Issue 128 | November 2018 | CarDealerMag.co.uk | £5
PARIS MOTOR SHOW: THE STAR CARS AND EXCLUSIVE INTERVIEWS
JAMES BAGGOTT: IS SOCIAL MEDIA LISTENING TO YOUR CONVERSATIONS?
RTOTY18
WE HIT THE UK’S BEST ROADS WITH THE PICK OF THE CARS FROM YOUR SHOWROOMS | Volkswagen Up! GTI | Ford Fiesta ST | Alpine A110 | Audi R8 V10 RWS | Jaguar I-Pace | BMW M3 CS |
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Editorial HEAD OF EDITORIAL Rebecca Chaplin
rebecca@blackballmedia.co.uk Twitter: @believebecca
HEAD OF DESIGN Graeme Windell
graeme@blackballmedia.co.uk Twitter: @graemewindell
PRODUCTION EDITOR Dave Brown
dave@blackballmedia.co.uk Twitter: @CarDealerDave
FEATURES EDITOR Jack Evans
jack@blackballmedia.co.uk Twitter: @jackrober
STAFF WRITER Ryan Hirons
ryan@blackballmedia.co.uk Twitter: @RyHirons
STAFF WRITER Tom Wiltshire
tom.wiltshire@ blackballmedia.co.uk Twitter: @mctreckmeister
Advertising SALES MANAGER Jon Hickey
j.hickey@blackballmedia.co.uk Twitter: @cardealerjon
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MANAGING DIRECTOR BLACKBALL MEDIA Andy Entwistle andy@blackballmedia.co.uk Twitter: @CarDealerAndy Contributors John Bowman, Jess Ernerth, Ted Welford
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Welcome.
WHEN Road Test of the Year comes around, it has to be my favourite issue of the year – and this 10th edition of our epic annual test is no disappointment. Being able to take to Wales a line-up of the best cars to go on sale in the past 12 months with nothing more on the agenda than putting them through their paces and taking some photos is a total joy. I can’t think of a much better event in the year – apart from maybe our Bangers4Ben expedition, which I’ve just returned from. You’ll have to wait another month to read all about that, by the way! To make room for our bumper road test in this month’s issue you won’t find the usual Forecourt section – so here’s your warning if you’ve been thumbing through the pages looking for the latest Vauxhall or Fiat review: we’re only giving our views on truly heroic rides in this magazine. Normal service will resume in the next issue. It has, of course, also been the Paris Motor Show this month, which has given me no end of reasons to complain about how much I hate motor shows. We did know in advance that a lot of manufacturers weren’t going to be heading for the French capital, but in reality it didn’t feel anywhere near as sparse as I expected. However, it was still pretty rubbish. I’m a cynical journalist these days when it comes to looking at cars and I can’t see the appeal of wandering around a hall looking at models that have already been released or are even already on sale. Go to a dealership if you’re that desperate; don’t pay an entry fee to see cars do absolutely nothing. There were some treats though – those nuggets of new tech and design that do make it worth going. You can turn to page 14 to read about the latest car news from the show and my interviews with those execs who did turn up.
If you’re a regular Car Dealer Magazine reader, you might have noticed that this RTOTY is the first time we’ve included an electric car. If you’re a diehard fan, you may even have read James’s blog about it on the website. In an unusual turn of events, our experiences in Wales tied in nicely with the people I was planning to see at Paris. I was expecting to go in with my defences raised, since James had not been thrilled with the state of our nation’s charging network and might have slightly taken it out on the poor I-Pace. However, it seems the top bosses at European manufacturers agree that there isn’t enough infrastructure in place to support these cars and give buyers confidence. You might not sell electric cars, but maybe there’s an opportunity here for those of you who have pitches that need to make more money. If you installed a high-powered electric vehicle charging point or two at your dealership, would it bring you more business and footfall? As you’ll read in our Paris section, even those making electric cars don’t believe people are ready for one as their only car yet! The alternative is that we wait for those in government to install all of those charging points they promised and support the electric car revolution, but looking at the Brexit negotiations, I’m just not sure they can be trusted with choosing where on the M6 a 22kW charger could go. As always, I’d love to hear your views on anything we’ve included in the magazine so do please get in touch. Enjoy the issue!
Rebecca Chaplin Head of Editorial CarDealerMag.co.uk | 03
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Paris Motor Show Top 10 cars and interviews with leading manufacturer bosses
A round-up of news from all over the UK
ISSUE 128 I NOVEMBER 2018
Dashboard. The Big Picture Robust performance from Vertu Around the UK Aftermarket Excellence Awards Paris Motor Show BCA bike ride success Around the World Rebecca Chaplin Big Mike Feedback Finance
6 8 10 12 14 22 26 29 31 32 34
Data File. The Statistics Fully Loaded On Test: Nissan e-NV200 Aftermarket Car Dealer Club Auctions Taking Stock Real Deals Market Insight Sean Speaks Suppliers Guide Key Notes with Traka
Feature. Road Test of the Year
38
Long-termers James Baggott
74 76 80 82 84 86 87 88 89 91 92 94 95 98
Nissan’s e-NV200 put to the test by Craig Cheetham
Ted’s grandad approves of our long-term Kia Stonic!
Our events... As voted for by dealers, Car Dealer Power is unique. Details of our 2018 winners are online at bit.ly/CDP-18. Watch this space for news of the 2019 event !
The Car Dealer Used Car Awards, sponsored by Black Horse, celebrate the used car industry. We’ll see you at The Brewery on Monday, November 26!
The UK’s biggest automotive trade expo features the Live Stage, breakout sessions, workshops and much more. Save the date: June 12, 2019 at Farnborough International. CarDealerMag.co.uk | 05
The Big Picture. Powertrain
The e-Legend is powered by 100kWh batteries capable of delivering a staggering 800Nm of torque driven through all four wheels. Peugeot claims that this gives the e-Legend enough shove to hit 60mph in under four seconds and hit a top speed of 136mph.
Clever technology
The e-Legend comes with two autonomous modes – ‘Soft’ and ‘Sharp’. The former folds away the internal screens for a clearer view of the world outside, while the latter allows all of the internal digital screens and projections to be used. There are two manual modes too – ‘Legend’ and ‘Boost’. ‘Legend’ has a classical feel, displaying digitally created wood effects on various screens, while ‘Boost’ is more dynamic.
Retro-styling combined with tech Peugeot’s e-Legend is an autonomous and electric concept showcasing the firm’s take on the future of mobility. 06 | CarDealerMag.co.uk
P
eugeot has looked to its heritage for one of its most advanced concept cars to date. The e-Legend, officially unveiled at the Paris Motor Show in October, is inspired by Peugeot’s iconic 504 Coupe but blends retro-styling with a glimpse of the French manufacturer’s future models, showcasing a mixture of fully autonomous technology with an electric powertrain. Styling cues from the original 504 include its simplistic yet sleek shape and its dashboard design. It debuts two autonomous modes – ‘Soft’ and ‘Sharp’. The former is a more comfort-orientated set-up that does
away with the trademark wash of digital screens usually seen on autonomous cars for a greater view outside, while ‘Sharp’ is the connected setting and allows for a full outlay of digital screens and projections to appear in the car. Two manual modes are also available – one reflecting Peugeot’s heritage with the 504’s dials and the other focused towards performance. The e-Legend comes with a cinematic 49-inch central screen, with the full scale of the display only revealed once the steering wheel retracts in autonomous modes. It still features technology available on Peugeot’s current
What were the UK’s best-selling cars in September?
Around the UK, p10-11
Electric range
As you’ll probably have noticed, range is important with electric cars. Peugeot says the e-Legend can do around 370 miles on a single charge. It can also be replenished to three-quarters full from flat in just 25 minutes, thanks to a quick charging system.
Sound diffusion
Peugeot has developed a special system for the e-Legend that allows areas inside the car to be separated sonically. Occupants can be in their own ‘sound bubble’, allowing one person to input voice commands while the others listen to music – all without disturbing one another.
Comfort
When the e-Legend goes fully autonomous, the seats automatically recline, while the side armrests deploy too. There’s even an induction charging area for smartphones so you can keep your mobile topped up with juice while on the move.
Languages
Thanks to the digitised voice in the cabin, the e-Legend will be able to operate in 17 languages – something due to be applied in all Peugeot cars. Fascinating fact: The voice used is that of Gilles Vidal, Peugeot’s style director.
PS: There’s one small drawback . . . The only real problem with all this is that Peugeot doesn’t actually plan to build the e-Legend. We really do hope it reconsiders its decision, though...
of the future road cars, though – notably the driver-centric ‘i-Cockpit’ infotainment system, which has been enhanced. The electric powertrain offers an impressive 408bhp and 800Nm, allowing for a 0-60mph time of under four seconds and, thanks to the monstrous 100kW batteries, a range of more than 370 miles. Jean-Philippe Imparato, chief executive of Peugeot, said: ‘The e-Legend concept is not just a technological manifesto. This is the vision of a brand actively focused on an optimistic and ultra-desirable future.’ More from the Paris Motor Show, p14-19 CarDealerMag.co.uk | 07
Dashboard.
Why I think my phone might be listening to me.
James Baggott, p98
INTERIM FIGURES
Vertu ‘in strong position’ as it reports robust half-year results V ertu Motors reported an eight per cent increase in revenue when it published its interim financial results for the six months to the end of August. The automotive retailer, which has a network of 125 sales and aftersales outlets across the UK, said that revenue stood at £1.56 billion compared with £1.45 billion for the same period last year. However, profit numbers were down. Adjusted operating profit was £19.4 million for the period (£21.4m for the same timeframe last year), adjusted profit before tax was £18.1m (£20.9 million last time), and profit before tax stood at £17.3m (£24.2 million). Last year’s profit before tax figure was even boosted by £4.1 million because of the disposal of some freehold property. Vertu said that adjusted earnings per share stood at 3.90p (4.24p at this time last year) and at the end of August the company had a net
by DAVE BROWN @CarDealerDave
debt of £8.7 million. The interim dividend was held at 0.55p per share – the same amount as at this time in 2017. The company also mentioned various facts and figures as operational highlights. Like-forlike service revenues were up 7.4 per cent, continuing its long-term growth in that area, while aftersales gross profits rose £3.4 million yearon-year. There was strong growth in like-for-like used vehicle volumes of 5.8 per cent, leading to 12.4 per cent revenue growth. And there was a rise in like-for-like used car gross profits, thanks to volume growth and higher gross profit per unit. Like-for-like new car retail volumes were up 5.7 per cent, while average new car sales prices continued to rise with gross profit
Vertu chief executive Robert Forrester: ‘The group performed well’ per unit stable. Commenting on the results, described by the company as a ‘robust’ set of figures, chief executive Robert Forrester said: ‘The group performed well in the first half against a backdrop of supplyside issues in the new car market, including the continued weakness of sterling and the impact of WLTP. ‘The board is pleased to see further growth in aftersales revenues and to re-establish growth in used car volumes. ‘On the demand side, consumer confidence has remained robust during the period, reflecting the underlying strength of the UK economy. As is so often the case in the UK new car market, the supply side is far and away the key to
explaining variations and trends. The group’s discipline around the allocation of capital, its low net debt level, including a very low usage level of used vehicle stock financing, together with a very strong property portfolio places the group in a strong position to take advantage of consolidation opportunities to grow the value of the company.’
‘The group performed well in the first half against a backdrop of supply-side issues.’ Robert Forrester
SMMT reveals its no-deal Brexit back-up plan
Hendy launches recruitment drive
A CONTINGENCY plan to prevent the car industry suffering ‘devastating consequences’ in the event of a no-deal Brexit has been launched. Put together by industry body the Society of Motor Manufacturers and Traders (SMMT), the ‘Brexit Readiness Programme’ aims to offer support to businesses across the industry. Particular attention has been paid to small and medium-sized firms in the automotive supply chain, which supports 82,000 jobs and contributes £4.9 billion to the economy. The SMMT notes that 69 per cent of companies in that part of the industry employ fewer than 10 people – and not all will have the
HENDY Group has launched a recruitment drive for staff to join three dealerships being built in Eastleigh. The new showrooms for Honda, Kia and Mazda are due to open in December, with the group’s current site in Leigh Road set to be dedicated to Ford car and commercial products. Chief executive Paul Hendy said: ‘We’re delighted that we will have three new stateof-the-art dealerships. This investment is part of our expansion plans, and we are now looking for people with a wide range of skills to join us.’
08 | CarDealerMag.co.uk
resources to prepare adequately for the dramatic and immediate change to trading conditions between the UK and EU in the event of a ‘no-deal’ Brexit. New customs arrangements will present a particular challenge, says the SMMT, not least because of the increased paperwork and time required to fill in more detailed declarations. There could also be cashflow implications associated with the payment of tariffs and other taxes. Along with a free helpline for Brexit-related issues, businesses will be able to seek expert advice and access consultancy services from five global brands from the legal and accountancy sectors — namely
PwC, Squire Patton Boggs, Deloitte, Gowling WLG and Grant Thornton. Mike Hawes, SMMT chief executive, said: ‘A strong local supply chain is the backbone of any manufacturing sector, and ours has thrived thanks to massive reshoring efforts and the ability to trade freely and frictionlessly with the EU. ‘A ‘‘no-deal’’ Brexit could have devastating consequences. With the clock ticking on negotiations, businesses must plan for all eventualities, including the worst. ‘Our new support package seeks to mitigate the threat of a ‘‘no-deal’’ by helping businesses navigate the complex trade realities of a postBrexit landscape.’
CarDealerMag.co.uk | 09
Dashboard.
News from around the UK
What’s been hitting the headlines on the home front? Here’s a round-up of stories SUNDERLAND
Tribute paid as Dave celebrates anniversary
AN award-winning Motability specialist is celebrating his 15th work anniversary at Bristol Street Motors Sunderland Vauxhall. David Nelson-Vollans, who started as a rental manager, has been a Motability specialist there for 12 years. The Queen has even presented him with an award as a national specialist. ‘Spending 15 years with the Sunderland Vauxhall team has been a privilege,’ he said. General manager Jass Singh, pictured with him, said: ‘David is an absolute credit to the team.’
CANNOCK
Tony takes plunge to raise air ambulance funds BRINDLEY Honda raised more than £1,100 for West Midlands Air Ambulance after sales executive Tony Chew completed a sky dive. He took the plunge over Nottingham with the
LINCOLNSHIRE
WATFORD
High-profile guests for horse trial hospitality
New Endeavour site is more prominent
STAFF from Inchcape’s Land Rover dealership in King’s Lynn had a busy time at the Burghley Horse Trials. The four-day event took place at Burghley House where visitors watched show-jumping, dressage and cross-country trials. Land Rover provided vehicles for event officials, exhibited cars and set up a Land Rover Experience. High-profile guests at Inchcape’s Q&A sessions in the hospitality suite included Captain Mark Phillips and daughter Zara Tindall. 10 | CarDealerMag.co.uk
ENDEAVOUR Automotive has opened a new Hyundai dealership in Watford in a more prominent spot. The showroom and service business was previously on the outskirts of the town, but the new site offers extra space and a better location. The new dealership covers around 700 square metres, including a 315 square metre showroom with space for seven cars, plus 40 on the forecourt. The sales team now comprises five sale executives as well.
world-famous Red Devils after his parents-in-law were involved in a serious road accident and the service airlifted his father-in-law to hospital, where fortunately he made a full recovery.
September’s top-selling cars September 2018
Source: SMMT
Ford Fiesta Vauxhall Corsa Mercedes-Benz A-Class Nissan Qashqai Mini Nissan Juke Kia Sportage BMW 1 Series Ford Focus Ford Kuga
12,227 10,660 8,005 7,033 6,931 6,710 6,309 6,280 6,177 6,018
The statistics, p74
IPSWICH
A ‘major improvement in facilities’ welcomed
PEUGEOT, Citroen and DS have teamed up with John Grose Group over a multi-brand site in Ipswich. The three new showrooms are on the Ransomes Europark, and John Grose Group MD Richard Howard said: ‘The new site offers a major improvement in facilities and represents a significant investment for the John Grose Group.’ The Citroen showroom was already there and has been redeveloped, the Peugeot dealership has relocated, and the DS Salon is new.
The Nissan e-NV200 van is put to the test.
First drive, p80
GLASGOW
MANCHESTER
Motorpoint teams up with Clyde FC
Ford launches online service at new store
MOTORPOINT has teamed up with Clyde FC for the 2018-19 season. The UK’s largest independent car retailer will be supporting the Ladbrokes League Two community interest club on and off the pitch. Adam Gilmore, general manager of Motorpoint Glasgow, said: ‘We are keen to play our part in supporting the local community.’ Pictured are Clyde manager Danny Lennon, left, Motorpoint customer services supervisor Victoria McLeod and sales manager Michael McMullen
FORD has launched an Online Sales service to complement its new Digital FordStore, which was officially opened on September 20 by Ford of Britain sales director Kevin Griffin. The store, which had a ‘soft’ opening in July, is based in a branch of Next in Manchester’s Arndale Centre, and Griffin said: ‘With our new Online Sales service, the customer is in control every step of the way. They can buy in store today or complete their purchase online at home.’
CHESTER
‘If you know what you’re doing, there are better bargains in the classifieds than there are going through the ring. It’s a real eye-opener.’ Big Mike, p31
Top class! Teacher wins new car in charity draw
A TEACHER from north Wales has won a new car to the value of £25,000 after entering a charity draw at a Lookers dealership. Marian Jones, from Deeside in Clwyd, entered the Lookers Vauxhall Chester prize draw in aid of Children in Need by donating to the charity when buying her last car. She’s now looking forward to going back to choose her newest set of wheels. Pictured are dealership general manager Mark Starling, left, with Marian and Ken Jones plus Pudsey
KENT
New-look dealerships opened after takeover
JCB Group has unveiled its new-look dealerships following its acquisition of Hidsons in January. The purchase brought partnerships with Kia, Citroen, Mitsubishi and SsangYong into its portfolio, with the new locations in Northfleet and Rainham complementing prime spots elsewhere in Kent as well as Sussex. MD Jonathan Bischoff said: ‘We’ve worked really hard ensuring that the former Hidsons dealerships benefited from our larger scale.’
ESSENDON
Nicholas Mee quits London clamour for rural calm ASTON Martin specialist Nicholas Mee & Co has moved from west London into a new and expanded home in rural Hertfordshire after a multi-millionpound project to rebuild historic farm buildings. Forming part of the Hatfield Park Estate in Essendon, the sympathetically repurposed 17thcentury buildings have been woven into a two-acre
heritage site at the Essendonbury Farm centre of excellence, which boasts ample parking and spacious workshops equipped with the latest technology. Founder and managing director Nicholas Mee said: ‘Away from the hustle and bustle of London, we’ve found our clients to be highly appreciative of the expansive facilities and relaxed rural ambience.’
First look BMW 3 Series The popular saloon has had a complete revamp for its seventh generation. Paris Motor Show, p15 CarDealerMag.co.uk | 11
Dashboard.
I’m off to my first live auction – any advice?
Feedback, p32-33
YOU COULD BE A WINNER!
Have you got your entry in for the Aftermarket Excellence Awards?
I
t’s only a month since we launched the Car Dealer Magazine Aftermarket Excellence Awards – but we’ve been inundated with entries already! Aimed squarely at the workshop arena, our new awards will recognise the best and brightest businesses and individuals working in a truly tough industry. They will honour service and repair professionals and business owners alike, giving them the chance to demonstrate exactly why they are the best at what they do.
About the awards Tell me more about the Car Dealer Magazine Aftermarket Excellence Awards These awards celebrate every part of the service and repair industry. After all, it’s a huge part of UK Automotive plc and a central plank of our overall economy. We believe that its importance to us all can’t be overstated – but that it lacks the recognition it deserves. These awards therefore aim to shine a light on the successful firms and individuals doing sterling work day in, day out to keep millions of cars in good working order and safe to drive. Where is the awards night being held? At the Spinnaker Tower in Portsmouth, Hampshire. It’s a stunning structure that’s provided the perfect setting for Car Dealer Power. We know that it’ll be equally popular with our guests at the inaugural Car Dealer Magazine Aftermarket Excellence Awards.
There are 16 nomination categories, and it could be YOU picking up a gong at our glittering ceremony early next year. Are you the Workshop Manager of the Year? Do you run a business that could be our Specialist Garage of the Year? Do you employ a potential Apprentice or Technician of the Year? Check out these and all the other categories online by heading to the web address below. Car Dealer is proud and delighted that the RAC has agreed to be the headline sponsor of our all-new awards – and the famous organisation is thrilled to be involved.
When is it? The Aftermarket Excellence Awards will be held on Thursday, February 28, 2019. What’s the running order of the night? Guests will be treated to welcome drinks. Then we take our seats for the first half of the awards, after which it’s time for dinner. Following the meal, we’ll announce the final winners. The rest of the evening is then yours to spend with colleagues, enjoy the views of glittering lights, and get busy with some networking.
To nominate, go online to bit.ly/AEA2019
How do I enter? Entry is FREE and easy. You can do so online by going to bit.ly/AEA2019. There’s no limit to the number of categories for which you can enter. All we ask is that you provide as much detail as possible – make your entry really stand out so that the judges sit up and take notice. How can I sponsor an award? There are a number of sponsorship packages. Call the team on (023) 9252 2434. How can I book a table? Anyone can book a table at the Car Dealer Magazine Aftermarket Excellence Awards. Sponsors automatically get tables as part of their packages, but there’s nothing to stop other suppliers to the industry taking a table to entertain clients. Equipment manufacturers and suppliers can come along too – bring your staff, your customers, anyone you’d like to wine and dine. Everyone’s sure to have a ball.
To sponsor an award category, call (023) 9252 2434
Power to Peoples Ford as it ‘defies trend of a difficult market’ PEOPLES FORD has posted a profit of £5.5 million on its second-highest annual turnover of £274.4 million. In its annual report to the year ending July 31, the company – which employs 400 people across six Ford main dealerships in Scotland and England – said it had defied the trend of a difficult market. Last year, the group, founded 36 years ago by Brian Gilda, left, and which is the largest independent dealership in Europe selling only Ford cars and 12 | CarDealerMag.co.uk
commercial vehicles, enjoyed a recordbreaking turnover of £276.5 million, despite a much tougher trading and economic environment throughout the year. The profit figure of £5.5 million this year, meanwhile, was the joint third best in its history. It also showed an increase this year of 7.9 per cent in its financial position in terms of total assets as a consequence of its strong trading performance. Company chairman Gilda said: ‘Throughout the year, the group has
bettered all the operational benchmarks and financial milestones identified by the directors to our shareholders. ‘I’m delighted with these results. The real story, however, is to be found in the determination of my directors, management and staff to once more deliver up the best possible results in the face of fierce competition and diminishing volumes in certain sections of the market. That, coupled with the outstanding loyalty of our customers, is what makes these results special.’
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CarDealerMag.co.uk | 13
Dashboard. Yes, a few manufacturers pulled out – but it didn’t matter
Audi e-tron
Audi’s latest SUV is also its first electric-only car. The e-tron is already in production, and deliveries are expected to begin before the end of the year. The car has a range of 249 miles and a price of £70,800, although Audi powertrain director Siegfried Pint has told the press that a version with a different battery, less range and a smaller price tag will arrive in 2019.
by JACK EVANS @jackrober
I
t felt as though the 2018 Paris Motor Show had fallen out of favour somewhat in the run-up to the event. Big hitters such as Ford, Bentley, Volkswagen and Volvo – to name but a few – had announced that they wouldn’t be attending, and it threw into question whether this would be the death knell for motor shows as we know them. But then came several key reveals. BMW showcased its new 3 Series – arguably one of the most important cars of 2018 – and Mercedes lifted the lid on its B-Class. Then there were the likes of the Mercedes-AMG A35 (a precursor to the fire-breathing A 45), as well as the Skoda Kodiaq vRS and Seat Tarraco. In fact, far from being some barren motoring wasteland, the Paris show made for a much more interesting event than the absentees would have led you to believe. Yes, some halls were left empty, but it appeared there was a little bit of life in the old ‘chien’ yet. And then there was Beckham. It’s hard not to acknowledge the presence of ‘Golden Balls’ at this year’s show, and what an incredibly awkward appearance it was. Out of all the brands we’d guess Becks would put his name against, Vietnam-based car manufacturer VinFast wouldn’t have been one of them. So there we have it. A large dark cloud was cast over the 2018 Paris Motor Show, but fortunately a little bit of light shone in the form of some key reveals and wacky concepts. Which is what motor shows are all about, right?
On other pages... 14 | CarDealerMag.co.uk
Mercedes-AMG A35
The first of the sporty variants of Mercedes’ new A-Class, the A35 was revealed at Paris ahead of an early 2019 forecourt debut. Even though it will likely be outshone by the A45 when it debuts, the A35 certainly won’t be a slouch. With 302bhp on tap from a turbocharged four-cylinder unit and four-wheel drive putting the power to the tarmac, the A35 is likely to be a highly capable hot hatch.
Shining stars Adam Weller looks at 10 of the most exciting models to be unveiled at this year’s Paris Motor Show...
PORSCHE 911 Speedster to go into production next year p16
Ferrari Monza
Ferrari dealers won’t have to try selling these – by the time it was shown off in Paris, all of the build slots for the exclusive SP1 and SP2 variants had been sold, with fewer than 500 to be constructed. The 812 Superfast-based Monza is touted as the first in a series of exclusive retrostyle models dubbed ‘Icona’.
DACIA New engines and tech across Duster range p17
SPONSORED BY
Kia e-Niro
Skoda Kodiaq vRS
BMW 3 Series
Peugeot 508 First Edition
Following the Niro EV Concept displayed at January’s Consumer Electronics Show in Las Vegas, Kia launched the e-Niro in Paris. With a 301-mile range and the ability to go from 20 to 80 per cent charge in 42 minutes on a 100kW fast charger, the e-Niro will be an opportunity for the South Korean marque to expand its reach with electric cars and crossovers.
The popular saloon has been completely revised for its seventh generation and is due to go on sale from next March. With prices starting at £33,610, it offers more space and improved handling. The new car is 85 millimetres longer as well as 16 millimetres wider. Inside, a 12.3-inch digital instrument cluster replaces the traditional dials, supplemented by a 10.3-inch central screen using BMW’s latest infotainment operating system.
This sporty version of the Kodiaq is the first performance SUV built by the Czech manufacturer. Expected to arrive in the UK early in 2019, the 236bhp diesel-powered vRS was the subject of a heavy push for hype before Paris, even setting a seven-seat SUV lap record at the Nürburgring. Skoda says 47mpg will be achievable in the Kodiaq vRS.
Peugeot chose its home turf to reveal its new 508 First Edition. As is the way with range-topping trims, the First Edition packs a wealth of standard equipment and comes with the choice of two engines – one petrol and one diesel. Peugeot has yet to announce prices, but expect it to come in above the £37,014 asking price for the equivalent hatchback model.
Toyota Camry
Having vanished from the European market more than a decade ago, the Camry will be returning to our shores in the first quarter of 2019, taking the place of the Avensis. The mid-size saloon will be on a par with models such as the Skoda Superb and Vauxhall Insignia and will be electrified as standard, taking the 2.5-litre petrol-electric hybrid unit from the Rav4 Hybrid.
DS 3 Crossback
Following on from the DS 7, the DS 3 Crossback will be replacing the original DS 3 supermini, which started life under the Citroen marque. Unlike its hatchback predecessor, though, the new car will feature five doors and will be taller and more rugged, as the Crossback moniker would imply. It will go on sale early in 2019 with petrol and diesel options, which will be joined by an all-electric E-Tense variant before 2020.
Seat Tarraco
The Tarraco, which was named via an online contest, will go on sale early next year. VAG-centred dealerships should look to steer keener drivers in the direction of the Tarraco over stablemates the VW Tiguan and Skoda Kodiaq, as it was heavily touted as the sportiest SUV in its class. Petrol and diesel models will be joined by a plug-in hybrid within two years. (Tarraco is the ancient name of the Spanish city of Tarragona, by the way.)
