Market Scan Information Systems and Experian recently released a solution for finance companies that want to know what underwriting strategy their competitors might be using to add to their portfolio.
Through a collaboration, Experian and Market Scan will offer mGauge, what they described as a state-of-the-art analysis tool for finance companies hoping to gain more insight into the interest rates that competitors offer based on geography, vehicle and credit risk tier.
“We are excited and proud to join with Experian to evolve automotive commerce,” Market Scan president and co-founder Rusty West said in a news release. “With Experian’s extensive industry relationships and Market Scan’s unique software, data and calculation technologies, this joint effort builds on the natural synergies between our two companies.
“Together, we will offer one-of-a-kind solutions that empower automotive lenders and OEMs to create compelling and competitive programs for their clients and specific offers directed at consumers,” West continued.
Powered by Market Scan’s proprietary technology, analytics and data, mGauge can analyze competitors’ published lease and retail financing programs. This insight can enable finance companies to create and offer competitive finance options for in-market vehicle buyers and dealers — ultimately leading to an increased bottom line and improved customer loyalty.
For example, a finance company could see that a competitor will offer a subprime car shopper a specific rate on a full-sized pickup truck — opening the door to offer a better interest rate or match the contract terms.
“In an overly competitive marketplace, lenders need to find ways to attract and retain car shoppers — comparable loans terms are a keen way to accomplish that goal,” said John Gray, Experian’s president of automotive.
“Unique insight into how competitors are pricing vehicles can level the playing field across the lender spectrum,” Gray continued. “More importantly, consumers can access favorable loan terms that can make vehicles more affordable and improve their financial health down the road.”