EFG Companies, the innovator behind the award-winning Hyundai Assurance program, is now helping personal watercraft dealers diversify their revenue streams with Personal Watercraft Protection.
Available for both new and used personal watercraft, this new vehicle service contract (VSC) from EFG gives
powersports dealers a market-differentiating value-add by protecting consumers from costly mechanical breakdowns, while generating cash that dealers greatly need to purchase inventory.
Personal watercraft sales have skyrocketed during the pandemic, and the trend shows no signs of slowing. According to 360MarketResearch, the market will register a 6.2% compound annual growth rate in terms of revenue, with a global market size of $2059.2 million by 2025. However, dealerships are struggling to maintain inventory, sticker prices are rising, and supply chain challenges have impacted manufacturing timelines.
Additionally, as first-time personal watercraft buyers enter the market in larger numbers, many are unaware of the costs associated with an unexpected mechanical breakdown.
“The story is the same for auto, powersports, and personal watercraft dealers. New inventory is in short supply and the competition for used inventory is fierce. Those dealers with the largest cash flow are winning the race for inventory,” said Glenice Wilder, vice president of powersports at EFG Companies. “Dealers need a diversified income portfolio to maintain steady inventory levels and cash flow. EFG’s Personal Watercraft Protection
easily attaches to every sale to exponentially increase profitability margins, thereby increasing cash flow for more inventory.”
EFG’s Personal Watercraft Protection provides exclusionary coverage for new and preowned personal watercraft, with:
• Flexible terms based on model year
• Four deductible options
• Optional surcharge for trailer coverage
• Towing reimbursement
• Trip interruption
“Families want to have fun with their personal watercraft, and not worry about costly repairs when the craft experiences an unexpected breakdown and is dead in the water,” said Wilder. “Repairing a personal watercraft is not cheap, and our new VSC gives buyers greater confidence in their purchase, knowing they are covered.”