Car Dealer Magazine: Issue 156 by Blackball Media

Issue 156 | March 2021 | CarDealerMag.co.uk | £6

NEWS • MG EYES EXPANSION • NISSAN PLANT ‘SAFE’ • BEDFORD VOLVO REFIT • SURVEY: EVS ‘TOO PRICEY’ • LOOKERS LOSES £36.1M • BIG MOTORING WORLD’S £11M PROFIT

FIRST DRIVE

CAN THE NEW-GENERATION GOLF UPHOLD ITS REPUTATION?

INTERVIEW

KEN

CHOO

H.R. OWEN CEO ON FIRM’S SMALL BUT MIGHTY SIZE

CELEBRATING THE BEST USED CAR DEALERS AND THE BEST USED CARS

PLUS: WHICH SUPERCARS ARE LOSING THE MOST CASH?

The UK’s Best Used Car Warranty

02 | CarDealerMag.co.uk

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THE BOSS FOUNDER James Baggott

james@thebaize.com Twitter: @CarDealerEd

EDITORIAL CHIEF SUB-EDITOR John Bowman

john@blackballmedia.co.uk

HEAD OF CONTENT Jack Evans

jack@blackballmedia.co.uk Twitter: @jackrober

MULTIMEDIA MANAGER Jon Reay jon@blackballmedia.co.uk Twitter: @JonReay

HEAD OF DESIGN Graeme Windell

graeme@blackballmedia.co.uk Twitter: @graemewindell

CONTRIBUTORS James Batchelor, Darren Cassey, Rebecca Chaplin, Nigel Swan, Ted Welford

FINANCE

FINANCE MANAGER Kate Gordon

kate@blackballmedia.co.uk

ADVERTISING SALES MANAGER Kevin Day

kev@blackballmedia.co.uk

ACCOUNT MANAGER Michelle Searle

michelle@blackballmedia.co.uk Twitter: @cardealermich

Distribution Car Dealer is distributed to a database of up to 12,000 franchised car dealers, independents, service and repair sites, car manufacturers and suppliers. Advertisers are supplied with a print certificate every month.

Awards

Winner of Best Business Publication, Headline Auto Awards 2012 & 2014

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WELCOME. I

f Downing Street was a ship, I wouldn’t bet on its chances of keeping out water for very long. If we’ve learnt anything from this pandemic it’s that car dealers are a resilient bunch of entrepreneurs and that when told to keep their mouths shut, politicians can’t help themselves but to blab everything to everyone. If I read the words ‘a senior minister said’, or worse, ‘a Downing Street source’ attributed to some whopping news again I’m going to scream. I mean, you’ve got to hand it to the papers – think of them what you like, but most of the rumours I’ve read about upcoming pandemic policy changes have turned out to be true. Anyone would think the Times and Telegraph have GCHQ levels of listening devices dotted around the Cabinet room, such is the accuracy of their ‘leaks’ – the latest of which, at the time of writing, is that non-essential retail, which includes car dealers, won’t reopen until April. Splashed across the papers, the news was that despite the vaccine success and falling infection rates, the government doesn’t want to rush a reopening only to shut things down again. Ministers instead are going for a softly-softly approach, their cause helped by the argument that mutant strains spread faster and could cause another spike. The leak has left dealers staring at a whole quarter with the doors of their showrooms closed. And although click-and-collect and online sales have surged, new car sales really aren’t as good as they could be. It’s nice to know when showrooms might open again, but the fact that it’s not until April will be a blow. Anecdotally, the people I talk to who are in the market for a new car are putting things off – they are mostly the undecided ones, buying more because they fancy a change rather than forced into a distress purchase. It’s these people who want to take a test drive, poke around a few different options and decide after being up close and personal with their next car whether they want it or not. Which leads me to hope. While the thought of missing the first month of the 21-plate new reg change in March is a bitter pill to swallow, think of the surge that could follow in April. I write elsewhere in this issue about the many reasons why I think there’ll be a rush back into showrooms. Remember, those people who have remained employed have little else to spend their cash on this year, as they certainly won’t be going on holiday. There are billions of pounds tucked away in the nation’s savings accounts waiting to be spent, and there’s a very good chance that the draw of a new set of wheels will be enough to tempt people to open their wallets. If dealerships are allowed to reopen in April, they might have missed the first quarter but they’re not alone. It’s not like your competitors are open around the corner handing out bacon butties with test drives. Planning for the restart and making sure that you’re ready to capitalise on those consumers looking for a good cup of showroom coffee, a tyre kick and a deal is a way you can mark yourself apart. Not everyone will be ready, but by planning for the good times now, staying positive and working out how you’ll tackle the resurgence when it comes will put you in a far better place than worrying about not opening the doors in March. Enjoy the issue.

There are billions of pounds tucked away in the nation’s savings accounts.

JAMES BAGGOTT Founder, Car Dealer CarDealerMag.co.uk | 03

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IGNITION. ISSUE 156 | MARCH 2021

CONTENTS

Interview: Ken Choo 6 Interview: Stuart Foulds 9 Used Car Awards 19 Car news round-up 66 News digest 70 Feedback 80 Supplier news 82 Business news 86 Car Dealer Live 88 Finance 94 10 reasons for bounce back 96

COMMENT James Baggott Big Mike James Litton

11 12 14

INVESTIGATIONS Falling supercar prices Semiconductor crisis

64 68

FORECOURT Volkswagen Golf GTI 74 Vauxhall Mokka-e 76 Citroen C5 Aircross Hybrid 78

FEATURES New gadgets Hyper-specialist dealers

68 INTERVIEW

‘We’ve taken all the measures. It’s just a shame the government has closed us from a sales perspective.’ 9

76 COMMENT

‘They couldn’t tell me why the whole experience had been so painful. But my word it had.’ 11

FEATURE

‘One year I saw I’d spent £70,000 with my tyre guy. That was a bit of a shock.’ 90

DATA FILE The Statistics LCV news Suppliers Guide Long-termers

85 90

100 102 103 105

DATA FILE

‘Every day that showrooms can safely open will matter, especially with the critical month of March looming.’ 100 CarDealerMag.co.uk | 05

INTERVIEW

‘To be in football and then high-end luxury cars is a dream job’ H.R. Owen chief executive Ken Choo talks to James Batchelor about life at the head of the dealer group loved by the rich and famous.

Proposed design for the Bentley Surrey showroom

H.R. OWEN Position: 2019 turnover: 2019 EBITDA: ROS:

17th £532m £13.7m 1.5%

Click here to see the Car Dealer Top 100 list 06 | CarDealerMag.co.uk

ocked-down buyers know what they’re getting when they ‘click’ to buy a new Ford Fiesta. Let’s face it, a Fiesta is a Fiesta and it’ll be no more complicated to get familiar with than a new kettle, but for the supercar buyer lockdown car purchasing must be next to impossible. Surely a Ferrari customer wants to test-drive the new SF90 Stradale first? Play with every feature it comes with and prod every body panel before taking delivery? ‘Some Lexus and Volkswagen dealers tell me they have customers who are spending £30,000 on a brand-new car and they want to test-drive it first – can you imagine a Lamborghini Sian customer asking the same thing?’ says Ken Choo, chief executive of H.R. Owen – the dealer group loved by the rich and famous. ‘None of the customers of the new Ferrari SF90 or the Monza SP1 or SP2 have tested the cars – none of them,’ Choo chuckles. ‘We have studied the figures and 90 per cent of our customers do not test drive – before the pandemic it was around 50/50. Why? Because they know the product is good. If you ask for a test drive of a Ferrari SP1, Ferrari ask “What is there to test drive? What’s wrong with it? Don’t you like it?”’ ‘The fantastic part of all this is that you might expect customers to say “Business is bad at the moment so I’m not picking up my new Sian or my SF90” but it’s not true. I haven’t had a single drop-off on cars worth £1.6m and above – not one.’ Choo admits that lower down the pecking order of supercars there have been some cancellations, and the new car order bank in 2020 was down by 25 per cent compared with the year before. However, in general, the rich are still buying cars regardless and in readiness for a happier, more normal-feeling summer this year. While new car sales understandably slipped in 2020, used cars remained consistently high for the dealer group. ‘When people can’t buy new they turn to used cars and this pushes up prices,’ says Choo. ‘One-year-old Lamborghini Uruses are selling for a £5,000-to£10,000 premium at the moment, but the used market has a bandwidth. If you look at cars above £150,000 to £160,000 it starts to get tough, but cars around £100,000 to £150,000 are selling really well. We can’t get hold of some cars because nobody is selling.’ 2020 will go down as a year of false starts and sudden lockdowns, and for H.R. Owen it was a painful one. It recorded £1.9m profit before tax to the end of June 2020 – down from £8.2m the previous year – and revenue declined from £532m to £389m. It should be said, too, that the 2019 figures were over a 14-month period. The firm had to cut 20 per cent of its workforce, too, and relied heavily on furlough, with around 90 per cent of staff on the scheme in the first lockdown – but there were some high points. ‘In June, July, August 2020 we had the most fantastic months ever in the history of the company,’ says Choo. ‘We’ve never seen so many people coming back to buy. And the reason is people had the fear factor. A lot of customers are saying, “You know, tomorrow I could leave the world and I have £100m or £200m and I’m not enjoying life – what the heck, I’ll just buy a bloody brand-new Ferrari and drive it!’

An artist’s impression of how H.R. Owen’s dealership planned for Hatfield may look Choo reveals that business from July to December was ‘just amazing’ – up by around 200 per cent – and Brexit really helped things too as some manufacturers pushed product into the UK before the December 31 withdrawal agreement deadline. While Choo has modest ambitions in terms of increasing the circa-1,000 cars per annum it currently sells, the 48-year-old – who’s also CEO of Cardiff City Football Club – is focused on expanding H.R. Owen’s reach. It already has a reputation to die for. Captain Harold Rolfe Owen started his business in 1932 in Mayfair, and over the years it has grown to become one of the most respected names in the global luxury automotive business. It’s the largest dealer in the world for Ferraris and Lamborghinis on units sold, for instance, and is the biggest retailer for Bentley and Rolls-Royce in the UK. Choo has been in the CEO’s chair since 2017 and under his watch H.R. Owen has expanded its insurance services division, while its Rolls-Royce Motor Cars of London showroom was named by the BMW-owned firm as its Global Dealer of the Year in 2019 too, but there’s more to come. While business and the market may have been down in 2020 it’s full steam ahead for the future, with Choo laying out substantial investment plans for the 89-year-old company while giving more back to his workforce. ‘To be in football and then high-end luxury cars is a dream job,’ he says. ‘There are a lot of people on a waiting list who want to do this job, so when you’re given an opportunity you need to do it well and you need to appreciate what you’re given. ‘I’m trying to turn the company into a very profitable and asset-based company,’ Choo explains. ‘Our return on capital for the last four or five years while I’ve been in charge is averaging at about 20 per cent and has been 25 per cent for the past three years. We’re trying to use as much of our generated profits to acquire land and give our staff more security – to make them feel that H.R. Owen is their home. ‘We are a company where there’s a lot of love and a lot of emotion – we are not looking at numbers alone. If we sell 1,000 cars this year, for instance, we are not looking at 2,000 next year and 3,000 the year after. We would rather be small and very strong and powerful than be very big and very stupid.’

GROWTH

Sites for sore eyes as expansion plans start to take shape KEN Choo is leading a time of massive expansion for the storied H.R. Owen brand. In December 2020, the business bought a 5.4-acre site in Hatfield. Along with being its HQ, the £30m development will house Bentley and Lamborghini showrooms and be a place for well-heeled clients to escape to from London at weekends (it could even be the base for Ferrari aftersales too, but Choo wouldn’t confirm that to Car Dealer). Along with Hatfield, H.R. Owen has also bought a 0.7-acre site in Ripley to relocate its Bentley showroom, which is currently based in Byfleet. In addition, it will cut the ribbon at a state-of-the-art RollsRoyce showroom in Berkeley Street, Mayfair. The new multimillion-pound dealership will be double the size of the existing showroom in Berkeley Square.

There are a lot of people on a waiting list who want to do this job. Ken Choo, CEO of H.R. Owen CarDealerMag.co.uk | 07

together Let’s do more

Part of the drive to reach your goals, we’re a partner to grow your business and help you thrive.

Finance

Compliance

Funding

Insight

Delivering finance solutions for your customers

Navigating regulation and compliance changes to keep you safe

Providing access to the funding you need

Sharing data and information to help you make decisions

Giving you more, so you can do more. We’re stronger together. closemotorfinance.co.uk/together 08 | CarDealerMag.co.uk

Finance Compliance Funding Insight

INTERVIEW

‘Showrooms are Covid-safe and car dealerships should be open – there’s no cohesion, it’s shambolic’ TrustFord CEO Stuart Foulds didn’t hold back chatting with James Batchelor.

I TrustFord chairman and CEO Stuart Foulds

Commercial vehicle sales have been ‘on fire’ for TrustFord in 2020 and 2021

TRUSTFORD Position: 2019 turnover: 2019 EBITDA: ROS:

16th £1.7bn £16.4m 0.3%

Click here to see the Car Dealer Top 100 list

t’s an understatement to say the coronavirus pandemic has been a headache for dealers over the past 12 months, but for big dealer groups it’s been more of a migraine that no amount of strong painkillers can cure. And big dealer groups don’t come much larger than the award-winning TrustFord. The business, which was voted Used Car Dealership Group of the Year at the 2020 Car Dealer Used Car Awards, is the largest Ford-owned group in the world. As such, it has showrooms filling every corner of the UK, which has had to endure differing Covid-19 restrictions for the best part of a year. It’s this point that TrustFord chairman and CEO Stuart Foulds finds most frustrating. Speaking to Car Dealer Live in a special video interview, which you can watch in full by clicking on the link below, Foulds expresses his irritation at the consequences that different restrictions across the UK have had on the business. ‘If you look across the UK, there have been significant differences between different nations in the handling of the pandemic,’ he said. ‘For example, in the last lockdown in November, Scottish dealerships were allowed to have forecourts open and were able to do test drives from forecourts. ‘Dealers with showrooms effectively moved their showrooms out on to their forecourts and transacted pretty much as normal. In England, of course, showrooms and forecourts were closed.’ Speaking for the wider motor trade, Foulds laid it on thick that the government ‘hasn’t got it right’ when it comes to showrooms being shut, despite other industries being allowed to trade more freely, and MPs simply not understanding the motor business. ‘It’s being handled in different ways in different parts of the country – there’s no cohesion, it’s a bit shambolic,’ he said. Foulds revealed that TrustFord had invested around half a million pounds on PPE to keep customers and staff safe. ‘We’ve taken all the measures. It’s just a shame the government has decided to take that stance to close us from a sales perspective.’ Without wanting to tempt fate, he said business was generally pretty good at the moment. ‘The biggest thing for the motor industry in 2020 and today is liquidity – it’s a big black cloud that’s hanging over a lot of businesses. ‘TrustFord is in a very strong position from a financial aspect, but there will be a lot of dealers struggling to make ends meet.’ Foulds is a little concerned about March and ‘hoping it will happen’, but even if the platechange month doesn’t take off, he expects April to become the new March this year. He’s taking comfort, however, in knowing that TrustFord already has a strong March order bank. ‘A lot of finance agreements come to an end in March,’ he said. ‘The finance companies have been pretty good in giving customers some flex, so if we miss March in the true sense of the word, it’ll happen in April, so I’m optimistic.’ Commercial vehicle sales, meanwhile, have been ‘on fire’ for TrustFord in 2020 and 2021. But although the business is in fine fettle, TrustFord is part of Ford’s wider plan to consolidate and reduce the size of its UK network, and it’s already begun under Foulds’ watch. ‘Out of choice, we have closed some of the smaller businesses and focused on the “motherships”,’ he said.

Click here to watch the full Car Dealer Live video interview

Click here to turn to the Used Car Awards coverage CarDealerMag.co.uk | 09

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My Argos battle shows how customer service can go badly wrong

It took me quite some time to work out if I was talking to an autobot or a human.

he car industry gets a bad rep, but my word there are plenty of other industries out there doing their hardest to make customers’ lives hard work. I get pretty fed up with people moaning about the motor trade. In the main, dealers are a fair bunch who’ll work hard to sort problems. OK, like most industries, there are a few bad eggs out there, but the motor trade is pretty small and word spreads fast. The good dealers – the sort that picked up this year’s Used Car Awards – know that reputation is more important than anything else. I wish that could be said for all areas of retail. Warning: Rant time. In November, I bought a pair of Beats Bluetooth headphones from Argos. I’d started running again – a lockdown thing – and found that listening to some music made it all a lot less painful. Having splashed out £225 on the Beats online and picked them up at the local Argos, I marvelled at the ease of the click-and-collect service and the simplicity. They’ve got it right these former catalogue-touting retailers I thought, as I drifted off into another daydream about their warehouse lined with one of everything from the laminated book of stuff. Fast-forward two months and the headphones started playing up. Some days they charged, some days they didn’t. Infuriatingly, I’d be dressed in Lycra ready to pound the pavements with my lolloping legs and Elton John would refuse to come out of the headphones. Or worse, would warble out of only one the whole way round. Now, no one needs Tiny Dancer ruined, especially while attempting to block out the breathless wheeze of a man who really should have given up exercise a long time ago. So I decided to take them back. I contacted Argos customer services. It took me quite some time to work out if I was talking to an autobot or a human, such was the ‘computer says no’ stance that was coming back. It transpired that while Argos was very happy to be open to hand over goods, it really didn’t want them handed back. Instead, despite me insisting, Autobot told me to call Apple, the owner of Beats. That phone call went swimmingly – I explained there was an intermittent fault and Helpful Man said he’d ‘get it sorted’ for me. Send them back and ‘they’ll probably just get changed for new ones’, he enthused. Three days later and a courier was at my door with a box, handing me back the very same annoyingly lopsided singing machine. Apple said they’d found nothing wrong with them and had decided to return them to me. I have no idea why either. Back in my possession I snapped. I wrote an I’m Really Angry letter to the local Argos, sealed it in a bag with the headphones, wiped it down with a disinfectant wipe and handed them to the man guarding the door at the local store. He looked bemused, probably wondering why I was huffing so much, but I quickly escaped. In the letter, I explained my consumer rights – told them they’d had their chance to fix them and that I wanted my money back. And if it wasn’t forthcoming I’d see them in the small claims court. I also pointed out that I’d be claiming for my time fighting for the refund and the stress of them ruining Tiny Dancer. The next day, the manager called. She said she’d read my letter and called Apple and that if I wanted to ‘get them independently tested’ and prove they were faulty she could ‘do something about it’. I laughed, said I’d see them in court and hung up. The following day, the phone rang again. It was the executive office of Argos. They’d been passed the letter, apologised profusely and had issued a refund. They couldn’t tell me why the whole experience had been so painful. But my word it had. So remember – the next time someone moans about a tyre with 3mm of tread and to keep the peace you pay for a new set to ‘keep the customer happy’, you’re actually doing a very good job. It could be worse – you could be arguing over a pair of £200 headphones...

Speaking out

COMMENT

JAMES BAGGOTT

AGAINST OUR BETTER JUDGMENT, WE LET THE CEO HAVE HIS SAY EACH MONTH James Baggott founded Car Dealer Magazine and is the 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. CarDealerMag.co.uk | 11

Big Mike OUR MAN ON THE INSIDE SHARES HIS THOUGHTS ON THE CAR BUSINESS

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. 12 | CarDealerMag.co.uk

COMMENT

I’m resisting the decline of the maligned diesel for all that it’s worth

here was a time where anything with a diesel engine would fly off your forecourt like there was no tomorrow, but I’ve a feeling the one-time fuel of the future is now in its death throes. If, like me, you’ve been peddling metal for several decades then you’ll know that diesel took a while to catch on in the first place. That’s because it was awful. In an HGV or tractor it had its place, but diesel engines were slow and noisy and they smelled vile. Even in vans and Land Rovers they were an unpleasant compromise, bought only out of a necessity to use less fuel (only marginally in the case of the Land Rover anyway). The diesel car was also a British invention. Yes, the fuel itself may have been named after a German but then so was Daimler, and the Queen drove one of those. It was a bloke called Charles Chapman who first came up with the idea of putting one of Rudolf Diesel’s oil-burning engines in a car rather than using it for industrial purposes. Originally from Lancaster, he co-founded Perkins Engines in Peterborough in 1932. With technology comes progress, and in 1975 – in the days when I was still using a hairdryer – Volkswagen came along and launched the first commercially acceptable diesel engine under the bonnet of the Mk1 Golf. In modern terms it was pretty rubbish – 50bhp and it sounded like a bottle bank in an earthquake when you first started it up. But it just about kept pace with modern traffic, it sipped fuel and it was impossible to break. Compression ignition, it seemed, was starting to make its breakthrough. Then along came a series of imitators, the big breakthrough being PSA Peugeot-Citroen and its venerable ‘XUD’ engine, which made its debut in 1982 in the humble Talbot Horizon – a car so devoid of redeeming features that using it as a guinea pig to test media reaction to the new engine couldn’t really do much harm. In the event, it raised a few eyebrows. As such, as the XUD evolved it found its way into other more palatable PSA cars and started a bit of a sales revolution. A Peugeot 205 or Citroen BX with the XUD under the bonnet was a versatile and likeable thing, with decent performance and acceptable refinement – back in the day where acceptable was acceptable and a diesel wasn’t expected to be as refined as a V6 petrol engine. At the time, I worked in a Citroen main dealer. The BX with the XUD was a desirable car and a very easy one to sell, especially in estate form. It was popular with families, fleets and people who liked to tow caravans around with them, which is a hobby I’ve never really got my head around when you can stay in a Travelodge for £35. But each to their own. Suddenly, every single car manufacturer on Earth was developing diesel engines – some with more success than others. The Europeans were first off the blocks, with VW turbocharging its engine before anyone else. The Italians joined in, as did Mercedes, which had actually been selling diesel cars for years but mostly to taxi drivers. Then the Japanese joined the party. Nissan produced a massive four-cylinder that had its origins at sea as a boat engine, which ran at such low compression it never got stressed. It had all the acceleration of a tectonic plate but was impossible to break. As a result, it was more commonly seen in the UK under the bonnet of a London taxi than it was in a Bluebird, although the latter did go on to be a fairly popular cab in its own right. There was also a tie-up between Isuzu and GM, which led to a compact 1.7-litre diesel that was still in production until the last-generation Corsa died off in 2020, such was its overall longevity and surprisingly good performance. While the Europeans were busy turbocharging diesels, the Japanese were trying other things. Over at Toyota, they were attempting to get a petrol to behave like a diesel with ‘lean burn’ technology and would probably have got there too were it not for catalytic converters being made mandatory on petrol engines, while Mazda – a brand that’s far more bonkers

Citroen BX diesel

Mazda 626 supercharged diesel

It had all the acceleration of a tectonic plate but was impossible to break.

Volkswagen Mk1 Golf diesel

than most people give it credit for – was ignoring turbochargers altogether in favour of a supercharged diesel 626. Not only did it sound pretty weird on paper but it did in real life as well – a combination of a forced induction shriek and the yakka-dak-dak of a low-revving derv unit certainly giving it character, even if the overall effect was to create an engine that was less efficient and slower than the equivalent turbodiesel. Nice try and all… Those early days, though, were good news for the trade. Diesel cars were rare and they were easy to flog. Then came the 1990s and a new wave of even better diesels, such as the Volkswagen Pumpe Düse and the PSA HDi (although the XUD remained popular largely for its simplicity), along with new direct-injection high-pressure turbo engines from BMW, which turned out to be a game-changer in the fleet market. All of a sudden, diesel was the fuel of choice for anyone doing big miles – apart from in a Ford Escort, of course, which was made utterly and truly miserable by the addition of Ford’s lacklustre diesel. These newer diesels were great in early life, and for main dealers, the nearly-new outlets and traders selling stuff up to six or seven years old they were a licence to print money. For those of us further down the food chain, they were always a bit of a threat, thanks to the potential of exploding dual-mass flywheels and clogged-up particulate filters, but they were still an easy sell – 60+ mpg and thirty quid a year road tax are enough to tempt someone into a car that’s possibly one exploded clutch plate away from the breaker’s yard after all, even though I’d personally favour something with a clattery old XUD under the bonnet knowing I could fix it with a tray of hand tools. Then along came a new wave of environmentalists and with them came the vilification of diesel – almost overnight. It was no longer about CO2 emissions, which had led people to buying diesels for years, but about other particulates, and driving a diesel suddenly shifted from being a sensible and semi-green choice to being the car of choice for filthy pariahs. And that’s why, in this brave new world of don’t-bother-to-plug-it-in hybrids, I’ve become a diesel advocate once again. I’ve always been a Womble at heart, because one man’s trash is another’s treasure, and right now there are loads of unloved, unwanted and borderline unsaleable diesel cars on the market that the upper-middle end of the trade don’t really want and are throwing away. Down here in the gutter, 60mpg and a year’s road tax for half a week’s Giro are far more important than blowing daisies out of your exhaust. And I’m doing pretty well from it, to be fair. If any of you have a 1.7 Astra with the Isuzu diesel in it, I even have a waiting list… Diesel might be dying but it’s not dead yet.

