How Financing as a Solution Can Drive Loyalty and More
By Lesley Lopez, Mitsubishi HC Capital America
The work truck market shows no signs of slowing down. Buyers in every industry are striving to keep up with demand for products and services, looking for a competitive edge, and maintaining laser focus on their business operations.
Within this dynamic, we’re seeing work truck dealers increasingly shift their attention towards the commercial sector. Increased revenue streams – including those from upfitting – and the benefits of increased loyalty are driving the shift.
Potential for increased long-term loyalty
According to a Growth Strategy: Commercial Vehicles white paper from Work Truck Solutions, the loyalty between dealers and buyers is much more developed in commercial sales than in retail sales. Taking good care of commercial customers can create solid relationships that last for the long-term.
To create loyalty, dealers must build strong relationships with every customer—relationships that are based on an understanding of the individual’s business. Dealers need to meet their customers where they’re at and quickly offer up fast and flexible solutions, which often includes financing.
In today’s tight vehicle market, work truck dealers need to have expertise at their fingertips. This includes having strong finance partners that understand their market and can act swiftly and agilely.
“[Mitsubishi HC Capital America’s] service has been second to none! More importantly, my customer feedback is overwhelmingly positive and shows how easy you are to work with. We appreciate the hard work you put in to maintain the relationship at a level that far exceeds expectations on a daily and consistent basis.”– Dealership Territory Sales Manager based in Ohio
Financing opportunities and challenges
Commercial dealers of both medium-duty and light-duty trucks are striving to react to market dynamics that shift month to month, and even week to week. As the business climate fluctuates, loyalty is quickly becoming more imperative.
Here’s what dealers are hearing:
- Ability to offer loan flexibility to end users. End users are asking for loan flexibility, responsiveness to changing market conditions, and even seasonal payment structures.
- Increased cashflow needs. Inflation is taking its toll at every level. As truck prices remain high, prices for essential goods climb, and supply chain issues continue, dealers must find ways to help their customers strengthen cash flow. ACT Research reported that its analysts are less confident that supply chain issues will subside enough for commercial vehicle OEMs to fully meet customer demand this year and next. Those who used traditional bank financing, or even cash, for their prior work truck purchases are now in need of faster and more flexible financing solutions.
- Heightened demand for upfitting financing. As the average length of vehicle ownership rises, customers are turning to upfitting to help keep their trucks working more efficiently and safely for longer periods of time. The evolution of the work truck no longer stops with the upfit, as technology and software are moving from options to standard for some OEMs. That calls for financing to meet a wide range of needs, from accessories to extend functionality to as-a-service technology that assists with route optimization, fuel efficiency, and preventative maintenance notifications. Mitsubishi HC Capital can finance the upfit and technology your customers need to stay focused on their business.
Source: Work Truck Solutions: Growth Strategy Commercial Vehicles
To maintain customer loyalty, it’s imperative that dealers always keep their customer’s needs front and center. At Mitsubishi HC Capital America, we understand the ever-changing market and how excellent customer service impacts repeat sales. We strive to offer speed and simplicity with our financing solutions to help dealers and upfitters meet their customer’s challenges and ensure ongoing customer loyalty.
Ready to talk with an industry-leading lender in light- and medium-duty trucks?
Contact us at 866-610-5560 or visit mhccna.com.