Issue 157 | April 2021 | CarDealerMag.co.uk | £6
FIRST DRIVES
FORD MUSTANG MACH-E & AUDI E-TRON GT
PLUS: WE TRY OUT THE ALL-NEW BMW M3
TWO HIGH-PERFORMANCE EVS ARE PUT TO THE TEST
NEWS • UCA 2021 LAUNCHED • SHOCK MOVE OVER EV GRANT • CAZOO GOES INTO EUROPE • SUBARU NETWORK GROWS • VERTU HONDA EXPANDS • PROBE LAUNCHED OVER DELOITTE LOOKERS AUDITS • BUSINESS RATES REVIEW POSTPONED UNTIL AUTUMN
INTERVIEW
Daksh Gupta & Robert Forrester BOSSES DISCUSS PROS AND CONS OF MULTI-FRANCHISING AND MORE
PLUS: BREXIT’S HIDDEN IMPACT ON INDEPENDENT GARAGES
The UK’s Best Used Car Warranty
02 | CarDealerMag.co.uk
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THE BOSS FOUNDER James Baggott
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HEAD OF CONTENT Jack Evans
jack@blackballmedia.co.uk Twitter: @jackrober
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CONTRIBUTORS James Batchelor, Darren Cassey, Rebecca Chaplin, Nigel Swan, Ted Welford
FINANCE
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Awards
Winner of Best Business Publication, Headline Auto Awards 2012 & 2014
Company No: 6473855 VAT No: GB 343 7049 04 ISSN No: 1759-5444
WELCOME. P
lanning is not the easiest of things right now, is it? One minute we’re all out and about and shopping with masks on, the next we’re back on our sofas attempting another Netflix-a-thon. I imagine – understatement of the year coming up – it’s been pretty stressful in dealerships. No sooner had car dealers splashed out on snot screens, hand sanitiser and masks than they were shutting their doors again. I still find it hard to believe that in places like Gosport – the heart of Car Dealer – showrooms have been shut since the middle of December. That’s when we entered Tier 4 which, you’ll remember, was just a way of locking down an area without calling it a lockdown. Months of operating with the doors closed to customers sounds utterly mad when you think about it. However, the motor trade has not only managed it but in many cases actually made it a roaring success. We reported this month on news from Auto Trader that in the early parts of March most dealers were operating at around 90 per cent of normal levels. Chats I’ve had with dealers confirmed this – some even said they were clocking up 100 per cent of normal sales with the doors closed. Read that back again and let it sink in. Mad, isn’t it? I don’t know about you, but I’m beginning to feel a lot more positive about the whole situation. The vaccines are starting to have an effect, infection rates have fallen from their disastrous post-Christmas highs and we’re all looking forward to the summer with optimism. After the prime minister unveiled his road map out of lockdown with a promise of all Covid restrictions becoming a thing of the past from June 21, we decided that it was time to start planning a Christmas party again. Our Used Car Awards will be back on November 29 this year at The Brewery in central London. After long talks with the venue, we agreed to start planning the event and already a huge number of sponsors have signed up. We’ll only be holding it if it can go ahead safely, as normal. If social distancing makes a return for the winter months, we’ve told our partners we’ll move their booking on to 2022 and revert to a digital alternative. This certainly helps with the planning. The venue has been pretty flexible throughout this pandemic, unlike others we partnered with who cancelled our event, kept our money and refused to return it. You certainly work out who your friends are in situations like a global pandemic, that’s for sure. We’re delighted to be working with some of the biggest names in the used car industry for these awards, sponsored by Black Horse and hosted, as usual, by Wheeler Dealer Mike Brewer. GardX will be hosting a special after party, eBay Motors Group will be putting on the pre-dinner drinks and a casino, while Auto Trader, Autoguard Warranties, Carwow and many more have all signed up to support categories. The full details can be found on page 14. It’s not just us desperate to get back together – the response from the industry at the mere thought of being able to have a party again has been immense. And as with every business right now we’re planning for the worst and hoping for the best. Here’s hoping it’s the latter. Enjoy the issue.
I don’t know about you, but I’m beginning to feel a lot more positive.
Car Dealer is published by Blackball Media Ltd (company number 6473855). All rights reserved. Conditions of sale and supply include the fact Car Dealer shall not, without our consent, be lent, resold, hired out or otherwise disposed of in a mutilated way or in any unauthorised cover by way of trade or affixed to any part of a publication or advertising, literary or pictorial matter whatsoever. Car Dealer is fully protected by copyright. Nothing may be reproduced wholly or in part without permission.
JAMES BAGGOTT Founder, Car Dealer CarDealerMag.co.uk | 03
04 | CarDealerMag.co.uk
IGNITION. ISSUE 157 | APRIL 2021
22
CONTENTS
Interview: Daksh Gupta and Robert Forrester Brexit sparks parts crisis Used Car Awards 2021 Car news round-up News digest Feedback Supplier news Business news Car Dealer Live Finance
6 12 14 24 26 46 48 54 56 58
COMMENT James Baggott Big Mike James Litton
17 18 21
INVESTIGATIONS Dealerships locations list Supercar prices
10 22
12
FORECOURT Audi e-tron GT Ford Mustang Mach-E Renault Megane BMW M3 Competition Toyota Supra
34 36 38 40 42
67
FEATURES New electric car brands Living with a McLaren GT
30 50
DATA FILE The Statistics LCV news Suppliers Guide Long-termers
60 62 65 67
40 6
30
INTERVIEW
‘This year you will get some sort of bounce back, but it will not be anything like we saw in 2020.’ 6
COMMENT
‘Tim Cook must be kicking himself that he never took Elon Musk up on that meeting.’ 17
FEATURE
‘The name suggests boutique style, but don’t dismiss this as a trivial venture.’ 30
DATA FILE
‘It is essential that showrooms reopen as soon as possible so the industry can start to build back better.’ 60 CarDealerMag.co.uk | 05
INTERVIEW
Marshall and Vertu CEOs on government cash, pent-up demand and more Daksh Gupta and Robert Forrester chatted with James Baggott on a special Car Dealer Live.
M
arshall Motor Group boss Daksh Gupta and Vertu Motors chief Robert Forrester have given their opinions on repaying furlough cash, pent-up demand when showrooms reopen and more. In a special Car Dealer Live interview, the chief executives of the listed car dealer groups also answered questions on the agency model and how it will affect their businesses, and why one will be rolling out multi-franchising sites even further. In the wide-ranging hour-long interview, the pair, who have never appeared before in a panel discussion like this, gave their frank opinions on each other’s businesses. Asked if they could ever work together, Forrester answered adamantly ‘absolutely not’, while Gupta joked his Vertu counterpart would ‘make a great CFO’. Both listed dealer groups have benefited greatly from government support in the past year – including business rates relief and furlough cash – but neither is planning on repaying the money. Asked if he had considered giving the cash back to the government, Forrester said: ‘No, because the government closed me down. ‘[Our business] didn’t operate in lockdown one to any great sense. We kept the service departments open and we did some sales but it was pretty minor and pretty low level. ‘I am not a big fan of government spending but the bottom line is they closed us down and we have a high fixed cost base. ‘Operators who have made a profit in 2020 in the motor retail business have done well, but there are some operators who have not made a profit and I don’t feel it would be right to pay that furlough money back.’ Forrester said he had ‘pretty well everyone back now’ from furlough, apart from those who were shielding, and said he didn’t want to be using the furlough scheme in future. Gupta added that many operators had posted losses for 2020 despite the government support. The Marshall boss said: ‘We have considered that [repaying the money]. We have done the right things at the appropriate time. For example, we did take advantage of the VAT deferral scheme because at that stage none of us knew what we’d be dealing with. ‘But as soon as we came through and saw the benefit of the bounce back, for us it was £10.9m, we took a decision to pay that in September, 18 months early. ‘These are conversations we do have and it’s about being a good corporate citizen.’
Pent-up demand
Both dealer bosses agreed there will be some pent-up demand when showrooms are allowed to reopen on April 12. ‘There has to be,’ said Gupta. ‘The bounce we saw post-lockdown one was huge, but if you have your showrooms shut for the busiest week in the busiest month and you have 97 per cent sales down in April and then 89 per cent in May, our customers are in event-driven 06 | CarDealerMag.co.uk
The bounce we saw post-lockdown one was huge. Daksh Gupta
MARSHALL MOTOR GROUP Position: 2019 turnover: 2019 EBITDA: ROS:
5th £2.3bn £43m 1%
Click here to see the Car Dealer Top 100 list
finance agreements, ie PCPs, so they will be coming back into the marketplace. All of that resulted in huge tailwinds last year. This year you will get some sort of bounce back, but it will not be anything like we saw in 2020.’ Forrester said he thought dealers will be busy, but he also warned that it wouldn’t be the same as after the first lockdown. ‘This has gone on a long time this lockdown, and anyone looking to change brands or powertrain are really waiting for a test drive. I think that will power pent-up demand.’ He also said a lot of people had saved a lot of cash and were ‘desperate to spend it’, and while the industry saw some of that last year, he thinks ‘it will be here in spades’, adding: ‘I am pretty optimistic about new and used demand post-April 12 and we will certainly be gearing up for a riotously royal time.’ Vertu Motors is the sixth most profitable dealer group according to our Car Dealer Top 100, with an EBITDA of £40.7m for 2019. It has 147 sales and aftersales outlets across the UK, operating under the Bristol Street, Farnell and Macklin Motors brands, and represents 32 manufacturers including brands such as Audi, Mazda, Nissan, Vauxhall, Volkswagen and Volvo. Asked just how big it can get, Forrester remembers a chat he had with a dealer group boss who concluded there could be a £10bn turnover group in the UK at one point in the future. He added: ‘I don’t think there ever will be, because I think turnover will be measured differently because of the agency model, but if you take that concept I sat there thinking I couldn’t see it happen. ‘But the way the market is moving, the investment that is required in digital and growth of brands, I think we are heading for more consolidation and for the growth of very large groups who have big brands and are very professional and utilise technology to the nth degree. ‘The strategic rationale for growth is there. Whether Vertu is one of those big players, we’ll have to wait and see, but I certainly hope it is.’ Gupta said he wasn’t bothered about turnover as it was ‘academic’ and was more focused on delivering a business that had ‘good culture and great returns’. He added: ‘Scale is critical and will be even more critical as we go forward and I concur with Robert that there will be more consolidation.’ Marshall Motor Group is the fifth most profitable dealership business in the UK, just above Vertu in the Car Dealer Top 100, with an EBITDA of £43m for 2019. At the last count, it had 113 dealerships representing 22 manufacturers including brands such as Audi, BMW, Ford, Land Rover and Mercedes. Gupta said: ‘No one sends you to CEO school to be a CEO for a £3bn turnover business. You just sort of get dumped into it. ‘I have been really fortunate in some ways that I have been able to grow and adapt and evolve with acquisitions along the way.’ Both admitted that they admired each other’s businesses and they said they both chatted regularly and were good friends. ‘Daksh and I speak quite often,’ said Forrester. ‘The thing about Daksh’s business is it’s run by an operator, and with the best will in the world I could not be described as an operator, and that different sort of mindset means our businesses are a little bit different. ‘I actually think he is the number one operator of scaled groups probably and his background you can’t fault – that comes though in the business. My business is different in that I employ good operational people and we run it as a bit of a collective.’ The pair also gave their opinions on the online used car businesses Cazoo and Carzam, including the former’s rumoured £5bn flotation valuation. ‘Isn’t it great that capitalists will put so much money into a business that sells so few cars?’ said Forrester. Both the bosses gave their thoughts on the agency model that is slowly being brought in by manufacturers. This sees dealerships become handover and service centres, with the manufacturer responsible for selling the cars – dealers are paid a handover fee and left to sell used cars. ‘I don’t see a problem with this,’ said Forrester. ‘It all depends where all the money is. No one will argue with a handling fee as long as the handling fee is sufficient to give you the right return on capital.’ Gupta added: ‘Agency is something that has been around for at least 20 years, as some of our partners introduced it for fleet back in 2001, so it’s around us already and nothing new. People are a little scared of it.’
Click here to see the Daksh Gupta and Robert Forrester interview
Vertu’s Farnell Land Rover dealership in Nelson
The strategic rationale for growth is there. Whether Vertu is one of those big players, we’ll have to wait and see. Robert Forrester
VERTU MOTORS Position: 2019 turnover: 2019 EBITDA: ROS:
6th £3bn £41m 0.6%
Click here to see the Car Dealer Top 100 list
Could premium brands sit next to each other in one showroom one day? p8 CarDealerMag.co.uk | 07
INTERVIEW
Could we be seeing premium brands side by side in one showroom in the UK? Welcome to the great multi-franchising debate!
It’s widely in use abroad but is it something that could work here? This is what the two bosses had to say...
W
hile not naming brands specifically, Vertu Motors chief executive Robert Forrester told Car Dealer that he thinks it’s only a matter of time before premium manufacturers come together under one roof. Multi-franchising – a term coined for coupling car sales for different manufacturers in one dealership – has been frowned upon in the past. Car manufacturers like to set their own standards, insist on certain furniture and a specific look and ‘feel’ for their dealers – but it could be about to change. Chatting to Car Dealer Live, in a video you can watch by clicking the link below, Forrester said he thinks that in the next five years we ‘might surprise ourselves’ with the brands that agree to be sold from one single dealership. ‘My view is that even some of the premium manufacturers will look at this as they rejig their networks. You might have a very large brand centre and you could have other spokes that could be multi-franchise.’ Forrester revealed that he was already in talks with some premium brands about coupling them at digital-led dealerships. These sites would display a few cars and the rest of the brands’ ranges on huge digital screens. ‘I have always been slightly amazed by how multi-franchising wasn’t a feature of the UK and we have “standards” that stop multi-franchising. But if you went abroad they were multi-franchising like it was in vogue and I’ve seen some really lovely multi franchising dealerships. I think the economic reality will drive multi-franchising.’ Fellow listed dealer group boss Daksh Gupta of Marshall Motor Group has fewer dealerships in his portfolio but represents more premium brands and isn’t so sure multifranchising will be a thing for these marques. ‘This is probably one point Robert and I disagree on,’ Gupta said. ‘I think I broadly agree with the economics of what Robert is doing with multi-franchising, but I must be honest when I joined this business we had 42 franchises and probably two-thirds were dual franchise. I have to be honest – I hate dual franchising with a passion. ‘My personal view – and it may be just the way we operate – is you end up becoming a jack of all trades and master of none. But I do accept Robert’s point that for smaller brands the economics of sharing one rooftop makes absolute sense.’ Forrester has made it clear that for Vertu multi-franchising will become an important part of the group’s future strategy. In the interview he explained how his site in Morpeth started out as a Ford dealership but now sells Honda and Hyundai models successfully too. Forrester said as manufacturer market shares change dramatically, the representation they need will change too. Gupta isn’t quite so convinced – instead he thinks the number of manufacturers selling cars in the UK will diminish. ‘I think there will be fewer OEMs. Some brands will not want to participate in emissions – we’ve seen in recent years Infiniti and Mitsubishi [go] and I think there will be more,’ he said. ‘That will immediately take a big number of the outlets out and I also think you’ll see a situation where some brands who have far too many retailers and have not been fast enough to take action and desperately need to take it, we’ll see their numbers come down significantly.’ He added: ‘I don’t see a premium brand sharing with, say, Mercedes. I just don’t see that happening. For me, you are buying into a brand experience. That’s what we do – we deliver our brand partners’ values. I just don’t see it.’
Click here to see the Daksh Gupta and Robert Forrester interview 08 | CarDealerMag.co.uk
I have to be honest – I hate dual franchising with a passion. Daksh Gupta
I think the economic reality will drive multifranchising. Robert Forrester
Over 664 million views! More people than ever before are researching their new car online, and with over 664 million views last year, carwow is the go-to channel for reviews.
Join us to reach them. Visit dealers.carwow.co.uk
YouTube carwow UK video views globally 1st Jan – 31st Dec 2020. Social Blade
CarDealerMag.co.uk | 09
INVESTIGATION
How many showrooms does each manufacturer have in the UK?
Car Dealerships Locations List 2021 is revealed Our exclusive research, sponsored by Carwow, shows the number of sites that each brand has in the UK.
