Car Dealer Magazine: Issue 18 by Blackball Media

CarDealer. Issue 18 | September 2009 | CarDealerMag.co.uk | £3.50

[ SALES UP! Scrappage scheme doing the job p65 ]

Driving the future of the motor trade

JAGUAR XJ WHAT THEY SAY, WHAT YOU SAY, WHAT WE SAY JAGUAR’S AMAZING XJ UNDER THE CAR DEALER SPOTLIGHT

CarDealer

ALSO INSIDE Bangers for BEN II Our madcap trip is back and this time we want YOU along

Car Dealer Ewards Have you entered yet? Meet one of the dealers that has

Ferrari 458 Italia Top industry experts reveal the secrets to cutting YOUR costs

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Is this the best looking Fezza ever? Plus dealer verdict

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start Issue 18 | September 2009

IF YOU’RE anything like me, you’d like to save money, it’s just finding the time to sort it out that’s the problem. I’ve got a friend who’s a money saving expert; he has vouchers for this, and deals on that. He’s the kind of guy that drives an extra 10 miles for fuel because it’s a penny cheaper, despite the fact he’ll spend more getting there than he’ll save. He often waxes lyrical about the cash he’s saved swapping energy suppliers or changing to a new mobile phone provider – and I’d love to do the same. Problem is, I find there’s always more important things to do. Like run a business. I suspect you’re in the same boat. Running a car dealership, from what you tell me, takes over your life, much the same as keeping a monthly car mag on a steady course does. Your spare time’s probably spent planning your next advertising campaign or something else of equally pressing importance. However, taking a step back, checking your bills and working out just what you spend your cash on every month can pay dividends. Because we know how precious your time is, this month we’ve highlighted 10 companies that can help you cut your costs. From web design to warranties, DMS systems to auctions, they’re all here. Take 10 minutes to thumb through the offers – your bank balance might thank you for it. The Car Dealer Guide to Saving Money starts on p35.

Bangers4BEN is back! SO what to do with that extra bit of cash we’ve saved you? Well, join our next Bangers4BEN adventure that’s what! You may remember back in February the Car Dealer team raised money for automotive industry charity BEN with a rather unique event. Well, we’re planning on doing it all over again – but this time want you along too. Full details on how you can get involved – plus an entry form – are on pages six and seven. Now, I know what you’re thinking: ‘I can’t spare the time out of the office’. And there’s the problem, when everybody thinks that way, charities like BEN struggle. It takes a few thoughtful people to spare the time to make a difference. And it’s not like this is going to be tough – it’ll be more fun than anything else. Plus you get to drive your banger around Brands Hatch! ‘Cat’ to the future THIS month we’ve taken an in-depth look at the launch of the new Jaguar XJ. The new car is a massive leap on from its predecessor and looks amazing in the metal. I had the chance to see it at the exclusive Salon Prive luxury car show in London last month (see my blog on our website) and was struck by just how pretty it is. Deputy editor Aucock has spoken to the men behind marketing the new car, the dealers who’ll be selling it and looks at the high-tech debuting on the executive motor. His inside story starts on page 24.

Have you entered yet? ALSO in this issue, we take a look at one of the first entrants in the Car Dealer Ewards 09 as well as welcome a new judge to our experts panel. If you haven’t entered your website yet, make sure you send in the details. It only takes a few minutes and could bag you bragging rights money can’t buy! Find out who our new judge is on page 13 and check out the featured entrant on pages 22 and 23. Automotive poronography AND finally, there was one other car launched this month that’s got me ever so slightly over-excited: The Ferrari 458 Italia. In my opinion it is the best-looking supercar to come out of Modena ever. No question. We’ve chatted to specialist prestige dealer Clive Sutton who already thinks the new car will be a hit. I agree. With looks like this it’ll sell by the boat-load – credit crunch or no credit crunch! Happy selling…

James Baggott, Editor

‘It instantly lays claim to being one of the fastest cars in the world. It will hit 62mph in just 3.4 seconds and have a top speed in excess of 200mph.’ Ferrari 458 Italia, p11

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SELL MORE CARS (and don’t just take our word for it)

Since joining we have had a vast number of genuine car leasing leads that we have been able to convert into sales. We intend to continue with this form of advertising as it would be very foolish not to! West Way Nissan

We have been using Really Good Domains for all our advertising for many years now and have never needed to go elsewhere. March alone we converted 44 vehicles from advertising on the website. Fleet Prices

We have advertised on ContractHireAndLeasing.com, including utilising a free personalised website, for 3 months and the beneﬁts are fantastic. The personalised website has saved an enormous amount of administration time enabling us to concentrate on just handling the numerous enquiries generated. UK Audi Contract Hire

Gear up for the September number plate change

Serving the contract hire & leasing industry for nine years Phone 0161 482 7650 for your reduced rate three-month trial and get selling more cars reallygooddomains “Number 1 in Marketing for Motoring...” sales@reallygooddomains.com

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ignition Issue 18 | September 2009

‘In the 1960s and 70s, Jaguar was super-cool. This car brings us back to where we should have been for a few years – we’ve never had a product line-up so strong.’

Inside Story on the new Jaguar XJ, p24

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Big Mike

...on the car buyer type he forgot

Bangers4BEN MKII

Share Watch

forecourt

Our mad-cap trip to Scotland is back and we want you involved! ASE looks at dealer share prices

Ferrari 458 Italia

New supercar breaks cover

Ewards 09

Another judge joins our panel

14 16 18

Ghost demand huge Finance ﬁnding tool Nissan’s shock car Details of all-electric LEAF, plus another our new columnist

24 28 29 31 32

Ewards: Latest Entry Inside story: Jaguar XJ BMW X6M Cult Cars: Range Rover Sales Legend: Renault Espace Scrappage special: Maestro test (really)

features 35

Guide to Saving Money

51 53 54 55 57 58 60 63 64 66

Right Click Dot Com LCV Insight Servicing On the Spot Auctions Competition Supplier Guide HPI Valuations Sub-Prime Time

10 ways you can save money on the the things you buy-in every day

Reach more buyers

...sell more cars

with classified listings that reach 2million web visitors per month on great websites such as www.carpages.co.uk and www.channel4.com/4car with Smart Banners on the web that include your actual cars for sale on Banners and Skyscrapers

contact info@skupenet.com or 0208 610 6103 to include your vehicles today

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Bangers

It’s your

TURN! In February we embarked on a challenge to raise money for BEN. It worked, so we’ve decided to do it again, but this time get YOU involved!

angers4BEN – our Top Gear-inspired motor trade challenge is back – but this time we want you to get involved! You may remember, back in February, four members of the Car Dealer team decided to raise money for automotive industry charity BEN in a unique way. Over a series of weeks we each hunted down a car costing less than £200 that would take us from our Portsmouth HQ to John O’Groats and back. But the real challenge wasn’t to get there and back – although for some of the cars that did become part of the challenge – no, the real reason was to raise as much money for charity. The plan was to sell the cars at the end of the adventure and hand all the money over to BEN. Our cars made it (just) and we managed to sell them for nearly £1,700, doubling our original stake. The adventure proved to be such a success – and BEN were so delighted with the result – we put our heads together to come up with a way to do it again, but this time raise even more money! tHe PlAN THIS time it won’t just be four numpty hacks taking part – we’ve got space for 19 other teams from across the motor industry to take part. We want franchised dealers, independent traders, car supermarkets, car manufacturers and auto industry suppliers to get involved in Bangers4BEN MkII. The rules are pretty similar to the original, but this time the organisation is being taken care of by BEN – which is good for you because they’ll do it far better than us… Teams will be made up of two people for a £250 entry fee – this covers accommodation for two nights with bed and breakfast. Teams will then have to find a car to make the journey that costs no more than £250. Before we set off, everyone will have to hand in an invoice or sales receipt for the car they’re entering that proves they paid less

think you can ﬁnd a car for £250 that can get to Scotland and back? then Bangers4BeN MKII is for you than £250. Then, at the end of the trip, all cars will be entered into a special BCA auction with the aim of making as much money as possible for BEN. The entire sale price, including the original stake, will be handed to the charity. All cars must be road legal with MOT and tax, but insurance will be covered for a period of seven days (for the trip) by our good friends from HPI using their Driveaway product. Unless, of course, you’ve got your own trade cover. The £250 limit is a chance to prove to your industry colleagues just how good you are at sourcing cars, because the better the vehicle you find the more you’ll be raising for BEN come resale time. So, if you want to rock up in a £10,000 3-Series we won’t hold that against you – just as long as the sales invoice shows you paid under £250 for it! Saying that, if you rock up in a rusting Fiat Punto, with just enough MOT to cover the trip, we won’t hold that against you either – just don’t expect us to wait for the RAC man with you! Entrants are free to decorate their cars as they see fit – as long as it’s easy to remove when you come to sell. All entrants will also be supplied with a large bumper sticker that will promote the Bangers4BEN.com website.

tHe rOUte IT’S important to stress this is not a race – we could obviously never condone such a thing on UK roads – but it is an endurance test. Having already completed this trip in the depths of winter, we know it’s not easy – especially when you take a look at the mileages we’ll be covering. Day one – Monday, November 9 – begins at BEN’s headquarters at Ascot, Berkshire. After pig in baps and coffee we’ll head off on the longest leg, mileage-wise to Inverness. The 560-mile slog will take a fair few hours, but you can take as many or as little stops as you like. We’ll be staying at the Best Western Inverness Palace Hotel. Day two – Tuesday, November 10 – we’ll head to John O’Groats, most likely in convoy, and we’ll get together at the tourist spot for pictures. Then we’ll turn around and head to Berwick-upon-Tweed where BEN has a residential centre. We’ll be staying at a Travelodge just down the road, but we’ll pay BEN’s Birch Hill centre a visit in the evening to set off some fireworks for the residents. It’d be great if entrants could bring a rocket (the bigger the better) to set off at the event. Day three – Wednesday, November 11 – we’ll be heading for our final destination: Brands Hatch

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racing circuit. If your car hasn’t fallen apart by this point we’ll take to the track for a few celebratory laps, pat each other on the back and look forward to the auction. tHe AUCtION THIS will take place at a BCA centre. Entrants will be expected to get their cars to the centre in time for the auction, which will be arranged to take place very soon after we’ve all (hopefully) completed the trip. Teams are more than welcome to attend the sale, but Car Dealer will be reporting live from the event if you can’t make it. rePOrtING EACH team will be required to set up a Twitter account and ‘blog’ while they’re on the event. If you’ve never used the site before, don’t worry, it’s very simple. Basically it’s an online blog, which you send updates to of no more than 140 characters. It’s easy to do from a mobile phone as you can simply text your update in and it posts on the website. This will give everyone back at home details on our trip as we drive around the country. Each car will be given a three letter identifying code – we’ll be CDM – so those following our trip will know who it is. Don’t worry though, full details on Twitter will be given to entrants when they sign up. We’ll be using the ‘tweets’ to report on the adventure in the magazine so the more you update the more you’ll be featured – and there will be a prize for the Top Twit too (see below). SPONSOrSHIP ENTRY to Bangers4BEN MKII will cost you a £250 entry fee, a maximum of £250 on a ‘banger’, plus fuel and food costs for the three days. If you want to – and we’re in no way forcing you too – you can gain additional sponsorship in the traditional way. BEN can offer advice on this if you need it. PrOMOtION HOW you promote your participation in Bangers4BEN MkII is up to you too – you can do as much or as little as you want. We’ll obviously be covering the whole event, but it’s worth putting your press agency to work too. Our first trip was covered in the local papers and on our local BBC radio station. It’s a great way to get some added publicity for your dealership. If you need any advice or help, the Car Dealer team will be happy to help. PrIZeS CORNY but true… the real winners here will be BEN, benefitting from a cash injection just when they need it most. However for a bit of competition we’ll be handing out ‘special’ prizes in a few categories. the overall winner – this will be decided by the team that completes the trip and makes the most profit when their car is sold. The original stake will be deducted from the BCA sale price to reveal the total. the best decorated car – as decided by BEN. Purely picked by the charity, but remember, you need to put the car back to standard in time for the sale. the top twit – as an incentive to document the journey via Twitter, we’ll be handing out a gong for the team that submits the most entertaining and relevant tweets during the event. This will be judged by the Car Dealer editor. [CD]

How to Enter Entry to Bangers4BEN MKII is simple. All you need to do is fill out the entry form below and send it to BEN with a cheque for £250. We’ve only got 19 places available – we’ve obviously taken one – so you need to be quick! You’ll be sent a welcome pack with more details from BEN, then the hard part begins... finding a car.

Being in the trade you’re unlikely to be searching the same channels as the Car Dealer Magazine team, so spare a thought for us hunting eBay for a runner! The idea is to keep what car you’ve bought secret as best as possible until the day we set off – Top Gear style! See you in November on the start line...

Bangers4BEN Mk II Booking Form 9th –11th November 2009 Please return your completed booking form by Monday 19th October to: Laura Redman, BEN, Lynwood, Sunning hill, Ascot, Berkshir e, SL5 0AJ Fax: 01344 622042; Email:laura.redman@ben.org.uk Your Details: Contact Name:

Company Name:

Address 1: Address 2: Address 3: Town: County:

Postcode:

Telephone:

Fax:

If you are happy for BEN to contact you via e-mail, please

provide your details below:

Email: Support: The entry fee for the Bangers4BEN MKII is £250.0 Number of Teams:

Total Fee:

Team Name (s): Short Team Name (s) (three letters): Methods of Payment: Bank Transfer: Account Name: BEN - Motor and Allied Trades Benevolent Fund Bank: Barclays Sort Code: 20-11-74 Account Number: 10160210 Cheque: Please make cheques payable to BENtrade Ltd Credit Card: Card No: Valid From:

Expires End:

Switch No. (Switch only):

Card Security Code:

Card Holder’s Name: Card Holder’s Signature: A BENtrade event fundraising for BEN BEN – Motor Allied Trades Benevolent Fund, Lynwood, Sunninghi ll, Ascot, Berkshire SL5 0AJ Registered Company No. 2163894; Registered Social Landlord No: LH3766 A charity registered in England & Wales No: 297877; A charity registered in Scotland No: SC039842

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dashboard BMW pulls plug on F1 team for 2010

BMW is pulling out of F1 at the end of 2009. The announcement comes after a very disappointing season, which has seen the maker plunge to the back of the grid. BMW invested big in eco-driven ‘KERS’, which has failed to work as the brand intended. This, plus BMW’s falling revenues due to the pressures of the recession, has led to the dramatic announcement. ‘This was a difficult decision for us,’ said BMW chairman Dr Norbert Reithofer. Stay up to date every day at CarDealerMag.co.uk

Audi reliability shock AUDI has come a shock bottom in the latest Which? Car survey – with the A5 named as the UK’s most unreliable car! The sporty coupe scored a 76 per cent result for overall reliability, according to the 84,000-strong survey. This is in stark contrast to the Honda Accord, which topped the survey – looking at 2007-2009 cars – with a near-perfect 99 per cent score. The Honda Jazz and Daihatsu Sirion were just behind at the top of the table; Hyundai’s i30 came in fourth, and the Ford Fiesta ranked an excellent fifth. However, if you’re thinking Japanese means reliable, think again. Which? Cars was keen to point out the Honda Civic, Nissan Qashqai

Which? Car survey reveals A5 is bottom of the pile while Japanese doesn’t always mean bullet-proof and Toyota Auris ‘all disappointed in the new-car reliability rankings’. But it’s those right at the bottom which draw most attention. Ford’s Galaxy was just behind the unreliable Audi, with

a 76 per cent score, while Jaguar’s award-winning XF came in third from bottom with 78 per cent. So what’s causing all the trouble? Electrical systems, says Which? Car editor Richard Headland. They now outnumber mechanical problems in causing owners headaches. Not that Honda Accord owners need worry about this. ‘It is one of the most reliable cars we’ve ever surveyed,’ said Headland. ‘Japanese cars in the main seem to run like clockwork, although there are a few exceptions to the rule.’