In modern terms it was pretty rubbish – 50bhp and it sounded like a bottle bank in an earthquake when you first started it up.

CarDealerMag.co.uk | 13

Trader Tales Big Mike JAMES LITTON

CASTING AN EXPERIENCED EYE ON THE WIDE AND CHALLENGING WORLD OF MOTOR SALES

James Litton is an automotive retail consultant who always has something to say about the industry he loves. 14 | CarDealerMag.co.uk

COMMENT

Franchised operators have plenty to gain from online dealers

have been working with a franchised dealer group in the south-west for the past year or so, helping to improve used car performance at one of its largest sites. As that project is coming to a close, I was asked by the owner if I felt that there were still any areas of significant improvement left. With the exception of organic improvement through coaching and team development, I felt happy to say that on the whole the site is working at a high level. However, I feel there is a tremendous amount of untapped potential for this and many franchised dealerships all over the country. I have written frequently of late about the impact of online retailers such as Cazoo, Cinch and Carzam on the wider market, saying that there is no direct threat to established franchised operators. Having thought about the subject further, I am now of the belief that there is more to gain than there is to lose. Think about the things that good traditional franchised operators offer a consumer (assuming normal trading conditions without the impact of a global pandemic). The first and most obvious is location. Although Cazoo and Carzam have some physical infrastructure, most franchised retailers have been long established in their respective territories and have the premises to offer a comfortable viewing and test-drive experience. I think retailers are slowly changing the role of the sales executive to become more experiential, but some fundamentals remain. Many consumers, although influenced by their research on the internet, still need to be sold to. Online retailers do not have this luxury. For example, how many consumers visit dealerships thinking they need a hybrid or electric vehicle but with consultative selling can be shown that the cost and practicality make the option less attractive? Dealers operating in a face-to-face environment also have the ability to capture data, build relationships and follow up with new offers or stock. This is to say nothing of the expertise that comes with having specific brand knowledge and technical information. So assume (dangerous, I know) for one moment that dealer groups all over the country have taken note of the success of the interactive nature of Cazoo’s website and are frantically building equivalents that allow for more photographs, better live chat facilities and video production. Where is this next opportunity? The first thing I did when I arrived here was to analyse the complete sales performance for the previous 12 months. What was apparent – and there are no surprises here – was that the profit performance for cars over three years old was half that of cars up to two years old. The mechanical preparation, warranty and paint repair cost for those cars was prohibitively expensive, so I set about reshaping the stock profile to favour more profitable younger cars. Some older cars were retained, but they were limited to SUV and performance models. I understand that for some dealers with more mainstream franchises, preparation costs are not as keenly felt as some premium brands, but the issue still exists. I cannot stress how strongly I believe in the need for franchised dealers to sell older cars, but it is not their sole responsibility. In fact, it is up to the manufacturers to lead the way to make the concept viable. Firstly, warranty costs need to come down. I understand that burn rates dictate warranty prices, so perhaps it is time for manufacturers to reduce the standard time period afforded to approved cars and offer consumers the opportunity to extend. For example, online retailers offer six months’ warranty to sit alongside the mandatory period given to customers by the Consumer Rights Act, so why can’t manufacturers do the same? I know the level of coverage will be significantly different, but we are in a world where travellers are happy just for their seat on the plane and will forego their meal. Manufacturers may be concerned about the reputation of their brand if cars suffer failures beyond a six-month

I have written frequently of late about the impact of online retailers such as Cazoo, Cinch and Carzam on the wider market.

period or if coverage results in a failed claim, but that argument will not sit well with a prospective buyer looking to spend thousands on their product and therefore want the manufacturer to back its older cars. Secondly, parts – especially consumable items – need to be discounted for older cars. Manufacturers are reluctant to offer different discount structures for identical part numbers depending on vehicle age, as they will be concerned retailers will take advantage, but they must develop technological solutions to overcome this. Online retailers are using pattern parts with significant savings and franchised dealers must be more competitive. Similarly, service and wear-and-tear requirements must be similarly flexible to combat the online retailers. There is also a mutual responsibility on behalf of retailers to make this work. Budgeting internal labour and parts sales at retail rates must be a thing of the past. In reality, the need to target older cars has as much potential for replacing lost service parc penetration as any lapsed service campaign. The analogy I used for this business is that aftersales businesses are experiencing a carbon monoxide-like poisoning from electrification and the homogenisation of cars. It is happening but we cannot see it. Internal preparation is masking the impact of online retailing, affording no brand loyalty to franchised service departments. Sales processes need to be adapted to manage expectations effectively, both for the online and physical customer. Implying that a used car is perfect must be a thing of the past. That’s not to say that retailers should try to get away with daylight robbery, but stone chips, small dents and scratches must be brought to the attention of the customer prior to sale. The alternative that many groups favour is to create alternative retail sites for older cars with a different trading name to distance themselves from problems, but the sad reality is that franchised sites are under threat unless the current modus operandi is changed. Thinking positively, in my opinion the future for franchised used car retailing is in the hands of manufacturers and dealers and not in the hands of online disruptors. It will take complete and open-minded collaboration on the part of all stakeholders to make it work.

Sales processes need to be adapted to manage expectations effectively, both for the online and physical customer. CarDealerMag.co.uk | 15

FOCUS ON Händler Protect

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What dealers need to know about warranty requirements when retailing a vehicle Händler Protect explains why using a warranty company is like having an extension of your dealership

ere at Händler Protect, one of the daily conversations with our dealer partners is around the legal requirements of retailing a vehicle and what is expected by the dealer towards the customer regards warranty. Below we have provided official legal requirements plus some tips from us. Having backgrounds in selling vehicles both within a franchise and independent set-up, our staff have provided their thoughts, along with daily experiences of dealing with our dealers’ vehicle owners.

Misconceptions

You'd be surprised but some dealers believe that a three-month warranty will satisfy their responsibility for warranting a retailed vehicle when in fact it’s six months.

Underestimating customer service relating to warranty issues

We have had many dealers who decided to ‘warrant’ their own vehicles in-house, believing that there will be a saving and thinking it is just about replacing or fixing a failed part. In our opinion, representing more than 1,000 active dealers per month and having warrantied more than 100,000 vehicles and authorising thousands in claims, it’s not as simple as replacing/fixing a part, it is the time spent dealing with the customer, sourcing parts, investigating failures, arranging turnaround times, car hire, etc. This all adds up to many emails and calls per submitted claim, not to mention misunderstandings around warranties and what is actually covered or not. Our records show some submitted claims relating to general service items, replacement tyres, crash repairs and write-offs. Even though to us in the motor trade these are obviously non-covered claims, these inquiries still must be dealt with professionally and quickly.

Benefits of having a warranty partner

Think of a warranty company as an extension of your dealership. In any large dealership that has multiple departments, a dedicated warranty executive manages the warranty issue on behalf of the customer and the salesperson is not notified or involved. At Händler Protect, we try to offer the same service. WE NEVER DIRECT THE CUSTOMER BACK TO THE DEALER/SALESPERSON. We try to manage the warranty issue directly with the customer and the repairing garage. This acts as a first-line support service to the dealers and their customers. We recommend that every vehicle is sold with an extended warranty and that every repair is carried out under that warranty with the customer’s agreement. By offering the vehicle with a warranty and completing any repair under the warranty, the ‘customer’s statutory rights are not being used and therefore the provisions of the Consumer Rights Act are not being relied on’. 16 | CarDealerMag.co.uk

Below we have summarised a dealer’s requirements when retailing a vehicle: Fit for purpose The buyer must be able to use the vehicle for the purposes that they would normally expect from a vehicle, including any purpose that was discussed with the selling dealer before they bought it, or which the dealer advertised or discussed during the sales conversations, for example, off-road, towing, city use, etc. Wear and tear A motor dealer is not liable for fair wear and tear, where the vehicle broke down or the fault emerged through normal use, nor are they liable if they drew the customer’s attention to the full extent of any fault or defect before the customer bought the car. First 30 days To reject a vehicle within the first 30 days, the fault that now renders the vehicle not of satisfactory quality, not fit for a particular purpose or not as described must be proved by the customer that this had developed prior to the point-ofsale date. After 30 days – up to the end of the first six months Selling dealers have the right to repair the vehicle only once. However, the customer can reject the vehicle if that repair is unsuccessful, unless otherwise agreed between the customer and dealer. After six months If a fault develops after six months, the onus is on the customer to prove that the fault was present when the vehicle was first purchased.

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A better way of doing business 18 | CarDealerMag.co.uk

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THE BEST USED CAR DEALERS | THE BEST USED CARS

t was a year like no other – a year in which the used car industry faced what at first seemed like unsurmountable challenges. But 2020 proved to be its making as it defied whatever trading problems were thrown at it. Here at Car Dealer Towers, we were determined to celebrate its resilience with our annual Used Car Awards, despite it becoming disappointingly apparent that we wouldn’t be able to hold our usual black-tie celebration of this backbone of the industry. Instead, as with the magazine, we went digital, although luckily we were still able to carry out the mystery shopping round between lockdowns. The results were announced on our website on February 5 in a broadcast by Car Dealer founder James Baggott and Mr Wheeler Dealer Mike Brewer and you can read all about them here!

FULL AWARDS COVERAGE STARTS OVER THE PAGE CarDealerMag.co.uk | 19

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DEALERS’ DEALER OF THE YEAR WINNER DAKSH GUPTA, MARSHALL MOTOR GROUP

ealers across the UK found themselves in unprecedented times in 2020. Forced to shut showroom doors and learn new ways of doing business, it would have been easy for them to focus on their own bread and butter. In fact, the opposite happened, with dealers and suppliers coming together to help each other out, and 2020 saw some individuals marked out as not only battling hard during the dark days of lockdown but providing leadership and a sense of optimism as well. Always a beacon of positivity with a side serving of straight-talking common sense was Marshall Motor Group CEO Daksh Gupta. Also the winner of the 2016 Dealers’ Dealer of the Year award, Gupta was named by industry colleagues once again in a year like no other. Despite having a track record of being recognised and respected by industry colleagues, Gupta was still modest about scooping the prestigious award. ‘I’m wondering whether the people who voted are in our network at Marshall, as to be honest I am very surprised,’ he joked. Gupta recognised it was a ‘huge honour’ to win the award, but it meant more than that as he said it was a reflection on the Marshall business as a whole. ‘We have a fantastic business here at Marshall,’ he said. ‘But it’s only fantastic because we have amazing people here. ‘I’m so proud of our people and our culture. 2020 is the seventh year in a row where we’ve been in the UK’s Best Workplaces list and the 11th year named as a Best Place to Work.’ Many other CEOs in the motor trade know that the art of having a great team is motivating them, and that’s an area in which Gupta consistently shows a real skill. But how does he do it? ‘A few things really,’ he explained. ‘As an industry, we’ve all become quite agile, and virtual technology has been very powerful for our business,’ he told awards co-host Mike Brewer in a video interview that you can watch via the link below right. ‘One of the things we’ve been doing since November is filming videos. I’ve just finished my 47th video, and they’re typically five to eight minutes long and I speak about what’s going on in the business and my view of the way things are. ‘I think these have helped to keep people engaged. They’re part of our open and transparent culture – anyone can email and speak to me personally.’ Gupta said a key component of the successful Marshall formula was having fun. ‘Our executive committee meetings are three to four hours long and I am convinced they could be an hour shorter but there is so much banter – and we try and make things special. ‘At Christmas there was no party, so we wrote to Santa and said we had a budget of £35 per employee – under the taxable threshold! – and asked him what he could do. ‘Santa organised his elves to go to Cadbury’s and send all 4,000 of our employees hampers. Little things make the difference and I am a big believer that “please and thank you” go a long way.’ He added: ‘Winning Dealers’ Dealer of the Year is special because it is voted for by colleagues in the industry. I’d like to thank them and Car Dealer in particular. During lockdown, the daily Car Dealer Lives were an escape from dealing with the virus.’

HIGHLY COMMENDED • John O’Hanlon Waylands Automotive • Jamie Caple Car Quay

As an industry we’ve all become quite agile and virtual technology has been very powerful for our business. Daksh Gupta, Marshall Motor Group

Click here to watch Mike Brewer’s interview with Daksh Gupta CarDealerMag.co.uk | 21

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SERVICE & REPAIR OUTLET OF THE YEAR WINNER ANDERSON CLARK MOTOR REPAIRS

nverness-based Anderson Clark Motor Repairs is celebrating its 25th year in business, and boss Graham Clark is proud of how far the company has come in that time. The independent motor repair firm started with just Clark and his business partner, but today it employs a whole team of people. And he revealed that he was picking up the Used Car Awards top prize in the Service & Repair Outlet of the Year category in the same year that Anderson Clark Motor Repairs would hit a £2m turnover. ‘This is tremendous,’ he said, talking to awards co-host Mike Brewer, who chatted to him in the video that you can watch by clicking on the link below right. ‘This is us in our 25th year of operation. ‘We started off as myself and my business partner and we’ve grown over the years to now have 13 employees. We’re going to touch £2m this year.’ Clark was thrilled to be collecting the award on behalf of Anderson Clark and its team. This isn’t the first time they’ve taken this top accolade either, having won in this category in 2015, too. The team offers all the services that customers could need to keep them on the road. The shining reviews about the reliable staff and top customer service are just as prominent as those about the quality of their work. Clark was full of praise for them, saying: ‘It’s a fantastic business, fantastic staff, a real harmonious place to be.’ He added: ‘In 25 years we’ve won a few awards, but I give this one total respect because you guys take the time to vet us, to phone us and to give us a mystery shop.’ Our mystery shoppers were extremely impressed with Anderson Clark, particularly pointing to that top customer feedback and the ease of using and navigating the website – something that has proved to be even more important in these challenging times. Clark added: ‘I’m absolutely delighted – but it’s not me, it’s a team effort.’

HIGHLY COMMENDED • Avia Autos of Bridgend • Martin Brothers Motor Group

We started off as myself and my business partner and we’ve grown over the years to now have 13 employees. We’re going to touch £2m this year. Graham Clark, Anderson Clark

Click here to watch Mike Brewer’s interview with Graham Clark CarDealerMag.co.uk | 23

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24 | CarDealerMag.co.uk

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USED CAR PRODUCT OF THE YEAR WINNER AUTO TRADER

ulling together as a team helped Auto Trader enormously during 2020, ensuring that it delivered enhanced value to consumers and dealers to get them through the crisis. There are a huge number of top motor trade suppliers that dug deep during 2020 to help their car dealer partners out. From cutting bills when they needed it most to launching innovative new products and services to help dealers do business better, 2020 was a year when long-term partnerships were forged. For this award, sponsored by Händler Protect, our judges were looking for companies that dealers said had helped them in their hour of need, and Auto Trader consistently offered exactly that when dealers were down. It shared data to give them the very best insight into the effects of the pandemic and provided help and support when they needed it most. Sales director Rebecca Clark said they were ‘hugely proud’ to win the award. Speaking to awards co-host Mike Brewer in an interview that you can watch by clicking on the link below right, she said: ‘It very much feels like brilliant recognition for the hard work and efforts by many people at Auto Trader to support our customers throughout the year.’ She told of the ‘fantastic’ and ‘humbling’ feedback that Auto Trader had been getting from its customers throughout the pandemic – some had even said that it had prevented them from closing. Clark added: ‘We feel fortunate that we’re in a position to support in the way that we do.’ Auto Trader’s customers are consumers and dealers, so it has to tread the line between them very carefully, but it’s managed to satisfy everyone. Clark said it was all about teamwork. ‘We’ve got a strong team at Auto Trader and we always pull together. Collaboration is at the heart of everything we do and that has helped us enormously over the last 12 months – we’re proud, for sure.’ And she added how Auto Trader had become even better and more fit for purpose as it reacted to the crisis. ‘It helped develop our product strategy,’ she said. ‘We developed more products last year faster than ever to be able to support retailers.’ That meant that it delivered more value when the pent-up demand came through. Clark said that it saw 1.7m more leads, 1.5m more calls and nearly 300m more advert views versus the previous year. And it strived to help dealers make the most of that, such as them being able to offer click-and-collect and getting that online, home delivery, plus Covid-safe selling features so they could give people the confidence to buy. Transparency from the retailer perspective also played a big part. She added: ‘So it was bringing all that together from a product perspective that’s massively helped consumers and retailers. ‘And our customers have thanked us for doing that as quickly as we have because it’s helped them maximise and capitalise on those car buyers that have been there. ‘It was a tough year, but many customers out there managed to deliver some far stronger numbers than perhaps they would have anticipated earlier in 2020.’

HIGHLY COMMENDED • Autoglym LifeShine • Motorway

It very much feels like brilliant recognition for the hard work and efforts by many people at Auto Trader. Rebecca Clark, Auto Trader

Click here to watch Mike Brewer’s interview with Rebecca Clark CarDealerMag.co.uk | 25

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SOCIAL MEDIA USER OF THE YEAR WINNER PRESTIGE CARS KENT

ven the smallest of used car dealers can be big stars on social media as Twitter, Facebook and Instagram give everyone an equal platform. And in an age when more used car customers than ever before are searching – and buying – online, a good social media presence is absolutely vital. For this award, sponsored by Marketing Delivery SocialStock – we were looking for dealers that used social media to engage with their customers. We weren’t just looking at large follower counts, we wanted to see quality content that was posted frequently across Twitter, Facebook and Instagram. Leading the way in this vital area is Prestige Cars Kent – 2020’s overall winner. Speaking to awards co-host Mike Brewer, in a video interview that you can watch by clicking on the link below right, marketing and operations manager Rob Fenn explained how the firm had really focused on social media in 2020. ‘We’ve invested heavily in the last 12 months in social media,’ he said. ‘In the used car sales market, building trust is the number one thing and that’s really what we want to do – especially in the current times of closed showrooms. ‘It’s not just trust, however, but showing the customer there’s a team of people behind the company name who are there ready to help them. ‘We know that people are searching for us on the internet, and we know we need to show in every Google search our personality, the customer can trust us and overall get to know us.’ Fenn revealed there was a whole group working on its social media activities across various platforms. A team of four, including a videographer and a photographer, all work together to build customer trust and make the customer experience as enjoyable as possible. ‘We’re known as a bit of a nerd team,’ he joked. ‘We know our cars inside out, and they love it and hopefully that shows through.’ In a year when the car industry has turned to social media as a vehicle to keep customer interest high, notify the public of Covid-19 precautions and ultimately drive car sales in times of lockdown, coming out on top is no mean feat, but it’s not a case of job done at Prestige Cars Kent. Fenn added: ‘It’s a tough area to be in, and looking ahead we are going to do more video and behind-the-scenes content so people really understand how the company works. ‘And in terms of growing our follower base, we will do more competitions with prizes and see how we can leverage that. ‘It’s great to get a pat on the back, but also we feel winning Social Media User of the Year is a launch pad as we look at our whole customer journey.’

HIGHLY COMMENDED • Marshall Motor Group • SW Car Supermarket

In the used car sales market, building trust is the number one thing and that’s really what we want to do. Rob Fenn, Prestige Cars Kent

Click here to watch Mike Brewer’s interview with Rob Fenn CarDealerMag.co.uk | 27

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BEST DEALERSHIP USE OF VIDEO WINNER PRESTIGE DIESELS & SPORTS

elling cars to customers that you can’t meet face to face presents challenges for any business, but particularly one that has always prided itself on offering a personal and in-depth approach. For our winner in the Best Use of Video category, a business used to selling cars on social media and a serial award winner, transferring that sales experience to its videos has worked perfectly. Prestige Diesels & Sports co-owner Scott Shilcock explained to awards co-host Mike Brewer that his aim is to keep the videos real, ‘as if the customer were in the showroom’. Anyone who’s seen the videos filmed and voiced by Shilcock will notice not only the simplicity but also high level of detail that he goes into. Brewer – who spoke to him in a special video that you can watch by clicking on the link below right – explained how the Car Dealer judges pored over all of the entrants’ videos but found Prestige Diesels & Sports’ to be ‘compelling and interesting’. Shilcock said: ‘My aim is to keep it as real as possible and not to worry about making a mistake. ‘We just try and keep it real, as if we’re there with the customer in the showroom and we’re just explaining about the car and going round it. ‘I think it’s important to point out the little bits and pieces, any little marks, and I find the more transparent I am with the videos the better it works.’ The business has more than 1,000 subscribers on YouTube and the team has produced an impressive 177 videos that, importantly, do the job they’re designed to do – sell cars! This is the third time that the Portsmouth-based car dealership has picked up a Used Car Award, previously taking home trophies for Used Car Dealership of the Year Under 50 Cars and Social Media User of the Year. While the past year has been challenging for all businesses, co-owners Shilcock and Alexis Cassey have had some extra challenges of a baby girl born during the first lockdown. This is the pair’s 10th year in business together and their team has grown with the business. Shilcock added: ‘It’s a great thing for us to win, particularly with everything that’s going on at the moment. ‘To win another award, it definitely makes you feel like you’re doing something right in very testing times. ‘It’s a really big morale boost, not only for me but for the guys who work for us that make the cars as nice as they are. It’s a team effort every time we record a video. ‘The guys go around the car and make sure it’s just right.’