T
he total number of franchised car dealerships in the UK stands at just under 5,000, a new survey by Car Dealer has found. Car Dealer contacted all manufacturers in the UK and discovered there are currently 4,769 franchised dealers in the UK as of the end of January 2021. The results of the Car Dealerships Locations List, sponsored by Carwow, showed that Ford is still the largest brand by number of car dealerships. The Blue Oval has 360 dealers – 78 more than nearest rival Vauxhall. Vauxhall has 282 outlets and Kia is third with 190 across the country. The full list of manufacturers can be seen on the next page. Ford announced last year that it would be downsizing its dealer outlets across the UK and the Car Dealer survey reveals the brand has already lost 40 dealers in 12 months. Paul Singleton, director of dealer operations for Ford of Britain, said the changes were in line with the brand’s plans, despite some operators calling it a day following the pandemic. He told Car Dealer: ‘We have shrunk by around 40 sites in the last year. We are where we were expecting to be at this point in the network plan. ‘We lost a few due to Covid. Not through bankruptcy, I hasten to add – we didn’t lose any that way. They simply decided it was time to give it up. ‘Some of the smaller dealers found it difficult and with the cost of the electrification changes many decided it was the right time.’ Singleton said that some of the larger dealer groups that had multiple locations in areas that crossed over also used the events of the past year to close dealerships. Carwow chief operating officer John Veichmanis said Ford was one of the website’s biggest partners and its data showed the manufacturer was the biggest volume brand on its platform. He added that despite the growth in online sales, physical dealerships will remain an important part of the sales process. ‘Dealerships are a critical component in the shift to omnichannel commerce. Why? Well, we know that online consumers are more likely to switch brand as they are typically better informed due to the amount of research they conduct online via sites like YouTube and Carwow. ‘They naturally build a longer shortlist and are more engaged in the process. ‘Access to a local dealership is therefore critical in this new omnichannel world, as a consumer switching brands will have more of a need to see the product and liaise with a product expert either online or face to face versus someone who is buying the same brand for the second time.’ 10 | CarDealerMag.co.uk
THE TOP
3
360 DEALERSHIPS
282 DEALERSHIPS
190 DEALERSHIPS
Access to a local dealership is critical in this new omnichannel world, as a consumer switching brands will have more of a need to see the product. John Veichmanis
DEALERSHIPS LOCATIONS LIST 2021 Sponsored by Carwow Brand
SPONSORED BY
Mike Jones, ASE Global chairman and compiler of the Car Dealer Top 100 list of most profitable dealers, said he expected to see more reductions in the coming years. Car Dealer will be carrying out the survey annually. Most brands responded to our request for numbers but some refused to give details, so their dealer numbers were taken from their websites. Jones said: ‘In common with Vauxhall, Ford has been shrinking its network, moving away from the large number of retail dealers it had. All networks need to ensure they have the right level of representation and I expect to see further reductions. ‘It is always interesting to note the position of Audi and Mercedes. The size of the network is much lower than many, which generates significant throughput given the volumes of cars they sell on an annual basis. ‘This leads to significantly higher levels of overhead absorption, which alongside used car profitability is going to be vital as we move to increased agency sales and electric vehicle sales dominating.’ Jones said he found MG’s position notable – with 120 dealers it now has the same number as Audi in the UK. He added: ‘MG has been a real success story, frequently being a bolt-on to an existing site. ‘Dealers appear happy with the brand, particularly given the low level of investment and the electric model line up.’ Veichmanis said: ‘MG have made a big commitment to electric vehicles and it’s no surprise to see their growth. In fact, we’ve seen a 30 per cent increase in the number of MG retailers on carwow in the last year, which also matches the EV trajectory we’ve seen, with a 97 per cent increase in EV sales year on year. ‘The share of total configurations for MG on Carwow is also up 88 per cent year on year, so we’re seeing a healthy increase in online engagement to complement the expanded dealer footprint.’
Dealerships
Ford Vauxhall Kia Peugeot Toyota Volkswagen Nissan Hyundai Dacia Renault Suzuki Citroen BMW Honda Mini Fiat Skoda Mercedes-Benz Seat Mazda Audi MG Land Rover Isuzu Mitsubishi Volvo Abarth Jaguar SsangYong Subaru Jeep Cupra Smart Alfa Romeo Lexus Porsche DS Tesla Bentley Aston Martin Ferrari Lotus Maserati Lamborghini McLaren Alpine Rolls-Royce Caterham Bugatti Polestar
360 282 190 186 181 181 167 165 154 152 150 137 135 135 132 127 127 122 122 121 120 120 114 102 100 100 94 86 68 65 58 57 50 47 45 45 32 21 20 16 15 15 11 10 9 7 7 5 2 2
CarDealerMag.co.uk | 11
INVESTIGATION
How Brexit led to a parts crisis for independent garages in UK Did you think the tariff-free trade deal struck with the EU at the last minute was a really good thing? Think again...
D
elays and unexpected surcharges as a result of Brexit are causing havoc in the aftersales industry, with independent garages refusing to work on some vehicles and cars stuck in workshops across the country with problems that have rendered them off-road. In one extreme case, an engine ordered in November 2020 has been marooned at Felixstowe docks since the first week of January, with the vehicle stuck in a busy garage in East Sussex. David Burford, who runs Saabtech in Eastbourne, a specialist Saab garage and classic vehicle restoration service, said: ‘Back in November, our customer ordered a brand-new engine for his VW Type 2 camper, so we took the van into our workshop to get the old engine out in readiness for the new one arriving. ‘It’s still there, and the engine is at Felixstowe. The port don’t know if they can release it or not as there’s a question mark over the duty payable and whether it is owed by the customer or the supplier, and the part arrived without the correct export paperwork as despite being dispatched before December 31 it arrived after. ‘My customer has even said he’ll pay any extra duty to get the engine here if needs be. ‘But it’s not that clear cut, as nobody seems to know if he’s allowed to.’ Meanwhile, other independents have reported problems in getting parts from overseas or have had to put their prices up for repairs to certain vehicles. William Morgan, who runs Morgan’s Motor Engineers in Drayton, Norfolk, almost had to cancel planned repairs on a Mercedes E-Class after his regular supplier refused to send parts for the car. ‘I used to have a brilliant source for good-quality new old-stock Mercedes parts in Poland,’ he said. ‘It meant we could use genuine Mercedes parts rather than pattern bits on our customer’s cherished older model E-Class but without having to pay main dealer prices, so it was a really good arrangement. ‘The car failed its MOT on some suspension parts in February so I got in touch with my supplier, who would traditionally have dispatched them straight away. They’d have been in Norfolk 48 hours later and the car would have been fixed by the end of the week. ‘I was shocked when they told me they could no longer deal with me, but apparently the complications of exporting parts out of the EU and resultant paperwork was too difficult and expensive for them to be worth their while on a business-to-business basis. ‘We got around it by me ordering the parts privately to my home address, but it’s a layer of bureaucracy that nobody needs.’ 12 | CarDealerMag.co.uk
William Morgan of Morgan’s Motor Engineers
The port at Felixstowe
The port don’t know if they can release it or not as there’s a question mark over the duty payable. David Burford
I was shocked when my brilliant source in Poland told me they could no longer deal with me. William Morgan
Meanwhile, smaller operators have reported an increase in parts prices as a result of EU suppliers putting prices up because of the additional work to prepare export documentation, as well as the need to pay VAT in the country of arrival. Julie Street, who is a director of Chatteris Garage, an independent MOT and repair centre in Cambridgeshire, told us: ‘We’ve not experienced any real difficulties in getting parts yet, but we’ve seen prices go up pretty much across the board on day-to-day parts like starter motors, alternators and radiators for most models. ‘Aftermarket parts for all models often come from an EU source – according to our supplier, the bits we got in for a Mazda we had in lately had come from Germany, for example. The difficulty for us is having to explain to the customer why the prices of the parts they need have gone up. ‘They get a bigger bill than they expected so understandably they question it, and it’s not our fault.’ The increased prices come despite a tariff-free trade agreement between the UK and EU, which was agreed on December 23, 2020 that hypothetically meant no extra charges for bringing car parts into the UK. However, extra layers of administration and a lack of clarity around VAT rules are hampering this. Mike Hawes, chief executive of the Society of Motor Manufacturers and Traders, said the administration required to move goods in and out of the UK was ‘significant’ and a ‘major challenge’ that would have benefited from a ‘longer implementation period’. He added: ‘With the withdrawal agreement there was supposed to be up to 21 months for an implementation period but we ended up with effectively seven days over the Christmas shutdown from the publication of the deal to when it took effect, so it’s understandable that businesses are struggling to understand what it is you now have to do.’
It’s understandable that businesses are struggling to understand what it is you now have to do. Mike Hawes
CarDealerMag.co.uk | 13
MONDAY, NOVEMBER 29, 2021
Used Car Awards will be returning in all their glory with host Mike Brewer The pandemic forced last year’s event to go online but we’re now looking forward to welcoming you back to The Brewery!
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he Car Dealer Used Car Awards will be back in all their glory this year, hosted by TV’s Mr Wheeler Dealer Mike Brewer. Following the government’s announcement of its road map out of the coronavirus restrictions, Car Dealer has held extensive talks with the venue about putting the Used Car Awards – sponsored by Black Horse – back on and we’re delighted to say the highlight of the used car calendar will go ahead at The Brewery in central London as planned on Monday, November 29. Last year, the physical event was cancelled because of the restrictions and the awards were held purely online, with Brewer hosting a special video event, which you can watch by clicking the link on the next page. A huge number of sponsors have already signed up to the 2021 event, with packages selling fast as the industry looks forward to getting back together in person again. The Brewery has agreed to only host it if social distancing has been lifted. If it returns for the winter, the event will be postponed and moved wholesale to 2022, with the 2021 awards being held as a digital ceremony, as we did for 2020. Brewer said: ‘We know how desperately the industry wants to get back together and celebrate the amazing achievements they have pulled off since the start of the pandemic – and we’re sure the Used Car Awards will be it. ‘We’ve spoken at length to The Brewery and they are confident that the government’s road map out of these restrictions means we will be able to hold the event as normal in November. ‘I can’t wait to see everyone again and enjoy the industry’s biggest Christmas party.’ Car Dealer founder James Baggott added: ‘We know that this event only works if social distancing is a horrible memory and not in place. ‘The venue is fully aware of that too. We want people to enjoy each other’s company and celebrate as they would have done in the past. ‘But we must ensure the event is safe and enjoyable. So if social distancing returns, we will simply move the event on to the same time of year in 2022 – we hope that’s not the case, but we want to give sponsors and those who have booked a table comfort that there is a plan. ‘Importantly, and for added comfort, we’ve decided not to bill anyone until we get a guarantee from the venue that the event can go ahead. ‘I can’t wait to see everyone again in person and celebrate the amazing achievements in the used car industry. It’ll be quite a party, that’s for sure.’ The pre-dinner drinks and a post-awards fun casino are being hosted by eBay Motors Group. Meanwhile, Autoguard Warranties, which is sponsoring the Used Car Supermarket of the Year category, said: ‘We are delighted to be able to sponsor this prestigious award in what has become the leading event recognising the outstanding achievements of car dealers in the UK, and we wish all the entrants the best of luck.’ There will be 21 dealer categories to enter and eight manufacturer awards. Nominations will open after Easter and run until the autumn. 14 | CarDealerMag.co.uk
I can’t wait to see everyone again and enjoy the industry’s biggest Christmas party.
Used Car Awards after party sponsor unveiled
T
he Used Car Awards 2021 have been supercharged with the addition of an exclusive GardX After Party. The special event will be by invitation only and hosted at The Brewery’s basement bar after the Used Car Awards, sponsored by Black Horse, have taken place on Monday, November 29. The GardX After Party will be held between midnight on November 29 and 2am on November 30, with just 140 guests invited. The automotive solutions provider will be managing the guest list at this strictly limited event. GardX will also be sponsoring two awards at the event – the Dealers’ Dealer of the Year and Lifetime Achievement categories – as well as hosting three tables. Melissa Thorpe, marketing business development manager at GardX, said: ‘We are really pleased to support the Car Dealer Used Car Awards 2021. ‘We truly believe that this is a fantastic opportunity to celebrate overcoming a global pandemic together and a genuine recognition of success for car dealers, their people and the automotive industry as a whole. ‘It is a huge pleasure to be hosting the invitation-only after party, where we can celebrate into the night together and truly reflect on all of the outstanding achievements at this event.’ The exclusive party will give people the opportunity to continue having fun once the main event has wrapped up. To secure a place at it, dealers should contact their GardX representative for more details. GardX has joined a long list of sponsors for the awards, which are to be hosted by TV’s Mr Wheeler Dealer Mike Brewer. Carwow is another sponsor that’s just signed up for the glittering awards ceremony. It will be lending its name to the Best Use of Video category. Chief operating officer John Veichmanis said: ‘The Used Car Awards are a landmark event in the annual calendar and Carwow is super-excited to work with James and the team to celebrate the tremendous breadth of innovation that we’ve seen from our dealer partners in the past year. ‘While the past 12 months have been incredibly challenging, the response of the industry has been amazing to watch, and it feels like we should take some time to celebrate all of the wonderful achievements and things we’ve learnt.’
Sponsors already signed up include: Auto Trader Autoguard Warranties Black Horse (headline sponsor) Blue Motor Finance CarGurus Carwow City Auction Group eBay Motors Group GardX iVendi RAC Trade 2 Trade
There are only a handful of sponsorship opportunities left for the Used Car Awards 2021. For more information contact us via sales@blackballmedia.co.uk or on 020 8125 3880 Click here to watch the Used Car Awards 2020 CarDealerMag.co.uk | 15
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Apple’s car dream will bear fruit but there are still hurdles to clear
I
Tim Cook must be kicking himself that he never took Elon Musk up on that meeting.
f you believe the rumour merchants – and I certainly do – it won’t be long before Apple finally releases its much-hyped, constantly trialled and sure-to-be-brilliant iCar. But before it does, it appears it needs to work out who is actually going to make it. Rather un-Apple-like leaks from those close to the project suggest the iPod maker is flirting with just about every car manufacturer in the playground. First it was the Koreans, then the Japanese, now Apple has gone all Mediterranean and started a holiday fling with Ferrari, if reports are to be believed. None of them have so far taken up the offers. Apple started its Project Titan driverless car project back in 2014. Not long after, though, the whole thing was called off and engineers hired from the likes of Tesla and mainstream car manufacturers departed for pastures new. It looked like the whole project had fallen apart before it had even started. But now the rumour mill is churning once again with news Apple has apparently been holding a series of meetings with manufacturers in an attempt to woo them to build the car for it. Partnering with an existing manufacturer like this might sound like a great idea in the boardroom at Cupertino, but unfortunately Apple’s demands aren’t the sort of things car manufacturers are used to. Yes, it might be pretty easy to find a Chinese factory to make phones and computers anonymously on your behalf, but it’s not so simple tapping up car makers. For a start, they’re pretty busy making their own cars. You see, Apple wants its manufacturer to be a silent partner – simply bolt together the car designed and specified in California, apply the Apple logos and hide away in the background. But shy and retiring, car manufacturers are not. They like the limelight and pretty much all of them would love the feather in their cap that building Apple’s car would give them. They’d want to shout about it, and Apple wouldn’t be very keen on that. I can’t help thinking it’d just be easier if Apple bought a car firm. It’s certainly got the cash reserves to snap up most of the big car manufacturers with money it could find down the back of the sofa. Boss Tim Cook must be kicking himself that he never took Elon Musk up on that meeting the Tesla founder wanted a few years ago when he was looking to sell up. Stressed at having to sleep on the production line to ensure Model 3s made it out in time, Musk had apparently had enough. He approached Cook but never heard back. How rude. Apple and Tesla have so many similarities it’s like Musk built his cars with the thought of eventually cashing out to Apple in his mind from the outset. Their interiors are just like you’d imagine an Apple car’s to be, with everything controlled from a big, iPad-like touchscreen, no buttons and simplicity the core design philosophy. While I have no doubt an Apple car is coming, it’ll be interesting to see what form it takes. It’s bound to be electric, that’s a given, but just how autonomous will it be? Google has long been testing autonomous technology for cars and many have wondered why. But the search giant has reportedly wanted to know what people get into their cars for. Some 90 per cent of car journeys are made with a purpose, and if you know that purpose you can serve up all sorts of useful information along the way (ads) – and charge companies handsomely for the privilege. Apple knows the value of this, too. It’ll also be interesting to see how Apple decides to sell its car when it does arrive. Order online, like its tech products, and have it delivered to your door? While that might work for the Apple aficionados, it might not be quite as successful for more mainstream buyers. Perhaps, then, a partnership with an established dealer network could be the way forward. Whatever happens, one thing’s for sure: I’d like to be in the queue to buy one when they do finally arrive.