Share watch

Dealer share prices begin to rally Strong share price growth for quoted dealer groups, reports accountants ASE

Listed Motor Retailer Share Price Analysis (April-June 09)

his year has seen significant improvements in the share prices of the majority of the listed dealer groups with a number of the companies returning to the market to raise additional funds from shareholders. The second quarter saw these gains consolidated, with slight changes in market outlook and the beginnings of positive news emerging from the sector providing a boost. The UK’s largest car retail group Pendragon has seen the most spectacular increase recording a 1,814 per cent rise on the share price from the start of the year by the end of June. At the end of 2008, the share price had been driven down to under 2p, reflecting uncertainty over the company’s banking arrangements and covenant compliance. This fed through to a share price of 6p at the start of the quarter, however speculation, followed by a formal announcement that it had successfully secured a three-year financing package, saw the share price rise significantly during April. Other notable moves during the quarter were made by Lookers and Vertu. Both businesses have seen their share price double and have been back to the market to raise additional capital, albeit for contrasting purposes. Lookers secured additional funding facilities from lenders during May. However, these facilities carried hefty interest burdens of between four and 10 percentage

points over Libor. As a response to this, later in June it went to the stock market to raise £81m to repay part of the loan facilities. Vertu raised £30m through an additional placing of shares, however unlike Lookers this fundraising was not with a view to paying down corporate debt. The cash is to be set aside to fund further acquisitions, with Vertu starting on the process through the purchase of the Ford and Mazda dealerships of Brooklyn Motors, plus the acquisition of Ilford Vauxhall and Chevrolet. Inchcape, HR Owen and Caffyns produced smaller gains

over the quarter, with Inchcape having undergone a rights issue in the first quarter to bolster its balance sheet. During this nine-for-one rights issue Inchcape raised £234m which was used to reduce debt. The refinancing and fundraising efforts undertaken by three of the listed motor groups are also symptomatic of waves being felt within the wider UK motor sector with privately held businesses either struggling to renegotiate additional facilities or finding that the interest charges and arrangement fees have increased significantly. Mike Jones, ASE director

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Ferrari’s new 458 Italia masterpiece F430 replacement is here and is arguably one of the best-looking Ferraris ever FERRARI has pulled the covers off its dramatic new V8-engined Lamborghini challenger the 458 Italia. The all-new supercar replaces the outgoing F430 range – and instantly lays claim to being one of the fastest cars in the world! That’s because it can hit 62mph in just 3.4 seconds and has a top speed in excess of 200mph. Set to appear at the Frankfurt Motor Show, the new Ferrari is a V8 mid-engined model, with an all-new 4.5-litre V8 producing 570bhp. It’s only available with an F1-style sevenspeed paddle-shift gearbox – and the F1 links don’t end there. Inside, development input from Michael Schumacher has led

to a brand-new steering wheel and dashboard arrangement, following top F1 principals. Despite all this pace, though – and despite the promise of a delicious noise from three rear exhausts – Ferrari claims it will average more than 20mpg. It also emits 320g/km of CO2… the best in the segment, says the manufacturer. Styling is dramatic and elegant. It’s also highly aerodynamic, generating downforce equivalent to two big blokes sitting on the bodywork at 120mph. Much of this was learned in F1 too. Indeed, the sporty focus for the new model is intentional. Ferrari now has two V8 offerings in this price sector, with the California too. Car dealers can sell the California to those who want sporty comfort, with the 458 Italia being aimed at those seeking the ultimate race-style drive. RICHARD AUCOCK

‘I expect the 458 to sell for a premium’ So what’s the word from the trade on the new 458 Italia? Clive Sutton sells premium motors from his premises right next to Lords Cricket Ground – and is something of a Ferrari specialist. His verdict? ‘This does look like a great step forward from the F430,’ he told Car Dealer. He reckons the style, performance and traditional V8 Ferrari allure will help give the 458 Italia a headstart in the market – particularly as it’s more in line with what buyers expect from the brand. ‘I’ve found some traditional Ferrari buyers are not impressed by the California. They say it’s a great achievement for what it

is – a 2+2 with a smart DSG gearbox – but don’t think it’s right for them,’ Sutton explained. ‘They’ll be far more impressed by the 458. In terms of brand pedigree, this is much more what they expect. The purist will choose the 458 Italia, because of its mid/rear V8 engine and Dino-esque look. ‘Mind you, the California still sells for a significant premium, even in the current climate. I would then expect the 458 to

do the same – although I can’t be sure.’ Sutton’s uncertainty comes through the decline in used car values. For 360 owners trading up to the 430, he explains, the deposit was already there in their current car. ‘Values of 430s have declined, so the car alone may not be sufficient to cover the deposit on a 458. It will be interesting to see if main dealers will actually have to sell rather than take orders!’

Burgess Just checking Dawn of a new era for car finance – and it’s free!

bet I wasn’t alone in welcoming calls by the Finance and Leasing Association (FLA) to the government to pull its finger out and provide access to reasonably priced funding so that you can offer better finance deals to customers. About time and we’ll wait with bated breath to learn what Brown and his team have to say. For a fact, with fewer independent car finance companies around today, it’s been a struggle for most dealers to seriously focus energies on boosting profits through the sale of finance agreements while ensuring they remain within the government’s ‘responsible lending’ policy. This is never truer than ‘Interested? for the smaller dealer operations, as many of the You will be remaining independent car when I say there finance companies would rather avoid you, choosing is no cost to instead to reap the financial you, just rewards of working with the big boys. Fair play in commission times of famine, and to be earned.’ exactly why support from the government is needed. Over the past couple of years, the underwriting criteria for finance companies has altered, leaving me, and I bet you, slightly confused. And for car buyers, we have seen limited and even diminishing funding at point of sale. Commission has been an ongoing and sensitive issue, with brokers and dealers vying for a share of the cake. So the picture hasn’t been pretty. In my opinion, to help you secure car sales, you need access to a multitude of lenders to ensure you can put the right lender forward for the customer’s specific needs and profile of your stock. I’m in good company. Peter Cooke, a professor of automotive management at University of Buckingham, said last year that there was a need to rethink pointof-sale motor finance. So, putting my money where my mouth is, we have developed the HPI Finance Gateway. While currently in test phase, this new online finance solution has been designed to be fair for you, as well as your customers and our market leading finance partners. Tempted to find out more? You will when I say there is no cost to you, just commission to be earned. In addition it ensures the finance you offer your customer is the right deal for them. More on Finance Gateway, p16

Who is Daniel Burgess? Daniel is automotive director of HPI. Find out more about HPI‘s services by logging on to www.hpi.co.uk or call 01722 422 422

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Another judge joins our Ewards panel As entries ﬂood in we welcome another expert on board THE Car Dealer Ewards 09, in association with Autotorq.com, just keep getting bigger! Not only has our inbox been swamped with entries in the past month, but we’ve also lined up another judge. Online car sales site Compucars.co.uk, part of the UK Websites group of companies, has filled the 10th position on our judging panel which already includes the great and the good of the automotive online retailing world. The firm’s marketing manager Rob Queen will work alongside managing director Ian Piper to assess the Ewards 09 entrants. ‘It is important for Compucars to be supporting initiatives that reward excellence in the web and e-marketing field,’ said Piper. ‘We will use our specialist experience in web design and online stock advertising to help and advise the retail motor industry on these issues.’ Piper has a passion for web design and online ads and will be looking for sites that place prominence on used car promotion. ‘Is it easy for the customer to locate the used car portal? Can they search for vehicles based on multiple criteria? Are vehicles described accurately with multiple images?’ asks Piper.

Tew Net gains Blind dates aren’t so much fun when you’re a car buyer

B ‘I am also interested in dealers using the internet to not only promote new and used vehicle sales, but also value added services like the promotion of finance, warranty and breakdown assistance. ‘The majority of established dealers now have professionally designed websites, but

...conﬁrmed judges for the Car Dealer Ewards 09

sometimes this is not enough. The most effective websites are those that are designed with SEO in mind, both organic and paid.’ For more on Ewards 09 and a look at one of the first entrants see pages 22-23

JCT600 snaps up Audi sites from Gilder

From left, Nigel Shaw, group ﬁnance director, John tordoff, chief exec and Andy Coulthurst, group sales director

AUDI York and Hull now have new branding with JCT600 completing the purchase of the two dealers. Gilder Group has sold the sites to JCT600, which become the first Audi franchises under the firm’s umbrella. Some 80 staff are employed in the Yorkshire outlets, which have a combined annual turnover of £30m. Chief executive John Tordoff said: ‘We have wanted to work with Audi for some time, as the brand has a great fit with our offering. ‘In Hull Audi and York Audi, we have been able to acquire two great dealerships, with excellent reputations and quality staff, in cities we already know very well.’ York Audi is a big outlet, boasting 13,000 sq ft premises on Centurion Way in Clifton. But Hull is even bigger – 14,500 sq ft, from a showroom in Hessle. The deal takes JCT600’s Yorkshire and North East dealer count to 44 – which cumulatively employ more than 1,300 people.

lind dates. Ever been on one? What’s the one thing you’re itching to know? Well, what he or she looks like. And you’ve no way of finding out beforehand, which is why they’re such a nightmare. Of course, on a blind date, you can always ‘pop to the loo’, duck out the fire escape and never see them again. Your commitment is a couple of pints (not even that if they’re really bad). I use this analogy to highlight something car dealers really need to be aware of – images on your website. Just as you don’t like going on blind dates with people, so too do car buyers not like blind dates with cars. So why are so many dealers failing to put images on their site? It baffles me. ALL ‘Just as you research shows that clickdon’t like going throughs fall dramatically when there are no images on blind dates alongside a used car listing. The factual evidence is out with people, there and clear to see – yet so too do car still some car dealers are buyers not not doing it. I can understand that, like blind dates sometimes, dealers will with cars.’ want to get that partexchange they’ve just had in onto the system as soon as possible. It makes sense to quickly put up the listing and start this looping through the feeds. But, at the very first opportunity, dealers should go back and add images. The problem often is a lack of responsibility. There’s nobody within the dealer group who’s in charge of taking and uploading images, so it gets overlooked. And this is ever more prominent today, where the internet means sales leads come from far and wide. Think of your customers – if they’re in the market, they buy first with their eyes. People are drawn by images. If they’re looking to buy, they want a look. And the more they can look at, the better. Don’t take just one or two images – take 10 or 20. Prepare the car. Put it in your showroom, with your firm’s logo behind it. Make it look spotless, irresistable. If you’re stuck for ideas on what to take, look at Autoquake for some examples. Customers want to see it all – yes, they really do like to see close-ups of the seats and the odometer. We shouldn’t still be having this conversation. But the very fact that we are proves that, still, some car dealers don’t understand how crucial images are to online listings.

Who is James Tew? James tew is managing director of Codeweavers. learn more about how he can help you at www.codeweavers.net or call 0870 443 0888.

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Demand for Ghost is ‘unprecedented’ Henstock Auction stations It might be looking better but we’re not out of woods

he publication of BCA’s annual Used Car Market Report is a useful health check on the used car industry. The latest issue – the 18th year running it has been published – shows just how tough 2008 was for anyone involved in buying and selling used cars. Put simply, dealers lost £1.7bn in used car revenues as 360,000 fewer were retailed in 2008 compared to the previous year. Just surviving last year was a significant task in itself and many names fell by the wayside. Dealers also saw their new car market revenue fall from an all-time high of £33bn in 2007 to £28.1bn last year, as new car volumes dropped to their lowest point for 12 years and more car buyers opted for smaller, lower-priced models. In total, dealers’ combined turnover ‘Just surviving from car sales fell by an last year was a astonishing £6.6bn in 2008 compared to the significant task previous year. No wonder in itself and it felt tough. many names The losses could have been much greater, but for fell by the a change in mix towards wayside.’ the younger, higher-value vehicles that were retailed. This saw the average price of a used car sold by a dealer rise from £6,464 in 2007 to £6,641 in 2008 – which may surprise some. The one bright spot for dealers in 2008 was the small increase in sales in the 0-2 year age group, which edged up 0.3 per cent to 856,000 last year, with dealers accounting for 87.2 per cent of sales in this segment. A real challenge for the retail motor industry is to stem the tide of business that began flowing into the private-toprivate sector – which saw its share of the used car market value rise by £1bn to £7bn from the sales of 2.69m cars. Looking ahead, the report suggests the drop in new car volumes means there will be a significant fall in the number of younger used cars coming to the market. This could mean used car shortages, rising prices for the available stock and, for franchised dealers in particular, a much smaller parc of younger cars for service and repairs. The report says a steady decline in used car volumes, particularly in the younger segments, will almost inevitably continue as the car parc shrinks and changes shape. This, in turn will mean used car retailers will need to seek to enhance their value added, and profitability per unit, if they are to remain economically viable. A time for thinking outside of the box if there ever was one…

Who is Simon Henstock? Simon is UK network operations director for BCA. Find out more at www.bca-europe.com or call 0845 600 6644.

ROLLS-ROYCE has revealed its had ‘unprecedented’ demand for its new baby ahead of its launch in September. The 200EX – or Ghost as it will be known – was displayed at the posh Salon Prive event at London’s Hurlingham Club last month. Speaking exclusively to Car Dealer, the firm’s spokesman told us demand for the new car has been staggering. ‘Production is due to begin in earnest in the middle of quarter three,’ said the spokesman. ‘But we won’t be launching the car until February to the press – that just goes to show you how difficult it is to get hold of them.’ The spokesman explained that typical buyers usually have a Range Rover, 7 Series and something sporty – like a Ferrari – in their garage. ‘Most have admired the Phantom but just thought it to be a little bit too big,’ he added. ‘Many are Londoners and say

It might cost nearly £200k, but buyers are lining up a Phantom would be too large for town. So this is perfect for them. We’ve had unprecedented interest.’ Although he was unwilling to talk numbers, it’s clear the new car will be a large volume seller in Rolls-Royce terms, despite its near-£200k price tag ‘once you’ve added the sensible options’. The Salon Prive show was the perfect location to highlight the new car to its target audience. The exclusive event played host to the most exotic cars from around the country, including the UK unveiling of the £1m Aston Martin One-77. JAMES BAGGOTT For pictures and a round-up of the Salon Prive log on to CarDealerMag.co.uk and click on the editors’ blog section

Ghost will pack 563bhp and eight-speed gearbox ROLLS-ROYCE has ensured the new Ghost packs a monster punch when it arrives. The sub-Phantom saloon uses a 6.6-litre V12 engine – which is also fitted with a turbocharger to give it a 563bhp output. This means it is good for 0-60mph in a Porsche-

matching 4.7 seconds. What’s more, it also has a muscular 779Nm of torque at just 1,500rpm – AND an eight-speed gearbox to deploy it all. Rolls-Royce has also released prices: £165,000, plus taxes. This means a UK list price of around the £190k mark for the 5.4 metre-long motor.

Peter Vardy sites score sales success with one-two in charts VAUXHALL dealer Peter Vardy has revealed a sales increase of 35 per cent in the past year. The rise has earned the group’s Motherwell and Kirkcaldy dealers the honour of first and second places on the Vauxhall Chairman’s Circle figures – out of more than 400 Vauxhall retailers.

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YourCarLoan

- Easy to integrate into your existing web stock module - Calculations available from many of the UK’s leading finance companies - HP, Motor loan, Lease Purchase and PCP quotations based on your chosen sell out price - Proposal forms for all customer types which integrate into your preferred lenders systems - Lucro – Part of the service that gives you access to our unique multi-lender point of sale system - Pre-built solutions from both Codeweavers and our media partners

w: www.codeweavers.net/yourcarloan e: enquiries@codeweavers.net t: 0870 443 0888 f: 0870 443 0889 CarDealerIss18.indd 15

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FINANCE UPDATE

HPI launches new cash-sourcing tool As FLA offers advice to car buyers, HPI reveals clever new initiative

Rapp Marketing Why we developed our site for mobile phone users too...

ill laptops become things of the past, consigned to the dumper by the new generation of webclever mobile phones? I don’t think so – not just yet. Fact is, though, that more and more of us use our mobiles to go online. Ownership of web-savvy ‘smart’ phones has more than doubled in just a year. Faster connection speeds and better deals on web use means that more and more of us hook up to check something – wherever we are. Almost half of us with phones that can, do go online. And we use ‘em often – at least twice a week. Knowing all that, it made sense for us at Motors.co.uk to develop a version of the site specially tailored for mobile phones. If you’ve ever tried to navigate a full-size web page via a mobile’s pint-sized screen, you’ll understand just how useful such a bespoke site can be. If you’re hunting for your next new or used car, mobile.motors.co.uk gives you the basics – quickly and in a compact format. The search is sophisticated and powerful, though. Best of all, users can call the seller just by clicking on the number. In fact, the site is set up to encourage buyers to ring sellers directly. But our site for mobiles doesn’t include all the bells and whistles you’ll find at Motors.co.uk. That’s with good reason. To do so would make the search too long-winded to run from a mobile. And, in any case, our research shows that those who surf from their mobiles will readily go back to their laptops when needed. One thing’s certain: nobody is going to use their phone to access the web if a laptop is handy. So the main usage times tend to be during rush hours, when workers are using trains, buses and the Tube to reach or leave work, and at lunchtimes. The other time when buyers reach for their mobiles is when they’re out shopping. So if they are out car-hunting, but can’t see what they want on the sales forecourt they’re on, they’ll reach for their mobiles to see what else is in the neighbourhood. If your stock is with Motors.co.uk, it will appear on our mobile site too, as part of your package. But if you’d like your own mobile site, we can fix that for you, too. Just let us know. Meanwhile, give the new site a try. The easiest way to go online is to text ‘wheel’ to 65056. We’ll send you a text with a link to click on.

‘If buyers are on a forecourt and can’t find the car they want they’ll reach for their mobile phones.’

