Car Dealer Magazine: Issue 20

CarDealer.

Issue 20 | November 2009 | CarDealerMag.co.uk | £3.50

I N I H G R LAMBO

[ Motoring.co.uk: Ad portal that’s banned brokers p48 ]

Driving the future of the motor trade

O D R A L GAL

ERCAR P U S P H B 0 1 S... IN A 5 S E IN S U B Y S DELIVER T R A P E H T WE ENTER

Car Dealer Ewards

Scrappage extension

Your last chance to enter for one of our gongs

Was it right or wrong? Car Dealer kicks off the debate

Frankfurt Motor Show

The stories behind the star cars CarDealerIss20.indd 1

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start Issue 20 | November 2009

TO BE HONEST, it was a bit of a shock – and ruined my plans for this issue – but Lord Mandelson’s announcement that the scappage scheme would be extended was welcome news all the same.

I had originally planned for this issue to be about the push to extend the scheme, then on the day the argument pieces from contributors were due to land in my inbox, I heard the rumour Mandy would deliver the news in his speech at the Labour Party Conference.

After checking various news sources it soon became clear the rumour was actually fact – the early ‘leak’ being more of a head’s up to news agencies as a reason to watch Mandelson’s mumblings. In front of his party faithful, the prime minister wannabe delivered confirmation the government was pledging another £100m to the successful scheme.

This might have meant I had to have a rethink on our scrappage piece this month – instead I offered contributors the chance to argue for and against the decision to extend it (smart, eh?) – but I didn’t really care my plans had gone down the drain. I was just pleased to see the extension granted.

I know the scrappage scheme doesn’t please everyone, but there are few that can disagree the

benefits outweigh the negatives.

It has meant more people are buying cars – and most of them would never normally have considered buying new – plus the scheme is propping up an extremely fragile industry.

It’s a bridge to sustain this vital part of our economy, and keep thousands in jobs, until such a time we are well and truly out of this dark period.

I’m behind the scheme – I would be, my job relies on this industry being successful after all – but don’t let that sway you (as if it would). Check out the arguments for and against on pages 16 and 17 first, then let us know what you think. I’d be interested to hear your thoughts – my details are in the back of the mag.

LAST CHANCE IF YOU get this magazine in time – and with postal strikes causing havoc across the country that might be wishful thinking – there could still be a few days to get your Ewards entries in.

If last year’s inaugural awards were anything to go by, most of you will have left it to the last minute to send your entry in – so don’t delay, do it now. We need them by October 16. We’ve already had hundreds of car dealers enter their sites for judging by our expert panel, but we want as many as possible.

The Ewards, in association with Autotorq.com, aim to highlight the very best automotive industry websites and we’ll be visiting all the winners to hand over the coveted gongs personally. I look forward to checking out your site.

IDIOTS NOTHING new, but this month the Car Dealer team have made themselves look like complete numpties, this time by dressing up in blue jump suits and driving a Lamborghini around for the day.

Ok, so there was a point. Again, that’s a lie – there was no point – we just didn’t want to do the usual spank-it-around road test. So, instead, we signed up with our friends at Euro Car Parts and went out and did some proper work for the day!

Needless to say we were utterly useless, but it was a lot of fun. Read about our day’s work experience from page 28. Happy selling...

James Baggott, Editor

‘Forget the fact it’s incredibly quick, stunning to look at and sounds like angels are playing a V10 in your ears. Forget all of that, because that’s only half the story.’

Our leftfield Lamborghini LP560-4 Spyder test, p28

CarDealerMag.co.uk | 03

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s

m

ignition

dashboard 06

Frankfurt round-up

11

Scrappy days!

13

Ewards deadline

14

Scrappage pay out

16

Scrappage debate

18 20 22 25 26

Websites get revamps Lexus’ revamp Win £800 prize!

Big Mike Ewards

Issue 20 | November 2009

All the news from Germany as the Car Dealer team grab the gossip More money pledged to scheme

FRANKFURT MOTOR SHOW The cars, the stories and a host of exclusives as the Car Dealer team report from Germany

Have you got your entry in yet?

The firm paying for your clunkers Was it right or wrong to extend?

[Pages 6-8]

As the countdown to judging begins we take a look at one last entry

forecourt

28

Work experience

38

Porsche Panamera

40

Cult Car: Bugatti Veyron Sales Legend: Vauxhall Astra

We test Lamborghini LP560-4 Spyder’s credentials as a delivery van Huge car, monster performance

42

features 44

Electric dreams

48

Motoring.co.uk

Nissan on what EVs mean to dealers The ad website that’s banned brokers

57

Training special

Send your staff back to school

63 65 67 69 73 74 76 80 82

Right Click Dot Com Online Servicing Automation On the Spot Auctions HPI Valuations Sub-Prime Time

LAST

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frankfurt show Reventon Roadster even more extreme

LAMBORGHINI said, back in 2007, that 20 Reventon Coupes would go on sale. They instantly sold out. Now, the Reventon Roadster is here – which is set to sell out even more quickly!

That’s because there are even fewer of them… and if the fight around the stand to see the all-carbon-fibre, 670bhp V12 motor is anything to go by.

We finally managed to elbow and punch our way to the front, and were blown away by just how extreme this thing looks. Road-going jet fighter just about does it justice… believe us, it’s even more way out there than the coupe. Fittingly, there’s even an LCD aircraft-style cockpit for the Roadster, less than 20 of which went on sale in September. [RA]

Audi unveils its stunning R8 Spyder

AUDI took the wraps off its R8 Spyder at Frankfurt.

Powered by the firm’s mighty V10 engine, the £111,995 model will be available to order from November in the UK. The fully-automatic hood opens at speeds up to 31mph and has a lightweight construction to help keep the overall weight of the car down.

The 5.2-litre powerplant pumps out 518bhp and will dash to 60mph in 4.1 seconds, only two tenths slower than its hard top stablemate. [JB] Stay up to date every day at CarDealerMag.co.uk

Gullwing nearly sold out!

MERCEDES’ UK MD Dermot Kelly told Car Dealer the UK allocation of SLS Gullwings is nearly sold out – MONTHS before it hits the road.