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 | 17
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. 18 | CarDealerMag.co.uk
COMMENT
The ‘Real People’ are the ones who’ll get the country moving again
R
ather a lot can change in the space of a year, can’t it? Although doesn’t it seem like a lifetime since we were last able to shake hands, buy anything with cash or go to the flaming pub? As a car dealer very much in the traditional mould (as in a sort of larger, rounder and Brummie Arthur Daley), the fact I’ve had to change my entire way of doing everything from going to work to having a pint after it has been a bit of a shock. That and doing the chicken dance every time you sell a car rather than shaking hands – it’s like suspended reality; an out-of-body experience. The difference now versus when we first shut up shop, though, is that at least we now know when we’ll be able to reopen. That is, if people continue to follow the advice of science and not of mouth-breathing idiots on their local Facebook pages, many of whom see the current health pandemic as a mere inconvenience – at least until their furlough payments dry up. And I, for one, cannot wait. You see, I’ve been reading everywhere about how things are never going to go back to ‘normal’, and I’m one of the few people who disagrees with that. Sure, some things will change. Corporate types will never again be able to pick their noses or pass notes around in meetings as the horror that is a Zoom or Teams call will remain with us ad infinitum, adding extra layers of misery to the concept of sitting around in a room irritating each other, thanks to an Orwellian behaviour monitoring app masquerading as a meeting aid. The poor buggers that are out there driving grocery delivery vans until 11pm or those making sure your Amazon Prime packages arrive on the day they’ve been promised to you will continue to do so tirelessly, thanklessly and on minimum wage (at least until we drive half of them back to eastern Europe by making it less attractive to be here in the first place), and we’ll inevitably continue as a nation with our virtue-signalling, which has become a national pastime ever since someone first started bashing a saucepan with a spoon in honour of the NHS, or maybe just because everyone else was. Because these are the ‘new’ things that we’ve got used to. Or maybe it’s just because I’m a grouchy old sod who has absolutely no understanding whatsoever of the sway of public opinion, or I simply just don’t care. What I do know is that while the shiny end of the car sales spectrum is evolving into a world of click-and-collect (where, I assume, you can add some Birds Eye fish fingers, six pints of milk, half a dozen eggs and a copy of the Radio Times to your order), or online next-day delivery without the lazy so-and-sos even getting out of their armchairs – which is all well and good when you’re dealing with a German hatchback that has enough warranty left on it for the buyer not to worry too much about the trauma that lies ahead – it’s bugger-all use to anyone who is sniffing around a 17-year-old Ford Focus with no knowledge of whether or not there’s clag in the bottom of the car’s front wings. Nope – for as long as we’re still allowed to buy petrol- and diesel-powered cars, the preloved and variably cherished car remarketing industry will continue in the way it always has, with that strange dynamic between dealer and customer that has for years been built up on the theatre of trust. Get them like putty in your hands and they can’t say no – something that every car dealer since cars first took to the road has still not quite worked out how to get down to a fine art but some of us are better at than others. And after a hard day’s graft, some of the banknotes that aren’t destined for the taxman will instead find their way across the bar at the Royal Oak or the Cock and Magpies while I chew the fat with a couple of other lads in the trade, as has been our routine for the past 25 years. Just because the entire country has been forced into reboot doesn’t mean I’ve got any lockdown resolutions – other than maybe to get to the pub half an hour earlier of an
The fact I’ve had to change my entire way of doing everything has been a bit of a shock.
S&G/S&G Barratts/ EMPICS Archive
evening in case the buggers close it down again, or to not bother knocking the cigars on the head as there are other things out there that will kill us instead. I’m just going to live my life in normal Big Mike style: wheels, deals, meals and real ales, which annoyingly doesn’t quite rhyme with the others. And I expect that most of my punters will, too. A lot of people I deal with aren’t lucky enough to be sitting at home ironing their curtains ready for their next Zoom call, but are the folk that are out there on the front line every day, getting on with life, working hard, not doing a huge amount differently apart from dressing up like a highwayman before speaking to each other, or doing that aforementioned chicken dance whenever they encounter a friend or form an agreement with someone. You can spot them a mile off, too, for while the Zoomers (a few generations behind the Boomers) tend to look like your dentist when they pop down to Londis with an uncomfortable blue rectangle across their jowls, the grittier end of society has got the maskwearing thing down to a fine art. I’ve not worn a snood since the Seventies, but these days I have a selection. Roll ’em up over my nose and mouth when I pop into the shop for my cigars and back down again before I reach for my lighter. I like to call these folk the ‘Real People’. They’re the ones who turn up at Big Mike’s Motors with a wedge of folding money they’ve put some hard graft into getting their hands on. They like a chat, a barter and a bit of banter, and they know that a deal is a deal. I always sort them out with one too, because I truly and genuinely respect them. To the used car industry, as to any industry they touch, they’ll be the ones that actually get the country moving again while the Zoomers sit at home wondering if their wallpaper is fashionable enough, or if they can afford to repaper the dining room/office this month after the credit card and Audi have received their monthly instalments, which is a bit of a struggle these days because, y’know, this Covid thing and all that. The Real People are the ones putting money in my pocket, too. I appreciate that for many of you it’s not the Real People doing that but the Zoomers sitting at home doing their car buying online. If so, and if you want to close the deal, make sure you compliment them on their wallpaper and how perfectly on-trend it is, that maybe you’d like some yourself if they could just tell you where they bought it. That theatre of trust thing that I was talking about? Well, there it is.
The shiny end of the car sales spectrum is evolving into a world of click-andcollect.
CarDealerMag.co.uk | 19
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With margins now so low, can Cazoo really expect £5bn valuation?
T
When I took the plunge and joined the motor industry in 1998, a good franchised retail operator was defined by a return on sales of five to six per cent.
he motor trade has always been tough. I knew this first-hand as during the 1980s my dad owned a petrol station with adjoining car sales and workshop. While I don’t resent him at all, he was pretty absent for a large proportion of my upbringing. I spent many afternoons after school with extended family and there was only really Sunday as a family day. However, what the industry did provide in those days was a good living for people without a huge amount of formal education. As the decades have ticked by, the whole industry is defined by one operational statement: more for the same or less. When I took the plunge and joined the motor industry in 1998 (much to my parents’ chagrin, and who kindly used a lot of their hard-earned savings to support me through university), a good franchised retail operator was defined by a return on sales of five to six per cent. At the point I started my own independent used car business in 2007, that expectation had fallen to four per cent. Fast-forward to the 2020s and a good franchised business returns two per cent on sales. I understand that there are many franchised dealers who operate very profitably, particularly some of those with scale or small cost of capital, but two per cent offers no margin of error. Groups operating with poor process or inefficiencies have been horribly exposed by Covid, given the wide variance in industry results. With this in mind, it’s no wonder that many industry commentators have been so critical of the target IPO valuation for Cazoo of £5bn, as reported by Car Dealer recently. As I have written before, Covid has accelerated the growth of many trends in many industries – retail being no exception – but what Cazoo has been able to capitalise on is the inability of buyers to visit retail showrooms. Cazoo has an excellent website and a large choice of affordable used cars, but I am really looking forward to seeing what happens from April as traditional retailers reopen for – we all hope and pray – good. My hypothesis is that many buyers who are comfortable with online retailing have never really gone away, but Cazoo has taken its share of that market from established retailers, both independent and franchised. The more traditional buyers – those typically in the more Covidvulnerable age groups – will hopefully make a return to the market in the late spring and summer, and it will be fascinating to see how many of those convert to an online journey offered by Cazoo. With the acquisition of Imperial, Cazoo does have some physical infrastructure to help win some of these buyers, but not enough locations to support exponential growth to support a market valuation of £5bn without further acquisitions. The really interesting development for the company is at what point Cazoo moves into the new car environment – with a tie-up with Carwow in an online capacity or, more radically, with the acquisition of a franchised dealer group. Imagine the boardrooms of retailers when the news drops that their franchise is welcoming Cazoo to their network!
Trader Tales
COMMENT
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. CarDealerMag.co.uk | 21
INVESTIGATION
MOVING ON UP!
TOP 10 USED SUPERCARS TO BUY IF YOU WANT TO SEE A RETURN ON YOUR INVESTMENT Pricing experts at Brego have predicted which supercars will rise in value the most in the next three years. James Baggott reports.
S
upercars are designed to be driven – but if you’re looking for one that might also rise in value there are definitely some to hunt down. Luxury car pricing experts at Brego – a firm that uses machine learning and algorithms to predict the future values of luxury cars for finance houses – have identified 10 supercars that are a safe bet for your cash. Three Ferraris feature in the top 10, which will please Maranello – especially after the 812 Superfast was named as one of the biggest depreciating luxury cars of 2020. Supercar prices have mostly dropped during the pandemic, but car dealers are starting to report that they’re seeing them rally. Luxury car dealer Tom Hartley told us that after a period of falling prices the market was beginning to strengthen. Simon Hunt, CEO of Brego, compiled this list exclusively for Car Dealer and says his firm analyses billions of data points to accurately predict values up to five years in the future. He said: ‘Nearly all cars lose value over time but in a few rare cases some can be a good investment. ‘These cars usually go on to be classics, like the Aston Martin DB5, and are much sought after by collectors. ‘The last year has been a rough time for supercar owners, but Brego have used their vast dataset to find the top 10 cars we think are likely to be a great investment over the next three years.’ Hunt says the firm has data for 500,000 unique models but only a ‘small fraction’ are expected to rise in value in the coming years. He added: ‘The supply of available cars is usually a big factor – either through low production or as cars age. ‘Other factors that tend to increase the value are cars that were undervalued at release or had very positive reviews. ‘Design is also a big factor too. Some cars still look fantastic even after 20 or 30 years, and this increases the desirability and the price.’ Here’s what Brego predicts will happen to supercar prices in the next three years...
Nearly all cars lose value over time but in a few rare cases some can be a good investment. Simon Hunt
22 | CarDealerMag.co.uk
2017 Morgan Aero Supersports V8 Targa Price in 2021: £116,000 Price in 2024: £130,000 Value increase: £14,000 Not a supercar as such but this Morgan has everything you look for in an appreciating sports car. A V8 developed by BMW that produces 360bhp can launch it to 60mph in under five seconds. Morgans maintain their value well because of low production numbers and a very specific market but this flagship is set to gain £14,000 by 2024.
2011 Porsche Speedster Special 997 PDK Price in 2021: £273,000 Price in 2024: £285,000 Value increase: £12,000 The Porsche Speedster Special was a limited-run 911 soft top. Only 356 were made and reviews were extremely positive. Their sheer rarity made the price spike in the first few years and it continues to rise steadily. Porsche 911 special editions are well worth investing in.
2005 Ferrari 612 Scaglietti F1 Price in 2021: £89,000 Price in 2024: £94,000 Value increase: £5,000 The Ferrari 612 Scaglietti F1 was introduced in 2004 and prices steadily depreciated until roughly 2012. Since then the value of the 612 has fluctuated but has started to rise in the past few years. It’s due to increase by around £5,000, but this will depend heavily on the overall quality and maintenance of the car.
2016 Porsche 911 R Price in 2021: £315,000 Price in 2024: £341,000 Value increase: £26,000 High-end Porsches hold their value very well. As one of the newest cars on this list, it’s impressive that it’s managed to gain so much value since new (base models started at around £140,000). Since production was limited to 991 units the R sold out in the UK, and because of the relatively low production count and high regard in which this car is held, the R quickly doubled in value. By 2024, we expect it to have increased by at least £26,000 for a car in great condition.
2004 Ferrari 575M Maranello (manual) Price in 2021: £150,000 Price in 2024: £161,000 Value increase: £11,000 The 575M Maranello was designed by Lorenzo Ramaciotti at Pininfarina. A total of 2,056 were made, with 246 having manual transmission. The small production number of manual 575M Maranellos have caused this Ferrari to begin to appreciate in value.
2007 Ferrari F430 F1 Price in 2021: £82,000 Price in 2024: £85,000 Value increase: £3,000 The F430 replaced the Ferrari 360 to improve aerodynamic efficiency and add some signature styling from the Enzo and Testarossa. It was met with positive feedback and because of its relatively low production count, the F430 F1 has begun to see some increase in prices.
Click here to see an interactive graphic showing the monthly price increases 2001 Lamborghini Diablo VT Coupe Price in 2021: £187,000 Price in 2024: £225,000 Value increase: £38,000 The Lamborghini Diablo ran from 1990 to 2001, with the VT edition produced from 1991. While reviews of the Diablo said it was difficult to drive, the overall aesthetic might have something to do with the demand for this Lambo.
2007 Aston Martin Vanquish S Price in 2021: £102,000 Price in 2024: £109,000 Value increase: £7,000 The Vanquish lost tens of thousands before levelling out at its current value. But with demand now rising and with aftermarket improvements on the horizon, the 2007 Vanquish S is back on track as a future investment car.
2002 Lamborghini Murciélago VT Coupe Price in 2021: £210,000 Price in 2024: £236,000 Value increase: £26,000 The Murciélago replaced the Diablo as Lamborghini’s flagship model and the VT was the original. Its overall appearance may have something to do with the increase in value, and popular demand has allowed it to hold its value to the point where we now see a potential rise of £26,000 in the next few years.
1988 Aston Martin V8 GT Price in 2021: £412,000 Price in 2024: £450,000 Value increase: £38,000 While definitely more of a classic, the 1988 V8 Vantage is equal to the 2001 Lamborghini Diablo VT Coupe in terms of increasing value. Although classic Astons are no stranger to heavy appreciation, Aston Martin built fewer than 1,000 of each series of the Vantage before its 2006 relaunch.
CarDealerMag.co.uk | 23
DASHBOARD
CAR NEWS ROUND-UP Manufacturers have been busy refining existing models and producing new ones. We look at 10 of the results... CUPRA
Five-cylinder Formentor arrives as third anniversary is marked CUPRA has revealed full details of its five-cylinder-powered Formentor as the manufacturer looks to celebrate its third anniversary. The performance brand separated from Seat to become a standalone marque in 2018. Limited to just 7,000 units – with all made in left-hand drive – the Formentor VZ5 comes equipped with a 2.5-litre five-cylinder petrol engine that pushes out 385bhp and 480Nm, resulting in a 0-60mph time of under four seconds. It’ll top out at 155mph, too.
FORD
VOLKSWAGEN
Mustang only has 5.0-litre V8 now
Tiguan R on sale from £45,915
FORD has removed the 2.3-litre EcoBoost engine from the Mustang sports car, citing low demand for the entry-level model. The iconic Mustang is best known for its V8 engine, but when the latest generation went on sale in the UK in 2015, it also had an entry-level 2.3-litre engine. Although initial demand was fairly evenly distributed, the V8 has become the most popular model by far and now Ford's website only lists the V8-engined GT and Mach 1.
VOLKSWAGEN has opened the order books for its new rangetopping Tiguan R. Powered by a 2.0-litre turbocharged petrol engine with 316bhp, the R arrives as the most powerful Tiguan. It’ll go from 0 to 60mph in 4.7 seconds and hit 155mph, while four-wheel drive helps to give added traction. It’s available to order, with prices starting at £45,915. The R receives 21-inch alloy wheels as standard, as well as a performance braking system and quad exhaust pipes.
24 | CarDealerMag.co.uk
McLAREN
Artura is plug-in hybrid supercar with 671bhp THE highly anticipated McLaren Artura has been unveiled, becoming the first series-production hybrid supercar from the firm. The big news is the engine. Gone is the traditional McLaren twin-turbo V8 and in its place is a 3.0-litre twin-turbo V6 combined with a single electric motor for an output of 671bhp. McLaren says the electric motor gives the engine ‘razorsharp throttle response’, resulting in a threesecond 0-60mph time and 205mph top speed.
HYUNDAI
Bayon unveiled as entry-level SUV
HYUNDAI’S Bayon has been revealed, showcasing the firm’s latest addition to its flourishing range of SUVs. As the smallest SUV in the line-up, the Bayon has been designed for European drivers and debuts with clean lines and a wide grille. This combines with three-part lights and large air intakes to create a quirky, angular-looking car. At the rear, there’s a horizontal line to connect the LED tail-lights, and there are nine colours to choose from, as well as 15-inch steel wheels or 16- and 17-inch alloys.
GORDON MURRAY
LAND ROVER
New supercar named after legendary F1 world champion THE new Gordon Murray Automotive (GMA) T.50s Niki Lauda has been revealed, promising an unrivalled on-track driving experience. The ‘standard’ T.50 was unveiled in August 2020, sporting a high-performance V12 engine and clever aerodynamic features. This new model, named after the three-times Formula 1 world champion who died in 2019, weighs in at just 852kg – down from 986kg – and has the same engine but power has been increased from 654bhp to 701bhp.
NISSAN
Third-gen Qashqai is roomier and boasts mild-hybrid tech NISSAN has launched its third-generation Qashqai, bringing a whole new take on its popular crossover. More than three million have been produced since it was launched in 2007, making it one of Nissan’s most popular models. This latest Qashqai – set to arrive in the UK this summer – benefits from a new platform and has a more spacious cabin. It comes with a 1.3-litre petrol engine with mild-hybrid technology. An e-power hybrid powertrain will be added in 2022.
SEAT
Highest-performing Defender revealed
LAND ROVER has revealed its most high-performance Defender, with a supercharged V8 petrol engine. The Defender V8 makes 518bhp and 625Nm of torque from its 5.0-litre unit, contributing to a 4.9-second 0-60mph time and a top speed of 149mph. Available in 90 and 110 body styles, it retains all-wheel drive but has had a number of technical upgrades to make better use of the performance on offer, including larger-diameter and solid anti-roll bars.
SKODA
Range-topping engine for Tarraco
Enyaq iV orders open in the UK
THE Seat Tarraco range has been expanded with the introduction of a rangetopping engine, with prices starting at £39,400. The 2.0-litre petrol unit makes 246bhp and 370Nm of torque, comes with four-wheel drive and has a seven-speed automatic gearbox. It can hit 60mph in six seconds, with a top speed of 142mph. The fuel economy isn’t too unreasonable, registering 30.732.8mpg and CO2 emissions of 195-208g/km on the combined cycle, depending on trim.
