Auto dealers ‘failing customers’ if they only offer one lender

James Tew, CEO at iVendi, said a proportion of buyers will always look elsewhere if they are not given the option of a range of motor finance solutions.

He said: “As online motor finance develops, we are learning more about what works best and this is definitely an area where dealers can improve.

“Where we see multi-lender options offered to a buyer, there is a certain propensity to continue with the online process and complete the purchase of the car.”

He suggested that consumers may be showing an “unconscious assumption” that more choice equals greater value, based on their experience of online solutions such as insurance price comparison sites.

Tew added: “The fact is that, in most cases, there is an obvious best solution from among the lenders offered but customers still value choice and even expect it.

“It is all about offering a genuine selection while remaining within sensible bounds. Providing a choice of hundreds of options, as seen on some insurance comparison sites, is meaningless. It is all about providing a range of sensible solutions.”