Expanding Growth for Your Car Dealership Through Hire Purchase.
In today's economic climate, many car dealerships in Africa are facing challenges due to
inflation, which is limiting consumers' purchasing power. This situation has made it
increasingly difficult for dealerships to close sales quickly. However, offering hire purchase
options can be a game-changer, accelerating car sales and providing customers with a feasible
path to ownership.
The Power of Hire Purchase.
Hire purchase allows buyers to acquire vehicles while paying in installments, making it
easier for them to manage their finances amid rising costs. This model can significantly
speed up sales, as it attracts a broader range of customers who may not have the full
purchase amount available upfront.
Challenges Faced by Car Dealers
Many car dealers directly offering hire purchase face obstacles due to:
Lack of Technology: Traditional methods of underwriting and setting up repayment
mandates can be cumbersome and fraught with risk.
Operational Friction: Without seamless processes, dealers struggle to manage repayments
effectively, leading to potential losses.
How Motor Africa Cloud Transforms the Experience.
Motor Africa Cloud provides a robust solution for car dealers, enabling them to streamline
the hire purchase process:
Connection to Verified Buyers: Dealers can connect with verified buyers, ensuring a
reliable customer base.
Efficient Underwriting Review: The platform allows dealers to easily review buyer
underwriting, minimizing the risk associated with hire purchase agreements.
Direct Debit Mandate Setup: Motor Africa Cloud facilitates the setup of direct debit
mandates on all bank accounts linked to the buyer's Bank Verification Number (BVN),
ensuring timely repayments.
Additional Opportunities for Auto Dealers.
Car dealers can leverage the Motor Africa Cloud in various ways:
Vehicle Licensing: Dealers can license vehicles directly to themselves, maintaining
control until the hire purchase is fully paid.
Insurance Coverage: They can obtain insurance covers for the vehicles, protecting their
investments.
Ownership Transfer: Once repayments are completed successfully, dealers can easily
change ownership, finalizing the sale process.
Maintaining Control and Maximizing Returns.
Motor Africa Cloud empowers car dealers to retain control over their vehicles until buyers
fulfill their repayment obligations. This control not only minimizes risk but also enhances
the overall return on investment for the dealership.
By embracing hire purchase options and utilizing innovative platforms like Motor Africa
Cloud, car dealerships in Africa can navigate the challenges posed by inflation and limited
purchasing power. This approach not only accelerates sales but also positions dealerships
for sustainable growth in a competitive market.