ORDER books have opened for the Skoda Enyaq iV, with prices starting at £31,085 after the plug-in car grant. Buyers have two battery options, a new range structure plus new finance offer Lease&Care. There is a choice of battery sizes and interior designs, with a range of equipment packs and individual customisation options. The first choice has a 62kWh battery capacity and 177bhp motor, offering a claimed range of 256 miles. CarDealerMag.co.uk | 25
DASHBOARD BSM
NEWS DIGEST HERE ARE TASTERS OF STORIES YOU MAY HAVE MISSED
Hundreds of 208s added to fleet DRIVING school BSM has added more than 200 Peugeot 208s to its fleet. The order is part of a total delivery of over 750 cars to the school during the year, with more 208 and 308 models set to arrive. BSM’s latest order brings the total number of cars supplied by Peugeot to over 4,000 since the partnership began in 2015. Julie David, managing director of Peugeot UK, said: ‘We are absolutely delighted to continue our work with BSM.’
EXPANSION
Deloitte finds itself under investigation by financial watchdog over its Lookers audits ACCOUNTANCY giant Deloitte is being probed by the industry watchdog over its role in auditing Lookers. The Financial Reporting Council is looking at the audits for the years ended December 31, 2017 and 2018. They subsequently became part of an investigation by the Financial Conduct Authority (FCA), with allegations of fraud and black holes in Lookers’ accounts. Earlier in March, the FCA dropped its investigation into Lookers, which was started in June 2019 and which saw the firm set aside £10.4m for possible fines, but despite ‘concerns’ it wasn’t censured. Deloitte was replaced by BDO as auditor last year.
AWARDS
CHORLEY GROUP
Subaru adds three dealers to network SUBARU UK has appointed three new dealers and says seven more franchised retail sites are poised to join its network during the first six months of this year. It is part of plans to restructure and expand its UK network, with at least 15 new franchises being added in 2021, although others will be shed, which Subaru said was crucial to help increase its sales growth. The three confirmed appointments are Livery Dole in Exeter, Tees Valley in Darlington, and Ullswater Road Garage in Penrith. 26 | CarDealerMag.co.uk
Bosses to give staff June 21 off as thanks
A CAR dealer group will be shutting its doors for the day and giving staff a well-deserved break on June 21. Chorley Group is to mark the day the prime minister says coronavirus restrictions will be lifted – if all tests are met – by rewarding all its employees with the day off. MD Adam Turner told Car Dealer staff at the business – which has Nissan, Kia, Hyundai and MG franchises – had gone ‘above and beyond’ the call of duty during the pandemic.
Apple and Tesla have so many similarities it’s like Musk built his cars with the thought of eventually cashing out to Apple. James Baggott p17
Motorline does the Hyundai hat trick
MOTORLINE scooped three of the seven UK dealer awards at Hyundai’s annual event. Not only did it win the Overall Dealer Group category but its Worcester site, pictured via Google Street View, was named Overall Dealer out of the 167-strong UK network and its Maidstone showroom was crowned Aftersales Dealer. Motorline chief executive Thomas Obee said: ‘We are delighted to receive these awards.’
Sales via platform top £1.3bn in a year. Supplier News: p48
‘The e-tron GT represents a real achievement in electric car design. It’s innovative and striking but well resolved.’ Forecourt: p34
VERTU
Purchase ‘cements’ top Honda position
VERTU Motors has ‘cemented’ its standing as Europe’s largest Honda retailer with a new acquisition. It has bought Hepworth Motor Group and its Honda dealership in Huddersfield, pictured via Google Street View, for an undisclosed sum. Vertu boss Robert Forrester tweeted on March 13: ‘Delighted to announce last night we bought Hepworth Honda in Huddersfield. This cements the position of Vertu Honda as the biggest Honda dealer in Europe.’
APPOINTMENTS
LAND
City Motors’ leased site sold for £9.1m
A MAJOR dealership group is looking for a new site after the land it is leasing was sold to a housing association for millions of pounds. City Motors, based at St Philips Causeway in Bristol, has been in business for 92 years, and according to Bristol Live, the land it rents has been bought from the owner for £9.1m by Sovereign Housing Association. It’s believed the lease – due to expire in 2023 – won’t be renewed. Image: Google Street View
TRIUMPH
Alison Jones named Henrys takes crown as Stellantis UK boss as top Skoda retailer
ALISON Jones has been appointed Stellantis country manager UK. She was previously group MD of Peugeot, Citroen, DS Automobiles in the UK and senior vice-president for Groupe PSA. The brands under her control are Peugeot, Citroen, DS Automobiles, Fiat, Fiat Professional, Abarth, Jeep and Alfa Romeo. Vauxhall will be managed separately by former Nissan UK managing director and chairman of Nissan Europe Paul Willcox.
Xxx: pXX
HENRYS Cars in Glasgow has been named Skoda’s top UK retailer. The family-run business took the top gong for 2020 at the virtual ceremony, having previously won the 2019 marketing award and 2018 aftersales category. In second place was West End Garage of Edinburgh, while Simpsons Skoda in Great Yarmouth came third. Retailer of the Year is given for outstanding performance and takes into account factors such as sales, aftersales and customer satisfaction.
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
EXPANSION
Maybe it’s just because I’m a grouchy old sod who has absolutely no understanding whatsoever of the sway of public opinion. Big Mike p18
Cazoo buys German subscription service
ONLINE used car marketplace Cazoo is expanding into Europe with the purchase of German consumer car subscription service Cluno. It said the deal – for an undisclosed sum – cemented its position as the leading player in the fast-growing Cars-as-a-Service market in Europe. The news came on the heels of reports that Cazoo founder Alex Chesterman offloaded £100m of shares in his company last autumn.
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 | 27
DASHBOARD FRANCHISE
NEWS DIGEST HERE ARE TASTERS OF STORIES YOU MAY HAVE MISSED
Waylands adds Kia to brand portfolio WAYLANDS has joined the Kia dealer network and opened its first dealership with the brand in Reading. The group was founded in 2017, and until now has been solely a Volvo franchisee. Waylands CEO John O’Hanlon said: ‘Since starting the company, it has been our teams’ passion to dedicate ourselves to the customer experience and putting them at the heart of our business. We aim to take this same methodology into our new Kia business.’
GROW FOR IT!
SUBSIDY
Industry shocked as immediate changes to plug-in grant leave more than 20 models unable to qualify DEALERS and manufacturers have expressed shock and confusion at the news of immediate changes to the plug-in car grant affecting more than 20 models. The subsidy will be cut by £500 to £2,500 and it will only be available on vehicles costing less than £35,000. Research by Car Dealer has found that at least 21 models will be affected by the move. They will either be completely excluded from the plug-in car grant or higher-specification variants will no longer be eligible. Click on the image for the full list and to read the reactions.
END OF AN ERA
UK’s oldest Seat dealer to expand THE oldest Seat dealer in the UK has submitted a planning application to build a new and bigger showroom. B&H Motors in Workington is also one of 58 accredited Cupra specialists and the development will result in five more jobs. The business has been on Lillyhall Industrial Estate for some three years, but it has been in Cumbria since it was formed more than 50 years ago. B&H Motors became a Seat dealer in 1989. Image: Google Street View 28 | CarDealerMag.co.uk
Victor Wood Group is sold after 72 years
KIA dealer Wilson and Co, trading as Drayton Motors, has bought Victor Wood Group for an undisclosed sum. Victor Wood Group is also a Kia dealership, based in Grantham, and has been run by the same family since it was formed in 1949. Tim Griffin, shareholder and MD at Victor Wood, said: ‘After nearly 50 years working in our family business that my father-in-law founded I feel overdue for retirement! I wish Robin Wilson and his family every success.’
4,769 The number of franchised car dealerships in the UK, according to latest – and exclusive – research.
Investigation p10
CHALLENGE
TrustFord staff and suppliers raise £55k
HUNDREDS of TrustFord staff and their supply partners raised £55,000 after rising to a virtual challenge. A total of 277 people took part in Breakout For Ben – Road To £1 Million on a 10-day ‘virtual journey’ totalling 1,722 miles that took in motor circuits across the UK. They helped swell the charity’s coffers after it revealed that the pandemic had led to a 50 per cent rise in demand but income had plummeted by £1m.
A selection of cool stuff: We’ve found some great things to get your hands on and lift your spirits as we head to Easter.
‘Quote.’
Feature: p53
Feature: pXX
The whole industry is defined by one operational statement: more for the same or less. James Litton p21
21-REG
Dealers take to social media for new-plate day DEALERS handed over the first 21-reg new cars on March 1 – but it was very different from normal. With lockdown restrictions still in place, they were relying on click-and-collect car sales on the all-important plate-change day. But while March 1, 2021 was more muted than before, dealers took to social media to drive home some positivity. Click on the image for the full story and our pick of the best social media messages.
Play Ben’s Lucky Lotto for just £1 a week and be in with the chance of winning a £25,000 cash prize! That’s a life changing amount. When you play, you’ll be ensuring that no one in automotive faces life’s toughest challenges alone. You win, they win. Do It 4 Ben and help to change lives.
Play Ben’s Lucky Lotto now. Enter online at: lottery.ben.org.uk
18+, Ts & Cs apply. Begambleaware.org. Ben – Motor and Allied Trades Benevolent Fund. A charity registered in England and Wales No. 297877 and Scotland SCO39842.
CarDealerMag.co.uk | 29
FEATURE
Faraday Future
THE
NEWCOMERS James Batchelor examines 10 electric car brands that are heading to forecourts.
T
he car industry is brimming with marques that have 100-year-old histories and DNA that stretches back for generations – but there’s a glut of newcomers arriving with the aim of disrupting the well-established players. Many of these new names come from China as the country supercharges not only its car industry but the world of electric cars, driving down the cost of batteries and materials needed for an electric future. Meanwhile, others are revolutionising things much closer to home and have the backing of some of the biggest automotive brands. As the UK heads towards its 2030 date for the ban on new petrol and diesel cars, many new car brands will come and go, but there are a handful that are really interesting right now. Some are British firms while others have the UK in their sights as a hotspot for EV tech – either way, these are the top 10 brands we think you should be looking out for. 30 | CarDealerMag.co.uk
Faraday Future is an EV start-up that’s proof building an electric car company from scratch is no easy thing. It was founded in 2014 by Jia Yueting in California and the name is a reference to scientist Michael Faraday. It revealed its first vehicle – the 1,000bhp FF Zero1 – in 2016 at the Consumer Electronics Show in Las Vegas, which showed how an electric racing car could look. Several difficulties arose as the brand readied its FF 91 model in 2017, including loans being sought and Jia stepping down as CEO in 2019 after filing for bankruptcy. His place was taken by former Byton CEO Carsten Breitfield and in January 2021 the firm announced a merger with Property Solutions Acquisition Corp. Once complete, production of the FF91 is expected to start within 12 months.
Lynk & Co
Of all the names on this list, Lynk & Co is probably the one that rings a bell the most. It’s owned by Geely and sits alongside Volvo, Polestar, Lotus and others in its group. The name suggests boutique style, but don’t dismiss this as a trivial venture, as the Chinese brand has already launched in Europe, with a UK arrival expected next year. Sales will be via subscription and it’s likely Lynk & Co will be onlineonly with no physical dealerships, although don’t rule out Polestarlike pop-up experience venues in shopping centres.
Arrival
This UK company is set to make huge waves in the world of EVs, particularly buses and commercial vehicles. Founded in 2015 and based in the UK and US, its ‘assembly cells’ each have about four robots that make vehicles with aluminium parts using structural adhesive and fasteners. It made headlines with Royal Mail trying out its electric van in 2018 and First Bus announcing last month it would test its bus. The van begins wider trials in the UK this year and goes into production in 2022.
Rivian
It was founded by 37-year-old Robert ‘R.J.’ Scaringe, who dreamt of starting his own car company when he was a teenager. In mid-2018, Rivian turned up at the LA Auto Show and announced plans to build an all-electric pick-up called the R1T and an all-electric SUV called the R1S. Since then, Scaringe has raised $1.7bn from Amazon and $500m from Ford. Rivian is readying its pick-up and SUV for launch, with US production starting this year. It intends coming to the UK in 2022 with right-hand-drive cars.
Nio
Another Chinese firm, Nio has made great waves in the electric vehicle world. It’s recently revealed the ET7 in its home market – a luxury electric saloon set for launch in 2022. It has a range of more than 600 miles plus a multitude of autonomous driving technologies. It’s a serious rival to the Tesla Model S and the firm sold more than 36,000 cars in China last year alone. Nio was founded in 2014 by Williams Li, a Chinese tech entrepreneur, and since then the firm has launched a range of SUVs and crossovers, all of them electric and designed to appeal to the burgeoning Chinese premium market. The ET7 should cost around £51,000 when it launches next year, but that can be lowered if owners ‘subscribe’ to the batteries.
Rimac
Porsche has just upped its stake in Croatian tech firm Rimac Automobili from 15.5 per cent to 24 per cent – that shows you how seriously it’s taking Rimac and its technology. Its latest car is the C_Two, a 1,888bhp pure-electric GT hypercar limited to 150 units, which will be going on sale in Europe in a couple of months. H.R. Owen has the exclusive UK franchise. Founder Mate Rimac first dreamed of creating his own electric supercar in 2009, working in his garage. Just two years later, Rimac Automobili revealed the world’s first electric supercar, the Concept_One, built by a small number of employees.
WM Motor
Don’t worry if you’ve never heard of WM Motor – or Weltmeister to give it its proper name, as it sits under the WM Motor umbrella company – since it’s a brand that not many people outside of China know about. It was founded in 2015 by Freeman Shen. Weltmeister was the first Chinese EV start-up to run its own manufacturing facility. It builds home wall-box chargers and is one of the highest-funded electric vehicle start-ups in China. WM Motor is all about mass-market electric cars and has two models in its range – the EX5-Z small crossover, pictured above, and EX6 Plus, which is a mid-sized SUV. A third model called W6 arrives this year.
Continues over page CarDealerMag.co.uk | 31
FEATURE
Byton
Another Chinese electric car brand but one you should have heard of. It was established in 2017 by former BMW and Nissan executives and has had a quick journey to the top by revealing a production-ready version of its M-Byte SUV at the Frankfurt Motor Show in 2019. With a range of 289 miles and an amazing 48-inch curved OLED 4k screen that runs across the dashboard, it has the potential to really make an impact in the electric SUV sector. It revealed plans for sales in Europe last year, initially focusing on Switzerland, Germany, Norway, France, Netherlands and Sweden, and a number of dealer partners, one of whom is Hedin Automotive. Byton says it will offer an ‘onlineto-offline’ sales model with a mixture of physical and digital. UK righthand-drive sales are expected late this year or early 2022.
Morris Commercial
Morris Commercial really stands out from this list because its van – the JE – is obviously retro. While other brands here have a futuristic vibe, Morris Commercial looks to the past. The pure-electric JE is a modern interpretation of the classic Morris J-Type van loved by van operators and businesses in the 1950s and ’60s. For the 2020s, the van has been revived under a new brand called Morris Commercial, backed by UK and European investors. For approximately £60,000, it has a range of around 200 miles, a 1,000kg payload, 2.5-tonne gross weight and is manufactured with UKsourced components at a factory in Worcestershire. Further derivatives such as a pick-up are planned. Orders are already open and deliveries are expected this year.
Volta Trucks
Volta Trucks was established in Sweden in 2019 by Carl-Magnus Norden and Kjell Waloen and has already built its first vehicle – a fully electric 16-tonne truck called the Volta – which was developed in the UK. It’s the world’s first purpose-built fully electric 16-tonne commercial vehicle and has been designed for inner-city deliveries, aiming to help reduce the environmental impact freight deliveries have in urban areas. It uses an innovative e-axle for enhanced efficiency and range – the first European CV operator to do so – giving a range of 95-125 miles, and has a limited top speed of 56mph. Prodrive, Astheimer and Magtec helped build the vehicle, which went from drawing board to finished product in just 10 months. UK road trials are currently under way. 32 | CarDealerMag.co.uk
FOCUS ON Trade 2 Trade
trade-2-trade.co.uk
Trade 2 Trade moves up a gear with MotorCheck partnership
A
s a community of traders, you are the driving force behind our app’s success and we thank each and every one of you for being part of our journey. But now it’s time to shift the user experience up a gear with version 2.0. Alongside the fundamental features you have come to know and appreciate – such as verified traders, push notifications and in-app calling – our app users will now also benefit from: • Slicker, smarter design • More detailed vehicle listings • Improved trader agreements
• Reinforced trader verification process • Trader leaderboards • Auto listings
Premium Plan One of the biggest improvements is our new Premium Plan, which includes an Auto Trader retail valuation to instantly assess how well a car will sell on your forecourt and a detailed car history check from UK provenance experts MotorCheck. Commenting on the partnership, MotorCheck founder Shane Teskey said: ‘We’re thrilled to be part of this huge leap forward for Trade 2 Trade. Our shared passion for premium customer service and product innovation has made this partnership an absolute joy to be involved in, and we’re looking forward to helping thousands of dealers already on the platform discover the benefits of a MotorCheck report.’ James Vaughan, managing director of Trade 2 Trade, said: ‘We were really impressed with the reputation that MotorCheck have built up so quickly in the UK for their comprehensive car history check and excellent customer service. This partnership gives our dealers the peace of mind they need to acquire reliable stock that won’t cause problems with a hidden history further down the line.’ All current members will get to test-drive the new premium features completely free from launch until June 1, so if you’re Shane Teskey not a member be sure to register before the end of the month.