Who is Helen Rapp? Helen is UK product manager for Motors.co.uk. For details of the services Motors.co.uk can offer motor traders you can call 0845 265 5502

HPI is promising a ‘radical’ boost in finance sales and profitability with its latest trick new web development. Finance Gateway gives car dealers instant access to the best rates from top finance houses, such as Santander and Fortis – free of charge. It’s also a completely different way of approaching car finance sales, by exploiting the power of the internet. This, says HPI director Daniel Burgess, is ‘revolutionary’. ‘It’s giving a fresh approach to the way car finance is sold in the UK, by making it a simple and transparent process that works for the finance company, dealer and consumer,’ said Burgess. ‘The bottom line for dealers is that the HPI Finance Gateway will help them secure more car sales and avoid customer disappointment.’ Three factors are key to this, he says: • Instant credit scoring • Healthy yield • Reduced admin It works by giving an instant online

£1,000

...amount HPI offers unlimited balances upwards of

proposal from the finance company best suited to that customer’s needs. This then hooks directly into HPI’s other systems, to continue the sales process. This can either be obtained fast, or through a more detailed full proposal. And there’s no problem with bad credit scores causing bouncebacks; HPI’s enlisted Call Credit, which offers instant credit scores to ensure high acceptance rates. Unlimited balances upwards of £1,000 are

Helping buyers choose finance IMPARTIAL advice on using finance at car dealerships is now available on a new website from the FLA. Through financingyourcar.org.uk buyers of the 53 per cent of new cars purchased using car dealer finance will find top tips. This should help make sure buyers are better clued up when they visit car dealers. It supports the recently-launched Specialist Automotive Finance certification scheme – a competence test for showroom staff. SAF Approved dealers will be able to show a special wall plaque, and use bespoke branded material in dealer showrooms. available – and the advance is paid straight to the car dealer. What else is in it for car dealers? Six months’ free HPI Checks for each car proposed, plus subscription to the HPI Finance Watch system. This ensures the car dealer will be alerted when that finance proposal draws to a close – so they can contact the customer to discuss a new car. ‘HPI Finance Gateway is free to dealers, but boosts profits, while ensuring the customer gets the finance deal that is right for them,’ added Burgess.

Mazda’s quick thinking helps dealers in the crunch MAZDA’S quick reactions to the recession have helped its franchised dealers drive up proﬁts by 60 per cent. the 2009 results also show that most dealers are in proﬁt for the year to date, and are improving over 2008, too – despite the challenges of a market down by more than 25 per cent. Mazda dealers themselves, in comparison, are down by much less: just 11 per cent. this is coupled with

nearly a doubling of the average margin to 1.5 per cent! What’s more, the best Mazda dealers can boast a return on sales of 3.7 per cent. How? A raft of moves, explains Mazda MD Jeremy thomson including reducing stock levels, moving to Santander for wholesale funding, strong demand for the Mazda2 and Mazda3 and a 12.3 per cent rise in used car business.

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Hunter More revenue Don’t see the doom and gloom, see the opportunities

he news is still full of job losses, doom and gloom, economic disaster and feeling the full force of this unforeseen climate is the motor industry. Dealership closures and redundancies are spreading rapidly. Most dealers are trying to stick with the old method of selling new cars and most are experiencing extreme difficulty. At Compare Click Call we believe we can help. Dealers may need to step out of their comfort zone and look at different avenues. Margins are tighter than ever and the way customers search for and buy cars has changed. Customers are looking for less risk, lower payments, and more for their money when acquiring a new car. The car leasing industry is growing and at a rapid rate and, while some dealerships are well positioned to take advantage of these changes, the majority are not. In times of desperation and distress it’s the businesses that see potential in new opportunities that survive and move forward. It’s time to act now. At Compare Click Call we have the tools to let franchised main dealers get in on the action but only for a limited number. We can provide a nationwide audience and local dominance with our car leasing website leasecarsdirect.co.uk, access to more than eight leading finance systems and a support team to help you run quotes and give extra resource. The new site lets dealers deal direct with customers; no brokers, no middlemen, and no commissions. The site will deliver customers that are looking for contract hire deals and want the peace of mind knowing they are dealing direct with an authorised main agent. Dealers need to use the web more to attract local customers to come into their dealerships. Surveys we have conducted show customers would prefer to deal locally and would be prepared to pay a little extra for the peace of mind of using a franchised dealer. But ultimately they like to see what’s on offer firstly in the comfort of their own home or workplace without the pressure of salesmen and women hovering over them.

‘In times of desperation and distress it’s businesses that try new opportunities that survive.’

Who is Gary Hunter? Gary is product development manager for CompareClickCall.co.uk. For details of what his company can offer you contact 0845 1700 888

Nissan turns a new LEAF with electric car for real world With a range of 100 miles and zero CO2 Nissan’s LEAF is ready to take centre stage in green stakes NISSAN is set to become the first carmaker to sell an affordable all-electric rival to the Ford Focus. The LEAF, a five-door hatchback with an electric motor and range of 100 miles, will arrive in 2010. That’s good enough, according to Nissan research, for nearly threequarters of world car buyers’ daily drives. And what’s more, in the longer term, it could even be made here in the UK! The LEAF is powered by advanced lithium ion batteries. These are identical to those recently announced to be made in Nissan’s Sunderland factory. Impressively, these hi-tech batteries can also be charged 80 per cent full in half an hour, adding to the car’s real-world usability. Nissan reckons the zero-CO2 motor ‘ushers in a new era of mobility – the zero-emission era’. Prices have yet to be confirmed, but the firm hints it will be comparable to a wellequipped family hatchback: priced around the sub-£20k mark, alongside the Toyota Prius, we wonder?

Press gather at the leAF’s unveiling In addition, it will also get lots of tax breaks – the government’s promise of giving £5,000 off the list price of electric cars could provide a further incentive in the future. The LEAF signals Nissan’s intentions for a greener future, says the company. Out of nowhere, it will become the world’s first Focus-rivalling electric car that’s genuinely useable – and affordable. We can’t wait to try it.... RICHARD AUCOCK

Comment: Nice idea, shame about the name...

o what do you think of Nissan’s new electric car? Not so sure? Still undecided? For what it’s worth, I think the manufacturer is to be applauded, it’s a brave move and one that I’m sure will pay dividends. Whether that’s to the extent of the plaudits won by the Toyota Prius and Honda Insight remains to be seen, but electric is certainly the direction – rightly or wrongly – the industry’s heading. The Renault-Nissan alliance will no doubt mean a French version of the LEAF is due very soon. It’ll be interesting to see how they add some French flair to the LEAF’s design. But one thing’s for sure. I’ll be praying for the love of all things that drink petrol, they don’t give

their version a ridiculous name like Nissan did. I mean, come on, how bleeding obvious do they need to be with that planet-hugging-we-reallyare-honest-guv name… ‘LEAF’? What on earth could be next? Perhaps you’ll soon be introducing the ‘F0rrEst’ to customers, or maybe sending them out for test drives in a ‘brEathE’, or how about a brochure for the ‘0z0nE’. Actually, come to think of it these are actually rather good. I better get off and find out how to register them myself before they end up on the back of the 2014 Micra… JAMES BAGGOTT This was an extract from our editors’ blog at CarDealerMag.co.uk. Log on to read more like it.

Americans drain scrappage scheme in a WEEK!

SCRAPPAGE buyers in America exhausted the $1bn cash allocation – in just a week! A massive rush to sign up for the scheme caused a deluge at showrooms. Some 16,000 dealers joined the scheme, which offered buyers up to $4,500 off new cars, so long as they bought ‘greener’.

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When it comes to the crunch, motors.co.uk drives sales!

Sell cars online at

Sell more cars. Over 3.3 million visitors per month. Track leads. Brand showcase. Link to your website. Content on 100 other websites. Take control. Sell on the worldwide forecourt.

To find out more or to advertise your stock call 0845 265 5502 or email sales@motors.co.uk CarDealerIss18.indd 19

You take the wheel ™

7/8/09 09:57:01

big mike

One car buyer type I failed to mention last month... N

o matter how long you’ve been in this game, you’ve never experienced everything it can throw at you. I was reminded of this just the other week, when I experienced a timewaster – you know, the kind of person who frequently causes people to relist their over-described sheds on eBay, or who comes to view a used car but decides not to buy it. Bloody timewaster, says the vendor, despite the fact there’s often a very good reason why they haven’t signed on the dotted line. Often, it’s the vendor who needs a reality check. As such, I’ve always been sceptical of the ‘timewaster’ moniker, for if someone has actually given up part of their weekend to come and look at a car, surely it’s their own time at stake, too. Yes, there are some people who have nothing better to do at weekends than trudge around used car lots pretending to be interested, but those with families, social lives or hobbies and interests rarely fit into that category – and thankfully that description befits most of us. Of course, I’ve had more than a few genuine timewasters on my lot over the years, but if you read my rant last month you’ll know they’re usually very easy to spot. But the one I left out was the one that, in 30 years of trading, I had yet to encounter. Then, three weeks ago, I met him. Anyone who knows me (despite my attempts to keep my identity at bay) will know that I’m an absolute sucker for an old Mercedes. Anything built before the C and E-Class of the midNineties dragged MB’s reputation for quality down to the level of my socks really gets me going. I adore their tweedy yet durable interiors (anyone remember MBTex?), chunky single-stalk wiper/ headlights/indicator lever and steady yet smooth engines and transmissions. There’s a reason why every second taxi in Germany is a Mercedes 190 or 250d, and it’s everything to do with the way in which they’re built.

H b Our man Big Mike is a sucker for a classic Merc, but buying his latest didn’t go quite according to plan...

‘Unusually for me I didn’t even haggle – I knew the Merc was worth every penny the bloke wanted, so I shook his hand.’ So when I was flicking through the small ads in my local paper one evening in the pub, and saw a 190E in there for little more than my monthly bar tab, I had to go and have a look. The car was described as one owner from new, with only 50,000 miles and was in the best colour (in my opinion at least) of Metallic Brown. And no, I’m not joking. A quick chat with the owner confirmed the ad was all correct, so I drove the 40 miles out to his property to have a look. The house was beautiful, with its own stables and paddock, and it was obvious that any car being offered for sale here would have a textbook service history and be in lovely condition.

I wasn’t disappointed. The car was absolutely pristine, the mileage backed up by the fact that in 21 years he’d owned it, the fella had commuted in and out of London by train, using the Merc for little more than his weekly shop. It was for sale, he said, because he’d decided to retire and treat himself to a brand new Mercedes. Unusually for me, I didn’t even haggle. I knew the car was worth every penny the bloke wanted (it was well under a grand), so I shook his hand on the spot and agreed to collect it the next day. So I was somewhat aghast when, the following morning, I had a call just before I set off. ‘I’ve decided not to sell it after all,’ he said. ‘You seemed so keen on it, it’s obviously too good to get rid off.’ Thanks mate. Thank you very much. Bloody timewaster… Who is Big Mike? Well, that would be telling. What we do know is he’s had 30 years in the car trade and picked up some seriously funny tales along the way.

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An ar Q th ph ca un

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Take the wheel and shift enquiries up a gear.

Sell online at

You take the wheel ™

How can motors.co.uk steer car buyers to your dealership? An estimated 4.9 million car buyers in Britain are using the internet to find their next car. Question is, how can dealers hope to find them? A dealer’s website with wellphotographed, up-to-date stock, will help sell cars, but the large majority of buyers are unlikely to view it. The answer is simple. Load your vehicles on to motors.co.uk and they will be automatically displayed on 100 websites including: • motors.co.uk

• Desperate Seller

• Mail Online

• The Sun

• Parkers.co.uk

• Teletext cars

• Cars By Mail

• Carsource

• ‘This is’ sites

• The Independent

The top 10 dealer groups advertise on motors.co.uk – so isn’t it time you thought about joining them? Here we answer some questions you may have about motors.co.uk.

1. Can I afford to advertise all my stock? Yes. Incredibly reasonable rates mean you can advertise across the motors.co.uk network for an entire month for less than some other sites charge to advertise for a week. 2. Will my stock be on popular sites where the crowds are? Definitely. The motors.co.uk network has 3.3 million visitors per month and is backed by the Daily Mail General Trust, so it has national coverage and local strength in Northcliffe regions. 3. What is the quality of the audience on motors.co.uk sites? High. Targeted online marketing and heavy print advertising campaigns enable motors.co.uk to deliver a more affluent, mature car-buying audience. 4. Okay, so it shifts cars, but will it build my brand? Yes it will. Motors.co.uk offers you a bespoke page which reflects your whole business as well as our core business: delivering sales enquiries. You can also promote your brand, alongside your manufacturer, in your area with our ‘Brand Showcase’.

5. Can I track leads? Yes, and easily. Our tracking system tracks phone calls, email leads, visitors and instant messages. 6. Is there any I.T. hassle setting it up? No. Motors.co.uk takes stock feeds in almost any format from your DMS or aggregator such as, Trader Desk, AutoEdit or Dealer Edit. We can even arrange for photos to be taken for you. 7. Will it shift sticky and ‘speccy’ stock? No problem. We can reduce the price instantly to shift cars before they go over age. We also show the full spec including options of every car. 8. Can you show me the return on my investment? Of course. Because motors.co.uk tracks your enquiries, it’s simple to work out how much each lead costs. 9. But will it drive visitors to my website? Absolutely. From motors.co.uk and across our network you’ve the option of a link from our website to yours. Also, you can buy car to car clicks which take people directly to the car on your website. 10. Surely I need to advertise at more than one place online? Dead right. Your stock won’t just be listed on motors.co.uk, we’ll also promote it on Parkers.co.uk, Carsource.co.uk, Carsbymail.co.uk, Teletextcars.co.uk, Desperateseller.co.uk, the ‘This Is’ sites, The Independent, The Sun and the Mail Online.

Sell more cars. Over 3.3 million visitors per month. Track leads. Brand showcase.

Link to your website. Content on 100 other websites. Take control. Sell on the worldwide forecourt.

To find out more or to advertise your stock call 0845 265 5502 or email sales@motors.co.uk CarDealerIss18.indd 21

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Car Dealer Ewards 09 Re Franchised: FreebornGroup.co.uk As entries for our Ewards 09 begin to ﬂood in, we take a look at one of the ﬁrst

ne month into our hunt to find the best automotive retail websites on the net and we’ve been flooded with entries. Dealers have been sending in their Ewards 09 entries in their droves as they vie to catch the attention of our judges. We’re looking for the best websites in five categories this year – Franchised, Independent, Car Supermarket, Car Manufacturer and a special Web Innovation Eward. Just one of the many entries we received last month was from the Freeborn Group, pictured right, in the Franchised category. The smart-looking website is produced by 21st Century Internet and IT accountant Dan Miller hails it as ‘fresh and exciting’ in his submission. ‘Our website provides an intuitive and useful portal to all our customers’ vehicle needs be it a new car purchase, a van for the business, booking a routine service or even a Romahome purchase to explore our great country,’ said Miller. We put his entry in front of some of this year’s Ewards 09 judges to see what they thought of the site. Clive Jackson, founder of Ewards 09 headline sponsor Autotorq.com, was impressed. ‘There are some useful tools and features on this website for the customer like information on MPG and road tax and I found it quick and easy to find a deal on a used car and to work out my monthly payments,’ said our expert. ‘It was easy for me to find contact details and locations. It gets the basics right – never underestimate the importance of that – and has some nice features for the car buyer too.’ Codeweavers managing director James Tew said the Freeborn site – which has showrooms in Southampton, Guildford, Winchester and

How to enter

SUBMITTING your website couldn’t be easier. Send an email to ewards@cardealermag.co.uk and in the subject box type the Eward category name you’re entering. Either Franchised, Independent, Car Supermarket or Web Innovation. All carmaker sites are entered automatically. 1 Your name and position 2 Company name 3 Website address 4 Name of the agency who designed the website, or if in-house, state this 5 Finally, 50 words saying what makes your site an eward winner If you entered last year, that doesn’t mean you can’t enter these Ewards, but you will need to send us details again.

Wokingham – focussed on important aspects of its business. ‘When looking for any product we always seem to set our hearts on the model or version that is over our budget,’ said Tew. ‘The “desire to buy” is transparent, however as consumers we need the “excuse to buy”. This is either for own selfjustification or indeed something to convince

our partner that the deal makes sense. To achieve this on a website is more difficult, but I’m a big believer in providing the user with information and tools to give them this excuse to buy. ‘The Citroen brand is renowned for its efficient vehicles and, using fuel savings, Freeborn Group have focussed on this feature. By looking at the customer’s total monthly outlay rather than just the vehicle cost, will ensure the user will rethink their own strategy and focus more on affordability. The more affordable any product is the more it will sell. ‘The Vehicle Registration Mark (VRM) look-up feature and then obtaining fuel consumption for the user’s current vehicle is a smart tool that integrates the result within the vehicle search

Meet the judges... Richard Lawton

James Tew

Tim Smith

Daniel Burgess

Clive Jackson

Really Good Domains Marketing manager

Codeweavers MD

G-Forces Marketing director

HPI Automotive director

Autotorq Founder

0161 482 7650 reallygooddomains.com

0870 443 0888 codeweavers.net

0845 055 9040 gforces.co.uk

0845 300 7543, hpi.co.uk

020 7384 8510 autotorq.com

‘I’ll be looking for websites that actually do more than just look pretty. Websites need to capture enquiries and generate business. So, while eye-catching design is important, we will pay special attention to how intuitive and easy to use the website is from a user’s perspective. Clear navigation is key, but the best websites are those where users enjoy their visit so those offering that little bit extra will score highly with us.’

‘I’m looking for innovation. I’m sure every entrant will believe their site is pleasing on the eye and has good navigation, but the real question is what does it do? Will it keep the user informed with quality content, video and vehicle info? Does it allow them to interact by personalising their vehicle using tools for finance and insurance? Are there calls to action and are they effective? If the answer’s yes, it’ll get my vote!’

