F&I as the Profit Lifeline

F&I just hit a 5-year high. Here's why that matters for your dealership.

Industry data shows F&I gross profit per vehicle reached $2,515 in Q2 2025, the highest we've seen since 2020. Meanwhile, front-end profits continue to shrink as vehicle affordability remains the top concern for dealers nationwide.

The message is clear: F&I isn't just important anymore. It's your primary profit center.

But here's what the numbers don't show—not every dealer is hitting these metrics. The dealers who are winning have adapted their product mix to match what customers need in 2025.

At AutoXcel, we've spent 20+ years watching market shifts and helping dealers stay ahead. Right now, that means offering products that address real customer pain points: protection against expensive repairs, coverage for negative equity situations, and loyalty programs that bring customers back.

Our partners have access to 30+ curated F&I products—not because more is better, but because flexibility wins. When you can customize your menu to your specific customer base, your penetration rates climb.

Vehicle prices aren't dropping. Front-end margins aren't recovering. Your F&I office is where you protect profitability—if you have the right products and the right partner.

What's your F&I strategy for the rest of 2025?

#FandI #DealerProfitability #AutomotiveIndustry #AutoXcel