MERCEDES-BENZ B-Class Sports Tourer delivers more space p18
RENAULT Facelifted Kadjar has an upgraded interior p19 CarDealerMag.co.uk | 15
Dashboard.
All-electric e-Niro heralded as changing perception of the car-buying populace KIA: Entire network poised to sell EVs by the end of 2018
K
ia unveiled four new models at the Paris Motor Show, but amid performance hatches, it was an all-electric small SUV that received the most fanfare. Called the e-Niro, it was revealed with a launch campaign that actually included film star Robert De Niro, and began its unveil with a jaunt from the south of France to Paris and on to its spot on the stand with TV presenter Nicki Shields behind the wheel. There’s lots of buzz around the car because of its excellent all-electric credentials. It’s expected to cost around £30,000 but has a range of 301 miles. Paul Philpott, president and chief executive of Kia Motors UK, spoke to Car Dealer Magazine at its reveal at the Paris Motor Show and said: ‘It sits as a compact SUV, which is where market demand seems to be transitioning towards. ‘Plus, we wanted to make sure we had a broad range of powertrain choices within Niro. It does go through hybrid plug-in and EV. With Soul EV, there’s people who love Soul and there’s people who don’t love Soul. And if they don’t like Soul then they can’t have an EV. We know that Niro is a very well-liked design of a car and putting EV technology into it takes away that barrier.’ This addition to the range 16 | CarDealerMag.co.uk
by REBECCA CHAPLIN @believebecca
will mean a bit of a change for dealers, though. Currently only a handful of Kia dealers are allowed to sell its electric vehicles, but a more mainstream car will open this up to the entire network. ‘As you know, we’ve had Soul EV for about three years,’ said Philpott. ‘We’ve sold a couple of hundred cars a year. Only 33 of our dealers are EV specialists, so they have training, they have a demonstrator, they have an area within their showroom where they can display EVs. Obviously, with only 200 a year, 33 dealers was all that we needed. I think now that we have an EV in e-Niro, with a range of 300 miles, electric vehicles become a lot more appealing to a much wider cross-section of the car-buying population. ‘Up until now it’s been fleet and second car in the household. No-one drives 120 miles and doesn’t want the flexibility. Once you’ve got something that can be charged up to 300 miles, it has a much wider geographic spread. So from January 2019, all dealers will be contracted to sell EVs. Between now and year end they will go through a
Porsche: 911 Speedster to go into production next year for a limited run PORSCHE confirmed that its special-edition 911 Speedster will go into production in the first half of 2019. It was initially revealed as a concept in June, and the German sports car manufacturer announced at the Paris Motor Show that 1,948 units of the Speedster will be made. The production volume relates to the Porsche 356 ‘Number 1’, which gained its operating licence in 1948. The show saw a production-ready version displayed, featuring Guards Red paintwork and new cross-spoke 21-inch alloy wheels. Powered by a flat-six, the Speedster, pictured above, produces close to 500bhp and sends drive to the rear wheels via a sixspeed manual gearbox. There are no details as yet regarding price.
training programme. They’ll then put their e-Niro demonstrator on display in March – that’s when we go on sale – and they’ll have an area of their showroom which will be about EVs.’ Niro isn’t just about its electric variant though. Kia hopes to give more choice to its customers with the full range of powertrains. Philpott said: ‘We’re planning that of Niro sales, around 60 per cent will be hybrid, about 25 per cent plug-in hybrid and about 15 per cent EV.’ Regarding hopes for sales, he said: ‘Next year, starting in March, somewhere around 1,000 in the 10 months. That will become 2,000 to 3,000. ‘It depends a little on what happens to plugin car grants, it depends on how rapidly the charging infrastructure is put in place. Because with a 300-mile range car, the range anxiety seems to have gone away but consumers are now worrying about where they charge it.’
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Diesel volumes may be holding but Big Cat’s future is electric JLR: New boss wants to keep business focus simple as he sees opportunities in the saloon sector
J
aguar Land Rover UK’s new managing director Rawdon Glover stepped into the role just months ago but he’s optimistic that the brand’s products and powertrains are still relevant to consumers. This year the Big Cat brand launched the allelectric I-Pace SUV, but Glover sees opportunities for his dealers to increase retail sales with its saloons, which remain popular despite their diesel powertrains. ‘My philosophy is to try and keep things quite simple. Whether it’s for our business or our retailers’ businesses, we need to drive our new car share, we need to drive our used car share and the share of our aftersales business,’ he said. XE and XF have been an initial priority for Glover, attempting to re-energise sales. ‘What was clear was that our share had been declining for those models to the point where we were almost not on the map,’ he said. ‘We’ve seen a fantastic response. We’ve doubled our share almost exclusively in retail. XE is third in segment for September, XF Sportbrake is second in segment, which is a really healthy share of 24 per cent, and XF is running at about a 12 per cent share. That’s a huge step change from where we were in May, June, July. ‘If we look at our order bank for October on XE and XF, we’re going in with it aligned to our sales target, so effectively I’m already done. So we’re now looking at further opportunities. ‘In the saloon market, in the current climate,
‘We had 1,000 test-drive applications in September alone for the I-Pace. The consumer reaction has been fantastic.’
by REBECCA CHAPLIN @believebecca
where we’re predominantly still selling diesel cars, it’s an indication that there is a market there in retail and there is a market for saloons.’ The JLR boss, who worked with Disney, Camelot and the VW Group in sales and marketing roles in the UK and US before joining the company five years ago, believes there’s still demand for saloons. While ‘the market is moving towards SUVs from a practicality point of view’, he argues that for dynamics, space and fuel economy, cars such as the XF Sportbrake offer a sensational package. ‘What it demonstrates is there is a market there, even in a market that’s increasingly clearly looking for other crossovers or SUVs.’ Despite the death of diesel being lauded in the headlines, JLR’s own figures tell a different story. Unlike the SMMT figures, which run from January to December, the manufacturer compares its sales over the financial year. ‘If you look at the fiscal year, the market was actually OK,’ said Glover. ‘April to August we were up but September has come down with a bit of a bump. However, our volume has held. If you look at our last year in September, we’ll do a very similar number this year. From our perspective, we’ve held up really strongly.’ However, ‘the future is going to be electric for Jaguar Land Rover
and consumers are ready for it,’ he said. ‘We had 1,000 test-drive applications in September alone for the I-Pace. The consumer reaction has been fantastic. We’ve delivered around 180 just in the UK. If you talk to my colleagues in Europe similarly, the car is in demand. I’d ask for 20 per cent more production if I could have it. ‘We’ve got global capacity for 30,000. At the moment it certainly looks like there’s demand well in excess of that.’
New JLR MD Rawdon Glover
Dacia: New engines revealed for Duster and new tech introduced across the entire range DACIA revealed a pair of new turbocharged petrol engines for its Duster compact SUV. The new 1.3-litre units, badged ‘TCe’, supplement the existing naturally aspirated 115bhp 1.6-litre SCe petrol and 1.5-litre dCi diesel units. Offered in two power outputs – 128bhp and 148bhp – the new engines will launch initially on the two-wheel-drive platform, with 4×4 models available from mid-2019. Of interest on these new engines is the addition
of a GPF, or gasoline particulate filter – the petrol equivalent of the diesel particulate filter. Dacia has also introduced its latest MediaNav touchscreen infotainment system across its range. The optional unit now comes with Android Auto and Apple CarPlay for seamless smartphone integration and a more responsive touchscreen interface. Pricing hasn’t been announced yet for the new engine range. CarDealerMag.co.uk | 17
Dashboard.
It’s all about powertrain choice – giving customers options for cars they buy PEUGEOT: No French revolution when it comes to electrification, says MD
P
eugeot stole the show at Paris this year – but it wasn’t a car it’s actually going to sell that people were talking about. Between Ferrari concepts and a host of bizarre flying cars, it was a four-seater all-electric, autonomous car with a striking resemblance to its 504 from the ’70s that was pulling in the crowds. We take a close look at the car on pages 6 & 7 of this edition of the magazine – but there’s one small drawback... Peugeot won’t be making it. However, the e-Legend Concept has become so popular since it was unveiled that an online petition has been launched to get it produced. Speaking at the show, Peugeot CEO JeanPhilippe Imparato said: ‘I keep being asked, are we going to make it? Everyone will say the styling cues are 504 – past aesthetics but in the future. In 2020, we’ll decide if we want to produce it or not.’ The concept actually means quite a lot to Peugeot. It shows the manufacturer’s potential for the future and emphasises its credentials in
‘Electrification isn’t a revolution for us, we’re just getting ready for it. We have the technology.’ Peugeot CEO Jean-Philippe Imparato 18 | CarDealerMag.co.uk
by REBECCA CHAPLIN @believebecca
the arena of electrification. Imparato told us: ‘We’ve got a 208-year history. Electrification isn’t a revolution for us, we’re just getting ready for it. We have the technology. ‘Things have to be simple. What we say is, whoever you are, wherever you drive, whatever you do, we will have an answer for you. ‘Choose the car that you want and then choose your engine. We will have hybrid, diesel, petrol or full electric. ‘It’s the best way to protect the residual values of our cars on the road. For fleet managers, wherever they work, they can have the powertrain to suit. This is the simplicity that customers, dealers and salespeople need.’ We’re clear then – Peugeot wants its customers to have the choice of any powertrain with any of its cars. Last month, the entire PSA Group announced it would have electrified options on all models by 2019, and Peugeot has just revealed details of its new Hybrid and Hybrid4 engines. ‘My definition of PHEV is electric for everyday,’ said Imparato. ‘That for me is the answer. But first we want to test the market.’ The Peugeot CEO was also clear that while he is ready to supply these cars to the public, the
Longer, wider and taller – new Mercedes B-Class delivers more space MERCEDES-Benz lifted the lid on its new B-Class at the Paris Motor Show. Referred to by the manufacturer as a ‘Sports Tourer’, the B-Class comes as a rival to BMW’s 2 Series Active Tourer. Due to go on sale this December, the B-Class will be offered with two petrol and three diesel engines, starting with a 1.3-litre petrol and rising to a new 2.0-litre diesel. A seven-speed gearbox will be used on the petrol and 1.5-litre diesel engines, while the larger 2.0-litre will have an eight-speed ’box. A 43-litre fuel tank is the standard, but a 51-litre one can be added on larger-engined models. And despite its short overhangs, the B-Class has been designed to offer a good amount of cabin space – generated as a result of the car being slightly longer, wider and taller than its predecessor. There’s also a good amount of luggage space. With the rear seats in place the B-Class has up to 705 litres of boot area available, rising to 1,540 litres with those seats folded flat. infrastructure promised by governments was not up to scratch. ‘Paris is not typical of France. We must be able to adapt powertrains to different locations and customers. The biggest challenge we’re facing is plugs. All of these guys and girls elected said we would get this. Now I’m ready and where are the plugs? We can install a plug at your home, but in Paris if you have an apartment it’s not easy.’ Imparato is adamant, though, that Peugeot’s electric future will be a profitable one, saying: ‘We will make money with EVs because we don’t expect to lose money. I will never lose money on an EV to balance CO2.’
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Facelifted Kadjar offers buyers more styling options to choose from RENAULT unveiled a facelifted version of its Kadjar crossover SUV ahead of its public debut at the Paris Motor Show. The French manufacturer says that 450,000 examples of the Kadjar have been sold globally since its launch in 2015, citing styling as the main reason for buying one. The revamped version features a new light signature, reworked front and rear ends, plus a new choice of wheels and paint colours. The inside has been upgraded with a new seven-inch touchscreen infotainment system and higher-quality interior materials with a wider choice of colours. In addition, the seats have been redesigned to be more ergonomic, featuring length adjustment, double-density foam plus a sliding front armrest. Heating distribution has also been improved, with the inclusion of air vents on the back of the central console for the benefit of rear passengers. The central console itself has been refitted with larger cup-holders and an extra cubby hole in front of the gearstick. As a whole, the Kadjar’s interior has been given a more modular
layout, with a huge 527-litre boot. Moving on to powertrains, the facelifted Kadjar has adopted the new generation of Renault engines, with the 1.3-litre four-cylinder TCe unit found in the Scenic, Captur and Megane available on the model for the first time. There are also two modernised diesel engines – the Blue dCi 115 and 150. These units increase power by 5bhp and 20bhp respectively compared with the previous diesel powertrain.
The Kadjar is available with either two-wheel drive or four-wheel drive. The latter system has three modes. In 2WD mode, power is supplied only to the front two wheels to save fuel. Auto mode sees torque equally distributed between the two axles, while up to 50 per cent of the torque can be transferred to the rear wheels. Lock mode, for off-road driving, locks the central differential for a permanent 50:50 torque split between the front and rear wheels.
‘Standardisation key to adoption of more EVs’
PS: Even David Beckham made it to Paris this time!
JLR: Owners of electric cars need to be able to charge their vehicles more quickly
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aguar Land Rover chief executive Ralf Speth spoke at the show about how the only real way to make electric cars accessible was to improve the infrastructure, allowing EV owners to charge faster and more frequently. ‘From my point of view, electrification is only something for the wealthy population,’ he said. ‘Electric vehicles are by definition more expensive than internal combustion engines. Batteries are very expensive. At the moment, the profits are lower and prices are higher. But that’s not the area that you can grow out of completely with electrification. ‘Even if you look into the future, there is only a certain rate to improve the electric density and
JLR chief executive Ralf Speth: ‘We are doing our bit’
the capacity of the batteries. To make vehicles cheaper, you need smaller batteries, but that means a smaller range. ‘That means that you have to have a better infrastructure to roll out electrification to the masses.’ Currently, JLR doesn’t have its own charging network and Tesla is the only electric car manufacturer to offer a dedicated network of charge points that can be exclusively used by their owners. Other manufacturers are investing in an alliance to offer affordable and well-maintained networks across Europe, but the British brand isn’t part of one so far. However, Speth said: ‘We are also doing our bit. We’re offering our customers a package with a wall box, working together with companies.’ He agreed that governments needed to do more to ensure that charging was easy to do on the road, with a standard of chargers. ‘I think what is even more important is that we have standardisation. The governments have to play the game there, because it cannot be that you need 100 plastic cards to drive through Europe or you have different sockets whenever you’re on a charging point and it doesn’t work.’
DAVID Beckham introduced Vietnam’s first car manufacturer at the Paris Motor Show – just days after side-stepping a speeding fine. Making a surprise appearance at the French show, the ex-England captain appeared alongside Miss Vietnam 2018, Tran Tieu Vy, to help take the wraps off the Vinfast LUX A2.0 saloon and LUX SA2.0 SUV. Uttering fewer than 50 words during his time on stage, Beckham said: ‘So beautiful. It’s incredible, I mean, to create something in such a short space of time is really, it’s really incredible, you know, it really is. Vinfast is a miracle for Vietnam. It’s incredible. It’s beautiful. It’s sleek. It’s modern. It’s high tech. It’s premium. It’s incredible. Congratulations.’ [CD] CarDealerMag.co.uk | 19
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Dashboard. BCA BIKE RIDE
Pedal power delivers big charity boost
A
60-strong team of riders and support crew have successfully completed the 245 miles of the 2018 BCA Cycle Challenge, raising an estimated £100,000 for charity as a result. The team of cyclists from BCA and the wider motor industry were joined by BBC news presenter and well-known cycling enthusiast Naga Munchetty, who tweeted the progress of the event to her 105,000 followers on Twitter. The team left BCA Bedford on the morning of September 20, arriving at the Royal Palace, Amsterdam two days later. Despite storms and driving rain on day one which covered Bedford to Harwich, and blustery conditions on day two from the Hook of Holland to BCA’s centre in Barneveld, the riders successfully covered more than 200 miles, leaving a mere 45 miles to complete on day three. BCA chief commercial officer Craig Purvey was among those who took part in the event. He said: ‘It was amazing and everyone who participated would like to thank all the sponsors and supporters who helped to make it possible. ‘We remain on track to raise around £100,000 for Action for A-T, the charity funding medical
research into Ataxia Telangiectasia, a rare, genetic degenerative childhood disease.’ Sponsors for the event included TC Harrison, Trade Centre UK and Trust Ford. Thrifty provided support vehicles for the second year running and Rawlins Davy Solicitors also supported the event.
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BCA introduced a second BCA Challenge event this year. A team of more experienced cyclists successfully tackled the Alpe D’Huez route that is used in the Tour de France, also raising funds for Action for A-T. Auctions & Taking Stock, p86-87
How to recruit and retain top talent With the automotive scene poised for continuous growth, coupled with the fact that vehicles are becoming increasingly computerised, career paths in the automotive industry are no longer a matter of learning the ropes from a mentor. So what are the key points in attracting top talent to your dealership? Below, we’ve listed a few best practices for how to retain and attract top talent:
CREATE A STRONG EMPLOYER BRAND A strong employer brand is essential if you want to attract the right talent. By capturing the positive experiences of your employees and echoing this externally, you become a very attractive employer to jobseekers. By aligning employer brand with employee experience, companies can benefit from improved recruitment, greater retention and increased productivity.
CREATE A TRUSTED EMPLOYER BRAND, BOTH INTERNALLY AND EXTERNALLY
MAKE YOUR ORGANISATION SOMEWHERE PEOPLE WANT TO WORK As the only automotive job board, we regularly survey jobseekers in the industry about why they are moving jobs - being unhappy and no longer feeling challenged in their current role are two of the most common reasons why. Unhappy employees means you’ll likely have a poor employee retention rate. Consider the needs of your staff if you want to hold on to them. Factors like work-life balance have proved to be a growing concern in the automotive industry, particularly for millennials. Consider factors like incentives, career goals etc and incorporate these into your retention strategy.
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Dashboard. SHELBOURNE MOTORS
Renault set to join £5m multi-franchise complex
S
helbourne Motors has partnered with Renault to bring the French car manufacturer to its new £5 million multi-franchise complex in Newry. Renault is the second manufacturer to be confirmed for the state-of-the-art facility as building work commences on the 50,000 sq ft showpiece development. Kia was the first announced for the site. The deal strengthens the family-owned vehicle retailer’s relationship with Renault, having operated a franchise of the brand at its Portadown headquarters since 2003. This extended partnership will allow Renault to supply its range of new and used models to Shelbourne customers in the Newry and Mourne area. Caroline Willis, financial director of Shelbourne Motors, said: ‘We’re delighted to extend our partnership with Renault by securing a deal to bring the global car brand to our new £5 million Newry complex.
‘Our long-term relationship with Renault made the manufacturer an obvious fit for this new development, and it demonstrates their confidence in our business to incorporate a brandnew dealership into our Newry expansion.’ Newry-based O’Hare & McGovern has been appointed as the contractor and work has started on building the complex. The dealership will create 60 jobs when it opens, which is scheduled for summer 2019. It will include new car showrooms, new car handover bays, a lounge-style waiting area with café and a drive-through service centre with a 28bay service workshop. Shelbourne Motors was founded by the Ward family in 1973 and currently employs more than 130 staff at its nine-acre Portadown headquarters, where it has Toyota, Renault, Nissan and Dacia franchises, as well as a used car supermarket, rental division, accident repair centre and a valet centre.
TOYOTA
Millions of hybrids recalled because of stalling issue
TOYOTA is recalling 2.43 million hybrid vehicles over potential problems with stalling. The company said that in rare cases the vehicles might not enter a ‘fail-safe’ driving mode, leading to them losing power and stalling. Power steering and braking would still work, but a stall at a fast speed could increase the risk of a crash. The recall applies to some Toyota Prius, pictured, and Auris hybrids made from October 2008 to November 2014. The vehicles were involved in an earlier recall that didn’t fix the previously unanticipated problem that is being addressed now, the company said. Toyota said it would update the software of the vehicles to remedy the problem for free.
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Dashboard. Around the world Dealer news from somewhere other than here
ITALY
FCA’s Melfi Plant is beginning preparations to produce the Jeep Renegade Plug-in Hybrid Electric Vehicle (PHEV) scheduled for market launch in early 2020. The car will be produced alongside the Renegade and 500X combustion-engine products. ‘With over 742,000 Renegades produced to date in Italy, the Melfi plant and the Renegade are the ideal location and the perfect product to launch the PHEV,’ said FCA’s chief operating officer for Europe, the Middle East and Africa, Pietro Gorlier.
CANADA
Ontario’s vehicle sales regulator has suspended an Ottawa car dealership and its sole officer and director from trading. Marcel Motors, operating as Eastside Better Used Cars, and Nitin Chopra had the order imposed on them after serious consumer complaints and alleged breaches of conditions of registration.
UAE
A new Lotus showroom has opened in Dubai. The partnership with dealership group Adamas Motors offers people the chance to experience the famous brand first-hand. Jonathan Stretton, regional director of Lotus Cars Middle East, said: ‘Partnering with Adamas Motors shows our commitment to supporting the Lotus brand and developing our presence in the region.’
26 | CarDealerMag.co.uk
AUSTRALIA
IRAN
The country’s problematic nuclear deal with global authorities could cause the domestic car market to stall, it is feared. PSA Peugeot Citroen was due to open a manufacturing plant, Groupe Renault was to build cars at a factory near Tehran in a $778 million agreement, and VW was to export vehicles there, but all three have done a U-turn. The Star newspaper quoted Supreme National Security Council secretary Ali Shamkhani as saying the auto industry was on the front line in an ‘economic war’.
Toyota’s luxury vehicle division Lexus has positioned itself for further long-term expansion with a dealership in one of New South Wales’s biggest growth corridors. Lexus of Central Coast is at Somersby, in a region that dealer principal Brad Worthington said was growing rapidly, thanks to an influx of ‘young affluents’, new business owners and small entrepreneurs.
CarDealerMag.co.uk | 27
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Behind the scenes REBECCA CHAPLIN
Blackball Media’s head of editorial is never afraid to tell it like it is
I
Why the hotels of the world might have a few lessons for car dealers
t’s not very often that I book a holiday, and this time in two weeks I’ll be enjoying the first break abroad that I’ve had for a couple of years. Therefore, I’ve been obsessively planning everything to ensure that my few days away go exactly as I want them to. It did occur to me that, despite being a ‘large-ticket item’, I was quite happy to spend out on my trip despite not being able to try before I buy. A holiday isn’t the same as a car, I know that. For starters, you only have to live with a holiday for a couple of weeks – but nevertheless, if you’ve got builders next door to your hotel working on a structure that’s blocking your view of the sea, I’d argue the downsides can be a lot more annoying. Chances are that if you’re buying a car using the internet, the vehicle you end up with will be the one you saw online – in the same way that most of the time, the clothes you shop for online are exactly as they appear, and if they’re not, you’re able to return or exchange them. The thing is, the world has got a lot smaller. That sounds like a bad thing, but it makes it far easier to reassure customers without being in the same room. For many customers, a car and a holiday share a few basic characteristics – they can be personalised, they are important to the person making the purchase, and often they’re things we want to show off with pride. All of this means that making it perfect still requires the personal touch, but as my holiday, like most, will be taking place in a different country where a different language is spoken, you can see why this might be difficult. To start off with, I headed to booking.com to find where I wanted to stay because I’m a regular hotel booker for work and tend to get a good deal using that site. Once I’d narrowed my search down, I decided I would check TripAdvisor and Trivago too, and found out I could actually get a better deal with hotels.com. What I discovered is that there are too many hotel aggregators and too many aggregators of aggregators. Before I booked, despite the excellent deal I appeared to be getting, I read pretty much every recent review I could of these hotels, reviews from the same time last year that I would be going, and especially the one-, two- and three-star reviews. After all, a five-star review that just says ‘excellent’ means
absolutely nothing to anyone. The added layer to this, which you’ll know if you’ve used TripAdvisor for anything from excursions to restaurants, is you can see photos taken by people who’ve visited before. This actually weeded out a few hotels, because I’ve made the mistake before of choosing a hotel that looks spectacular in photos staged by a photographer, while the reality is nowhere near. I take my location stalking to the next level too, using Instagram’s location search. That means I can look up Instagram stories of any hotel and find out what it looks like from a guest’s point of view. I can also find out if they’re complaining about anything or maybe just find out what the weather is like at this time of year. This might all seem a little obsessive but I really didn’t want to be disappointed and I needed to know I’d be getting my money’s worth. I actually ended up cancelling the first hotel I booked – thanks to its free cancellation facility – and switched to a better deal elsewhere. I also had a bit of a change of heart about how much I was spending, realising that perfect didn’t need to be quite so perfect. However, this could all be done at the push of a button on my phone, and with the second hotel, the owner was instant-messaging me so I could arrange to drop off my bags before check-in and get a taxi from the airport. I know, from a sales point of view this sounds like a complete nightmare. I’ve never been anywhere near this location. yet I’ve had so many touchpoints with other visitors, hotel managers and the hotels themselves. However, in a lot of ways, this makes it a much easier sell for a good hotel with a good product. I’ve seen lots of hotels using social media to engage with potential visitors and share current visitors’ personal photos. The place I’ll be staying at has even followed me back, in anticipation of this I’m sure. What on earth does this mean for cars, though? As with anything, if I’m in-market, I will look on every review website and check out every social media channel. They allow you to find out about the product you want without having to see it in real life. If I was confident in something being as it appears online, I’d happily buy immediately, but for those times that you’re just not sure, businesses can do so much to reassure customers. It doesn’t mean the end of the salesperson or that we don’t need dealerships any more, it just means doing the same thing in a different way.
‘I had a bit of a change of heart about how much I was spending, realising that perfect didn’t need to be quite so perfect.’
