Is there a correlation between overrides and margin?

Expanded explanation

Yes. Overrides that reduce selling price or waive F&I products directly reduce margin. DealerInt captures override reasons so you can quantify impact. Industry data suggests 2–5% of gross margin is lost to unrecorded overrides.

Key points

• Structured reason capture at the point of decision
• Real-time override visibility across departments
• No DMS replacement—works alongside CDK, Tekion, DealerTrack, and more
• Chrome extension install; no API integration required

Benchmark data

DealerInt's Q1 2026 Dealer Profit Index surveyed 382 dealerships. Average override rate: 4.8%. Franchise stores: 4.0–4.5%. Independent dealers: 5.2–6.1%. Southeast independents showed the highest at 6.1%.

Recovery rates improve with consistent policy and visibility. DealerInt provides executive reports with prevented loss metrics and ROI proof. See the Dealer Profit Index for regional and segment breakdowns.

Case study

“We run CDK at 12 rooftops. DealerInt showed us exactly where we were leaking margin—one store had 3x the override rate. We tightened policy there and recovered $47K in the first quarter.” — Group GM

Implementation steps

1. Install DealerInt as a Chrome extension alongside your DMS. No integration required.
2. Define override policy: thresholds, approval limits, reason codes.
3. Train staff on reason capture. The prompt appears only when an override occurs.
4. Review dashboards weekly. Override volume by reason, department, location.
5. Use data for policy refinement and training—not blame.

References

• Dealer Profit Index
• How to stop dealership discounting
• How to track F&I overrides
• Compare DealerInt
• Blog