Speaking moments after the wraps had been pulled off the new supercar, the UK chief told us: ‘We’ve already sold nearly all our allocation of cars and are working on getting more.’

Just how many that was, he refused to say, but the fact buyers are prepared to order before they’ve even seen the car in the metal is testament to the draw those special doors have!

The number of cars the UK are getting – and, in fact, how many Mercedes will make in total – is still under consideration with Kelly refusing to comment on either. The new SLS AMG is set to arrive in the UK next summer.

The stunning Gullwing packs a monstrous 6.3-litre front-mid engine

Mercedes chief tells Car Dealer its working on getting more SLS models to UK after sales surge

V8 packing 571bhp and 650Nm of torque.

That’s enough to power the £150,000 machine to 60mph in 3.8 seconds and on to a top speed of nearly 200mph. It features a seven speed semi-automatic gearbox with paddle shifts.

Volvo shocks crowds with C30 VOLVO wowed the crowds at Frankfurt with a real show surprise – a C30 emitting just 99g/km of CO2!

What’s more, it’s a fully production-ready vehicle that will go on sale soon.

The amazing achievement means this family-sized three-door hatchback now enjoys FREE road tax, plus lots of other tax benefits. Yet, prices are going to remain competitive, as no extra expensive technology is required.

It retains the 1.6-litre turbodiesel and stop-start system of the current DRIVe, which Volvo has progressively made more and more fuel-effi-

cient over the year.

But that’s not all. There’s a facelift for the C30 and C70, with sporty new fronts that help differentiate them from the S40 and V50. The RDesign C30 also gets a sporty new chassis, with stiffer springs for a racier drive.

There is an R-Design variant for Volvo’s best-seller, the XC60, too. Plus there’s a plug-in electric version of the V70 estate – a version of which will be on sale by 2012, promises the firm.

This will make it the first premium maker to sell such an electric car. [RA]

Mercedes chairman Dr Dieter Zetsche told the hundreds of journalists watching the car’s Frankfurt unveiling that the new Gullwing was the ‘realisation of a dream’.

‘It is 55 years since the last Gullwing arrived,’ said Dr Zetsche. ‘And that car was rightly named the sportscar of the century. Now we’re in a new century and have a new contender.’

The Merc boss also revealed the manufacturer was planning an electric version of the car for 2013.

This will be able to accelerate to 60mph in four seconds – just two tenths shy of the petrol version! [JB]

Lexus aiming for free road tax for LF-Ch LEXUS’ new BMW 1 Series hybrid rival is expected to emit just 90g/km of CO2 when it hits markets in 2011.

General manager Ewan Shepherd revealed the LF-Ch’s headline-grabbing target figure to Car Dealer Magazine. Under current legislation, this will make it eligible for FREE road tax.

He also expects it to be priced in the £21,000£24,000 range. The concept model, which debuted at the Frankfurt Motor Show, is still awaiting final confirmation – but ‘is final in the minds of Japan’.

That’s because it’s a crucial car for Lexus. ‘It’s important to be in the C-segment, as it’s vital for the market as a whole. In the premium

sector, we expect it to be taking a quarter of all sales by 2011.’

These customers will come both from larger D-sector saloons, he told us, but also from ‘aspirational’ sales to Ford and Vauxhall owners.

‘In our research, we were surprised at how many BMW 1 Series and Audi A3 drivers used to own Focus and Astras.’ Lexus took dealers to Frankfurt to see the new cars and talk about plans for the future. See page 20 for details. [RA]

06 | CarDealerMag.co.uk

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...James Baggott and Richard Aucock report

Kia looks to fill 30 open points in dealer network He’s only been in the post a few months, but new UK Kia chief has big plans KIA UK’s managing director has told Car Dealer he wants to add 30 new dealers to his retail network.

He may only have been in the job a few months, but Michael Cole said there are some urgent open points that need filling as he moves to increase his 140 dealers to 170.

In a one-on-one with us at the Frankfurt Motor Show,

Cole said his main targets were finding partners to represent Kia at Guildford, Oxford, Croydon, Liverpool and Reading.

‘We haven’t got a desperate need to fill 30, but I would like to see the network grow,’ Cole said.

‘These aren’t all urgent, but there are key priorities for us. There are clearly some large areas where we need

SUV Venga (see below), Cole admitted his phone hasn’t stopped ringing with interested parties.

‘I expect that we’ll be up to 150 dealers at least by the end of the year,’ he said.

‘But we’re not going out to just fill open points and take Kia boss: Michael Cole anyone – they need to be the to improve our representation right partners. otherwise we won’t be ‘They need to share our able to capitalise on the attitude our philosophy opportunities coming.’ and our determination to With Kia’s scrappage success grow volume through great and some exciting new customer service.’ [JB] products, like the compact Kia boss on scrappage, p17

VW’s future in L1 Concept VOLKSWAGEN certainly was busy with a whole host of exciting new models at Frankfurt. The real headlinegrabber is the 39g/km CO2 L1 Concept… a model that can average 189mpg!

It’s a 380kg aluminium and carbonfibre special, similar in length to a VW Fox, but only as high as a Lamborghini Murcielago. It seats two people in tandem – and, despite having a tiny 800cc 2-cylinder TDI, producing 27bhp, it can do almost 100mph. It also hits 60mph in 14.3secs.

This is possible through an amazing drag factor of just 0.195Cd, plus an electric motor that supports the little

Three new models for Kia as maker pushes for market dominance SCRAP scheme winners Kia unveiled three new models at the Frankfurt Show, continuing its push for dominance.

The manufacturer, which has taken a lion’s share of sales under the UK scrap scheme, showed an updated cee’d, a new Sorento SUV and an all-new compact

SEAT hopes to score with football league tie-up SEAT has signed a threeyear deal to become the headline sponsor for football’s new Europa League.

It’s an arrangement that’s solely to raise brand awareness, said a spokesman.

The firm has conducted studies, showing that while SEAT is well recognised in Spain, brand awareness in the rest of Europe is not so good.

‘What’s the fastest way to get our name out there?’ asked our man. ‘To sponsor the most popular sport across Europe!’