HIGHLY COMMENDED • Premier GT • Romans International

We just try and keep it real, as if we’re there with the customer in the showroom and we’re just explaining about the car. Scott Shilcock Prestige Diesels & Sports

Click here to watch Mike Brewer’s interview with Scott Shilcock CarDealerMag.co.uk | 29

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CarDealerMag.co.uk | 31

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USED CAR WEBSITE OF THE YEAR WINNER CARBASE

hen the lockdowns shut showrooms nationwide, dealers turned to their websites as the only way to continue doing business. Carbase had been forging ahead with digital before the pandemic, so it was well placed to benefit commercially from the ‘new normal’. Our mystery shoppers said its website worked brilliantly in walking people through the process of buying a car – something even more important at the moment with not being able to have a physical interaction. This category – sponsored by CarGurus – was a tough one to win and we had a great many nominations to look through, examining their websites at length, but Carbase’s sprang to the top. Steve Winter, the firm’s director, attributed the website’s winning qualities to the team who look after it. ‘We try to look at everybody else’s sites and see what they do well and come up with innovations ourselves, and credit to the team that have put everything together,’ he said. ‘It’s great to get this recognition, so hats off to all the team behind it. It’s fabulous to win as always.’ Winter emphasised the importance of doing what the customer wanted, and said the pandemic had accelerated change at Carbase, which was also highly commended in the Used Car Supermarket category. He added that those who fought their way through the crisis rather than battening down the hatches were the ones who would come through on top. Looking ahead, he said: ‘We’ve just got to hope that the highs are far higher than the downs, and that’s what we’re going to work towards happening. ‘What we’re not going to do is just sit back and expect it to happen. We’re going to roll our sleeves up and do everything to make sure that we have as big a piece of the pie as we possibly can.’ Thanking everyone for Carbase being nominated and for receiving the award, he joked: ‘I’m in civvies, so it proves there was no way that I knew this was going to happen, otherwise I’d have put on a suit or something! ‘It’s fabulous to win. But it’s a reflection of the effort that lots and lots of people behind the scenes put in, and this is just nice for everybody to see when we are winning awards that the effort is well worth doing.’ Alex Jones, head of marketing and digital, said: ‘We are thrilled Carbase has been recognised for such a prestigious award. It’s been a labour of love to build what we hope is a helpful way for our customers to shop online. It would not be possible without the support and clever widgets from our development partners. ‘I am proud to shout out the Flex Team from eBay Motors Group for powering the whole site and in-store app, iVendi for powering the online finance journey, Cap HPI for powering the trade-in and customer home appraisal app, Judge Service for powering the customer feedback, and UKT360 for our 360 Turntable vehicle imagery. ‘Thank you everyone – you are real digital legends.’ 32 | CarDealerMag.co.uk

HIGHLY COMMENDED • Croyland Car Megastore • Big Motoring World

It’s great to get this recognition, so hats off to all the team behind it. It’s fabulous to win as always. Steve Winter, Carbase

Click here to watch Mike Brewer’s interview with Steve Winter

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USED CAR SALES TEAM OF THE YEAR WINNER WHITE DOVE SKODA, CARDIFF

nyone who runs a dealership knows how important a good team is to help pull everything together and get things done – and after the year that we had in 2020, good teams proved more vital than ever. In this award, sponsored by CarGurus, our judges were looking for the teams that showed a great all-round performance to help their dealership succeed. As such, our mystery shoppers assessed the whole business more than once to ensure there was consistent quality. White Dove Skoda in Cardiff – part of a family-run group that has been going for more than 60 years – impressed our judges with not only a personal film of the used car but also a guiding hand to help complete the process online, as well as offering to deliver the car anywhere in the UK. White Dove Motor Group director Richard Hughes told awards co-host Mike Brewer – in a video interview that you can watch by clicking on the link below right – that it was ‘a great honour’ to win the award and ‘great to hear’ how impressed the judges had been. ‘For the team, it obviously means that all the hard work they’ve put in and all the effort has been well rewarded,’ he said. ‘We’ve worked very hard this year. We’ve put a lot of different processes in, and it’s nice to see that we’ve had some recognition.’ Hughes said the focus now was getting through what was in front of them and planning their road map for the future. He added: ‘Hopefully, with the vaccines and all the good news that’s coming, it won’t be too long until we open properly.’ Not only that but the team can also look forward to a nice lunch and some fizz courtesy of the company when circumstances allow it, vowed Hughes!

HIGHLY COMMENDED • ESP Cars • Taggarts Jaguar Glasgow

‘We’ve worked very hard this year. We’ve put a lot of different processes in, and it’s nice to see that we’ve had some recognition.’ Richard Hughes White Dove Motor Group

Click here to watch Mike Brewer’s interview with Richard Hughes CarDealerMag.co.uk | 33

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BEST USED CAR ONLINE SALES EXPERIENCE WINNER BATCHELORS MOTOR GROUP

elling vehicles online has become far more than just the nice-to-have that we would have said at this time last year. Instead, these days it is completely vital for car dealers to have a strong online sales experience to perform at their best during these challenging times. Our winner in the Used Car Online Sales Experience category, Batchelors Motor Group, launched its new website early on in the first lockdown, which resulted in more sales and an improved experience for customers. Although managing director Tony Denton was unable to join us for the awards, he had previously shared his reasoning for adopting such a customer-focused online sales experience. Speaking on Car Dealer Knowledge, he said: ‘What it’s provided for us is in-depth knowledge of the customer’s website behaviour up to and beyond the inquiry stage. ‘That gives some real insight into what the customer is thinking and the process they’re going through in choosing their next car. ‘It enables the sales team to create a more tailored offer and have a more bespoke conversation the first time they pick the phone up to the customer.’ Chatting to us just after the new website had been launched, Denton talked proudly about how the team had sold 20 cars online in the first week that it was live. He said: ‘Online has always been part of our growth plan – we were very early adopters. ‘What our new website has done is made the whole process smoother and more swish for both the buyer and the dealership as well.’ Batchelors’ website uses artificial intelligence to present what the customer is most likely to want. The website isn’t your traditional dealer website, but according to Denton it has led to more sales and a better quality of lead. He explained: ‘It’s about the customer choosing the path they want, not the path the car dealer tries to push them down.’

HIGHLY COMMENDED • Swansway Garages • Snows Motor Group

What our new website has done is made the whole process smoother and more swish for both the buyer and the dealership as well.

Tony Denton, Batchelors Motor Group

Click here to watch Tony Denton on Car Dealer Knowledge CarDealerMag.co.uk | 35

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36 | CarDealerMag.co.uk

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SPECIALIST USED CAR DEALERSHIP OF THE YEAR WINNER PREMIER GT

eamwork makes the dream work and that’s definitely the case when it comes to our Specialist Used Car Dealership of the Year winner – Premier GT. This supercar dealer has put attention to detail at the forefront of everything it does, and it wowed our judges in the Specialist Used Car Dealership category. Owner David Trigg explained that although it had won other gongs at the Used Car Awards before, this was the one that it had always wanted to take home. ‘We’re thrilled to win the award,’ he said, speaking to awards co-host Mike Brewer in a video interview that you can watch via the link below right. ‘We do pay a lot of attention to detail in every car, so it means so much to us to win this award. ‘We’ve won other awards with you in the past but this is the one we really wanted, so we’re absolutely thrilled this year. ‘We’ve all pulled together and made this happen.’ The judges were extremely impressed with how the stock is presented on a super-slick website with amazing videos and stunning pictures. Trigg added: ‘We do all of that in-house. We work very closely with 67 Degrees, who built our website, and I drive them a bit mad really because I do like attention to detail. ‘I like things done in a certain way, but they deliver for us every time.’ He was full of praise for his team, based in West Sussex, who he said were the reason the business can deliver what it does every time. ‘All our photography and videos are done in-house by Zaak Andrews,’ he said. ‘He’s our head of filming, marketing and photography. He does all of our social media for us too, so I’ve got to give credit to him.’ Trigg added: ‘The guys who do the selling and deal with the customers – the Google reviews speak for themselves and we’ve got five stars all the way through Auto Trader, too. ‘I’m very proud of the team I’ve got around me and that’s what makes us deliver what we deliver really. ‘They’re a good bunch of guys. We’ve known each other for many years and we’re all good friends as well. They’re thrilled because it’s all their hard work that has got us here.’

HIGHLY COMMENDED • R Symons • Mini Direct

We’ve won other awards with you in the past but this is the one we really wanted, so we’re absolutely thrilled this year. David Trigg, Premier GT

Click here to watch Mike Brewer’s interview with David Trigg CarDealerMag.co.uk | 37

Congratulations to... Sam Beck of Beck Evans for winning Used Car Dealer Principal of the Year from everyone at The WMS Group

Also well done to Scott Shilcock of Prestige Diesels & Sports and Ali Ekram of Marshall Volvo Welwyn Garden City for being Highly Commended.

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01844 293810 38 | CarDealerMag.co.uk

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USED CAR DEALER PRINCIPAL OF THE YEAR WINNER SAM EVANS, BECK EVANS

ust as a great team is important to a dealership’s success, so too is a great leader. The past 12 months have seen enormous changes throughout the motor trade but one thing has remained constant and that’s effective, strong leadership. In times of crisis, employees look to their boss for guidance, direction, decisive thinking and a good dose of morale-boosting words and actions. For this award, sponsored by The WMS Group, our judges were looking for great leadership to be demonstrated along with a quality offering for used car customers throughout the business. Our mystery shoppers particularly focused on strong leadership qualities regardless of business size, and the competition was particularly strong in 2020. But one dealer principal was head and shoulders above the rest, leading a serial awardwinning used car dealership that boasts impressive online reviews and wowed our mystery shoppers with its brilliant personal service – Sam Evans of Beck Evans. ‘It’s nice to win an award and be recognised, and we’re obviously doing something right – it’s a team effort with us,’ Evans told awards co-host Mike Brewer in a special video interview that you can watch by clicking on the link below right. He explained that the Kent business, which specialises in prestige cars, was a real family affair that constantly tries to improve on excellent service. ‘I work with my brother and we’re both dealer principals – it’s a family business and we try and get it right,’ Evans said. ‘We have a great team around us and we’re looking to improve and grow every year. It’s been a very tough year and they are the ones that have come through and shown that they can do it.’ Winning Used Car Dealer Principal of the Year is more than just a firm pat on the back for Evans, it’s also a great thing for the whole Beck Evans team. ‘I said to the team we were up for some awards and it’s really good for morale. It shows they’re doing the job right – we’re just in the background and pulling the strings!’ said Evans. ‘Hopefully this gives the team a boost and we have another successful year.’ Evans said he and the team intended to shout about the award win across its social media platforms and its email footers, as well as giving the gong pride of place in the showroom’s office. Looking ahead to 2021 and beyond, Evans added: ‘We are looking to expand in the next two years – maybe one or two sites and grow to around 600 cars and commercials. ‘We just need to keep the momentum going.’

HIGHLY COMMENDED • Scott Shilcock Prestige Diesels & Sports • Ali Ekram Marshall Volvo Welwyn Garden City

‘It’s nice to win an award and be recognised, and we’re obviously doing something right – it’s a team effort with us. Sam Evans, Beck Evans

Click here to watch Mike Brewer’s interview with Sam Evans CarDealerMag.co.uk | 39

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FUTURE STAR AWARD WINNER TOBY HARRIS, OTTER MOTORS

evon-based used car dealership Otter Motors has seen a huge switch to customers buying remotely in the past year, even when the business has been out of lockdowns. That was according to Future Star Award winner Toby Harris, who has found that he and his colleagues’ positive attitude and willingness to go the extra mile has resulted in success for the business throughout this difficult period. Harris told awards co-host Mike Brewer in a special video that you can watch by clicking on the link below right: ‘Even when the lockdowns have finished, we’ve continued to sell most of our cars over the phone or online for click-and-collect. ‘I certainly hope people get a refreshing experience when they come to this garage and deal with me personally. It’s certainly something we try to do.’ The Used Car Awards Future Star prize goes to a young person who has made themselves invaluable to their dealership or worked hard to progress in their career. Now just 22 years old, Harris had made it to sales manager by 21 after starting as a sales executive with the business at 19. Speaking to Brewer, he said that it was a ‘massive honour to win the award’. Harris continued: ‘It means everything to me. We’ve been working really hard on our customer service elements and I’ve personally been working really hard to improve how I deal with customers. ‘It’s great to get this award and the recognition that the hard work is paying off!’ His boss Tom Cook also appeared on the video link to explain why Harris was so deserving of the gong. After three years with the business, he said he couldn’t imagine anyone better for the job. ‘I think people like Toby come along very rarely. Certainly as far as I can tell. ‘In this job, as you know, there’s a lot of things that happen behind the scenes – it’s not just doing 8 to 6.’ He continued: ‘Toby runs that dealership. He buys the cars, he does a lot of the selling, he deals with the warranty claims – all things that require the right personality. ‘He’s been working with us for two to three years, he’s progressed up the ladder, but I couldn’t think of anyone better to do the job. ‘It’s an honour for us to have him working for us. I do try to remind him once a month that we appreciate having him on board!’

HIGHLY COMMENDED • Anthony Foram Marshall Volvo Welwyn Garden City • Ben Goodwin Big Motoring World

We’ve been working really hard on our customer service elements and I’ve personally been working really hard to improve how I deal with customers. Toby Harris, Otter Motors

Click here to watch Mike Brewer’s interview with Toby Harris CarDealerMag.co.uk | 41

42 | CarDealerMag.co.uk

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BEST USED CAR CUSTOMER CARE WINNER REDLINE SPECIALIST CARS

ersistence has paid off for Redline Specialist Cars in trying to win a Used Car Award and the firm is over the moon about being named as providing the top used car customer care. It’s absolutely vital to look after your customers if you want not only to see them again but also win those valuable word-of-mouth referrals. Our Used Car Customer Care award – sponsored by RAC Dealer Network – celebrates the dealers that really do go above and beyond for their punters. And our winner not only gave a great service when it came to our car inquiry, but it was happy to dish out useful advice along the way too, whether or not our mystery shoppers were buying a car from there or elsewhere. Staff were found to be friendly and highly professional on the phone call, which finance director John Graeme said was ‘superb’. Established in 1997 with a 25-car pitch, the independent prestige, performance and supercar specialist has grown and grown, and nowadays there are more than 200 vehicles in stock at its purpose-built showroom in Knaresborough. In a video interview with awards co-host Mike Brewer, which you can watch by clicking on the link below right, Graeme hailed the triumph as ‘fantastic news’, adding: ‘It’s been a long hard slog – a decade in the coming with us setting out to try to win these awards. ‘We’re over the moon, delighted – at last, we’ve done it!’ He thanked the staff and told of his and his fellow directors’ pride and how important winning the award was to the dealership. He said: ‘It’s something to be able to shout about. It’s something to be able to publicise.’ Graeme said Redline’s journey had always been about maintaining high morals and how important it was to look after the customers, especially since the internet came to the fore. ‘You’ve got to treat the customers fairly, you’ve got to look after them and, most of all, what that does is it gets you repeat business and makes you successful.’ As far as 2021 is concerned, he added: ‘If it’s anything like 2020 was from a business point of view we’ll be pleased. We had a record 2020. ‘I know there’s plenty going on in the world, but if from the business perspective we can do the same again and keep on point and keep doing what we’re doing and do it well, then we’ll be very happy.’

HIGHLY COMMENDED • East Devon Automotive • Westgrove Cars

You’ve got to treat the customers fairly, you’ve got to look after them and, most of all, what that does is it gets you repeat business and makes you successful. John Graeme, Redline Specialist Cars

Click here to watch Mike Brewer’s interview with John Graeme CarDealerMag.co.uk | 43

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USED CAR SUPERMARKET OF THE YEAR WINNER BIG MOTORING WORLD

ver the years, used car supermarkets have perfected the art of the sale with slick preparation facilities, great access to stock and smooth sales processes. In many ways, they’ve driven change in the motor trade and have led the way with a customer-centric approach. Our mystery shoppers were looking for businesses that despite their scale still gave customers a great service online, on the phone and in person. Big Motoring World has been, forgive us, a big name in the business for a number of years, and in 2020 the business widened its operation to include Carzam – a purely online used car sales operation. Our judges were impressed by Big Motoring World’s slick operation that gives customers a premium experience, and they liked their website and the superb service they received. Winning the award was the icing on what had been a very challenging year, said Big Motor World Group marketing director Darren Miller. ‘It’s just amazing winning this award,’ he said in a video interview with awards co-host Mike Brewer, which you can watch by clicking on the link at bottom right. ‘It’s been such a tough year and a different year – not just for us but for everybody in the trade. We’ve really had to think on our feet and pivot all over the place to make things work properly.’ A jubilant Miller added: ‘We are over the moon at winning this award. I’m ecstatic. ‘It’s the top award in the industry and it’s the best award we could ever get.’ Car supermarkets offering customers a wide choice of quality prepared cars is nothing new, but it’s a hard task becoming a trusted name. The secret to success is knowing your business and customers inside out, said Miller. ‘We know what we’re selling and we keep a close eye on having the right product at the right price,’ he explained. ‘That changes so many things, because some of the franchised dealers are stuck with a specific model or make they can sell, whereas as a car supermarket we can sell whatever we like. ‘What we sell is what people want and that helps keep us ahead of the pack.’ Miller passed a lot of the praise over to the team. He said: ‘Our team has worked so, so hard during the last year – they work hard anyway of course, but 2020 was such a different year, and our team were so flexible in their working hours and approach to the business. ‘Everyone has put so much in to make the business work and be successful, especially in the lockdown times – it’s been a real learning curve. ‘Ultimately, it’s their award because it’s their work that’s allowed us to do what we do – and it’s what we do which has allowed us to be recognised by Car Dealer.’

HIGHLY COMMENDED • Carbase • SW Car Supermarket

Our team has worked so, so hard during the last year – they work hard anyway of course, but 2020 was such a different year. Darren Miller, Big Motoring World

Click here to watch Mike Brewer’s interview with Darren Miller CarDealerMag.co.uk | 45

With the FCA Focus on Motor Finance and General Insurance product sales, 2021 is the time to review your FCA Compliance Automotive Compliance are market leading in de-risking Motor Dealers from FCA Regulatory Risk and have been recognised and voted as winners as “Game Changers” in the recent Motor Finance Awards Automotive Compliance only works in the motor dealer space, speaking their language by translating and implementing the latest FCA requirements into their business is our expertise. Whether you are a multi franchise PLC or an independent owner driver dealer Automotive Compliance have tailorable packages to suit for business requirements and budget. There are 2 options in our service offering for your consideration, allowing you to focus on the part you do best, marketing and selling cars: Remain Directly FCA Authorised You can choose to remain directly authorised by the FCA and Automotive Compliance will sit beside you like a driving instructor, working with your management team, implementing up to date regulatory process and procedure. Our monthly monitoring and real time reports will enable you to maintain your compliance and manage your own regulatory risk effectively and confidently Become an Appointed Representative Automotive Compliance work hand in hand with your management team, implementing simple regulatory processes, procedures and TCF culture, where we take the steering wheel and carry the regulatory risk as your FCA principal firm. All FCA reporting and communication is carried out as our responsibility for the dealer, with full regulatory complaints handling and ongoing financial promotions reviews of web sites and social media accounts.

To discuss which option works for your Motor Dealership Call : 01452 671570 Email : info@automotive-compliance.co.uk Visit : Automotive-complaince.co.uk Testimonial from a Motor Dealer who, amongst many others, have come on aboard with us in 2021 “On behalf of the Williams Group I would like to extend a big thank you to all the team at Automotive Compliance Ltd, who have made transition from one compliance company to another a very smooth process After using the same system for many years the prospect of switching was very daunting to say the least. However, right from our initial meeting and during the consultation period they were very professional and attentive to our concerns as our needs changed Everything was taken care of from the system set up, providing user training, accountants guide and liaising with the FCA, we really could not have asked for more Since we started our journey ACL have provided a fantastic service throughout, ensuring our go live date was achieved and since then the aftercare has been amazing too. It has been a pleasure to deal with such a professional company and team of people We look forward to working together with you, thank you.” – Williams Motor Group

46 | CarDealerMag.co.uk

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NEWCOMER DEALERSHIP OF THE YEAR WINNER D9 SPECIALIST CARS

ur Newcomer Dealership winner wants to set a new standard for car dealers – and it’s already proving its worth when it comes to top customer service. Claiming the prize, sponsored by Automotive Compliance, at the Used Car Awards 2020 was D9 Specialist Cars in Essex. Sales director Adam Smith said: ‘It’s a massive honour. It’s a very prestigious event with some really big players, so thank you very much.’ Owners Danielle Bailey and Daniel Wylie accepted the award with Smith and managing director Greig Hudson. Wylie told awards co-host Mike Brewer in a video interview that you can watch by clicking on the link below right: ‘For a new start-up business this is something really special. I’m really proud of the guys who are working every day on the floor.’ Our judges were impressed by the brilliant website with its detailed and friendly advice. Our mystery shoppers said ‘we couldn’t have asked for more’ in the process, with everything covered, including a professional video. Asked by Brewer what they had done to set themselves apart, Smith said that they wanted to set their standards high. ‘I think firstly, it’s just trying to raise the bar. Trying to set our stall out that the standards are very high. We want to treat people the way we’d like to be treated. ‘I think our industry is getting a better name after not having a good name for a long time. I think the standards are now improving and we’re trying to set that bar so that hopefully the others will follow. ‘We’re just doing the best we can.’ Hudson added: ‘Adam and I worked for dealerships before and we’ve taken our core organisation from that and mixed it with great customer service from a little retailer. ‘I think that’s where we’ve stood out. You’ve got the trust but you’ve got the customer service there as well.’

HIGHLY COMMENDED • Browns Car Company • Motorswift

I think our industry is getting a better name after not having a good name for a long time. I think the standards are now improving and we’re trying to set that bar so that hopefully others will follow. Adam Smith, D9 Specialist Cars

Click here to watch Mike’s interview with the D9 Specialist Cars team CarDealerMag.co.uk | 47

48 | CarDealerMag.co.uk

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USED CAR DEALERSHIP OF THE YEAR

– UP TO 50 CARS – WINNER CROMPTON WAY MOTORS

his has always been a competitive category and it’s one where dealers really pride themselves on their personal service. They don’t have the luxury of huge economies of scale to make their business work, so they really need to make sure the customer is satisfied, and our judges were really impressed with the experience that they got from Crompton Way Motors. They loved the smart videos explaining the services on offer during the pandemic, which made our mystery shoppers feel truly valued. Interviewed by awards co-host Mike Brewer, owner Paul Richards said he was ‘over the moon to get the accolade’, sponsored by Trade To Trade Underwriting, adding: ‘It’s been a tough, tough year.’ He attributed it to the team effort by the staff and said he was very proud of them, adding that there were ‘robust processes’ within the business, with ‘customer satisfaction being key’. He said: ‘Going back to the beginning of the year we’ve had to adapt, but the motor trade is good at adapting. ‘We’ve bought a truck for delivering cars to customers, we’re FaceTiming customers, so it’s changed the way we operate, but to be honest it’s probably changed in a good way. ‘It’s working for us at the moment. We’re following all the government guidelines but the team’s on it and we’ve just got to push forward.’ He added: ‘As a business, we’re very family orientated, the staff have been here a long time, we’ve got a very stable team.’ The dealership saw the importance of putting out videos explaining the Covid measures it had put in place as well as what cars it had. Richards said: ‘We’re on FaceTime all the time, we’re on Instagram, so basically we’re just busy, busy promoting the business digitally. ‘It’s a different way of doing it, but it’s exciting. We’re doing click-and-deliver and clickand-collect at the moment, so onward and upward – just keep pressing forward.’ He said the team would be over the moon when they found out about the dealership’s triumph, which he added would be a good promoter for it as they could ‘bang the drum’ about it. ‘Even though we’re a small business, we still operate robust processes. We’re just like a franchise business, we have everything in place, we’re very customer-orientated. ‘To win this award is fantastic. We can get it out there on social media, and again, it’s another string to our bow.’

HIGHLY COMMENDED • Supermini UK • R Symons

As a business, we’re very family orientated, the staff have been here a long time, we’ve got a very stable team. Paul Richards, Crompton Way Motors

Click here to watch Mike Brewer’s interview with Paul Richards CarDealerMag.co.uk | 49

Whatever’s next, let’s do it together When the world changes quickly, it can feel hard to know what your next move is. That’s why our Account Managers take the time to really understand your business. With their knowledge of customer service and innovative solutions, they can help you simplify finance and keep your business moving forward.

Get up-to-date business support at blackhorse.co.uk/dealer/resource-hub 50 | CarDealerMag.co.uk

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USED CAR DEALERSHIP OF THE YEAR

– 51 TO 100 CARS – WINNER RS CAR SALES

ealers of all sizes have had a challenging 12 months but it’s especially true in the 51100 sector. Why? Well, it’s a very congested part of the market, with dealers battling to win customers’ loyalties. It’s one that awards host Mike Brewer cut his teeth on too and he knows just how tough it can be. RS Car Sales in Sandbach came out top in this category as it excelled in not only our mystery shopping but it’s also running a business that has plenty of happy customers. Speaking about clinching the award, owners Rory Anderson and Thomas Cheung said they had simply tried to offer the very best experience they could. ‘It’s a big achievement for us in the most difficult year we’ve ever faced in business,’ Anderson said in a video interview with awards co-host Mike Brewer that you can watch by clicking on the link below right. ‘Despite all that’s gone on during 2020, we’ve tried to work hard and not let anything stand in the way. ‘We’ve grown continuously, we offered a lot of deliveries, and have been quick to adapt to click-and-collect and click-and-deliver.’ He added: ‘We’ve also tried to offer the best digital experience we can. Every car has as many pictures and videos as possible.’ Our judges were particularly impressed with RS Car Sales’ fresh-looking, easy-to-navigate website as well as the firm’s great use of photography and video. What really sealed the deal, however, was the business’s customer service, with Cheung even offering to drive a car straight to our mystery shopper for inspection. He said: ‘We just like to try and make it easy for the customer and don’t put up any barriers – especially in this current climate which makes it difficult to buy a car. ‘Why make it hard for a customer? Just give them what they want – that’s the long and short of it.’ The business doesn’t intend to rest on its laurels either. It plans to continue growing and using the experiences learnt in 2020 to develop. ‘It’s a great feeling winning this award,’ said Anderson. ‘We do quite well and sell a good number of cars a month, but it’s nice to get a pat on the back and some external validation. ‘We will do as much as we can to continue advertising and show we’re a trustworthy and credible business, and selling cars digitally and delivering cars to customers. We intend to keep on growing.’