We’re thrilled to be part of this huge leap forward for Trade 2 Trade.
We were really impressed with the reputation that MotorCheck have built up so quickly in the UK. James Vaughan Our new web and mobile app will be launching at the end of March and we’ll be sharing more details in the lead up via our Facebook page at https://www.facebook.com/ tradetotradeunderwriting
For more information go to trade-2-trade.co.uk CarDealerMag.co.uk | 33
FORECOURT
AUDI E-TRON GT
THE KNOWLEDGE Audi e-tron GT quattro
Price: £79,900 Engine: Dual-electric motor with 85.2kWh battery Power: 523bhp (boost) Torque: 630Nm Max speed: 152mph O-60mph: 3.9seconds Range: 295 miles Emissions: Og/km CO2
Under the bonnet
The e-tron GT has a dual-motor set-up with one on the front axle and the other at the rear. Power can hit 523bhp.
This is the German manufacturer’s most powerful EV but what else does it have to offer? Jack Evans finds out. WHAT IS IT? This is the flag-bearer for Audi’s electric revolution and its most powerful EV. You’ll find no monster V10 or V8 engine here, with electric motors and batteries in their place. WHAT’S NEW? We’ve got a powerful combination of batteries and motors, while an ability to charge at up to 270kW means 62 miles of charge can be added in as little as five minutes – while going from five to 80 per cent could take just 23 minutes. As Audi’s tip-top e-tron model, the GT benefits from all of the bells and whistles you could want. WHAT’S UNDER THE BONNET? The e-tron GT quattro uses a dual-motor set-up, with one on the front axle and another at the rear. Audi’s quattro all-wheel-drive system is also incorporated for better traction. Our test car had adaptive suspension but entry-level GT cars will have standard suspension. WHAT’S IT LIKE TO DRIVE? The e-tron GT shuffles away from the line in a characteristically silent fashion. It’s testament to Audi’s attention to build quality that the silence from the powertrain isn’t interrupted by the merest squeak nor rattle. Gather a little pace and one of the standout features is the ride. It’s frankly sublime and in comfort mode does an excellent job of knocking back any road imperfections. The steering is oddly light for an Audi model but can be increased in weight via Dynamic driving modes. There’s a small amount of tyre noise to contend with, but the overarching impression you get from the e-tron is that it majors on that ‘GT’ badging. HOW DOES IT LOOK? The e-tron GT represents a real achievement in electric car design. It’s innovative and striking, but well resolved and lacking in gimmicks. This is a fully fledged road car, rather than a concept that has just strayed on to the public road. The front end is angular and hard to miss as anything but an Audi model, while round the back the car’s scarab-like design and full-width light bar really do look the business – in our eyes, at least. It’s a long car, mind, at 4.99 metres. That’s slightly longer than a Range Rover Sport, for context, so bear that in mind when taking sharp corners or driving close to kerbs.
34 | CarDealerMag.co.uk
TARGET BUYERS:
Those who want huge electric performance in a comfortable and good-looking package.
THE RIVALS:
Porsche Taycan, Tesla Model S, Ford Mustang Mach-e.
KEY SELLING POINTS: In the cabin The interior doesn’t quite have the wow factor that you get from the car’s exterior.
Design The rear looks the business with its scarab-like appearance and full-width light bar.
1. Solid build quality. 2. Decent range. 3. Head-turning looks.
DEAL CLINCHER:
The e-tron GT is a shining example of what electric power can do, yet delivers all of the thrills you’d expect from a high-end Audi.
WHAT’S IT LIKE INSIDE? Slide in behind the wheel and it’s immediately family Audi fare. The GT does away with the dual-screen set-up seen on models such as the A6 and Q7, instead resorting to a singular display. It means the centre of the cabin feels decluttered, while plenty of high-end materials ensure the cabin of this close-to-£80,000 car feels suitably premium. Does it have the flair you’d expect from a car that looks so terrific from the outside? Perhaps not. Though you can’t argue about the fit and finish, we’d like to see some exciting new features in here to truly showcase this car’s next-generation appeal. There’s a decent amount of space for those in the back, although headroom for taller passengers is impeded slightly by the sloping roofline. WHAT’S THE SPEC LIKE? There’s an impressive level of equipment on board the e-tron GT. You get Audi’s now de facto Virtual Cockpit set-up, which places a 12.3-inch screen ahead of the driver. It’s impressively configurable and relays key information such as speed, charge levels and range clearly and easily. The 10.1-inch central infotainment system is simple to navigate, using menus and displays that we’ve seen on models across Audi’s range. It’s here where you’re able to access the car’s settings, too, giving you the ability to change aspects such as the ride and steering weight.
The e-tron GT represents a real achievement in electric car design.
WHAT DO THE PRESS THINK? Top Gear said: ‘A handsome four-door GT that plays to Audi’s strengths, with a blistering turn of pace.’ Autocar said: ‘Ingolstadt’s take on the Taycan combines striking looks with a high-class interior and never feels short of pace.’ WHAT DO WE THINK? The e-tron GT is a showcase of where Audi is heading in terms of electrification. It’s already making strides with more mainstream cars such as the standard e-tron SUV, so this flagship model shows real confidence in the technology. It’s brilliantly deployed, too, with bracing performance and head-turning looks that galvanise the idea that electric cars can be just as exciting as their combustion-powered stablemates. Think plug-in power is boring? The e-tron GT proves that simply isn’t the case. CarDealerMag.co.uk | 35
FORECOURT
FORD MUSTANG MACH-E
THE KNOWLEDGE Ford Mustang Mach-E
Price (as tested): £46,980 Engine: Rear-mounted electric motor Power: 290bhp Torque: 430Nm Max speed: 111mph O-60mph: 6.8 seconds Range: 379 miles Emissions: 0g/km CO2
Under the bonnet
There are two powertrain choices – RWD and AWD – with the most powerful producing 346bhp.
The Blue Oval has released its new all-electric SUV into the wild. Darren Cassey saddles up to see if it can convert buyers. WHAT IS IT? This is, arguably, the most important Ford in recent memory. The Mustang Mach-E is the brand’s first product in a new generation of electric vehicles, and Ford will be hoping this SUV tempts Blue Oval buyers from combustion engines into a new zero-emission future. WHAT’S NEW? Pretty much everything. This is a totally new body, with Ford unsurprisingly opting for a sporty-looking crossover, given this body style’s huge popularity right now. It’s also built on a completely new vehicle platform specifically developed for electric powertrains. The cabin is more upmarket than we usually see from Ford, with a Teslainspired minimalist interior dominated by a large central screen. You get a choice of two batteries – standard and extended range – which have a 68kWh and 88kWh capacity respectively. The shortest range is the all-wheel-drive (AWD) standard model, which can travel about 248 miles per charge, while the longest range belongs to the rear-wheel-drive (RWD) extended range model, which can go for 379 miles. WHAT’S UNDER THE BONNET? The RWD and AWD powertrains both have an electric motor over the rear axle to power the rear wheels, with the latter getting an additional motor over the front wheels. They are permanent magnet synchronous motors that Ford claims will provide peak torque within 0.5 seconds of the driver pressing the throttle. The single-motor system makes 265bhp, while the dual motor makes 290bhp with RWD and 346bhp as an AWD model. WHAT’S IT LIKE TO DRIVE? We tested the extended range RWD model, which feels suitably brisk. It doesn’t quite have the gut-punch acceleration of some electric vehicles, even in ‘untamed’ mode, but performance is more than fast enough to have fun with. Generally speaking, the Mustang Mach-E is lovely to drive. The steering lacks feel but has a nice weight to it. But it’s not all rosy. Even though our test model had the smaller 18-inch alloy wheels, the suspension is noticeably firm, particularly at lower speeds. There’s a lot of road noise, too – but fortunately the sound system is so good it’s no bother to drown it out…
36 | CarDealerMag.co.uk
HOW DOES IT LOOK? The Mustang Mach-E looks fantastic. Its muscular stance makes it seem like it could be huge in photographs but it cuts a surprisingly dainty figure in the real world. The closed-off grille is something we’ll get used to with EVs becoming more popular, as they don’t need the same levels of cooling as combustion-engined cars. Meanwhile, the narrow LED headlight design results in a terrific signature look at night. WHAT’S IT LIKE INSIDE? The Mach-E’s interior is where the real wow factor begins. The first thing you notice is the massive 15.5-inch infotainment screen. At first it feels like overkill and is incredibly distracting but you quickly get used to it. The minimalist design has a relaxing feel, too, while the spaciousness will appeal massively to families. WHAT’S THE SPEC LIKE? After the government’s plug-in car grant is taken off, prices for the standard RWD Mustang Mach-E start at £37,350 and rise to £46,980 for the extended range model. Standard equipment includes 18-inch alloy wheels, the 10.2-inch digital instrument cluster and 15.5inch infotainment screen, adaptive cruise control, and wireless smartphone charging. Opt for an AWD version and prices start at £43,650 for the standard range and £57,030 for the extended range. Standard equipment on AWD models includes 19-inch alloy wheels, adaptive LED headlights, red brake callipers and the dual-motor powertrain. WHAT DO THE PRESS THINK? Car Magazine said ‘there’s a little more flair here than a Tesla Model Y’, while Top Gear called it a ‘comfortable and capable’ electric crossover. WHAT DO WE THINK? The Mustang Mach-E is an impressive effort. It looks fantastic, has a Tesla-rivalling cabin and is genuinely great to drive. Compared with its rivals, it looks keenly priced and great value, too.
The cabin The interior has the real wow factor with a massive 15.5-inch infotainment system, while the design has a relaxing feel.
Looks The Mach-E has a muscular stance and the LED headlights give the car a top signature look at night.
TARGET BUYERS: Families looking for a zero-emission SUV. Business buyers.
THE RIVALS:
Audi e-Tron, Jaguar I-Pace, Mercedes-Benz EQC.
KEY SELLING POINTS:
1. Value for money. 2. Good choice of powertrains. 3. Long range.
It looks fantastic, has a Tesla-rivalling cabin and is genuinely great to drive.
DEAL CLINCHER:
Great interior and huge range on RWD model.
CarDealerMag.co.uk | 37
FORECOURT
RENAULT MEGANE THE KNOWLEDGE Renault Megane R.S. Line TCe 140
Renault has reworked its family-sized Megane but does it provide competition against newer rivals? Ted Welford took it for a spin. WHAT IS IT? This is an updated model of what was once one of Renault’s most popular cars. WHAT’S NEW? One of the biggest changes is bringing in a plug-in hybrid – on the estate model for now. The rest of the car gets a redesign, with full LED lighting and a welcome quality and tech boost. A new tame-but-sporty-looking R.S. Line grade replaces the GT Line trim as well. WHAT’S UNDER THE BONNET? Things remain simple in the Megane hatchback range, with just one petrol and one diesel to choose from and each getting a manual or automatic gearbox. WHAT’S IT LIKE TO DRIVE? Comparatively small 17-inch alloy wheels lead to a compliant ride, while the smooth – if unexciting – engine delivers where needed. But it’s never much fun, with little weight to the steering, even when in the Sport setting. HOW DOES IT LOOK? With its striking C-shaped LED lights at the front, it stands out for all the right reasons. The R.S. Line grade gains a sportier bodykit and ‘F1-style’ front running blades. There’s no mistaking it’s one of the most stylish cars in this segment.
Price (as tested): £25,705 Engine: 1.3-litre turbocharged petrol Power: 138bhp Torque: 240Nm Max speed: 127mph 0-60mph: 9.2 seconds MPG: 47.1 Emissions: 136g/km CO2
TARGET BUYERS:
Those looking for a stylish yet sensible family hatchback.
THE RIVALS:
Ford Focus, Kia Ceed, Peugeot 308, Vauxhall Astra.
KEY SELLING POINTS:
1. Stylish looks. 2. Much-improved interior. 3. Slim trim and engine choice avoids confusion.
DEAL CLINCHER:
As striking looking as ever but boasting a cabin with more finesse.
WHAT’S IT LIKE INSIDE? Arguably the best change on the Megane comes when you step inside, with a far more pleasant and higher-quality cabin than before. You get a larger 9.3-inch touchscreen with all the bells and whistles plus a new 10-inch digital dial system you can easily configure. WHAT’S THE SPEC LIKE? There are now just two trims – Iconic and R.S. Line. Even as standard it gets plenty of equipment, including full LED lights, reversing camera and keyless entry. But we’d be tempted to go for the R.S. Line for its sportier look, larger touchscreen and digital dials. WHAT DO THE PRESS THINK? Auto Express said: ‘This facelifted Megane is an evolutionary update that just keeps it competitive in the fast-paced family hatchback sector rather than ripping up the rulebook.’ WHAT DO WE THINK? Despite a strong combination of style, much-improved interior and reasonably good value for money, the drab driving experience and lack of a real unique selling point mean it’s likely to remain second best next to crossovers and rivals such as the Ford Focus. 38 | CarDealerMag.co.uk
Interior
The best change to the updated Megane is the cabin, which now has a high-quality feel.
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t 01732 871 417 w tcardsonline.co.uk CarDealerMag.co.uk | 39
FORECOURT
BMW M3
THE KNOWLEDGE BMW M3 Competition Price: £83,545 Engine: 3.0-litre twin-turbo straight-six petrol Power: 503bhp Torque: 650Nm Max speed: 180mph O-60mph: 3.7 seconds MPG (combined): 27.7-28.2 Emissions: 234-228g/km CO2
Under the bonnet
The twin-turbo, six-cylinder 3.0-litre petrol pumps out 503bhp and punches the M3 to 60mph in 3.7 seconds.
The BMW M3 is well known globally – but with such a weight on its shoulders, can this latest car build on such a reputation? Jack Evans tries one out. WHAT IS IT? This latest G80-generation car promises even more than before and arrives with all manner of new features and performance enhancements. WHAT’S NEW? We’ve got a new engine, a longer and wider body and a fresh face that has caused quite a stir in motoring circles. There’s also the option of all-wheel drive for the first time. But most importantly for an M3, we’ve still got four doors and a decent boot . WHAT’S UNDER THE BONNET? It’s still a twin-turbo, six-cylinder 3.0-litre petrol like you’d find in the older car – but it’s a far different beast. For starters, we’ve got a lot more power that means it can reach 180mph if you tick the box for the M Driver’s package – otherwise it’s 155mph. Drive is sent to the rear wheels alone through an eight-speed automatic transmission. WHAT’S IT LIKE TO DRIVE? The steering is one of the biggest changes here. Whereas before the old car’s wheel became overburdened, weighty and a bit rubbery at times – particularly in sport modes – in this M3 it’s properly weighted and feels correctly connected to the front wheels. Then there’s the engine. Strong and purposeful, it has all the performance you could want from a road car. The shifts come thick and fast when making progress, but snappy gear changes from the pleasantly finished carbon-fibre paddles mean swapping cogs is another hugely positive part of the experience. The level of grip you can achieve through longer, sweeping bends is far beyond what you would’ve found before, while the new adjustable traction control system will mean even novice drivers can get the best from the new M3. HOW DOES IT LOOK? Boy, has the M3’s design got tongues wagging. It’s all down to those front vents, of course, which have been lessened in visual impact thanks to fitting the number plate in front of them – although they’re still hard to miss. It’s very spec-dependent, mind you, with brighter colours emphasising the new kidney grilles and darker shades playing them down.
40 | CarDealerMag.co.uk
TARGET BUYERS:
Drivers who want to outpace the competition in a car that also has enough space for children and luggage.
THE RIVALS:
Alfa Romeo Giulia Quadrifoglio Mercedes-AMG C63 Audi RS4 Avant
Looks The M3’s design has set tongues wagging, thanks to its front vents.
Interior Seating position is spot on and the optional bucket seats provide superb support.
The level of grip you can achieve through longer, sweeping bends is far beyond what you would’ve found before.
KEY SELLING POINTS: 1. Massive performance. 2. Great build quality. 3. Loads of adjustability.
DEAL CLINCHER:
The new BMW M3 is even more accomplished than before – which makes it easily one of the best performance cars on sale today.