‘Innovation, execution and results are what I will be looking for. Innovation displays a forward-thinking attitude and a willingness to embrace new technology. Execution is about how well everything is put together; how well it works and how simple it is to use for the visitor. However, results are key to success and the winners will have to demonstrate a positive impact on their business from their website.’

‘I’ll be reviewing websites to see which offer a shop window to a range of products and services, from finance and insurance to service and warranty. But, as ever, how this is delivered will be key to influencing our decision. How you publish your stock is just as important as the cars you have on your forecourt, so look, feel, navigation and level of information available to buyers will be evaluated.’

‘I’ll be looking for websites that are not only well designed, but are providing a return on investment. I want to see evidence that the web is working for your business, that you’re measuring success and utilising this information in innovative ways that keep you one step ahead of the competition. Any business on the web today must blend presentation and brand values with actual performance.’

autotorq.com

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in association with autotorq.com once they have entered their annual mileage.’ So that’s our man Tew impressed then. Fellow Eward judge Daniel Burgess, HPI’s automotive director, liked the site’s clean look. ‘At first glance Freeborn’s website is very fresh looking, with clear navigation to show the different services and tell the consumer about the group,’ he said. ‘The colours are visually appealing and the layout is clear so you can see where to start looking easily for more information. It’s simple but very effective in layout, navigation and design. ‘The links and navigation from the homepage really promote other key services such as aftersales and web offers, to get the best cross-selling opportunities out of the website.’ Judge Richard Lawton, marketing manager for Really Good Domains, also agreed with Burgess on the clean look: ‘The website is a good example of a clear and unfussy design, where care has been taken in providing the visitor with access to all sections of the website quickly and easily – either through the top navigation bar or through the large central homepage panel. ‘The designers have obviously taken on board the fact that the majority of visitors to websites want whatever they’re looking for quickly and simply, whether it’s contact information, department information or specific car information. ‘Another area which caught our eye is the “alternatives” section after a search has been performed, which lists additional cars available from another area of the business – a used car search also includes a few additional new car alternatives which fit the general criteria searched for.’ So the Freeborn Group website seems to have struck the right chord with our judges. It will now go forward to the shortlist phase in time for judging in October. If you think your website is better, send us the details – entering only takes a few minutes (see panel above left). Plus catch up on everything we’ve written on the ewards so far at CarDealerMag.co.uk.

Google

Blog

Common sense SEO Marketing

Jackson

Web 2.0

Straight Talk

ow should a dealer start leveraging their investment in the digital channel to make it more effective and what should they focus on and expect to achieve? Firstly, set yourself a goal to improve the number of leads you get from your website, whether new, used or aftersales and make this a key business objective. Get measuring. Not just the numbers but where your website traffic comes from. One hour per week spent understanding where your prospects are coming from will help you understand how you can influence the way they find your website, regardless of whether you are a franchised or independent operator. Reporting and ownership: you need someone to spend several hours per day administering your website, so give them the time and incentivise them (not the sales manager). Most importantly, take it seriously. Otherwise, you’ll be wasting your time. Keeping your retail proposition refreshed: Your website is no different to your showroom so it needs constant refreshing with things that could interest your prospective customers. Treat it like any other retail environment and keep posting new promotions, offers and incentives and

‘You need someone to spend several hours per day administering your website.’ don’t forget to monitor interest. Be willing to try new things out; if it’s not getting the clicks or the phone ringing, change it and keep measuring. Stay focussed. Do not over-clutter your homepage and make things confusing. We all know a bad window display when we see one, the web is no different. Try injecting some personality into your web presence and demonstrate why the quality of your people and service stands out. Remember: the majority of walk-ins have looked at your website and already formed an opinion about you. The better it is, the more likely they will come. And, finally, lead management. Make sure any call to action is clearly visible. Above all, you must respond to an email within hours, same day if you are just getting started. Most importantly, a prompt and helpful engagement will significantly reduce the odds of a prospect continuing to shop around.

Who is Clive Jackson? Clive is the founder and CeO of autotorq.com and Global Beach digital agency. Visit autotorq.com or globalbeach.com to ﬁnd out more.

Shaun Armstrong

Chris Green

Chris Sutton

Keith Rountree

Rob Queen

Visit Cars MD

Motoring.co.uk Sales director

Black Horse Motor Finance, MD

BCA, Group marketing manager

Compucars, Marketing manager

08717 502 495 visitcars.co.uk

0161 638 9804, motoring.co.uk

0131 311 2127, blackhorse.co.uk

0845 600 6644, bca-europe.com

0845 667 6000, compucars.co.uk

‘I’ll be looking closely at the customer journey, design and usability of the website. Capture points that call the visitor to action and good search engine optimisation for lead generation will be key as well as regional and localised targeting. I’ll be measuring speed of response, openness on pricing and financial info as well as the ability to deal nationwide. And finally I’ll be looking for a unique selling point in the winners.’

‘I want to see businesses that have embraced the internet and will be insisting on a user journey that is top notch. I’ll be looking to see whether a consumer will be able to find the info they’ll be looking for easily and will be analysing their search engine rankings for their own key words. I want to see ‘click throughs’ landing on the right page, ideas that breed brand loyalty and the sort of vision that stands you out from rivals.’

‘We’ve all come across websites which miss a trick and suffer from being out of date, difficult to navigate or just plain ugly. The Ewards are all about celebrating the very best current examples so I’ll be looking for websites which have excellent functionality, search engines and engaging designs which ideally demonstrate innovation. The winning websites should serve as effective tools to drive their owner’s bottom line.’

‘There are two key things I’ll be looking for in this year’s Eward winners: integration and return on investment. Internet propositions and e-marketing need to be integrated with CRM and offline activity. Integration is vital because the follow through to transaction may often be offline. Investment in internet activity needs to provide strong ROI and be seen to generate real value back into the business.’

‘My key focus will be on two distinct areas. The first will be how efficiently does your website promote your used car stock? Are they prominent, well described and easily seen? My second area of focus is how well you use your website for upselling value added products and services, capturing customer details and using your web technology to create long term partnerships with your customers.’

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forecourt

New XJ INSIDE STORY

It’s one of the most important launches of the year. Here, Car Dealer takes a closer look at the Jaguar XJ

t last, Jaguar has launched the car we’ve been waiting years for. The XK120 ruled the 1950s. In the 60s, it was E-Type. The 70s? XJ. And… well, in terms of brand heritage, it pretty much stopped there. Jaguar, with too many major launches since, has simply been trying to recreate the original XJ. No more. The XK was the start of ‘new’ Jaguar. The XF proved how brilliantly well it could work. Now, with the XJ, the turnaround is complete. Jaguar’s ready to be cool Britannia, and rule. Don’t just take our word for it being stunning, either. Every single piece of press coverage since Jay Leno pulled off the covers has been pretty positive. Here, at last, is Jaguar’s take on the Mercedes S-Class – its Audi A8 and BMW 7 Series alternative. We need no longer make any excuses. It goes on sale in 2010, for prices starting around the £52,500 mark. There will be a purring V8 petrol, plus a nuts supercharged V8 performance M5 rival, but it’s the V6 diesels that will take the bulk of sales. These crucial models have a startling CO2 figure of 184g/km. What does that mean? Simply, way less tax than every S-Class, A8, 7 Series, Lexus LS… It also means the 40mpg big Jaguar saloon is an official reality. But, with 60mph taking six seconds for the 275bhp motor, there’s no lack of performance, either. It’s so quick because the engines are all-new and high-tech, while the construction is entirely from aluminium. This saves a hefty 150kg over rivals, meaning the light-but-strong Jaguar can rightly lay claim to being the most technologically-advanced and futuristic luxury car customers can buy. Using aluminium, Jaguar says, also saves three tonnes of CO2 per car bodyshell. But let’s come back to the styling. One look should tell you this: ‘The new XJ is a thoroughly modern interpretation of the quintessential Jaguar,’ says the man who designed it, Ian Callum. ‘It is the most emphatic statement yet of Jaguar’s new design direction.’

tHe OFFICIAl lINe DAVID Steele is Jaguar’s marketing director: ‘The new XJ cements Jaguar as a brand that’s back,’ he exclusively told Car Dealer. ‘In the 1960s and 70s, Jaguar was super-cool. This car brings us back to where we should have been for a few years – we’ll have never had a product line-up so strong.’ The launch programmes for car dealers are

£52,500

...price Jaguar XJ will go on sale for in 2010

already well underway. Advanced technical systems, for example, mean extra training for dealers. ‘We’ve already taken them for a week’s training,’ he reveals. ‘We’ll run follow-up sessions in the showroom, focusing on lead management and prospecting. Then, at the end of the year, dealers will attend a drive event. ‘We also took them to the Saatchi Gallery on July 11, giving them exactly the same presentation as VIPs and the press got. They were bowled over – it was tear-jerking stuff.’ Market research threw up some interesting

customer profiles for the new XJ prospects, explains Steele. ‘It showed equal attraction both from traditional customers and the adjacent customer group – those driving Bentleys and Maseratis.’ This really raises the bar for potential prospects car dealers will be seeing. Good job, explains Steele, that Jaguar has for some time been running its Jaguar Relationship programme. ‘This is a charter of how we relate to dealers, and how dealers relate to customers.’ It encompasses upgrading the retail environment, and also defines how dealers and customers will be treated. It’s no overnight deployment either, says Steele: ‘We believe in it; thus, it will live with us for the foreseeable future. And with CO2 emissions of 184g/km for the diesel, for example, we’re not far off leading the class.’ Jaguar’s marketing position remains unchanged with the XJ. Steele says: ‘We’re following a niche premium strategy – it’s not about volume, but margins.’ This is a move away from the volume intentions of the nowdeceased X-Type, but Steele says dealers should still look upon the smallest Jag fondly. ‘Many of those customers are now trading into

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Words: Richard Aucock

DeAlerVIEW ‘Jaguar’s done a superb job – now it’s down to us to score a home run’

Below, dramatic rear lights of the new XJ are a talking point; the new ‘family’ nose looks bigger in the metal; and we’re still not quite sure about the darkened C-pillar

‘We want to show that our whole brand has changed; we want to get back some former Jaguar customers.’ Jaguar marketing director David Steele

new and used XFs.’ These people, he explains, like the Jaguar experience, and are willing to stay with it. Marketing campaigns will be focussed around the tagline ‘This is the New Jaguar’. There are several intentions with this, over and above the obvious. ‘We want to show that our whole brand has changed; we want to get back some of those former Jaguar customers, who have perhaps moved on to other brands. ‘It’s all centered on experiential marketing: getting people into dealers, and then into the car.’ Jaguar’s print marketing campaign has already started; but it looks to digital for the real innovations, says Steele. ‘This is where our target conquest market is.’ The techniques being used here really are quite something. ‘We’ve taken over

Heathrow Terminal 5!’ This is something Car Dealer Magazine can confirm; all summer, the XJ will feature heavily in the departure halls, within in-flight magazines, on billboards around Heathrow – even on the trailer of aircraft’s in-flight movies! ‘We’re also the first brand to sponsor Sky Player, on The Ashes coverage. Those viewing online watch the series through a Jaguar portal – we’re reckoning on 20m impressions.’ And, he adds, car dealers are to directly benefit from the information this new service captures. All proof of the huge opportunity Jaguar realises it has with the XJ – which it is determined not to let slip through its fingers. Steele added: ‘Jaguar should own this sector. We’ve talked about this modern XJ for a few years now; with it, we reckon we’ll be back in charge of the class.’ >

eoffrey Page-Morris is dealer principal of seven Sytner Jaguar outlets. He says that, with the XJ, Jaguar is now fully transformed. ‘It started with the XK, but it was the XF that really brought in the different customer base,’ he says. ‘This XJ takes that to a new level.’ These customers, he explains, are younger, more professional. ‘They like the fact it’s different, individual, not German.’ He expects a much higher balance of conquest customers with this model: ‘It has the conquest ability – something started by the XF; it was that car that brought in the Audi and BMW drivers. The XK, in comparison, continues to have a more traditional customer base.’ Indeed, it’s with those buyers that Page-Morris does admit a rare worry: ‘I hope they’ll love the new XJ’s feel combined with old values – but it remains to be seen just how they’ll take to the styling. ‘Mind you, what really matters to Jaguar customers is the interior, and this is absolutely beautiful. Any doubts on the new exterior look should disappear once they get inside.’ This is why, says the Sytner man, it’s so important to get people physically inside the car. For this reason, he’s developed a special initiative for the XJ within dealers. ‘The cars will be “wired” in the showrooms, so that all the electrical systems work,’ he tells us. ‘Special electrical boxes, mounted beneath the car, are being imported from the US to achieve this – it’s costly, but they are essential if we’re able to demonstrate all its new features.’ The next logical progression is a test drive, and Page-Morris knows how important this will be, too. ‘We need to get people into cars for far longer than just around the block. We’re thus investing in our demonstrator fleet and our marketing campaign.’ Consideration is being given as to where the group advertises, too. It’s early days, but Page-Morris reckons they’ll have to expand beyond the traditional golf club route. ‘Today, we need to be looking at where these professionals are – meaning health clubs and smart restaurants. Virgin Active gyms, for example, and Simpsons Restaurants.’ This is important, given the higher business customer mix Page-Morris predicts: ‘It’s all down to tax; more and more, corporate users are looking for low-CO2 models. With next year’s tax changes proving particularly significant in the £80k-plus bracket, we expect many a company MD or CEO to move from the Maserati or Bentley into an XJ… it’s the only British luxury product in this league for CO2. ‘And, once they’re in and happy, the logical progression is to get the directors below them into XFs, too…’ There’s no missing Page-Morris’ enthusiasm for the new XJ either: ‘I’m really excited in every way for this car. Jaguar’s done a superb job in developing it. Now, it’s down to us to carry it through for a home run.’

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forecourt New Jaguar XJ

The interior

Richard Aucock, takes a look at the technical detail

The data

he new XJ will go on sale here in the UK next year, costing from £52,500. There will be three trim line-ups: Luxury, Premium Luxury and Portfolio, all equipped to a high spec. Standard and long-wheelbase variants will both be offered from the start; one of Jaguar’s key markets is the company CEO with personal chauffeur to hand. The range will be topped by the BMW M5-challenging Supersport model; £85k, or £88k in LWB form. Service intervals are 15,000 miles, and Jaguar’s predicting high residual values – and is putting in the legwork now to ensure this is the case.

he interior is mesmerising. It uses more leather than any Jaguar before, and is super-modern. Phosphor blue lighting means the antique look of old Jags is completely blown away. Of course, it’s exceedingly well appointed. But one special feature is the incredible Bowers & Wilkins stereo – with 20 speakers, it pumps out a ferocious 1,200 watts. Utterly bewildering, the 15-channel set-up boasts industry-first Dolby Pro Logic IIx technology, and 7.1 surround sound. Mind you, even the standard 800W system is tidy… and can be heard in peace, thanks to all-round double-glazing.

The technology

rivers are presented with ‘virtual’ dials in the new XJ. A 12.3-inch HD screen has electronic displays of traditional dials, which fade in and out according to importance. If you’re running low on fuel, for example, the rev counter is replaced by a warning. What’s more, select ‘Dynamic’ mode and the dials change colour, from white to red. Drivers can even choose which information they want displayed: Jaguar dealers will have to set aside time to train buyers on this aspect alone… There’s another eight-inch HD display in the centre console. This is miraculous, in another way. To the driver, it displays stereo, climate control and sat nav functions. But, from the passenger’s seat, the SAME screen can play a DVD or show digital TV channels! It’s ultra-connectible, too. iPhones, laptops, iPods, BlackBerries, Bluetooth, USB, you name it. All can be paired with the new Jag.

The chassis

aguar continues with all-aluminium construction for the XJ. It says this makes it 150kg lighter than rivals – and, in time, 75 per cent of this will be recycled. It has full air suspension too, with Adaptive Dynamics and an Active Differential. Standard and long-wheelbase versions of the rear-drive saloon are on offer. This means it’s roomy inside – not always the case with older big Jags. The new XJ also has a huge 520-litre boot. Golf club tastic.

The engines

hree engines are all mated to a six-speed automatic transmission. There’s a nonturbo 385bhp 5.0-litre V8, which is upped to a monstrous 510bhp by the addition of a supercharger. This hits 60mph in a scant 4.7 seconds. But by far the biggest seller will be Jaguar’s marvelous 3.0-litre V6D engine. Sporting 275bhp, this 155mph engine hits 60mph in six seconds. No word yet on fuel economy; we’d estimate an average of around 42mpg. Certainly Jaguar promises ‘class-leading’ fuel economy.