Rebecca Chaplin is head of editorial at Blackball Media and the editor of Car Dealer Magazine. CarDealerMag.co.uk | 29
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At Black Horse we have a range of tools to help you understand and meet the latest FCA requirements. Putting the customer first is at the heart of our business. With dedicated account managers we can help you create a transparent experience and deliver great customer outcomes. So, whatever changes are waiting around the corner, we’re ready to help you. Discover more at: blackhorse.co.uk/abetterway
30 | CarDealerMag.co.uk
Big Mike Our man on the inside shares his thoughts on the car business
Why richer pickings can sometimes be had buying privately these days
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veryone in the trade knows that 90 per cent of any successful sale is in the preparation and presentation of your stock, which is why I tend to get rather miffed when people come on to my lot and tell me that ‘there’s one of these for sale down the road privately for £500 less’. You know what? I know. I also know that it’s a heap of festering dung, and that’s why it’s not sitting on my forecourt at the same price as this one. In a world where it’s getting harder and harder to find decent stock, with the big auction houses focusing on direct-tomain-dealer sales and more and more customers buying newer cars on balloon-payment finance deals, the days of many people actually owning a car are in the past. And if you’re selling used motors, as I am, then the only way to survive is to ensure you have the absolute best stock possible. Sadly, a lot of the stuff that goes through the block these days is dross – main dealer part-exes that have been dumped on the franchise by people who can’t afford a new car, but are happy to hand over a couple of hundred quid a month for the perceived peace of mind of driving around in something with a warranty. It’s a concept that’s lost on me – you basically pay through the nose for the benefit of having an insurance product behind you that will prevent you from having to pay through the nose on the rare occasions it may break. I don’t think I’ve had my own name on the V5 of anything newer than a decade old for the past 15 years, yet in that period I can count on one hand the number of times I’ve had to call out the AA. Anyway, I digress. What this means, sadly, is that there’s a whole host of dishevelled, unloved heaps being chucked into the trade, and I’ve been in this game long enough to know which ones to walk away from. As a result, I’ve started buying a lot more stock privately, and it’s a real eye-opener. If you know what you’re doing there are better bargains in the classifieds than there are going through the ring. The reason for this is that most people who sell cars don’t know the first thing about them, or how to make a sale. Last week, for example, I picked up two corkers. I got a cherry red Jaguar X-Type with stacks of service history and perfectly solid sills (the most important part of any X-Type, let the buyer beware) for less than £500 because the owner had listed it as ‘spares or repair’ thanks to the engine management
light being on. One lambda sensor and a bloody good polish later and it looks cheap on my lot at £1,795. The seller hadn’t bothered to mention the fact that it had more stamps in its service history than there are in my local post office, nor that it was the most desirable ‘Sport’ model, with nearly-new Bridgestone tyres all round, factory sat nav, Bluetooth and even some genuine Jaguar accessory floor mats. It’s a car that had been impeccably maintained and well loved – and dreadfully advertised. I got lucky again later in the week. Having taken my chances in viewing a Nissan Almera that was photographed on an overgrown grass verge, back to the camera, next to a dustbin and with a dog turd visible in the frame (why the hell can’t people take pictures of cars, I wonder?), I was ready to drive away disappointed, having realised there wasn’t just one turd in the picture. While I was scraping the Almera’s freshly applied underseal from behind my fingernails (along with a large chunk of crumbling front cross-member that was caught up in it), I clocked a grey BMW 318i on a driveway across the road, a for sale sign hastily scribbled on a scrap of A4 and Sellotaped into the back window. The car was filthy, and was advertised as ‘NEED GONE – NEED BIGGER CAR – OFFERS’. I looked it over and it seemed like a very solid example, so I called the mobile number on the piece of paper – to be greeted by a scruffy young gentleman who was far more affable than his matching tattoo sleeves suggested. He’d bought it on a whim three months earlier, but with a fourth kid on the way, it was soon to be no good to him. Whether it was down to having three young mouths to feed already and not enough time on his hands, or through pure laziness, he hadn’t even given it a wipe over. I carried out a quick roadside valuation. £2k off the forecourt with the right level of prep (I could see through the filth that it was a good car with very little wear or damage), and probably £200-300 needing throwing at it to bring it up to scratch. I started low and offered him £400… Amazingly, he bit my hand off – so quickly, in fact, that I started to worry. But I needn’t have done so, as the BMW was actually a corker. Three months of neglect had followed a lifetime of impeccable maintenance, backed up by a decent history and some big bills. So to come full circle… yes, the bargains are out there, and chances are there are one or two just down the road. But not in my neck of the woods, as I can guarantee I’ll have got there first!
‘I called the number – to be greeted by a scruffy gentleman who was far more affable than his tattoo sleeves suggested.’
Who is Big Mike? Well, that would be telling. What we can say is he’s had more than 40 years in the car trade so has probably forgotten more about it than we’re likely to know. CarDealerMag.co.uk | 31
Feedback. Your comments via email to dave@blackballmedia.co.uk
Our website at CarDealerMag.co.uk
I’m off to a live auction HAVING taken the advice of several forum members, I’m going to a live auction tomorrow. I’ve bought either privately or online before and I’ve only ever caught one cold from 50 cars so I’m careful what I buy but we’re about to find out what my skills are really like. The question is, what do you chaps ask the drivers of the vehicles in the hall? Obvious things like ‘any lights on?’ or ‘does the clutch feel worn?’ are a given and I know not all the drivers will be warm and embracing. So what are the favoured questions you put to the drivers in the line-up? EPV Over the years I’ve made a point of making friends with a few drivers at a couple of my regular auctions. It pays off. But many are agency and may not be qualified to comment on what is a good or bad clutch. Good luck. met Personally, I don’t rely on the driver for things like lights on the dash, I look every time for myself. It takes seconds, as well as checking stuff like window switches. Just get yourself around, in and over the car like you would if you were buying from a private seller (admittedly in a limited time). c_cars Your best option is to get there early. Sometimes the keys are in the car and you can pre-check it. Always watch it start in case it smokes, check the inside edges of tyres and lipping on discs. Check the remote central locking opens all the doors. You’ll learn more by watching some of the pros, and you’ll also see who you are potentially bidding against. Oh – and walk round the car like you own it. Don’t feel intimidated. Arfur Dealy If the keys are in the vehicle, are we allowed to start it? I assume not but what about putting the ignition on? EPV
Picture of the month
Another behind-the-scenes shot from Road Test of the Year this month, and here we see Blackball Media’s head of design Graeme Windell checking everything is in order as our photographer Dean prepares to take the crucial photo of all of the cars we drove. Turn to pages 38-39 to see the actual picture that was taken!
Do your research before getting there, find out any niggles with any potential cars you’re looking at, like camchain rattle when cold or whiney gearboxes. They will look different to how you’ve seen them online. Check for rust spots on the sills and arches. Windscreen chips are easy to miss! Make sure you don’t over-bid as well. It’s really easy to get caught up in a bidding war with someone who only wants £200 profit! Just leave it and move on. Also, it might be worth hanging around until the end as some cars come back through for whatever reason. Loads of people start to leave about half an hour before the last few lots come through, so there are fewer people to bid against. I’ve had many a bargain by doing this! Mikey360
Loads of good advice has already been provided. The keys will go into the cars around five minutes before they move to the auction hall. You’re not insured to start them, so be careful, I reckon it would be frowned upon. Shortlist a couple of cars you’re not that interested in but know something about to get the hang of how it works. Once the keys are available on the vehicles, a driver will be along smartish whilst the car is still in the line-up. Pop the boot/bonnet now, but aim to give it a good going-over before this if you’re going to bid on it. The ones you’re keen on, check they aren’t leaving a pool of oil behind them when they are moved. As has been said before, treat it like a private purchase. If your chosen car is one of the first through, it won’t reach reserve and they more than likely won’t let it go. However, I suspect they can ‘mysteriously’ come back through an hour later unannounced when the auctioneer thinks bidders are warming up! Don’t get distracted; check the start time of your auction, get a coffee and carefully check the ones on your shortlist. Be prepared to walk away. If possible, hang around until the end – you may see some silly bargains! But the best advice I can give you of all is – enjoy it and take it all in. It’s a learning curve. You will be going back again, I assure you. Area 51
September sales I don’t usually start these threads but three deposits taken today. Arfur Dealy Well, that’s just bragging! David Ayers I’ve got some absolutely lovely stock in at the minute and can’t sell a bean. Grantlfc81
Top tweets @vertumotors Our new Chesterfield Land Rover dealership is beginning to take shape.... it’s going to be awesome... #topteamchesterfield Robert Bonser @RobertEBonser It’s here! The new BMW #3Series Sedan represents the heartbeat of the #BMW brand and the epitome of sporty driving pleasure in the premium midsize segment. BMW Group @BMWGroup
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Play music, keep in touch, find your way. The New Grandland X keeps you connected, so you can carry on. Vauxhall @vauxhall A man recently caused havoc at a car dealership in China, after turning up with a truck full of coins he had saved over the years to buy a $70,000 BMW. Radio 2000 @Radio2000ZA Superb service @jct600 Mercedes-
Benz Sheffield this morning, top class! VTK Investigations @VTKinv ‘What’s behind me, it’s not important.’ A short quote from the 1976 film, The Gumball Rally, but a very powerful one. Click Dealer @ClickDealerLTD Our latest product, GardX WheelGard, takes less than three minutes per wheel to apply! GardX Protection @gard_x
More and more of our readers are joining the debate – and it couldn’t be
On Twitter: Follow @CarDealerMag
Forum: CarDealerMagazine.co.uk/forum
– any advice for me? LATENESS, RUDENESS (AND SHORTS!)
What annoys you in everyday life? IT really bugs me when people call, I’m busy, and they aren’t courteous enough to leave a polite voicemail. It’s so rude in my book. I always leave a message, it’s just polite. And then you get those feckers who will call you four times within 10 minutes. What planet are these people on? Arfur Dealy Men in shorts. Even my postman has covered up this week. boring dave My dent man turned up in shorts yesterday morning. Meanwhile, I’m half considering putting the heating on! EPV People who turn up late to an appointment. I don’t know why people think it is acceptable to book an appointment at 10am and roll up at 11.15 or later. Just plain rude if you ask me. James01 Customers who think they know everything. I encountered a perfect example earlier today.
A customer came to see a car which is exlease. It has high mileage but is well maintained and had a cambelt change less than two months ago, carried out by a main dealer. My customer looks under the bonnet and proclaims, ‘I was a mechanic for Rover, there is no way this car has seen a cambelt change!’ How’s that, Mr Customer? ‘Well, there are no marks on the screws and the engine mount is undisturbed, everything looks original.’ I didn’t argue. Instead, I rang the dealer in question and they confirmed it had had a cambelt change in July this year and sent me the invoice through by email. The customer said: ‘Well, those main dealers lie all the time!’ At this point, I knew he was mentally disturbed and dropped him back at the railway station. No doubt he will leave a bad review saying I wasted his time. DHill Customers calling and emailing asking you to arrange their insurance for them! Drives me nuts. iJCS1
How long were you trading before you really knew what you were doing? I DON’T think it was until 2013-2014 that I really knew what I was doing although I have some doubts even to this day! Nick M.K. I don’t really know and probably won’t for a couple of years I expect. EPV I’d say it’s a good two to three years before it all comes together. Area 51 Every day is a school day. I learn all the time and I’ve been selling cars for 20 years. I can only say I think that customers will get pickier, margins will get tighter and times will change. Some people will get left behind and others will prosper. It’s all about customer service, doing the right thing and not getting angry and taking things personally. Mat C I’m still looking for that elusive ‘winning formula’. Sadly, like unicorns, it doesn’t exist. Dealer The day you know everything is the day the nurse is giving you medication. boring dave
The buyer I should have asked to leave my premises I RECENTLY took a £250 deposit on a Mercedes CLC 160 Auto, a nice little thing. The asking price was £5,889. The customer spent 30 minutes on the phone asking me a ton of questions. He had been looking for a good one for six months (!) and wanted every assurance that it would be worth his while to travel 40 minutes for mine. He’d seen my short video plus my 50 or so photos. He had read ALL my reviews. I said to him: ‘Come down, have a look, we’ll have a coffee and you’ll know if it’s for you.’ He turned up, spent no less than an hour checking everything (locking wheel nut fits, right?) and even asked me to try to take the rear number plate off because on his last Merc, the bolts had seized and he’d spent a fortune getting it replaced. Drove it, loved it, left a £250 cash deposit on the understanding that his mechanic mate will come with him on Saturday to collect and will have a good look at it. ‘He’s worked on CLCs for 30 years (!), knows them inside and out.’
The same day, I increased my AT ad price to £6,000 exactly to measure the difference in response like I often do on sold cars (it’s around 20 per cent more on the rounded figure btw). On Friday, he texted to make sure that we had two keys with it (didn’t ask the first time). Yes and no, I said. We have them but one of them doesn’t work. It’s not the battery, it just doesn’t work. He then proceeded with five more texts asking questions such as, could it be this, could it be that, but they are £300 to buy etc. He had to have a second key. Couldn’t live without it. I called him to say I think we should leave it and asked him to text me his bank details so I can refund him the £250 deposit. He said OK and texted them saying, ‘I’ll still consider the car and will call you on Saturday evening if I still want it.’ Yesterday afternoon, another chap called. ‘Will you take £5,500?’ ‘No, but I’ll take £5,900 if you leave me a deposit now.’ He did.
Came this morning, took a 20-second look at it in heavy rain, sat inside, started the engine, said it was all great, joined me in my office and transferred the £5,800 balance. I pointed out the faulty key, he couldn’t have cared less. All in the space of 20 minutes. My mistake: Not asking the first ‘buyer’ to leave my premises when he wanted me to remove the rear number plate. Nick M.K. Nice one Nick, hope the other guy calls back to get the sold news. Row
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CarDealerMag.co.uk | 33
Finance. ‘TAKEOVER’
VWFS signs up for three mega Aston Barclay sales V olkswagen’s UK financial services division is to take over Aston Barclay’s Donington Park Mega Centre for a series of massive sales. Starting on Friday, October 26, the entire 12-acre site will play host to a dedicated monthly ‘Centre For A Day’ auction until the end of the year. Each sale will have 300 used cars from across the VW group, representing Volkswagen, Audi and selected Seat and Skoda products. Stock will be typically between two and three years old, with an average of 30,000 miles on the clock. Volkswagen Financial Services (VWFS) sales feature a range of product types, from voluntary terminations to ex-contract hire and business-use vehicles that may have had multiple users. Martin Woollam, VWFS general manager of remarketing, said: ‘Donington Park is the perfect location to host three superb sales due to its leading performance, exceptional location and great levels of care that
the Aston Barclay team show to both vendors and buyers.’ Neil Hodson, Aston Barclay’s chief executive, said: ‘We’re delighted to welcome VWFS to our Donington Park sales programme, and the team are excited at the excellent cross-section of stock that VWFS will offer during their sales.
‘We are seeing increasing numbers of vendors embracing our revolution of the auction market and recognising the value that our investment in leading technology, our infrastructure and our people generates for both them and our growing buyer base.’ The sales will also be held on November 23 and December 14.
WARNING
PPI claims firms ‘are now eyeing up car finance deals’ CLAIMS lawyers are circling the motor finance market as the next big area of profit, says former finance brokers association chief Graham Hill. The Financial Conduct Authority is due to complete its report into personal contract purchase (PCP) plans soon. It has raised concerns about a ‘lack of transparency’, ‘conflicts of interest’ and ‘irresponsible lending’ by car dealers and lenders. But ahead of its publication, Hill, who is an ex-director and chairman C
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of the National Association of Commercial Finance Brokers, said: ‘The claims industry that grew up around the PPI mis-selling scandal was never simply going to fade away. These firms have now firmly set their sights on PCP customers as the next big cash cow. The hope among claims agents is that the FCA’s report kicks up enough dirt on poor selling practices among car dealers that ambulance-chasers can then set references – or even precedents
– in court to legitimise their claims. We’re already seeing these vultures encouraging customers to come forward if they think they have fallen foul of mis-selling. ‘Unfortunately, that’s to the detriment of customers, who will end up parting with millions as these firms look to take a cut of the compensation payouts – whereas anything awarded by the Financial Ombudsman Service goes entirely to the customer.’
VAUXHALL
Network Q leads way with iVendi tech
VAUXHALL’S approved used car scheme Network Q has become the largest to offer online motor finance with technology from iVendi. A process that lets online customers look at a range of Vauxhall Finance products, calculate figures that meet their needs then apply online is being added to the central Network Q site covering more than 300 individual dealer sites. Clare White, marketing manager at Network Q, said: ‘Offering online motor finance will drive higher unit sales for dealers as well as increasing penetration of Vauxhall Finance products. ‘Importantly, the iVendi technology allows customers to easily use the new online finance facilities on any device, from PCs to smartphones, and will automatically transfer from online to dealer.’ Richard Tavernor, chief operating officer at iVendi, said: ‘We have worked with a number of manufacturers on offering online motor finance for their approved used car schemes but this is by far the largest. Where online motor finance of this kind is adopted, it drives both sales of vehicles and finance higher.’
IN ASSOCIATION WITH
Time is money BEN GARSIDE
A monthly look at the world of automotive finance and marketing
It’s easy to avoid getting spooked by the horrors of Halloween
S
o, Halloween is upon us and the ghouls and ghosts will soon be out! This means we’re in the final quarter of the year, where things always get a bit gruesome in the motor market and we start to think about some devilish offers to get more customers in. It’s also that time of year when consumers start to think about those dreaded Christmas expenses (yes, I said Christmas in October – please don’t hate me), the walk-on customers start to slow down and things get a little eerie on the forecourt with the dark nights creeping in and only a few sales members hanging around late on in the day. I know I’m being a little pessimistic but that’s Halloween for you: things start to get dark and creepy. I’m sure a lot of you have already started planning the next few months, but even if you have, here are a few tips I believe would be useful that I gained from dealer visits around this time last year: Home comforts – Whether you occupy a small, portable building or a large purpose-built showroom, you’ll want to make sure you can give your prospective customer their home comforts to keep them engaged and happy. A lot of dealers are upping their game in this area to cater for their customers’ needs. First, make sure your office is warm, and once they have looked over the vehicle, make them aware it’s nice and cosy inside. Next up: drinks. Most dealerships offer tea and coffee, and quite a few have purchased hot drinks dispensers, which is brilliant. But while I love a
good espresso or filter coffee, I’d advise trying to cater for customers who want to go caffeine-free or drink a healthy tea. Buy some decaf coffee and tea and also some fruity green teas. We are seeing that a lot of people who can’t have caffeine or are on strict diets don’t get the same customer service and they’ll definitely appreciate the offer. It may cost you £10 to do and a bit of space to store, but one sale would make it really worthwhile. Children – We need to cater for the little ones, and while I think we could do loads of really cool stuff to keep kids occupied, we need to be careful. Children can distract a parent and easily lose you a sale. First up, buy a tablet and get some games downloaded. That way they can just sit there and play. Remember to get a decent case, mainly from a safety perspective, but also get a bright one so these little devils don’t wander off with it thinking it’s theirs. If you have the room, you could buy a PlayStation/Xbox or something, so you can have games for children of different ages. It’ll also help if there’s more than one child. Free wifi is also great. Have the log-in visible on the wall/ business cards, etc. Most older kids/young adults have smartphones, so they’ll welcome the chance to use your wifi rather than their data. They’ll then be quiet for the duration of the visit. A lot of parents like to stream cartoons to toddlers, so the customer will be grateful as well. These little customer service extras should go a long way over the next few months.
‘We’re in the final quarter of the year, where things always get a bit gruesome in the motor market.’
Ben Garside is marketing manager for First Response. Call him on 07817 518739 or email ben.garside@frfl.co.uk
Turn over the page for more finance stories
CarDealerMag.co.uk | 35
Dealfinder.
Finance. YOUR ESSENTIAL GUIDE TO PREMIUM CROSSOVERS
Range Rover Evoque
Volvo XC40 THE XC40 is Volvo’s smallest SUV, and since its debut last year it’s been scooping awards left, right and centre, with high praise for its fantastic looks, supple ride and excellent safety equipment. We’ve chosen the XC40 in stylish R Design Pro trim, which comes with standard equipment such as 20-inch alloy wheels, LED headlights and a 148bhp 2.0-litre diesel engine. As the XC40’s popularity has been outstripping supply, Volvo hasn’t been offering a deposit contribution. A customer deposit of £5,500 is followed by 36 monthly payments of £467.83, bringing the total to £22,341.88. An optional final payment of £18,000 can be made to own the car, bringing the final amount to £40,341.88. Because of the 5.9 per cent APR rate and lack of contribution by Volvo, it works out at over £4,300 more than the £36,020 asking price.
EVEN eight years since its original release, the Range Rover Evoque remains a fantastic-looking SUV. An all-new model is expected shortly but it’s still a popular choice, and in the spec we’ve selected – SE Tech – it comes with 12-way electric leather seats, satellite navigation and Xenon headlights. We’ve chosen it with the 2.0 TD4 diesel engine, which in 177bhp guise delivers a good balance of performance and fuel economy. A £5,500 customer deposit is topped up by a Land Rover deposit contribution of £1,750. This is followed by 36 monthly payments of £462.10 – bringing the total payable to £22,135.60. If the customer then wants to buy their Evoque, there’s an optional final payment of £18,864, which makes the total amount handed over by the customer £40,999.60 – £2,694.60 more than the £38,305 cash price.
EXPANSION
Startline settles in at bigger premises after year of rapid growth R apid growth over the past year saw Startline Motor Finance move into larger offices in Glasgow in September. At 7,500 square feet, the new premises – still within the city’s Skypark development – are around two-and-a-half times larger than the company’s previous headquarters. Startline now has 85 employees and in the past few months has appointed its first head of IT and digital and first head of business intelligence, alongside a range of other new roles. Chief executive Paul Burgess, pictured right with chief operating officer Gregor Sutherland, said the additional space should see Startline through its next phase of development. ‘The last 12 months have been transformative
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by TED WELFORD @TedWelford
for the company. We are now working with a wider variety of dealer groups and online portals, giving us access to many more potential customers. Also, we have extended our product range beyond our core hire purchase product to add PCP and Finishline, which is designed to extend the reach of our flexible prime concept. ‘Looking into 2019, we foresee further, similar growth, and the new move gives us the space and the physical infrastructure to enter that phase of development.’ Since it was established five years ago, Startline has been a pioneer in the motor finance sector, specialising in products that are
designed to be used when a mainstream prime lender rejects an applicant. Burgess said: ‘It makes no sense and is unfair that buyers who fall slightly below prime lender requirements very often end up using a sub-prime offer. There should be other options. ‘We believe that with a shifting social and economic landscape signifying changes in home ownership and employment patterns, a move towards products like Finishline makes absolute sense and, if the economy continues to falter, will be even more relevant. What we do at Startline is treat the applicant as an individual.’
IN ASSOCIATION WITH
BMW X2 THE X2 is yet another new vehicle to join the bustling crossover and SUV market and is an all-new model for BMW, combining smart looks with excellent driving dynamics. M Sport trim is our choice here, and it comes with a neat styling pack, LED headlights, 19-inch alloys and heated seats. The engine is the xDrive20d – a punchy 187bhp, 2.0-litre diesel. On top of the customer’s £5,500 deposit, BMW contributes £1,621.23. Over the three years, 35 monthly payments of £415.36 will be made by the customer, which add up to £20,037.60. If they then wish to own their X2, an optional final payment of £19,106.80 can be made, bringing the overall amount to £39,144.40 – £1,014.40 more than the £38,130 cash price. Thanks to BMW’s low APR of 3.9 per cent, it works out cheaper to buy on finance than the other two cars here.
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FINANCE & LEASING ASSOCIATION
Business volumes and values rise in new and used sectors for August NEW figures released at the beginning of October by the Finance & Leasing Association show that new business volumes in the point-of-sale consumer new car finance market grew by nine per cent in August compared with the same month in 2017, while the value of new business was up by 14 per cent over the same period. The percentage of private new car sales financed by association members through the point of sale fell slightly to 89.6 per cent in the 12 months to August. Meanwhile, the point-of-sale consumer used car finance market reported new business in August up nine per cent by volume and 15 per cent by value compared with the same month last year. Geraldine Kilkelly, the association’s head of research and chief economist, said: ‘A boost to private new car sales in August ahead of changes to emission standards in September contributed to the increase in new business volumes reported by the point-of-sale consumer new car finance market.’
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Diesel concerns lead to large discounts on SUVs
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MOTORISTS are being offered discounts of up to a quarter onK new large SUVs amid an increase in the number available and concern over diesel emissions. They have traditionally been hard to negotiate deals on, because of their popularity. Analysis by mystery shoppers across 7,500 new cars on sale between June and August, though, found ‘achievable discounts’ of almost £3,000 off list prices, according to car-buying guide What Car? Editor Steve Huntingford said: ‘Large SUVs tend to be diesels, and the negative publicity and threat of future diesel taxes could well have played a part in dealers finally starting to offer discounts on large SUVs. ‘The fact that there are so many models for people to choose from now has probably contributed to the number of deals available.’
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AUDI R8 V10 RWS PAGE 54
ALPINE A110 PAGE 46
BMW M3 CS PAGE 48
VOLKSWAGEN UP! GTI PAGE 52
38 | CarDealerMag.co.uk
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JAGUAR I-PACE PAGE 56
FORD FIESTA ST PAGE 58
‘For 2018 we’ve gone for a real-world selection from a variety of different segments, all judged on the same criteria.’
Introduction: JAMES BAGGOTT Photography: DEAN SMITH Location: NORTH WALES CarDealerMag.co.uk | 39
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Every autumn, we try out our favourite cars of the year on great driving roads in Wales. James Baggott consults his RTOTY notebook once again and introduces you to our class of 2018...
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he B-road twists and turns, rises and falls across the Welsh moors like a tired rollercoaster at a seaside resort everyone stopped going to a long time ago. It’s unnerving, worryingly unsighted and peppered with unsettling ruts, jumps and badly placed, low-slung dry stone walls. To make matters worse, the crumbling surface is moist with the remnants of a squally Welsh shower that appeared from nowhere and disappeared just as fast. It’s enough to give most cars a headache, but not this one. I’m in the cheap seats of this test, the David to the Road Test of the Year Goliaths, and really, honestly, I couldn’t be having any more fun. It’s hard to believe everything you’ve read about the little VW Up! GTI. I know I certainly didn’t, that’s for sure. When it turned up at the Llyn Brenig visitor centre car park and was quickly surrounded by the rest of our RTOTY offerings, I admit I barely gave it a second glance. I checked out the tartan seats, admired its tiny proportions, but that was about it. Fast-forward 24 hours and I’m bouncing along this ballsy B-road, enjoying full four-wheels-in-theair jumps, all powered by a peppy, turbocharged 113bhp fizz from a diminutive 1.0-litre power plant. We’re three up – editor Bec is bouncing about in the back while Jonny Reay is air-grabbing for a non-existent grab handle in the front, all three of us giggling like toddlers who’ve had way too much Haribo. It’s one of those snatched drives, enforced on us for logistics, with a deadline dictated by a soon-to-expire parking ticket on a Citroen C1 (don’t ask), but it’s one that becomes an unforgettable part of our three-day test in north Wales. I love this thing already. TOUGH TEST These drives, between picture demands and home-cooked team meals, are what make RTOTY so special – they’re a chance to try our favourite cars of the year, on our favourite roads in the country, in an attempt to eventually decide upon a winner. This year we’ve taken a slightly different tack when choosing the contenders. In previous tests, 40 | CarDealerMag.co.uk
there’s been a halo, a stand-out supercar – think a Ferrari 458, or the McLarens of more recent years – but not here. No, for 2018 we’ve gone for a real-world selection from a variety of different segments, all judged on the same criteria. There’s a mathematical spreadsheet to judge them on – points awarded for everything from value for money to excitement, technology and practicality. And each of our testers gets a say too, each awarding their own points, added together to help us crown our joint number one. You can never really tell what’ll come out on top and that’s sort of the point. So what else is getting speckled with beads of finest Welsh precipitation? In the French corner is one very special machine indeed. It’s not just a new model, but one from a rejuvenated brand, stirred from the dead deep in Renault’s lock-up – the Alpine A110. It’s another car that’s got a whole world of hype resting on its perfectly proportioned haunches. Smaller than you’d expect, but so much more visually appealing in the metal than in pictures, it needs to live up to some pretty high expectations. Think the love child of a Lotus Exige and Porsche Cayman and you’re sort of halfway there. In fact, ‘hype’ could well be the buzzword for this year’s test, as the Ford Fiesta ST has similar high hopes hanging around its neck. The reviews have been raving – I’ve seen ‘best Ford ever’ bandied about in more than one, which might be pushing things a little, but it’ll sure be fun finding out. The Fiesta has already had a chance to win over two of our testers on the six-hour drive from our Gosport HQ to Wales. Jon and Jack have been enjoying its raucous 1.5-litre three-cylinder turbocharged unit on the fast-flowing A-roads on the way to our Airbnb base, and they burst through the door on Sunday evening extolling its virtues. Jack’s particularly smitten with the baby Ford. ‘It’ll be mega here,’ he says. ‘It’s got incredible grip and is so, so quick.’ Jon doesn’t seem quite so convinced. ‘I like it a lot, but need some more time with it,’ he says. Time is one thing we’ll have in abundance over the following three days, as snapper Dean Smith
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‘Fast-forward 24 hours and I’m bouncing along a ballsy B-road, enjoying full fourwheels-in-theair jumps.’
insists we shoot from dawn to dusk – focusing on a car at a time so that each model enjoys an equal share of attention. CHARGING WOE Luckily, the Ford’s trip to Wales wasn’t quite as eventful as mine. Also here for our showpiece test is Jaguar’s radical new I-Pace electric car. It’s an incredible machine. With a dramatic look, SUV practicality, and an impressive build quality, all the signs are incredibly positive. With a full charge, it’ll do around 200 miles, and it’s packed with impressive technology. It’s a landmark moment for Jaguar, but my word is it let down by a woeful charging infrastructure across the UK. We started with a full charge and planned to top up at the services on the M6 Toll, hoping a fast charge would put enough voltage in it to get us to Wales. If only it were that simple. Apologies if you read my Twitter rant on the day, or the moaning blog that followed, but for those of you who missed it (which is probably a good thing) I’ll quickly recap. We arrived at the services expecting CarDealerMag.co.uk | 41
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to grab some lunch while the Jaguar sucked in some juice for 45 minutes, but found that only one of the Ecotricity charge points was working. To make matters worse, two Nissan Leaf owners were already waiting to top up. That alone would take an hour and a half. And that’s one of the biggest problems of charging in public – you never know how many cars are going to be waiting ahead of you when you get there. Eventually we got to plug in and headed off for (yet another) coffee while it charged. Half an hour later I went back to check and the post had added just four miles to the depleted 10-mile range. The charge plug we were using wasn’t a fast charger while the other one appeared to be incompatible with the Jaguar. Welcome to the confusing and frankly ridiculous world of electric car charging on the go. By this point, already incandescent with rage, I realised that we had over-stayed the two-hour free parking limit at the services. I went in to pay and was told my half-hour misdemeanour would set me back £13. I resisted the urge to say she should have been wearing a mask and striped jumper, but certainly thought it. Another charge point was located six miles down the road, situated by the overflowing bins in the car park of a Holiday Inn. There we sat for another hour, taking in the view, while the Jaguar topped up with enough range to get us to Wales. The whole sorry affair sapped four long hours of my life. Moral to the story? Don’t ever recommend an electric car to someone who needs to charge on long distances. It’s a system that doesn’t work and is so far from being fit for purpose, it’s a very sad joke. Rant over. On the plus side, when the I-Pace is charged, it really is utterly brilliant and blisteringly quick. At any speed, the instant torque catapults you forward at dizzying speeds – it’s quite addictive. Just remember to charge it up at home before you leave… PUZZLE PIECES Differing journeys to Wales long behind us, we arrive at the Llyn Brenig visitor centre on Monday morning to breathe in the reservoir landscapes, drink the café’s supercharged filter coffee and wait for the arrival of the last pieces of our RTOTY jigsaw puzzle. Already waiting for us in the car park is the Audi R8 RWS. All white with black wheels, it’s typically no-nonsense monochrome – a supercar The German Way. We’ve had plenty of R8s in our 42 | CarDealerMag.co.uk
‘The BMW truck trundles down the road and Jon and Jack head off to pick up our final contender.’