HIGHLY COMMENDED • Emerald House of Cars • Angus MacKinnon

It’s a big achievement for us in the most difficult year we’ve ever faced in business. Rory Anderson, RS Car Sales

Click here to watch Mike Brewer’s interview with Rory and Thomas CarDealerMag.co.uk | 51

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USED CAR DEALERSHIP OF THE YEAR

– OVER 100 CARS – WINNER CAR QUAY

020 was an opportunity for a lot of car dealers who were willing to put in the effort and make difficult circumstances work for them. Used car dealership Car Quay is celebrating a great year when at the start of the pandemic it was just hoping to break even. Now, for the second year in a row, the team is picking up a Used Car Award – but this time it’s our gong for Used Car Dealership of the Year For Over 100 Cars. ‘What a year! We’re just made up,’ said Car Quay owner Jamie Caple in a video interview with awards co-host Mike Brewer, which you can watch by clicking on the link below right. ‘Not knowing where we were going to be, we had those dark moments in March and April. ‘We were hoping if we could make it out of the year in the same position we started we’d be happy. ‘I don’t think we’ve just survived though, we’ve thrived in 2020. ‘It’s been a bizarre time, a rollercoaster.’ This category is always a particularly hard-fought one, with our judges looking for the best customer service and procedures. Business partner Craig Vladimirovs echoed Caple’s sentiment, saying: ‘We would have been happy just to have a business at the end of it, but we’ve come out on top and better than we were when we started. ‘It’s been amazing. The team has really embraced the change and got on with it in a difficult time.’ He added: ‘The team will be over the moon. All of us here, as soon as we’re through that door, we work. We want to, we put the effort in, and it’s just nice to get that pat on the back. ‘Everyone here goes over and above.’ Caple explained that he was particularly proud of the work that Vladimirovs had done this year, and said that a lot of the award was down to him ‘levelling up’. He commented: ‘A lot of this award, the inquiry handling and the customers getting the experience, Craig has taken more ownership of that this year. ‘That’s meant I’ve been free to develop the business a bit more.’ He added: ‘We’re going from strength to strength, and I hate to say that because some businesses have had a tough time. We’ve just dug deep.’ Our judges were impressed with not only the customer-centric approach to the business but also how the team plays an active role in the motor trade by helping other dealers. Caple said: ‘This trade has been good to me. I’ve had my own challenges in the industry, as you all know. ‘When we need a helping hand, we should be able to call on people who’ll support you. We don’t do it for selfish reasons, but it’s a karma thing. Good tends to come back to you.’

HIGHLY COMMENDED • Beck Evans • ESP Cars

We’re going from strength to strength, and I hate to say that because some businesses have had a tough time. We’ve just dug deep.’ Jamie Caple, Car Quay

Click here to watch Mike Brewer’s interview with Jamie and Craig 52 | CarDealerMag.co.uk

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OUTSTANDING ACHIEVEMENT OF THE YEAR WINNER TRADE TO TRADE UNDERWRITING

his is one of our special Used Car Awards as it’s handed to a company or person who has achieved something truly outstanding. Our winner for 20202 has certainly managed to achieve that. Trade To Trade Underwriting is a firm that hasn’t been around very long but has already managed to make huge waves in the industry. It is a clever app that is designed to connect used car sellers with buyers in the motor trade, and the founders have worked tirelessly to make it a success. Trade To Trade Underwriting started life as a Facebook page back in 2018. Since then, it has spawned an app that has helped car dealers find used car stock at a time when they’ve needed it most. Used Car Awards co-host Mike Brewer caught up with founders James Vaughan and Ben Mitchell to chat about the win. Mitchell said: ‘I’m really pleased. A lot of effort went into the app and we wanted it to be just right. ‘It had to do everything we wanted it to do before we would even consider launching it, and it has got better ever since.’ The company has achieved double success for 2020 as it also won a Car Dealer Power award back in the autumn, when car dealers voted it the best trade-to-trade platform. ‘It’s really nice to be acknowledged, because it has been a tough year for everybody and it’s nice to be recognised for what we’ve achieved,’ added Mitchell. Vaughan said: ‘We were ready to launch and then lockdown hit. We didn’t know what to do, so it has been a tough year.’ Mitchell said he was delighted that the judges and the users of the app loved it, and said there was a real ‘community feel’ to the business. ‘We have direct communication with the members and we are on there to help one another, so we’re really proud not just to run it but also be a part of it,’ he added. Awards host Mike Brewer offered his congratulations for a ‘superb achievement’ and said it was ‘astonishing’ that they had picked up two awards in one year, adding that it was testament to the hard work that they had put in.

I’m really pleased. A lot of effort went into the app and we wanted it to be just right. It had to do everything we wanted it to do before we would even consider launching it, and it has got better ever since. Ben Mitchell Trade To Trade Underwriting

Click here to watch Mike’s interview with James Vaughan and Ben Mitchell CarDealerMag.co.uk | 53

Congratulations to… TrustFord For winning: ‘Used Car Dealership Group of The Year’

Motorway, the UK’s fastest growing used car marketplace for premium, privately-owned used vehicle stock would like to congratulate TrustFord on winning ‘Used Car Dealership Group of The Year’.

pro.motorway.co.uk 54 | CarDealerMag.co.uk

CATEGORY SPONSORED BY

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USED CAR DEALERSHIP GROUP OF THE YEAR WINNER TRUSTFORD

rustFord chairman and CEO Stuart Foulds said the lessons learnt during the first lockdown had helped it make a success of 2020. From click-and-collect to ensuring all used cars were prepped and ready to be sold so customers could drive away within the hour, the dealer group focused on making its second-hand stock work hard. Taking the title of Used Car Dealership Group of the Year – an award sponsored by Motorway – Foulds said his team would be over the moon after a tough few months. Speaking to awards co-host Mike Brewer in a video interview that you can watch via the link below right, Foulds said: ‘I’m absolutely delighted. ‘It’s a great testament to all the colleagues back in the business for all their hard work. ‘We spend a lot of time on attention to detail and make sure all of the cars that are on display are prepped and ready to go. ‘A few years ago we introduced TrustFord Now, and that is the ability for a customer to come into any of our dealerships and buy a car or a van and take it away within an hour – and that really is a testimony to the cars and vehicles we have on display.’ Used Car Award judges were impressed with that attention to detail and noted the huge network of dealerships across the country and choice of used models for buyers. Foulds said this choice and network had also been brought to the forefront to please used car customers. ‘We introduced “Bring It To Me”, which is where someone can look online and if the car is at another dealership we undertake to get the car to the customer’s nearest dealership within 24 hours, so they can see it and take it away as soon as it arrives. ‘It’s been a huge success for us. During the pandemic we already had a lot of these things in place, so it was easy to mobilise the guys and make sure everyone was aligned with that ethos.’ Foulds said his team would be ‘delighted’ when they heard the news that they had won, adding that the award was a ‘real testimony’ to all the hard work they had put in. ‘Over the past nine months it has been really difficult trading conditions out there, but I guess the only good thing from this is we learnt a lot of things during the first lockdown and that has put us in a really good position to cope with this one.’ Looking ahead to the rest of 2021, Foulds said he was ‘optimistic’ and pleased that it was still ‘business as usual’ for the parts, aftersales and commercial vehicle arm TrustFord deals with a large part of Ford’s commercial vehicle fleet sales, and as home shopping has boomed, so too has the need for vans. Foulds said: ‘I’m really optimistic for this year – we are well set up to cope with this. ‘The fundamental difference for us is we make sure 100 per cent of the cars on our forecourts are ready to go so we can uphold our TrustFord Now proposition.’

HIGHLY COMMENDED • Marshall Motor Group • Hendy Group

We spend a lot of time on attention to detail and make sure all of the cars that are on display are prepped and ready to go. Stuart Foulds, TrustFord

Click here to watch Mike Brewer’s interview with Stuart Foulds CarDealerMag.co.uk | 55

LEGAL UPDATES

LEGAL HELPLINE

CASEWORK SERVICE

ONLINE STATIONERY FORMS

COMPLIANCE SOFTWARE

HEALTH & SAFETY TEMPLATES

DATA PROTECTION MODULE

WARRANTY MANAGEMENT SYSTEM

56 | CarDealerMag.co.uk

Don’t settle for less

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LIFETIME ACHIEVEMENT AWARD WINNER MICHAEL SMYTH, SWANSWAY GARAGES

or the Lifetime Achievement Award – sponsored by Lawgistics – we don’t announce a shortlist. It’s handed to someone who has made an incredible achievement during their lifetime to the car industry and this year’s winner has certainly done that. Michael Smyth, director of Swansway Garages, began his career in the automotive industry in 1967 when he established Radcliffe Road Garage in Bolton, where five mechanics repaired vehicles and fuel was sold as well. He expanded with more petrol stations across the north-west of England over the next few years, and it’s fair to say that he changed the face of petrol retailing. Michael broke ranks with the other retailers and, ahead of his time yet again, began to price-match with the newly opened Asda. He started his motor trade business when he bought his first Toyota dealership in 1970, expanding it into the leading group that was RRG. Along the way, he branched out into automotive retail technology businesses and leasing. He also became a champion of young people, helping them via the government-run Youth Opportunities Programme and its successor, the Youth Training Scheme. Eventually selling RRG in 2000, he took a breather and then started all over again with the help of his three sons, forging a close partnership with Volkswagen. Now the group that his family has built has grown to become one of the biggest in the UK – Swansway Garages. The 82-year-old told Mike Brewer in a video interview that you can watch via the link below right: ‘I can think of a lot of people who deserve it more – but it’s very nice. ‘I’ve been isolating since last February and I’ve had the vaccine which is the good news. On a daily basis I attend a Zoom meeting with my directors, Peter, John and David, and I’ve never been closer to the business than I am now.’ In our Car Dealer Top 100 list the group was the 20th most profitable, achieving nearly £12m of earnings in 2019. Peter added: ‘It’s great to have him there on Zoom meetings and [now he’s had the vaccine] the thought of him coming in is something I cannot wait for. My father gives us a lot of guidance and a lot of wisdom as he’s been through all sorts of situations and booms and busts over the years. There have been a lot of economic cycles since 1967.’ Michael explained how the first 25 years of his business was spent working mostly with Toyota and he grew from one dealership to being the biggest Toyota dealer in Europe. ‘Those were good days,’ he told Mike. Thanking him for the award, he added: ‘If, in your wisdom, you’ve decided I’m worthy, I’ll not argue with you.’ Peter said Swansway Garages had become ‘adept at dealing with challenging circumstances’ and said the group had a ‘spectacular 2020’. Michael added: ‘I would say this pandemic has been the best thing that has ever happened to Swansway Garages. I was set in my ways and defended the model for many years, but on this occasion there has been a real sea change. ‘We started early and had a spectacular year last year. I think this will be a good year.’

The Radcliffe Road Garage pictured in 1974

Michael Smyth has always championed youngsters – he’s seen here in 1984 with a Youth Training Scheme group

Click here to watch Mike Brewer’s interview with Michael Smyth CarDealerMag.co.uk | 57

The UK’s Best Used Car Warranty

58 | CarDealerMag.co.uk

CATEGORY SPONSORED BY

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MANUFACTURER USED CAR SCHEME OF THE YEAR WINNER AUDI

sed cars play a vital role in keeping buyers engaged with a brand and a good manufacturer used car scheme is critical to its success, says Audi. The winning manufacturer has a website that our judges described as ‘slick and easy to use’ and they praised the firm for offering used car buyers ‘everything they’d need’ to have confidence in their used car purchase as part of its scheme. Audi UK sales director Steve Catlin told Car Dealer founder and awards co-host James Baggott in a video interview that you can watch via the link below right: ‘It’s a huge accolade for us to be recognised as having a class-leading used car scheme. ‘We’re delighted and it gives us confidence we are doing the right thing in the marketplace and doing everything we can to turn Audi customers into Audi fans. ‘Most of all, we continue to offer unrivalled peace of mind and value, and our retail partners continue to offer an amazing experience for Audi-approved used vehicles.’ For this award, sponsored by Warrantywise, our judges were looking for a variety of key features included as part of the official schemes. They wanted to see a decent warranty, breakdown cover included, a comprehensive check of the used cars before sale and a website that was easy to navigate. ‘We have spent a lot of time making sure our used programme is really customer-focused and how the hand-off happens between customers viewing vehicles on our website to how they view the vehicles in the retail network,’ added Catlin. ‘We’re really pleased your research recognises that and shows it’s really a joined-up experience between us and the dealer network.’ Catlin said used cars were ‘critically important’ to Audi as they represented a ‘big portion’ of network profitability and formed an important part of the industry ecosystem, generating new car loyalty. ‘It will become even more important in the future,’ he added. ‘If you look at the pressure the industry is facing regarding costs from an electrification point of view and an aftersales revenue perspective, then used cars will become an important part based on those pressures in the future.’ Catlin said that customer loyalty was ‘priority number one’ for Audi and used cars helped ensure that customers became fans who returned again and again. He added: ‘We’re seeing more and more interest in used cars from consumers and can’t see that changing.’

HIGHLY COMMENDED • Volkswagen • Volvo

We continue to offer unrivalled peace of mind and value, and our retail partners continue to offer an amazing experience for Audi-approved used vehicles.’ Steve Catlin, Audi

Click here to watch James Baggott’s interview with Steve Catlin CarDealerMag.co.uk | 59

CATEGORIES SPONSORED BY

USED CAR OF THE YEAR CATEGORIES W

heeler Dealer star Mike Brewer – and the co-host of the Used Car Awards – has revealed the models that have risen to the top of dealers’ forecourts. Announcing the winners of our Used Car of the Year categories, sponsored by City Auction Group, Brewer managed to get behind the wheel of them all for a special road test. The reviews can be seen as part of the special Used Car Awards video, which can be watched via the link above right. The Used Car Awards names the best used cars in six categories and hands one the overall winner’s title of Used Car of the Year. We’ll be running Brewer’s road test reviews in full on our website, complete with his video road tests, but for now, here’s a rundown of what car won each category and Brewer’s thoughts on them.

USED SMALL CAR OF THE YEAR

USED MID-SIZED CAR OF THE YEAR

USED EXECUTIVE CAR OF THE YEAR

The Ford Fiesta is a little corker. It regularly tops the new car sales charts and is a big hit with used car buyers too. Its brilliant handling, great looks and superb choice make it a winner for thousands of buyers every month. For the awards video I got the chance to put the spicy ST version to the test and it’s an absolute corker. I can see why buyers love them, that’s for sure.

The Mazda might not be everyone’s first choice when it comes to car shopping but they really should give one a go before buying one of the humdrum normal vehicles. The Mazda 3 is a great alternative to the all-too-boring cars in this sector. I love the styling, the interior is wonderful and it’s great fun to drive. Plus you get to bore people about the Skyactiv-X technology, which gives you the economy of a diesel from a petrol, don’t you know!

If you’re the chairman of the board and don’t want a German motor then look no further than this executive Volvo. The S90 is the somewhat-unloved saloon version of the brilliant V90 estate but it’s no less superb. I love the classy interior plus the armchair-like seats, and I honestly think it looks better than its German rivals. If you’re the boss, stand out from the crowd with a Swedish beauty… it’s what captains of industry should do.

FORD FIESTA

60 | CarDealerMag.co.uk

MAZDA 3

VOLVO S90

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Click here to watch Mike Brewer’s reviews of our star used cars

USED SPORTS CAR OF THE YEAR

JAGUAR F-TYPE

When Jaguar launched the F-Type it’s fair to say buyers didn’t exactly flock to it, but as a used car buy it makes great sense. Prices have come down to affordable levels, and while there are some bargains out there, prices are actually going up again! That’s because the F-Type is an absolute cracker. I love the looks, it’s incredible to drive and the interior is top-notch. The full-fat V8 is stonking and I can see why buyers love it.

USED SUV OF THE YEAR

SEAT ATECA

Car buyers love SUVs and the Seat Ateca is a great example. Its chiselled looks are smart, its functional cabin is spacious and it’s very refined to drive. They sell well on dealer forecourts and it makes a superb used purchase. With car dealerships awash with SUVs, giving car buyers a huge choice for their next model, the Ateca sticks out as a great used buy.

USED AFV OF THE YEAR

KIA NIRO

Buying a used electric or hybrid car is a great way to dip your toe into alternatively fuelled motoring waters. The Kia Niro makes a cracking used buy as it offers a hassle-free driving experience that brings hybrid and all-electric motoring to the masses. It’s great to drive, looks good and the choice of options plus seven-year warranty makes it a great used buy. It’s easy to see why the Niro has been popular – I love ’em.

OVER THE PAGE: THE OVERALL WINNER CarDealerMag.co.uk | 61

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USED CAR OF THE YEAR

WINNER: FORD FIESTA

The Ford Fiesta’s dominance of the new and used car market made it the clear winner of our overall Used Car of the Year title. It’s an absolute firecracker of a car, and the huge choice that there is in the used car market, the plethora of engine and trims, plus the fact that the ST is utterly brilliant helped it to top the board in this year’s Used Car Awards. Huge congratulations to Ford – and if you’re looking for a small car, go find a Fiesta!

62 | CarDealerMag.co.uk

Click here to watch Mike Brewer’s reviews of our star used cars

O M

LOGISTICS, DEFLEET & REMARKETING SOLUTIONS

Download Our Complimentary iOS/Android Buyer App now! Full listings can also be viewed on our website www.cityauctiongroup.com

CarDealerMag.co.uk | 63

INVESTIGATION

TOP DEPRECIATING SUPERCARS The amount that some luxury cars have lost in a year is enough to make anyone weep – especially dealers. James Baggott reports.

sed luxury car values have taken a battering in the past year, with Aston Martin and McLaren particularly badly hit. Pricing data from Brego – a new tech-based valuations company that uses AI and machine learning to calculate trends – shows the performance car market has been seriously affected by the pandemic. Creating a list of the worst-affected supercars in 2020 for Car Dealer, Brego found that the biggest drop in terms of monetary value saw £49,000 wiped off the value of a Ferrari 812 Superfast. The Mercedes AMG GT C was close behind, losing £48k, while the McLaren 720S lost £45k in the same 12-month period. Simon Hunt, chief executive of Brego, said: ‘It’s evident the depreciation curve in 2020 of these cars differs slightly from previous years. ‘In general, cars held their value well early in the year, but then in spring/summer we saw a sharp decline in value. ‘This is almost certainly a direct effect of the lockdown in the UK, and would explain why in previous years we have seen a different depreciation curve.’ Hunt singles out McLaren and Aston Martin as having particularly suffered during 2020, and the insight follows reports from luxury car dealers who told us they’d seen similar drops in value. Last summer, Auto Trader reported that searches for supercars had rocketed as sofa surfers looked for ‘car porn’. It had seen a fall in values then with Lamborghini prices worst affected – down nine per cent in May on the same period in 2019. Hunt says that trend continued throughout the year, with a number of models losing tens of thousands of pounds. This will affect owners and dealers that have them in stock. He added: ‘There are some trends within the automotive industry that held true for 2020. We know that McLaren suffers from a huge amount of depreciation compared to their competitors, such as Ferrari and Lamborghini. ‘The same can be said for Aston Martin, a brand where values drop with the exception of a few models – the original DBS for example. All of these manufacturer trends continued in 2020 but with steeper declines than predicted.’ Supercar dealer Tom Hartley told Car Dealer at the end of last year that he’d ‘taken the biggest bath in 47 years’ on some of the cars he had in stock as luxury car prices continued to fall. He said: ‘The prices of luxury cars have dropped around 30 per cent this year, which will make for very uncomfortable reading for some dealers. ‘I have taken the biggest bath in 47 years on some cars, but we are still buying. Prices have dropped and we are replacing stock now at far better prices. ‘It is a combination of Brexit, consumer confidence and the types of people buying these cars wanting to get a good deal.’ 64 | CarDealerMag.co.uk

Ferrari 812 Superfast January 2020: £275,000 January 2021: £226,000 Value lost: £49,000 Ferrari is usually a brand that holds its value extremely well. The Ferrari 458 is one of the best cars to buy in terms of residual values, but the 812 Superfast hasn’t shared the same luxury and has instead gone down the same road as the F12 Berlinetta.

Aston Martin DB11 V8 January 2020: £160,000 January 2021: £120,000 Value lost: £40,000 The DB11 is Aston’s first true test of a Mercedes engine in its car. Although reliability is improving, the depreciation curve has remained steep for the British manufacturer.

Aston Martin DBS Superleggera January 2020: £198,000 January 2021: £162,000 Value lost: £36,000 The DBS is Aston’s flagship product, boasting more power than the DB11 and more aggressive styling. Reviews stated that while the additional power was a welcome upgrade, the interior was largely the same, which could explain the large drop in value.

McLaren GT January 2020: £163,000 January 2021: £122,000 Value lost: £41,000 McLaren announced the GT as an ‘against-the-rules’ grand tourer car – a vehicle capable of 200mph while being comfortable and practical. The reviews of the GT are testament to that, but the practicality side is still that of a supercar and the Bentley Continental GT still holds the honours for the most comfortable GT car. As a result, the McLaren has depreciated more than anyone could have anticipated and lost more than 25 per cent of its value in one year.

Lamborghini Urus January 2020: £203,000 January 2021: £179,000 Value lost: £24,000 The Urus was Lamborghini’s first SUV, and while there was some debate as to whether or not supercar manufacturers should build SUVs, it was one of the most commercially successful Lambos ever. However, it has still dropped by around the price of a Ford Focus in a year.

Bentley Continental GT W12 January 2020: £158,000 January 2021: £129,000 Value lost: £29,000 Bentleys generally hold their value well. However, this year has been unusual for the GT. The number of older models for sale means prices generally depreciate a bit more, but £29,000 is still a fair amount and probably driven more by Covid-19 than Bentley’s natural depreciation rate.

Rolls-Royce Dawn January 2020: £284,000 January 2021: £240,000 Value lost: £44,000 The Dawn is Rolls-Royce’s soft-top convertible made with luxury in mind. Every inch is covered with fine materials, but the Ghost and Phantom make it a less attractive Rolls-Royce for buyers. The depreciation could be down to the type of buyer in the Rolls-Royce market.

Mercedes AMG GT C January 2020: £138,000 January 2021: £90,000 Value lost: £48,000 The Mercedes AMG GT is a V8-powered supercar but, possibly due to the production numbers, we saw a large level of price drop within the first few years. All Mercedes typically depreciate fairly rapidly; the GT unfortunately shared the same trait.

Lamborghini Huracán Performante January 2020: £198,000 January 2021: £178,000 Value lost: £20,000 Lamborghini is known for its loud, exotic, poster-worthy cars. The Performante came out as an extreme version of the standard Huracán, and while it has the lowest depreciation figure on this list, £20,000 is still a large amount for a car that would have probably sat in the garage for most of the year.

McLaren 720s January 2020: £215,000 January 2021: £170,000 Value lost: £45,000 The 720s is McLaren’s flagship car. Replacing the 650s, the 720s is objectively one of the prettiest McLarens out there. McLaren as a brand suffers deeply from heavy depreciation, though, with nearly all of its cars losing tens of thousands in the first year alone.

Click here to see an interactive graphic showing the monthly drop in prices CarDealerMag.co.uk | 65

DASHBOARD

DS AUTOMOBILES

CAR NEWS ROUND-UP

Manufacturers have been busy refining existing models and producing new ones. We look at 10 of the results...

SUBARU

DS 4 comes to line with striking design DS Automobiles has revealed the DS 4 – the fourth model in the French firm’s range. The premium hatchback will be available in the UK this November. The exterior sees slim projector headlights with matrix LEDs up front and flanked by daytime running lights made up of two lines of LEDs. At the rear, it has a new laser embossed scale effect. The DS 4 will be available in three specs and with petrol, diesel or plug-in hybrid powertrain – with this final set-up delivering up to 30 miles of solely electric driving from a single charge.