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forecourt

RATED

MW car dealers will not be inundated with demands for this car. A 555bhp uber-SUV, costing £77k? Not highest on the wish-list of today’s buyers. That’s why BMW is estimating sales in the tens, rather than hundreds. This is a car for China and the Far East. So, why are we getting it? Well, because every incremental sale is worthwhile. At £77k, dealers will only have to sell a couple to make a decent return. More importantly, it’s also a superb halo car. BMW brings M magic to the X range? With its sister car, the X5M, the company just so happens to have a direct rival to a Porsche – the Cayenne Turbo. Visually, to the (admittedly already-dramatic) SUV-coupe style of the X6, BMW has not gone mad. It’s added 20-inch wheels, four exhausts, M3-style door mirrors and a front bumper with absolutely massive air intakes. In the E30 M3-esque red of the test car, with colour-keyed lower half, it was nevertheless anything but subtle. Just what its target clientele will want. These buyers are not a fickle bunch, though, expects BMW. All this show has to be well-supported by go. So, the company has spent two-and-a-half years developing the famous M division’s first offroader. Making it at all was a controversial move. If they were to do it, they wanted to do it right. The engine is the centrepiece. It’s got a mighty 555bhp, coupled with 679Nm of torque. With a clever new exhaust manifold and twin-turbo arrangement, the 4.4-litre V8 hurtles to 62mph in just 4.7secs. It’s limited to 155mph – but, for a little extra, you can have this removed. Then it will do 171mph. That’s fast. What’s more, with xDrive all-wheel traction, it’s child’s play to deploy. Simply mash the throttle,

After a week in the X6M’s diesel cousin, we can’t help but wonder who needs this mighty 4x4. Richard Aucock reports let the (slightly fussy) six-speed auto do all the work, and literally explode up the road. The sound isn’t as dramatic as you’d expect, but the effect most certainly is. This car has serious go. From outside, all the turbo rush and exhaust splatter sounds almost war-like. But has BMW been able to make an SUV handle as an M should? Well, dealers should not expect typical M customers. An M3 buyer

DealerView

Matthew Johnson, sales executive, Preston Hall BMW It’s typical BMW, the X6M – they give us cars other makers don’t think they can push out. The obvious next development would have been a big diesel – this, along with the X5M, is the total opposite. It’s a new one even on us! With the M engine, it’s opened up a new avenue – big petrolheads who need and want a 4x4. It’s order on demand only, but we do have a couple of forward orders… mainly to footballers!

will give them a hard time, as they’ll know literally everything about the car. X6M customers will be less committed, but just as keen to go fast. The drive has been set up accordingly. It’s not anything like as involving as an M3; the ride is fine, steering light at low speeds, noise levels subdued. But the clever underpinnings mean it’s got staggering grip, real accuracy and the sort of straight-running confidence that means high speeds are not to be feared. No, it’s not ‘sporty’ like traditional Ms, but it was never going to be. It is, however, highly capable and, we’d wager, spot on target for the people it’ll draw. Do we admire it? Yes. Do we love it? No. We’d much rather have the 35d we enjoyed for a long test recently. It was frugal by comparison, just as comfy and completely competent. But then we’re being sensible. The X6M is not really a car for us, so it doesn’t matter. Dealers won’t have loads foisted on them, either, so will be able to exploit it for what it is – a high-visibility nutter car to top a pretty batty range.

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cult cars

Range Rover J

ust as you do with a Bentley Continental GT, see a top-spec Range Rover with large wheels and special paint, and you think only one thing: Premier League footballer. That’s quite a leap from the original Range Rover’s roots in muddy farmer’s fields. Back in the early 1970s, the Range Rover had sliding windows, plastic seats… jeez, it even had rubber floor coverings, which could be hosed down. Far removed from today’s halfinch-thick Wilton wool. That’s just the thing with some cult cars. They can start off with one set of ideas, gradually morph into another – yet, because they’re so iconic, they can get away with anything. Look at the Mini. Look at the Fiat 500. We would love a Range Rover because, like those two beauties, it absolutely is the real deal. Constructed from the finest materials, with the brilliance of hundreds of Land Rover minds behind it, the latest version is a total class act. It’s just been facelifted for 2010, introducing a mighty 5.0-litre supercharged V8, boasting – get this – 510bhp. 510 horses! In a Range Rover! That’s good enough to see it scorch from rest to 62mph in just 5.9 seconds. Not bad at all for such a behemoth. It’ll be a cult in its own right, particularly in black, with a set of 23”s. But that’s not to dismiss the current 4.2-litre supercharged

Range Rover

Price: £79,535 engine: 5.0-litre, V8 Power: 510bhp, 625Nm 0-60mph: 5.9s Max: 140mph Now ﬁnance one with Bridford: One: £29,535 deposit, 24 x £965 plus final payment* Two: £7,535 deposit, 48 x £1,350 plus final payment*

version, either. This engine is also Jaguarderived, and has also been seen in thousands of Jaguar XKRs. With 400bhp and a wailing engine note, it defies the considerable bulk of the Rangie. The suspension does a masterful job of doing this, too. It’s all-round air, which is adjustable up and down at will. You do this via the Terrain Response dial; just the job if the road to the training ground gets a bit muddy. Or, you decide to stuff the road, brass off the groundsman, and take to the pitch. Initial work on the current Range Rover was done under BMW’s stewardship. Indeed, the latest Range Rover, when it was launched back in 2003, was actually intended to be an off-road alternative to the 7 Series. Certainly, it used a large chunk of that car’s electrical gear, which meant it had indulgences such as

tri-zone climate control, 14-way electric seats, even a heated steering wheel. In time, with Ford owning the company, BMW bits were left behind, and trick new gadgets introduced. Such as touch-screen sat nav, ventilated seats – oh, and a personal favorite of Car Dealer Magazine, the wireless outdoor camera. Stick it to the bodywork and watch, on the dash screen, a video of what’s going on outside. The new model extends the theme with even more video feeds. That camera can also show up pictures of the fans you’re passing, being deafened by your 720watt Logic 7 Harman/Kardon stereo. But, if you really can’t be bothered with all that, slide into the rear seats, let your minder drive, and watch DVDs of the 1977 League Cup’s third replay. Today, they’re cheap. Very cheap. You can get an early 2005 model for under £25k. But only with a deal on one of the very latest will you be able to pull off the Premier League look. Good job Bridford’s Tim Marlow can do one, then; how does £7k down, plus £1,350 a month sound? Not too disastrous, when you think how much you’ll be spending in fuel! RICHARD AUCOCK

*The above options are specifically for applicants who do more than 2/3rds business mileage, limited companies or high net worth individuals. Contact Bridford for a written quotation and full terms and conditions.

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AT079_PrimeStock_CarDealer

29/7/09

09:33

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Furthermore I could have sold it 10 more times in the space of 10 mins (obviously it was too cheap) well done Autotrade-mail.” David Green, TheMotorHouse@Prestbury July 09

“My Free Trial was a 100% success from the outset, I offered an 04 VW Golf and within 15 minutes secured a bid of £5,000 making a £500 trade profit – this is a message to anyone that’s not had a Free Trial... you must try this!” Steve Russell, JB Motors Vauxhall July 09

“This week alone, bearing in mind we are only on Thursday, we have sold 24 cars through Autotrade-mail and taken a profit out of each. Over the last 6 years we have enjoyed the speed and quality of the response by reliable dealers. Autotrade-mail.com is an elite portal where professionals meet to do business.” Colby Breegan, Dace Motor Company July 09

Over 4000 dealers subscribe to Autotrade-mail.com If you aren’t already one of them, we’re certain we can help you make more profit!

Call us on 0870 2000 848 for a FREE two week trial to experience the full range of Autotrade-mail subscriber benefits before investing in your £40 monthly subscription. The UK’s leading online real time used-car trading network CarDealerIss18.indd 30

7/8/09 09:58:25

sales legends

ard to believe that Renault used to be known as a conservative, middle of the road brand. Oh, sure, it had funky cars such as the 5 supermini. But, alongside these were Renaults 9s, Renault 11s; even the Fuego coupe somehow managed to make sporty boring. Today, the brand is one of Europe’s most forward-thinking. And this change in attitude can be traced to 1984, and the launch of one key car: The Renault Espace. This, readers, was a proper first: Europe’s first people carrier. Renault invented the vehicle with help from French specialists Matra. Together, they brought the term multi-purpose vehicle into being. Mind you, like another iconic sectorinventor, the original Mini, it was a slow start for the pioneering Frenchie. At its 1984 launch in France, just a few thousand were sold. A year later, it had arrived in the UK, and things were even worse. The model’s first half-year saw a mere 217 registered, despite a list price of just £9,990. Blame the shock of the new. For the Espace was just that. Flat, edgy styling comprised a high-rise ‘monobox’, worlds apart from the three-box Cavaliers and Montegos that dominated the sales charts. It was tall, almost like a mini van, and had flat sides with a super-large glass area. Crisp and contemporary, for sure, but a total culture shock to UK traditionalists. If they did brave stepping inside, though, families would have been blown away. For the Espace was just that – packed with space. Five seats were offered; but the key draw was the seven-seat version, with a two-three-two layout. All pews were individually adjustable, and removable, while space surrounding them was ample. The driver suffered, through a famously appalling driving position, while the 110bhp 2.0litre petrol was hardly man enough for seven-up motoring. That didn’t stop the press hailing it as a groundbreaking new model… and, slowly but surely, people began to get it. By 1987, Renault had to even add an extra production facility, such was demand. The Espace age was underway. A second generation version came in 1991, which finally came with

Espace diesel power in the UK from 1993. A year later, Renault went mad, and stuck a 3.5-litre F1 engine in one. That one wasn’t for sale, mind… Trick floor rails made moving the seats around even easier – the Espace was yet more practical, and sales began rocketing. In time, following 1997’s third-generation launch, it would eventually account for 28 per cent of Europe’s MPV sector. It literally grew, too, with the introduction of a longer Grand Espace. Alas, by the dawn of the Espace IV in 2003, things had moved on. Renault broke ground with it, certainly – but was so successful, a single model alone wasn’t enough to feed the booming sector it had invented. That’s how the Scenic came about, and the

Weird box on wheels to some, the start of a revolution in family transport to others, here Richard Aucock takes a look back at the Renault Espace

Modus – even, although we were denied it in the UK, the original Twingo. To date, Renault has sold 1.2m Espaces. Not bad for a model that wowed but didn’t win over at launch. 80,000 of those are in the UK, too – and, while it’s hardly a hit nowadays, its influence within Renault is felt far and wide. Simply put, Renault would not be the creative force it is today without the Espace. Welsh car dealers Gravells have been selling the Espace from the start. Jonathan Gravell says it really was ‘the first of a new breed’. ‘It was leading edge, showing real French flair,’ he told Car Dealer. ‘It defined the segment in its very first year, and was the market leader for many years after that. It wasn’t the only class of car defined by Renault; we’d already had the 16 hatchback, and the 5 supermini… such was the significance of the Espace, we later got the smaller Scenic, which has taken over as the key player for us here. Renault launched the Espace at a big show, with it alongside an Intercity 125 train. By doing this, people “got” it right away. It was a luxury train for the road. With good prices in those days, people soon started swapping out of their family cars into one.’ Just as Renault intended. Espace age? You betcha.

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legends

Cash converters

In a clever marketing move, Hyundai has added duffers ripe for scrappage scheme to its fleet. We cadge a ride...

e never thought we’d be road-testing a Maestro in Car Dealer Magazine, unless it was part of our Bangers4BEN tour. But then, we never thought the government would be giving 300,000 new car buyers £1,000 to get rid of them, either. With an equal contribution from car dealers, it’s totally transformed the new car market, from gloom to (near) glory. But just what is the effect those happy new car buyers will be experiencing? To find out, we got our hands on the baggiest road-legal Maestro we could find for a weekend. Complete with interior smelling a bit like dog, plus an ‘I Love Ferrets’ sticker on the back, it was how you’d kindly describe as ‘lived in’. We, of course, were working the other way to scrappage traders. So, the flimsy feel as we clambered in, the slimy 1970s dashboard plastics, the lack of gadgets and, heavens, the general murk, all really stood out. To think, even midranking family cars such as this lacked central locking, electric windows, rev counter, CD player, even tinted glass back in the day – never mind airbags, ABS, air con… The Maestro was, however, amazingly roomy. Shorn of irritations such as crumple zones or side impact protection, virtually the entire car was given over to interior passenger room. It’s halfcomparable with today’s massive Ford Mondeo in some respects. You’ll start a Mondeo much easier, though. Yep, the Maestro still had a manual choke – and even its assistance was often not enough to encourage our 1.3-litre Metro-engined car into life. When it did finally shriek alive, we quickly discovered something else we’d forgotten: how easy modern cars are to drive. No power steering, of course. So the Maestro’s helm was virtually inoperable at parking speeds. The gearchange was also stiff and lumpy, while the clutch was weighty and the brakes reluctant, too.

We were sweating before we’d even reached the end of the road and the lack of air con was only partly to blame. Now, it’s perhaps unfair to drive an old banger such as this, and expect modern levels of comfort. So it was a surprise to discover, actually, the Maestro had a pretty decent ride. Soft, sure, but on an open road, it wafted along a bit like a luxury Merc. Shame it wallowed into corners, with the driver not at all encouraged by the

remote, low-geared steering and vague brakes. Despite this, you’d still try to keep speed up, so reluctant did the flat spot-riddled engine prove to regain it again. It all added up to a general sense of overwhelming unease when challenging the elderly Austin. Thank goodness the din meant your melting passengers wouldn’t hear your teeth grind. The Maestro was never an icon of brilliance. But still, hundreds of thousands were sold each

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DeAlerVIEW ‘We still run one now – we’ve had it years but it just keeps on going’

top: Summit Garage, Dudley, as it looked in the days the Maestro was a popular buy. Below: Hyundai has been offering hacks drives in the old Maestro to show what scrappage customers could be chopping in for a new i10

year, to families happy with what they got. It takes but one trip, never mind a weekend, to remind yourself how far things have moved on. Remember this when scrappage customers rock up in their old nails. Even your most basic supermini will prove immeasurably more pleasant – you won’t even need to mention their extra performance/comfort/refinement/safety/etc. Be careful, though: These cars will be the love of someone’s life. But then love can be a fickle thing…

ohn Newey, director of Dudley’s Summit Garage, sold the Maestro from the day it was launched back in 1983. ‘They just got it out in time for the new Y registration,’ he told us. ‘It was one of the “modern” Austins, replacing old models like the Allegro, Ital and Ambassador. ‘They’d simplified the range to the three ‘M’ cars – Metro, Maestro and Montego. The Metro was the volume seller, with the Mini still shifting lots, too – but the Maestro was certainly soon our third best-seller.’ Newey reports it wasn’t plain sailing from the start. ‘There were a lot of advanced features, such as the first automatic chokes and electronic ignitions. These caused a few reliability issues at first; by 1987, for example, they’d switched to manual chokes for all but the range-toppers… and the cars were much more reliable.’ It was a strong draw to family buyers – the Maestro was five-door only, and as we discovered, genuinely huge inside. ‘These tended to be 40-plus buyers, who were very loyal; it didn’t have the air of cool of the Astra and Escort, but it still drew a strong following.’ Production from the factory continued for 11 years. But, even by 1994, it wasn’t quite over for the Maestro. Rover sold the production line to a Bulgarian company, who wanted to build it up from kits. Alas, the business folded before the car went live… so what happened to the kits? They found their way to Leominster! For several years, an enterprising company sold brand-new Maestros built up from these. Summit shifted them for around £5,500 – and actually sold one of the last Y-plated cars, back in 2001. ‘I almost recently bought it back,’ added Newey. ‘The guy used to drive past here every day – alas, he chose a Vauxhall instead…’ Our test Maestro was one of these kits. Which, as we discovered, was pretty basic, with chokes, plenty of space in the engine bay to tweak the carbs, and no electrics. ‘This was part of the appeal,’ says Newey. ‘The simplicity.’ Newey looks back on the Maestro fondly, as it brought a lot of loyal custom to the AustinRover dealership. In the image above left, you can even see his old company car pictured on the forecourt. ‘We even still run one,’ adds Newey. ‘An old Maestro van – we’ve had it for years, yet it still keeps on going. Virtually unbreakable, it is…’

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Having been a car dealer myself I know that most car warranties aren’t worth the paper they’re printed on!

I have spent the last two years working with Warrantywise to create what I believe is the UK’s Best Used Car Warranty

Enrich your P.O.S. with the full Quentin Experience

Warrantywise is a trade mark of Warranty Wise Insurance Services. All covers underwritten at Lloyd’s of London and subject to immations, Terms and Conditions available from Warrantywise and at www.warrantywise.co.uk. The ‘UK’s Best Used Car Warranty’ is an opinion held by Quentin Willson. Warrantywise is Authorised and Regulated by the Financial Services Authority. *Special offer subject to availability

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CarDealer

INSIDE THE GUIDE

p41 Motability

p44 Car auctions

p41 Live video presentations

p44 Business efficiencies

p37 Warranties

p43 Insurance products

p46 SEO

p38 DMS

p43 Online ads

p48 Prospecting

Want to know how to slash your costs and offer a better service to customers? Our experts spill the beans...

Cover your customers and reap the rewards Streamline your operations and save big time

How to source tip top stock on demand Stimulate faster sales with moving pictures Protecting yourself from the unknown Why fixing advertising costs makes sense

How to stay on top of market fluctuations Streamline your operation today

Getting your message (and stock) seen Making the most of your dealership

CarDealerMag.co.uk | 35 CarDealerIss18.indd 35

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CarDealer

How to save money on...