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RTOTY line-ups over the years, but this is the first with rear-wheel drive. Will it make a difference? Can an already impeccable package be improved? I don’t take long to attempt to find out. After wrestling the keys from the delivery driver – who isn’t allowed to give them to us until the clock strikes 9am (another German thing) – I decide an early-morning raid to Morrisons is needed. The troops will need feeding, the petrol in the tank won’t burn itself and, well, why not? That V10 hasn’t got any less intoxicating over the years. As it surges up the rev range, it emits a sonorous wail, deep at first, rising to a spinetingling crescendo. It’s utterly delightful, full of drama, and still makes this car an event. The R8 does feel a bit old, though – a little long in the tooth, maybe even just a bit common. Perhaps that’s because once it was so unusual, so visually arresting that we’ve got used to its looks as they’ve filtered down through the range. I remember when the daytime running lights were a sassy new design feature on the R8. These days, they’re even on an A1. The run to the supermarket is a quick one. One
of my favourite roads, the A543, runs north to Denbigh, fast in places, silly in others. It’s starting to get a lot of attention from Plod, and rightly so. We have a visit on day two from Wales’s finest and they tell me they’ve seen fatal crashes creep into double figures on the roads around Bala this year. On my supermarket sweep I’m careful. The R8 – even in this Rear Wheel Series – never feels anything other than safe, secure and super fast. MISTAKEN IDENTITY Back at the car park, everyone is waiting for our last arrival. The BMW truck trundles down the road and Jon and Jack head off to pick up our final contender. But there’s a problem. Jack reappears with his head in his hands. I immediately think the worst. Have they put a limited-series BMW into the pine trees? ‘What is that?’ I ask as Jon rolls up in a 530e. ‘It’s a 530e,’ says Jon. I can see that, I tell him, but why on earth is it here and not the M3 CS we were expecting? It appears the delivery driver has made a ‘slight’ error. When loading CarDealerMag.co.uk | 43
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the cars, he’s rolled YD18 VML on board, a BMW 530e, and not YD18 WML, the M3 CS we were waiting for. Cue a press office phone call, a driver quickly dispatched in the right car from Farnborough and a six-hour wait for a matt purple BMW. When it finally pulls up, the sun is beginning to set and we’re packing up for the end of day one. I bag the keys to our latest arrival, a car I was lucky enough to fly to Germany to try on the launch. Out there, on the road and track, it was sublime. Alive, taut and compliant, it's as exciting as an M3 could be. Here in Wales, the CS was a handful. The heavens had opened and the shiny road surfaces were teeming with water, running off the moors in dangerous pools. It was enough to unsettle the fierce BMW. Underneath that bulging bodywork is a
tremendously powerful 3.0-litre twin turbo unit. With 460bhp to channel through lightly grooved rubber, running water on the road surface is enough to give you one of those twitches – these tyres and rainwater are certainly not good friends. Parked up back near our Airbnb, safe and unscathed, I hope for some clearer skies and the chance for the M3 CS to prove to the rest of the team what I already know it’s capable of. Day one wrapped, I rustle up a curry while the others exchange pace notes. The Alpine has many of them raptured, the Fiesta has others enthralled, and I’m still shouting about how good the Up! GTI is, but no one is listening. The arguments go on long into the night over not-quite-chilled-enough beers and cheap white wine. It’s clear, as always, we won’t be picking a winner any time soon – but at least there’s plenty more time to try them out...
‘We won’t be picking a winner any time soon – but there’s plenty more time to try the cars out...’
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The 2018 RTOTY test team (minus Tom Wiltshire). From left: editor Becca, head of design Graeme, boss-man James, plus Jon and Jack
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Feature.
T
he sensation of movement inside a modern car can sometimes feel a little sterile. The protection we get from the outside world and the clever onboard technology creates a little cocoon, disconnected from the road and with little steering feel. However, as I’m driving along a brief straight in the Welsh countryside with trees verging on autumnal everywhere I look, the Alpine A110’s cockpit is painted with light. It creates an atmosphere similar to a fighter jet soaring through faint clouds on an almost clear day as the high-gloss, interior body-coloured panels become speckled with brightness. The layout of the Alpine forges an intense feeling of control. The balance is perfectly weighted around my hips, and while others want to put the seat back further and can’t, my dainty proportions for once match the car’s. For its size, the 1.8-litre engine seems a bit overzealous too, especially as it’s turbocharged, but the pairing is an absolute delight. From the driver’s seat, the noise from the four-cylinder 16v engine creates a glorious rumble 46 | CarDealerMag.co.uk
that progresses to a smooth roar and completes a perfect driving package. Personally, I still can’t decide if I think this car is classically designed or futuristic. When it arrived at our Snowdonia location, the iconic shape resurrected images in my mind of snowy alpine hills littered with fir trees and a rally-spec A110 cruising the icy roads. However, the styling still looks bold. The curves are strong, and the round lights give an unmissable glare – particularly as the dark clouds swoop over and the rain begins to pour. In my eyes, the greying backdrop only brings out the glamour in this car, too. It’s subtle when it needs to be and raucous when you want it. From inside, yes, it does still feel like a Renault. It has all the key trademarks of the famous French brand, but enough special touches to make it feel different. The Alpine logo in the centre of the steering wheel is enough to put a
grin on your face, while the stripped-back bucket seats beckon you to go racing. The twists and turns of these roads are no match for the Alpine – pronounced Al-peen, by the way – as I’m constantly reminded on our road trip. Its small proportions allow it to get away from the other cars with ease, most of the time not touching the limit of the 248bhp it’s harbouring within. It’s easy to feel deceived as we’re slicing through twisty bends like butter. Input into the A110 is so direct, you feel it’s unnecessary to put it into ‘Sport’ mode to feel you’re getting the performance that it’s capable of. With one push of that big red button though, the dials come to life, the engine noise fires up a note and you can really feel the power firing through your foot. All of a sudden, the way that Welsh hills like to, the roads will open up and there’s enough space to enable you to really put your foot down. At this point, I realise I’d been occupying the lower echelons of what the Alpine can do. There’s one experience that can without a doubt put a smile on my face, and that’s pushing my foot to
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‘From the driver’s seat, the noise from the four-cylinder 16v engine creates a glorious rumble.’
The knowledge: Alpine A110 Price (as tested): £50,900 Engine: 1.8-litre four-cylinder 16v turbocharged Power: 248bhp Top speed: 155mph 0-60mph: 4.5 seconds Fuel economy: 46mpg Emissions: 138g/km Price (as tested): £50,900 the floor and feeling the kick from the engine behind me send me flying down the road. While the A110’s history suggests oiled-up mechanical parts and skilled driver input, one of the fantastic things about the 2018 model is that it’s incredibly easy to drive. Yes, there are a few hairy moments on a wet Welsh road when you’re pushing it particularly hard, but as everything is so direct and analogue, driving feels close to the limit but never out of control. In the same vein, the automatic gearbox is so fast you’d never to put it into manual for anything more than the fun of some flappy-paddle action and proving to yourself you know how to take a corner properly. With tricolour badges emblazoned across the inside and outside of the Alpine, it’s got Parisian passion seeping through its fuel lines. The car feels alive, it wants to go and it wants to go fast.
Rebecca Chaplin @believebecca CarDealerMag.co.uk | 47
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comfortable interior, efficient hybrid powertrain and the possibility of 148.7mpg. When we asked BMW to send us an M3 CS, we certainly weren’t expecting all this. I’d anticipated something a bit smaller, considerably shoutier and far less hybriddy. That said, once the error had been rectified and the 530e iPerformance we had mistakenly been sent had been swapped with a bona fide M3 CS, an mpg figure in the teens and the bark of a turbocharged straight-six assured me that I was now in the right car. The M3 CS is sort of a ‘greatest hits’ of the latest F80-generation BMW M3. The model is now dead – BMW thought it uneconomical to prepare the M3 for WLTP regulations when an all-new 3 Series is on its way next year – so this represents the last of the line for one of the most impressive compact super-saloons money can buy. And that’s why it’s here with us on our Road Test of the Year. Of course, being a product of BMW’s M Division, the CS is far more than just a badge and 48 | CarDealerMag.co.uk
a paint finish (though what a paint finish it is – matt dark blue has never looked so good). The first thing you’ll notice are the stunning wheels – lightweight forged-alloy units, 19 inches at the front, 20 at the rear and shod in Michelin Pilot Sport Cup 2 tyres. They sit in front of giant carbon-ceramic brakes with eye-catching gold callipers. Step closer and the M3 CS’s lightweight tweaks are plain to see. There are frankly obscene levels of carbon fibre on this car, including the obvious stuff on the front splitter, rear spoiler and rear diffuser, but look carefully and you’ll notice that the roof and bonnet are both crafted from the stuff too. The overall effect, when combined with the usual M-car features of enormous wheel arches and copious application of badges, is pretty spectacular. If one of these things comes up behind you on the autobahn, I’d suggest moving
out of the way sharpish. And if one comes up behind you on a damp, twisting Welsh mountain road? Well, unless there’s a racing driver behind the wheel, you can probably chill out. Driving the M3 fast in these conditions is only a few steps short of terrifying, for a few reasons. First, there’s the power. I’ve just stepped out of the Up! GTI, whose 113bhp is fantastic fun – you can absolutely rag it without ever hitting the limits on the road. The M3’s 454bhp requires a gentler touch. Then there’s the width of the thing. It’s no M5, but those blistered rear arches make the M3 a fairly girthy beast. Meet another vehicle on one of these super-narrow roads and you risk scraping the side on a conveniently-placed drystone wall or falling into one of many valleys. The final pieces of the puzzle are the tyres. They’re incredible in dry conditions but virtually gripless on damp Welsh surfaces, so the back end steps out with frighteningly little throttle application. Of course, we’ve taken the car far out of its comfort zone here, and as the road dries a little it’s clear that in the right conditions it’s a fabulous bit of kit. This is the most hard-core and
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The knowledge: BMW M3 CS
‘There are frankly obscene levels of carbon fibre on this car.’
focused M3 you can buy, and if you were to turn up to a track day in one, you’d certainly run rings round most of the competition. Performance is of course ferocious – 0-60mph comes in well below four seconds, and its top speed is limited to 173mph rather than the 155mph of the standard car. Perhaps more impressive is the composure and feedback from the chassis – grip is superb in the dry, and the thick-rimmed steering wheel bristles with feedback. The interior, too, is pleasingly pared back. There are the essentials – iDrive,
Price (as tested): £97,980 Engine: 3.0-litre twin-turbocharged straight-six Power: 454bhp Torque: 600Nm Top speed (limited): 173mph 0-60mph: 3.7 seconds Fuel economy: 26.6mpg Emissions: 240g/km
air con, Alcantara – but nothing’s unnecessarily overstyled. Just a pair of brilliant sports seats, a wonderful ‘M’ stripe on the seatbelts and a CS logo sunk into the dashboard. Though its price tag puts this car dangerously close to supercar territory, it really does get dangerously close to the supercar experience.
Tom Wiltshire @mctreckmeister CarDealerMag.co.uk | 49
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CarDealerMag.co.uk | 51
Feature. ‘The standard Up! is a handsome city car but the GTI is simply adorable.’
The knowledge: Volkswagen Up! GTI Price: £14,055 Engine: 1.0-litre three-cylinder petrol Power: 113bhp, 200Nm Top speed: 122mph 0-60mph: 8.6 seconds Fuel economy: 58.9mpg Emissions: 110g/km
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ou might not think that a tiny hatchback with just 113bhp could be scary, but I must admit it was with a bit of trepidation that I approached the VW Up! GTI. You see, the last time I’d driven one, it ended up being pulled out of the axle-deep gravel trap at the iconic Ascari race circuit. A combination of a lack of sleep, a much faster Golf GTI in convoy behind me and a very angry German man yelling at me to speed up on a walkie-talkie in the cupholder meant that I pushed this tiny hatchback beyond my own limits and ended up a little bit off the track. Just a little bit, mind you – no people or cars were harmed, and according to those following me it was quite the spectacle. But today I was well rested, full of energy drink and in Wales – surrounded by winding roads, sharp bends and exactly the kind of terrain where a tiny hatchback is in its element. And what a tiny hatchback this is. The standard VW Up! is already a brilliant little city car, and although the competition’s improved drastically since it launched in 2012 it’s still my 52 | CarDealerMag.co.uk
personal favourite. That’s mostly down to the way it drives – it’s got sharp steering, great handling, and a beautifully balanced ride. So adding a sporty GTI makeover, a peppy turbocharged engine and fettling the suspension can only make things better, right? I’ll get on to that later. First, a bit of a history lesson. The original VW Golf GTI – the car that started the whole hot hatchback craze – was 3,705mm long and 1,628mm wide. It weighed in at 810kg and produced 108bhp from its 1.6-litre, four-cylinder engine. The Up! GTI is 3,600mm long and 1,641mm wide, weighs 997kg and has 113bhp on offer from its 1.0-litre, three-cylinder engine. So in terms of dimensions and power, the two cars are surprisingly similar, and it’s no surprise that Volkswagen’s trying to cash in on this. Over seven generations, the Golf has morphed into an unrecognisably huge car – it’s over two
feet longer, nearly eight inches wider and has nearly half a ton of additional weight. And while the Golf is hugely accomplished, it’s come in for a fair bit of criticism as it’s matured – with many saying it’s become too safe, too predictable and too clinical. The Up! GTI, then, has the job of capturing the spirit of the original car. It has to be practical, compact and easy to drive – all while being fun and, above all, characterful. And boy, does it deliver. First, there’s just how cute this car is. The standard Up! is a handsome city car but the GTI is simply adorable, wearing its ‘big boy’ wheels, lowered just enough to look purposeful, and blessed with abundant red styling lines – a hallmark of GTI models that sadly didn’t show up too well on our red test model. The inside, too, is great fun. Tartan seats are another GTI icon and are present and correct, but it’s also got practicality in spades – remarkably usable back seats (for a city car) and a big boot are both massive ticks. The real grin comes when you start it up, though. A 1.0-litre engine isn’t big, but VW’s
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added a ridiculous and mildly hilarious engine noise synthesiser to give it a throaty burble, developing into a rather wonderful shout as the revs climb. The whole package makes you think that maybe, just maybe, the mission statement for VW’s engineers during the development of this car was ‘don’t take things too seriously’. That philosophy extends to the driving dynamics too, which aren’t the most sophisticated – but definitely embody ‘fun’. The car’s light weight, grippy tyres and wonderful handling make it eminently chuckable into the corners. You have to be really going some to unstick this car – which is ideal, as the little engine isn’t really capable of daft speeds in the first place. There is, however, enough power to have a lot of fun. 0-60mph may take a pedestrian 8.6 seconds but there’s grunt where you want it – plenty of punch in the middle of the rev range, only tailing off when you hit motorway speeds. Chasing the redline isn’t quite as satisfying, though, as it’s rather breathless at the top end. Changing gear is a weak link, too. It’s not
dreadful, but for a ‘performance’-orientated car, you’d hope for a slightly crisper shift action. As it is, the Up!’s gearshift is just a little vague, with a slightly longer throw than we think is necessary. The ride, however, is superb – it’s firm, but takes the edge off even the worst ruts in the road. The real question is whether this car is truly deserving of a GTI badge. The problem is, while the original spirit of the GTI has been captured, those three letters have come to embody a line of hugely dynamically accomplished cars. Alongside the Polo GTI and Golf GTI, the Up! GTI feels out of its depth. But take it for what it is – a hugely fun, very practical and characterful ‘warm’ hatchback – and it’s in a class of one. Add a tempting, sub-£15,000 price tag and there’s very little you can call this other than a massive bargain. We love it.
Tom Wiltshire @mctreckmeister CarDealerMag.co.uk | 53
Feature.
‘Even on the sodden roads of Snowdonia, it never feels anything close to scary – just entirely predictable.’
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ules are meant to be broken, or so the old adage goes. When you’re as sensible and Germanic as an Audi engineer though, you can’t expect these things to happen overnight – which is presumably why it’s taken so long for them to get here. Believe it or not, the car you’re looking at is something almost revolutionary for the chaps from Ingolstadt: the first rear-wheel-drive Audi in more than 40 years. Four-wheel drive has been at the heart of Audi’s performance cars ever since the famous Quattro rally car of the 1980s. The RSes – 2, 4, 5, 6 and 7 – that followed all kept to the same recipe, usually with astonishing results. So the question is, why even bother changing that now? The first thing to remember is that this isn’t just an option that’s available at a regular Audi dealership. As the ‘1 of 999’ badge on the dash dutifully reminds us, fewer than 1,000 examples of the R8 RWS will be made. In other words, Audi isn’t keen for this rear-wheel-drive thing to become the norm. Secondly, as handy as it is having all four wheels doing the driving, the hardware to take care of it has some disadvantages. By lopping off the bits that drive the front wheels – ie, the centre and front differentials, propshaft and so on – Audi has shaved 50kg off the weight of a standard 54 | CarDealerMag.co.uk
R8. Finally, Audi itself might not be familiar with sending power exclusively to the back of the car, but the R8’s Italian platform-mate – the Lamborghini Huracan – is no stranger to this sort of thing. So what’s the RWS for then? Audi says it’s a genuine attempt at courting proper driving enthusiasts: people want just a little extra edge from its £100k+ supercar. Despite this though, not a lot has actually changed from the standard car – and it shows. Cute limited-run dashboard badge aside, the RWS gets the same interior as the standard car, and it’d take a serious Audi nerd to spot the differences externally too. The dual-clutch automatic gearbox is the same, while its 5.2-litre V10 is carried over unchanged as well. Unlike an RS-badged Porsche or a CS-spec BMW, there’s been no real attempt made to shed any extra weight either. No removal of soundproofing, no uncarpeted floor, no extra bits of carbon fibre. Some would argue that kind of behaviour would be against the R8’s ethos in the first place. It’s not meant to be a stripped-out, hardcore trackday special after all: it’s a supercar you can use every day, so why shouldn’t it have comfy seats, Alcantara trimmings and a Bose stereo? That’s all well and good, but aside from some tweaked dampers and a stiffer anti-roll bar, very little has changed at all.
The knowledge: Audi R8 V10 RWS Price (as tested): £114,170 Engine: 5.2-litre V10 Power: 532bhp, 540Nm Top speed: 198mph 0-60mph: 3.5 seconds Fuel economy: 21.1mpg Emissions: 306g/km Put bluntly, Audi simply chops the front half of the drivetrain off and calls it a day. This all has the effect of making the RWS feel… largely like a normal R8, to be honest. Anyone expecting a fire-breathing, tank-slapping, sideways monster of a car from a company as safe as Audi is bound to be disappointed, but it’s actually impressive in itself that the RWS grips as keenly as it does, even without the famous Quattro badge on the grille. Even on the sodden roads of Snowdonia, it never feels anything close to scary – just entirely predictable, with only an overly zealous ESP system jumping at slippery T-junctions. This does rather raise the question of why you’d pick this over a regular R8. Some will buy
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for the exclusivity: a one-in-a-thousand supercar, and arguably a one-in-a-million Audi as far as its drivetrain is concerned. If the potential of a future classic isn’t enough, Audi has kindly made the RWS a fair chunk cheaper than the standard car as well: around £14,000 less in fact. What we shouldn’t forget is that, rear-wheel drive or not, the R8 is still a formidable supercar, and something of a dying breed. It can’t be long before emissions regulations kill off the fabulous 5.2-litre V10 altogether, and that will be a sad day. Tearing around the hills of north Wales with 10 cylinders wailing away less than a foot behind you, it’s hard to imagine any other road car offering such a warm and fulfilling soundtrack. Keep this in mind and the RWS sort of starts to make sense. Think of it not as a stripped-out, track-focused version of the R8 – because it isn’t – but as a last hurrah for a big-block, naturally aspirated mid-engined supercar that probably won’t be around for much longer.
The low-slung driving position still feels special, the steering and brakes are still beautifully crisp, and Audi’s formidable S-Tronic gearbox still remains one of the best, letting you make the greatest possible use of the sheer lump of power from that peach of an engine. The feeling that doesn’t go away though is that not only is the standard car just as fun, but it’s more confidence-inspiring and arguably more usable to boot. The RWS feels like a missed opportunity: a chance to give the R8 a proper send-off before an era of hybridisation is ushered in. That’s not to say it’s bad – it’s every bit as fabulous to drive as the standard car. What it isn’t, unfortunately, is any better – and that feels like a crying shame.
Jon Reay @JonReay CarDealerMag.co.uk | 55
Feature.
T
he future’s electric – that’s what many car manufacturers would have you believe. In recent years, there’s been a surge (excuse the pun) in the adoption of plug-power, and Jaguar is the one of the latest to join the electro-fray with this, the I-Pace. You’ll have read about the issues we had getting the Jag up to north Wales in the first place. However, the problems didn’t quite stop once the big, red I-Pace settled down outside our countryside lodgings. We’d expected the charging speeds at the cottage not to be that speedy, but we still weren’t fully prepared for quite how slow they would actually be. We found our way into the garage, plugged the enormous charging cable into the socket, fumbled around attaching it to the car itself, said a few words that aren’t suitable to print and then, finally, we had a green light – charging. Phew! And then we checked the display... A full charge was going to take more than 30 hours. Over a day for a full battery! Which brings us to one of the biggest issues with electric cars at the moment. As manufacturer technology progresses, the ranges on these cars – the I-Pace included – become greater and more impressive. To get that, you need to fit denser batteries – you’re essentially fitting the car with a bigger fuel tank. To fill a bigger fuel tank requires more fuel (funnily enough) or, in this case, energy. And at present, the domestic flow speeds we have here in the UK aren’t fast enough to charge a car such as the I-Pace up to a decent amount – simply because there’s so much room to fill with energy. It means that five years ago, you could’ve charged a Nissan Leaf up to half-charge via the cottage plug socket in no time at all – but that’s because the batteries were less dense and the claimed range wasn’t as far. Or, to put it simply, it came with a smaller fuel tank. But, regardless, we managed to get a little bit of
The knowledge: Jaguar I-Pace Price (as tested): £74,390 Engine: 90kWh battery Power: 395bhp, 696Nm Top speed: 124mph 0-60mph: 4.5 seconds Range: 292 miles (under WLTP test regulations) Emissions: 0g/km 56 | CarDealerMag.co.uk
charge into it. Enough to find out how the I-Pace coped in north Wales. The first impressions were overwhelmingly positive. The build quality is excellent, with soft, waxy leather meeting an Alcantara headliner – both of which are contrasted by metal buttons on the dashboard. The sat nav may be the Jaguar system we’re used to (and therefore not quite up to German rivals’ standards), but it all looks – and, most importantly, feels – special. And then there’s the way it drives. There’s that beautifully silent progression that you get with all electric cars, but then there’s the turn of pace of the thing. Jag claims that it’ll do 60mph in 4.5 seconds, and it feels every bit as quick as the numbers would lead you to believe. There’s that instant shove of torque to whisk you right up to speed, leaving the likes of the Up! GTI and even the mighty Fiesta ST wondering which way you’ve gone. It’s impressive stuff, that’s for sure. There’s balance there too. The placement of the batteries along the floor of the car means perfect 50:50 weight distribution, resulting in a car that corners far better than its 2.2-tonne weight would make you think. The steering has a genuine amount of heft to it, too, which means it’s actually quite engaging to drive. And what about the range when you’re driving in a more spirited fashion? If you put the car’s powertrain in its most regenerative-focused mode, then not bad. It’ll apply the brakes to generate energy when going downhill, which is particularly handy in north Wales, where it’s hard to go anywhere without encountering a gradient, although I’ll let you into a secret – in Wales, there aren’t any hills, just mountains. But you can’t help but applaud Jaguar’s commitment to electric. This isn’t just a car; it’s a huge leap forward when other manufacturers are tentatively working towards electric vehicles. Jag has really laid its cards out on the table with the I-Pace. It could easily have gone in with a hybrid version of one of its existing cars, but instead it created a whole new vehicle – which is something that I think deserves recognition. Jaguar has also delivered a product that feels and looks the genuine, premium article – it’s thoroughly impressive. It could head up towards the top of our list on ground-breaking merit alone, but it’s backed up by a genuinely good drive too. Well done, Jaguar.
Jack Evans @jackrober
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‘The placement of the batteries along the floor of the car means perfect 50:50 weight distribution.’
CarDealerMag.co.uk | 57
Feature.
‘The tight, twisting roads of Snowdonia feel like they were designed for the ST.’