VOLKSWAGEN

Introducing the facelifted XV

Order books open for ID.4 1st Edition

SUBARU has announced a revised version of its XV compact crossover. Available from March 1, it has an updated exterior design as well as additional driverassistance technology. Priced from £31,665 – the same as the current model – the new XV will have two trim levels. Standard equipment on both includes all-wheel drive, Subaru’s EyeSight suite of driver-assistance tech, LED headlights, heated front seats and an eight-inch infotainment system.

VOLKSWAGEN has launched its latest electric SUV – the I.D4 – in 1st Edition trim, with first models expected in dealerships this March. Sitting on the firm’s MEB platform, it uses a 77kWh battery for a claimed range of 310 miles. Thanks to 125kW rapid charging capability, 199 miles of range could be added in just 30 minutes via an appropriate charger. The rearwheel-drive car should also complete the 0-60mph dash in just over eight seconds before hitting a 99mph maximum.

66 | CarDealerMag.co.uk

BMW

M5 CS's V8 twin turbo will take it to 189mph THE new M5 CS has arrived, taking the title as the fastest and most powerful BMW M production car. The latest to wear the Clubsport nameplate, it boasts a 4.4-litre twin-turbocharged V8 petrol engine with 626bhp. It means the performance saloon will go from 0-60mph in under three seconds and hit 124mph from a dead stop in just 10.4 seconds. Flat out, the CS will achieve an electronically limited top speed of 189mph.

MAZDA

Raft of updates given to CX-5

MAZDA has given its largest SUV – the CX-5 – a lift with the introduction of a new engine option as well as a range of interior upgrades. It's available with Mazda’s 2.5-litre Skyactiv-G petrol engine, which brings 191bhp, an automatic gearbox and all-wheel drive. The engine also incorporates cylinder deactivation so it can switch between four and two cylinders for improved fuel economy when at a cruise. All models have tuned throttle pedal calibration for improved response, too.

JAGUAR

HYUNDAI

Eight ‘new’ C-type models will be based on 1953 Le Mans winner JAGUAR is celebrating the 70th anniversary of its iconic C-type by producing eight ‘new’ versions of the 1953 Le Mans 24-Hour winning car. The original C-type was built between 1951 and 1953, winning Le Mans in 1951 and again in 1953 – that time with a disc-braked car, which was a first. To build these C-types, Jaguar Classic engineers consulted the firm’s archives and scanned an original model to build an authentic recreation. Company records and engineering drawings by the original development team ensure the new model is perfectly accurate.

TESLA

Plaid+ Model S option sees range go up to 520 miles THE Tesla Model S and Model X have been given their biggest updates yet, including a high-performance Plaid version. The long-awaited Plaid models promise 1,060bhp thanks to a triple electric motor powertrain. With this, the Model S is said to be able to go from 0-60mph in an astonishing 1.99 seconds, while the Model X takes 2.5 seconds. The Model S saloon also gets a Plaid+ trim, bumping its range from 390 miles to 520 on official US tests – the longest of any EV on sale.

MINI

Sporty N-Line trim for Tucson SUV

HYUNDAI has expanded the Tucson SUV range with this sportier N-Line trim. The firm’s best-selling model in Europe has been given a major makeover, with a sharp new look complemented by minor styling tweaks inside and out that give it a more muscular aesthetic. Among them, the unique ‘parametric jewel’ lighting framing the grille has been given new edges, while inside has sporty features such as black suede and leather sports seats, red stitching and N-specific steering wheel.

FIAT

Revamp includes vertical air intakes

Tweaks to 500, 500X and 500L

MINI has remodelled its hatchback line-up with a complete styling revamp plus a variety of tech upgrades. The update to the threedoor and five-door electric and convertible models includes a larger grille surrounded by a black hexagonal trim area plus vertical air intakes replacing the older fog lights. The cabin has a cleaner look with an 8.8-inch infotainment screen which, with the navigation pack, includes Apple CarPlay and real-time traffic information.

THE Fiat 500 family has been updated for 2021, with five new trim levels, new colour choices and updated interiors. It applies to the 500 hatchback and 500X and 500L SUVs, but although the trim level names are consistent between models, not all trims are available on all cars and the equipment differs. However, the entry-level trim is Pop for all three, giving fairly basic equipment levels but new is a Sicilian orange paint job, blue fabric and a ‘Techno blue’ dashboard. CarDealerMag.co.uk | 67

INVESTIGATION

Why semiconductor crisis could hit new car supply and make March even tougher for dealers Want chips with that? Nick Gibbs chats to traders and manufacturers about a problem centring on a tiny yet increasingly vital part of modern vehicles.

ar dealers can add the potential of new model supply disruption caused by a shortage of semiconductors to their list of woes as they head towards the key plate-change month of March. Semiconductors, aka chips, are the brains behind the increasing number of smart features within today’s cars and they’re currently in very short supply. Car makers have been hit globally, including in Europe, and are slowing or even temporarily stopping production of key models for the UK. Affected plants already include Ford’s Saarlouis factory in Germany where it makes the Ford Focus, which has shut for an entire month from January 18 ‘as a result of the semiconductor supply issue’, the company said. VW stopped production for several days at its Wolfsburg plant in January, where it makes the Golf among other models. Audi has furloughed 10,000 staff in Germany for the issue and production has been hit at its Ingolstadt plant, where it makes the Q2, A3, A4 and A5. Also affected is Neckarsulm, which makes the A6 among other models. Mercedes has reportedly slowed and could cut production in two German plants: Bremen, where it makes the C-class, GLC and EQC among other models, and Rastatt, where it makes the A-class, B-class and GLA. Here in the UK, Honda has had to shut down production briefly at Swindon, where it makes the Civic, and has suffered shortages at its Jazz plant in Japan. The chip shortage is getting so bad that German bank LBBW predicted it could cause the global production of cars to drop this year by up to 2.2 million.

GLOBAL CHALLENGE

Nissan Sunderland has yet to be affected by the shortage, Nissan global chief operating officer Ashwani Gupta has said, but he added that it ‘was a global challenge for every manufacturer’. The problem first came to light in the last quarter of 2020, and while it’s slowly getting better, Gupta predicted that chip supply wouldn’t return to normal until May. The reason for the shortage is threefold, he said. Carmakers revised forecasts down because of the pandemic, while at the same time demand from the likes of smartphone makers and games console companies shot up. He said: ‘If I am a semiconductor manufacturer where I have just have 10 per cent for automotive and 90 per cent for non-automotive, and the 90 per cent is increasing and 10 per cent reducing, obviously I will allocate capacity to the 90 per cent.’ But demand for cars then recovered incredibly quickly after the first lockdown, coming on top of increased demand for the number of chips for each car. ‘The new Qashqai, which we will launch in Europe [this year], will have more than 50 per cent more sensors than it had before because of features like ADAS [advanced driverassistance systems],’ Gupta explained. Anecdotally, carmakers are focusing their limited chip supply on profitable models such 68 | CarDealerMag.co.uk

2.2m Cars that may not be made because of semiconductor shortage.

We the retailers have seen zero impact but that could be because the manufacturers stockpiled.

Daksh Gupta CEO of Marshall Group

as SUVs and electrified models that can help reduce their CO2 footprint for the year. The semiconductor shortage was probably fourth in a list of supply disruption issues facing dealers, Vertu Motors CEO Robert Forrester told Car Dealer. ‘The semiconductor shortage is not the biggest issue in the world right now,’ he said. Carmakers and their suppliers face production slowdowns owing to personnel testing positive for Covid-19, while congestion at ports post-Brexit is hitting supply chains. The latest to be affected was Nissan Sunderland, which had to stop production of its Qashqai and Leaf on January 22 because of parts hold-ups at Felixstowe. The question for car dealers, though, is how much does it matter? When showrooms have been forced to close and rely instead on online sales, supply isn’t their biggest problem. ‘We’ve no shortage of new cars but we’re seeing a fairly significant decline in new car volume,’ Forrester said. ‘On a like-for-like basis, my retail order take was 48 per cent down in the last seven days, which was not a surprise.’ Also reporting no supply issues currently was Daksh Gupta, CEO of Marshall Group. ‘We the retailers have seen zero impact, but that could be because the manufacturers stockpiled,’ he said. ‘It could be stocks are being burned through.’

MARCH DISRUPTION

Mike Allen, an analyst of the motor trade at Zeus Capital, says dealer groups he has spoken to certainly have the supply issue firmly on their agenda. He told Car Dealer: ‘These supply issues are highly likely to cause problems with March supply and will mean March doesn’t look good. ‘Normally, dealers would be building up their order banks for March now, but that is being disrupted by lockdowns and these supply constraints.’ Allen said this was likely to skew the year’s numbers for dealers and supply was likely to be ‘better by the summer’. He added: ‘I don’t think this will be a long-term issue and I think Q2 and Q3 will be better for dealers. Investors want to see signs of recovery and some sense of normality and are already looking ahead to 2022.’ Allen commented that in some respects it’s a good thing that all the ‘bad news comes out now’ and then investors will feel more confident. ‘The dealers that will do well will be the ones that have stock ready to sell and won’t be impacted as badly by the semiconductor issues.’

HURDLES

UK automakers so far haven’t warned of any supply disruption. Among responses we received, VW said ‘planned production for the UK has not been impacted and the outlook for stock levels through the first quarter remains positive’. Meanwhile, in a less revealing note Jaguar Land Rover said: ‘We are aware of the issue and are monitoring the situation closely.’ Some privately wonder if automakers are partly reacting to a lack of demand by throttling back production. For example, it’s probably not a coincidence that Ford is stopping Focus production but continuing with that of its hottest model right now: the Puma SUV. Professor David Bailey, an automotive industry expert at the Birmingham Business School, said consumers might have to be flexible over what cars they buy. He told Car Dealer: ‘A modern car could contain hundreds if not thousands of semiconductors, hence the impact of such shortages on auto assembly. ‘What that all means in turn is that the exact model of car you’re looking for at a dealer may not be available if production has been hit. ‘Consumers might have to be a bit more flexible than usual in their model choice.’ Prof Bailey said the semiconductor issue was a direct result of the Covid pandemic, and while the car industry had recovered quickly it was ‘still feeling some of the longer-term fall-out’. The biggest fear is that the chip shortage is another hurdle for dealers hoping for some sense of normality in March. A slow January and February could be tolerated if March roars back as sales did after the previous lockdown, but the signs aren’t good. Steve Young, managing director of dealer analyst firm ICDP, said: ‘The feedback I have is that business is quieter this time than in previous lockdowns, with lower levels of click-andcollect and not much going on to create the order build for March. ‘In the meantime, Q1 targets still exist at what are looking to be unachievable levels. In volume terms, that would suggest the chip shortage is not a problem, but Sod’s Law would say that when there is a real order prospect, it will be for a car that is not available…’

We’ve no shortage of new cars but we’re seeing a fairly significant decline in new car volume.

Robert Forrester CEO of Vertu Motors

CarDealerMag.co.uk | 69

DASHBOARD PERRYS

NEWS DIGEST HERE ARE TASTERS OF STORIES YOU MAY HAVE MISSED

Huddersfield Kia site on the move PERRYS Huddersfield Kia has moved and expanded – bringing a jobs boost with it. The new and larger site in Northgate boasts more service and MOT bays and is in what Perrys calls ‘a more prestigious location’. It had been at Longley Park for a number of years. Denise Millard, executive director at Perrys, said: ‘It’s been fantastic to be able to retain all staff from the old Longley Park site, while also being able to employ people to fill new jobs.’

LOOKERS

SW CAR SUPERMARKET

‘Exciting start to year’ and change in dynamic in the offing as major expansion plans revealed SW CAR Supermarket has bought two sites in Peterborough to expand its used car offering – with more jobs in the pipeline as well. Both are within a stone’s throw of the branch in the Fengate area, with one of them six acres of what were scrubland that now have been cleared. Anton Khan, chief executive of the SW Car Supermarket Group, said: ‘Given the current circumstances, it’s an exciting start to the year for us, which is set to completely change the dynamic of our business.’

BELLS

Shares relisted and bounce back LOOKERS has revealed it lost £36.1m in the first half of 2020 as the first national lockdown ravaged the business. Shares in the dealer group were relisted on the stock exchange as of January 29 after it laid bare the dramatic impact the coronavirus crisis had on the business at the start of trading. Its share price bounced 77 per cent to 37.25p after the market opened. Analyst Mike Allen, of Zeus Capital, said he hoped that the group could ‘finally look forward’. 70 | CarDealerMag.co.uk

Volvo site’s £1.6m refurb is completed

A VOLVO retailer in Bedford has completed a £1.6m refurbishment of its showroom. The revamped Bells Motor Group dealership in Riverfield Drive is now larger and has Scandi-designed furniture in its signature lounge that will let future visitors relax with Swedish cakes and coffee. Large glazing inside and out also means that customers will be able to view what’s going on in the new workshops.

ARNOLD CLARK

It transpired that while Argos was very happy to be open to hand over goods, it really didn’t want them handed back. James Baggott p11

Multi-million-pound deal signed with C4

ARNOLD Clark has signed a multimillion-pound sponsorship deal with Channel 4 for all its drama and Walter Presents content in 2021. It’s the highest-profile TV sponsorship to date by the dealer group, which came top in Car Dealer’s inaugural list of the UK’s 100 most profitable dealers. The campaign started with its Real Sale creative, which Arnold Clark said was the UK’s biggest used car sale.

Dealer transport costs halved for February. Supplier News: p82

Ted Welford investigates the Mokka-e – Vauxhall’s new contender in the electric crossover sector. Forecourt: p76

MARSHALL

SANDOWN GROUP

It’s a purr-fect result Mercedes-Benz site for group at awards bought from Sytner

MARSHALL Motor Group was crowned Jaguar Group of the Year at the Jaguar Land Rover Retailer Awards 2020. Meanwhile, the group’s Land Rover business was placed third. In total, the group was recognised across six categories, with two of its dealerships honoured at regional level too. Shaun Allen, Marshall Jaguar Land Rover franchise director, said: ‘Well done and congratulations to all the winners. I’m so very proud of all my team.’

SANDOWN Group has strengthened its Mercedes-Benz operation and extended its reach further north after buying a dealership in Newbury. The seven-car showroom site in London Road was bought from Sytner Group and will continue to offer Mercedes-Benz, AMG and Smart car sales, as well as aftersales. It takes the group to eight locations across Dorset, Wiltshire, Surrey, Hampshire and now Berkshire. MD Gavin McAllister called the purchase a ‘special moment’.

BRISTOL STREET MOTORS

Citroen joins Ford dealership

BRISTOL Street Motors has added a Citroen franchise to its Ford dealership in Macclesfield. The Vertu-owned dealer group has invested £200,000 in the Lyme Green Business Park site to ready it for the new brand. It features a new showroom with bespoke areas for each make plus a brand-neutral shared service reception. General manager Ben Hardman said: ‘Adding the Citroen dealership is an exciting move for the group.’

Xxx: pXX

ISUZU UK

David Taylor cleans up at ceremony

ISUZU UK has honoured its top dealers – with David Taylor (Garages) scooping four of the 18 trophies and being named its dealer of the year for 2020. The Llangattock-based dealership was praised for its finance deals and new vehicle sales, as well as being named regional dealer for the south and overall top dealership. It was also commended for ‘the significant investment’ to redevelop its premises over the past year.

T S A C D PO

OM R F M A E THE T EALER CAR DBOUT TALK ATEST THE LAAND NEWSVIEWS IN INTER EGULAR THIS R ST PODCA

Image: Google Street View (July 2016)

JACK BARCLAY BENTLEY

In modern terms it was pretty rubbish – 50bhp and it sounded like a bottle bank in an earthquake when you first started it up. Big Mike p12

Jay says goodbye after 48 years

WORKSHOP manager Jay Bhatia was given a standing ovation when he retired from Jack Barclay Bentley after 48 years with the business. Bhatia joined the dealer’s five-year in-house apprenticeship scheme in 1972 on 19½p an hour and worked his way up the ranks. Ken Choo, CEO of H.R. Owen, which owns Jack Barclay, said: ‘We’re so grateful for Jay’s 48 years of service with us at Jack Barclay Bentley, but we’re equally sad to see him retire.’

E R E H K C CLI

PAST O T N E T TO LIS ES OF THE EPISODEALER CAR DASTS PODC Turn over page to catch up on more stories

CarDealerMag.co.uk | 71

DASHBOARD CEREMONY

NEWS DIGEST HERE ARE TASTERS OF STORIES YOU MAY HAVE MISSED

Grassicks named top Mini retailer MINI UK revealed the winners of its 2020 Retailer Awards in a virtual ceremony hosted by comedian Alan Carr. The event recognised talent across its 131-strong UK dealer network, with Grassicks Mini of Perth named Retailer of the Year. Mini said it was the top performer across nine key areas, including new car sales, used car sales, for which it was also the category winners, profitability and customer satisfaction. Click on the image for the full story and list of all category winners.

STRATSTONE

BRAND CHANGE

‘New dawn’ as Close Motor Company takes on Suzuki franchise in Corby to replace Mitsubishi CLOSE Motor Company’s Corby dealership has become a Suzuki showroom after 21 years with Mitsubishi at the site. It took on the Suzuki brand as a fully operational franchise at the beginning of January, following last year’s announcement by Mitsubishi that it was pulling out of Europe. Director and dealer principal Simon Close told Car Dealer how much the company was looking forward to working with its new partner – but saddened that Mitsubishi was no longer at Corby after so long. ‘It’s a new dawn for us,’ he said.

EV BATTERIES

BMW showrooms being redeveloped STRATSTONE is ploughing millions into redeveloping its Derby and Hull BMW showrooms. The work – scheduled to be completed in late 2021 – will see the BMW and Mini brands combined on one dedicated site and bring jobs boosts. The 50,000 sq ft sites will benefit from state-of the-art showrooms with more space for new models, showcasing their latest tech. BMW M and BMWi zones will also be included, letting customers explore the performance and EV ranges. 72 | CarDealerMag.co.uk

Gigafactory on the cards for Coventry

COVENTRY City Council plans to apply to build an electric car battery plant – or gigafactory – that local officials say could create thousands of jobs in the region. It will submit an outline blueprint in partnership with the operators of Coventry Airport later this year, in a move the project’s backers reckon could attract £2bn in investment. If the plans are approved, the site could be operational by 2025, but private investment will be needed.

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The bhp of the C5 Aircross Hybrid – Citroen’s most powerful car.

Forecourt p78

HYUNDAI

DAL-e may be face of customer service

CUSTOMER service staff may be a thing of the past if Hyundai’s new robot creation takes off. DAL-e – which stands for ‘Drive you, Assist you, Link with youexperience’ – is an advanced robot that is being hailed as pioneering a future of automated customer services. It’s equipped with state-of-the-art artificial intelligence technology for facial recognition as well as an automatic communication system.

We’ve picked out some of the coolest gadgets‘Quote.’ and innovative products to get your hands on this month Gadgets: p85

EXPANSION

MG looks to open 10 sites in 2021

MG Motor UK says it plans to open another 10 new showrooms this year as it seeks to expand its market footprint. The Chinese-owned British brand currently has 120 dealers across the UK and aims to raise this to 130 by the end of the year off the back of a record-breaking 2020. MG opened 28 new sites in the past 12 months. Commercial director Guy Pigounakis said: ‘Our dealer network is expanding on the back of a record year.’

BREXIT

Nissan guarantees future of factory

NISSAN has said the future of its Sunderland factory is secure for the long term after hailing the Brexit trade deal as ‘positive’. Committing to producing new long-range EV batteries there, the manufacturer said the deal would give Sunderland a ‘competitive advantage’. Chief operating officer Ashwani Gupta told the BBC: ‘Being the largest automaker in the UK, we are taking this opportunity to redefine auto-making in the UK.’

FRESH BLOW

I think retailers are slowly changing the role of the sales executive to become more experiential.

James Litton p14

INITIATIVE

Click-and-collect ban extended in NI

NORTHERN Ireland’s car dealers are suffering more weeks of misery after the country’s lockdown with only click-and-deliver being allowed was extended further. It was due to end on February 5 but Stormont’s executive ratified a proposal by health minister Robin Swann on January 21 to keep the tough restrictions until March 5 to drive down cases of coronavirus. it’s a major blow after a positive start to 2021 with the reversal over a post-Brexit VAT anomaly.

SURVEY

Demonstrators take Electric cars ‘too elderly for virus jabs pricey for most’

A CAR dealer in Norfolk has reallocated demonstrator vehicles to help elderly people get to their Covid vaccination appointments. Crayford & Abbs sales and reception staff who are on part-time furlough all volunteered ‘without exception’ to help out. Managing director Kevin Abbs said they wanted to do something to give back to the community, and just two days after offering the service it had 10 people request transport.

MOST people reckon pure-electric cars are too pricey, according to a new survey. Nearly four out of five drivers (78 per cent) quizzed for an RAC poll of 3,068 motorists said they cost too much and were still ‘significantly higher’ than their petrol or diesel counterparts. But the number planning to switch to electric next time they change their car went up from six per cent in 2019 to nine per cent in 2020.

Feature: pXX

BITE-SIZE

Great expectations, record results – and more... FORECASTS: Vertu Motors says it expects year-end trading to exceed analysts’ forecasts of £18m. In a trading update issued on February 4, the dealer group said that its performance in the two-month period to January 31 was ‘positive’.

RISE: Steven Eagell enjoyed a record 14 per cent rise in pre-tax profit to £9.8m in 2019. Accounts for the year ending December 31 also show its turnover went up by five per cent to £448m and gross profit was up by 11 per cent to £68m – both records as well.

PROFIT: Peter Waddell’s Big Motoring World has released preliminary financial figures showing profit of £11m for 2020. The dealer group turned over £295m and sold 22,000 used cars versus 20,404 in 2019, when its turnover was £293m.

RESULTS: Dealer group JCT600 saw its pre-tax profit fall in 2019 to £15.6m against 2018’s figure of £17.1m, its newly published accounts show. Turnover at the privately owned firm, which represents 24 brands, rose by 0.2 per cent to £1.28bn.

STUDY: The vast majority of people say they MUST own a car, according to new research. A poll of 6,566 in-market buyers by What Car? has revealed that 86 per cent feel their lifestyle would be compromised without a vehicle. CarDealerMag.co.uk | 73

FORECOURT

VOLKSWAGEN GOLF GTI

Power

The 2.0-litre turbocharged petrol engine pumps out 242bhp and 370Nm of torque.

The eighth-gen hatch has a lot of reputation to uphold – Jack Evans found out if it was up to the mark or not.

THE KNOWLEDGE Volkswagen Golf GTI

Price (as tested): £35,509 Engine:2.0-litre turbocharged petrol Power: 242bhp Torque: 370Nm Max speed: 155mph O-60mph: 6.0 seconds MPG (combined): 38.2 Emissions: 168g/km CO2

WHAT IS IT? The Volkswagen Golf GTI has been ingrained into the motoring world for decades, and as it moves into its eighth generation with a new platform and striking look, there’s a lot of expectation resting on its shoulders. WHAT’S NEW? A locking front differential that was only available on Performance and TCR versions of the previous GTI is here to give the car even better traction when accelerating out of corners. There’s also a new cabin with a far greater emphasis on the digital side of things. WHAT’S UNDER THE BONNET? The Golf GTI uses a familiar 2.0-litre turbocharged petrol engine producing 242bhp and 370Nm of torque, sent to the front wheels via a seven-speed automatic gearbox – although a six-speed manual is available as well. WHAT’S IT LIKE TO DRIVE? It’s easy and hassle-free at slow speeds yet the performance on offer is more than enough to add a dash of adrenalin when you need it. The suspension firmness means the car’s body roll is kept wonderfully in check, but the by-product of this is that it’s simply not as comfortable to live with at slower speeds as before. HOW DOES IT LOOK? This latest GTI is far angrier and focused-looking than its predecessor, with its sharp front headlights and wide-stretching front light bar giving it a futuristic and eye-catching aesthetic. It’s noticeably similar to the outgoing Golf at the back, where the dual exhaust pipes take pride of place either side of a black diffuser-style trim piece. WHAT’S IT LIKE INSIDE? Get into the GTI’s cabin and you’re met with high-quality materials and an area dominated by screens and controls. The part-haptic steering wheel controls are a slight negative from the off, as they can prove a little counter-intuitive to use when you’re on the move. However, this GTI gets the fundamentals spot on with a good seating position and decent amount of space for those in the back. When it comes to boot space it does well too, bringing 374 litres

74 | CarDealerMag.co.uk

Inside The GTI cabin has been put together with high-quality materials.