WHAT’S IT LIKE INSIDE? Things are least revolutionary inside. It’s standard BMW fit-and-finish here, with an excellent driving position helped no end by the carbon-backed bucket seats. They may be part of a £6,750 Carbon Pack extra – no small amount of money on top of a £73,100 car, we’ll admit – but the level of support they provide is superb. They’re also heated and electrically adjustable, unlike many other bucket seat options. The M3 also has the added benefit of easy access to the rear of the cabin, where you’ll find a decent amount of space. And when it comes to boot space, there are 480 litres on offer. WHAT’S THE SPEC LIKE? As we’ve already highlighted, the M3 costs over £70,000 as standard. You do get plenty of standard equipment for that amount, mind you, with features such as a Harman/Kardon stereo, on-board wifi hotspot and wireless phone charging. Crucially, you still get M Adaptive Suspension and an M Sport differential, which means you don’t have to pay more to make the M3 the best it can be dynamically. Our car had some choice options added to it, including the aforementioned seats, a comfort pack consisting of a heated steering wheel and electric boot lid (£990) plus highperformance Laserlights which, although steep at £1,500, are well worth adding for cutting through the murky weather the UK so frequently suffers from. WHAT DOES THE PRESS THINK? Autocar said: ‘Where the BMW M3 impresses most is with its ability to be fast and vivid one moment, and comfortable and relaxing the next.’ Pistonheads said: ‘On first experience, it appears to tread a nice ground between the thuggish attitude of a C63 and a Giulia’s eager athleticism as well – which is exactly where an M3 should be.’ WHAT DO WE THINK? This latest M3 feels like a very different animal to the car it replaces. It’s no less exciting, visceral or focused and remains a car with one steely eye firmly fixed on crossing ground extremely quickly, yet it can still offer all the space and comfort you need on a daily basis. But it’s far easier to tone down than before. It isn’t ‘on’ all the time like the F80-gen car was, which makes it much more enjoyable to drive. Say what you like about the looks, but this latest M3 is easily one of the best-driving performance cars to go on sale in 2021. CarDealerMag.co.uk | 41
FORECOURT
TOYOTA SUPRA THE KNOWLEDGE Toyota GR Supra 2.0 Pro
With less power but also less weight, is the Supra 2.0 the better choice in the sports car’s range? Darren Cassey checks it out. WHAT IS IT? It’s a new lower entry point – using a 2.0-litre four-cylinder BMW engine. But even though it’s less powerful, it could be the sensible Supra choice for keen drivers because it’s lighter. WHAT’S NEW? The main benefit is a weight reduction of 100kg, which Toyota says equates to sharper handling. The smaller engine can also be placed further back, making it easier to achieve the ideal 50/50 weight balance. There are a few styling tweaks as well. WHAT’S UNDER THE BONNET? The 2.0-litre, four-cylinder unit with a twin-scroll turbocharger makes about 80bhp and 100Nm less than the 3.0. WHAT’S IT LIKE TO DRIVE? The 2.0’s USP is its lightweight agility, and once you realise you can be a bit more aggressive with your throttle inputs than with its bigger brother, it’s easy to get into a flow. HOW DOES IT LOOK? The long bonnet and small cabin are classic. The front has a lot going on, with the large air intakes in the bumper hinting at the performance on offer, but there’s more subtlety at the back with the lipped spoiler, wide and narrow lights, plus sporty diffuser.
Base price (as tested): £45,995 Engine: 2.0-litre four-cylinder petrol Power: 254bhp Torque: 400Nm Max speed: 155mph 0-60mph: 5.2 seconds MPG: 38.7 Emissions: 167g/km CO2
TARGET BUYERS:
Those looking for a sports car that puts handling before outright performance.
THE RIVALS:
Porsche Cayman, Alpine A110, BMW Z4.
KEY SELLING POINTS:
1. More affordable than the 3.0-litre version. 2. More focused driver’s car. 3. Styling with iconic name.
DEAL CLINCHER:
With less power it feels like a purer driver’s car while also costing less.
WHAT’S IT LIKE INSIDE? The interior does a great job of incorporating BMW elements and plenty of nice materials, but it feels a touch claustrophobic. WHAT’S THE SPEC LIKE? New 18-inch alloys replace the 3.0’s 19-inchers, as well as a chrome finish for the exhaust. It loses the head-up display and electric seats but you do get a four-speaker sound system, heated sports seats and extensive driver assistance tech. A Fuji Speedway Edition (£47,395) takes the wheels back to 19 inches and includes leather and Alcantara upholstery. WHAT DO THE PRESS THINK? Top Gear called it ‘objectively a better car’. WHAT DO WE THINK? With less power, the 2.0 might feel like the lesser car in the Supra range. However, once on your favourite stretch of road, its light and nimble nature comes to the fore and it becomes arguably more enjoyable for keen drivers. With near-identical equipment levels and costing almost £10,000 less than the 3.0, it also starts to feel like something of a steal. 42 | CarDealerMag.co.uk
The cabin
BMW elements are incorporated well, although it does feel somewhat claustrophobic inside.
CarDealerMag.co.uk | 43
44 | CarDealerMag.co.uk
FOCUS ON Autoglym
lifeshine.com
Why now is the time to refresh your sales site
W
ith the roadmap tentatively laid out to a return to some kind of normality, dealerships across the UK are looking forward to the days when they can reopen their doors and welcome back customers. But when they do, competition will be fierce and frantic. After all, while March sales aren’t looking as strong as usual, they’re not as drastic as many in the industry had feared. Customers are getting more and more used to the idea of making large purchases online – and that includes cars. The reopening of dealerships will also feed aftersales opportunities – the chance to sell accessories or paint protection products such as Autoglym LifeShine, which has been tougher than usual in recent trading conditions and is a great source of commission for dealers. When non-essential retail reopens on April 12 – if all the conditions laid down by the government are met – the industry is expecting a wave of pent-up demand to give sales a much-needed boost, especially as economic confidence returns post-lockdown. According to What Car?, almost 60 per cent of car buyers have decided to change their purchase plans after the government’s roadmap announcement, with strong pent-up demand that could carry on to ‘at least June’ and 43 per cent are looking to buy a new vehicle within three months. So how do you make your dealership stand out from the crowd and draw buyers in as that date of reopening draws near? Steve Forster, operations director of a well-known dealer group in north-east England, said: ‘We’ve given our sites a bit of a spruce-up during lockdown. With no customers coming through the doors, we’ve been able to get work carried out, rearrange our layout, add an extra franchise and increase the vehicle footprint of our showroom. We’re looking forward to inviting our customers back to see the changes and offer them a wider choice of new and used cars as a result.’ It’s not just new car dealerships that have seen changes either. Chris Johns, a sales manager at used car site Carworld in Peterborough, is of the view that presentation is everything when it comes to getting new customers through the door. ‘Just because people are buying used doesn’t mean they accept a budget experience,’ he said. ‘So we make a point of giving them a showroom experience, with clean cars, plenty of indoor viewing space, coffee and tea, and a friendly welcome. We think that will be the big difference when we open up again, compared to other sites that are little more than yards full of cars. People expect more, and lockdown has given us the chance to make sure the site looks as good as it can so we can offer more.’ Car Dealer founder James Baggott said: ‘The key to successful automotive retail is to stand out above the rest. The ones that make the biggest effort will get the best reward. Our research always tells us that the customer experience is one of the single biggest factors in converting a sale. Make the experience good for the customer and they’ll want to buy from you.’ Auto Trader, meanwhile, has reported that used car prices were up 6.6 per cent on the same month last year. February was the 11th month of consecutive price growth in the used car market, it said. What’s more, volumes of buyers on Auto Trader point to growing interest from buyers looking to change their vehicle. Visitor numbers to Auto Trader are up 32.9 per cent on the same (pre-lockdown) period in 2020, with average daily users topping 1.4 million. ‘The car sales market is alive and well,’ added Baggott. ‘The key for any dealer now will be to attract that pent-up demand from customers to buy from them and not a rival, and a lot of that is down to their presentation and attitude. After months of uncertainty, we’re looking at months of opportunity, and now is the time for dealers to have a clean-up, make their sites and their stock as attractive as they can be and draw those customers in.’
The key to successful automotive retail is to stand out above the rest. Car Dealer founder James Baggott
To find out more about LifeShine and how it can help benefit your business, visit lifeshine.com CarDealerMag.co.uk | 45
FEEDBACK TOP TWEETS
Could we see premium brands sharing showroom space in the future?
Daksh Gupta @MarshallMotorGp
No chance and we wouldn’t want to do it anyway! (Unless it’s a very unique franchising issue, eg, Isle of Wight.) As a franchised retailer we deliver brand values and experience. That’s why you buy a premium car.
Bruce J Beaton @beaton_bruce
Not sure about sharing the same floor and roof. In Stockton we marketed BMW, JLR & Mercedes as a destination ‘village’. @ewmotorgroup do this very successfully in Edinburgh.
Ashley Proniewicz @ashpron
Volume franchises of the same stable (eg, Stellantis) can work. Another thing entirely to put highly competitive brands under the same roof. Premium manufacturers don’t like rivals’ used cars sold from same pitch so unlikely they’d agree to share a new car showroom.
Your comments via email to editorial@blackballmedia.co.uk
Facebook Marketplace: A case of DIY or getting others to sort it? I don’t advertise on Facebook and I know some people have quite a good success rate with it, but do you do it all yourself or do you farm it out to a third party to handle it for you and if so who? I’ve got plenty of time on my hands at the moment with being closed and am really just looking at all advertising platforms to make sure I’m not missing a trick and am trying to bring myself up to date with everything. Lazz I’m not a Facebook user as such, I just opened an account so I could place adverts. Auto.Social uploads them from my website, but if I were to start again I think I’d be tempted to just do the adverts myself. I do well out of Facebook. I only advertise on there and eBay Motors Pro. At the moment I make more sales from FB than eBay. Just about all of my pricier stock (up to £7,000) sells courtesy of Facebook. It’s those who email asking you to phone them that I don’t understand. As they’ve got time to email why don’t they just pick up the phone? BHM
PICTURE OF THE MONTH
Facebook does have its place and it’s not going to break the bank, but the flip side is it drives me bloody nuts. What’s the lowest price? Will you take £17,000 when it’s on sale for £20,000? Has the TT got an electric roof? Is my Clio 57-plate with 70,000 miles worth £2,000? That’s just this morning’s list of questions from Facebook. Flip side of that dopey set of questions is on Saturday I sold two from Facebook, PX to clear types at £2,000+ so it’s good for that type. David Horgan
Here’s a heartwarming sight! Polestar’s new outlet at the Trafford Centre in Manchester had to delay its opening because of the lockdown, so staff put the time to good use by organising an initiative that led to more than four tonnes of food being donated to help vulnerable people. Ten Polestar EVs delivered the meals – all 10,000 of them.
I will absolutely not do business with anyone who doesn’t phone me on the business landline during business hours, or call in to my premises (when allowed). No answerphone messages, no texts, no withheld numbers. I have always been of the opinion that anyone who seriously wants to buy a vehicle or get repair work done will ring back. It’s worked well for me over the past 40 years and I see no reason to change that now. Does that make me a dinosaur in modern Facebook times? Very likely, but a happy, stress-free dinosaur most of the time. Dave2302
I rather think that if I am having to message these muppets over and over I am actually missing sales from people who do actually want to purchase. It has been said before but messers message. Blenheim Car Sales Yup, I get what you’re saying, but I’ve dealt with plenty of nice people through these methods. And come to think of it, most of the messers I’ve experienced have been on the phone. Marketplace does have a higher percentage of time-wasters. However, I have arranged plenty of sales through texts, Messenger and email without talking to customers until they turn up to inspect/buy. It is the way of the world these days and I suspect some of you will be missing out on sales down the line with your stances but I appreciate it’s your right to do business how you choose. Johny1980
More and more of our readers are joining the debate – and it couldn’t be 46 | CarDealerMag.co.uk
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OUT OF THE ORDINARY
What cars are in surprising tax bands? I always watch out for run-of-the-mill cars sneaking into £565 tax band that you wouldn’t expect. Obvious one is the Chevrolet Tacuma 2.0 Petrol Automatic. Came across another this week that I wasn’t expecting. I got offered a Peugeot 407 SW, diesel top-spec auto. Thought that should sell well. Turns out it’s a 2.7-litre diesel and emits 226g/km so is just in the £565-a-year tax band so I declined. Who’s going to pay £565 a year for a diesel estate I thought? Are there any other ordinary cars you have come across that sneaks into £565 band? And if you bought one, how did you do with it? BIGNIT
We’ve teamed up with Car Sales Memes to bring you a few of their funniest captions and slogans each month. Enjoy!
Some automatic Saab convertibles (I assume you’d say 9-3s are ordinary) sneak in at a few more grams over the threshold. BHM That is why a 2016 E Class is worth more than a 2017 model car for car.
Dave2302
Volvo XC90 is a prime example. Earlier Freelander 2 was heavier on road tax than the 2010 or after. But they still sell. A&S Couple of oddballs we’ve had that are £565 taxers were a Subaru Tribeca and Nissan Murano. Both petrol auto 3-litres or maybe 3.5-litre. Both an acquired taste in the looks department but in their defence very, very nice places to be for sub-£5k. All the toys, comfy seats and had that lovely 20mpg wafty lazy drive. Both sold very quickly. grant8064
What’s the best way to become an MOT tester? Looking for some info, please. Although I’m not a time-served mechanic I do know the basics and have done for many years so was wondering if anyone here could advise what road to go down to become an MOT tester and manager? Also, do they know of any training companies in Scotland or even the UK who do it? Lastly, can you offer any advice on study material for the courses? it’s something I’ve wanted to do for a while and think if I don’t do it soon I never will. Thanks in advance. Casper Would highly recommend an IMI Approved Centre. They set the national occupational standards for the industry. You can search for local centres on their website. They also offer EV qualifications. L3 takes only five days. Not all the centres offer the full range – you will have to contact the centres or the IMI directly. If we in the ‘trade’ can’t help each other, nobody else will! For me, the appeal of the IMI is it is only focused on the motor industry, unlike City & Guilds, BTEC and the like, which are multi-industry. The curricula are as up to date as anyone’s, although I think they have to give these to other bodies. The assessments are well thought out – well, they were when I looked at them a few years ago. Petrol Head
easier to get involved! Sign up to our forum at CarDealerMagazine.co.uk/forum
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DASHBOARD
SUPPLIER NEWS
A ROUND-UP OF WHAT’S BEEN HAPPENING ACROSS THE COUNTRY IVENDI
Sales via platform top £1.3bn over 12 months
MOTOR retail tech firm iVendi is celebrating more than £1.3bn of online and showroom vehicle sales being made by dealers via its platform over the past 12 months. The figure is £200m more than the previous year and reflects sales of more than 120,000 vehicles, it said. CEO James Tew, pictured right with chief operating officer Richard Tavernor, said it showed the extent to which technology had sustained dealers through the pandemic.
WHAT CAR?
Vast majority happy to go to showroom again NEARLY everyone who is looking to buy a car would be happy to visit a showroom when the lockdown is lifted. That’s according to new research by What Car? which said 95 per cent of 2,823 in-market buyers polled for its weekly industry study said they’d feel comfortable going into a dealership as soon as it’s allowed. The same proportion also believe dealerships and retailers can be run in a Covid-secure way, guaranteeing staff and customer safety – up from 89 per cent in October.
GFORCES
Partnership sees launch of AI videos
AUTOMATED videos powered by artificial intelligence have now been made possible for car dealers via a partnership between e-commerce systems provider GForces and Swedish firm Phyron. It means traders using GForces’ NetDirector Auto-e platform can include an instant video for every vehicle in stock – something that was previously expensive, took a lot of time to do and had inconsistent results, says GForces. 48 | CarDealerMag.co.uk
KEYLOOP
To be honest, at the time I had no idea what he was on about, as I had never bought a car nor had I sat in a new one!
Ben Garside p59
WMS GROUP
Post-CDK Global life Warranty warning over starts with acquisitions online used car sales
NEWLY announced automotive tech products supplier Keyloop has bought fellow technology businesses enquiryMAX and Rapid RTC. It comes on the heels of global investment firm Francisco Partners’ $1.45bn (£1.04bn) acquisition of CDK Global International, which saw the latter become Keyloop and whose chief executive, Tom Kilroy, said: ‘We are very excited to include their outstanding lead management and showroom products in our offering.’
DEALERS are being urged to ensure that the used cars they sell online come with suitable warranty cover. It follows a poll of 1,000 UK consumers by warranty provider WMS Group which found that nearly a third (30 per cent) of them were likely to buy their next used car online without seeing it in person or speaking to the seller. Instead, they said they would rely on pictures or videos of the vehicle on a website – especially because of the lockdown.
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MAC& EASE! FEATURE
The Woking supercar manufacturer pitches the GT as a McLaren to be used day in, day out – Jack Evans discovers how usable it really is in normal life.