That’s why SEAT has become title sponsor for the new league – and it was one of the very first decisions made by new boss James Muir. ‘If you look at the recognition Ford gets with the Champions League, Hyundai and Kia with the World Cup… we’re hoping for similar gains,’ he said. [RA]

MPV called the Venga (pictured).

Kia president Hank Lee told press at the Frankfurt show that despite the recession the marque has continued to invest in new models and marketing.

‘Our sales are up worldwide 8.5 per cent,’ he said. ‘And with these new models we will continue our offensive.’

The revamped cee’d has

revised styling, lower C02 than outgoing models, a six-speed gearbox and still comes with the famous seven-year guarantee.

The ‘soft-roader’ Sorento features the marque’s excellent new 2.2-litre diesel engine as well as having the fresh six-speed automatic gearbox as an option.

But the most important debut of the three was the Venga. A smart compact SUV aimed at families that need space. [JB]

Schumacher: 458 is quicker than an Enzo!

FORMULA 1 legend Michael Schumacher has revealed the 458 Italia is quicker around Ferrari’s Fiorano test track than the legendary Enzo!

The seven times World Champion was on the Ferrari stand to help unveil the 458 Italia at Frankfurt and told press he was ‘astonished’ at what had been achieved with the new car.

Schumacher said: ‘Our points of reference for this car have been very high, those being the cars that have gone before it.

‘With the 458 we have achieved targets that as a former F1 driver I never thought we could achieve.

That it’s quicker than the Enzo around Fiorana says a lot.

‘I thoroughly enjoy my

development role for Ferrari in my retirement and am looking forward to the future developing even more cars.’

The 458 Italia is the successor to the F430 and is available to order now. It is set to go head-to-head with the McLaren MP4-12C – revealed in last month’s Car Dealer – in what is likely to be the most exciting battle in decades. [JB]

Volkswagen L1 Concept

diesel. This boosts torque by 40 per cent when needed – and will also power the car in electric-only mode.

For now, it remains a concept car. But Volkswagen did admit the production techniques to make it are now possible… something that wasn’t the case when this car’s spiritual parent was shown as a road-going concept back in 2002.

A little closer to production reality is the E-Up! Electric concept. This previews the forthcoming Up! City car, rumoured for 2011. With an 80-mile range, this electric version could be on sale just two years later, VW Group chairman Dr Martin Winterkorn has revealed.

The 81bhp electric motor accelerates to 60mph in 11.3secs, and it can do 84mph.

Inside there’s a ‘3+1’ seat layout, and plenty of simplistic styling detailing that harks back to the original Beetle.

Canny – but it’s the petrol and diesel-powered models that are really exciting. There’s also a new eco model VW dealers can sell today – the 1.2 TDI Polo BlueMotion. The tiny three-pot diesel emits just 87g/km of CO2. [RA]

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frankfurt New Astra debuts clever technology

VAUXHALL’S new Astra will debut a host of clever technology when its hits the road.

The car will feature a clever ‘Opel Eye’ system that reads the road ahead. The camera, mounted on the dashboard, can tell drivers when they stray out of a lane and even read speed limit signs and display these on the dash.

The new Astra, which is available to order now, is the 10th generation of the vital model. It has been consistently in the top three best selling models across Europe throughout its production run and remains vital to the marque’s future.

At the launch, Opel’s Carl-Peter Foster said: ‘The new Astra is a very important model for us.

This version will play a key role in our future.’ [JB]

IQ still doing well despite low volumes

TOYOTA bosses say their premium-priced IQ city car may not have reached volume goals – but it’s still a hit.

That’s because cars sold are going for a higherthan expected transaction price. Senior sales and marketing vice-president Andrea Formica said the recent environment is ‘harder’ for the IQ. ‘We’re selling fewer than we thought, but the higher prices they’re selling for means I’d love to offer even more.’

He added the innovative marketing methods being used for the city car will also remain. [RA] Stay up to date every day at CarDealerMag.co.uk

...James Baggott and Richard Aucock report

Porsche: We’ve got cars to suit all PORSCHE is now able to review old customer prospects – and be rewarded with the sale of a brand-new car.

This is because, said the firm’s man at Frankfurt, its product line now includes the cars they want to buy.

‘Previously, car buyers may have been interested, but they were excluded because we, say, didn’t offer a diesel SUV,’ said a spokesman.

‘But now, with cars such as the Cayenne Diesel, we’re finding we’re able to review serious enquiries, often resulting in a sale.’

This is proving particularly successful when looking at Mercedes M-Class and BMW X5 buyers, he said. Proving the worth of not being too severe in data cleansing.

Interestingly, being able to offer a 500bhp supercar with a manual gearbox – like the 911 Turbo – is also proving to be an advantage.

‘There’s still a hardcore of sporting drivers who insist on a manual,’ he said.

Rivals such as Ferrari are retailing their models – like the 458 Italia – with paddleshift-only gearboxes. More broadly, he admits 2009 has

The Porsche Sport Classic has nearly sold out

Reviewing customer databases is leading to more sales for carmaker had its challenges. However, the fact all Porsches are built to order means the company has been able to manage production levels.

‘We’ve never reached distress marketing levels,’ said the spokesman.

The new range of eco direct-injection Porsches has also had an interesting side effect. ‘Buyers who have needed justification for purpose have responded to the better economy and lower tax of the new cars.

‘Getting below 225g/km

was a real bonus for us.

What’s more, the VAT reduction meant we were able to offer the new features with no increase in price.’

Porsche waiting lists are back up; it’s four months for a 911, six months for Panamera – and the GT3 has sold out! The Sport Classic (above) is almost sold out, too. There are only 250 worldwide models – but the UK is hoping to secure a greater proportion of the allocation. [RA]

Panamera driven, p38

Choices, choices for DS3 buyers CITROEN dealers are getting a thrilling new rival to the premium-priced BMW MINI. The French brand launched the production DS3 at Frankfurt. Based on the platform of the tidy-looking new C3 supermini, which it also showed, the DS3 is an exclusively-trimmed small-car with stand-out styling and a posh air.

Trims are totally bespoke, giving Citroen buyers the sort of boutique choice they only normally get on a Bentley (or, indeed, a Fiat 500). These will encourage car buyers to spec up their new Citroens, which is great news for margins.