Looks

The front light bar gives the Golf a futuristic and eye-catching aesthetic.

TARGET BUYERS:

Those who want an involving and exciting hatch that can be used everyday.

THE RIVALS:

Ford Focus ST, Honda Civic Type R, Hyundai i30N.

KEY SELLING POINTS:

It’s somewhat harder and more focused than before, bringing more excitement into the fold.

1. Dynamic driving experience. 2. Strong engine. 3. Excellent build quality.

DEAL CLINCHER:

The GTI might be a more focused affair than before, but for many the trade-off in comfort will be a compromise worth making.

of seats-up space when you lift the rear hatch. You can also extend this by folding down the rear seats, furthering the GTI’s practicality credentials. WHAT’S THE SPEC LIKE? As we’ve seen with the standard car, things have taken a seriously digital turn with the Golf GTI. We’ve got a 10-inch digital display ahead of the driver – with pleasantly clear and easy-to-read graphics – bolstered by a second 10-inch display that handles all of the infotainment jobs. All the major interaction points are easy to use and simple to get up to speed with. The tartan seats are present and correct, although the golfball-effect gear shifter is replaced by a small stubby lever for selecting gears in this automatic model. Some of the button layouts can be a touch bewildering – like the rear screen heater button located to the right of the driver next to the window controls – while the main heating and ventilation controls being located within the infotainment system can make things fiddly from time to time. The GTI does, however, bring a comprehensive list of standard equipment that more than justifies its £35,010 starting price. WHAT DO THE PRESS THINK? Autocar said: ‘The new GTI is tauter, pointier, more direct and more lively to drive than that familiar, finely polished old GTI recipe.’ Auto Express said: ‘The new Volkswagen Golf GTI isn’t quite as thrilling to drive as a Honda Civic Type R or even a Ford Focus ST. But it has still more of the breadth of ability which, for many, defines the hot hatch genre, delivering a wider spectrum between comfort and performance-focused body control.’ WHAT DO WE THINK? To say that this latest GTI arrived with a real job on its hands to impress could be somewhat of an understatement. This car does move things on but in an unexpected way. It’s somewhat harder and more focused than before, bringing more excitement into the fold to the detriment of its everyday usability. Some might see that as a bonus, while others who favour a car that’ll be soft and pliable when it needs to be might not. Either way, this is still one seriously capable hot hatch and one that will feel like a sure fit for many. CarDealerMag.co.uk | 75

FORECOURT

VAUXHALL MOKKA-e Ted Welford investigates to see if this electric crossover can impress next to its rivals. WHAT IS IT? This time last year Vauxhall didn’t have one EV, but fast-forward to the end of 2021 and there’ll be five battery-powered models to choose from, including the Mokka-e. WHAT’S NEW? Compare the new car to the previous Mokka X (the added letter has now been dropped) and really all that the models share is the name. The underpinnings are new, the powertrains are fresh and how the Mokka looks couldn’t be more different if it tried. WHAT’S UNDER THE BONNET? The Mokka-e uses the same powertrain that’s been cropping up in a range of electric PSA models in the past year or so. A useful touch is that it can recharge at speeds of up to 100kW – meaning an 80 per cent charge in 30 minutes. WHAT’S IT LIKE TO DRIVE? There’s more body roll through the corners than with the petrol Mokka but it’s by no means poor and this EV proves to be a good all-rounder. There’s a good turn of pace as well. HOW DOES IT LOOK? Compared to its boxy predecessor, the new model’s funky look will certainly turn heads in this increasingly crowded class. For example, the LED headlights, new logo and grille are wrapped up behind a single piece of glass. WHAT’S IT LIKE INSIDE? The cabin is headed up by a twin-screen setup, with one unit for the superb digital system and another for the main infotainment system. It’s also had an overhaul on the quality front, with plush new materials being used to give it a more upmarket feel.

THE KNOWLEDGE Vauxhall Mokka-e Launch Edition

Price (as tested)*: £34,970 Engine: 100kW electric motor with 50kWh battery Power: 134bhp Torque: 260Nm Max speed: 93mph 0-60mph: 9.0 seconds Emissions: 0g/km CO2 Electric range: 201 miles *After plug-in car grant

TARGET BUYERS:

Those looking for a stylish electric crossover with a decent range.

THE RIVALS:

DS 3 Crossback E-Tense, Mazda MX-30, Peugeot e-2008.

KEY SELLING POINTS:

1. Striking design. 2. Vastly improved interior. 3. A good all-rounder behind the wheel.

DEAL CLINCHER:

A stylish and premium-feeling Vauxhall that happens to be electric. It should sell in droves.

WHAT’S THE SPEC LIKE? There are four grades and all with impressive kit. Each benefits from a seven-inch touchscreen, digital dials, reversing camera and LED headlights to name but a few features. At the top of the range, Launch Edition gets all manner of goodies, including matrix LED headlights, massaging seats and self-parking technology. WHAT DO THE PRESS THINK? Parkers said: ‘It’s as good to drive as any of its direct rivals, with a decent enough range and plenty of technology.’ WHAT DO WE THINK? Vauxhall is injecting style and quality into this model like it’s never seen before, and the option of an electric version only expands the crossover’s appeal further. While not having a headline-grabbing range or a particularly low price, the Mokka-e will be an electric car that delivers by being easy to live with. 76 | CarDealerMag.co.uk

Inside

The cabin’s had an overhaul with plush new materials being used that give the car an upmarket feel.

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FORECOURT

CITROEN C5 AIRCROSS HYBRID

CONNECTED RETAILING Connect with your customers, no mater where they are]

of vehicle retailing with iVendi’s Connected Retailing Platform

Ted Welford went for a spin to see if this new plug-in is a good fit for the family SUV.

WHAT IS IT? The C5 Aircross was introduced in 2019 as a funkier option to the SUV range with a choice of petrol and diesel options. Now there’s a plug-in hybrid. WHAT’S NEW? It’s Citroen’s first hybrid but the powertrain isn’t entirely new, as it uses an existing engine, while the set-up also features in the Vauxhall Grandland X and Peugeot 3008. WHAT’S UNDER THE BONNET? The C5 Aircross Hybrid has a turbocharged 1.6-litre petrol engine combined with an 80kW electric motor and 13.2kWh battery – it’s the most powerful Citroen you can buy. A smooth eight-speed automatic gearbox is used, with power being delivered to the front wheels. WHAT’S IT LIKE TO DRIVE? It’s a really rather pleasant thing behind the wheel, with a swift powertrain, strong refinement and general feeling of security and comfort. Don’t buy it for sportiness, though. HOW DOES IT LOOK? With its chunky styling, large alloy wheels and fancy lighting it certainly stands out on the road but it’s discreet about its hybrid credentials. Apart from subtle blue badging (which our test car didn’t even have) and a charging flap that looks like a standard filler cap, there’s nothing to show this is any different to a regular petrol or diesel Aircross. WHAT’S IT LIKE INSIDE? The best thing about the interior is its brilliant Advanced Comfort seats, which are wide, feature plenty of foam and are a dream to sit in. Like most hybrids, though, this model isn’t as roomy as the standard Aircross. Boot space shrinks from 580 litres to 460 litres.

THE KNOWLEDGE Citroen C5 Aircross Hybrid

Price (as tested): £39,620 Engine: 1.6-litre petrol with electric motor and battery Power: 222bhp Torque: N/A Max speed: 140mph 0-60mph: 8.5 seconds MPG: 157.2-222.3 Emissions: 32-41g/km CO2 Electric range: 33-40 miles

TARGET BUYERS:

Families looking for an efficient SUV.

THE RIVALS:

Mitsubishi Outlander PHEV, Peugeot 3008 Hybrid, Vauxhall Grandland X Hybrid.

KEY SELLING POINTS: 1. Very comfortable ride. 2. Funky design. 3. Low running costs.

DEAL CLINCHER:

All the strengths of the standard Aircross with the added efficiency and performance benefits of a PHEV.

WHAT’S THE SPEC LIKE? Prices for the plug-in C5 Aircross start from £34,360, and the standard Shine model boasts plenty of equipment, too, including 18-inch alloy wheels, keyless entry and start plus a superb configurable 12.3-inch digital instrument cluster among the features. An extra £1,500 gets you the top-spec Shine Plus version – bringing larger 19-inch alloy wheels, additional driver assistance technology plus electric boot and feels worthy of the extra spend. WHAT DO THE PRESS THINK? Electrifying said: ‘The C5 Aircross is a refreshing change for anyone bored of the “must be sporty” SUVs.’ WHAT DO WE THINK? What with the potential for low running costs – although make sure you can charge that battery regularly as the engine is thirsty in isolation – a cool interior and long list of standard equipment, this is one of the better hybrid family SUVs you can buy today. 78 | CarDealerMag.co.uk

Inside

It’s not as roomy as the standard Aircross but the seats are an absolute dream!

STEP INTO THE FUTURE of vehicle retailing with iVendi’s Connected Retailing Platform

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FEEDBACK TOP TWEETS

Should we allow ourselves to be optimistic now? Here’s what you had to say about James Baggott’s comment piece this month.

Rob Queen @RobQueen2

Agree with all your points (except the holiday one!).... However, as an industry we need to be ready for the increase in inquiries and sales that are heading our way and we certainly are.

Roger Knight @rlknorth

Good article. Think another driver of EV sales will be a lack of desire to go to a petrol station. It’s an underrated advantage being able to recharge at home.

Bruce J Beaton @beaton_bruce

Totally agree. Travel and personal transport will attract the swathes of unspent cash as people rush to reward themselves for bleak times. Restaurants, pubs, etc which have closed will be snapped up by new owners. The high street will never be the same, conversion to housing, etc. 80 | CarDealerMag.co.uk

Your comments via email to editorial@blackballmedia.co.uk

Should I sell or should I store this classic Honda? Hi all. Hope you are keeping safe and well. Just curious on what the classic car market is like at the moment and what you all consider to be a classic car. We recently acquired a 1989 Honda CRX 1.6 16v, not the VTEC model. The car is original and rust-free, never been welded and has done a genuine 69,000 miles. Thinking of selling in the summer or would you guys think it’s worth storing away? We know they have a following but it’s Japanese and I’m just curious what you guys think. All comments appreciated. Tony911 The classic market seems to have really dipped. Modern classics like yours still seem pretty strong, though. You’ve nothing to lose. If you are happy to sit on it then it gives you a sales advantage. Advertise it for top end and if it sells...great, if it doesn’t... store it away. CJ Underhill

PICTURE OF THE MONTH

Madness! The driver of this car in Dundee just couldn’t be bothered to clear any more snow before they went out on the road. Fortunately, they were spotted by police before an accident happened. We hope the idiotic motorist – who’s now facing a charge of dangerous driving – realises how many lives they could have devastated.

The classic market is always volatile – look at the boom in the late ’80s. Also, certain cars are in vogue. In my honest opinion, the ’80s stuff is overhyped and will drop. Also, the market for concours cars isn’t in vogue. For me, demand for ’60s and ’70s original cars is very strong. Amongst a few other classics, I have a P5B Coupe, original, 27,000 miles and it’s been in my family since new. I get massive offers all the time for it but it’s not for sale. I think overall there will be a drop in used car values, period, in 2021, but let’s see, guys. Petrol head How on earth are ’80s and ’90s Fiestas, Escorts and Novas worth what they sell for now? They were rubbish even when new – ideal examples of how a front-drive car should NOT handle. I don’t imagine 30ish years will have improved their poor handling and inability to transmit modest horsepower to the road. BHM

This exactly, but the Japanese cars were way ahead with build and reliability qualities. Not sure what to do with it to be honest. It’s uncertain times, so might just tuck it away for a few more years and see what happens. Tony911 Can only speak for a friend who runs a classic car business and has been doing it 20-odd years. Not buying at all now, everything is sale or return and turning stuff away. As usual, your mileage may vary. Frank Cannon I ran the earlier CRX 1.5 one summer. I put some recaros in it on the Honda runners because the seats were too narrow. I can tell you now I couldn’t unstick that car – it was brilliant. Only got rid of it because somebody said to me you’re a motor trader, sell me it now, and I did! It’s me

More and more of our readers are joining the debate – and it couldn’t be

Our website at CarDealerMag.co.uk

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Forum: CarDealerMagazine.co.uk/forum

PAYMENTS

Who supplies your card readers? What card readers do people use? I had a SumUp until I used it and was then informed they weren’t authorised to take payments for vehicles! Thankfully, they processed the transaction on this occasion, otherwise they said they’d be refunding it to the buyer! Would like to avoid the big banks as none were helpful when I was setting up and needed a business account. LSP Vehicles

We’ve teamed up with Car Sales Memes to bring you a few of their funniest captions and slogans each month. Enjoy!

Be careful with whoever you choose. Don’t let them lock you in to some 12 months’ notice contract, and make sure you have direct access to a rep when problems arise. Trade vet I have been with Worldpay for more than 20 years. Just got all rates reduced. They will talk and negotiate fees. A&S I honestly can’t remember the last card transaction I’ve done. It’s all bank transfers now. Still paying the rent on the machine, though… However, I’ve saved a fortune in payment fees. Frank Cannon Stopped taking cards two years ago. I reckon it’s cost me a couple of viewings but big savings on fees and potential for fraud or chargebacks. Everyone seems fine with bank transfer. Anglo9 Bank transfer is so much easier and cheaper. We did have two customers asking if we accept PayPal, which I didn’t expect! BMX Bandits

I’m struggling to make any sense of commercial vehicle auction prices Are you finding the auction prices of commercial vehicles during this lockdown worse than before? I’m seeing things go at pretty much retail! Just leaves me scratching my head, like surely you can’t make money on that! It’s not like there’s a shortage of commercial vehicles out there. LSP Vehicles I’ve realised of late that if I want to stay in the game I’ve got to pay good money. I’m paying well over book for nearly everything I buy. I always hear stories of the ones they’ve nicked when I wasn’t there. Hard times and it’s not getting any easier. Phil K Personally, I think all the guides are way off. Retail is the new CAP Clean.

Frank Cannon

Very low stock of six-month-old and pre-reg Transporters. Factory order is the way to go at the moment and even then they are delayed. My new van was supposed to be here last month but I doubt I’ll see it until March. MrC

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DASHBOARD

SUPPLIER NEWS

A ROUND-UP OF WHAT’S BEEN HAPPENING ACROSS THE COUNTRY GARDX INTERNATIONAL

Products partnership agreed with Renault

GARDX International has told of its delight at a new partnership that it has forged with Renault Retail Group involving vehicle protection and digital products. Victor Coutin, managing director of GardX International, said: ‘This is a great partnership announcement for GardX. We look forward to providing new experiences for their sales force and delivering innovative products and solutions to their customers.’

MOTORWAY

Dealer transport costs cut in half for February CAR dealers are being given unlimited half-price vehicle transport throughout February from Motorway. The marketplace for privately owned used cars said that with vehicle transport and logistics still creating challenges during the lockdown, its promotion was aimed at helping further support its dealer community. Motorway says it will cover the remaining cost, with the dealers only being charged 50 per cent of the normal rate on invoicing.

CD AUCTION GROUP

STARTLINE

HEYCAR

Listing and sellers’ fees dropped for time being

Near-prime PCPs ‘set to see major growth’

Coverage of FA Cup is sponsored on BT Sport

NEAR-PRIME PCPs will probably be the motor finance sector’s major growth area this year. Startline Motor Finance made the prediction, saying there was a rise of about a fifth for its version of the product towards the end of last year, with the trend continuing into January. Chief executive Paul Burgess said the trend was also being powered in part by better online handling of motor finance by dealers and other introducers.

HEYCAR has signed up as official broadcast sponsor of this season’s Emirates FA Cup on BT Sport. The exclusive partnership will see it sponsor all of BT Sport’s FA Cup broadcast coverage as well as live streams across apps and online. Chief marketing officer Tracy Woods said: ‘With the nation remaining in a prolonged state of lockdown, how we reach our target customers and ensure we continue to build awareness is key.’

CD AUCTION Group has dropped listing and sellers’ fees on its dealerto-dealer platform. It said the support for dealers using Vehicle Tradex would be in place for the foreseeable future to help them find and sell stock efficiently. Operations director Andy Pearce said: ‘Dealers are still struggling to find quality stock, and we have put in place this support package to help them manage the process digitally.’ 82 | CarDealerMag.co.uk

If you want to do SEO properly then it’s a journey that never stops, with many challenges, wins and losses.

Ben Garside p95

Gallagher Automotive Specialist Insurance for the Motor Trade Experience is key - and you need a specialist insurance broker who’ll take the time to understand the specific needs of your motor trade operation.

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Get in touch to discover how we can help your business. Would you like to talk? T: +44 (0) 800 612 2284 E: automotive_enquiries@ajg.com www.ajg.com/uk

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FEATURE.

THE GADGETS TO GET YOUR HANDS ON THIS MONTH

The world of gadgets is a fast-paced one, with new and more innovative products hitting the market all of the time. We’ve picked out some of the best that we’ve seen this month.

Mate X

£1,499 The White Company Car Scent Diffuser

Pioneer SPH-DA120

Belkin Car Vent Phone Mount

WHO doesn’t like a freshsmelling car? The number of car scents and fresheners on the market today is as long as your arm, but our pick comes from The White Company. The aluminium stick clips on to one of the interior vents and, after choosing a scented oil for the filter, will gently fill your car with one of the White Company’s trademark scents.

SO MANY new cars are fitted with more complex and elaborate systems that it’s often forgotten how easy it can be to upgrade existing cars. One of the simplest ways is by fitting a new head unit, and the Pioneer SPH-DA120 is one of the most tech-laden. It boasts Apple CarPlay and is compatible with Android devices too.

A good phone mount is a necessity in a modern car, particularly if you rely on your mobile for navigation. The Belkin Car Vent Mount is one of the best we’ve found, providing a sturdy holder for your phone, which then slots into the car’s air vents. It doesn’t break the bank, and it keeps you on the right side of the law as well.

£15

£349.99

Car dealer new strip ad Revised

4/4/18

12:01

Page 1

Excellent variety of weekly stock from premium sources

The Fleet Auction Group

Fixed cost buyers premium User friendly website & stock locator. On-line bidding

Professional Vehicle Auctions for Professional Vendors & Buyers

www.fleetauctiongroup.com

£19.99

THE popularity of the electric bike is on the up, with many people flocking to these battery-assisted cycles as a way to get into life on two wheels but with the added safety net of electric power for when the road gets hilly. The Mate X – from Denmark-based Mate.Bike – is a foldable e-bike, meaning it’s ideal for those who want to get on the move quickly. Plus, you can store it in the back of the car without any trouble at all. Without the limitations of a conventional and bulky regular e-bike, the Mate X opens up a world of opportunities.

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

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DASHBOARD

BUSINESS NEWS

A ROUND-UP OF WHAT’S BEEN HAPPENING AROUND THE UK SUPPORT

Insolvencies drop but warning is sounded

CORPORATE insolvencies in Scotland were lower last year than they were in 2019, thanks to Covid-19 support from the government. That’s according to KPMG’s restructuring practice, which said its analysis showed there were 466 company insolvencies during 2020 – 25 fewer than in 2019. The number of corporate administrations, meanwhile, went up by five to 56.

LOAN SCHEME

Three held over suspected £6m scam claims THREE men have been arrested following a £6m Bounce Back Loan fraud probe after they were said to have used specialist knowledge to carry out suspected scams. The City workers are believed to have used false data and documents to make bogus claims for the loans designed for small businesses. The National Crime Agency said that all three worked for the same London financial institution. They were released while inquiries continue into the extent of the alleged fraud and to find out whether other people were involved.

PRICES

Inflation bounces higher than expected

DEFICIT

Income tax and VAT hikes ‘likely post-Covid 19’ RISES to national insurance, income tax and VAT could be required to help balance the government’s books, the head of an influential think tank has said. Paul Johnson, chief executive of the Institute for Fiscal Studies (IFS), argued that changes to smaller taxes, such as stamp duty and council tax, could help push down the size of the Covid-19 deficit in the coming years. But taken alone they’re unlikely to make enough of a dent in the £60bn that the IFS believes will be required in the future to help the economy recover.

UK inflation increased in January on the back of higher food prices and more expensive household goods, according to latest official figures. The Office for National Statistics said Consumer Prices Index inflation increased to 0.7 per cent from 0.6 per cent in December. The figure was ahead of analyst expectations, with economists having predicted 0.5 per cent.

WE HERE FOR FORYOU YOU WE ARE HERE 86 | CarDealerMag.co.uk

PANDEMIC

Economy shrinks at its fastest rate for 99 years

MORE THAN JUST A

FINANCE COMPANY THE UK economy slumped at its fastest rate since 1921 last year, thanks to the pandemic forcing thousands of businesses to stay shut for months. Gross domestic product fell by 9.9 per cent, the Office for National Statistics revealed on February 12. But the economy still looks set to avoid what could have been its first double-dip recession since the 1970s, after car sales contributed to a 1.2 per cent growth in December, despite severe restrictions across the UK.

TALK TO US TODAY. 0115 946 6260 enquiries@frfl.co.uk frfl.co.uk/car

POLL

‘Extend furlough and rates schemes’ FURTHER extensions to the furlough and business rates relief schemes are being urged. It follows a poll of 1,154 business managers that showed 36 per cent of them believed the government hadn’t done enough to help firms through the pandemic. The study by the Chartered Management Institute for the PA news agency also revealed that firms in London and Scotland felt most let down.

just a phone call away. CarDealerMag.co.uk | 87

DASHBOARD

INDUSTRY VIEWS NEWS AND THOUGHTS FROM SOME OF OUR CAR DEALER LIVE GUESTS

We’re seeing on average, based on proxy data, that retailers are selling at around 66 per cent of what they were doing in January last year. Nathan Coe Auto Trader

POLESTAR UK

Subscriptions could surprise people over EVs

POLESTAR UK CEO Jonathan Goodman outlined the company’s thinking behind offering UK customers a subscription model for its electric vehicles. ‘A lot of people haven’t experienced electric cars and they have lots of questions. ‘If we can offer them a subscription model that gives them total clarity – this is what you pay a month and the only additional cost is the cost of charging – they will be pleasantly surprised at how much they can save over an equivalent petrol car.’ But he added: ‘As a new start-up it’s something we’re not looking at right now as demand is outstripping supply.’

CAZANA

AUTO TRADER

Sales figures so far are quite an achievement

Retailers are split into two camps over lockdown

CAZANA director of insights Rupert Pontin shared the figures it had seen so far in 2021 and explained how there was positivity despite the difficult start. He said: ‘The beginning of the year is often interesting because a lot of dealers will want to offer a sale to promote business. That can affect your figures and how the market reacts over the course of a month. ‘This year has been quite different. So in comparison with lockdown one we’re in a different place, because people can still buy a car – and they can still have it delivered. From a transactional point of view, we’re probably looking at sales figures of around 70 per cent of what they would ordinarily be. That’s quite an achievement.’

CEO of Auto Trader Nathan Coe said the rate of sales in the latest lockdown was currently at two-thirds of last year’s figures – above the prediction of 50 per cent that it made at the beginning of the year. ‘We’re seeing on average, based on proxy data, that retailers are selling at around 66 per cent of what they were doing in January last year. It’s definitely down, and it’s definitely down a serious amount, but you’d expect that.’ He added that Auto Trader had ‘seen a split of dealers’, saying that there were those who had embraced ‘that this is just the way it’s got to happen because we’re locked down and restricted’ and ‘those who have said they will wait it out’.

88 | CarDealerMag.co.uk

The latest from our fleet. Long-termers: p105

Watch our Car Dealer Live broadcasts as they go out or catch up on any that you’ve missed at: cardealermagazine.co.uk/live

The beginning of the year is often interesting because a lot of dealers will want to offer a sale to promote business.