T
he third album can be as tricky to deliver as the traditionally difficult second. The Verve continued their run of form after ‘A Northern Soul’ having said that, while Nirvana played a blinder after their earthshattering second album ‘Nevermind’ with the release of ‘In Utero’. So the third album can go well – but it can, of course, go badly too. Forgive me for rabbiting on about bands for a second, but bear with me. You see, the firstgeneration 2005 Fiesta ST was Ford’s smash-andgrab chart-topping debut. The small hot hatch did everything the enthusiast community wanted it to. Then came the second generation, and this is where the car really got into its stride, offering performance and practicality all wrapped up in a good-looking package at a competitively low price. The other hot hatches of the time didn’t know what had hit them. It was like Arctic Monkeys’ 2007 pocket rocket ‘Favourite Worst Nightmare’: a second album that few could compete with. Which brings us to this, the third-generation Fiesta ST and arguably one of the most eagerly anticipated cars of 2018. It’s why it needed to be here on our Road Test of the Year event. The Fiesta ST has a historic ability to punch 58 | CarDealerMag.co.uk
well above its weight, even in the presence of some serious competitors. There was a little bit of an outcry when Ford announced the details of the new one, though. It had dropped a cylinder, now a piddly three-banger compared with the old car’s four. And to some people’s eyes, it didn’t look quite as sharp as the car it replaced. In all honesty, I thought it looked great, but I digress... You see, even among cars such as the ones we assembled for this year’s RTOTY, the ST’s keys are the ones people are eager to grab. Which is why, for most of our time in north Wales, I kept them for as long as possible. The tight, twisting roads of Snowdonia feel like they were designed for the ST, rather than the other way around. Our test car came with a limited-slip differential between the front wheels – a part of the optional £850 Performance pack. It means that when you turn the car into a corner, it bites then keeps chewing on for more – and the ST’s seemingly unending hunger for bends takes some feeding, let me tell you. For those questioning the car’s new, smaller 1.5-litre powertrain, question no longer. Bristling with character, it dispatches the 0-60mph sprint in 6.2 seconds and feels so incredibly strong in the mid-range that you sometimes forget that
you’re in a ‘regular’ hatch. Then there’s the ride. Softer it may be compared with the older car, but that just gives it a little more compliance over broken surfaces such as the ones we encountered. The ST is also just as happy as its predecessor was to cock its rear wheel like a new puppy next to your favourite armchair. Snowdonia threw up a lot of corners that allowed it to display this party trick, and I was more than happy to let it show off. Any complaints? Well, the gearshift is a little long in throw and the steering doesn’t bristle with feel the way that I’d like in a car like this, but they’re just two issues with an otherwise sterling package. Think two disappointing tracks in an otherwise play-from-start-to-finish-then-start-it-allover-again album. Once you’ve stopped driving like your hair is on fire, then the ST does being a normal car extremely well.
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The knowledge: Ford Fiesta ST Price (as tested): £25,190 Engine: 1.5-litre turbocharged three-cylinder Power: 197bhp, 290Nm Top speed: 144mph 0-60mph: 6.2 seconds Fuel economy: 55mpg Emissions: 114g/km It’s comfortable, the boot is big enough for as many brown, carbohydrate-laden foodstuffs as you’d want (blame Mr Baggott for the RTOTY lunch shopping), and during a longer stretch we even saw the heady heights of 44mpg, which ain’t half bad for a car capable of leaving the M3
CS for dead over a wet, slippery Welsh road. The ST inspires such confidence in you that it soon becomes a game of ‘chicken’ between you and the car. On a number of times I backed out of a corner far earlier than the car would have needed, such is the level of grip on tap. All of these reasons are why I think the ST deserves to be high up on our table. It’s such a superb all-rounder and – much like an excellent album – it’ll put a smile on your face whether you’re on a brilliant country road or stuck in traffic on the M25. Difficult third albums? Pah! Ford’s smashed it straight to the top of the charts with this one.
Jack Evans @jackrober CarDealerMag.co.uk | 59
Feature. IT’S decision time. Six contenders whittled down to one winner. Problem is, I have to give my colleagues a say on this one – that’s democracy, I suppose. James I much prefer a Baggott dictatorship – more gets done – and it would also mean I’d get to crown the brilliant Volkswagen Up! GTI as this year’s number one because, let’s face it, it’s the best car here. But, as is tradition, we’ve let a mathematical formula of scores, tabulated beautifully below, decide our star car for 2018, which, thanks to our page layout, you’ve probably guessed by now. So I’ll start at the bottom, but before I do, it’s worth remembering these are our favourite cars
of the year. All of them are winners in a group hug kind of way. I came back from the launch of the BMW M3 CS, the car that finishes sixth here, raving about it. It’s superb to drive – savage, brutal and taut. It’s one of my favourite BMWs ever, but on wet Welsh roads, my colleagues found it a bit of a ‘handful’ (their word). That said, it came third in
the scoring for performance – something that can only really be exploited on flowing A-roads that have been warmed by the sun. In fifth, we have the Audi R8 RWS. That V10 is as glorious as ever – sonorous, tuneful and addictive – but it’s hard to tell anything’s changed under the skin. Unless you’re pushing it beyond its limits, which we weren’t, it feels just like an AWD version of the German supercar. I’m not saying that’s a bad thing, it just feels like the RWS bit is some sort of gimmick. Fourth goes to the incredible Jaguar I-Pace. Despite our troubles charging it up on the way to Wales – and at the Airbnb we stayed in for our test – it impressed on the road. It’s got a remarkable turn of speed, with power always on tap, and it boasts fantastic build quality. I loved it, and if I could live with never having to charge out
L
LO GY
MO
36
28
34
29
346
46
37
38
37
30
340
Volkswagen Up! GTI
45
34
32
33
40
38
38
42
30
332
Jaguar I-Pace
36
41
31
37
33
40
33
33
42
326
Audi R8 V10 RWS
36
42
37
46
39
33
28
25
38
324
BMW M3 CS
34
39
36
42
35
31
39
30
33
319
Our testers’ favourites were...
TO TA
44
38
TE CH
VA LU E
NO
FO R
AL AC T
43
33
PR
CO M
IC
NG LI
44
36
HA
42
45
PE
ND
RF OR
G
46
Ford Fiesta ST
IN ST YL
FO RT
NC MA
TY LI BI DE
Alpine A110
SI
N FU
RA
IT Y
E
NE
Y
And the winner is...
James Baggott
VW Up! GTI
It can only be the brilliant Up! GTI for me. As entertaining drives go, they don’t get much better than this. 60 | CarDealerMag.co.uk
Rebecca Chaplin
Alpine A110
The Alpine has to win for me because no other car keeps me grinning as much. No car could win this test if it blended into a supermarket car park!
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in the real world and simply rely on plugging it in back at home, I’d have one. It’s just what Jaguar needed – a step-change model, and with this, they’ve nailed it. It top-scored in the comfort category too – thanks to sumptuous seats and an SUV-style ride height. In third is my favourite – the utterly delightful VW Up! GTI. I’d have one, simple as that. It’s so much fun on the right roads that you can’t help but giggle like a child as it hops and skips over the bumpy Welsh moors. A fizzy little engine, supple, compliant handling and cute city-car looks – what’s not to love? Taking home silver is the Ford Fiesta ST. Believe what you’ve read about the new fast Ford because it’s sublime. Fast, fun and funky, just six points separate this and our winner – in the RTOTY stakes,
Jack Evans
Alpine A110
The A110 is a car that gets under your skin and refuses to get out. I need to get behind the wheel of one again – and soon. It’s that good.
that’s a close call indeed. In the top spot, though, is the quite brilliant Alpine A110. Just look at it down there – incredibly proportioned and stunning to look at. I had three stand-out drives in the car during our Welsh adventure, all incredibly memorable thanks to its stellar engine, chassis and gearbox. It’s an absolute hoot to drive and a worthy winner of this year’s test. With 50 points available in each category from our road testers, the telling 46 for fun, equally impressive 44 for handling and 43 for performance tell you all you need to know about a cracking return to form for the dormant French manufacturer. Let’s just hope people have forgotten its fire drama on the BBC and take it for what it is – an absolutely brilliant drivers’ car. Vive la France! [CD]
Tom Wiltshire
VW Up! GTI
This pocket rocket is hilarious fun, and were I in the market for a new daily driver I’d absolutely consider it.
‘It’s worth remembering these are our favourite cars of the year...’
Jon Reay
Alpine A110
The Alpine is my winner. It’s lithe, delicate, surprisingly fast and feels well put together. CarDealerMag.co.uk | 61
62 | CarDealerMag.co.uk
Focus on. eDynamix
StockMaster helped us achieve a BIG increase in used car sales EDYNAMIX
T: 0845 413 0000 W: edynamix.com
‘StockMaster is now a hugely crucial cog in our business and I’m looking forward to building on the success we have already had with it.’
Stock videos and photographs are populated using the eDynamix VIDEO1st app
P
arkway Motor Group, which represents Volkswagen at dealerships in Derby, Leicester, Kettering and Northampton, has seen a 20 per cent year-on-year increase in used car sales to July since installing eDynamix StockMaster. Used vehicle profits in this period also increased – by almost £750,000 – while the number of average days in stock across the group decreased by nearly 40 per cent to 42. Mark Barrow, group head of retail sales at Parkway, said: ‘StockMaster has helped keep myself and my team focused on the key metrics any business should be looking at, including daysin-stock trends and stock mix. Both are crucial elements of a successful used car business, yet these figures aren’t readily available for most DMS systems on the market. ‘What we are now able to do is manage the process a lot more closely and react in real-time
– Mark Barrow, group head of retail sales at Parkway Motor Group during the month if we have concerns over vehicle run rates or margin/stock mix. ‘As a business that holds more than 800 used vehicles in stock, this is invaluable.’ eDynamix StockMaster uses stock data from DMS systems to provide a consolidated group view of vehicles available for sale. With tight integration with Auto Trader’s iControl software, the system alerts users to price movements, ad view shifts and desirability changes, nationally and regionally, on a daily basis. This allows dealers to actively monitor and adjust their selling prices to ensure all stock is competitively priced. Stock videos and photographs are also populated using the eDynamix VIDEO1st app, with all stock and media available within Sales Desk, the new lead management platform from eDynamix. Barrow added: ‘Key tools are now available to use – such as vehicles missing images or video, vehicles not advertised, or price differences during a price change. ‘This all means we can manage by exception on the cars that aren’t performing as well as other cars and can really understand the reasons why – and most of the time it’s not the price!
‘We are set a specific target by Volkswagen to achieve our used car target, and YTD we are currently at 115 per cent of that objective, with some huge momentum behind us to hopefully end the year even more strongly. ‘The majority of this has been down to us having an interactive and visible stock system. ‘From the managing director down to the sales executives, we can see the stock and have real ability to poke into those dark corners to ensure no stock goes unnoticed. ‘This is crucial to all areas of the business, not least our profitability. StockMaster is now a hugely crucial cog in our business and I’m looking forward to building on the success we have had already in the short time we’ve been using it.’ Iain Nickalls, eDynamix director, said: ‘Pricing used cars can sometimes be seen as a dark art with people focusing on how they have previously priced to market or prices being set on “gut” feel. With StockMaster and Auto Trader iControl integration, dealers can use a much more scientific and measured approach. ‘StockMaster actively alerts users that there are certain cars that aren’t performing, allowing them to act accordingly to positively affect vehicle turnover and profitability.’ CarDealerMag.co.uk | 63
Focus on. Click Dealer
Making Tax Digital for VAT: Is your dealership ready? CLICK DEALER
T: 01782 454354
E: cardealermag@clickdealer.co.uk
W
ith increased digitisation changing how customers buy products for ever, dealerships are having to adapt the ways in which they operate. In fact, being a dealer is no longer a simple affair at all, especially when faced with an array of different systems, spreadsheets and even the odd Post-it note, just to get through the daily admin. Stock, enquiries, sales, website, CRM, marketing, invoicing, accounting, profit and VAT reports, FCA Gabriel – a dealer’s to-do list is endless. But the one thing that stands out the most when trying to tackle these tasks is that hardly any of these systems and spreadsheets talk to each other, which means multiple log-ins, duplicated data entry and a lot of wasted time. Juggling so many systems just to keep everything in sync is not only inefficient but it also sounds frustrating and painful! Which is why dealership performance partners, Click Dealer, created an end-to-end system, which encompasses all this functionality and more, to help busy dealers save time and increase profitability significantly. Click Dealer can provide integrated modules which can be taken out individually or collectively, enabling a far more efficient way to process business. The digital dealership experts offer a combined DMS and website platform, which in turn links into an enhanced lead management suite. All this is seamlessly interconnected to industry-leading CRM and marketing modules as part of a frictionless operation, refined over almost 20 years of technical experience in the automotive sector. A specialist, in-house Automotive Search Engine Marketing team is on hand to help drive more traffic to dealers’ websites, all of which is tracked. As well as the award-winning online retailing platform ClickEngage, which can be easily embedded into any website, enabling dealers to sell their vehicles directly online, Click Dealer offers everything the modern-day dealership requires in one solution, designed to cater for their every need.
64 | CarDealerMag.co.uk
Is your dealership ready to comply with HMRC’s ‘Making Tax Digital for VAT’ regulations? From April 2019, HMRC’s new Making Tax Digital for VAT rules will apply to dealerships across the UK and all businesses must be prepared to submit their VAT returns via software which can communicate digitally with HMRC’s Application Programming Interface (API) platform. The Making Tax Digital for VAT regulations require VAT-registered dealerships with taxable turnover which is above the threshold of £85,000 to maintain their records in a digital format and file their VAT returns by using appropriate software. In recent times, it has become significantly more common for dealerships’ records and accounts to be stored digitally, utilising software programmes on computers, tablets, smartphone applications, or even maintaining them through these devices and storing them by using a cloud-based application. The main difference Making Tax Digital for VAT will mean for UK dealerships is that the software which they use must be capable of keeping and maintaining the records specified in the regulations. This software must also facilitate preparation of their VAT returns using the information maintained in digital records and communicate with HMRC digitally via its Application Programming Interface (API) platform. This is where Click Dealer’s awardwinning ClickDMS product can provide the answer to dealers’ prayers by taking care of the whole process for them in a frictionless, integrated process, with minimal fuss. ClickDMS is set up and ready to assist dealers
with meeting the Making Tax Digital for VAT regulations from April 1, 2019. The independent dealership experts are already working towards becoming an HMRC approved supplier for VAT submission software and can help dealers to comply with the new VAT notice straight away. If a dealer’s digital records are up-to-date, ClickDMS will be able to collate and prepare their returns. It will then display the return and ask dealers to declare that it is correct and confirm that they want to submit it to HMRC via one simple button. Once dealerships have submitted their return, they will receive confirmation via the ClickDMS software that it has been received. From Digital Invoicing to Accounts Integration Inside ClickDMS, the digital invoice system is linked to dealers’ marketing databases and everything is GDPR-compliant, so they’re fully set up to utilise customer-retention campaigns to great effect. The DMS also captures all the data, so that it can automatically generate reports from acquiring stock, right through to selling it, and for every KPI in between, giving businesses a 360-degree insight into their overall performance. Click Dealer doesn’t believe in re-inventing the wheel, so where possible, its systems are integrated with external platforms, so that data can be shared to save time and combat double entering. A fine example of this is the ClickDMS accounts function which handily exports to both Sage and Xero. ClickDMS is already set up to be fully compliant with next April’s digital VAT changes implemented by HMRC and can even send Auto Trader portal enquiries straight to dealers’ inboxes, to make sure that they remain compliant and prevent any leads from slipping through the net. l If you’re currently using paper-based methods or Excel spreadsheets to manage your VAT returns, give Click Dealer a call today to find out how ClickDMS can solve all of your problems at the click of a button!
CarDealerMag.co.uk | 65
Choosing a used car can be a headache for many customers. As an RAC Approved Dealer you’ll receive exclusive benefits to support the growth of your business and drive customer confidence. USE OF OUR TRUSTED BRAND* / OUR 82 POINT PREPARATION STANDARD / ADDITIONAL RAC PRODUCT REVENUE STREAMS INCLUDING RAC WARRANTY / FREE POS MATERIALS / 12 MONTHS’ FREE RAC BREAKDOWN COVER FOR YOUR CUSTOMERS
Call us today and benefit from RAC Approved status: Call: 0330 100 3807 Email: dealernetwork@rac.co.uk Visit: rac.co.uk/getapproved *76% of used car buyers surveyed who purchased a car from the RAC Approved Dealer Network said that the dealer’s affiliation to the RAC impacted their decision to buy a car from them. (Source: RAC Reviews)
66 | CarDealerMag.co.uk
Focus on. Dealer reviews & Approved schemes
Use the power of the RAC brand to increase your used car sales RAC
T: 0330 100 3807
W: rac.co.uk/getapproved
I
n a highly competitive used car market, how do you differentiate yourself and create leads that have the highest chance of converting into sales? Almost 340 dealers around the country are answering these questions by becoming RAC Approved Dealers. These used car retailers are using the RAC brand to radically enhance perception of their business. Research shows that 80 per cent of used car buyers surveyed who purchased a car from an RAC Approved Dealer said that doing so gave them more confidence, while 76 per cent added that their affiliation to the RAC positively impacted on their decision to buy a car from them. Sean Kent, pictured, sales director at the RAC Dealer Network, which partners with The Warranty Group, now part of Assurant, said: ‘The philosophy behind the RAC Approved Dealer initiative is to offer a used car proposition completely worthy of the trust that customers place in the RAC name. ‘Being able to use the brand means that dealers are able to genuinely differentiate themselves from their competition, creating more interest from consumers and, of course, generating more leads and higher sales.’ At the heart of the RAC Approved Dealer proposition is RAC BuySure, a unique used car offering that is designed to meet and exceed buyer expectations of the RAC brand. Sean said: ‘RAC BuySure has been continually developed since its launch five years ago specifically to provide used car customers with a national initiative that sets the very highest standards in the market. ‘Being part of the scheme means a high level of commitment from dealers in providing the right vehicles and the right level of support. However, they are rewarded with leads and customers who are prepared to pay more for a vehicle and service of this quality.’
Buying from an RAC Approved Dealer gives consumers much more confidence
What is an RAC Approved Dealer? RAC Approved Dealers are the only dealers who offer RAC BuySure. This includes: l Vehicles prepared to the RAC 82-point standard l A minimum three-month warranty term provided by the dealer l 12-month complimentary roadside, recovery and home breakdown cover l Permission for the dealer to advertise themselves as an RAC Approved Dealer, and extensive use of the RAC brand – including free point-of-sale material
Preferential listing on the RAC Cars website and access to The Engine – our brand-new marketing and support portal l Our leading warranty product, which provides up to 36-month terms at silver, gold, platinum and platinum plus levels l A comprehensive range of RAC products to drive profits, including breakdown, GAP insurance, tyre and alloy, SMART and service plans l Training and support available from our nationwide team l
Do you want to find out more about becoming an RAC Approved Dealer? For further details call 0330 100 3807, e-mail dealernetwork@rac.co.uk or visit rac.co.uk/getapproved
What dealers say about us ‘We were already a well-trusted and liked dealership but the association with the RAC name brings an extra level of credibility, especially for those coming to the business anew who find us online or through other advertising.’
‘Having the endorsement of the RAC brand, coupled with our independent JudgeService recommendation score of 95 per cent, gives customers the confidence to purchase not only one car from Carbase but several over time as the relationship builds.’
Mark MacNeill, national sales manager, Mark Berwick Motors
Gordon Veale, general manager, Carbase CarDealerMag.co.uk | 67
68 | CarDealerMag.co.uk
Focus on. Dealer reviews & Approved schemes
Drive customer trust and accelerate your success REVIEWS.CO.UK
W: reviews.co.uk T: 0116 350 0610
R
eviews.co.uk provides a state-of-theart review collection, publication and management platform. We help our clients worldwide – across all business sizes – to not only manage their customers’ feedback but also their online reputation. Hosting a breadth of solutions unavailable elsewhere on the market, our unique feature set places us at the forefront of innovative review and reputation technology. Review collection can take place online via email or SMS, or offline on the shop floor with our in-store app. The app allows customers to leave reviews in real time, giving dealerships the opportunity to capture all experiences. Our partnership with Auto Trader – among many other third-party and local review sites – is what sets us apart from other review platforms. We enable dealerships and car supermarkets to build consumer confidence through their reviews, and enhance the reach of their customers’ voice across all the channels that matter to their business.
Current car dealer and car part clients Car Dealers: l Peter Vardy l Direct Cars l Northover Cars l New Reg Cars l Global Vans l Colin Appleyard Ltd l Beck Evans l Border Motor Group l Tottington Motor Company Car Parts/Services: l Euro Car Parts l Car Parts 4 Less l Heritage Parts Centre l SG Petch l GSF Car Parts l AM Car Parts l Eurofit Autocentres l Autosessive
Review collection can take place online via email or SMS, or offline with Reviews’ in-store app
Improving customer trust and on-page conversions EURO Car Parts have cemented their position as market leader thanks to review stars in their Google Shopping listings, and have improved their on-page conversions due to the increase in consumer trust at the beginning of the sales process. Chris Barella, vice-president for sales at Euro Car Parts, said: ‘Sometimes, the strength of our brand alone is not enough to convince a potential shopper to become a customer, so the extra word-of-mouth marketing facilitated by Reviews.co.uk is very beneficial in improving our bottom line.’ We’ve also helped Direct Cars
improve customer trust, accelerating their review conversion rates from one per cent to 26 per cent. They’ve built their visibility online by getting their stars in Google Ads and Auto Trader, and improved their leads with doubled website conversion through an enhanced online presence. Scott Charlesworth, IT manager at Direct Cars, said: ‘Before using Reviews.co.uk, our review return was low and we couldn’t use the results anywhere else like Google Ads. ‘Our results now appear in Google Ads, organic search and Auto Trader and we have a review conversion rate of 26.59 per cent.’
Join the world’s most powerful review platform and empower your company to reinforce customer engagement, grow your brand advocates and make your brand stand tall. CarDealerMag.co.uk | 69
Focus on. Auctions & Trade-to-trade platforms
System that belongs to dealers – and where simplicity is key CARTOTRADE.COM
T: 01243 772200 W: cartotrade.com
I
t was a slogan reportedly coined by the American Navy in about 1960 – Keep it simple, stupid! The idea being that systems work best if they are straightforward to operate and not unnecessarily complicated. It’s an approach that’s been adopted by the team at the online car trading community Cartotrade.com – and it’s proving incredibly popular with the platform’s hundreds of dealer partners. Cartotrade is an independently owned and run website that cares about dealers and their businesses. The team who operate the site are focused on integrity, security and the accessibility of stock. Members are carefully vetted so that only the most professional motor traders are put in touch with each other. The platform was established three years ago by directors Kevin Watson and Laura Cannon, who, like other members of the team, are former Autotrade-mail people. Car Dealer was delighted to catch up with Laura recently and she told us that Cartotrade had enjoyed a very busy year so far with word of mouth playing a key role in the site’s success. She told us: ‘We recently hit 800 subscribing members which has been a real achievement for us. Lots of those are now exclusively using our platform for the purchase and disposal of their trade stock, and that’s really encouraging. ‘We’ve seen stock levels increase significantly this year. We’ve got well over 1,200 vehicles on the website and it’s a figure that seems to increase month on month. ‘The profile of the business has been raised along with this growth. We’re talking to lots of dealers every day and more and more seem to be aware of us. We are making more of a name for ourselves in the market. ‘In terms of what makes us different from the rest, we feel that one of our USPs is that for us, simplicity is key. We simply want to help dealers
Laura Cannon and Kevin Watson are more than happy to talk personally to any of their 800 or so dealers
to maximise their profits through the disposal of their unwanted stock at sensible prices and facilitate the purchase of quality retail-ready vehicles. For many years, dealers have had to endure extra functionality being forced on them by other trade systems whether they wanted it or not. Mostly this was just stuff created to warrant price increases. ‘We just don’t do that. That’s not to say that we’re not innovative, but we would never force a dealer to pay for something that they didn’t want. ‘We do believe that’s what makes us different. And we also don’t claim to be perfect or always to know best. We welcome feedback from our members on how we can improve and we very much see Cartotrade as belonging to dealers.’ Unsure about getting involved with Cartotrade?
‘The team really understand the needs of dealers’ Lawrence Smith, a specialist car consultant and broker based in Leicester, said: ‘The reason why Cartotrade works so well is that the team who have designed it really do understand the process of trading cars successfully and also understand it is crucially important that users are true motor trade professionals who are able to put accurate detailed information in front of the right buyers and sellers. Importantly, it is also the best value as it is half the monthly cost of other trading platforms available to the trade, with an ever-increasing dealer base.’ 70 | CarDealerMag.co.uk
The team are more than happy to let you try out their system with no charge. Laura said: ‘We offer a free trial of our service to allow dealers to see for themselves how we can benefit their business. If they decide to join, they enjoy a guaranteed price for the life of their membership and no contracts, which not many companies are doing these days. ‘We are all about the simplicity. We just don’t think you need to over-complicate the buying and selling of trade stock. ‘We’re real people as well. A dealer could ring the company and Kevin or I could pick up the phone quite happily and talk to any dealer. We don’t have a massive call centre. Everybody gets that feeling from us, I think. ‘The dealers enjoy the fact that they don’t have to go through several different phone options to get through to the right department.’ One thing’s for sure. If you succeed in getting through Cartotrade’s vetting system, you’ll be in excellent company. Laura told us: ‘We turn away about a third of the dealers who want to work with us. Before they are allowed to get involved, we always satisfy ourselves that they are involved in the trade and that they are experienced. ‘There are a lot of start-ups in this industry, as we all know. People hear about systems like ours and they think, ‘‘oh, great, I can cut my teeth on there’’. But we definitely wouldn’t allow anyone to do that. We will never lower the bar. ‘After all, our continued success depends on the calibre of our dealers.’
Trading cars, simply. Simply, trading cars. That’s what we do. Cartotrade is an independently-owned business which allows us the freedom to focus on what is best for you, the dealer. • No member price increases • No contracts • No messers • No restrictions of dealer types • No fees per car • No call centres The UK’s fastest growing online “real-time” trading network Get the best prices for your unwanted trade stock Only £40 per month No other buying or selling fees Proper dealers Proper cars No contracts Great service Cartotrade is independently owned, run and brought to you by the original autotrade-mail management team
Call now for your Free Trial - 01243 772200 CarDealerMag.co.uk | 71
Focus on. Auctions & Trade-to-trade platforms
Helping dealers get stock they need 1LINK
T: 01676 591749 W: 1linkdisposalnetwork.co.uk
A
s the new car market continues to fall and margins are reduced even further, more and more dealers are focusing on their used car operations. These dealers need to access a wide choice of the highest quality vehicles with comprehensive histories, which can be placed straight onto their website and rolled onto their forecourt. They must also meet manufacturer used car programme requirements. But where to find this kind of stock? 1link Disposal Network is, we believe, the single best online source for dealers in the UK, with a wide range of cars and vans available from suppliers such as Volkswagen Financial Services (VWFS), Motability Operations, Autohorn, Agility, CLM, Global Self-Drive, SMC and more.
1link Disposal Network is the most comprehensive online car auction platform in the UK, giving you exclusive access to an extensive range of ex-fleet, leasing and manufacturer vehicles from the likes of VWFS, Motability and more. All supplied with a low-cost buyer’s fee of just £95 per vehicle.
Many of these are supported by high-quality images using the Auto Trader 360 standard and a comprehensive history – plus the bidding and buying process couldn’t be easier. We understand the need to buy your vehicles in different ways, which is why we have recently launched ‘limited time auctions’ with VWFS to complement our regular auctions and buy-it-now sales. Taking place from 9am-3pm every other Thursday with up to 200 vehicles, these sales will be made up of stock unsold through previous online channels and which will be offered with a competitive start price. With the diversity of brands within the Volkswagen Group, these sales will contain a wide range of Volkswagen, Audi, Seat, Skoda, Porsche and Volkswagen commercial vehicles. 1link Disposal Network lets you browse, bid
HIGH QUALITY USED STOCK LOW BUYER’S FEES
and buy via simple online auctions with buyer fees of just £95 per vehicle. We have hundreds of regular customers including dealer groups, car supermarkets and independents buying from us every day. Key benefits include: • Access to comprehensive vehicle details including age, mileage, condition, imagery and more. • Ultra-low buyer’s fee of just £95 per vehicle with no annual subscription. • Set alerts by email or SMS so that you’ll be notified when vehicles of specific interest become available. • Bid, make offers and buy vehicles on the move 24/7 with our handy mobile auction app. • Personal account management provides support to help with all aspects of your purchase, from start to finish.