Citroen showed some of that choice on offer at Frankfurt – including unique roof finishes, special detailing for the gearknob, the steering wheel, the seats, the… well, you name it!

It’s not going to be the first ‘luxury Citroen’, either. A spokesman confirmed there is going to be a DS range of cars, all offering something a cut above

the normal mass-market fare, but priced accordingly.

One such car could be the REVOLTe – a sort of 2CV for the modern age. That car was shown in electric hybrid concept form, complete with rear-hinged doors, special three-seat interior and out-there styling.

It’s a little too soon for a production version, though: good job Citroen has sub-100g/km versions of that new C3, then. This really has impressed us at Car Dealer Magazine, not least because of its high quality interior and C5-like detailing. [RA]

No plans for diesel hybrid TOYOTA has ‘no plans’ to offer a diesel-engined hybrid model, sales chief Andrea Formica told Car Dealer Magazine.

‘Diesel will continue to evolve hand in hand with hybrid,’ he said.

But the two will not be combined together; the cars would end up simply being too expensive!

‘Our approach is meant to make hybrid as broad an offering as possible.’

The cost of combining hybrid technology with diesel – which already commands a £1,000 premium over petrol – means he feels the economic case for combining the two is unconvincing.

Huge investments in futuristic new technology can only be justified if lots

Prius: No diesel planned

of customers benefit. That means keeping costs down.

With even stricter emissions regulations on the horizon for diesel models, Formica feels there will never be an economic case for a diesel hybrid car.

Toyota is well aware of price penalties – a third of the brand’s product still comes from Japan, which has been hit by prohibitive exchange rates. ‘This has had a very negative impact on profitability,’ said Formica. ‘The only solution is more localisation, in terms of both product and parts. This is why, in the future, we will see an even higher focus on core models in the EU. ‘This is, we feel, crucial for long-term growth.’

At Frankfurt was the first fruit of this approach – the UK-built Auris hybrid. This car will go on sale next year.

But could Formica’s words indicate Toyota’s Derby plant is, in fact, set to grow in importance in the coming years? [RA]

08 | CarDealerMag.co.uk

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dashboard

£100m more for scrappage scheme It’s the news the industry has been hoping for – well most of it - a scrappage extension!

THE scrappage scheme has been extended – with the government putting in another £100m.

Business secretary Lord Mandelson, announcing the move, said: ‘The sector has been strongly affected by the recession, but the scrappage scheme has delivered a boost to manufacturers and the supply chain.

‘We have listened to the concerns of manufacturers and are increasing the funding of the scheme to £400m. But we must make sure that the help we do offer is targeted, limited and proportionate.

‘This is not a blank cheque to the auto manufacturers but recognition that there is still a short term challenge to boost demand and confidence in the sector.’

More than 225,000 orders have been placed through the scheme so far. The increased funding enables the scheme to fund a further 100,000 vehicles, bringing the total budget to £400m and covering up to 400,000 vehicles in total.

£100m

...amount government has added to scrappage fund

The extension continues as a government and manufacturer partnership, with matched funding providing the £2,000 discount for each scrappage order.

Car owners will also get a boost, with the age qualification changed by six months to extend the benefits to cars registered on or before 29 February 2000 (V reg).

Burgess Just checking Are we in a V, W, or a Nike Swoosh? Hope it’s the latter

Scrappage scheme has been extended And van owners with vehicles over eight years old, rather than the current 10-yearold requirement, are now eligible.

The scheme will come to an end in February 2010 or when the funding runs out, whichever is sooner.

SMMT chief executive Paul Everitt said: ‘Lord Mandelson’s announcement of an extension to the car scrappage scheme is an extremely important decision that will inspire consumer and business confidence. It will help to stimulate demand, giving more consumers access to it, and create a bridge to a period when economic growth is strengthened and more sustainable.’

The news has delighted carmakers and many dealers many of whom have been calling for an extension to the scheme for months.

Right or wrong? The Scrap Debate p16-17 September’s New Car Registrations, p81

Dealer jailed for evading £350k in tax A SOUTHAMPTON second-hand car dealer who evaded around £350k in tax has been jailed.

At Southampton Crown Court Joeseph Robinson, 61, was jailed for three years. His bail had been set at £1million!

The Chilworth Cars boss was found guilty of making false statements with intent to defraud HMRC and cheating the public revenue. The court heard that investigations began after Robinson’s accountant (of that time) had raised concerns about the legitimacy of his tax returns.

Between April 6, 1999, and April 5, 2003, Robinson disguised the true nature of his sales and profits that were liable to tax.

By suppressing these profits on his self assessment returns it is estimated he

fraudulently underpaid income tax of £208,843 plus the accumulated interest of £81,630.

During the same period he failed to register for, or pay VAT, with an estimated loss of £140,672.

Documents seized from his property in March 2005 detailed offshore bank accounts containing more than £4.2m and the ownership of several properties in Tenerife.

Adrian Farley, HMRC assistant director of criminal investigation said: ‘This calculated attack on the tax system not only robbed the exchequer, and therefore honest UK taxpayers of public funds, but is also unfair to those respectable businesses that diligently abide by the rules.’

J

ust when you think you’ve mentally got a grip on the economic situation, an economist somewhere comes up with a new prediction as to its severity and longevity. The latest debate is whether we’re in a V or W recession.

Personally, I’m hoping the Nike Swoosh theory’s correct.

V-shaped recessions begin with a steep fall, but then quickly hit the bottom and start a sharp period of recovery.

Sounds good, but doesn’t look likely. Many experts are predicting a W-shaped recession in which we will enjoy a mini revival before being hit with a sharp decline, before the real recovery begins. Indeed, early signs of the UK’s recovery are leading some to fear ‘Having hit the that another dip is just around the corner. bottom, I am However, having hit the hoping we’re bottom, I’m hoping that we’re actually going to see a going to see a gentle but steady climb gentle but steady towards recovery. This will climb towards not only enable us all to recovery.’ regain confidence, but give us the opportunity to review every element of our businesses and invest in the tools that will take us from bust to boom.