Rupert Pontin Cazana

MARSHALL MOTOR GROUP

There’s been such an unbelievable evolution MARSHALL boss Daksh Gupta praised his team for how they’d evolved during the pandemic. And he told how sales had evolved as well, saying: ‘If you’d asked me would we be selling, as we have done so far this month, over 6,000 vehicles without a customer coming into our showrooms, I would have said you’d been smoking some high-grade stuff. ‘We’ve also taken 170 orders where customers have put their credit card details in and reserved online. ‘Again, if you’d said that to me a year ago, I would have been saying the same thing.’

CAMBRIA AUTOMOBILES

Manufacturers need to go easy on the dealers CEO of Cambria Mark Lavery called on car manufacturers to ease up on dealers operating in ‘incredibly difficult’ conditions. He told how one car manufacturer had called him that week and demanded he change his entire demonstrator fleet – at a time when dealers aren’t even allowed to give test drives. ‘In the national sales companies there may be a lack of understanding as to what we are putting our people through every day,’ he said, adding: ‘We are on the front line with our people every day – the OEMs are sat typically behind a Microsoft Teams meeting or Zoom, so they are not experiencing what we are seeing every day, like Track and Trace.’

If you’d asked me would we be selling over 6,000 vehicles without a customer coming into our showrooms, I would have said you’d been smoking some high-grade stuff. Daksh Gupta Marshall Motor Group

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FEATURE

The hyper-specialist car dealers making their money from weird and wonderful motors Tom Barnard chats to the people making a living from selling cars you’d think no one would want.

or most dealers, variety is the spice of life. Having an ever-changing flow of different stock on the forecourt is one of the great attractions. But there are others who prefer to have just one type of car in stock. Not just one brand, or a certain style of car, but one single model that the rest of us might possibly have dismissed as bangers or too weird or just an unreliable liability. These thriving hyperspecialist car dealers scour the country for the best examples, scooping them up cheaply and using their specialist knowledge to fix any common issues. They then feed them to willing buyers from across the country. We caught up with five dealers to see how they came to be specialists and get their tips on becoming a success.

Jeepster’s website 90 | CarDealerMag.co.uk

JEEP WRANGLER SPECIALIST Andrew Sacre

WHILE some dealers become specialists by accident, others such as Andrew Sacre set out from the start to concentrate on just one car. ‘I left the electronics business and had enough money to set up a business doing something with cars, which is something I’ve been passionate about since I was a kid,’ he told Car Dealer. ‘I started off selling Audi A4 convertibles as I realised I could specialise in them and offer buyers a far better choice in one place than they’d get at a main dealer.’ He’d have around 20 in stock and the business was a success, but the A4 got a little old and the A5 which replaced it wasn’t so good for Andrew. He shifted the emphasis to the Jeep Wrangler, and still keeps around 20 in stock at any one time. ‘I was always fascinated by them,’ he says. ‘I used to cut out pictures of cars from brochures when I was a kid and stick different wheels on them. Now I’m 55 and doing it to real cars.’ These modifications are key to the appeal of his

stock, says Sacre. ‘The main dealers don’t want to touch anything that’s been modified, but I struggle to sell anything which is standard. I change the wheels, add LED lighting and upgrade the interior.’ As with the other specialists, the key seems to be ensuring the cars are presented in perfect condition. ‘I find the whole idea of having to deal with warranty claims a bit depressing,’ he says. ‘So I make sure the cars are right first time. That keeps me and the customers happy and no one wastes any time.’

The main dealers don’t want to touch anything that’s been modified.

Main image: Trophy Cars, Google

MGF AND TF SPECIALIST

MERCEDES E-CLASS W124 SPECIALIST NICHOLAS Froome is widely considered to be one of the pioneers of the ultra-niche car selling business, having started dealing exclusively in Mercedes W124 estates 17 years ago. ‘I was thinking about starting to trade cars and asked the advice of a business owner who looked after my classic Triumph,’ he said. ‘He told me to stick to what I know. I’d owned a W124 for about six years so I decided I’d give them a try. I actually went to go and see my first car for stock and on the way spotted another with a ‘For Sale’ sign in the window. I ended up buying them both.’ His simple formula was to buy cars that he liked and prepare them to a standard that would make him happy. Forming good relationships with suppliers is crucial to getting the business model right, he says. ‘One year I saw I’d spent £70,000 with my tyre guy. That was a bit of a shock, but I knew I’d sold all my cars in a condition I’d have been happy with,’ he told Car Dealer. Froome has now given up trading almost entirely and moved into an unrelated business. ‘I loved the travelling to find cars and talking to such a wide variety of interesting people, he says. ‘But the supply of good cars dried up and I didn’t have the expertise in anything else. I tried BMW

Nicholas Froome E39s for a while but they are just not the same proposition as the Merc.’ His advice to anyone looking to specialise is to know the product inside and out. ‘Learn the good and bad points. Find out who your clientele is going to be and look for a niche which works for you. Then surround yourself with good, reliable suppliers who will support you.’

‘I loved the travelling to find cars and talking to such a wide variety of interesting people.

REGULAR users of the A1 will recognise the landmark that is Trophy Cars, with its everchanging line-up of brightly coloured MGFs and later TFs. Director Kevin Marks started the business after buying a first car for his girlfriend. He told Car Dealer: ‘I looked at Fiestas and Corsas but, being a girly girl, she spotted a little MG and fancied that so we bought it. Then an Audi wrote it off and the insurance paid out twice what it cost us. ‘When we looked for a replacement, I noticed there were a lot of these cars advertised with head gaskets gone for not a lot of money. So I bought one for her but spotted another nice white car too. ‘I worked in a Land Rover workshop at the time so knew how to do the head gaskets. I did them both, advertised them and sold the girlfriend’s car to the bloke who came to see the white one. ‘Then that sold easily too, so I realised I was on to something.’ He went back out and found more MGs, trading them from home and then from a unit. Trophy now has a 70-car forecourt and indoor showroom, selling around 225 cars a year. The business has diversified to sell accessories as well. What’s Kevin’s advice to anyone wanting to specialise? He says: ‘Buy the best you can. Then put in the hours of prep and put the price up. No one wants to see rust or kerbed alloys, but people will pay for a nice example of anything.’

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FEATURE BIG CITROENS SPECIALIST IF THE average dealer gets a big Citroen as a part-ex they’d run a mile, but Danny Pearcey can’t get enough of them. ‘I scour all of the advertising sites every morning and evening but they’re getting rarer and rarer,’ he says. His customers love big, hydro-pneumaticallysprung Citroens and are prepared to travel – and pay – for the best. His business, Wolsey House Motors, has been selling and fixing big Citroens in the small Norfolk town of Wortham for more than 30 years. It currently has six C6s and seven C5s in stock. His prices make no sense if you consult a trade guide, but buyers are willing to pay for the best. He said: ‘We know what goes wrong with Citroens so we fix it before it breaks. In fact, we probably go over the top, but it means customers trust us and I’ve never had a car returned to me.’ Pearcey also has barns filled with XMs and CXs that were bought when the cars were almost worthless. ‘I’m now pulling those cars out and recommissioning them for sale,’ he said. ‘A few years ago no one wanted petrols so we converted a lot of cars to diesel engines. Now we are changing them back again!’ His advice for specialists is to build up contacts in the trade so other dealers know you will underwrite a car, and to make sure you are passionate about the model. ‘It takes years to build up the knowledge, so it helps if it’s a car you really like, or you’ll get bored pretty quickly,’ he added.

Mark Smith

Danny Pearcey

Citroen XM

LAND ROVER DISCOVERY 4 SPECIALIST Mark Smith from Woodside Garage in Maulden, Bedfordshire, has been selling and servicing Land Rovers since 1977 but recently became the biggest Discovery 4 dealer in the UK – almost by mistake. ‘We didn’t really set out to specialise in them,’ he says. ‘But demand for the 4s had been growing steadily and shot up in the lockdowns as people wanted to do more lifestyle things with the family and the Disco can do it all. ‘So we find ourselves in the situation where 90 per cent of the cars we sell now are Discovery 4s.’ Woodside had 31 D4s in stock at the time of writing and they are selling to people from all over the country. ‘People aren’t stupid – they read reviews and know we can be trusted,’ said Smith. ‘So they will travel to get the right car.’ Land Rovers have a reputation for being troublesome, but Woodside’s workshop has the expertise and

92 | CarDealerMag.co.uk

‘A few years ago no one wanted petrols so we converted a lot of cars to diesel engines. Now we are changing them back again!’

equipment to go through the cars before sale and make sure they are fully serviced, with common faults treated to a bit of preventative medicine. For example, the electric handbrake modules commonly fail so they are stripped down and checked before going to a new customer. Although many of Smith’s customers are trading up from other smaller and older Land Rovers, he’s not seeing much demand for the Discovery 5. ‘It doesn’t have the same sort of following,’ he says. ‘We have one guy who told us he has a 4 and a 5 and he walks past the newer car to drive the 4 as he just prefers it. ‘And there’s the problem with the look of the Discovery 5’s back end of course. We had one in stock and we had to fit a modified rear panel to make the numberplate central. Then we eventually sold it.’

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DASHBOARD

FINANCE NEWS REVIEW

Urgent changes are called for in unsecured credit market

egulation of the buy-now pay-later (BNPL) sector is one of a host of changes urgently needed to make the credit market fit for the future, according to the Woolard Review. The review into the unsecured credit market was chaired by Christopher Woolard, the Financial Conduct Authority’s former interim chief executive, and was commissioned by the FCA Board. UK households have nearly £250 billion of outstanding consumer credit debt and more than 42.5 million people used consumer credit in 2019. Recommendations in the review, published on February 2, include: • The regulation of unregulated BNPL products • Secure and long-term funding for free debt advice services • More alternatives to high-cost credit Woolard said: ‘Most of us will use credit at some point in our lives, so it’s vital that we have a fair market that works for everyone. New ways of borrowing and the impact of the pandemic are changing the market, with billions of pounds now in unregulated transactions and millions of consumers at greater risk of financial difficulty. ‘Changes are urgently needed to bring BNPL into regulation to protect consumers, to ensure that there is secure provision of debt advice to help all those who may need it and to maintain a sustained regulatory response to the pandemic. ‘Alongside these urgent issues, the review sets out a series of recommendations for how the FCA, working with partners, can build a better market in future.’ The FCA said it welcomed the review, with chairman Charles Randell commenting: ‘Unaffordable credit can damage the lives of people who are already struggling to manage everyday expenses. While we have made progress in reducing unaffordable debt in the years before coronavirus, the pandemic has had an unequal impact on households. ‘Many people have been able to reduce their debts, but some of the poorest in our society have exhausted any savings or run up more debts. ‘All the authorities which cover debt and debt advice must act together systematically to prevent problem debt and to help people get out of a spiral of debt through properly funded debt advice. Regulation should be consistent and the review shows how we can ensure high standards in consumer credit regardless of the form of credit.’

AWARD

First Response repeats platinum Feefo triumph VEHICLE finance company First Response Finance is celebrating after receiving the Feefo Platinum Trusted Service Award for the second year in a row. Platinum awards are given to businesses that have achieved the gold standard from the customer review provider for three years running. Feefo enables businesses to collect genuine, purchaseverified customer reviews and insights to increase consumer confidence and help firms to learn and continuously develop systems. First Response Finance marketing manager Ben Garside, who writes for Car Dealer every month (read his latest column on the opposite page), said: ‘We’re delighted to be awarded the Platinum Service Award by Feefo for the second year in a row. ‘It falls perfectly into being “Customer Driven”, which is one of our company values, and receiving this award shows that we are truly living our vision and values. ‘This is a great recognition for all of our hard work, especially during such a challenging year.’

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IN ASSOCIATION WITH

TIME IS MONEY BEN GARSIDE

A MONTHLY LOOK AT THE WORLD OF AUTOMOTIVE FINANCE AND MARKETING

Steel yourself if you want to conquer Mount Google

Ben Garside is marketing manager for First Response. Call him on 07817 518739 or email ben.garside@frfl.co.uk

e recently had a few search engine optimisation (SEO) challenges that the marketing team and I had to deal with. We then had to relay the outcome, reasoning and workload to others around the business, and as anyone who is involved in SEO will know, this isn’t an easy task. Over the years, I’ve learnt that most people assume SEO is easy, and many believe that simply adding some keywords in the metadata or following a onepage hint and tips sheet will get you to the top of Google and, as such, anyone can do it. Trying to advise on what gets you there – especially to someone who doesn’t understand SEO at all – is almost impossible. I’ve been asked many times by friends and acquaintances: ‘What do I need to do to get to the top?’ My response has been: ‘Well, it depends...’ then I proceed to ask a ton of questions and give them a vast range of things to work on and measure. To the reply ‘I don’t have time for all that!’ my response is usually along the lines of ‘SEO is for life, not just for Christmas. If you want to do SEO properly then it’s a journey that never stops, with many challenges, wins and losses, but when you get it right it can be extremely rewarding!’ Many don’t even understand that there are multiple areas of focus for SEO, so here they are: • Technical SEO – This refers to optimising your site and site structure so search engines can crawl, index and understand your site in a quick and efficient manner. If you have poor technical SEO and the rest of your site is well optimised, you won’t benefit from great search engine results. • On-site or on-page SEO – This refers to optimising your content both for search engine rankings as well as for users. You will need to have keyword-driven, wellwritten and readable content, title tags, URLs, alt tags, headings and subheadings, buttons, etc. • Off-site or off-page SEO – This refers to optimising links into your website, which can be done via partner websites, building PR plans and optimising the anchor text. It can also mean building a good and consistent social media presence, becoming an authoritative figure or using them to link to your site, or having a good number of positive reviews on third-party review sites. For those of you looking to implement an SEO strategy or bring an agency in to work on your SEO, you should know that fulfilling the above areas is just the start and it should be used as a foundation, then you must develop, trial, rework everything that you do. Once you start down the SEO path, it’s Search Engine Optimism time all the time!

SEO is for life, not just for Christmas.

just a phone call away. CarDealerMag.co.uk | 95

OPINION

Here are 10 reasons why I think there’ll be a rapid recovery in car sales when lockdown ends Low levels of debt, record amounts of savings plus a healthy dose of pent-up demand could all help towards a big comeback, predicts James Baggott

he new car market may have suffered a near-40 per cent drop in January but with showrooms closed and test drives frowned upon, is that any surprise? The fact dealers managed to achieve that level is impressive in itself and demonstrates a resilient, imaginative and talented industry that has adapted quickly to keep going. But with restrictions looking more and more likely to impact on March’s new registration plate change, what could happen to car sales this year? I’ve been chatting to plenty of car dealers, manufacturers and industry experts over the past few weeks and while they all admit times are tough right now, there’s an increasingly positive underlying sentiment among them. There’s hope things will get better rapidly once restrictions are lifted and I’m inclined to agree with them. While these are merely my personal predictions, I’ve thought long and hard about the reasons why I believe car dealers have reasons to be cheerful. I could be accused of looking on the bright side, but I’ll make no excuses for a little dose of optimism. 96 | CarDealerMag.co.uk

2020 WASN’T ALL THAT BAD

Despite car dealerships being closed for three months of the year, tiered restrictions and different rules for the regions, many car dealers are reporting impressive numbers. A heady mix of furlough, business rates holidays, the opportunity to cut costs, rising used car prices, a boom in demand and the death of pre-reg saw many dealers chalk up record years. One group boss told me his 2020 numbers would be ‘historic’. That’s hardly a disaster is it? Expect to see more of that as numbers for last year are released.

LESSONS HAVE BEEN LEARNT

Car dealers have adapted quickly. Online sales are rapidly becoming the norm and customers like being able to do much of the car sales process at home. While at the moment they’re forced to do it, when restrictions are lifted and customers are able to do both digital and physical visits, the opportunity for dealers will be vast. Digital sales, facilitated by fewer staff, also keep costs lower.

SAVINGS ARE HIGH

While many people have sadly lost their jobs, the numbers haven’t been quite so great as many experts feared. Those who have remained in work have stashed away more money than ever before, with the Bank of England revealing that consumers have £125bn in their savings accounts. The Bank predicts £6.5bn of that will be spent as we emerge from lockdown – and I can see many using the funds to splash out on a new car.

CONSUMER DEBT IS LOW

Discretionary spending is at an all-time low as households are only able to buy essential items since the majority of shops are closed. They can’t go out to eat or drink either, meaning they’re spending the cash they’d otherwise be frittering away by paying off debt instead. Consumer levels of debt have plummeted while record-low interest rates mean there are great deals to be had. An attractive car finance offer could tempt buyers as we emerge from restrictions.

HOUSE PRICES HAVE REMAINED HIGH

One of the main reasons consumer confidence hasn’t dropped too far is because house prices have remained buoyant. The stamp duty holiday has helped fuel the market, and while prices dipped an insignificant 0.3 per cent in January, they have enjoyed seven consecutive months of growth. When people’s homes grow in value, they feel wealthier and are more likely to spend out on other things – cars included.

NO ONE IS GOING ON HOLIDAY

There’s next to no chance that the family holiday to Spain or Greece is going to happen this year and for many families that represents a huge saving. If they’re opting for a staycation instead then they might choose to upgrade the family wheels for something more suitable or reliable. If they’re saving thousands by not going at all, they might choose to use that cash for buying a new car instead.

MORE PEOPLE ‘NEED’ A CAR

Most people have been avoiding public transport and I can’t see that trend changing any time soon. The pandemic has scared people into their own personal spaces and more people have bought a car to get around – at all price points – instead of hopping on a train or bus. As the pandemic eases, social distancing and masks are likely to remain commonplace and so too will the trend for wanting personal transportation.

A new vehicle makes people feel good – and right now we all need that.

REVENGE BUYING IS A THING

It’s a phrase used by many now and characterises the fact that many people are taking ‘revenge’ on the pandemic by cheering themselves up with a new car purchase. Lockdowns have been depressing and for those working at home, getting out and about in the future will be even more important. While they might not be travelling to the office, leisure and recreational journeys will be more important than ever and I can see plenty of people wanting a new car to do that. Plus, a new vehicle makes people feel good – and right now we all need that.

TIMES ARE CHANGING

Unless you’ve been hiding under a rock, the government has announced the ban of new petrol and diesel car sales by 2030. That’s not far away. People will be thinking about changing to electric now, and if they’re not they will be very soon. As the choice in the market increases, the chance of them being tempted to change will only go up as well. Manufacturers are unveiling more exciting electric cars every week – and the appeal of swapping to some new tech will just grow stronger.

DEALERS WILL BE OPEN AGAIN

Car dealers managed to achieve 60 per cent of normal sales in January – which considering no one could see the car before they bought it is remarkable. Imagine what it will be like when car buyers can try before they buy again. Like it or not, many consumers are putting off purchasing because they want to test-drive the cars, or at the very least sit in one before buying. Many buyers will be spending this lockdown researching their next car and will be biding their time to buy when dealers open again. Which, hopefully, won’t be long before it happens.

What do you think? Am I right or wrong? If you’re a member of the Car Dealer website you can comment on this story and let me know what you think.

Daksh Gupta gives a few ideas for the list

CarDealerMag.co.uk | 97

EXTRA COVER ACQUISITION

Safeguarding your future: Gallagher strengthens its insurance and risk management offering for car dealers G

lobal insurance broker Gallagher recently announced that it had acquired the Bollington Wilson Group, providers of motor trade insurance under the Bollington Insurance and ChoiceQuote brands. Gallagher’s existing automotive practice encompasses associations with industry bodies the RMI, IMI and SMMT, while Bollington has almost 50 years’ experience in providing bespoke insurance solutions and products for dealers. The deal brings together two of the most respected names in motor trade insurance broking, but what does this mean for dealers across the UK? We spoke to Daniel Little, an account executive of the automotive practice at Gallagher, and Pauline Brookes, head of corporate motor trade at Bollington, to find out how this deal benefits our sector. Challenges lead to change It is no secret that the motor industry has endured a tough time since the onset of the coronavirus pandemic, with dealers across the country forced to close their premises during successive national lockdowns, and new and used car sales affected in the process. However, dealers have been proactive, increasing the pace of online click-and-collect sales and taking advantage of pent-up demand – particularly in the used car market – following the first lockdown in 2020, to recover some of the losses. None of this was foreseeable before 2020, yet businesses have largely risen to the challenge and adapted to circumstances. Through all of this, the need to be insured on the correct basis – and to manage risks effectively – has never been greater. Specialist knowledge Against this backdrop, Gallagher’s acquisition of Bollington aims to provide the best of both worlds: the backing of one of the leading global insurance brokers with motor trade expertise, allied to Bollington’s in-depth knowledge of all motor trade sectors. Daniel said: ‘Our priority has always been to address the specific needs of our car dealers, providing innovative solutions to issues faced. Acquiring Bollington has opened up access to a nationwide network of specialist account managers, supercharging our presence in the sector and bringing us closer to dealers across the UK.’

98 | CarDealerMag.co.uk

We moved quickly to work with insurers to allow unaccompanied test drives wherever possible. Pauline Brookes, head of corporate motor trade at Bollington For more information please contact:

T: 0800 612 2284 E: automotive_enquiries@ajg.com W: www.ajg.com/uk/automotive

...in association with Gallagher

Our priority has always been to address the specific needs of our car dealers. Daniel Little, account executive at Gallagher

Bollington’s detailed knowledge and experience has served dealers well during the pandemic. ‘It was obvious early on that test drives would be impossible to conduct safely with appropriate social distancing,’ explained Pauline. ‘So, we moved quickly to work with insurers to allow unaccompanied test drives wherever possible, providing advice to dealers on security in the process.’ That was just one concern, though. ‘During lockdowns, many dealers have been forced to leave premises unoccupied, with increased security concerns for buildings, stock of vehicles, and contents,’ she continued. ‘Again, we looked to extend cover for unoccupied premises wherever possible.’ Access to a wide range of motor trade insurers and products through Bollington, allied to Gallagher’s core service values and existing relationships with dealers, means that dealers across the country can receive the individual attention they need to protect their business. ‘We have all faced difficult times recently, but we are determined to help dealers of all sizes succeed in the future,’ said Daniel. ‘That’s why it’s important for us to offer tailored solutions. No two dealers are the same, and with a network of account managers, Gallagher can deliver the personal service they deserve.’ Examples of where Bollington has helped include Covid-19 secure risk assessments tailored to car dealers, Covid-19 testing, private medical insurance, and an adaptive approach to financing insurance for businesses suffering issues with reduced turnover over the past 12 months. ‘Gallagher’s acquisition of Bollington benefits dealers, as we combine our experience and offer a wide range of insurance and risk management support,’ said Pauline. Daniel agreed, saying: ‘Gallagher is proud to support the industry, and our aim is to continue to offer the highest levels of service possible to car dealers across the country.’ With Gallagher holding over £32m of gross written insurance premiums under management in the UK motor trade sector*, the deal with Bollington brings an additional 10,000-plus motor trade clients on board. This allows for dealers of all sizes and types to benefit from the collective knowledge and experience of award-winning teams**, from sole traders to national businesses.