Buy anytime Online or in-app Low-cost buyer’s fee Just £95 with no subscription Account management To help you find & buy vehicles Detailed vehicle history Including photos & inspection reports
NOW SELLING ON 1LINK DISPOSAL NETWORK...
For more information freephone 0808 278 3367
72 | CarDealerMag.co.uk
Join today at 1linkdisposalnetwork.co.uk
"The Competition To Hire The Best Will Increase In The Years Ahead" - Bill Gates
We Give You The Edge Over YOUR Competition We've Been Beating Ours For A While 201 8
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WINNER WINNER WINNER WINNER WINNER CarDealerMag.co.uk | 73
Data file.
Thestatistics
| SMMT SALES DATA | TAKING STOCK | FALLING FIGURES
New testing rules lead to a big drop in number of new car registrations
T
he UK new car market fell by 20.5 per cent in September, according to figures released by the Society of Motor Manufacturers and Traders. A total of 338,834 vehicles were registered, down around 87,000 on the same month last year as new testing requirements continued to affect supply and distort the market. The impact was felt across the board, with registrations by private consumers, fleets and businesses all declining – by 20.1 per cent, 22.4 per cent and 6.3 per cent respectively. Registrations of petrol and diesel cars also fell, while hybrids and plug-in electrics fared better, up a modest 3.9 per cent. Declines were seen across almost every vehicle segment, with MPVs and specialist sports cars showing the biggest falls, down 54.8 per cent and 50.9 per cent. Luxury saloons were the only segment to register growth – up 3.5 per cent – while dual-purpose cars, which have enjoyed strong growth over the year to date, held steadier than most, falling just 3.5 per cent in the month. September’s large decline follows an unusually high August and a turbulent first eight months of the year, as the
market responded to a raft of upheavals, it’s disappointing to see that sales from confusion over diesel policy to VED fell off in September. changes and, latterly, transition to the ‘The run-up to Christmas is new WLTP emissions standards. traditionally a more muted time for the Year-to-date performance is currently industry, but as we saw over the summer 7.5 per cent behind 2017, reflecting months, which historically tend to be these factors and a drop in business and quieter, the new car market has the consumer confidence. Over the coming ability to defy expectations. months, however, some rebalancing is ‘All eyes will now be glued on expected as an increasing range of dealerships to see whether this new models are certified for sale month’s sales slowdown is a and backlogs ease. one-off or an ominous sign Mike Hawes, SMMT chief of things to come.’ executive, said: ‘With the Auto Trader director industry given barely a Ian Plummer said: year to reapprove the entire ‘September’s performance European model line-up, was a matter of basic it’s no surprise that we’ve economics – there simply seen bottlenecks and a squeeze Mike Hawes weren’t enough cars on on supply. These are exceptional forecourts that met the new WLTP circumstances with similar declines seen standards for retailers to sell. However, in other major European markets. there were some brands that were better ‘The good news is that, as backlogs prepared than others. ease, consumers and businesses can ‘While the Volkswagen group brands look forward to a raft of exciting highstruggled, other German prestige tech cars and a market keen to recover marques, such as Mercedes and BMW, lost momentum.’ performed much better and seem to James Fairclough, chief executive of have better anticipated the production AA Cars, said: ‘After the new car market of WLTP-compliant cars in advance of enjoyed an “Indian summer” in August, the new regulations.’
SMMT sales data Sept/year to date
5
Top
Most-improved manufacturers in September
Aston Martin +88% Lotus +85% Subaru +62% Mitsubishi +35% Abarth +26%
5
Bottom
Worst-performing manufacturers in September
Infiniti -89% Chevrolet -83% DS -77% Bentley -73% Porsche -67%
Ouch! Figures will have had a ‘brutal’ effect on profitability THE 20.5 per cent fall in September’s new car registrations will have a brutal impact on some dealers’ third-quarter and full-year profitability. That’s according to Coachworks Consulting, as it reacted to the SMMT’s figures. The independent consultancy said the decline was against a backdrop of dealers reporting high levels of customer inquiries for the month. However, many were unable to register sufficient 74 | CarDealerMag.co.uk
numbers of new cars because of stock shortages caused by the introduction of WLTP. ‘The introduction of WLTP at the beginning of the 68 plate-change always had the potential to have a disruptive impact on registrations in the second biggest sales period of the year, but the ability of manufacturers to manage the impact has been mixed,’ said Coachworks Consulting managing director Karl Davis.
‘The impact on retailer profitability in September will be brutal.’ Ian Gilmartin, head of retail and wholesale at Barclays Corporate Banking, said September’s figures would lead to a ‘collective ouch’ being heard throughout the industry. He added: ‘That said, September was a far from normal month for the sector, with new testing requirements impacting supply and blurring the picture.’
MG
Skoda
+20% September 2018 Marque
2018
% market share
-31%
September 2017 2017
% market share
Year-to-date (YTD) % change
2018
% market share
2017
% market share
% change
Abarth
987
0.29
780
0.18
26.54
4,518
0.24
3,500
0.17
29.09
Alfa Romeo
474
0.14
841
0.20
-43.64
3,427
0.18
4,009
0.19
-14.52 0.00
Alpine Aston Martin Audi Bentley BMW Chevrolet Citroen Dacia
5
0.00
0
0.00
0.00
125
0.01
0
0.00
272
0.08
144
0.03
88.89
1,168
0.06
1,231
0.06
-5.12
13,797
4.07
29,619
6.95
-53.42
124,101
6.49
138,535
6.70
-10.42
52
0.02
199
0.05
-73.87
1,291
0.07
1,363
0.07
-5.28
27,940
8.25
31,465
7.38
-11.20
136,312
7.13
137,793
6.67
-1.07 -49.15
1
0.00
6
0.00
-83.33
30
0.00
59
0.00
7,991
2.36
8,301
1.95
-3.73
41,455
2.17
43,410
2.10
-4.50
2,470
0.73
4,459
1.05
-44.61
18,264
0.96
21,075
1.02
-13.34
416
0.12
1,850
0.43
-77.51
4,616
0.24
7,831
0.38
-41.05
5,851
1.73
6,540
1.53
-10.54
29,182
1.53
38,453
1.86
-24.11
33,326
9.84
39,696
9.31
-16.05
206,103
10.79
234,180
11.33
-11.99
7,271
2.15
9,831
2.31
-26.04
44,176
2.31
44,784
2.17
-1.36
16,102
4.75
16,587
3.89
-2.92
75,798
3.97
75,315
3.64
0.64
Infiniti
42
0.01
407
0.10
-89.68
665
0.03
3,095
0.15
-78.51
Jaguar
7,047
2.08
5,899
1.38
19.46
28,675
1.50
29,054
1.41
-1.30 -10.80
DS Fiat Ford Honda Hyundai
867
0.26
1,059
0.25
-18.13
4,899
0.26
5,492
0.27
Kia
16,299
4.81
15,706
3.69
3.78
78,726
4.12
76,571
3.71
2.81
Land Rover
12,827
3.79
14,504
3.40
-11.56
60,304
3.16
66,956
3.24
-9.93
Lexus
2,686
0.79
2,908
0.68
-7.63
10,648
0.56
10,398
0.50
2.40
Lotus
37
0.01
20
0.00
85.00
200
0.01
228
0.01
-12.28
Jeep
Maserati Mazda McLaren Mercedes-Benz
130
0.04
184
0.04
-29.35
1,026
0.05
1,306
0.06
-21.44
6,704
1.98
7,530
1.77
-10.97
32,696
1.71
33,777
1.63
-3.20
47
0.01
120
0.03
-60.83
545
0.03
447
0.02
21.92
30,161
8.90
31,430
7.37
-4.04
137,766
7.21
146,342
7.08
-5.86 101.60
1,010
0.30
842
0.20
19.95
6,695
0.35
3,321
0.16
10,082
2.98
12,282
2.88
-17.91
49,425
2.59
51,801
2.51
-4.59
3,233
0.95
2,387
0.56
35.44
15,658
0.82
12,774
0.62
22.58
Nissan
16,827
4.97
28,810
6.76
-41.59
85,200
4.46
127,391
6.16
-33.12
Peugeot
11,070
3.27
12,810
3.01
-13.58
65,586
3.43
67,818
3.28
-3.29
MG MINI Mitsubishi
Porsche
654
0.19
2,034
0.48
-67.85
10,633
0.56
10,933
0.53
-2.74
Renault
10,074
2.97
12,378
2.90
-18.61
49,777
2.61
58,646
2.84
-15.12
Seat
5,281
1.56
8,343
1.96
-36.70
50,490
2.64
44,237
2.14
14.14
Skoda
7,390
2.18
10,760
2.52
-31.32
58,105
3.04
63,267
3.06
-8.16
Smart
1,583
0.47
1,701
0.40
-6.94
6,226
0.33
8,760
0.42
-28.93
SsangYong
461
0.14
454
0.11
1.54
2,280
0.12
3,005
0.15
-24.13
Subaru
829
0.24
510
0.12
62.55
2,668
0.14
2,118
0.10
25.97
Suzuki
3,031
0.89
7,319
1.72
-58.59
32,350
1.69
33,685
1.63
-3.96
Toyota
19,091
5.63
19,222
4.51
-0.68
85,742
4.49
84,802
4.10
1.11
Vauxhall
28,847
8.51
31,058
7.29
-7.12
143,656
7.52
161,751
7.83
-11.19
Volkswagen
16,283
4.81
36,332
8.53
-55.18
157,685
8.25
165,376
8.00
-4.65
8,461
2.50
7,865
1.85
7.58
37,506
1.96
36,574
1.77
2.55
Other British
43
0.01
83
0.02
-48.19
577
0.03
554
0.03
4.15
Other imports
782
0.23
895
0.21
-12.63
3,845
0.20
4,394
0.21
-12.49
338,834
100
426,170
100
-20.49
1,910,820
100
2,066,411
100
-7.53
Volvo
Total
Figures supplied by SMMT
CarDealerMag.co.uk | 75
LCV news.
Fullyloaded
| LIGHT COMMERCIAL VEHICLES | FLEET | REVIEWS |
WEIGHT LIMIT
Younger drivers ‘risk invalidating their licence’ YOUNGER van drivers are being urged not to overload their vehicles to avoid the risk of invalidating their licence. Van leasing company LeaseVan.co.uk says many of them may not be aware that their licence limits them to driving vans that weigh less than 3,500kg when fully loaded – including the weight of the driver themselves. The rule applies to motorists who passed their driving tests after January 1, 1997. If they plan to exceed this weight they must take an additional driving test. But many van drivers fail to factor in the weight of their van’s load and instead wrongly assume that because the van itself is below 3,500kg they should be safe. Most medium-sized vans typically weigh around 2,000kg, but when fully loaded, plus the weight of a one- or two-man crew, the 3,500kg limit can easily be exceeded. If a driver was involved in a road accident and their van was found to be over the weight threshold, they wouldn’t be qualified to drive it, so their insurance would be invalid. Tim Alcock of LeaseVan.co.uk said: ‘The 3,500kg limit includes everything inside the van, including the driver, his lunch – even the packet of mints on the dashboard.’ He added that anyone who needed to drive heavier loads should ask the DVLA about gaining an additional driving qualification to allow them to drive larger vans. 76 | CarDealerMag.co.uk
ALLERGIES
‘Air filter flu’ warning after hay fever high V
olkswagen Commercial Vehicles is warning van drivers about ‘air filter flu’ after a record summer for hay fever. A mild winter was followed by a record-breaking summer, with the Met Office reporting a 12-year high pollen count. Millions of people were unable to work because of allergies and firms lost almost five days per hay fever-stricken employee, said medical charity Allergy UK. Volkswagen says the suffering might not be over yet, thanks to ‘air filter flu’. While the traditional hay fever season runs from late-March to early-September, van drivers and fleet managers could be struck down with allergies in the winter if they don’t get their filters checked. Cabin air filters clean the air coming into the vehicle, remove allergens and trap airborne particles such as pollen, dust and bacteria. NHS England says all drivers should buy a pollen filter for their air vents. However, over time the filters can become blocked if left unchecked, and with several ‘pollen bombs’ hitting the UK over the summer, vans could now be harbouring harmful allergens. Volkswagen Commercial Vehicles said more than a quarter of van users were failing to
replace their cabin filters regularly, although they remained one of the key components checked by all Volkswagen Van Centre or authorised repairer technicians as part of routine inspections. Volkswagen cabin filters consist of two layers: one that pre-filters large dust and soot particles and another that removes a large number of fungus spores and pollen that over time can harm lungs. In addition to reducing pollen levels in the cabin, an activated charcoal micro-filter layer reduces odours and absorbs gaseous
pollutants, and at the same time, the filter helps ensure better visibility by clearing fogged windows. Trevor Hodgson-Phillips, head of service and parts for Volkswagen Commercial Vehicles, said: ‘We advised van owners before the summer to replace old air filters to reduce hay fever suffering and it’s just as important to replace blocked filters ahead of winter, especially after a record year for pollen. ‘This is an example of quick and low-cost maintenance that helps to keep the driver and the van on the road.’
Top-selling LCVs in September Ford Transit Custom Ford Transit Vauxhall Vivaro Volkswagen Transporter Mercedes-Benz Sprinter
9,892 4,626 4,147 3,201 3,042
Source: SMMT
Ford Ranger Ford Transit Connect Mitsubishi L200 Peugeot Partner Nissan Navara
2,981 2,265 1,708 1,708 1,620
LCV registrations, p78
‘It’s practical and purposeful, and focuses more on being a van than anything aesthetic.’ Craig Cheetham puts Nissan’s e-NV200 through its paces p80
Sliding doors WITH CRAIG CHEETHAM
A look at the world of buying and selling vans and pick-ups
S
WLTP needn’t be four letters to strike fear in your heart
eptember was a torrid time for anyone working in the new car sales arena, with the traditional excitement of the bi-annual plate change somewhat dampened by the introduction of WLTP – or the Worldwide Harmonised Light Vehicle Testing Procedure for those who have wondered what the dismal abbreviation of doom actually means. WLTP has caused dealers its fair share of hiccups. New car sales are down 20 per cent compared with September 2017, which itself was a bit of a damp squib compared with previous years. But with manufacturers facing a race to the finish line to get pre-WLTP cars registered and off the forecourts (they’ve got until the end of the year), there are deliberate constraints on supply. Depending on who you believe, the market may or may not come back to a decent level. But even if it does, there are quite a few sales executives staring into a chasm of missed commission and off-target earnings for what, traditionally, has always been a good month to be in the trade. With Christmas around the corner and the nights drawing in, too, it’s hardly the shot in the arm that car salesmen and women need as we head into the final quarter of a challenging year. And that’s where vans can be pretty handy… While the WLTP protocol for light commercial vehicles is largely the same as it is for cars, they’re often a much more indiscriminate purchase. If you’re buying a van, it’s because you need a van, either because your old van needs replacing, or you’ve started doing something that requires the purchase of one, new or old. A good proportion of cars, meanwhile, are still luxury purchases, and that’s allowed manufacturers to control the supply of certain models in the hope of getting older ones out of the door before they have to pre-register them and sell them at a heavy discount. After a lean September, we can at least expect a boom
December – but only in terms of volumes, not profits. If you’re on a volume bonus, happy days, but there won’t be much cash on the bonnet. With vans, things are a bit different. With the rare exceptions of vehicles such as the VW California camper and some lifestyle-orientated 4x4 pick-ups, most LCVs are bought for purely commercial purposes. They serve a need, and there’s an equal need to replace them. Lifecycle management is important to fleets as well, no matter what their size. Replacement is often cyclical, which has made it much easier for manufacturers and sales staff to predict replacement cycles and manage demand accordingly. For van dealers then, WLTP is not the problem it has been for car dealers. Indeed, many franchises that sell cars and vans have made up their September numbers by peddling as many vans as they can. More than 54,000 were registered in September, and although this was down a small percentage on September 2017, a lot of this was because of a lack of supply at the smaller end of the market, where models such as the Vauxhall Combo, Citroen Berlingo and Peugeot Partner (which account for around 50 per cent of the segment’s volume between them) were on pre-order ahead of a new generation of models recently revealed. At the larger end of the van market, where both the vehicles and margins are bigger, there was growth, especially among the biggest of the big – vans from 3.5 to six tonnes. It just goes to show that in the automotive retail business, it’s the canniest dealers who are the ones that thrive, no matter what the external circumstances may be. If you’ve got a branded franchise and you have the space, maybe it’s time to take a serious look at your manufacturer’s LCV standards, because with yet more economic uncertainty ahead, vans could well be your safety net.
‘It just goes to show that in the automotive retail business, it’s the canniest dealers who thrive.’
Craig Cheetham is an experienced automotive journalist with specialist knowledge of the LCV sector.
Turn over the page for more LCV stories CarDealerMag.co.uk | 77
LCV news. LATEST STATISTICS
Pick-up demand grows, but small and medium-sized vans fall back THE British light commercial vehicle (LCV) market contracted in September, according to figures released by the Society of Motor Manufacturers and Traders (SMMT). Just under 54,000 new LCVs were registered in the second busiest month of the year to date, a 6.1 per cent decrease in line with the overall trend so far in 2018.
Demand for pick-ups has continued to grow, with registrations up 8.8 per cent, as sales of small and medium-sized vans declined by 42.9 per cent and 14.4 per cent respectively. Meanwhile, although large vans experienced a modest four per cent decrease, they have retained their market-leading share.
In the year to date, registrations are down by three per cent, with 274,247 new LCVs joining British roads. Overall, however, the market remains at the historically high levels that have been maintained since August 2015, with pickups enjoying a 4.6 per cent boost so far this year taking them to more than 42,000 units registered.
Registrations of new commercial vehicles less than 3.5 t September 2018 Marque
2018
% market share
Figures supplied by SMMT
September 2017 2017
% market share
Year-to-date (YTD) % change
2018
% market share
2017
% market share
% change
20,230
37.57
19,454
33.91
3.99
98,419
35.89
91,924
32.52
7.07
Volkswagen
6,039
11.21
6,186
10.78
-2.38
32,511
11.85
31,659
11.20
2.69
Peugeot
4,062
7.54
5,835
10.17
-30.39
27,126
9.89
28,848
10.21
-5.97
Vauxhall
5,049
9.38
4,166
7.26
21.20
20,746
7.56
22,371
7.91
-7.26
Citroen
3,238
6.01
4,242
7.39
-23.67
20,541
7.49
21,514
7.61
-4.52
Mercedes
Ford
4,902
9.10
6,302
10.99
-22.22
20,317
7.41
24,481
8.66
-17.01
Renault
1,883
3.50
2,529
4.41
-25.54
11,313
4.13
15,461
5.47
-26.83
Nissan
2,142
3.98
2,477
4.32
-13.52
10,525
3.84
13,000
4.60
-19.04
Mitsubishi
1,743
3.24
1,855
3.23
-6.04
8,178
2.98
8,153
2.88
0.31
Toyota
1,679
3.12
1,373
2.39
22.29
7,885
2.88
7,767
2.75
1.52
Fiat
1,110
2.06
1,463
2.55
-24.13
6,755
2.46
8,808
3.12
-23.31
Isuzu
890
1.65
922
1.61
-3.47
3,797
1.38
4,368
1.55
-13.07
Iveco
203
0.38
305
0.53
-33.44
2,232
0.81
2,243
0.79
-0.49
117
0.22
94
0.16
24.47
1,098
0.40
941
0.33
16.68
236
0.44
0
0.00
0.00
1,015
0.37
20
0.01
4975.00
Isuzu Trucks
79
0.15
41
0.07
92.68
485
0.18
281
0.10
72.60
Man
62
0.12
0
0.00
0.00
443
0.16
0
0.00
0.00
LDV
58
0.11
34
0.06
70.59
349
0.13
249
0.09
40.16
SsangYong
75
0.14
67
0.12
11.94
277
0.10
360
0.13
-23.06
Mitsubishi Fuso
18
0.03
12
0.02
50.00
118
0.04
118
0.04
0.00
Dacia
54.90
Renault Trucks Land Rover
24
0.04
6
0.01
300.00
79
0.03
51
0.02
Hyundai
9
0.02
3
0.01
200.00
34
0.01
33
0.01
3.03
Great Wall
0
0.00
2
0.00
0.00
4
0.00
29
0.01
-86.21
53,848
100.00
57,368
100.00
-6.14
274,247
100.00
282,679
100.00
-2.98
Total light CV
Registrations of new commercial vehicles 3.5 t to 6.0 t September 2018 Marque
2018
% market share
Figures supplied by SMMT
September 2017 2017
% market share
Year-to-date (YTD) % change
2018
% market share
2017
% market share
% change
Peugeot
343
32.39
129
14.19
165.89
2,187
30.99
488
8.92
348.16
Ford
365
34.47
357
39.27
2.24
1,624
23.02
1,789
32.69
-9.22
Fiat
154
14.54
147
16.17
4.76
1,403
19.88
1,220
22.30
15.00
Mercedes
135
12.75
169
18.59
-20.12
1,295
18.35
1,244
22.73
4.10
Iveco
31
2.93
55
6.05
-43.64
259
3.67
327
5.98
-20.80
Citroen
13
1.23
5
0.55
160.00
88
1.25
57
1.04
54.39
Vauxhall
1
0.09
32
3.52
-96.88
62
0.88
123
2.25
-49.59
Renault
9
0.85
6
0.66
50.00
59
0.84
54
0.99
9.26
Volkswagen
4
0.38
4
0.44
0.00
51
0.72
117
2.14
-56.41
Man
3
0.28
0
0.00
0.00
17
0.24
0
0.00
0.00
Isuzu Trucks
1
0.09
0
0.00
0.00
9
0.13
19
0.35
-52.63
Renault Trucks
0
0.00
0
0.00
0.00
2
0.03
2
0.04
0.00
0
0.00
5
0.55
0.00
0
0.00
32
0.58
0.00
1,059
100.00
909
100.00
16.50
7,056
100.00
5,472
100.00
28.95
Nissan Total heavy CV
78 | CarDealerMag.co.uk
CV Spotlight.
...in association with Cap HPI
ULEZ set to wield influence as Brexit fears confounded Steve Botfield looks at how the LCV market has performed so far this year and what’s in store.
F
irst, we need to rewind a few years and consider the number of new vehicles registered in 2014 and 2015, which were 321,000 and 371,000 respectively. All things being equal, 2018 will be a bumper year for the number of LCVs available in the used market. What no-one could have predicted was the Brexit referendum in 2016 followed shortly afterwards by a general election, which divided the business sector with fears that the economy and value of the pound would be in freefall. Nobody can question the fact that the pound has taken a drop in the time since, and a consequence of this was the boost it gave to the UK export market and, to some degree, the support it has provided to the economy. Some businesses took the view that until the outcome of Brexit was known, any future investment in large-ticket items would be put on hold – and LCVs would fall into that bracket. It looked like 2018 would be facing a record number of used LCVs hitting the market in a period where the desire to invest in vehicles could be deemed to be at a low. In reality, what has actually happened is quite the opposite – the number of used LCVs hitting the wholesale market reduced by four per cent in 2018 (January to September) compared with the same period in 2017. And with both high conversion rates and prices being met, the notion that businesses put their vehicle purchases on the Brexit backburner is challenging that belief. This has been further aided by the fact that 5,000 fewer new vehicles arrived on our roads
up to the end of August 2018 when compared with 2017. History has shown us that when the recession took hold in 2008, the useful life of LCVs increased, indicating that for certain applications, a used vehicle can prove to be a better investment than a new vehicle. Cap HPI data shows that year-on-year from 2015, the average sold value of a three-year-old LCV with a mileage between 55,000 and 65,000 has increased by 21 per cent. Part of this increase can be attributed to the increased cost of the new vehicle when first registered, particularly for the increasing numbers of highly specified vehicles that have emerged over the years. So what does the future hold? The reduction in the new vehicle market for small and large vans shifted the desirability into the medium van sector, the consequence of this being that
the medium vans represented 28 per cent of all vehicles sold in the whole sector, according to our data. In addition, the medium van sector offers the most varied selection of manufacturers and specifications. If new vehicle sales continue to fall as predicted by the SMMT, used vehicles will take up the demand for replacement vehicles. Looking ahead, another influence to consider is the introduction of ultra low emission zones (ULEZ). With London set to be the first ULEZ to go live in 2019, diesel vehicles with a Euro 6 engine will be sought after if access to the ULEZ is required without having to pay the extra cost of entering the area. The government’s plan to introduce ULEZs to more cities will only push the requirements for low-emission vehicles further, whether powered by an internal combustion engine or an alternative powertrain.
Who is Steve190mmx60mm.pdf Botfield? Steve1 is03/10/2018 a specialist in the commercial vehicle world, with more than 44 years’ experience of the motor industry, covering all aspects 16:29:07 of it. He joined Cap HPI in April 2016, where he heads a team of professionals who look after the current and future values of LCVs, HGVs and motorcycles.
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Improves customer service by ensuring vehicles are fit for user purpose
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LCV news. FIRST DRIVE
Nissan e-NV200
Craig Cheetham tests an environmentally sound van that’s easy to drive and would be ideal carrying out multiple delivery drops in an urban setting. What is it? The e-NV200 is Nissan’s established player in the electric van market and shares much of its running gear with the Leaf. It has already found favour with some fairly high-profile fleets including the RAF and Southern Water, but its appeal was always limited by its sub-100-mile range – until now. The latest version gets a 40kWh battery pack that’s good for a quoted range of 174 miles. What’s new? The enhanced battery pack from the Leaf makes the e-NV200 much more usable in extra-urban environments, especially as it can be fast-charged at motorway service station charging points. The 174-mile range gives the e-NV200 the scope to complete a full day’s delivery rounds, making it ideal for lastmile delivery. Otherwise, it remains almost identical to its predecessor. What’s under the bonnet? The e-NV200 has an 80Kw electric motor which produces the realworld equivalent of 109bhp, coupled with an impressive 254Nm of torque which is delivered instantly. It’s deceptively quick – the official 0-60mph time of 14.0 seconds reflects the fact that torque delivery slows down near the top end of its 76mph top speed – away from the lights, it feels much quicker. 80 | CarDealerMag.co.uk
What’s it like to drive? It’s decent enough, with a supple ride and a spacious, comfortable cabin. The controls are logically laid out and there’s a simple singlespeed automatic transmission. For urban multi-drop use, it’s an absolute doddle to drive, and that’s exactly where it will be in its element. On the open road, it’s reasonably refined, though exploiting the full potential of the electric motor’s performance will see that 174-mile range rapidly eroded. How does it look? The NV200 has been around for a while now in both electric and combustion-engined form, and the looks haven’t changed much. It’s practical and purposeful, and focuses much more on being a van than being anything aesthetic. Many buyers will like that, though. What’s it like inside? The cabin is a bit plasticky and some of the controls a little weird, but the cabin is intuitively laid out with good visibility and some useful storage areas. At the business end, the e-NV200 will swallow 4.2 cubic metres of load, with optional twin sliding doors and a tailgate or barn-door rear end giving the user plenty of practical ways to load it. That load is increased slightly
to 705kg (versus 678kg for the outgoing model), and with 1,220mm between the wheelarches and a load floor over two metres long, it will happily carry two Euro pallets. As smaller vans go, it’s one of the most practical around. What’s the spec like? There are three trim levels on offer – the Visia, Acenta and Tekna. The Visia is basic but practical, with sliding load hooks, a CD/radio and Nissan’s Intelligent Key, which automatically opens and locks the doors as you approach and walk away. The Acenta adds extra tech, including rear view cameras and connected infotainment. The Tekna gets alloy wheels, nav and automatic climate control, as well as autonomous emergency braking. What do the press think? Parkers said: ‘This 2018 upgrade would appear to re-establish the Nissan e-NV200 as the obvious default choice in the small van class.’ Auto Express added: ‘It’s perfect to use on congested city streets while producing zero exhaust pipe emissions.’ What do we think? The e-NV200 will never win any beauty contests, but that’s probably as far as the bad news goes. It’s great value for an electric vehicle, it
THE KNOWLEDGE Model (as tested): Nissan e-NV200 Acenta 40KwH Price: £20,119 Engine: Electric motor powered by 40KwH battery pack Power: 80Kw (equiv 109bhp) Torque: 254Nm Max speed: 76mph 0-60mph: 14.0 seconds Range: 170 miles Emissions (g/km): 0 TARGET BUYERS: Urban delivery fleets, local authorities, small businesses. THE RIVALS: Renault Kangoo ZE, Citroen Berlingo Electric, Peugeot Partner Electric. KEY SELLING POINTS: 1. Range and running costs. 2. Strong resale values. 3. Instant torque and peppy performance. DEAL CLINCHER: Best range of any small EV delivery van on the market… for now. has one of the most useful load areas of any small van, it’s simplicity itself to drive and it’s quite entertaining when you’re behind the wheel. It really comes into its own in the city, where the longer range will make it ideal for multi-drop parcel delivery companies who wish to operate an emissions-free last-mile service without the compromise of having to bring it back to base for a charge.