During a recession, the natural instinct is to batten down the hatches and focus on retaining customers and selling them added value benefits. However, history tells us that the most pro-active companies come out of the recession in the best shape. So if you haven’t already cleansed your data and put your marketing hat on, now is the time to do so.

At a time when finance still dominates the news, responsibility seems to be the keyword when it comes to lending money. HPI Finance Gateway is about providing access to responsible and competitive finance deals for your customer while giving you the chance to enhance customer care and build the strength of your business.

Don’t forget there’s so much more to HPI than our core vehicle information check. We are dedicated to helping you maximise business opportunities at every turn. Whether it’s protecting your business, reaching new customers, speeding up sales or looking after your customers, we aim to secure your business for tomorrow. So whatever the shape of the recession, by being proactive, taking advantage of all opportunities and taking care of your customers you will be ready to reap the benefits when the good times come again.

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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9/10/0902:24:30 09:30:23 3/9/09

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Don’t forget to get your Eward entry in as deadline looms Nissan chief reveals how important web is to him as our hunt for winners continues TIME is running out to get your entries in for this year’s Car Dealer Ewards.

The gongs, held in association with headline sponsor Autotorq.com, aim to find the best automotive websites in the UK in five categories.

Our Ewards 09 will name the best Franchised dealer, Independent dealer, Car Supermarket and Car Manufacturer websites as voted for by our panel of judges. Our experts will also hand out a Web Innovation award to the website they feel has made the biggest leap forward in online technology in 2009.

We’ve already had hundreds of entries in all categories – but there’s still time to get your site in front of the judges.

Entering couldn’t be simpler, all you need to do is email ewards@cardealermag.co.uk with the details requested in the panel (on page 26) and we’ll make sure your site is assessed.

The importance of the internet for the

Top franchises AUDI, Toyota and Kia are the best car franchises in the UK to hold, reveals the latest NFDA survey.

The bi-annual car dealer satisfaction survey shows big gains for the Korean brand Kia. It has leapt ahead of more established rivals, as dealers rate its advertising, sales incentives, new model introductions, brand image and pricing highly.

The maker’s bonus rate also has Kia dealers the happiest of any in the UK! Audi remains the clear leader though, retaining its top slot over the winter survey. Toyota’s still there in second – but Kia has displaced Lexus and Jaguar.

Lexus dealers report they’re unhappy with the maker’s product image, value and pricing, and its frequency of new model introductions. Things aren’t so rosy for Chrysler, Daihatsu and Subaru dealers either. They’re the least satisfied of any franchise in the UK, with Perodua and Peugeot retailers also not proving happy.

Lexus’ plans, p20

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Net gains

Using your print adverts to drive traffic to your website car trade is growing all the time. Nissan UK managing director Paul Wilcox told Car Dealer it is now his marque’s number one marketing strategy.

‘At brand level it is our number one marketing objective across Europe,’ he said.

‘So in terms of our dealer partners, it has to be their number one priority in terms of their marketing investment. The days of marketing plans concentrating on the local press are gone – the emphasis has changed.’

So, if you feel you’re getting it right online – shout about it! Entering your site couldn’t be simpler – just make sure your email is with us by 5pm on OCTOBER 16.

Ewards latest entry and what the judges are looking for, p26 Nissan chief interviewed, p44

Bentley site gets a new owner BENTLEY Norwich has joined 16-outlet east England firm the Vindis Group.

Vindis has bought the firm from the Sytner Group and says the latest move is a sign of further intent.

‘Everyone at the dealership has warmly welcomed the new partnership as Vindis Group has the size, resources and expertise to ensure Bentley Norwich will continue to expand,’ said manager Patrick Sneezum.

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ust what can the web do for me? That’s what many car dealers new to the power of the internet ask me. Well, I say, it’s far more than just listing all your used cars, and maybe putting a couple of images up against them. Really, car dealers should be using the internet to – and I always excuse the pun here – cast their net far wider.

Car dealer websites should house pretty much all elements of their marketing mix and activity. To give an example of this, I ask them to think of the usual Friday night newspaper ad from a car dealer. What does this contain? Usually, details of every single offer they have – used car listings, finance deals, trade-in incentives, the lot. All in the same print ad that, by Saturday morning, will be chip paper. It’s simply ‘Whereas a too much to take in. newspaper What they should instead has to appeal to be doing is using that ad to direct people to the website. everyone, Say something like ‘We just websites can have too many offers to list really hone in here – so go over to our on an individual’s website to check out the very latest deals’. If they needs.’ play up the local angle, by reminding people throughout the site of their place in the community, then they really can benefit.

‘This is us,’ it could say, ‘you know us, we’ve been here years – do us a favour, go to our site and find your own deal.’ Once customers are on the site, you then have their time, as they play with your content.

Whereas a newspaper has to appeal to everyone, websites can really hone in on individual needs. So long as there are clear ‘breadcrumbs’, enabling people to easily get back to where they started, you shouldn’t fear packing the site with deals. Don’t forget, you’re competing with every other car dealer out there who’s shouting about their offers. Make sure you shout just as loud, or louder.

Some car dealers question the net, telling me that it’s a tool for nationwide customers, not people in their locality. But all research and statistics say exactly the opposite; people around the country are using the internet to research for their next car. It’s vital you therefore make YOUR dealer, who’s on their doorstep, the first they find.

Like I say, play up the local angle, remind people what a part of the community you are. This will resonate with them, and you’ll become far more than just a faceless website.

Who is Martin Hill?

Martin is a director at Codeweavers. Learn more about how he can help you at Codeweavers.net or call 0870 443 0888.

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Henstock Auction stations Bidding can be contagious, but it’s not just about price

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sed car prices are rising, margins are dwindling and there’s more competition than ever in the auction hall.

With the best cars making often astronomical sums many are left wondering just why are auction halls so busy this year?

Well, as a matter of routine, in 2009 we are recording very strong performances against guide prices, and are currently averaging more than 100 per cent of CAP Clean across the board. Prices have risen 30 per cent in a year – admittedly from a low base in 2008 – but even accounting for that, the used car industry has not acted like it was in the throes of a recession.