About Gallagher Founded by Arthur J. Gallagher in Chicago in 1927, Gallagher has grown to be one of the leading insurance brokerage, risk management, and human capital consultancy companies in the world. With a truly global reach, our organisation employs over 33,000 people and our international network provides services in more than 150 countries. Our values are core to our culture. Passionate service, strategic innovation, and ethical behaviour form the basis of how we do business. ajg.com/uk gallagher-uk @GallagherUK Arthur J. Gallagher Insurance Brokers Limited is authorised and regulated by the Financial Conduct Authority. Registered Office: Spectrum Building, 7th Floor, 55 Blythswood Street, Glasgow, G2 7AT. Registered in Scotland. Company number: SC108909. FP953-2020

* Source: Acturis ** https://cardealermagazine.co.uk/publish/trade-insurance-provider-of-the-year-car-dealer-power-awards-2020/204402 ** https://www.bollington.com/bollington-insurance-are-2020-insurance-times-awards-winners/

CarDealerMag.co.uk | 99

DATA FILE

STATISTICS

SMMT

SALES DATA

THE LATEST REGISTRATION FIGURES

JANUARY/YEAR TO DATE

DOWNGRADE

Worst start to year since 1970 as sales drop by 39.5 per cent

TOP

THE CARS SOLD IN JANUARY 2021

by John Bowman john@blackballmedia.co.uk

anuary saw the worst start to a year for new car sales since 1970 as showroom closures meant just 90,249 vehicles were registered – a 39.5 per cent drop on 2019, latest figures from the SMMT showed. That was 59,030 fewer registrations versus the same month last year, according to the SMMT. A total of 84,807 cars were registered in January 1970. Demand fell last month for private buyers – down by 38.5 per cent – and large fleets (39.7 per cent). Declines were also recorded for petrol and diesel cars registrations, dropping by 62.1 per cent and 50.6 per cent respectively. There was, however, a positive note, said the SMMT, with battery-electric vehicle (BEV) uptake growing by 2,206 units (54.4 per cent) to take 6.9 per cent of the market. That was helped by the number of available models almost doubling from 22 in January 2019 to 40 in 2021. BEVs and plug-in hybrid vehicles (PHEVs) together accounted for 13.7 per cent of registrations. The SMMT had expected more than two million new cars to be registered in 2021, but because of the current lockdown this has now been downgraded to below 1.9m. It’s still a 15.7 per cent increase of on what the SMMT has dubbed 2020’s ‘lost year’, though. The trade body added that there could be no let-up in the pace of environmental improvement, since the industry has to achieve a UK-only CO2 fleet average target of 95g/ km this year or face severe penalties. That underscores the need to get showrooms open as soon as Britain emerges from lockdown, so they can generate the demand needed to reach the country’s green goals, it said. SMMT chief executive Mike Hawes said: ‘Following a £20.4bn loss of revenue last year, the auto industry faces a difficult start to 2021. ‘Lifting the shutters will secure jobs, stimulate the essential demand that supports our manufacturing, and will enable us to forge ahead on the Road to Zero. ‘Every day that showrooms can safely open will matter, especially with the critical month of March looming.’

Vauxhall Corsa was January’s best-selling new car

THE Vauxhall Corsa has taken an early lead in the race to be 2021’s most popular car after coming out on top in January’s best-sellers list. The supermini notched up 3,078 registrations while its perennial arch-rival, the Ford Fiesta, finished in fourth place with 2,594. Ford as a whole registered 8,706 cars in January – a figure down by nearly 47 per cent compared with the same month last year.

Model Vauxhall Corsa

3,078

Kia Sportage

2,986

Nissan Qashqai

2,835

Ford Fiesta

2,594

Volvo XC40

2,201

Mercedes-Benz A-Class

1,859

Volkswagen Golf

1,779

Ford Puma

1,760

Kia Niro

1,741

Ford Focus

1,686

Vauxhall, meanwhile, experienced a smaller decline of 39.5 per cent. The two volume brands fared much better than some manufacturers, however, as January’s market was down by nearly 40 per cent. The biggest drop was suffered by Fiat, with a 76 per cent decline versus 2020. Other notable drops included Honda, which was down by 70 per cent, and Jeep (65 per cent).

Click here to see our top 10 rolling sales chart for January 2020 to January 2021 100 | CarDealerMag.co.uk

Regs

Van market up LCV news: p102

-76%

+44%

FIAT

PORSCHE

Figures supplied by SMMT

January 2021 Marque

2021

% market share

January 2020 2020

Year-to-date

% market share

% change

2021

% market share

2020

% market share

% change

Abarth

0.07

220

0.15

-72.27

0.07

220

0.15

-72.27

Alfa Romeo

0.09

202

0.14

-58.42

0.09

202

0.14

-58.42

Alpine Audi Bentley BMW Chevrolet Citroen

0.01

-50.00

0.01

-50.00

6,583

7.29

9,760

6.54

-32.55

6,583

7.29

9,760

6.54

-32.55

0.10

178

0.12

-50.00

0.10

178

0.12

-50.00

7,002

7.76

10,078

6.75

-30.52

7,002

7.76

10,078

6.75

-30.52

0.00

1,479

1.64

3,050

2.04

-51.51

1,479

1.64

3,050

2.04

-51.51

Cupra

213

0.24

0.00

213

0.24

0.00

Dacia

834

0.92

1,222

0.82

-31.75

834

0.92

1,222

0.82

-31.75

109

0.12

285

0.19

-61.75

109

0.12

285

0.19

-61.75

Fiat

412

0.46

1,711

1.15

-75.92

412

0.46

1,711

1.15

-75.92

8,706

9.65

16,377

10.97

-46.84

8,706

9.65

16,377

10.97

-46.84

970

1.07

3,190

2.14

-69.59

970

1.07

3,190

2.14

-69.59

3,099

3.43

4,005

2.68

-22.62

3,099

3.43

4,005

2.68

-22.62

0.00

Ford Honda Hyundai Infiniti Jaguar

914

1.01

2,325

1.56

-60.69

914

1.01

2,325

1.56

-60.69

Jeep

165

0.18

472

0.32

-65.04

165

0.18

472

0.32

-65.04

Kia

6,271

6.95

6,284

4.21

-0.21

6,271

6.95

6,284

4.21

-0.21

Land Rover

3,628

4.02

5,613

3.76

-35.36

3,628

4.02

5,613

3.76

-35.36

626

0.69

1,454

0.97

-56.95

626

0.69

1,454

0.97

-56.95

0.06

0.05

-29.58

0.06

0.05

-29.58

748

0.83

2,025

1.36

-63.06

748

0.83

2,025

1.36

-63.06

6,600

7.31

11,130

7.46

-40.70

6,600

7.31

11,130

7.46

-40.70

1,374

1.52

1,846

1.24

-25.57

1,374

1.52

1,846

1.24

-25.57

Mini

1,670

1.85

2,232

1.50

-25.18

1,670

1.85

2,232

1.50

-25.18

362

0.40

1,413

0.95

-74.38

362

0.40

1,413

0.95

-74.38

Nissan

4,633

5.13

8,251

5.53

-43.85

4,633

5.13

8,251

5.53

-43.85

Peugeot

2,931

3.25

5,129

3.44

-42.85

2,931

3.25

5,129

3.44

-42.85

Polestar

326

0.36

0.00

326

0.36

0.00

Porsche

919

1.02

639

0.43

43.82

919

1.02

639

0.43

43.82

Renault

1,581

1.75

2,904

1.95

-45.56

1,581

1.75

2,904

1.95

-45.56 -52.82

Lexus Maserati Mazda Mercedes-Benz

Mitsubishi

Seat

2,454

2.72

5,201

3.48

-52.82

2,454

2.72

5,201

3.48

Skoda

3,088

3.42

4,966

3.33

-37.82

3,088

3.42

4,966

3.33

-37.82

Smart

0.09

0.02

236.00

0.09

0.02

236.00

SsangYong

0.05

103

0.07

-54.37

0.05

103

0.07

-54.37

Subaru

0.03

-38.78

0.03

-38.78

Suzuki

460

0.51

1,794

1.20

-74.36

460

0.51

1,794

1.20

-74.36

Toyota

4,514

5.00

7,903

5.29

-42.88

4,514

5.00

7,903

5.29

-42.88

Vauxhall

5,599

6.20

9,236

6.19

-39.38

5,599

6.20

9,236

6.19

-39.38

Volkswagen

7,569

8.39

13,197

8.84

-42.65

7,569

8.39

13,197

8.84

-42.65

Volvo

3,180

3.52

4,107

2.75

-22.57

3,180

3.52

4,107

2.75

-22.57

Other British

157

0.17

226

0.15

-30.53

157

0.17

226

0.15

-30.53

Other imports

623

0.69

396

0.27

57.32

623

0.69

396

0.27

57.32

90,249

100

149,279

100

-39.54

90,249

100

149,279

100

-39.54

Total

CarDealerMag.co.uk | 101

DATA FILE

FORECAST

LCV NEWS

Sales enjoy rise but 2021 outlook downgraded by John Bowman john@blackballmedia.co.uk 2021 began well for the LCV market as January saw new van registrations rise by two per cent on last year to 24,029, latest figures from the SMMT show. It was the highest-volume January since 1990, when 24,094 sales were recorded, and was also 10.5 per cent ahead of the 21,747 average for January 2016 to 2020. But despite expected growth of the latest, low-emission LCVs, the SMMT’s market outlook has been downgraded because of ‘ongoing challenges’. It now predicts registrations to rise by 17.5 per cent to 343,850 by the end of 2021 – down from the earlier figure of 375,000. The most popular sub-3.5-tonne van in January was the Ford Transit Custom, which saw 2,711 sold.

REGISTRATIONS OF NEW COMMERCIAL VEHICLES LESS THAN 3.5 TONNES Marque

Figures supplied by SMMT

January 2021

2020

Year-to-date

Ford Vauxhall Peugeot

7,348 2,814 2,385

% market share 30.58 11.71 9.93

Mercedes

2,296

9.56

1,558

6.61

47.37

2,296

9.56

1,558

6.61

47.37

2,124 1,872 1,552 1,025 750 508 396 246 174 173 118 93 83 19 17 17 16 3 24,029

8.84 7.79 6.46 4.27 3.12 2.11 1.65 1.02 0.72 0.72 0.49 0.39 0.35 0.08 0.07 0.07 0.07 0.01 100.00

2,172 1,997 662 818 1,019 523 691 95 77 156 277 49 113 14 0 51 55 0 23,557

9.22 8.48 2.81 3.47 4.33 2.22 2.93 0.40 0.33 0.66 1.18 0.21 0.48 0.06 0.00 0.22 0.23 0.00 100.00

-2.21 -6.26 134.44 25.31 -26.40 -2.87 -42.69 158.95 125.97 10.90 -57.40 89.80 -26.55 35.71 0.00 -66.67 -70.91 0.00 2.00

2,124 1,872 1,552 1,025 750 508 396 246 174 173 118 93 83 19 17 17 16 3 24,029

8.84 7.79 6.46 4.27 3.12 2.11 1.65 1.02 0.72 0.72 0.49 0.39 0.35 0.08 0.07 0.07 0.07 0.01 100.00

2,172 1,997 662 818 1,019 523 691 95 77 156 277 49 113 14 0 51 55 0 23,557

9.22 8.48 2.81 3.47 4.33 2.22 2.93 0.40 0.33 0.66 1.18 0.21 0.48 0.06 0.00 0.22 0.23 0.00 100.00

-2.21 -6.26 134.44 25.31 -26.40 -2.87 -42.69 158.95 125.97 10.90 -57.40 89.80 -26.55 35.71 0.00 -66.67 -70.91 0.00 2.00

Volkswagen Citroen Renault Toyota Nissan Fiat Mitsubishi Man Renault Trucks Iveco Isuzu Isuzu Trucks Land Rover Fuso Maxus SsangYong LDV LEVC Total light CV

2021

January 2020 8,331 2,896 2,003

% market share 35.37 12.29 8.50

% change

2021

-11.80 -2.83 19.07

7,348 2,814 2,385

% market share 30.58 11.71 9.93

2020

8,331 2,896 2,003

REGISTRATIONS OF NEW COMMERCIAL VEHICLES 3.5 TONNES TO 6.0 TONNES Marque

Mercedes Fiat Peugeot Ford Iveco Volkswagen Citroen Man Renault Trucks Isuzu Trucks Other imports Renault Vauxhall Total heavy CV

January 2021

2021

84 73 55 37 25 23 6 6 4 1 1 1 1 317

102 | CarDealerMag.co.uk

% market share

26.50 23.03 17.35 11.67 7.89 7.26 1.89 1.89 1.26 0.32 0.32 0.32 0.32 100.00

January 2020

2020

189 51 123 68 18 1 45 3 0 0 0 0 0 498

% market share

% change

37.95 10.24 24.70 13.65 3.61 0.20 9.04 0.60 0.00 0.00 0.00 0.00 0.00 100.00

-55.56 43.14 -55.28 -45.59 38.89 2,200.00 -86.67 100.00 0.00 0.00 0.00 0.00 0.00 -36.35

% market share

84 73 55 37 25 23 6 6 4 1 1 1 1 317

26.50 23.03 17.35 11.67 7.89 7.26 1.89 1.89 1.26 0.32 0.32 0.32 0.32 100.00

% change

-11.80 -2.83 19.07

Figures supplied by SMMT

Year-to-date

2021

% market share 35.37 12.29 8.50

2020

189 51 123 68 18 1 45 3 0 0 0 0 0 498

% market share

% change

37.95 10.24 24.70 13.65 3.61 0.20 9.04 0.60 0.00 0.00 0.00 0.00 0.00 100.00

-55.56 43.14 -55.28 -45.59 38.89 2,200.00 -86.67 100.00 0.00 0.00 0.00 0.00 0.00 -36.35

DATA FILE

SUPPLIERS GUIDE

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HR Manager

Lawgistics

Dealer 360

Warranty Administration Services

W: bca.co.uk T: 0344 875 3480 E: customerservices@bca.com Info: BCA’s remarketing programmes deliver volume, choice and availability for buyers, and speed, efficiency and market-leading returns for sellers.

W: gforces.co.uk T: 01622 391904 Info: GForces delivers class-leading ecommerce solutions. We work with global vehicle manufacturers, the world’s largest dealer groups and independent retailers around the planet.

W: forzafinance.co.uk T: 01245 245678 Info: Benefit from Forza Finance’s expertise, choice of products and lenders. Their personal approach will help you achieve higher levels of finance penetration and, ultimately, sell more cars.

W: hrmanager.co.uk T: 01480 455500 E: info@hrmanager.co.uk Info: HR Manager is Lawgistics’ new digital compliance portal designed to assist employers in managing their legal obligations, responsibilities and duties.

W: ivendi.com T: 0330 229 0028 E: tellmemore@ivendi.com Info: iVendi delivers a fully connected platform that engages consumers, converts buyers and manages transactions of vehicles online and in the showroom.

W: lawgistics.co.uk T: 01480 455500 E: sales@lawgistics.co.uk Info: The legal experts for the motor trade, giving advice and support to our industry for over 15 years. Not anti-consumer, just pro-trader.

W: ben.org.uk T: 0808 131 1333 Info: Ben is a not-for-profit organisation that partners with the automotive industry to provide support for life to its people and their families.

W: dealer360.co.uk T: 01270 780855 E: nicky.spratt@ukturntables.com Info: UK makers of photo booths incorporating our turntables for car, van and motorcycle dealers. Our software controls turntable and cameras – a onestop solution.

W: momentumwarranties.co.uk T: 0330 445 0059 E: support@momentumwarranties.co.uk Info: How long does your warranty company make you wait? We pay claims into your bank within 45 minutes. The most advanced warranty programme in the UK.

W: warrantyadmin.co.uk T: 01522 515600 E: tellmemore@warrantyadmin.co.uk Info: Unlock new profit and aftersales flexibility with Crystal Clear Warranty. Ideal for franchised dealers, groups and independents.

Data

Insurance

Marketing, PR & Video

Vehicle Tracking

Warranty Providers

Real World Analytics

Tradesure

OnCue Communications

Meta Trak

Warrantywise

Finance

Key Control

Marketing, PR & Video

Warranty Providers

Blue Motor Finance

Keytracker

Marketing Delivery

Autoprotect

WMS

W: realworldanalytics.com T: 0808 1890 617 E: auto@realworldanalytics.com Info: We are a SaaS-based data analytics solution provider for multisite dealers. Our business intelligence tools help customers make faster and better decisions.

W: blue.co.uk T: 020 3005 9331 E: dealersupport@blue.co.uk Info: Blue is transforming the car finance market, making car ownership simple and flexible and providing motor traders with access to essential finance.

W: tradesureinsurance.co.uk T: 0121 248 9313 Info: A friendly team in a family-run business, we provide motor trade insurance to full- and part-time motor traders in all areas of the UK.

W: keytracker.com T: 0121 559 9000 E: sales@keytracker.com Info: Established in 1996 and based in the UK, Keytracker Ltd provide an extensive range of key and asset management systems for a wide range of businesses.

W: oncuecomms.com T: 020 8125 3880 Info: We are a leading provider of PR, video and events services to the automotive industry. The PR team has a proven track record of securing high-value, big-impact media coverage.

W: marketingdelivery.co.uk/ T: 01892 599911 E: get.in.touch@marketingdelivery.co.uk Info: Our SocialStock helps target prospects with tailored stock remarketing and social media advertising tools, and automated lead capture for Facebook.

W: metatrak.co.uk T: 020 8867 2340 E: enquiries@metatrak.co.uk Info: Total vehicle security. Clever tracking technology, advanced immobilisation, 24/7 monitoring and an easy-to-use app. Security. Connectivity. Peace of mind.

W: autoprotect.co.uk

T: 01279 406888 E: sales@autoprotect.net Info: AutoProtect offers a full portfolio of award-winning protection products, including GAP. We lead the market with an ‘Excellent’ rating on Trustpilot.

W: warrantywise.co.uk/dealer T: 0800 001 4551 E: dealers@warrantywise.co.uk Info: Warrantywise sells over 100,000 warranties per year. Quentin Willson personally designed Warrantywise to be the UK’s best used car warranty.

W: wmsgroup.co.uk T: 01844 293810 E: sales@wmsgroup.co.uk Info: Open 24/7, we offer award-winning warranty products for FCA- and non-FCA-registered dealerships.

Finance

Key Control

Oil & Lubricants

Warranty Providers

Website Design & Digital Marketing

Close Brothers Motor Finance

Traka

Mobil™

Car Care Plan

Bluesky Interactive

W: closemotorfinance.co.uk/ Info: Close Brothers Motor Finance are a specialist finance provider, working with over 8,000 dealer partners to offer flexible finance solutions for car, motorcycle and LCV customers.

W: traka-automotive.com T: 0333 355 3726 E: automotive@traka.com Info: Bespoke software and electronic key management cabinets to deliver the most effective solution to dealerships to manage their keys and vehicles.

Finance

Lead Management

Recruitment

Warranty Providers

Website Design & Digital Marketing

First Response

GardX AD-Vantage

WeRecruit Auto

Händler Protect

Haswent

W: firstresponsefinance.co.uk T: 0115 946 6317 E: marketing@frfl.co.uk Info: First Response is an awardwinning UK finance company providing simple financial solutions. Get in touch and let us help increase your profits.

W: gardx.co.uk/gardx-ad-vantage T: 01243 376426 E: goforaspin@gardx.co.uk Info: The award-winning 360 service offers an engaging display of the vehicle while additionally presenting profitable F&I products to a consumer.

W: mobil.co.uk T: 0800 0857 420 Info: Whether using Mobil 1™ or Mobil Super™, Mobil™ engine oils meet or exceed the latest standards of the oil industry and vehicle manufacturers.

W: werecruitauto.co.uk T: 01603 550041 Info: Permanent recruitment – here to assist businesses within the automotive sector find the best fit for their company in terms of skillset, experience and culture.

W: carcareplan.com T: 0344 573 8000 Info: Car Care Plan is a leading provider of motor protection products, trusted around the world to deliver quality protection with integrity and a customer-oriented outlook.

W: handlerprotect.com T: 0800 088 7889 E: sales@handlerprotect.com Info: Händler Protect is an exclusive dealer warranty provider. Proud to partner and represent more than 1,000-plus ‘active’ independent motor dealers across the UK each month.

W: blueskyinteractive.co.uk T: 01926 651000 Info: Bluesky Interactive drive dealer websites and digital marketing forward thanks to game-changing innovation, the latest technology and our exceptional relationships with our clients.

W: haswent.com T: 020 3920 6164 E: hello@haswent.com Info: Composer is a next-gen automotive platform. You have extensive stock management options, and you’ll gain a brilliantly responsive new website.

To have your details included email sales@blackballmedia.co.uk and ask for Suppliers Guide listings CarDealerMag.co.uk | 103

Changes in FCA regulation don’t have to be scary, let’s go on the journey

together We’re your partner to support you through this new regulation. Together, we’ll make the complex simple, we’ll minimise disruption and we’ll enhance customer experience, allowing you to focus on what you do best.

Let’s do more together. 104 closemotorfinance.co.uk/fca-changes | CarDealerMag.co.uk

Finance Compliance Funding Insight

LONG-TERMERS The touchscreen display is clear and easy to read

THE KNOWLEDGE

Volvo XC40 T3 R-Design

VOLVO XC40 Volvo has thrown us the keys to its XC40 soft-roader for a few months. James Baggott finds out how the baby brother of the SUV range fares.

here was a time when Volvo was known for boxy estates that would swallow your dog, a grandfather clock and a week’s shopping with room to spare. But those days have passed and now the Swedish brand is far more recognised for its impressive range of capable SUVs. While the XC90 and its svelte XC60 sibling have been around for a while, the car that has catapulted the brand into mass-market territory is this: the XC40. Volvo has given us the chance to live with one for a few months, and while travel opportunities haven’t been vast, we’ve at least been able to get a sense of what the baby brother of the SUV range is like. The Tonka Toy looks and robust interior styling are certainly designed to be hard-wearing and stand the test of tough family use. And we’ve done just that with some dog carrying and Christmas tree removals. I like the fact the interior is incredibly functional. A commanding driving position and well-laid-out cabin make the XC40 very easy to get used to and it’s certainly withstood some hardy use. Unfortunately, though, the engine and gearbox combination is crucial and for our long-termer the choice isn’t ideal. Our test car is the T3 R-Design model and comes with a tiddly three-cylinder petrol engine. The 1.5-litre unit produces 154bhp, which is enough in a car this size around town, but it needs to be worked hard elsewhere. The stop-start system judders the car to a halt then angrily fires it back into life. This leads to lurching at some junctions and an uncomfortable shake through the car. It’s so bad that it rattles your teeth and is matched with an engine note that’s about as tuneful as a frightened cat. It’s a shame, really, as the XC40 is a great car otherwise. In other engine specs I’ve tried, it has plenty of poke and refinement – it’s just this tiny petrol power plant isn’t up to scratch. In fact, I’d go so far as to say you’d be wise to give it a rather wide socially distanced swerve. So moan over, let’s go back to the plus points. The XC40 is incredibly practical. The boot is a decent size, it’s comfortable to drive and the seats are supportive. The driving position is particularly good, and although the XC40 isn’t the largest of SUVs, the lofty seat height gives a commanding view of the road. The multimedia system really is class-leading and the touchscreen controls are a masterclass in how to do things. Stereo, sat nav and heating controls are all easy to adjust on the big screen – just watch out for the grubby fingerprints. On the road, the XC40 soaks up the bumps, as you’d expect from a high travel suspension model. It’s not the most dynamic of cars to drive as a result, but then what do you expect? You’re looking at a soft-roader after all. Back to that engine and gearbox combo, though. As I mentioned, it needs to be worked hard, and while the auto gearbox works fine once you get moving, I find the lurching at low speeds infuriating. Thanks to lockdowns, tough tiered systems and a new working-fromhome regime, the XC40 has been used infrequently. Whether I get used to those annoying traits remains to be seen. Maybe the practical aspects will outweigh the annoyances, but that’s something only time, and a few more miles, will tell.

Price (as tested): £29,160 Engine: 1.5-litre 3cyl petrol Power: 154bhp Torque: 264Nm 0-60mph: 9.4 seconds Max speed: 124mph Emissions: 146g/km CO2 Fuel economy: 45.6mpg Mileage: 3,856

This month’s highlight: Using the touchscreen controls, which are a masterclass in how to do things – just watch out for fingerprints.

OTHER CARS WE’RE DRIVING

BMW 420i M Sport Coupe Mileage: 2,646 We haven’t had the chance to give the bimmer a proper drive but first impressions are very good.

Nissan Leaf e+ 3.ZERO Mileage: 11,605

Its range has dropped a bit in the recent sub-zero temperatures but OY19 XMG remains a stalwart of the fleet. CarDealerMag.co.uk | 105

During these uncertain times, we wanted to say that...

TALK TO US TODAY. 0115 946 6260

enquiries@frfl.co.uk www.frfl.co.uk/car

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Car Dealer Magazine: Issue 156

Articles inside

Long-termers

New gadgets

10 reasons for bounce back

Volkswagen Golf GTI

Semiconductor crisis

Big Mike

Suppliers Guide

Falling supercar prices

Interview: Ken Choo