Toyota Financial Services recently celebrated its one millionth eContract, Increasing a Simpler Auto Financing Experience

TFS introduced an industry leading electronic contract (eContracting) system for its dealerships in January 2013. This lead to efficiency and the dealers are now able to send contract package information electronically – phasing out annoying paper contracts etc.

“We saw an opportunity,” said TFS President and CEO, Mike Groff. “The benefits of implementing an eContracting program were very clear from the start. With deal validation occurring immediately, the auto financing experience is simplified and significantly enhanced for both the customer and the dealer. Customers have no need to return to the dealership for follow-up items, and funding is handled immediately, improving dealership cash flow.”

This also reduces some contract errors, and improves both dealer and customer satisfaction.

TFS all-inclusive approach guarantees that all auto financing products and required documents are available. The customers are able to see step by step financing process from the dealers.

As a result of these design elements, eContracting was rapidly adopted by more than 1,300 authorized Toyota, Lexus, and Scion dealers across the nation.

“It happened much faster than we anticipated,” said Mike Wells, TFS Group Vice President of Sales, Product, and Marketing. “Our original goal of 30 percent utilization by the end of the program’s first year quickly increased to a 50 percent goal, as our field embraced the process. And by the end of that first year, we’d reached an astonishing 56 percent eContracting utilization throughout our dealerships.”
From September 2014, 65 percent of TFS are electronic, with nearly 90 percent of its dealers actively using the industry-leading process.

 
“Moving forward, we now anticipate completing over one million eContracts each year,” added Wells. “eContracting has really taken off, and the feedback from dealers and customers is very positive. We look forward to continued growth, improved dealership efficiencies, and increased customer satisfaction.”

This implementation of TFS e Contracting platform revolutionizes the auto financing process, and also changing landscape in auto industry.