforce Study reported that retail automotive
suffered from a 43 percent turnover rate, an 88 percent attrition rate
among female new hires, and a below average rate of Millennial new hires
when compared to other industries. 65 percent of dealers state that
recruiting and hiring is their number one challenge – greater than
customer acquisition or generating revenue.

In EFG's more than 40-year history, the company has placed hundreds of
Top Performers at automotive dealerships across the country. This has
resulted in the deliberate build-out of a core-competency sourcing model
to identify the core qualities of Top Performers. EFG LOVE pairs this
Top Performer Profile with industry statistics and trends to better
enable dealers to develop high-performing teams.

"EFG LOVE helps shorten the onboarding time for new hires, keeps
employees motivated, and accelerates the knowledge growth needed for a
successful career," said Steve Roennau, Vice President of Training and
Compliance with EFG Companies. "We created the content to enable the
user to self-select actionable lessons in multiple digital formats. The
more a producer can easily select materials that help them overcome
their daily challenges, the more they will display the successful
behaviors that they learned in our training."

Turnover and failure to recruit high-performing professionals directly
impacts a dealership's bottom line. For example, a single poor hiring
decision in F&I can easily result in up to $75,000 in lost profit due to
onboarding costs and lost production.

About EFG Companies

EFG Companies drives the industry's highest-reported compliant F&I
profitability through its distinct engagement model in which the company
operates as an extension of the dealer's management team. EFG addresses
total dealership performance, and its client satisfaction Net Promoter
score is higher than national corporate leaders such as Southwest
Airlines, USAA Banking and Finance, and Nordstrom. Learn more about EFG
at: www.efgcompanies.com.

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