LAS VEGAS ― Expect sustained growth. That’s what keynote speaker, Ally Financial President Tim Russi told audience members as he kicked off a day of in-depth sessions and spirited discussion on the future of the auto lending space at the 2013 Auto Finance Summit.
“There’s been a normalization of fundamentals in the market,” Russi said.
Though Russi expects used-car values to remain higher than normal for the foreseeable future, he also expects default rates to tick up.
Russi told conference attendees that new lenders getting in on the increasingly competitive space will need to position their product in a specific niche, then stay true to their game to be successful. He also said that both new and more seasoned players need to anticipate changes that could impact the way the market functions, such as the powers of social media.
Russi reminded the audience that they’ll be working with a younger generation of car buyers who are less tied to their cars than in years past. “It’s a culture of service,” Russi said, adding that lenders that fail to innovate will be thought of as a commodity.