Award-winning warranties. As voted by dealers... WMS Group Ltd are today one of the UK’s leading business-to-business car warranty suppliers, providing extended warranty cover and other motoring protection to over 3,500 dealerships across the UK. Our warranty products and services are designed to help our dealer partners to improve their customer retention, workshop activity and ultimately, profitability. From a basic three-month warranty to a three year, all-mechanical and allelectrical product that even includes wear and tear, we guarantee to have the right products for your business.
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Workshop.
Aftermarket
SERVICING & REPAIRS | PRODUCT NEWS | PEOPLE & PLACES
EPYX
Tyre price boost for independents
A LOW-PRICE tyre initiative that has concentrated on franchise dealers is to expand into the independent garage sector. Epyx’s 1link e-procurement facility will let independents access a more competitive level of tyre pricing than before. Commercial director Tim Meadows, pictured, said: ‘E-procurement is designed to allow dealers to compete with fast-fits and other tyre outlets. ‘For independent garages, it’s a genuine opportunity to fit tyres at prices they wouldn’t otherwise be able to access.’
NGK
Peter returns in new role at top
NGK Spark Plugs has appointed Peter Hayden to the new role of general manager for sales and marketing. It sees him return to the sector where he has worked with companies such as Quinton Hazell and Valeo in the past. Latterly group sales and marketing director for Rhino Products, he said: ‘The aftermarket is in my DNA and it is great to be back working in it.’ 82 | CarDealerMag.co.uk
THATCHAM
Ecademy aims to plug repair knowledge gaps by DAVE BROWN @CarDealerDave
T
hatcham Research has launched an online technical awareness programme called ecademy. Businesses working in the automotive repair sector can use ecademy to keep employees up to date with developments that may have a significant impact on repair processes. Dean Lander, head of repair sector services at Thatcham, which provides products and training to help ensure the safe and efficient repair of modern vehicles, said: ‘The pace of change within our industry makes it challenging for repairers on two levels: firstly, concerns about the impact of advanced driver-assistance systems [Adas], hybrid and electric vehicles and new materials such as carbon fibre, and secondly, not being able to afford time out of the business for training, creating a no-win situation. ‘Ecademy is a product to help our customers overcome these barriers. ‘In other industries, learning management systems have for a long time proved an effective method for delivering training. ‘Of course, where in-depth subject knowledge or accreditations are an essential part of a role, nothing
Thatcham Research’s ecademy addresses two major challenges beats the face-to-face practical training courses that we offer at our Automotive Academy. ‘But reaching a level of technical awareness in a wide range of subjects is achievable through good-quality online content.’ Lander added: ‘Ensuring a level of technical competence across all touchpoints is reassuring to customers that everyone in the business is well informed, from customer service representatives to those on the bodyshop floor.’ Features include continuing professional development-approved interactive modules in subjects such
as Adas and calibration, hybrid and electric vehicles and vehicle design and materials; progress tracking via learner and manager dashboards; plus access to additional Thatcham resources such as new vehicle releases and technical bulletins, and communication with other learners via an online forum. Lander said: ‘The technical content within ecademy not only suits technicians looking to consolidate their knowledge and experience, but it also suits recently qualified apprentices, claims handlers, valet teams and other customer-facing staff.’
Jailed garage fraud couple told to repay £356,000 A LIVERPOOL couple who ran a repair garage plus pub in the city and were jailed for tax and benefit fraud must repay £356,124 or face more time behind bars. Bernard Knutsen, 69, and wife Maureen, 63, both of Fell Street,
ran the Hill Street garage – known variously as Able Testing, Hillside Services and The Service Station – plus Chaplin’s Bar and were jailed last December for four years and three years respectively at the city crown court. A confiscation hearing
there on October 4 ordered Bernard Knutsen to repay £323,195 within three months or spend another three years behind bars, while Maureen Knutsen must repay £32,929 within three months or face another year in prison.
SURVEY
Trust ‘keeps the customers returning’
THE biggest reason customers return to a workshop is trust, according to new research. Seventy-two per cent of 1,550 people polled about their automotive retail experiences as part of consumer research cited it as the most influential factor. Trust got the biggest response by far, followed by convenience at 18 per cent, in the survey commissioned by CDK Global, which provides integrated information technology and digital marketing services. Stuart Miles, pictured, CDK managing director for the UK and Ireland, said: ‘Our research shows that if we can secure customers’ trust, we’ll maximise opportunities to retain more than two-thirds of a workshop’s potential audience. ‘CDK’s clever integrations enable highly personalised automated contact with the customer and eliminate duplication of data for service reception teams and technicians. The result is high efficiency, less down time, plus happy customers who come back again and again.’ He added that with a particular emphasis on building customer trust and convenience, CDK’s Connected Workshop system brought together six core areas of a maintenance department and maximised earning time for front desk and workshop functions, ensuring customer convenience was prioritised.
A workshop task is made simpler by using mixed reality that gives a taste of things to come
SCHAEFFLER
‘Garage of the future’ exhibit wows visitors S
chaeffler impressed visitors at Automechanika Frankfurt 2018 with mixed and augmented reality exhibits designed to complement the show’s theme of ‘Tomorrow’s Service and Mobility’. The OEM and supplier invited visitors to tour its ‘Garage of the Future’ – a hands-on exhibit with technology close to becoming a reality in the workshop. A team of Repexperts helped volunteers carry out a timing chain replacement and a dual mass flywheel installation using mixed reality headsets displaying real-time instructions to the wearer, making each repair quicker and simpler. Also unveiled at the show was a ‘glass car’ exhibit, where visitors
by JOHN BOWMAN john@blackballmedia.co.uk
could get up close and personal with more than 40 Schaeffler products and technologies, using two giant movable screens that displayed video content and technical information. Focus products included the e-clutch, iARC stabilisation system, thermal management module and electric axle. The Repexperts were also kept busy at five workstations, all of which were fitted with tablets linked directly to the Repexpert website. Visitors were given a virtual step-by-step tour of how to
maximise the benefits available from the workshop portal and were also told about the latest updates on LuK transmission, INA engine and FAG safety-critical chassis systems. Mike ‘Rocky’ Rockenfeller’s Schaeffler-sponsored Audi Sport Team Phoenix RS5 DTM also attracted lots of attention, proving to be one of the biggest selfie opportunities of the show. Schaeffler marketing communications manager Jeff Earl said: ‘The ‘‘Garage of the Future’’ exhibit is truly amazing, and I am pleased to say that UK technicians will get a chance to find out how good it is for themselves on the Schaeffler stand at Automechanika Birmingham next June.’
Workshops urged to embrace Facebook for marketing DESPITE recent controversies, Facebook continues to be massively popular. And Mark Kelland, commercial manager at Dragon2000, said: ‘Garages and workshops that embrace Facebook as a marketing channel to promote their businesses are able to target potential customers who are looking to repair, service or MOT their vehicles. ‘The reality for garages and workshops today is that marketing their businesses using Facebook is too
effective to be ignored. Facebook is free to use – all it costs a garage or workshop is a little time and effort in posting interesting updates and offers to keep their audience engaged. Many consumers use Facebook to research garages and workshops. ‘Posting offers is a great way of directing traffic from their Facebook page to their website, where potential customers can make an inquiry and even book their car in for a service or MOT.’ CarDealerMag.co.uk | 83
Data File.
Ask Lawgistics .com
Car Dealer Club lawyers at Lawgistics answer dealers’ legal questions. Join for £49.99 a year to get advice like this when you need it
My customer has spoken to his daughter – now he no longer wants to buy the car! Q
I recently sold a vehicle to an older gentleman. He paid an initial deposit and signed the vehicle order form. He has now been in touch to say he is no longer going to buy the vehicle and has made this decision after a conversation with his daughter. He has asked for the deposit to be refunded. From the information you have supplied us with, it would appear the agreement to purchase the vehicle has been finalised between the two parties and there is a binding agreement. While your customer’s daughter may not be pleased with his purchase, this is not a reason for the cancellation of the agreement. A deposit is taken to show the parties have entered into an agreement, meaning obligations on both parties.
A
It is generally implied in the motor trade that when a deposit is paid this is considered to be an initial payment of the purchase price of the vehicle in question. It appears the consumer has signed a vehicle order form and we would hope this explicitly states that any deposit paid is non-refundable. For extra measure, this should also be expressly stated to consumers as well before any deposit is taken. If the consumer has simply changed his mind, then the deposit is non-refundable. In some circumstances, where it was agreed between the parties the deposit is refundable – say, subject to a repair being carried out, such as cosmetic work – and the consumer is not satisfied with the repair, then yes, the deposit would be
ADVICE
refundable in this circumstance. Another scenario where a deposit is refundable is where the vehicle has been misdescribed. For example, the advertisement may not have included details of the vehicle being registered as a Cat D or C – the consumer would then be entitled to a refund. The above advice is subject to the agreement taking place at your premises and the vehicle being inspected by the consumer. However, if you take a deposit over the phone this may possibly be subject to a ‘cooling-off period’ – this comes under The Consumer Contracts (Information, Cancellation and Additional Charges) Regulations 2013. Of course, if the vehicle was no longer available for the consumer to purchase for some reason, then the deposit would be refundable.
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Buy and sell trade stock quickly and profitably Cartotrade.com is the new online trade-to-trade platform set up by the ex-management team of Autotrade-mail. Cartotrade’s focus is on the integrity, security and accessibility of stock, complemented by a simple yet innovative platform that allows its members to buy and sell trade stock quickly and profitably. To see the benefits, Car Dealer Club members can have an extended, no-obligation, four-week free trial*. If, after the free trial, a Car Dealer Club member wishes to subscribe, they then get their next month completely free, without contracts and never a price increase. * Subject to vetting
Exclusive 10 per cent discount on your tailormade trade insurance At Unicom, we’ve been safeguarding our clients with the best protection policies for more than 20 years – so, no matter what role your business plays in the motor trade, we can have you covered for every possible risk. From road risks to legal cover, your motor trade insurance can be tailored to suit your individual needs. It’s our job to make sure that you get the best price for the cover that you want.
The heat is on...
Q A
What is the latest on the overheating issues affecting Ford’s one-litre EcoBoost engines? On September 28, 2018, Ford UK announced how it planned to handle cases relating to the above-mentioned engine. The manufacturer had been making goodwill contributions to the cost of necessary repairs on a case-by-case basis. However, Ford now says it will pay 100 per cent of the cost of repairing engine-overheatingrelated issues affecting its onelitre EcoBoost unit. With new cases, owners are encouraged to take their vehicle to a Ford dealer to diagnose the issue in the first instance. The dealer will then be required to obtain goodwill approval from Ford UK, as appropriate. For current cases, where work is in progress with approval from Ford UK, the Ford dealer should seek an increase to the goodwill already on offer to a maximum of 100 per cent of the cost of the necessary remedial work. Ford UK has also agreed to re-examine prior cases to ensure that its policy of providing a 100 per cent contribution to repair costs is applied consistently.
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If Lawgistics hadn’t got involved, we could well have lost court case that was looming! BEDFORDSHIRE Car Sales is an independent used car dealership in Leighton Buzzard that stocks around 70 cars at any one time from a wide variety of manufacturers, usually up to a value of around £8,000. Asif Munir, director at the dealership, praised Lawgistics highly for its efficiency and ability to help with legal issues that arose across the business. ‘It’s a huge helping hand, whether that be with dealing with any customer complaint or procedure, but also with any matter across the business – even with things such as land issues and tenancy agreements,’ he said. ‘But it’s also very useful for advice. We can ask Lawgistics what can we do here, what should we do there, and the service is always excellent.’ Lawgistics had to assist the business in resolving quite a serious case recently, involving a dispute that looked as though it was heading to court. Munir told us: ‘A customer had bought a Mercedes C-Class from us
and months later they came back to complain about a fault. We were unsure about what to do and were heading towards a court case. ‘However, Lawgistics got involved and pointed out that another mechanic had worked on the car in the meantime – something we hadn’t spotted – and the other garage had caused this issue. ‘When the customer realised that it was the other garage at fault, the case ended. If Lawgistics hadn’t stepped in, we would have gone to court and would have likely lost the case.’ Munir comes from a family of car dealers, with four of his relatives owning dealerships. One of his brothers set up his own garage last year, and Munir recommended Lawgistics from the outset. He said: ‘My brother has said several times what a helping hand Lawgistics is.’ Munir concluded: ‘I would give Lawgistics five stars any day. Regardless of who you speak to, every single person is fantastic at what they do and very helpful.’ Ted Welford
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CarDealerMag.co.uk | 85
Auctions.
How we gave local motorists a bargain at the pumps!
Confessions: p93
WEBSITE
CD Auction Group and Avis join forces online
C
D Auction Group and Avis have partnered to launch an online auction portal that gives dealers and trade buyers access to Avis used cars. Avis Car Sales – at aviscarsales. co.uk – uses CD Auction Group’s online technology as well as its back-office technical and administrative support. Used vehicles from Avis UK will be processed at several sites but will all be auctioned via the new website. All existing registered Avis UK used vehicle buyers will be automatically enrolled on to the platform and other buyers will be able to register to bid in the weekly closed auction sales. The long-term partnership arrangement is part of Avis UK’s ongoing activity to remarket its online offer and will substantially speed up the process of selling vehicles, it said. Andy Brown, pictured, managing director of CD Auction Group, said: ‘We are delighted to be working with the Avis UK remarketing team, with whom we have had a long-term relationship. ‘This development further cements our partnership and we look forward to supporting them in their remarketing efforts. Avis UK will greatly benefit from our detailed condition-appraisal reporting, which is supported by high-quality photography as well as access to industry-
leading online vehicle auction technology.’ Nina Bell, managing director of Avis Budget Group UK, said: ‘We’ve long held the desire to improve the efficiency of our remarketing process. Moving online is an obvious and important step in the current market but finding the right approach and partner was critical. ‘After working with CD Auction Group for a number of years and using their online-only auctions first-hand, we have great confidence that we’ve partnered with the right team to provide an efficient and effective way of remarketing our used vehicles. Registered buyers will have access to the full mix of Avis vehicles covering a range of makes, models, ages and mileage profiles, enabling buyers to purchase via online auction or the ‘‘buy-it-now’’ channel.’ The new online service offers 24/7 bidding and buying with dedicated account management support, she added.
at BCA. Michael Tomalin, MD of City Auction Group, said: ‘We are excited to welcome Emma. She brings blue-chip sales experience in remarketing and refurbishment, and has the right skill set and experience to develop our current client 4/4/18 12:01 Page 1 relationships and bring in new customers.’
ellers are always looking to improve their remarketing activity, whether that is in time to sale, conversion rate or price achieved, while professional buyers want access to accurately appraised and realistically valued stock. Decision intelligence is king in the remarketing sector. Remarketing is about bringing these two groups together to balance supply and demand in the marketplace, and increasingly the sector is turning to the advanced use of data to make that happen. In fact, the use of decision intelligence within remarketing is revolutionising the sector. BCA has developed leading-edge machine-learning algorithms to analyse and interpret vast amounts of historic and current market data to deliver valuable and timely decision intelligence to customers. Day in, day out, BCA supports vendors in making key decisions to assist them in their prime goal of selling a depreciating asset as quickly as possible. The company has introduced new methods to analyse and deliver strategic intelligence to customers that helps them to improve conversion rates and drive up average selling value. Similarly, BCA feeds professional buyers with decision intelligence to enable them to purchase stock profitably while ensuring a frictionless buying experience. BCA draws on its market-leading range of data to inform reserve price setting, enabling the optimisation of both the sales channel and the actual sale event. Real-time access to this improves first-time conversions and makes sure provisional bids are dealt with using the most up-to-date intelligence. From the buyers’ perspective, it means vehicles are accurately appraised, described and valued in line with market sentiment. Personalised marketing strategies ensure that professional buyers are made aware of the vehicles they need to buy and which sales they need to attend, whether physical or online. It may be a quiet revolution, but decision intelligence is changing the way the remarketing sector operates. Dene Jones is BCA’s chief marketing and data officer. Visit bca.co.uk or call 0345 600 6644.
Fixed cost buyers premium User friendly website & stock locator. On-line bidding
Professional Vehicle Auctions for Professional Vendors & Buyers
86 | CarDealerMag.co.uk
Decision intelligence is king in the remarketing sector
Excellent variety of weekly stock from premium sources
The Fleet Auction Group
www.fleetauctiongroup.com
AUCTION STATIONS
S
Emma welcomed to new Rockingham role CITY Auction Group has appointed Emma Woodward as its new business development manager at Rockingham. Emma was formerly responsible for managing dealer group relationships at Aston Barclay and before that was a Car dealer new strip ad Revised manufacturer buyer development executive
Dene Jones
Fleet Car Sales every Tuesday at 1pm & Thursday at 10am Van sales every Wednesday at 10:30am Wheelchair Accessible Vehicles fortnightly, Wednesdays at 10am Truck, Trailer & Plant fortnightly, Wednesdays at 12noon Collection of vehicles 24 hours a day, 7 days a week Purpose built 15 acre auction complex Enclosed and heated auction halls and viewing area Vehicle refurbishment facility The UK’s finest auction restaurant Central UK location (Leicestershire) NAMA Vehicle Grading
Call 01530 833535 or go online for account application
Taking Stock. Remarketing specialist BCA analyses its latest Pulse report to give its thoughts on matters that dealers need to consider in the months ahead
Strongest September on record as buyer demand stays strong New performance records were set, with interest particularly high for vehicles in ready-to-retail condition, reports Stuart Pearson, chief operating officer for BCA’s UK remarketing operation.
A
verage used car values at BCA rose to record levels in September, as buyer demand continued apace. We recorded a strong trading month both in-lane and online. Remarketing centres around the UK network set new performance benchmarks as we introduced enhanced sales programmes to meet the needs of buyers and sellers alike. Average month-on-month used car values rose by £184 (1.9 per cent) across the board during September, reaching £9,881 – the highest point recorded since we began publishing our Pulse report. Year-on-year values rose by £764 – an 8.3 per cent increase over the 12-month period. All sectors saw values increase in September, with fleet/lease product rising by £648 (5.7 per cent) compared with the previous month and an increase of £1,093 or 10.1 per cent over the year. Both dealer part-exchange and nearly-new values saw more modest rises that continued the pattern of value growth that has been apparent for much of 2018 – average p/x values have now risen for eight months in a row.
Bidding activity on used cars has been strong at BCA throughout 2018 and that continued into September, pushing average values for fleet and contract hire and dealer part-exchange vehicles to record levels. Physical buyer attendance was noticeably high and record numbers of bidders joined via our Live Online platform to complement the buying power available. New performance records were set across our UK network and, not surprisingly, interest was exceptionally high for vehicles in ready-to-retail condition. The buoyant used car market has continued as we enter October, with positive reports around retail activity on used vehicles from our very active buyer base. BCA continues to win and retain business and we are delighted that Taggarts, part of the Lookers group, has announced a significant remarketing agreement with BCA in Scotland in recent weeks. Average fleet & lease values rose sharply at BCA in September, climbing by £648 (5.7 per cent) compared with the previous month to reach
Average value of used car in fleet & lease sector :
£11,871
a new benchmark for the fifth time in 2018 (£11,871). The retained value against original MRP (manufacturer’s retail price) improved by one and a half percentage points to 45.47 per cent. Yearon-year values improved by a substantial £1,093, or 10.1 per cent, over the year, with age rising and mileage falling. Average dealer part-exchange values improved by £66 (1.3 per cent) to £5,131 – the eighth consecutive month of record average values in this sector at BCA. Year-on-year values were ahead by £374, representing a 7.8 per cent increase over the 12-month period, with age and mileage decreasing. Values for nearlynew vehicles continued to increase, rising by £278 (1.1 per cent) to £25,311 to record the sixth consecutive monthly rise in this sector at BCA. Year-on-year values were up by £6,086 – nearly a third (31.6 per cent) ahead of values recorded in September 2017. As always, the effect of model mix and availability is significant in this very low-volume sector.
Average dealer part-exchange values:
£5,131
CarDealerMag.co.uk | 87
Real Deals.
Modern Jensen that could have revived the brand Adam Weller looks at a rarity with American heart and a British badge.
T
he Jensen brand is one of British motoring legend, largely thanks to the Interceptor, which became one of the most famous and sought-after British cars of the 1970s. However, by the end of the 20th century, Jensen was a distant memory. The firm had struggled, but as the new millennium approached, so did talk of the brand’s return. The result of the speculation came at the 1998 British International Motor Show, with the display of a concept car that would ultimately make production – the S-V8. More than 300 orders were placed in the months that followed, and by 2001 things looked to be falling into place. Production began in August of that year and 20 cars had been built by mid-2002. However, in July 2002, the firm collapsed, leaving 18 unbuilt cars and countless unfulfilled orders in its wake. Another firm is said to have finished some of the part-completed cars, but the Jensen Owners’ Club is certain there are fewer than 40 out there in total. And as I write this, a truly new Jensen model has never been made since. But for all the talk of how the firm fell, it’s worth looking at the rarity the revival spawned, as even some ardent car enthusiasts will struggle to identify the S-V8. It was powered by a Ford Mustang Cobrasourced 4.7-litre V8 producing 316bhp and had a relatively low 1,300kg kerb weight. The few members of the press who were able to sample the S-V8 seemed to agree that it had the potential to do well had the firm not collapsed. It’s certainly not a pure sports car, more a purposeful grand tourer; a TVR Cerbera that’s done some growing up and wants to take fewer risks, perhaps. It’s not a racer then by any
Swathes of blue leather certainly make for a distinctive interior means, but its handling is perfectly serviceable, and the Mustang engine means that there are plenty of people to turn to for servicing and maintenance. Talk in Car Dealer Towers suggests the styling is very much of the Marmite ilk – at the turn of the century, this would have been a relatively futuristic concept car and some may well appreciate its looks, but others are less sure. Of course, this is the product of a firm driving its bank manager to an early grave, so there are some imperfections to be found. However, we dare to suggest that if you’re someone who would be interested in the Jensen, you’ll be used to the quirks of the low-volume British sports car. This particular example is currently for sale at Sovereign Cars in Whitchurch, Hampshire, just off the A34. Having completed 64,000 miles with one keeper, it certainly seems that this early-2002 car
has been put together well in spite of the looming demise of the production line. It’s also been well looked after, having taken first place at the 2009 Jensen Owners’ Club concours event. It features blue leather inside, which – like so much of the car – may divide opinion. In this writer’s view, though, an interior/ exterior colour match is always a plus. The price for this ultra-rare piece of British sports car history is £29,995, which is quite steep. However, if firms such as Jensen are of interest to you, this is definitely a great opportunity. Even in the world of low-volume cars, this is a rare beast, and one that should be worth more in the future if kept as pristine as it currently is. The Jensen Owners’ Club and the wider community seem like a friendly group who will welcome you with open arms, and if you’re into the unique, eccentric side of the industry, you’ll struggle to find a better talking point on wheels than this.
This is a car that should appreciate in value if kept in tip-top condition 88 | CarDealerMag.co.uk
Market Insight.
...in association with ASE-global.com
Cambria is opening a second Lamborghini dealership in November, with Royal Tunbridge Wells as the location
Positive commentary is set to come to an end in weeks ahead Scale of the drop in supply resulting from WLTP has taken most of the industry by surprise, says Mike Jones.
S
eptember proved a relatively quiet month among the motor retail stocks, with a limited number of announcements. General market commentary was positive, with new vehicle registrations having risen in August. However, this is all set to change... Share price performance While there was less activity than in the previous month, we did see Teleios Capital Partners continue to build their stake in Pendragon, taking them to more than 15 per cent of the voting rights. This produced a further bump in the Pendragon share price, with everyone now taking a position and waiting to see formally what their intentions are. We saw some minor movements in some of the other listed significant shareholdings, with Maland Pension Fund slightly increasing their holding in Caffyns and Olesen Value Fund taking a three per cent stake in Cambria. Vertu and Marshall saw significant share price drops in the month, but these were not on the back of any formal announcements. Financial performance At the start of September, we saw a pre-close trading update issued by Vertu covering their six months to the end of August. Although very brief, it did report that ‘the group has continued to trade in line with the trends set out’ in the trading update provided at the annual meeting in July and ‘in line with the board’s expectations’.
Share price movement since the start of 2018
Share price movement over the past month
Pendragon
-2.6%
11.0%
Vertu
-14.3%
-12.1%
Lookers
2.7%
0.2%
Inchcape
-14.1%
-2.9%
Cambria
-12.3%
-5.3%
Caffyns
2.4%
0.0%
Marshall
-11%
-7.5%
Motorpoint
0%
-7.3%
BCA
-0.2%
-13.1%
Auto Trader
26.8%
-0.3%
In addition to their trading update, Vertu also confirmed the appointment of Andy Goss, recently global sales operations director for JLR, as an independent non-executive director. There was a more extensive trading update and notice of preliminary results from Cambria for the 11 months to the end of July. Trading was deemed to be ‘in line with management’s expectations’, with the performance ‘delivered alongside significant franchising additions, changes and site developments’. While results were behind the prior year, the board was ‘confident of delivering a full-year result in line with market expectations’.
As part of the changes, Royal Tunbridge Wells will be the location for Cambria's second Lamborghini dealership, opening in November, and it has opened a Peugeot dealership in Warrington to replace the Fiat franchise there. Transaction activity During the month, we saw the confirmation of Lookers’ acquisition of Jennings Motor Group. The transaction wasn't formally announced to the Stock Exchange, presumably not being significant enough. Based on recent accounts, it should bring an additional circa £2 million of Ebitda to the business. The lack of an announcement brought the side benefit that Lookers could avoid commenting on current trading performance, which for all motor retailers is likely to be disappointing in September. Trading outlook Given the drop in registration levels for September, I would expect to see a number of negative trading announcements over the next month. While Vertu has a formal half-year announcement in October, I expect comments from many of the retailers in light of the 20.5 per cent drop, even if it is just to say they are trading in line with previous forecasts. The scale of the drop in supply resulting from WLTP has taken the majority of the industry by surprise, and I would expect this also to be the case for the listed motor retailers.
Mike Jones is chairman of dealer profitability specialist ASE plc. You can read his column here every month. CarDealerMag.co.uk | 89
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Sean Speaks.
...in association with Close Brothers Motor Finance
Why dealers should care about WLTP and its continuing effects Point out the benefits of point-of-sale finance and generate more profit, advises Sean Kemple.
