Pretty soon, Ford will allow anyone to buy and finance a new vehicle using a mobile device.
Ford Motor Co. is teaming up with a San Francisco start up to offer customers a way to purchase or finance a new Ford vehicle in minutes from anywhere, on any device through a new platform from Ford Motor Credit Co. and its new partner AutoFi.
The move by Ford follows similar moves recently by Daimler and Volkswagen AG into the mobile payments sector. Daimler and Volkswagen said they are initially targeting mobile apps for parking and car sharing, but the basic target of making it easier for youthful consumers to purchase vehicle-oriented services is essentially the same.
“By combining our fast and efficient credit-decision process with AutoFi’s online capability, we are making the customer experience faster, smoother and simpler,” said Lee Jelenic, Ford Credit director of mobility.
“With its experience in used-vehicle online financing and well-developed platform, AutoFi makes it easier for us to adopt new technology quickly to meet evolving consumer expectations,” he added.
Ford Credit also has made an investment in AutoFi as Ford Credit continues pursuing technological advances to make the financing experience better, executives noted.
The AutoFi platform is already in use at Ricart Ford in Groveport, Ohio, and will roll out over time to more Ford and Lincoln dealerships across the United States. The introduction comes as 83% of Americans say they would like to spend as little time at the dealership as possible when shopping for or buying a car, according to a new survey of more than 1,000 U.S. adults conducted online by Harris Poll on behalf of Ford Motor Co.
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Ford, however, was careful to note that the new system was not designed to reduce the role of dealers in the car-buying process. Many of the respondents to the poll still want to touch and feel their new vehicle before signing on the dotted line, Ford officials said.
The new platform provides the best of both worlds, Jelenic said.
Customers have a transparent and seamless purchase and finance experience from anywhere on their mobile phone, tablet or computer. Once the online part of the transaction is complete, all customers need to do is sign the paperwork when they collect their new Ford.
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Consumers may shop for a new Ford in the showroom or from anywhere via the Ricart Ford website. After selecting a vehicle, they can apply for credit and receive a decision, choose the financing terms that make sense for them, and then review and select optional vehicle protection products – completely online on their own time. Customers then can review a final summary of the financing terms and schedule time to complete the transaction and pick up the vehicle.
“AutoFi’s platform will help cut the time people spend arranging financing and improve the experience dealerships can deliver for their customers, no matter where they are in the car-buying journey,” said Kevin Singerman, CEO of San Francisco-based AutoFi. “We think this will be a game changer for both consumers and dealers, and we are thrilled to work with Ford Credit to make this happen.”
“Technology is transforming just about every type of financed consumer purchase, and this new digital capability will help make that change for automotive purchases and deliver great experiences,” said Rick Ricart, Sales and Marketing vice president at Ricart Ford, which participated in a pilot program.
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“We are excited to be the first Ford dealership in the pilot,” he said.