In fact, records have ‘The car stormed tumbled in 2009. And just when you think you have on to make seen it all, along comes £41,000, almost something else to make your jaw drop. Take, as an £15k over guide example, the performance and equivalent by an Audi Q7 model in on 155.3 per cent a recent BCA Live Online fleet & lease sale. The car of CAP!’ in question was a 07/57 4.2 FSi Quattro S Line Tiptronic, finished in dark blue metallic, with satellite navigation, panoramic roof, fitted Sony PlayStation and six seats at 16,500 miles. It was a very attractive and individual specification, which must have caught the imagination of the buyers.

CAP Clean valued the car – with extras – at £26,450, yet the car stormed on to make £41,100, almost £15K over guide, £10K over suggested retail and equivalent to 155.3 per cent of CAP. But how do you explain it? Further proof – should it be needed – of the huge demand in the wholesale used car market? A shortage of retail quality stock on the dealer’s forecourt? Or simply, the right car, in front of the right buyers, on the right day? It was probably a combination of all those factors. Bidding power was very strong on the day with more than 100 bidders physically in the hall, and a further 200 buyers competing via Live Online. In many ways, bidding is contagious – if you really have got to have ‘that car’ and other buyers seem equally determined, where do you stop?

The answer, of course, is simple. You stop when the profit margin gets too slim and go and bid on something else.

And that is why the auction halls have been buzzing all year – because we have got the ‘something else’ – the choice and availability of stock that some other channels currently seem to lack.

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.

SCRAPPAGE is leading to big gains for one enterprising firm – the CarTakeBack.com authorised collective.

The need for the Certificate of Destruction issued by the firm’s 300-strong Authorised Treatment Facilities is seeing it benefit from the scrappage scheme. And car dealers are in on this bounty, too.

So far, the network has paid out more than £6m to car dealers in exchange for scrap cars. By the end of the year, this will have risen to £10m.

This means that not only do car dealers get the all-important CoD needed for claiming scrappage funds, but they also get a healthy cash injection on top of it.

The gains will run well into next year too, says the company’s manager, Graham Price.

This is due to the manufacturers’ lead time for providing new vehicles, which can be as

Getting rid of those scrappers is easy with a cash boost too! long as three or four months.

With the scrappage scheme being a huge success Cartakeback expects 30 per cent of them to be processed through its network.

All the car dealer needs to do is arrange for collection.

Even security concerns here have been addressed by the firm – it’s set up a dedicated, secure online request form, which offers many safety nets to ensure car dealers have a completely bullet-proof service. A vital added extra, reckons the business.

After all, you don’t want to be giving the government any excuses to hold back scrappage funds! For more information call 0845 257 3233.

Baby Range Rover given the green light LAND Rover has confirmed this baby Range Rover is to be made – hitting dealer showrooms in 2011.

The firm gave the green light to bringing the LRX concept to life and says it will be the smallest, greenest, most dynamic Range Rover ever.

Land Rover says customer research has proven the new model will sell, raising the firm’s desirability (and profitability) in the process.

‘The production of a small Range Rover model is excellent news for our employees, dealers and customers,’ said Land Rover MD Phil Popham.

‘It is a demonstration of our commitment to investing for the future, to continue to deliver relevant vehicles for our customers, with the outstanding breadth

of capability for which we are world-renowned.’

However, just a day later the company announced that one of its Midlands plants is to close. Either the Solihull or Castle Bromwich plant is going to be axed in 2014 – and the firm isn’t saying which yet.

The company blames a sales plunge of 30 per cent.

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P A R C S So the government has extended the scrappage scheme with another £100m – but was it the right thing to do? Here are the arguments for and against....

AGAINST David Shelton

James Ruppert

Barrie Crampton

...is managing director of independent car dealer group Motorpoint

...is author of the Bangernomics Bible, an automotive anarchist (his words) and runs bangernomics.com

...is owner of used car sales site Barrie Crampton Car Sales in Preston. He specialises in sub-£3,000 cars

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hey say there are only two certainties in life – death and taxes. To that you can now add carmakers getting an extension to the car scrappage scheme.

The £2,000 allowance, launched in mid-May, has been a resounding success, giving the industry a much-needed shot in the arm, albeit at the taxpayer’s expense. Everyone seemed happy, with the SMMT and others predicting the industry had turned the corner, and the government content that it had done its job.

While Motorpoint fully supports any efforts to create a thriving car industry in the UK, it believes the continual use of taxpayers’ money to subsidise the car manufacturers and their dealer networks is not the answer. I believe the additional funding falls nothing short of electioneering.

Motorpoint argues that anyone wishing to take advantage of the scrappage scheme would have been well aware of the deadline and would have already applied for the £2,000 allowance.

To extend it further is only likely to be of limited benefit to consumers. It seems, based on this latest move, that the only ones really profiting from this news will be the balance sheets of the car makers. As the results of a snap survey of more than 2,000 car buyers revealed, 86 per cent of people didn’t want the government to extend the scrappage scheme. I think that says it all...

o Mandy has pulled the brightly coloured wraps off Scrap Scheme Mark 2, which utterly mystifies me. At the beginning of 2009 it really wasn’t very difficult to get £2,000 off many models. Indeed I was offered almost £10K off a pre-facelift Audi A6 Avant and it’s been possible to get money off a brand new Golf since launch.

In fact Citroen got in there early and instead of just giving you two grand when you walked in the showroom door called their scheme a Trade-in Incentive when you part ex’d your BX. So why involve the taxpayer in all this?

There are now a whole heap of well-rehearsed anti and pro scrap scheme arguments that you have probably been bored by, but I can’t understand why perfectly good cars need to be sacrificed to support an industry which we as a country now have a very small stake in, although crucially, rather a lot of jobs.

If your old school Passat is still racking up the miles, remains cheap to service and has relatively straightforward electrickery, why even bother to update? Yes, there is the Al Gore angle that says it’s our civic duty to invest in a perfumed exhaust, but since when has it been greener to build more cars? There isn’t a scrap scheme for your old fridge is there?