The front wheel of the bike fits neatly in the GT’s rear section 50 | CarDealerMag.co.uk
E
veryday driving throws up all manner of challenges. Weather, kerbs and – particularly in the UK – potholes all make driving on a day-to-day basis a real challenge for the average vehicle. Even something as simple as making a trip to the shops requires certain characteristics from a car. When it comes to supercars and grand tourers, things take a slightly different twist. Most of the time, these high-end cars aren’t designed to put in the hours on a daily basis. They’re often low and unforgiving and haven’t been made with practicality in mind. As a result, this can often leave them feeling compromised if you try and run your usual errands in them. But McLaren’s GT could be different. The Woking-based supercar manufacturer has tried to implement some new measures in its latest grand tourer to make it a slightly softer, more usable affair compared with its traditionally laser-focused, track-orientated supercars. It’s why it has a deep storage section in the nose. And while that might be good for storing overnight bags, it’s also spacious enough to carry three bags of shopping from the supermarket with ease. In fact, with three bags in place they’re all braced in well, so there’s very little movement to disturb your more delicate shopping. The eggs can stay well and truly unbroken, in fact. And thankfully, you’re able to keep it that way even if there are speed bumps on the way out of the car park. You can lift the front of the GT, clearing its precious carbon-fibre nose from a collision with the tarmac. It’s a useful function for a variety of occasions, in fact, particularly in the UK where you often find a myriad of surface challenges on every journey. But what happens when you’ve put your intact shopping away? For me, that usually means heading out on my bike – something that traditionally requires a larger car and a set of roof bars. However, even this isn’t out of reach for the GT. Okay, so we’ll admit that it isn’t the most straightforward of set-ups, but with the help of a Seasucker Talon bike rack, you can get your ultra-light road bike on top of the GT’s clever glass rear hatch. Although removing the front wheel could’ve posed a problem, the
The GT is quite at home navigating supermarket car parks
The GT’s dihedral doors are hard to miss
Attaching a bike to the GT isn’t that much of a problem
The deep front section is large enough for several bags of shopping
With the help of a Seasucker Talon bike rack, you can get your ultra-light road bike on top of the GT’s clever glass rear hatch.
The GT’s dihedral doors are hard to miss
Jack tweeted his love for the McLaren... and cheese! Canyon’s carbon-fibre front fits in the McLaren’s rear load area like it was designed to be stored there. Because of current restrictions, we only did this to illustrate how you can store a bicycle on the McLaren, but given the sturdiness of the suction between rack and car, you could easily see this being used over long distances once we’re allowed to. There are a few caveats to all of this, of course. The front end of the car feels ridiculously far away, and even though you’ve got the bonus of being able to lift the nose, you’re always conscious of clanging the front end. It’s also quite a long car, so when you’re entering or leaving a narrow space or driving on a tight country road, you are acutely aware of its proportions. The GT chomps its way through quite a lot of fuel as well, which is something an ‘ordinary’ car doesn’t tend to do. You can’t park it subtly either, as the long, sweeping design and raucous engine note tend to attract quite a lot of attention. That’ll be no bad thing for many people, but it certainly does detract from the GT’s ‘everyday’ usability. More than anything though, using a car such as the GT each and every day comes down to how you think about it. This McLaren gives you enough in the way of practicality that you can at least attempt to use it even on the most mundane of trips, thanks to a decent boot and a relatively practical layout. It might not initially look like it could provide the same usability as a regular car, but the GT certainly goes above and beyond to make you believe it’s possible. CarDealerMag.co.uk | 51
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FEATURE.
A SELECTION OF COOL STUFF TO CHOOSE FROM THIS MONTH It’s fair to say that it’s been a pretty bleak winter. However, the evenings are starting to get lighter again and it looks like we’ll all be able to venture further afield soon, too. To lift spirits even more as we head towards Easter, we’ve found some great things to help spark some life into the second quarter of the year – so let’s take a look.
Jaguar E-Type 60th Anniversary Bremont Watch
Porsche 911 Wireless Charging Pisto
Outlierman Monza Weekender Bag
Playmobil Volkswagen T1 Camper
LIKELY to be a hit with Porsche aficionados as well as those with an interest in mechanics, the 911 Wireless Charging Piston combines old- and newschool tech. It incorporates a wireless smartphone charging pad into a genuine Porsche 911 piston, meaning you can charge your phone atop a key component of one of motoring’s finest.
IT’S been a tough year already so why not treat yourself? OK, even we’ll admit that more than £1,000 for a leather holdall is at the steep end of the things, but the Outlierman Monza Collection Weekender Bag is practically dripping in premium touches. Designed and made in Bologna, this is certainly a classy way of transporting your things.
THERE’S no reason why you can’t have a bit of adventure on a smaller scale, right? This Playmobil model recreates one of the most iconic campers of all time – the Volkswagen T1. Based on one of VW’s own heritage vehicles, the model features working features such as the seats, tables and cupboards and is something that’ll be enjoyed by all.
£265
£1,030
Car dealer new strip ad Revised
4/4/18
12:01
JAGUAR’S famous E-Type celebrates its 60th anniversary this year and to mark the occasion it’s going all out with commemorative gear. As well as a special-edition version of the E-Type and even a limited-edition whisky, Jag has partnered with respected watchmaker Bremont to create a special chronograph watch. At £12,995, it costs the same as a used example of the firm’s XK, but for watch fans this will be one to snap up.
Page 1
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DASHBOARD
BUSINESS NEWS
A ROUND-UP OF WHAT’S BEEN HAPPENING ACROSS EUROPE MARKETS
European stocks rise as vaccine fears allayed
EUROPEAN markets climbed higher after the European Medicines Agency sought to calm concerns over the Oxford/AstraZeneca coronavirus vaccine. London traders welcomed the agency’s statement that it ‘remains convinced’ that the ‘benefits of this vaccine outweigh the risk’ after a number of EU countries suspended its use.
DELAY
Business rates review postponed to autumn THE Treasury has pushed back its review of business rates until the autumn. It said it was delaying the report as it expected more economic certainty then. Rishi Sunak announced the fundamental review during last year’s Budget and a call for evidence was launched in July. Responses were being looked at by the government, with an interim report set to be released on March 23. The business rates holiday for the current financial year ends on March 31. Bosses want the £11bn tax break to be extended for another year.
LETTINGS
Rent outside London rises by eight per cent
AUDITING
Big Four firms’ dominance might be broken up ACCOUNTANCY regulator the Financial Reporting Council should be replaced with a body that has legal powers to improve the quality and standards of the auditing profession, says the government. A consultation has been launched with ministers saying the new rules, backed with legislation, will help avoid future large-scale company collapses, with auditors able to spot problems sooner. Proposals also include plans to break up the dominance of the Big Four accountancy firms – KPMG, Deloitte, PwC and EY – in the auditing sector to avoid conflicts of interest.
RENTS outside London surged by eight per cent annually in February, an index has found. Across Britain but excluding London, the average price of a newly let property was £68 higher per month at £913, said Hamptons. Rents in London, meanwhile, dipped by 0.2 per cent annually to £1,759 on average, driven by sharp falls in inner London.
WE HERE FOR FORYOU YOU WE ARE HERE 54 | CarDealerMag.co.uk
BUDGET
Profits tax to increase to 25 per cent from 2023
MORE THAN JUST A
FINANCE COMPANY CORPORATION tax will rise in the UK to a level not seen since 2011. Reversing a decade of cuts in the Budget on March 3, Rishi Sunak said the tax rate on profits by businesses will increase from 19 to 25 per cent as of 2023 to contribute towards the nation’s post-pandemic economic recovery, following the government support provided to them. Only businesses making profits of £250,000 or more will be taxed at the new rate – affecting around 10 per cent of all companies.
TALK TO US TODAY. 0115 946 6260 enquiries@frfl.co.uk frfl.co.uk/car
INSURANCE
£202m paid out over Covid deaths INSURERS paid out £202 million to support the families of people who died in 2020 because of coronavirus, the Association of British Insurers has revealed. The total equates to £552,000 of payments being made every day last year. Some 11,198 claims were received under individual and group life insurance policies. It’s the first time it has compiled life insurance payouts arising from a single event in this way, which it said reflected the pandemic’s significance.
just a phone call away. CarDealerMag.co.uk | 55
DASHBOARD
INDUSTRY VIEWS NEWS AND THOUGHTS FROM SOME OF OUR CAR DEALER LIVE GUESTS
We have a large number of people who will not do anything without test-driving a car.
David Wishart Frasers of Falkirk
CAP HPI
Buy used cars now because prices will go up
CAP HPI’s Derren Martin says while the rush following lockdown three won’t be as intense, he believes the pent-up demand that’s out there will push prices up across the board once again. ‘It’s a good time to buy a used car for the trade and for consumers. ‘I think prices are going to go up once April 12 comes around and I would be out there looking to buy now. ‘I certainly wouldn’t be holding back buying at the moment and think it’s a good time to buy – especially if people are looking in the short term, because I think prices will go up.’
FRASERS OF FALKIRK
CARZAM
Showroom staff must prepare to be ‘match fit’
Strong need for education about going electric
FRASERS of Falkirk boss David Wishart talked with Sentience Automotive Solutions boss Ali May-Khalil about how car dealers can start getting showroom staff ‘match fit’ and ready to take on any rush of new business that comes from pent-up demand. Wishart, who runs SsangYong and MG franchises, explained how 2020 was a bumper year for his dealership and how he’s expecting to cater for more customers when he is allowed to open his showroom doors again. ‘We have a large number of people who will not do anything without test-driving a car, and understandably so. We have got a lot of people to contact when things reopen and we’re able to do that again.’
JOHN BAILEY explained his experience of buying an electric car proved there was a strong need for education among the motor trade and wider general public, especially as the UK races towards the 2030 cut-off point for the sale of new petrol and diesel cars. He invested in Electrifying.com in 2020 and talked about the difference he could see it making in the marketplace. ‘My view is you get more information from Electrifying than you would from a dealer. I bought an electric car earlier this year, and in my experience, while the dealer was knowledgeable, they weren’t as knowledgeable as I thought they would be. Electrifying helps to fill that void in the marketplace.’
56 | CarDealerMag.co.uk
The latest from our fleet. Long-termers: p67
Watch our Car Dealer Live broadcasts as they go out or catch up on any that you’ve missed at: cardealermagazine.co.uk/live MARSHALL MOTOR GROUP
ELECTRIFYING.COM
Team were outstanding in challenging conditions What we’ve done as an industry is confuse people
DAKSH Gupta said on a special edition about Marshall’s 2020 results that government support and strong pent-up demand had made a huge impact on his business but that shouldn’t take away from what they had achieved. ‘We’ve got to put some balance on this. We did benefit from sector tailwinds, especially after the first lockdown, and we did benefit from government support, which we’re extremely grateful for as an organisation. ‘That said, I really don’t want to take anything away from our team, because once again they were outstanding in challenging market conditions.’ He added: ‘I think from my perspective we can’t control the market or global pandemics – our job is to outperform and we’ve done that again.’
I didn’t want to set out and do another website just about cars – quite frankly, the world has got enough of them.
Ginny Buckley Electrifying.com
GINNY Buckley explained that while the electric car market was growing exponentially in the UK, consumers were still confused. ‘I didn’t want to set out and do another website just about cars – quite frankly, the world has got enough of them,’ said the CEO and founder. ‘There’s a bit of disconnect between car advice, dealer and OEM sites, and the people who actually buy cars. So, with Electrifying.com, I really set out to change that. What we’ve done as an industry with electric and hybrid cars is really confuse people. We bring independent, trusted advice in an accessible, authoritative, personality-led style. We don’t preach to the converted, and if an electric car isn’t suitable for someone then fine.’
CG PROFESSIONAL
Disputes are on the rise but who knows why?
CG PROFESSIONAL founder and managing partner Stacey Turner said she’d seen a deluge of customer complaints and employee issues – and disputes had grown with every lockdown. ‘We’re seeing from our clients a lot of disputes and they’re issues right across the board.’ The increased levels were a sign of the times she said, adding: ‘We saw it in 2008 and 2009. In times of economic trouble you just see a rise in litigation. Whether that’s because people are desperate or have more time because they’re perhaps furloughed and are becoming keyboard warriors and enjoying the process of raising lots of incessant complaints, I’m not sure.’ CarDealerMag.co.uk | 57
DASHBOARD
FINANCE NEWS SURVEY
Cash is still king as average monthly payments revealed
T
he average amount of money a car buyer spends per month on their finance payments is between £300 and £400, a new survey has found. A What Car? poll of 1,212 car buyers for Car Dealer found a wide spread of payment amounts from those buyers who said they’d used finance to fund their last car purchase. Cash was surprisingly the most popular option for those buyers surveyed, with 67 per cent of them saying they funded their last new or used car that way. Of those who’d used finance to pay for their last car, PCP was the most popular method, followed by HP and PCH. Some 63 per cent of the survey respondents said their current car was more expensive than their previous one, with 44.9 per cent predicting their next car will cost even more. Nearly 32 per cent said they thought their next car would cost them about the same, while 23 per cent planned to spend less. Jim Holder, editorial director of What Car? publisher Haymarket Automotive, said it was ‘encouraging news’, adding: ‘The fact that 44.9 per cent of car buyers are expecting to spend more on their next car and 31.7 per cent the same suggests that the public mood around the economy remains – for the majority – positive, and the outlook for retailers robust. This ties in with other economic data, which suggests that people will be looking to reward themselves when lockdown lifts, with house improvements and a new car typically high up on the wish list.’ Holder said the fact the majority of those surveyed were paying by cash was ‘interesting’ – and could point to the large savings many people have generated during the pandemic. ‘The proportion declared here is significantly out of kilter with the market’s normal split, and again this probably points to a shift in buyer mentality, and the likelihood of many people being more confident in spending savings that they have built up than entering into monthly loan cycles, which have of course driven the market forward for so many years. ‘However, in the past we have anecdotally heard of this declared intention to pay with cash filter down when people reach showrooms and consider their options in more detail.’
FLA
Consumer new business drops by 35 per cent LATEST figures from the Finance & Leasing Association show the consumer car finance market saw new business volumes fall by 35 per cent in January 2021 versus the same month in 2020. The consumer new car finance market reported a drop in new business volumes of 38 per cent compared with January 2020. The percentage of private new car sales financed by FLA members in the 12 months to January 2021 held steady at 93.2 per cent. Meanwhile, the consumer used car finance market saw a similar fall in January as new business volumes decreased by 34 per cent compared with the same month in 2020. Geraldine Kilkelly, director of research and chief economist at the FLA, said: ‘The impact of the latest UK-wide lockdown restrictions has not been as severe as the first lockdown. Our latest research suggests that once showrooms reopen there will be a strong recovery in the consumer car finance market, with the value of new business expected to grow by 17 per cent in 2021, and a further 12 per cent growth forecast for 2022.’
WE HERE FOR FORYOU YOU WE ARE HERE 58 | CarDealerMag.co.uk
IN ASSOCIATION WITH
TIME IS MONEY BEN GARSIDE
A MONTHLY LOOK AT THE WORLD OF AUTOMOTIVE FINANCE AND MARKETING
Don’t underestimate the power of ‘look and feel’
A
Ben Garside is marketing manager for First Response. Call him on 07817 518739 or email ben.garside@frfl.co.uk
few months back, I advised that I was certain the motor trade would be in for a surge in sales following the Christmas break. The reason I said this was that we were all due to go into a national lockdown yet again and that many consumers had been putting off large purchases throughout the year. It was also a fact at the time that consumer savings had been continuing to grow. Unfortunately, this surge hasn’t come to fruition, as reopening in full hasn’t yet been possible, but I still believe this surge is just around the corner. While we are fully aware there has been a rise in the number of consumers who are willing to buy a vehicle without a test drive, via either click-and-collect or delivery, we are also aware that many dealers are already seeing a steady increase week on week. But we all know this is a minimal amount compared with those who still want to buy following a visit to a dealership. In marketing, we talk a lot about the ‘look and feel’ of a product or service, and in car sales the look and feel is obviously a significant area for the majority of customers – many consumers will still want and need a full service sale. Writing this has reminded me of one of my first projects working for this amazing company and industry. The project was looking into a new point-of-sale merchandise item and I chose to produce branded air fresheners. At the time, one of our customer relationship managers turned to me and said: ‘If only we could get an air freshener that bottled that new car smell.’ To be honest, at the time I had no idea what he was on about, as I had never bought a car nor had I sat in a new one! Sixteen years on and obviously things have changed a little, and yes, due to the pandemic many consumers have bought a car without the appreciation of its look and feel. However, according to a recent YouGov survey of 1,873 UK drivers commissioned by the Motor Ombudsman, almost two-thirds (62 per cent) stated that they’d want to visit a showroom in person before buying a car. I know there are disrupters in the car market, and I do believe they’ll continue to do well, but I also believe that for the majority of buyers the ‘needs and wants’ still include ‘look and feel’ before purchasing and will do for some time. Consumers in the main still want to sit in a vehicle, smell that new car fragrance, hear the roar of the engine and feel how it handles a corner before they part with their hard-earned cash. Just like in June last year, be ready for the pent-up demand!