Warranties

Warranty Management Services Warrantymanagementservices.co.uk 0844 477 4909

s you know, the burden of proof for fixing any fault developing on a car within the first six months of purchase is on the car dealer. Your only way of avoiding expensive payouts is by proving it wasn’t there at the time of the sale. ‘In most cases,’ says Warranty Management Services’ Chris Brooks, ‘this is impossible. ‘The best thing for the car dealer to do is transfer the risk, through the purchase of a warranty policy.’ This means that the insurance company will pay for fixing any fault that’s not down to wear or tear, or inherent at the time of purchase. So, Brooks, that’s a clear saving – but just how much can it save? ‘In an average case, say you buy a warranty for £150. During the warranty period, the car blows a head gasket. The cost of these repairs? Well, they’re covered by the warranty company… and an average saving of £500 would be great for any dealer!’

‘Our insurance products include GAP/RTI, MOT, alloy wheel and tyre cover, rescue and recovery, service plans. We also cover all cars, commercial vehicles, HGVs, motorbikes, caravans, speedboats – basically, if it has an engine, we’ll cover it.’ Chris Brooks Warranty Management Services There’s yet more, too: up-selling longer warranties of a year or more both ticks your responsible dealer boxes, plus provides a healthy source of added revenue. Don’t worry about customers’ reactions to this up-sell enquiry, either; as the firm’s business development director Eric Stone adds, most customers appreciate this offer of extra protection. It’s not just simple warranty products the firm offers, either. ‘Our insurance products include GAP/RTI, MOT, alloy wheel and tyre cover, rescue and recovery, service plans. We also cover all cars, commercial vehicles, HGVs, motorbikes, caravans, speedboats – basically, if it has an engine, we’ll cover it.’ There are also further potential attractive sales to customers; with the MOT product, for example, they’re offered for up to £750 towards any repairs listed on the failure sheet. As more buyers switch from new to used, the reassurance of such extra protection may well find a warm response from those used to the greater protection of new models. Turning an initial future-looking saving into a strong source of revenue…

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CarDealer

‘Swap from your old DMS system, and you’ll get a minimum £2,000 contribution for switching to Dragon2000.’

How to save money on...

DMS

Progress DMS

Dragon2000

Progressdms.co.uk 0845 257 9305 ho are Sytner and Inchcape using to save cash? And HR Owen? Alan Day? Well, it’s Progress DMS – web-based dealer management systems, that do everything from SMS marketing, technician clocking, to website design and CRM. There are various different Progress modules. Electronic T-cards, for example, instead of manual ones. Or health check software, that can work on up-sales before the car even leaves the ramp. Customer handling modules mean the current work and vehicle status on any customers’ car can be called up, instantly. You can even then text customers – and they can text you back, safe in the knowledge the system will log this, and process it. Clever stuff. And as for savings, listen to Franc Mateo, aftersales manager at Porsche Hatfield: ‘Progress Insight has reduced my customer no-shows by 85 per cent per week, due to the pre visit/reminder text messaging and follow-up process through the T-card board. ‘Text messaging has helped us reduce our telephone usage, resulting in a 20 per cent time saving per advisor – and a 15 per cent cost saving. This has also reduced the need to send up follow-up mail, saving £30 per month on postage and stationary. ‘The vehicle health check module has improved up-sales by 24 per cent, while the reporting module gives me the information I need to report to the group on my staff and sales team’s performance.’ They’re not the only ones to benefit. Charles Hurst Land Rover uses the electronic technician clocking module of Insight. This has saved at least an hour a day in admin, they reckon, and has also reduced overheads. And Alan Day VW’s staff reckon Progress is the ‘single most useful tool that they have available to help them do their jobs,’ says manager Gary Head.

Dragon2000.co.uk 0845 8382000 ar dealers can do their own scrappage part exchange… swap their old DMS for the Dragon2000 system – and save cash in the process! How? Well, it all goes back to the initial programming stage, says the firm. Most DMS are former accountancy software systems, adapted for car dealers. Dragon2000, however, is based on the Sage system – meaning it can be honed specifically for car dealers. What’s this? Well, it’s the same system your accountants use – meaning your transactions will be sent to them in a consistent format, which will save massively on book-keeping bills. That’s an instant cost saving; and if you know how much you pay in accountants fees, you’ll know the potential of it. The growing world of the web also offers savings potential. Some car dealers pay a big monthly fee to a web agency to do this. Dragon2000 lets you do this yourself – put your entire stock on to a sales website, with ease. There’s even the ability to hone the look of your own website, again with straightforward simplicity. Indeed, claims the firm, the entire system is so easy to use, four-in-five dealers save on training costs when switching to Dragon2000. It’s so able, reckons the firm, its exclusively offering Car Dealer Magazine readers a special deal. Swap from your old DMS system, and you’ll get a minimum £2,000 contribution for switching to Dragon2000. Need further convincing? Then drop the firm a line, to see comparisons it’s done, detailing potential three-year savings of over £200k… Read Richard Aucock’s blog about his visit to Dragon2000 – visit CarDealerMag.co.uk and click on the editors’ blog section

fo th g

“

38 | CarDealerMag.co.uk CarDealerIss18.indd 38

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SELL MORE CARS (and don’t just take our word for it)

Both CarSupermarkets.co.uk and SaveMoneyOnCars.co.uk play a signiﬁcant role in our online marketing strategy. Since the launch of the additional features we have seen an impressive increase in the number of visitors to our site and number of leads generated. The Car Shop We recognise that there is now a change in the market. People are now searching the internet to buy a vehicle, we have adapted our advertising accordingly. Advertising with SaveMoneyOnCars.co.uk and CarSupermarkets.co.uk is enabling us to maintain our high level of turn over. Stebbings Car Superstore

Both CarSupermarkets.co.uk and SaveMoneyOnCars.co.uk continue to be instrumental in providing unprecedented levels of trafﬁc through to the Motorhouse website. Motorhouse Cost per lead from SaveMoneyOnCars.co.uk is without doubt the lowest by a country mile. Autoﬁnders

Gear up for the September number plate change

The number one website for new and nearly new car deals Phone 0161 482 7650 for your reduced rate three-month trial and get selling more cars reallygooddomains “Number 1 in Marketing for Motoring...” sales@reallygooddomains.com

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CarDealer

How to save money on...

motability

How to save money on...

live video

Zype C It Now zype.co.uk 01189 353 665

o learn of savings on offer by Zype’s C It Now live video presentation tool, you don’t need to listen to us. Instead, take Rybrook Chester Volvo’s word for it. In two weeks Rybrook’s Phil McCaffery says the system had paid for itself! That’s a whole year’s subscription to the innovative video tool, simply from the extra sales it generated. So what is this trick way to quick cost neutrality? It’s the ability for you to provide a bespoke TV show to customers, anywhere in the world, about the exact same car they’ve just found on the internet. ‘Most car dealers want to broaden their hinterland,’ says Zype’s Andrew Howells. ‘They’re spending big on website, on effective SEO; the next logical step is better communications with these remote customers. ‘By default, C It Now gives them a completely new customer base, and thus a huge broadening of their business. ‘Car dealers can film cars as they show them to customers – with a headset allowing live communications with the customer. This means they can view online and focus in on any aspects particular to that customer. They are in control.’ Even better, Zype is soon to launch an archiving facility. So, any potential buyer who’s interested can take part in the presentation, then download the video to show off to the family later. What a clever feature! Effectively, it’s a personalised car show on potentially THEIR next new car – which they can forward on to everyone they know. ‘Customers love live video,’ says Howells. ‘It’s hard to quantify just how this can help sales – but believe me, it really does work. You’re letting the customer conduct things on their terms, no matter where they are in the world. ‘This makes it more likely for them to then follow it up with a showroom visit.’ Following on from this, people are much more likely to buy, confirms McCaffery. ‘People see it as a commitment – the conversion rate is extremely high. If two dealers are offering the same car, for the same price, they’re much more likely to buy the car shown to them through live video. It’s the next-best thing to actually coming in.’

MFL Direct

mfldirect.co.uk 0117 317 3096

x-Motability cars are sought after by many dealers. Thoroughly serviced, showing little use and often even fewer miles, the cosseted motors are nearly-new manna. What’s more, explains Mfldirect. co.uk’s Bart Day, the variety they offer is massive. ‘Motability doesn’t dictate what car people are given – they really can equip it to their exact spec, even down to options.’ This only adds to the desirability of such cars. You’d think sourcing them would involve paying a premium, reducing profit margins. Not with Mfldirect.co.uk, though. It’s been selling cars over the internet for nine years now; such is the trust, 3,500 car dealers happily buy cars sight unseen, assured that the motors will be tip-top. ‘We reject 40 per cent of cars returned to us because they’re not up to standard,’ says Day. There’s more, too – a special customer-facing ‘virtual showroom’, which you can plug straight into your own website; offering your customers free reign to choose from the thousands of cars Mfldirect.co.uk carries! Customers needn’t know you don’t actually carry the cars you’re showing, as it’s branded in your livery. It means buyers can search the entire fleet of used cars for sale, and choose just the right one for them. ‘Car dealers are thus only buying cars that they actually have buyers for,’ adds Day. The firm is entirely flexible in how you tackle collection, too. It can sort out logistics, you can send your own man – whatever works out cheapest for you. All you have to do is explain to the customer that the car is ‘coming from another one of our sites’, or similar. Result? A huge expansion in the array of high-profit used cars you can offer, with none of the costs of stocking, storage, asset depreciation or taking a gamble on specific cars which may or may not sell. It’s genius. It’s a very clever system, fully integrated with Mfldirect.co.uk’s other offers, which could provide a very innovative solution to the current used car shortage issue. Particularly as it’s a FREE system to set up and get running!

‘Mﬂdirect.co.uk has been selling cars over the internet for nine years now; such is the trust, 3,500 car dealers happily buy cars sight unseen, assured that the motors will be tip-top.’

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CarDealer

How to save money on...

insurance products

How to save money on...

online ads

Really Good Domains Savemoneyoncars.co.uk 0161 482 7650

ho better to go to, than Savemoneyoncars.co.uk, to find out how to save money on, well, selling cars? One of the firm’s internet gurus is Richard Lawton, who advises firms look beyond a simple initial promise of ‘free’. This is the trick if they want to save real bucks. ‘While we do cost a car dealer to advertise, all our advertising is based on fixed, flat monthly fees – no cost per click, or cost per lead, or cost per car per week and so on,’ he explains. ‘Therefore, car dealers can accurately budget their online advertising. The ability to quickly and accurately budget is a key way to stopping finances running away from you. We help in this respect. ‘Let’s, say, a larger car dealer group wants to advertise 6,000 cars on our site. Well, because our advertising rates are based on a flat structure, the dealer will literally be paying pennies per month for that advertising. ‘This means the dealers’ cost per lead will be industry leading.’ Lawton reckons Really Good Domains is pretty unique in doing this, too. ‘I’m not aware of any other website which can rival cost of advertising against number of leads generated,’ he says. The potential reach of his product is growing all the time, making it even better value for money. ‘The average adult spends over an hour a day on the internet – and this is rising.’ Leaving both him, and his customers in a strong position indeed.

Warrantywise

warrantywise.co.uk 0800 169 7800

V star Quentin Willson has helped Warrantywise create a ‘warranty without weasel words’. So, no excess, no claims number limit, no mileage restrictions, no consequential accident damage… you can even get the firm to add on breakdown recovery, meaning almost every box is ticked. This in itself is a huge draw to customers – and, for you, there’s more money in it, too, says the firm’s Lawrence Whittaker. The company sells direct, so doesn’t pay sales reps, meaning more cash for dealers. That’s 15 per cent in the bank right away, reckons Whittaker. ‘We are also the only warranty company to hold UK underwriting at Lloyds of London. By being a cover holder at Lloyds, we can underwrite any warranty business directly, and therefore cut out any middlemen or brokers that want to profit from providing insurance cover,’ he explains. But it’s the up-sell potential that Whittaker reckons will really drive income. ‘Our warranty is so good, it is easy to up-sell the period of cover to any customer for an additional premium. Providing you are FSA registered, you can up-sell from a six-month policy to a 12-month policy, and make yourself a tidy profit while doing so.’ Sounds good, particularly as the firm reckons it can beat any current warranty market on the product – ‘that can be price, or cover level… but in most cases, we beat them on both!’

‘The ability to quickly and accurately budget is a key way to stopping finances running away from you. We help in this respect.’ Richard Lawton Really Good Domains

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CarDealer

How to save money on...

business efficiencies How to save money on...

car auctions

BCA

BCA-europe.com 0845 600 66 44

e don’t have to tell you the scale and sheer pace of used car price changes nowadays. Never mind monthly variation – they’re chancing daily, and sometimes by leaps and bounds. This has serious implications on buying activity. Dealers can then ensure they pay only the bare minimum current price with BCA Auction View. This service – free to BCA account cardholders – features details of 13,000 cars. What’s more, to support the 30-day composite price information from auction results, BCA also offers a seven-day pricing service. This allows car dealers to track price movements to the pound. You’ll always know the market value of popular sellers; never be unsure of what to pay. There’s more. ‘Finding quality retail stock costs both time and money,’ says BCA director Tim Naylor. Dealers can’t rely on P/X to deliver the goods, sourcing direct from fleets and leasing companies can be frustrating if you miss all the wheat and are left with the chaff, tenders can be timewasting and there’s no guarantee of success, bulk deals will usually mix the good with the less desirable.’ BCA’s solution? Live Online. This is the auction house’s online buying portal, currently used by one-in-five BCA customers (and fastgrowing). Simply put, says Naylor, it means you can buy ‘four cars (or 40), on the same day, from different points of the compass – without even leaving your office...’ The money-saving benefits of online auctions are obvious: no cost of staff away from the office, no travel expenses, the ability to choose bargains from any BCA auction in the country, far tighter upper limit controls due to the amount of stock you’re able to access… and, of course, no receipts for bacon butties and mugs of tea!

On Target Telemarketing

Ontargettelemarketing.co.uk 0844 811 0483

treamlining processes is both an efficiency saving and a cost saving. Imagine how useful it would be, to know what (and who) are coming in, and when, to make the efficiency of the business that bit more seamless. This is where On Target Telemarketing helps. ‘We offer a comprehensive range of services that cover Service & MOT Bookings to Vehicle Health Checks and CSIs,’ said the firm’s David Orr. Dealers can decide what they want themselves, he explains, or liaise with On Target to work out the best services to sign up for. Even better, the company can then contact these customers on your behalf – ‘to secure service and MOT bookings, easing the workload on your admin departments. We work with the workshop – and your own menu pricing – to both fill out the diary, arrange courtesy cars and even drive add-on sales.’ Ask your service division manager how helpful all this would be… The firm also does promotional work. ‘We offer fixed pricing for campaigns, hourly rates, and success-only fees. Our clients are able to utilise our service for maximum penetration into their existing or lapsed customers, which includes trial periods to new clients to show the cost savings and extra revenue that can be generated.’ Yet another example of an initial money-saving move turning into a positive cash generator!

‘Live Online is BCA’s online buying portal, currently used by one-in-five BCA customers (and fast-growing).’

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Fill up with the '56 plate at mfldirect.co.uk MFL

MY56 M FL 21st Aug ust 2009 on

L F 6M

www.mfld irect.co. uk

5 R Y

gust

Au 21st

MFL

2009

.co.u

irect

ld w.mf n ww

Get your 3 year old, single owner '56 plates early only at mfldirect.co.uk from 21st August

mfldirect.co.uk is unique in offering cars for sale 7 days before they are handed back. During August, for a strictly limited period, we are extending this window to 11 days giving you more time to buy low mileage, single owner, fully franchised dealer maintained cars. This means that from 21st August you can go online to www.mfldirect.co.uk anytime day or night to make the most of our huge variety of stock - and as usual you don't have to pay until the cars are handed back.

'56

Visit www.mfldirect.co.uk for the full list of '56 plate cars published daily from 21st August

MFL

YR56 MF www.mfld irect

.co.uk

the vehicle remarketing company

CarDealerIss18.indd 45

PLATE CHANGE

7/8/09 09:59:47

CarDealer

How to save money on...

SEO

‘motorPLEX is an ingenious product that, in short, sends customers to your site ONLY if you have the stock or service they’re after. In other words, you only pay for it if it works.’

Silverdisc

Silverdisc.co.uk 0208 82 883634

f customers can’t see you online, they won’t come to you. When search engines such as Google, Yahoo and Bing dominate, it’s vital your website is optimised to be found by them – this is where search engine optimisation (SEO) comes in. And where Silverdisc can help. It offers the motorPLEX product. This is an ingenious product that, in short, sends customers to your site ONLY if you have the stock or service they’re after. In other words, you only pay for it if it works. This highly accountable marketing method, explains Ben Myall, ‘is a direct correlation between money spent and value received.’ The inference being is that car dealers can therefore spend less on the areas that don’t work… Like many, Paul Nanasbaum from Veloces of London was dubious. Two years on, though, he’s a complete convert: ‘Through quantifiable results, I have

reduced my offline spend completely – yet seen sales increase dramatically by 20 per cent.’ Remarkable! And it’s not just directing car buyers to the site where the advantages come, either. ‘Through motorPLEX, I am able to sell spare ramp time through targeted offers and campaigns.’ An efficiency you may not even have considered? He also uses it as a stock locator – supporting a full-time buyer, which means less employment costs on staff. These reduced costs elsewhere are supported by Silverdisc’s claims not to demand any extra payment for its services; ‘we aim to create more value from the same budget dealers already have’. So, if you’re spending £2k a month on print advertising, and pay someone else £1k to manage a £1k PPC campaign – well, ‘we could easily save them in excess of half of this.’ A saving that’s well worth enquiring about, don’t you think?