The real problem with the scheme is its name – I think there is at least one superfluous ‘S’.

n my opinion the scrappage scheme shouldn’t have been extended – but at the very least it should have been radically altered. It is not creating new customers it is merely mortgaging customers from the future and in the process its giving new car dealers an unfair trading advantage.

The scheme is taking sales from used car dealers, creating a shortage of well-maintained older cars and increasing the cost of vehicles to the people who can least afford it. And what I find really incomprehensible is the fact the cars aren’t going to be used for spares, they are just ‘recycled’.

It is also having a drastic effect on dealers like me whose main source of income was previously derived from selling honest, well looked after used cars priced to sell between £1,000 to £3,000.

I have been in the trade for 30 years and in my experience the people who can afford to jump from running a 10-year-old car into a new one are also the people that could afford to keep their old car serviced, and have it maintained regardless of cost.

A lot of these vehicles which were the mainstay of my business are now being scrapped.

Perfectly good vehicles are being scrapped even though there’s a shortage. And, unbelievably, classic cars are being sent to the crusher. My mother has a mint 1997 R Ford Fiesta 1.25 Ghia with 45k and full service history. She paid £2,000 for it six years ago – what a shame it would be to scrap that.

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ver the past few months, the scrappage incentive scheme has been an integral tool in helping to kick-start the UK motor industry. Until July 2009, the new car market endured 15 months of consecutive decline, bringing dramatically low registration figures and subsequently, production volumes.

Due to the success of the scheme, new car registrations saw an increase of 2.4 per cent in July, six per cent in August and 11 per cent in September.

The recently announced extension will help to sustain these early signs of recovery.

The impact the scheme has had on UK automotive industry workers has been encouraging. Dealerships have seen a steady increase in interest. Most manufacturers have reported an increase in production and as a result, reduced short-time working schemes and resumed shifts. And their success has led to a knock-on effect for others in the sales, distribution and supply chain.

The self-funding nature of the scheme means that the revenue generated by sales offsets the costs. For example, the 15 per cent VAT paid on a car bought for £7,650 would cover the cost of the

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yundai and its dealers have had their most successful year ever. This success has been assisted by the scrappage scheme, so it’s little surprise that we are in favour of its continuation.

The extension has allowed the industry and consumers to have far more confidence going into the new year. With the economy still fragile and the VAT increase on its way, the industry needed assistance to ease the transition from recession to recovery and increase consumer confidence.

What would happen without scrappage? While total car sales in the UK have been up in the past few months, stripping out the scrappage sales shows the true state of the market – and it’s down by more than 20 per cent. That sort of drop would have a catastrophic effect on both the car industry and the economy in general.

In contrast, the Hyundai network alone has taken

Paul Everitt ...is chief executive of the SMMT and has been a staunch lobbyist of the scrappage scheme since the start

£1,000 government contribution. It is the most cost-effective way for government to support this or any other sector.

In addition to providing the industry with much needed support, the scheme has put new, predominantly cleaner and safer cars on the road. The average CO2 emissions of a car bought under the scheme are 131.8g/km, 13.5 per cent lower than the pre-scrappage market average of 152.3g/km. And, compared to 10-year-old vehicles, new cars now have higher EuroNCAP ratings, more safety technology as standard and improved security features.

As consumer and business confidence remains fragile, the extension to the scheme by 100,000 cars and vans will provide an additional boost to the economy and help counter the potential negative impact the return to a higher VAT rate could have. The SMMT fully supports the decision to extend the UK scrappage incentive scheme.

Tony Whitehorn ...is managing director of Hyundai, one of the car makers that has won a huge amount of sales under the scheme

‘Thousands of people recognise scrappage is a very special offer and have snapped it up. Now they’ll continue to into the new year.’ on around 20 per cent more staff to cope with scrappage demand and there are knock-on effects for UK suppliers ranging from delivery drivers to numberplate manufacturers.

But it’s not just the industry that benefits. By the end of the year we expect 30,000 people will

Michael Cole ...is managing director of Kia, another Korean car maker that has sold a huge amount of vehicles under scrappage

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he scrappage scheme so far has been instrumental in helping to protect thousands of jobs within the UK motor trade as well as contributing to Britain’s motor industry generally – don’t forget car part manufacturers often export components overseas that come back in finished units.

The scheme has kept the market buoyant and helped residual values for older cars too, delivering good turnover and profit for dealers. Had it not been for the scrappage scheme, most of these new buyers would not have been in the market at all.

be driving a safer, more reliable and cleaner new Hyundai having traded in a ‘banger’ and claimed £1,000 from the government.

Thousands of people in the UK recognise that scrappage is a very special offer and have snapped it up. They will now continue to do so well into the new year, and the offer has been opened up to owners of younger cars and vans.

The government has benefited too. What Car? Magazine estimates that the VAT man has made £100m in profit – over and above the government’s £1,000 scrappage contribution - as a result of the increased sales caused by scrappage.

Virtually all of the cars bought under the scheme have been incremental sales to people buying a brand new car for the first time.

It’s truly a win-win-win situation – and long may it continue.

As we were approaching the end of the current scheme – everyone within the business was predicting that the £300m would run out before the end of October – there was considerable concern about what would happen next. We could have been faced with a very difficult end to the year combined with the re-introduction of VAT at 17.5 per cent and first year VED rate changes.

So I think Lord Mandelson has been very wise to consider the SMMT’s appeal for an extension as it will help avoid a sudden slump and by extending the qualification for the scheme it will bring more car owners within the scheme for the first time.

This will keep the market active into 2010, allowing for a more orderly retreat from scrappage.

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Hunter More revenue Why dealers need to take control of the leasing market

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he car leasing industry is a massive part of the UK new car sales market and is increasing year on year.

However, this increase has brought more and more brokers into the industry.

To become a broker all that is needed is a data protection licence and a consumer credit licence – and some don’t even have these! Brokers are not regulated by the FSA in any way, shape or form. However they are still advising people on finance.

They have no form of training, no rules to follow and can adopt any form of sales technique without being accountable as there is no one to be accountable to.

I must state clearly that there are some fantastic brokers out there that run their business correctly and provide customers with a service second to none – but in my experience I’ve found there is an increasing number of brokers who will do almost anything to convert a sale.