Consumers in the main still want to sit in a vehicle before they part with their hard-earned cash.
just a phone call away. CarDealerMag.co.uk | 59
DATA FILE
STATISTICS
THE LATEST REGISTRATION FIGURES OUTLOOK REVISED
Weakest February for new car registrations since 1959
SMMT
SALES DATA
FEBRUARY/YEAR TO DATE
TOP
THE CARS SOLD IN FEBRUARY 2021
by John Bowman john@blackballmedia.co.uk
N
ew car registrations sank sharply in February by 35.5 per cent to 51,312 units versus the same month in 2020, figures released on March 4 by the SMMT showed. That was 28,282 fewer than usual during a traditionally weak month for new vehicle uptake and the lowest February on record since 1959 – when there were 41,471 registrations – with the lockdown restrictions continuing to make their presence felt. Both private and fleet sector demand fell – by 37.3 per cent and 33.5 per cent respectively. The SMMT said all vehicle segments reported drops except for luxury saloons, which recorded a 3.8 per cent increase against a statistically very small proportion of the market. Plug-in vehicles continued to enjoy growth, with BEVs and PHEVs taking a combined 13 per cent market share for the month – up from just 5.7 per cent in February 2020. BEV uptake rose by 40.2 per cent to 3,516 and PHEVs by 52.1 per cent to 3,131, thanks to the industry continuing to promote a broad range of lower-emission technologies for consumers. But the SMMT warned that increasing the uptake of the new technologies to the levels needed by 2030, when the ban on new petrol and diesel vehicles comes into effect, remained a huge task. It has now revised its market outlook to 1.83m new car registrations in 2021 – down from the 1.89m predicted in January – with most of the losses expected to occur in March. Chief executive Mike Hawes said: ‘February is traditionally a small month for car registrations, and with showrooms closed for the duration the decline is deeply disappointing but expected. ‘More concerning, however, is that these closures have stifled dealers’ preparations for March, with the expectation that this will now be a third successive dismal “new plate month”. Although we have a pathway out of restrictions with the rapid vaccine roll-out, and proven experience in operating click-and-collect, it is essential that showrooms reopen as soon as possible so the industry can start to build back better and recover the £23bn loss from the past year.’
Model
Regs
Ford Fiesta
1,645
Vauxhall Corsa
1,408
Nissan Qashqai
1,321
Mercedes-Benz A-Class
1,298
Volvo XC40
1,251
Kia Niro
1,215
Volkswagen T-Roc
1,031
Volkswagen Tiguan
1,011
Ford Kuga
960
Ford Focus
945
Fiesta leads month’s sales charts but Corsa is still best so far in 2021 THE Ford Fiesta was the best-selling car in February but it still trails the Vauxhall Corsa in year-to-date figures show. Ford registered 1,645 Fiestas in the month, according to the SMMT, putting the supermini back in familiar territory at the top of the table. In January, the Fiesta
finished in fourth place in a month that saw more cars sold overall. Following the Fiesta was the Corsa with 1,408 registrations and the Nissan Qashqai with 1,321. Year to date, there have been 4,239 Fiestas sold, 4,486 Corsas and 4,156 Qashqais.
No manufacturer posted gains in February, with either flat or negative values reported. Heading the losses was SsangYong with sales down 79 per cent at 17 followed by Alfa Romeo, which was down 73 per cent at 30, and Honda down by 72 per cent at 495.
Click here to see our top 10 rolling sales chart for February 2020 to February 2021 60 | CarDealerMag.co.uk
High demand for vans LCV news: p62
-72%
-0.8%
HONDA
VOLVO
Figures supplied by SMMT
February 2021 Marque
2021
% market share
February 2020 2020
Year-to-date
% market share
% change
2021
% market share
2020
% market share
% change
Abarth
65
0.13
130
0.16
-50.00
126
0.09
350
0.15
-64.00
Alfa Romeo
30
0.06
112
0.14
-73.21
114
0.08
314
0.14
-63.69
Alpine Audi Bentley
0
0.00
1
0.00
0.00
5
0.00
11
0.00
-54.55
3,715
7.24
4,485
5.63
-17.17
10,298
7.27
14,245
6.22
-27.71 -46.82
28
0.05
42
0.05
-33.33
117
0.08
220
0.10
BMW
3,939
7.68
6,654
8.36
-40.80
10,941
7.73
16,732
7.31
-34.61
Citroen
1,099
2.14
2,152
2.70
-48.93
2,578
1.82
5,202
2.27
-50.44
Cupra
78
0.15
0
0.00
0.00
291
0.21
0
0.00
0.00
Dacia
293
0.57
823
1.03
-64.40
1,127
0.80
2,045
0.89
-44.89
DS
73
0.14
140
0.18
-47.86
182
0.13
425
0.19
-57.18
Fiat
425
0.83
1,097
1.38
-61.26
837
0.59
2,808
1.23
-70.19
Ford
5,129
10.00
8,462
10.63
-39.39
13,835
9.77
24,839
10.85
-44.30
Honda
495
0.96
1,799
2.26
-72.48
1,465
1.03
4,989
2.18
-70.64
Hyundai
1,258
2.45
2,469
3.10
-49.05
4,357
3.08
6,474
2.83
-32.70
Jaguar
334
0.65
848
1.07
-60.61
1,248
0.88
3,173
1.39
-60.67
Jeep
120
0.23
155
0.19
-22.58
285
0.20
627
0.27
-54.55
Kia
2,873
5.60
3,054
3.84
-5.93
9,144
6.46
9,338
4.08
-2.08
Land Rover
1,837
3.58
2,081
2.61
-11.73
5,465
3.86
7,694
3.36
-28.97
192
0.37
422
0.53
-54.50
818
0.58
1,876
0.82
-56.40
12
0.02
24
0.03
-50.00
62
0.04
95
0.04
-34.74
496
0.97
948
1.19
-47.68
1,244
0.88
2,973
1.30
-58.16
3,787
7.38
5,745
7.22
-34.08
10,387
7.34
16,875
7.37
-38.45
831
1.62
883
1.11
-5.89
2,205
1.56
2,729
1.19
-19.20
1,557
3.03
2,046
2.57
-23.90
3,227
2.28
4,278
1.87
-24.57
210
0.41
397
0.50
-47.10
572
0.40
1,810
0.79
-68.40
Nissan
2,275
4.43
2,788
3.50
-18.40
6,908
4.88
11,039
4.82
-37.42
Peugeot
1,950
3.80
2,939
3.69
-33.65
4,881
3.45
8,068
3.53
-39.50
Polestar
261
0.51
0
0.00
0.00
587
0.41
0
0.00
0.00
Porsche
193
0.38
278
0.35
-30.58
1,112
0.79
917
0.40
21.26
Renault
698
1.36
1,320
1.66
-47.12
2,279
1.61
4,224
1.85
-46.05
Seat
1,524
2.97
2,696
3.39
-43.47
3,978
2.81
7,897
3.45
-49.63
Skoda
2,243
4.37
3,192
4.01
-29.73
5,331
3.77
8,158
3.56
-34.65
Smart
59
0.11
80
0.10
-26.25
143
0.10
105
0.05
36.19
SsangYong
17
0.03
80
0.10
-78.75
64
0.05
183
0.08
-65.03
Subaru
22
0.04
24
0.03
-8.33
52
0.04
73
0.03
-28.77
Lexus Maserati Mazda Mercedes-Benz MG Mini Mitsubishi
Suzuki
511
1.00
1,021
1.28
-49.95
971
0.69
2,815
1.23
-65.51
Toyota
2,358
4.60
3,740
4.70
-36.95
6,872
4.85
11,643
5.09
-40.98
Vauxhall
3,359
6.55
5,132
6.45
-34.55
8,958
6.33
14,368
6.28
-37.65
Volkswagen
4,952
9.65
8,948
11.24
-44.66
12,521
8.84
22,145
9.68
-43.46
Volvo
1,788
3.48
1,802
2.26
-0.78
4,968
3.51
5,909
2.58
-15.92
Other British
67
0.13
83
0.10
-19.28
224
0.16
309
0.14
-27.51
Other imports
159
0.31
502
0.63
-68.33
782
0.55
898
0.39
-12.92
-35.53
141,561
Total
51,312
79,594
228,873
-38.15 CarDealerMag.co.uk | 61
DATA FILE
HIGH DEMAND
LCV NEWS
Van sales enjoy strongest February in 23 years by John Bowman john@blackballmedia.co.uk NEW LCV sales rocketed by 22 per cent last month – the strongest February since 1998, according to latest figures from the SMMT. What is usually one of the weaker months of the year because of many operators holding out until the March plate change saw 17,205 units sold. That was attributed to demand from the construction sector and online deliveries, which helped offset falling figures elsewhere. The last time figures were so high for a February was 23 years ago, when 18,044 new vans were registered. The best-selling van was the Ford Transit at 2,699 units, followed by its Custom stablemate at 1,979, while third was the Mercedes-Benz Sprinter (1,375).
REGISTRATIONS OF NEW COMMERCIAL VEHICLES LESS THAN 3.5 TONNES Marque
Ford Peugeot Vauxhall Mercedes Volkswagen Citroen Renault Toyota Fiat Nissan Mitsubishi Iveco MAN Renault Trucks Isuzu Isuzu Trucks Land Rover MAXUS LDV Fuso LEVC SsangYong Total light CV
Figures supplied by SMMT
February 2021
2021
6,109 1,748 1,699
% market share 35.51 10.16 9.88
February 2020
2020
4,479 1,453 1,665
% market share 31.76 10.30 11.81
% change
2021
36.39 20.30 2.04
13,457 4,133 4,513
Year-to-date
% market share 32.64 10.02 10.94
2020
12,810 3,456 4,561
Mercedes Fiat Peugeot Ford Renault Trucks Volkswagen Other imports MAN Iveco Isuzu Trucks Citroen Vauxhall Renault Total heavy CV
% change
5.05 19.59 -1.05
1,579
9.18
1,421
10.08
11.12
3,875
9.40
2,979
7.91
30.08
1,289 1,062 985 744 419 388 269 240 208 148 105 84 49 33 23 14 7 3 17,205
7.49 6.17 5.73 4.32 2.44 2.26 1.56 1.39 1.21 0.86 0.61 0.49 0.28 0.19 0.13 0.08 0.04 0.02 100.00
1,140 1,117 579 542 406 371 236 227 38 116 121 70 35 0 68 8 0 11 14,103
8.08 7.92 4.11 3.84 2.88 2.63 1.67 1.61 0.27 0.82 0.86 0.50 0.25 0.00 0.48 0.06 0.00 0.08 100.00
13.07 -4.92 70.12 37.27 3.20 4.58 13.98 5.73 447.37 27.59 -13.22 20.00 40.00 0.00 -66.18 75.00 0.00 -72.73 22.00
3,413 2,934 2,537 1,769 927 1,138 665 413 454 322 223 177 132 50 39 33 10 20 41,234
8.28 7.12 6.15 4.29 2.25 2.76 1.61 1.00 1.10 0.78 0.54 0.43 0.32 0.12 0.09 0.08 0.02 0.05 100.00
3,312 3,114 1,241 1,360 929 1,390 927 383 133 193 398 119 148 0 123 22 0 62 37,660
8.79 8.27 3.30 3.61 2.47 3.69 2.46 1.02 0.35 0.51 1.06 0.32 0.39 0.00 0.33 0.06 0.00 0.16 100.00
3.05 -5.78 104.43 30.07 -0.22 -18.13 -28.26 7.83 241.35 66.84 -43.97 48.74 -10.81 0.00 -68.29 50.00 0.00 -67.74 9.49
REGISTRATIONS OF NEW COMMERCIAL VEHICLES 3.5 TONNES TO 6.0 TONNES Marque
% market share 34.01 9.18 12.11
February 2021
2021
128 86 44 35 24 13 11 9 6 4 1 1 0 362
62 | CarDealerMag.co.uk
% market share
35.36 23.76 12.15 9.67 6.63 3.59 3.04 2.49 1.66 1.10 0.28 0.28 0.00 100.00
February 2020
2020
132 129 66 92 0 10 0 0 5 0 27 1 2 464
% market share
% change
28.45 27.80 14.22 19.83 0.00 2.16 0.00 0.00 1.08 0.00 5.82 0.22 0.43 100.00
-3.03 -33.33 -33.33 -61.96 0.00 30.00 0.00 0.00 20.00 0.00 -96.30 0.00 0.00 -21.98
2021
212 159 99 72 28 36 12 15 31 5 7 2 1 679
Figures supplied by SMMT
Year-to-date
% market share
31.22 23.42 14.58 10.60 4.12 5.30 1.77 2.21 4.57 0.74 1.03 0.29 0.15 100.00
2020
321 180 189 160 0 11 0 3 23 0 72 1 2 962
% market share
% change
33.37 18.71 19.65 16.63 0.00 1.14 0.00 0.31 2.39 0.00 7.48 0.10 0.21 100.00
-33.96 -11.67 -47.62 -55.00 0.00 227.27 0.00 400.00 34.78 0.00 -90.28 100.00 -50.00 -29.42
Are you losing one in four customers?
At Startline, we’re able to offer motor finance to around one in four potential car buyers who have been turned down by prime lenders. Some applicants are excellent credit risks but don’t quite fit normal lending conventions. The fast-moving pace of recent events mean that there are more of these individuals than ever before - and our belief is that they deserve products, service standards and terms comparable to any leading motor finance provider. We have a flexible approach to lending that uses a combination of the best technology and human skills to meet their needs. At times when your prime lender steps back, we step in. Shouldn’t you consider making Startline part of your lending panel?
enquiries@startlinemotorfinance.com www.startlinemotorfinance.com CarDealerMag.co.uk | 63
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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
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 | 65
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. 66 | closemotorfinance.co.uk/fca-changes CarDealerMag.co.uk
Finance Compliance Funding Insight
LONG-TERMERS
THE KNOWLEDGE Ford Focus ST
FORD FOCUS ST James Baggott has taken custody of a rather bright orange Focus ST, but does it live up to its fast Ford antecedents?
A
s a teenager there was one car I wanted more than any other – a Ford Escort Cosworth. Yes, I know it was a bit ‘Essex’, but the huge whale tail, flared arches and insane performance from its 225bhp turbocharged engine for the time meant it was good enough for a place on my bedroom wall alongside the X-Files’ Gillian Anderson. Fast-forward 20 years and my latest long-termer has arrived, and while there’s no massive spoiler or outrageous arches, the Focus ST does boast more power than my teenage pin-up (Cossie, not Scully). The Focus ST now comes with 276bhp and a 2.3-litre turbocharged engine – behold that progress on the Cosworth-tuned Escort that packed 225bhp from its 2.0-litre block back in the day. Interestingly, the performance is pretty similar: the Focus will crack 60mph in 5.8 seconds and the lighter Escort would hit it in 5.7 seconds. But other than the badge, that’s where the similarities end. The latest ST is one of the most tech-heavy Focus models I’ve ever driven, packed with clever kit and premium touches that (sort of) justify the £35,860 price. The estate arrived at the end of January and since then, thanks to lockdown, I’ve managed all of a few hundred miles. That’s still been more than enough to assure me this is one of the great fast Fords, though. The 2.3-litre, also used by the now-axed smaller-engined Mustang, is an absolute corker. With overboost it produces 420Nm of torque, which is more than enough to start a fight with the steering wheel. Torque steer is here in spades, making for a flighty fast Ford feel to the steering. and when coupled to the raspy exhaust note it makes me feel like a boy racer all over again. Currently, though, I’m achieving about 20mpg around town, which is somewhat depressing compared with the 35.3mpg Ford claims it should do on the combined cycle. To add to the sporty feel, the ST comes with a manual gearbox, which I’ve found quite a novelty. I must admit I turned my nose up at the fact the Focus was coming with a stick shifter. That said, I’ve soon got used to it and now thoroughly enjoy manually swapping the cogs. The Focus has a brilliant anti-stall function that increases the revs as you raise the clutch to just below the bite point, meaning you can make parking manoeuvres without blipping the throttle and pull away nice and smoothly. The orange paintwork wasn’t my choice, but I’ve since seen the same model in black and it looks, quite frankly, rather boring. What’s more, my five-year-old car-loving nephew was impressed, although he did think it was a Lamborghini. While my time with the Focus has been limited, it’s not been without its problems. The multimedia system has had a few funny five minutes, resetting itself and turning on and off again halfway through a drive, and I’ve had a couple of other warning messages on the dashboard. The glues and ‘new car smell’ have made me feel a bit sick too – it seems to combine new carpet, diesel fumes and old people’s houses – but overall I’m loving life with the ST. While it might not have necessarily got a place on my teenage bedroom wall like the Cosworth, as I cross the crest of 40 it’s certainly a great way of reliving my youth.
Price (as tested): £35,860 Engine: 2.3-litre turbocharged petrol Power: 276bhp Torque: 420Nm 0-60mph: 5.8 seconds Max speed: 155 mph Emissions: 184g/km CO2 Fuel economy: 35.3mpg Mileage: 475
This month’s highlight: Feeling like I was a boy racer once again – despite crossing the crest of 40.
OTHER CARS WE’RE DRIVING
SsangYong Musso Mileage: 3,944 Our trusty pick-up put up a solid fight against the Beast from the East.
Nissan Juke
Mileage: 5,325 We have a new addition to the fleet – this eye-catching Nissan Juke loaded with tech. CarDealerMag.co.uk | 67
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