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0QFO MFUUFS UP BMM VTFE DBS EFBMFST %FBS .S $BS %FBMFS CFTU *G ZPV SWJDFT BOE BSF BMXBZT TUSJWJOH UP CF UIF 8F BSF 8BSSBOUZ .BOBHFNFOU 4F PX M VT O O DBM XJOH RVFTUJPOT UIF BOTXFS OP UP POF PS NPSF PG UIF GPMMP VQQMJFS PGGFS UIF GPMMPXJOH 35* T (BQ UZ × BSSBO FOU 8 %PFT ZPVS DVSS UP DPWFS FYBDUMZ XIBU ZPV XBOU ◆ #FTQPLF XBSSBOUZ QPMJDJFT BSÚ QPMJDZ ◆ "O ÙJODMVEJOH XFBS BOE UF QBZNFOU UVSOBSPVOE BJNT ◆ " IPVS BVUIPSJTFE DM S OBHF U NB DPVO ◆ " EFEJDBUFE BD H BJOJO DF US QMJBO DPN ' 4 " ◆ 'SFF TBMFT USBJOJOH UP JODSFBTF QSPûUT ◆ 0OF UP POF PS HSPVQ PO TJUF QTFMM BTF V JODSF ◆ $VTUPNFS JODFOUJWFT UP JPO TUSBU SFHJ PMJDZ MJOF Q ◆ &MFDUSPOJD PO 4 XFCTJUF ◆ $PNQMJBODF USBJOJOH WJB 8. Z QBDLBHF TUBOEBMPOF PS JODMVTJWF ◆ /BUJPOBM SFTDVF BOE SFDPWFS QVSDIBTF QSJDF VQ T GPS WFIJDMFT VQ UP ZFBST PME XJUI B PMJDJF JDF Q ◆ (BQ BOE SFUVSO UP JOWP UP c SPWFE SFQBJSFST GPS PVU PG BSFB TBMFT ◆ /BUJPOBM OFUXPSL PG BQQ T JODMVEJOH )(7T DMFT DBSBWBOT BOE DPNNFSDJBM WFIJDMF ◆ 1PMJDJFT UP DPWFS NPUPSDZ UJPO ◆ "MMPZ XIFFM BOE UZSF QSPUFD BOUFF 4DIFNF (VBS BMFS E %F ◆ " OPO SFHVMBUF BSSBOUZ QFS X ZFT c c GSPN SBHF ◆ $PWF ûUT UP ZPVS CVTJOFTT BSBOUFF TDIFNF EFTJHOFE UP SFUVSO QSP ◆ :PVS PXO JO IPVTF EFBMFS HV S DVTUPNFST WFIJDMFT ◆ 4FSWJDF QMBOT UBJMPSFE UP ZPV NQBOZ POF PG UIF MBSHFTU JO UIF XPSME DF DP VSBO ST JOT ◆ *T ZPVS TVQQMJF OE 1PPST DF DPNQBOZ SBUFE " CZ 4UBOEBSE B ◆ *T ZPVS TVQQMJFST JOTVSBO

CarDealerIss18.indd 47

%JE ZPV BOTXFS AOP UP BOZ PG UIF RVFTUJPOT *G ZPV EJE DPOUBDU VT XJUIPVU EFMBZ

$BMM $BMM 'BY 'BY 8BSSBOUZ .BOBHNFOU 4FSWJDFT 8BSSBOUZ 4VJUF 5IBNF )PVTF 5IBNF 3PBE )BEEFOIBN #VDLJOHIBNTIJSF )1 )6 XFC XFC XXX XNTXBSSBOUZ DP VL FNBJM TBMFT!XBSSBOUZ NBOBHFNFOUTFSWJDFT DP VL

8IBU ZPV TFMM JT ZPVS CVTJOFTT m QSPUFDUJOH JU JT PVS CVTJOFTT 7/8/09 09:59:53

CarDealer

How to save money on...

prospecting

WinWin

winwinworld.co.uk 0207 538 6688

ormer e-goodmanners man Justin Ashton teamed up with Mark Taylor-Jones, of q.bit Systems fame, to form WinWin World in April 2008. They offer a one-stop prospect and CRM tool, which will boost profits despite low admin demands. It does this by removing the ‘island’ approach of so many IT solutions. ‘Any solution needs to do the whole job in one go – and should work with existing infrastructure,’ says Taylor-Jones. This is why WinWin offers three products – WinIT lead management, TrackIT car configurator and KeepIT CRM. These are modular, can be taken in

isolation; and, crucially ‘can link with about anything you may already have’. With these products comes the entire ethos of the company: ‘you make more money than it costs... that’s why the company’s called WinWin!’ The company saves dealers money on three levels – reduced staffing, much more efficient marketing and money-saving DMS solutions. But, more crucially, it also makes dealers money. ‘TrackIT, for example, makes on average £100 extra profit per unit,’ reveals Taylor-Jones. ‘It also generates leads into WinIT from old finance customers, who are in a position to buy again based on their current car value and settlement. ‘Of course, good CRM like KeepIT will always make money; it has a good, controlled process and, vitally, is easy to use.’ But the real innovation is the cost side. ‘We can supply our products on a per unit charge,’ reveals Taylor-Jones. ‘If you don’t sell anything, you don’t pay us anything... now that really is a WinWin saving!’

BCA LIVE ONLINE: THE FIRST AND STILL

THE BEST FOR BOTH

BUYERS AND SELLERS Whether you’re buying or selling, Live Online makes great sense for your business. Buyers can choose from and buy stock at auctions nationwide, and vendors have their vehicles marketed and offered to buyers everywhere. With Live Online, BCA pioneered across the UK and Europe the broadcast of live auctions on the internet – and it remains the most successful e-sales channel in the remarketing industry. More innovation and proven performance from Europe’s No.1 vehicle remarketing company.

www.bca-europe.com

We never stop 48 | CarDealerMag.co.uk CarDealerIss18.indd 48

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7/8/09 10:00:03

ATTENTION ALL

PRESTIGE CAR DEALERS... Bridford Financial Solutions are market leaders in the provision of prestige car finance to car dealerships.

As one of the fastest growing and truly independent finance brokers, working with some of the largest finance houses across the world, Bridford Financial Solutions provides bespoke finance for the acquisition of prestige motor vehicles.

Bridford Financial Solutions provide:

With over £200million of funding provided to date, we are ideally placed to manage the provision of vehicle finance for your customers.

Deal turnaround in 24 hours

Access to a nationwide sales team One to one personal service, 7 days a week

Over 20 years experience in prestige vehicles.

With rates from as low as 5.9% apr and dealer finance commission packages from 2.95%, can you afford to miss out on working with a completely independent vehicle finance company.

0844 815 8888 sales@bridford.co.uk www.bridford.co.uk

CarDealerIss18.indd 50

7/8/09 10:00:09

cultclick cars right

...in association with G-Forces

Found your weakest link? F

rom post-match interviews with crestfallen coaches to team-building seminars the length of the country, it’s hard to escape the wisdom that a team is only as good as its worst player, a chain is only as strong as its weakest link and behind every great man there’s a great… chair. How many television and print ads have you seen that advise you to ‘see in store for further details’? When you do head to the store you undoubtedly find an impressive display or a member of staff wearing a shirt practically begging to tell you all about said offer. If you had to scour the entire shop to find even a hint of information you’d leave and the campaign fails. Without the strength offered by in-store support, it’s too weak. This principle applies to companies using the internet to generate interest in an offer too. If a company is using web advertising to draw attention to a special offer then that offer needs to be represented on-site or visitors won’t hang around long enough to become users, let alone make an enquiry. For automotive dealers this means making sure that pages carry details that are relevant for the traffic another element of their web strategy is driving to it. If clicking on a Pay-PerClick advert for the scrappage scheme instead leads to information about deals on a five-year warranty then an internet user won’t hang around. While PPC advertising will drive traffic as part of a marketing strategy, its success in generating conversions is reliant on the website itself. Increasingly, internet audiences judge companies based purely on their online presence. If a website isn’t functioning and appealing or if it doesn’t carry information a visitor is likely to need, opinion of the company’s offline standing is considered in the same light and chances of conversions are reduced.

Is all your online advertising working together to promote your site, or is there an area that’s letting it down, asks G-Forces’ Tim Smith Dealers give careful consideration to the placement of vehicles and offers within their dealership and the same should apply to their online presence. Your dealership isn’t an impenetrable maze of cars and giant offer posters so your website shouldn’t be either. As able as web marketing is at delivering traffic to your site, it needs to welcome that traffic and give it a reason to stay. Our clients see success from their web strategies because they view their website as an extension to their dealerships. The internet is continually evolving and websites require constant attention

in order to survive in what is an extremely competitive marketplace. Using G-Forces’ NetDirector Auto means that stock levels and information, offers and images can be easily and continually updated. Having a really strong marketing campaign driving traffic to your site is essential. However, without an equally strong, and flexible, website in place to support it, wondering why it’s not converting would be like selling all your best players and wondering why a fragmented club loses 6-1 to Leyton Orient.

‘A team is only as good as it’s worst player, a chain is only as strong as its weakest link and behind every man is a great... chair’

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7/8/09 10:00:20

...in association with Really Good Domains

dot com

...in association with Really Good Domains

Why online ads are booming Really Good Domains reveals research showing advertising online is not being cut back in the recession – but increased

e like to bring you some of the latest research conducted by respected organisations in our Dot Com article, and this issue is no different. In the past couple of months a few very interesting new studies have come to light, adding further weight to the argument that internet advertising continues to be the growth area of the industry. A study by the Internet Advertising Bureau (IAB) and PricewaterhouseCoopers found that UK internet advertising was worth more than £3.3bn in 2008, up 17 per cent year-on-year on a like-for-like basis, and this was on the back of the whole advertising industry shrinking by 3.3 per cent. This meant that the online share of the whole pie jumped to 19.2 per cent up from 15.5 per cent for 2007, furthermore it was the only medium to show growth across the difficult year. Television remained the big fish in the pond taking 21.9 per cent of all ad spend, while press display came second, just ahead of online with a market share of 19.5 per cent. However, drill a little deeper and during the last six months of 2008, online had moved ahead of press display, into second place, and is now rapidly catching television as the number one advertising medium. The study cites one of the main catalysts for this as the changing face of the online audience. In the UK there are now 34.7m people online, with 23.6m people using it every day. Indeed, 94 per cent of the online population now use broadband to access the internet therefore it is no longer a case of whether you have the internet or not, it is how fast your connection is. The second study, by Forrester Research,

‘Obviously the main focus for the vast majority of marketing officers polled has become online adverts.’ surveyed chief marketing officers worldwide and found that while 71 per cent of 2009 marketing budgets had been reduced because of the recession; 73 per cent of those surveyed said that online advertising had remained the same or increased for the year. More startling yet was the insight that only four per cent of those questioned were planning on increasing spend on TV, print, radio or magazines – obviously the main focus for the vast majority of marketing officers polled has become online. These two latest studies further reinforce the imperative need for car dealerships to put their

main marketing thrust into the online arena – there are a thousand and one reasons why online ad spend continues to outperform other mediums. Two of the most important is that when used correctly it can be the most cost-effective medium and be much easier to calculate return on investment – both vital in the current climate. The internet is the most important medium for dealerships to communicate with car buyers which makes it essential to make sure your cars, deals and brand can be seen by the maximum number of the 34.7m people online. Websites such as ContractHireAndLeasing. com, SaveMoneyOnCars.co.uk, and TheVan Website.co.uk (above) succeed by featuring at the top of search engine results and by making it easy for visitors to find your vehicles for sale and lease. And the more people that see your deals the more people will enquire about them!

SELL MORE CARS

Phone 0161 482 7650 for your three-month trial

reallygooddomains “Number 1 in Marketing for Motoring...”

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LCV insight

...in association with Vansunited.co.uk

More VW van dealers! There are yet more appointments in the VW commercial network while BCA reports van buyers may be on their hols

olkswagen has created 20 new van dealer jobs in Kent, with the opening of its new Ashford van centre. The JCB Group dealer is based at Orbital Park, and is the result of a £1.6m investment. It joins another JCB Volkswagen van centre in Sittingboune. Kent Volkswagen Van will also offer a full service and aftersales setup – ably supported by JCB also running one of the largest Volkswagen Group parts operations in the UK. ‘This new Van Centre is fantastic news for Volkswagen Commercial Vehicles, and both our current and future customers in the Ashford area,’ said VW van director Simon Elliott. ‘Investment by the JCB Group, and the continuing increase in market share for Volkswagen Commercial Vehicles, proves that our vehicles and the Volkswagen brand make the most sense whatever the market conditions.’ Unusually, Elliot also added a personal note to JCB boss Jonathan Bischoff: ‘I know Jonathan and his team will make this van centre a great success.’ Meanwhile, BCA reports that the ongoing rise in van prices has started to slow down. Prices reached a plateau in June, with little variance in prices during quarter two. This contrasts with sharp price rises earlier in the year. However, prices are still way ahead of the grim troughs of December 2008: an average of £3,500 today, compared with just £2,772 back then. BCA general manager Duncan Ward reckons there’s not

too much to worry about, though: ‘Historically, the summer months record weakened demand for commercial vehicles, with values ticking over until September – when the market usually improves markedly. ‘With many used vans going back to work with SMEs, this makes perfect sense – a small family-run business or self-employed trader needs a holiday just like the rest of us do! ‘If a replacement van is needed, it can probably wait until after the family vacation.’ All this means talk of the end of the market upturn is premature. ‘There is an element of seasonality to LCV sales – dealers expect business to be reasonably flat over summer, until September rolls around again.’

Fiorino van goes off-road!

iat has launched one of the coolest-looking small vans on the market – the Fiorino Traction +. The 1.3-litre diesel-engined models will get the high-grip mechanical updates, which Fiat says improves traction on mud, snow and other slippery surfaces. It is not a four-wheel drive system, though – so there are no fuel economy penalties. Instead, it electronically brakes the wheel with the least grip, sending drive to the wheel with more traction. A form of electronic limited-slip differential, in other words. Even better, the changes come with a series of great-looking body updates, too; under-engine protection, chrome-finish front bumper, raised body height, tougher body protection and 15-inch steel wheels. Fiat Professional director Gerry Clarke reckons: ‘Traction + will prove an extremely useful system for customers who need an extra element of grip from their Fiorino.’ Prices for the Traction + are up by £750 for the van version, and £780 for the Combi model.

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7/8/09 10:00:25

servicing

in association with the Motor Industry Code of Practice

Less complaints because of Code Moans about garages are down, new figures reveal, and it’s all down to the Code

ar dealers are causing fewer complaints to the Consumer Direct service – thanks to the Motor Codes scheme. So far this year, complaints about garage workshops have dropped by 4.1 per cent, as car service agents up their game. The approval offered by the Motor Codes subscription service is playing a big part in this improvement, says Codes director and Car Dealer columnist Chris Mason. ‘These latest figures indicate that there has been an improvement in the performance of independent garages over the past few months,’ he said. And improvements will only continue, if more garages sign up – helping dispel the unfair reputation the industry is tarred with. ‘By working with the sector to provide real benefit for consumers and raise standards across the industry, Motor Codes is best positioned to help motorists identify who they should be doing business with.’ It’s a real mark of success for the scheme, which has been in operation for less than a

Which? has backed Codes (see column right) year. Indeed, as Mason admitted, it’s ‘still in the early stages, with much more to do, but this latest news is a welcome indication of improved sector performance.’ Official figures show 8,047 complaints were received in the period January-June 2009; all eyes will be on the second half stats, to see how influential the Motor Codes scheme is continuing to be. RICHARD AUCOCK

Why I signed up... Tutts of Dorking SUe Somerville runs tutts of Dorking with her daughter Amy. the dealer is one of the ﬁrst independents to sign up to the Code of Practice for Service and repair – not that the ﬁrm had to make that many changes! ‘Good working practices mean we were already there in terms of eligibility,’ says Somerville. ‘the biggest difference is our work diary;

I now have two A3 books, which fully detail which work has been authorised, and exactly what each party has agreed to.’ the clarity this brings to the process is enormous – although Somerville does admit the diary may be reﬁned in time! She sees many long-term promotional beneﬁts to being a scheme member. ‘By signing up, we’re able

to take advantage of the extra marketing initiative behind the scheme,’ she explained. ‘We now feature the branding on our letterheads, on our website – and I also appear in the launch video for the scheme!’ Somerville reckons it’s an excellent initiative that should ﬁnally weed out the cowboys that ‘give our industry a bad name’.