W
LTP is now with us, having been fully introduced on September 1, 2018. The automotive industry and governments have come together to develop the Worldwide Harmonised Light Vehicle Test Procedure – or WLTP for short. This more rigorous series of laboratory tests will provide the customer with a more accurate view of CO2 and fuel consumption. WLTP replaces the existing NEDC (New European Driving Cycle) test, which originated in the 1970s. Since then, car technology and driving habits have rapidly changed, as has the definition of normal driving conditions, which has resulted in real-world variations on fuel consumption. The test came into effect from September 1 2018 in conjunction with RDE – yes, another abbreviation! – or the Real Driving Emissions test. It will be the only comparable measure to be used by governments and manufacturers. But what exactly is WLTP and how does it affect dealers? In essence, why should they care about it? The fact of the matter is that we have seen and will continue to see the effects of WLTP on dealers and the forecourt. We saw a record August for new car sales, with reports also coming through of an uplift in used vehicle sales for the period as footfall increased. However, we saw a reduction in new car sales in September. A number of new car models have been removed until there is clarity on testing, and this is affecting current delivery times for new cars. The challenge is further compounded by reports of a shortage of test centres across the UK to support the volume of testing required. In addition to this, car dealers may also have reduced opportunities to offer optional extras, with a possible tax increase on options such as larger wheels, sun roofs and even tow bars having an impact on the real driving emissions. For the used market, we see a number of potential challenges. Will there be fewer company cars defleeted at the usual three- and four-year marks as drivers wait for more certainty around what WLTP means for the company car driver? We may also see a number of traditionally new-car-focused retailers switching focus to used cars as new car models continue to be delayed. If this is the case, we will see an increased demand at auction potentially increasing wholesale values
FREQUENTLY ASKED QUESTIONS What does WLTP measure? WLTP measures a vehicle’s individual CO2 emissions, pollutant emissions and fuel consumption. What does WLTP mean for customers? WLTP provides them with greater clarity in relation to the emissions and consumption values of their vehicle. Will WLTP increase my fuel consumption? No, this will not be the case. I bought my car before the introduction of WLTP – how will it be affected by the new rules? There will be no impact on new cars registered from September 2018. and placing pressure on the profit per unit. Identifying additional sourcing options to supply the forecourt would be wise for used car dealers in addition to ensuring vehicles are priced effectively from day one. Dealers may also want to supplement the profit per unit with an increase in point-of-sale (POS) finance, ensuring all members of the team can position the significant benefits of POS finance to potential customers and ensuring the dealership is capitalising on the growing number of consumers choosing to finance their next vehicle. Ask your finance provider how you can maximise your opportunities here and support with training you and your team. How does all this affect customers? Do they understand it? And what can dealers be doing to address that? Consumers may not have heard of WLTP or RDE. However, they will most likely be aware of the government’s initiatives to reduce CO2 emissions. From September 2018, some manufacturers will have started displaying WLTP information on their websites, with WLTP CO2 values to be published in showrooms from January 2019. On the forecourt, we may see an impact on the packages offered by manufacturers. From a testing perspective, consumers will
What is the effect of WLTP on vehicle tax? The former New European Driving Cycle (NEDC) CO2 values will continue to be used for tax purposes on vehicles from 2017 to 2020. Cars registered after April 2020 will use the WLTP values for taxation purposes. NEDC will continue to be used for the official emissions (CO2) and fuel consumption (mpg) values. As and when WLTP figures become available for new model introductions, these will also be available for customers. It’s worth noting that the NEDC CO2 values will be used for taxation for the tax years 2017-18, 2018-19 and 2019-20. It’s only for new cars registered after April 2020 that the WLTP values will be used for taxation purposes. receive a more comprehensive and real-world test with more accurate fuel consumption and CO2 emissions data. Some of the changes in testing from NEDC to WLTP will see a number of differences – for example, average speed testing will increase from 34km/h per hour to 46.5km/h, while top-speed testing will increase from 120km/h to 131km/h. WLTP will continue to be phased in, with September 2018 seeing all new cars on WLTP and no longer required on NEDC. Some vehicles coming to the end of their cycle will have a grace of one year to allow for them to be sold. From January 1, 2019, all cars in dealerships should only have WLTP CO2 values, while during 2020, current NEDC-based CO2 targets will be converted by the European Commission to specific WLTP targets of equivalent strictness.
Sean Kemple is Director of Sales at Close Brothers Motor Finance, one of the UK’s leading providers of motor finance. The company works with over 8,000 dealers and provides finance for new and used cars, LCVs and motorcycles, caravans and motorhomes. Go to closemotorfinance.co.uk to find out more. CarDealerMag.co.uk | 91
Data file.
James Litton
TRADER TALES
Don’t blame Brexit! It’s time for a bit more accountability
T
he first sales manager I worked for as a wet-behindthe-ears trainee claimed to have an excuse for not selling cars for every day of the year. His reasons included everything from the FA Cup final to the Boat Race. He also blamed the weather, the fact that we were approaching Christmas, the fact that Christmas had just passed, weather that was too hot and weather that was too cold. If I didn’t sell a car on any given day, I can tell you without question who wasn’t responsible, and that was me. It has been the prerogative of any sales person since time began to lack accountability, but I feel like this is changing. We have statistics on inbound call volumes, outbound call volumes, mystery shops, call recording and conversion rates. There is no place to hide in a connected digital world. However, while accountability might be evident at grass-roots level, it appears to be in short supply in politics or at board level in big business. I never imagined Shaggy’s enduring number one hit It Wasn’t Me would essentially form the backbone of Donald Trump’s daily rants against accusations of philandering and bigotry, yet steadfast denial regardless of any apparent evidence appears to be in vogue. Elon Musk famously seemed to smoke marijuana recently on Joe Rogan’s podcast, sending Tesla’s share price into a tailspin. While he is clearly a hugely ambitious and talented individual, the company’s inability to make a profit since inception means there needs to be a level of accountability from Musk to give stock-holders confidence. I am not convinced traditional Wall Street types want to see this type of behaviour from him. I feel the same about Jaguar Land Rover’s decision to cut production in the run-up to Christmas. The local Labour MP, Jack Dromey, was quick to pin the cutting of Jaguar production on ‘Brexit chaos and the mishandling by ministers of the transition from diesel’, while the drop of profit for the company in 2018 was blamed on ‘consumer uncertainty surrounding diesel, Brexit and vehicle taxation’, according to a company statement. JLR needed a saviour and that saviour was Tata. Tata have done amazingly well at securing the future of the brand as well as volume car production in the Midlands. They have invested millions in the country, but please do not tell me that Brexit or vehicle taxation are to blame for a failure to invest in future technology at an earlier stage. Brexit is not the silver bullet for excuse-making, but just in case anyone asks, we didn’t sell any cars today because of it.
‘There is no place to hide in a connected digital world.’
James Litton is general manager – director of Volvo Cars Poole. He always has something to say about the industry he loves. 92 | CarDealerMag.co.uk
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Grumpy garage owner who paid the price for rudeness
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few years ago, I worked at a large dealership that was situated next to a petrol station. The businesses were entirely separate but it just so happened that the bosses of the two establishments were old school pals, so one or two mutually beneficial arrangements had come into being over the years. The main one revolved around a problem that many of us will have encountered during our careers – a simple lack of space. Our premises were on a very cramped site, with only a limited amount of room for customer parking. Moving stock around was a nightmare. Luckily, under one of these friendly agreements with our neighbours, we were allowed to store cars and offer parking to the side of the expansive fuel forecourt next door. In short, everything was tickety-boo. We had that bit of extra room that we desperately needed and the manager of the petrol station enjoyed one or two perks at our expense, the main one being the use of our ‘kids’ zone’ as an ad-hoc babysitting service for his two spoilt brats. Then – shock! – everything came to a juddering halt. The petrol station changed hands and the new owner (let’s call him ‘Bill’) banned us from his site. He did it in a thoroughly unpleasant way too, and was decidedly rude to us when we called in to buy unleaded or diesel ourselves. What had we done wrong? We had no idea, but after a while his attitude began to grate a bit. Fast-forward a few weeks and our own boss decided to call it a day. We marked his departure/retirement with a night out in our local town centre. After the consumption of enough alcohol to give anyone liver failure, we found ourselves walking home and heading for the petrol station and dealership as we staggered along. As we approached, we noticed that the digital price board facing us had been changed that day – but that whoever had adjusted the numbers (little luminous strips that are turned to face outwards and form the numbers 0-9) had failed to lock the plastic case and the whole thing was open to the elements. Well, this gave us an idea – and we decided to give the motorists of our town some cut-price fuel. By twisting the bits of plastic, we reduced the prices of diesel and unleaded by about 15p a litre each. Bill looked extremely bemused when he arrived at work the next day and saw a queue several hundred yards long snaking down the road!
‘We decided to give the motorists of our town some cutprice fuel.’
Tell us your story
Have you something to confess? Email our head of editorial (you can find her details on page three) or post it on our forum – cardealermagazine.co.uk/forum CarDealerMag.co.uk | 93
Key Notes.
...in association with Traka
Hydrogen power could really go the distance... Arguably greener and more practical, FCEVs could be heading for a very rosy future, says Paul Smith.
I
recently came across some market drivetrain predictions from KPMG that made me wonder if battery-powered electric vehicles (BEVs) may have been overhyped in recent years. The KPMG 19th Global Automotive Executive Summary 2018 comes up with a surprising drivetrain split prediction for 2040 and it reads as follows: BEVs, 26 per cent; fuel cell-powered electric vehicles (FCEVs), 25 per cent; internal combustion engines (ICE), 25 per cent and hybrids, 24 per cent. If that’s anywhere near the truth, then hydrogen FCEVs are heading for rapid adoption from a much lower base than BEVs today. Having said that, it’s worth looking at what’s likely to drive FCEV adoption to see if these predictions hold water. All four mega-trends impacting on the automotive space over this timeframe favour FCEVs over BEVs, except perhaps for inner-city driving. These mega-trends are: 1. Electrification/zero-emission targeting (eg, both the UK and France are banning internal combustion engines [ICEs] in vehicles by 2040) 2. Shared mobility 3. Autonomous driving 4. Connectivity Nearly all central and even regional and local governments are now setting targets for electrification with a view to eliminating vehicular fossil-fuel emissions by 2025. But if you consider the emissions involved in creating and refuelling the batteries for BEVs, they don’t look as green as hydrogen FCEVs, which offer the promise of zero emissions in fuel cell manufacture through water electrolysis.
There are zero tailpipe emissions when the cars are in use, as well as much longer distances before recharging and faster refuelling when that charge is finally depleted. Shared mobility models suggest that in future, cars will be expected to do many more miles than they do today, as usage rises from perhaps two hours per day per vehicle at an average passenger occupancy rate of just 1.55 (source: KPMG) to 10 hours per day travelling up to 100,000 miles per year and carrying many more people. Currently, BEV-based shared mobility offerings show the average number of trips per day are under five before the vehicle has to be repowered (with a minimum 45-minute wait to do so), whereas FCEVs already available offer ranges of up to 400 miles – close to what we are all used to in the ICE-based world. Indeed, the only major drawback, like EVs, is finding places to refuel when you finally do start running out of power. However, there seem to be opportunities for fuel station operators to transition fairly smoothly to compressed hydrogen storage. Most of the existing infrastructure just needs adapting rather than fully replacing, and the time taken to refuel (a couple of minutes at most) is similar to those being experienced by drivers today. Turning quickly to the rise of autonomous driving over the next 20 years or so, again, FCEVs appear to be in the driving seat because, as cars move through Level 4 and 5 autonomy, the load on a typical battery-powered EV rises significantly to power all the necessary IT equipment. And that’s before you start charging your gadgets or heating your seats. Again, FCEVs look to be in a better position to handle the new
power load required to run all the additional technology going into infotainment-loaded, IT-heavy autonomous vehicles. So, if hydrogen power is the way to go for longdistance driving in the future (and even Top Gear seemed to think so in its prescient review of one of the first commercially available FCEVs – the Honda FCX Clarity – way back in late-2007), why aren’t all the OEMs and fuel stations offering up their plans for the switch to hydrogen? The answer is that FCEVs haven’t had the benefit of the hype that EVs have enjoyed, but the hydrogen lobby is growing and manufacturers are starting to roll out products and infrastructure. Some 3,000 examples of the Toyota Mirai, a hydrogen FCEV with a 312-mile range, were sold last year and Toyota expects to sell 30,000 in 2025. The second-generation Hyundai Nexo is a promising FCEV offering a 370-mile range. Some governments are also focusing on building infrastructure: Japan has 160 hydrogen fuelling stations today and is making plans for infrastructure building to support a total of 40,000 FCEVs to be on the road by 2020 in time for the Tokyo Olympics. Meanwhile, Germany has built 50 hydrogen fuelling stations and H2 Mobility wants to build 400 more there by 2023. Audi is leading the way among European manufacturers in FCEV research and development by entering into a multi-year, patent cross-licensing agreement with Hyundai. So, although the hydrogen FCEV lobby is still not nearly as visible or as well-funded as BEV players like Tesla, it seems to have just as rosy a future and arguably an even rosier one once you get out of the city and on to the open road.
Paul Smith heads Traka Automotive, part of the ASSA Abloy Group brand Traka. ASSA Abloy bought the electronic key management software provider eTag Solutions, which was founded by him. Traka is a leader in intelligent access control, key management control solutions and keyless electronic lockers.
Keys can make you money… Find out how at www.traka-automotive.com The only viable key management solution for automotive Email automotive@traka.com or call 0845 225 2910
traka-auto 1-6pg.indd 1 94 | CarDealerMag.co.uk
15/12/2016 09:56
Long-termers. LATEST FROM THE FLEET...
Citroen C3 Aircross Ted’s on the hunt for a new motor – and took KS67 OVH with him as he attempted to find one. by TED WELFORD @TedWelford
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was looking forward to a quiet weekend with the C3 Aircross – perhaps a trip to a supermarket on Saturday afternoon, but little else. All that was about to change... I’d had my own car for sale for some time – a 2010 Volkswagen Scirocco. Whether it was the fact no-one wanted a diesel Scirocco or they didn’t want mine I’m not sure – but I just couldn’t shift it, and had pretty much given up hope after advertising it for two months. Then, one Friday night, I had a call from a presumable time-waster. But no, this was the real deal, and a couple of hours later the cash was in my hand, V5C signed and off it drove. It left me with a problem, though. I was now without transport of my own. I’d known for some time what car I wanted – a Seat Ibiza ST (an estate to you and me), but it had to have the 1.2-litre TSI petrol engine. Not hard to find, surely? But you’d be wrong – there were four for sale in my budget across the UK, and it was my intention to look at three of them over the course of the weekend. Here’s where the Aircross comes in. My first impressions of the Citroen were good. It’s a funky-looking crossover and attracts plenty of glances on the road, although I’m not sure if these are positive or negative. It also does the basics phenomenally well. It’s one of the most comfortable cars I’ve been in for some time, and the interior offers bucket-loads of room. Sure, the boot isn’t the largest in its class, but it has rear seat space that you’d struggle to find in cars in the class above, and feels genuinely airy throughout the cabin. On the road, the Aircross is refined, and while the 1.2-litre PureTech petrol engine could do with a couple more horses, it’s brisk enough in most scenarios with 109bhp on tap. It’s let down by the five-speed gearbox, though, which feels notchy and you really have to stretch your arm to put it into first gear (such is the gearstick’s awkward placing) – meaning town driving can feel like you’re doing Pilates. My journeys to Swindon, Twickenham and Bournemouth to look at the three cars gave the Aircross’s impressive infotainment system time to shine. With the option of both the built-in
The Aircross is a funky-looking crossover and attracts plenty of glances on the road, says Ted
THE KNOWLEDGE Model: Price (as tested): Engine: Power: Torque: Max speed: 0-60mph: Fuel economy (combined): Emissions (CO2): Mileage:
Citroen C3 Aircross £18,610 1.2-litre 109bhp 205Nm 114mph 11.8 seconds 56.5 115g/km 11,746
THIS MONTH’S HIGHLIGHT: Enjoying the impressive all-round ability of a car that does the basics extremely well. satellite navigation or Android Auto and Apple CarPlay, you’re never short of route planners – particularly when you tire of Apple Maps trying to take you to the wrong destination. The touchscreen in general is a doddle to use, although the increasing tendency for the air con buttons on new cars to be on the screen drives me up the wall. Just give me a dial to turn. The Aircross hardly broke a sweat in the 300 miles it covered, and while it’s not built for the
motorway, it feels more than up to the job of cruising. A six-speed gearbox would be a welcome addition to this engine, but you’ll find that on the more powerful 128bhp unit, which is only £390 more expensive. Unfortunately, my car-buying exploits failed, with all three Ibizas having issues, or frankly being too expensive, but I’m a picky so-and-so. The search continues… Sunday’s adventures proved to be more in the Aircross’s comfort zone. A morning shop in Lidl, a visit to a charity shop to pick up some furniture and a jaunt to a garden centre is stereotypically what Aircross owners might be doing with their time – rather than spending most of their day at 70mph on the M4. At one point, I parked next to someone else’s new 68-plate Aircross, which was, dare I say, in a better colour combination than ours. The Aircross is sadly departing from our fleet soon after a solid spell of service. It’s fair to say it’ll be missed, as it offers impressive all-round ability for a car of its size and price. In the meantime, however, I still need to track down a new motor, so if you have a Seat Ibiza ST for sale, I’d love to know… CarDealerMag.co.uk | 95
Long-termers. LATEST FROM THE FLEET...
Seat Arona Xcellence Lux A problem Dave thought had been resolved resurfaced just before his late summer holiday. by DAVE BROWN @CarDealerDave
T
here was a bit of a surprise in the post from the good people at Seat this month. The reason? A problem I thought had been resolved had reared its head again. You might recall from previous reports about life with our long-term compact Spanish SUV that in common with certain other models in the VW family, it had a bit of a problem with one of its rear seatbelts. At this point, forgive me as I embark on a bit of a recap (think Kirstie and Phil addressing their viewers as part two of Location, Location, Location gets under way). The snag, identified by a Finnish motoring magazine, involved the belt for the left-sided occupant potentially springing open while the car is changing lanes and travelling at speed – and would only occur if all three of the rear seats were being used. When the story broke, Seat issued a statement saying: ‘We have identified the seatbelt issue that Tekniikan Maailma [the name of the Finnish magazine] has found. We are currently investigating the repair options.’ Those repair options involved our Arona – an excellent little SUV that’s provided us with more than 8,000 miles of economical and enjoyable motoring, I should hasten to add – being prised from our grasp for a day so that the remedial work could be carried out. The car came back and I thought everything had been sorted – but then early in September, a letter arrived informing me that the ‘69W1 belt buckle repair campaign’ – presumably the process our car underwent during its absence from our fleet – was ‘only an interim solution’ and that the rear middle seat should still not be used. A natty little sticker arrived too, to adorn the dashboard and warn occupants about the situation. OK, it’s not ideal, and if you had genuinely bought an Arona to transport your spouse and three kids around, you’d be entitled to feel that Seat had let you down somewhat. Fair enough. But let’s accentuate the positive here and mention once again that KM67 XUU is an absolutely cracking little car. In previous dispatches, I’ve highlighted the clever tech, the good looks and the genuine 96 | CarDealerMag.co.uk
A warning sticker on the dashboard, below, alerts people to the Arona’s ongoing seatbelt issue
THE KNOWLEDGE Model: Seat Arona Xcellence Lux Price (as tested): £22,620 Engine: 1.0 TSI six-speed manual Power: 113bhp Torque: 200Nm Max speed: 113mph 0-60mph: 9.6 seconds Fuel economy (combined): 56.5 Emissions (CO2): 114g/km Mileage: 8,561 THIS MONTH’S HIGHLIGHT The prospect of another Seat – this time as a hire car – as Spanish holiday sunshine beckons! appeal of its peppy 1.0-litre petrol engine. All that still holds true. As I write this, I’m about to abandon the car for a week as my better half and I are jetting away for a few days in the sun. Just before I hang the keys up for a bit, I’ve been checking the levels to make sure I won’t leave anyone high and dry. The car seems to have used only a minuscule amount of oil in its time with us but I did top up the windscreen washer fluid and checked the tyre pressures. Incidentally, my daughter drives a 10-year-old Seat Ibiza and the correct pressures for her tyres are displayed on the inside of the petrol cap. A clever touch and one Seat should think about reintroducing! So it’s off to sunny Spain for a bit, from where the car originates, obviously – and I’ll probably end up with an Arona or something similar as a hire car. At least I’ll be familiar with the controls!
OTHER CARS WE’RE DRIVING
Vauxhall Grandland Mileage: 10,706 The car’s now repaired and racking up the miles once more, with a working fuel gauge and no scraping noises from the wheels after the front brake discs were skimmed and new pads fitted.
Kia Stonic Ted treks ‘up north’ to see if LF18 NKM can pass the crucial grandparent-approval test. by TED WELFORD @TedWelford
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’ve spent a fair amount of time in our Kia Stonic this month, and I continue to be largely impressed. There’s certainly a lot to like. It’s decent to drive, practical for its size and comes impressively well kitted-out – particularly for a mid-spec small crossover. On longer journeys, it performs well on motorways – even more so when you consider that it’s powered by a 1.0-litre petrol engine. However, the next test in store would be one of its fiercest – what do the grandparents think of it? As much as crossovers, such as the Stonic, are marketed by manufacturers as young people’s cars, aimed at ‘lifestyle’ families, many of them end up in the hands of pensioners. It’s quite easy to see why — they’re practical, a bit higher up, which makes them easier to get in and out of, and often offer superb value for money. So, on a recent jaunt up to the sunny Scarborough coast, it was a good opportunity to get the grandparents’ views on the Kia. As drivers of a Skoda Yeti, they know their way around a crossover, with Grandad still being an able driver at 84. But don’t be fooled into believing that they’ll think any car is good – they’re tough people to please. The Ford EcoSport was slated for being uncomfortable and slow, a Nissan Qashqai was deemed as ‘average’, so how did the Stonic fare?
A nice evening on the family farm provided Ted with a great chance to take some Stonic pictures
Well, perhaps the highest praise it could get. ‘This is very pleasant, Edward,’ was Grandad’s overall thought. Yes, only full forenames are used with this senior member of the family – he won’t be pleased when he sees that this has been written by ‘Ted’… It was only Apple CarPlay (it has Android Auto too) which outfoxed them. The prospect of an iPhone is still a struggle, so you can imagine how complex it was for them to have the device projected on the touchscreen display.
The Stonic was certainly a pleasing companion for the 20-mile trip home on a Saturday night after a three-course evening meal. And thankfully the deal works that if I drive, they pay for the meal. A bargain, eh? Even better when it comes to fuel economy. While the Stonic isn’t overly efficient, it’s amazing what wonders can be worked to your driving style when you have two 80-year-olds in a car. The following day I decided it was about time to get some good pictures of the Stonic. With the family farm at my disposal and harvest just finished, it was a prime opportunity to take advantage of the stubble fields. As with most crossovers, the Stonic is useless away from tarmac, so it’s quite a good thing that the fields were dry when these pictures were taken, while the bright evening sunshine made the Stonic’s Blaze Red paintwork look fantastic. Rugged styling is all part of the crossover buzz, though – cars that look like they can go off road but are purely for show. However, they’re rolling out of dealerships at a phenomenal rate, so it’s little surprise that Kia now has five crossovers and SUVs in its model line-up.
THE KNOWLEDGE
VW Transporter Kombi
Ford Kuga
Mileage: 9,712
Mileage: 8,760
We’ve discovered you can remove the vehicle’s rear seats without too much trouble, which opens up LOTS of space. This proved ideal when a couple of Car Dealer staff members moved house recently.
There was a setback recently when a nail penetrated one of the tyres on our long-term Kuga. Thankfully, we didn’t need a new tyre – the damage was repaired and we’re back on the road.
Model: Kia Stonic 1.0 T-GDi 2 Price: £17,540 Engine: 1.0-litre three-cylinder turbo petrol Power: 118bhp Torque: 172Nm Max speed: 115mph 0-60mph: 9.9 seconds Fuel economy: 56.5mpg Emissions (CO2): 115g/km Mileage: 9,890 THIS MONTH’S HIGHLIGHT: Getting the thumbs-up from Grandad – he’s right, this is a very pleasant car. CarDealerMag.co.uk | 97
The last word JA M E S B AG G OT T
Against our better judgment, we give our CEO the final say each month
Mysterious adverts that tell me my phone might be eavesdropping
D
o you ever get the feeling someone’s watching you? Not creepily looking through your window on a dark autumnal night – if that’s the case, call the police, call the police now. No, I mean a sense that someone or something is ever so slightly keeping an eye on you. Cryptic one, but let me explain. I, like many of you, use my smartphone a hell of a lot. I use it for shopping, I use it for work and I use it for keeping up to date with friends on social media. In fact, it’s so heavily embedded in my life that when the screen stopped working on a recent holiday, my mood could well have been described as inconsolable. Sad, I know, but that’s life these days. Recently, though, there have been some strange coincidences that are starting to make me think my phone is listening to me. Yes, I know iPhones technically are always listening to you, ready to spring into life when you utter the magic ‘Hey Siri’ command, however what I’m worried about is that function being used for commercial means. Recently, there’s been more than one occasion when adverts have been so hypertargeted to me that they really couldn’t just have been coincidental. I’m talking about adverts for things I’ve never searched for – ones served up seemingly at random, but so strangely in tune with what I’ve been talking about that the only way they could have found me is if something on my phone was listening to what I’d been saying. Friends have asked the same question – is Instagram secretly listening to you? My answer now is that it quite probably is. The first occasion it struck me was an advert for Nespresso coffee. A colleague and I were talking about how they’d seen an offer for small business owners to buy a coffee machine from the pod purveyors for £1 if they bought a certain amount of coffee at the same time. Lo and behold, a day later, the exact advert – complete with the very same terms – appeared in my Instagram feed. Then it happened again. My daughter and I had been chatting about Blue Planet II and how much we loved watching it and then had sat down to watch an episode or two on Netflix. Less than 24 hours later, there in my Instagram stories
feed was a promoted advert about Blue Planet II Live. Now, I didn’t even know that was a thing, and I certainly hadn’t searched for it online on my device. I don’t think there’s any way Netflix can talk to my social media platforms either, so that can’t be how it served up the advert. It must have been listening to me – it was just too much of a coincidence to be anything else. The advertising worked too – I bought tickets there and then for my daughter and me to see the show at the O2. Sucker for advertising me, but I’m not so keen on the surreptitious spying – even when it’s for something I’m interested in. Since then, there have been three similar incidents where Instagram has served me an advert so unconnected to my likes and follows that the only way it could know I was vaguely interested in them was if it had been listening to me in the background. Now this all sounds very Big Brother, doesn’t it? But try a little web search and you’ll soon find other people with similar experiences. If you look at the app settings, it has been granted access to your phone’s camera and microphone, but one would assume that was simply for the purpose of capturing images and sound to be used on the site – not the other way round and listening to what I do. I haven’t used Instagram’s parent company Facebook’s site for years, but this sort of underthe-radar behaviour wouldn’t surprise me from them. The Cambridge Analytica debacle explains what sort of firm they are, after all. I suppose I could read the Ts & Cs for the app, but they’re notoriously 5,000 pages long and I, like everyone else, simply scroll to the end and click ‘I agree’. I also think that if it really were possible to target advertising after listening to consumers say things like ‘I’m thinking of buying a Fiat 500’ or ‘I’ve seen a really nice used MX-5’, you’d think car dealers, manufacturers and the media companies like mine that work with them would know how to use it to their advantage. It can’t be just one big secret, can it? I don’t know, perhaps this is one big conspiracy theory and is it a problem after all? I’m not sure. All I know is something smells fishy and I’m not sure I like it.
‘There’s been more than one occasion when adverts have been hyper-targeted to me.’
James Baggott is the founder of Car Dealer Magazine and chief executive officer of parent company @BaizeGroup, an automotive services provider. He now spends most of his time on Twitter @CarDealerEd and annoying the rest of us. 98 | CarDealerMag.co.uk
CarDealerMag.co.uk | 99
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