Cracking the Code Chris Mason, says the watchdogs are taking us seriously – so should you!

was very pleased to have been able to tell you last month about the high sectorawareness of how Motor Codes is helping garages maintain minimum standards and meet customer expectations. Well the even better news is that organisations that keep a watchful eye on all types of businesses are also noting the progress being made. The chief executive of Trading Standards, Ron Gainsford and Richard Headland, the motoring editor of consumer magazine Which?, have recently given public praise for all the progress made in making the Motor Industry Code of Practice for Service and Repair get to where we are today. Ron Gainsford pointed out that his inspectors need to focus resources more efficiently and so therefore would not be targeting businesses that are self-regulating, but will be turning their attention to those garages that are not Code subscribers. However, this doesn’t mean that we can take our eye off the ball – far from it – because he also pointed out that self regulation is a privilege and not a right. In his eyes, the Code is big step forward and Trading Standards will help it to succeed, but all the good garage operators need to play their part in delivering this. Which? expect to see the Motor Codes logo become a hallmark of quality for consumers to recognise and trust – which means perfectly good garages who don’t sign up could risk losing business to those that have joined the scheme. In less than a year, collectively we have made great progress – let’s carry on the good work and give the watchdogs the proof they need to show them we are serious about our commitment to do the right thing.

‘Let’s give the watchdogs the proof they need to show them we are serious about our commitment to do the right thing.’

Good for customers, good for our industry, good for your business.

trade_ad190x30a.indd 1

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For more information see motorindustrycodes.co.uk

Find out more about the new Service and Repair Code at motorindustrycodes.co.uk

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7/8/09 10:00:28

Nicholas Collier talks to the man who’s fast, flexible ‘instant’ building system is proving a big hit with dealerships...Ideal for these ‘tighter-belt’ times...

ith new vehicle sales and plummeting, dealerships focussing more than ever on ‘backend’ sales, help is at hand if you thought you couldn’t afford to expand and capitalise on the growing after sales market ...

I’ve been speaking to a guy who’s firm seems to have an answer more and more dealerships really like. They supply their range of ‘instant’ buildings as a fast and cost-effective alternative to traditional bricks and mortar constructions. “The reason they’ve been so successful is because they look and perform like a real building, but in a fraction of the time...And...For a fraction of the cost”, said Antony Hunt, Managing Director. “We supply them as valleting bays. Smart-repair units. Workshops. MOT stations, and we’ve recently supplied a brand new showroom to Kia, in Glasgow”, he said. One factor behind his success must be speed. Because the buildings he supplies are made here in the UK, they can have you up and running in as little as 28 days from the time you order – sometimes less. The other is price. They cost a fraction of a permanent building. Any size you want no ground preparation Another advantage is because their buildings bolt to the floor, (as opposed

CarDealerIss18.indd 56

to needing footings and foundations), they are classed as temporary. And so more and more councils are looking on them favorably in terms of planning permission. Therefore, this speeds up the process too, because it can drastically reduces the hold-ups and delays associated with applying for planning. They regularly put up brand new temporary buildings all over the country, in any size from 500 to 25000sq ft Designed to your own bespoke size and specification You can have your building designed to your own bespoke size and specification, and you get to choose exactly which colour you want your building clad in, which is ideal if you have a corporate colour theme to work to. As well as which, you can specify your building with any wall height up to 7mtrs tall. Which will be especially useful if you are working on lorries , coaches or buses. But maybe the best part is, as long as you have a level hard-standing surface, there’s absolutely no ground preparation needed. Warranted for up to 35 years Some ‘temporary’ buildings they originally used were made in 1984 are still going strong. “I’m quite surprised myself,” admits Mr. Hunt. “But they keep going and

going because they are tremendously robust. “Something else which has proven successful is our own scrappage scheme. It’s quite timely the government introduced their scheme for cars, but we’ve been doing this for three or four years now, with our buildings….I’m sure they stole the idea from me!!” he said.. So if you do already have makeshift or home made structure installed, he will arrange for his team of installers to remove it for you, ahead of having your new smart-space ‘instant’ building, installed.. Introductory Offer To find out more about how you can use a smart-space ’instant’ building to increase your capacity for a fraction of the cost of building, go to www.smart-space.co.uk/motors now... There’s a detailed explanation about your options to hire or buy a building, along with a link where you can request a free information pack. This also entitles you to take advantage of a generous introductory offer they have made available to Car Dealer subscribers.. Or, feel free to call 01827 330000 to discuss your ideas, or to arrange to go to Smart-Space’s premises in Atherstone, Warwickshire, to view their display centre of buildings, without obligation,.

7/8/09 10:00:32

en ge

nt ut ur m he

ift he to ng d-

an to of

.. ut g, e-

ner er

to go rir ut

Peering into the lives of the motor trade...

On The Spot Name: Paul Brayley Age: 47 lives: Aldenham, Hertfordshire Any family? My wife Lea and I are celebrating our 25th wedding anniversary in August. We have a son and two daughters. Daniel was a ‘D-reg’ baby, born in August 86 and he’s just graduated from Cambridge. Our eldest daughter Alice has also just graduated, from York University. Both of them are working at Brayley Honda, for now. Our other daughter, Amy, is doing a hairdressing apprenticeship in London with Daniel Galvin. What do you drive? All the Honda range and I’ve also just bought a Fiat 500. What was your ﬁrst job? Apprentice mechanic. What was your ﬁrst car? Ford Capri. Who do you work for now? Brayley Honda. What does this involve? Juggling lots of balls! What are your job’s biggest challenges? Making sure I spend enough time talking with all 128 members of my team every week. Any downsides? I’m often conscious of the old adage about being excellent with one business, good with two, average with three etc so I work extremely hard in developing and enhancing the abilities of my teams to ensure this isn’t going to happen. How much do you earn? You’d have to ask Mrs Brayley. Do you have an average day and how does it pan out? I can’t remember what an average day looks like apart from leaving home at 7.30am to be in the office for 8am and arriving home at 7.30pm. Each day is spent at a different dealership where I ensure that I walk the site and talk to all the team, before sitting at a desk to action the things I need to do. What newspapers/magazines do you read? The Daily Mail and The Sunday Times. What is the most expensive thing you’ve ever bought? A Patek Philippe watch. What’s your mobile phone ring tone? The Blackberry default setting.

‘I’m conscious of the old adage about being excellent with one business, good with two, and average with three. I work hard to ensure this doesn’t happen.’ What was the first record you bought? nearly had me there! Gary Glitter’s Leader of the Gang. Not sure I What is the biggest challenge car should own up to this now. dealers face? Matching the cost base of a franchised dealership to the profit Favourite film and the last one you opportunity, while delivering a first class saw? Favourite is Meet Joe Black. The last level of service to customers and ensuring a one I saw was This is England on video. first class place to work for our staff. Favourite football team? Arsenal. Number one tip for car dealers? Work hard at maintaining excellent relations Favourite drink? A cold Michelob beer. with your manufacturer. Favourite holiday destination? Spain. And finally... what’s your motto in Have you got any superstitions? I don’t life and business? The harder I try the luckier I get! write the number between 12 and 14, you

Want to face the Car Dealer questions? It’s not as bad as it sounds. email james@blackballmedia.co.uk for details

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7/8/09 10:00:36

auctions

SMA site’s booming week Six months after redundancy fears at auction house, site bounces back with a company-best sales record

MA Leeds set a company-best record for weekly sales – then, the very next week, broke it again! The latest total has seen 1,204 cars sold in seven days – and the numbers just keep rising. It comes just six months into the new stewardship of owners Bob Anderson and Kevin Bann. They’d set a long-term goal of achieving 1,200 sales in five working days… but didn’t think it would happen so quickly. In fact, just before Christmas, SMA employees were even facing redundancy. ‘On December 23, 140 people working here at Leeds were staring at an uncertain future, due to circumstances beyond their control,’ said Anderson. ‘Fortunately we managed to acquire the business. ‘We undertook a strategy to keep everyone employed and, as this landmark achievement has proved, that was the right decision for all. Our sights are now firmly set on breaking the 1,500 mark.’ He’s confident of achieving it soon, too: because of SMA’s level of service and commitment to both vendors and buyers. We’ll be watching progress here closely, to see when the next magic goalpost is reached… Meanwhile, over at BCA we receive news it has just converted more than 200 Fiat and Alfa Romeo cars into a hefty £1.5m. The monster sale was the Italian makes’ largest of the year, and took place at BCA Measham. And it was quite a line-up of cars: • 12 Fiat 500s – averaging 107.3 per cent CAP Clean • 100 Grande Punto – averaging 102 per cent CAP Clean • 16 Fiat Bravo – averaging 102 per cent CAP Clean Best-performing car of the day was also a Fiat,

Fiat Group enjoyed fantastic success at a recent BCA sale

‘As this landmark achievement has proved, we made the right decision.’ with a red 2007 Grande Punto making nearly 130 per cent of CAP Clean! The Alfas also did well; GTs averaged 115 per cent, while the 147 and 159 averaged 106 per cent. Indeed, nearly EVERY car beat the CAP values. It’s all proof of the brands’ growing appeal in the used car market, said BCA’s Fiat Group

account director Paul Dunn. ‘To achieve more than 102 per cent of CAP Clean is a significant achievement, even in the current strong market,’ he said. Fiat’s remarketing man Simon Wheeler praised the BCA staff in making the event ‘another unqualified success’. ‘We were delighted with the performance of our products at the sale, making this the fourth month running we have achieved exceptional results in a major closed auction environment. ‘The values achieved were very impressive, reflecting the ever growing demand for Fiat Group products in the used car market.’

Dealers forced to stock older cars as shortage hits

AR dealers are being forced to stock older used cars, due to a severe shortage of nearly-new models. Glass’s says this has led to price increases of up to 25 per cent. Since the beginning of summer, there has been a severe shortage of nearly-new stock, particularly short-term rentals and dealer demonstrators. There is no solution on the horizon, either. Editor Adrian Rushmore says the situation could remain dire until the middle of 2010. ‘Even if manufacturers decide to resume supply to daily rental firms in 2010, the terms of the agreement are likely to stipulate an extended

“tour of duty” of at least 12 months.’ This, he says, ‘will simply prolong the period of used car drought’. This means car dealers will have to fight just to ensure stock levels do not crash even further. It’s all been caused by the grim new car market. Fewer cars are being registered – in particular, the short-term rentals that feed the nearly-new market. This is having a knock-on effect of rising prices in the older used car market, too. ‘Dealers are turning to older vehicles as the only means of maintaining a suitable level of stock,’ he said.

‘The severe reduction in new car sales has generated fewer part-exchanges, and many franchised dealers have expressed more of an interest in purchasing cars from general auction sales than at any time in the past.’ And although this is pushing up prices, the trade is concerned that car buyers simply won’t pay the necessary retail prices. ‘In order to maintain turnover, many dealers are now accepting slightly shorter margins to ensure ongoing business,’ he added. In short, the used car market is facing a huge upheaval – so, be sure to get in on the debate and let us know your take on things!

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...in association with Winn Solicitors

accidents

Failing to look after crash victims hurts dealerships If you don’t help customers in their hour of need you could soon lose them to a rival

ustomer service is critical to a dealership group where most stand or fall by their reputation. Failure to have in place a good accident management service damages that reputation.

Mr X

MR X suffers a non-fault accident in which his vehicle is written off and was referred by his dealership to contact his own insurer. The insurer settles the claim knock-for-knock and advises the client against claiming for injury. Mr X receives trade value for his vehicle under the terms of his policy, which is £3,000 below retail value. He would like to buy a replacement vehicle from the dealership but can’t as having received trade rather than retail makes the vehicle he wants unaffordable. He has to pay his excess and increased insurance premiums, which makes it more difficult to buy a replacement vehicle. He was told by his insurance company that claiming for injury would be a hassle so he decides not to do it and misses out on having additional cash which could have been used to purchase a vehicle. Mr X is not in the best of moods as he suffered neck and back pain during the accident and has After a smash, helping your customers can lead to another car sale, says Winn Assist been told he will have to wait three months for any treatment on the NHS. He doesn’t have the claim and receives £3,500, which he puts towards funds readily available for paying for treatment a new vehicle. Mr Y was suffering headaches himself. and pain and is referred immediately for private He is extremely annoyed that, for an accident physiotherapy with the costs paid and reclaimed which was not his fault, he has suffered both from the other driver’s insurer. He has returned to financially and physically. He is also without a health quickly. car and was without a car during the period it Having driven around for six weeks in a replacement was off the road. When he was off the road he new model he decides to buy a new vehicle of had to act quickly and buy a vehicle via a private that type or an upgrade. He has the money to do purchase through the paper to make his limited driveable so a replacement branded like-for-like so as he took the non-fault route and buys a new vehicle is provided immediately and until seven budget go further. vehicle from the dealership. He doesn’t think of days after the retail pre-accident value cheque is going elsewhere given the excellent service he received. has received following the accident. As there is no reliance on Mr Y’s insurance Mr X and Mr Y meet in the pub. On Mr X ON THE other side of the road is Mr Y. He policy, retail value is claimed, which is £3,000 hearing of Mr Y’s experience he wonders why contacts his dealership who refer him above trade. This gives him a good deposit for a his dealership did not refer him to an accident immediately to the accident management new vehicle. management company. Surely they know as they service administered by Winns. There are no excess or increased insurance are in the business after all! Mr X decides to use The case is clearly non-fault and an admission is premiums to pay so the client’s budget is Mr Y’s dealership in future. received from the other driver’s insurer quickly. maintained and he can afford more for a new Jeff Winn, managing director of Winn Assist Mr Y’s vehicle is written off and is not legally vehicle. Mr Y is assisted to make a personal injury

‘Having driven around in a replacement model he decides to buy a new vehicle of that type or an upgrade.’

Mr Y

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competition Win... a charging solution I t’s the bug-bear or dealers both large and small – flat batteries! Whether it’s a brand new car sat in your air-conditioned showroom or a 10-year-old used machine battling the elements in the corner of your lot, no-one can escape the problem. The embarrassment of firing up a car with a jump pack before a customer climbs in for a test drive is huge, but the problem goes far deeper than that. Battery experts CTEK say that 70 per cent of all batteries returned during warranty periods are due to problems caused by discharge. Modern cars are rammed to the roof lining with gadgets and gizmos that sap power from the battery, even when the engine’s not running. So being able to keep a watchful eye on the battery’s condition when the car’s laid up on your site makes sense. You’ll be able to top up the charge when it needs it, keeping the cell in tip-top condition and the chances of the car returning with a battery problem at a later date at a minimum. ‘We have had reports of one-in-three cars returned under warranty come back to the dealer with a battey related problem,’ a spokesman for CTEK told Car Dealer. ‘Despite the problems often being covered by warranty, it is a timeconsuming inconvenience to have to replace and return the batteries.’ CTEK has an answer though – the Comfort Indicator. It might sound like something you’d find on a sofa, but in fact it’s a simple traffic

light system that will tell you at a glance what condition the car’s battery is in. Simply attach the device to the battery terminals of the cars you have in stock and trail the indicator end where you can see it. Then every day you’ll be able to see which batteries need a top up. If the green light is flashing the battery is fully charged, amber means it needs attention and red means it needs charging urgently. But don’t just take CTEK’s word for it. Chrysler loves the product. ‘We recommend that our dealers use the CTEK charging equipment to charge and maintain the condition of batteries on all of our vehicles, especially those held in the showroom or on the forecourt. They are simple to use and effective,’ said a spokesman. High praise indeed. The Comfort Indicator is available with crocodile clip or ringlet attachments and costs £9.99 plus VAT. Once combined with the CTEK XS3600 smart charger (£54.99), dealers have the perfect

solution to their flat battery woe. The charger plugs into the end of the Comfort Indicator so you can top up the batteries that need it. We’ve clubbed together with CTEK to offer two dealers the chance to win the batterycharging combo of their dreams (probably). CTEK is offering two bundles that include five Comfort Indicators and an XS3600 charger for two lucky readers. You can enter in two ways: 1. Send an email with the subject title ‘CteK’ to james@blackballmedia.co.uk with your name and address (so we know where to send the prize) 2. Or send a text starting with the word DeAler, then your name and address to 82085. texts cost no more than your standard network rate. We’ll pick the winner out of a bike helmet on September 4. For more information on the entire range log on to CTEK.com.

WINNassist

National Specialist Accident & Compensation Solicitors

USE YOUR OWN BRAND ACCIDENT MANAGEMENT SERVICE TO CAPTURE FAULT CLAIMS AS WELL AS NON FAULT AND MAXIMISE YOUR CUSTOMER RETENTION

GAIN MORE BUSINESS IMPROVE YOUR PROFIT MARGINS ENHANCE YOUR REPUTATION GAIN AND KEEP REPAIRS FROM YOUR CUSTOM BASE

OBTAIN NEW RETAIL CUSTOMERS OWN BRAND ACCIDENT MANAGEMENT SERVICE

Allowing you to enhance your service, to your customers, using your brand. To fully understand the benefits contact us today. Arrange an appointment with one of our experienced account managers to call and discuss the opportunity for the creation of your own brand accident management service.

PHONE 0845 058 8787 0462 WS car dealer Ad New half page.indd 1

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www.winnassist.com email | enquiries@winnassist.com 21/5/09 09:56:12

7/8/09 10:00:42

[classifieds] Top car jobs call 01493 721119

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