But car dealers are starting to fight back and deal direct where possible. Dealers on LeaseCarsDirect.co.uk are finding customer sales are less problematic and carry higher margins than broker sales making it a much better place to do business.

This is also backed up by certain manufacturers planning to follow BMW’s attitude to brokers and only allow dealers to deal direct and not pay brokers commission. This will also increase dealer margins as the finance companies will all be given the same level of discount meaning certain dealers cannot undercut others.

Customers are still very wary of dealing over the internet and even more so when it’s the purchase of a car, dealing with reputable dealer brands rather than unknown brokers is a big deal to customers. Dealers should look to deal direct where possible.

I think the market will come back to being a dealer-dominated one once again if these changes are implemented properly and hopefully the FSA will realise the leasing market is currently flying under their radar.

‘Hopefully the FSA will realise the leasing market is currently flying under the radar.’

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

Auto Trader gets £5m makeover and dramatic new look Fresh website is now live and users are spending more time searching already AUTOTRADER.CO.UK has enjoyed a £5m makeover – and the all-new website is fully live and online now.

The site has already been tested by five per cent of users and the findings are staggering. The figures show that users are spending longer on the site, taking the average time spent online up to 19 minutes.

Compare that to Facebook, says Auto Trader, where people spend less than 10 minutes on average.

Even better for new and used car dealers is news folk are looking at far more pages each visit. More than 31, in fact. Used car search results per visit have also rocketed by almost a third.

Dominic Collins, group director of Autotrader.co.uk, said: ‘We believe the new Auto Trader website represents the next generation motoring portal, where the blend of search and content provides

Homepage looks dramatically different...

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...average number of minutes spent on new site

a compelling reason for users to return every day.

‘We have made a range of enhancements that will deliver advertisers better ROI and users an all-together better experience.

‘We have also built the new website on a platform that will enable us to deliver more content, user interaction and functionality in the future – so that we can continue to attract more users and drive dwell time.’

Sapient Interactive helped Auto Trader develop the new site, and the plan for the rest of 2009 is to grow it further.

...and searches are easier to use Nigel Vaz, VP of Sapient Interactive Europe, added: ‘We have worked closely with Auto Trader to redesign and develop the brand’s new website, which offers users a dynamic and engaging web experience.

‘In addition to design changes, the site features improved navigation and search functionality, making it faster and easier for consumers to search for information and compare vehicles in a straightforward way.’

...raft of improvements to Car Supermarkets portal too!

AUTO Trader isn’t the only website that’s relaunched this month. Buyers can now get added functionality from the new Carsupermarkets.co.uk – and that’s good news for dealers too!

The site offers, for the first time, the ability to search through all its stock, throughout major outlets across the UK.

This enables cars to be hunted down via a range of parameters including make, model, variant, price, age and region.

It’s a big boost from the previous site’s offer to buyers, which let them merely find their local car supermarket.

Now, says marketing chief Richard Lawton, it will serve as a hub for car deals.

‘It has been a very important driver of traffic to automotive websites for more than eight years,’ he said. ‘We listened to the requests from visitors who wanted to be able to view the cars available on the one website. With these new features it is sure to strike a cord with even more people looking for a nearly new or used car.’

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Get noticed with less effort.

The new autotrader.co.uk works harder to get your cars noticed, so you don’t have to.

New products from autotrader.co.uk mean you don’t have to work this hard to get your stock noticed. Make sure your advert is the first one seen with Featured Listing. Show more images of your stock in each advert with Search Standout.

Call 08444 706 750 Visit www.dealerportal.co.uk

The world of cars made easy

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Lexus plans major shake-up LEXUS is to reconfigure its UK dealer network – and is ensuring every retailer is part of the changes.

General manager Ewan Shepherd says the current retail network needs overhauling. That’s because it is geared up to sell far more cars than

it actually does – and this is hitting retailer profitability.

He said: ‘Our network is built for sales volumes of 15,000 – but, this year, we expect to sell 7,500 cars. Even by 2012, we don’t expect to be selling much more than 11,300 cars.’

So, the firm is returning to a ‘high margin, high cost service, high retention’ model. This is going to result in network changes – including, admits Shepherd, some current dealers losing their sales status.

‘We want to ensure everyone is

Lexus IS250C looks stunning, but there are changes in store for dealers

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profitable,’ said Shepherd. ‘Every single point should be viable with NO support.’ Lexus has briefed its dealers in a half-hour meeting during a trip to the Frankfurt Motor Show, on a new ‘hub and spoke’ model.

This will maintain full standards at the brand’s main points. But, where an area is more marginal, the sales point will be moved to a sales satellite – leaving that to meet the lower commitments of service only.

‘We are open to how this will work,’ said Shepherd. ‘So long as our coverage is maintained.’

Shepherd stressed the total number of outlets will remain at around today’s 53-point size. But there may be around 15 per cent fewer car dealers selling cars, as some retailers switch to service-only. The network is being fully briefed on the changes, which are not due to be imposed until 2011, when new contracts will be issued.

‘Our main exercise now is to sit down on an individual basis, and decide what it means for each dealer,’ added Shepherd. [RA]

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The all new autotrader.co.uk site has now launched.

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This means you’ll be able to grab potential customers attention earlier.

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Warranty firm needs your help and you could win big!

FINANCIAL experts Automotive Warranty Solutions want car dealers’ views on franchise audit practices – and will reward one lucky trader for doing so.

The firm is hosting a survey on its website especially for franchised dealers. It is seeking their thoughts on how carmakers’ audit practices are working.

It’s being done now in recognition of the current financial climate, says boss Andy Ward – who is particularly keen to find out how these practices have adapted in recent tough times.

‘To our knowledge a survey reflecting this area of activity has not been performed before; we are keen to see the voice of opinion that arises,’ he says.

‘In the past, dealers have had it quite easy when it came to warranty audits. Before the recession, this culture was changing, with manufacturers looking at warranty processes and procedures as a way to improve first time fixes and overall CSI scores, as well as

Dealers stand chance of winning prize worth £800 by logging on

One lucky dealer will win £800 prize simply by filling in a quick survey on warranty firm’s site reducing the massive financial burden from unnecessary claims.

‘An interest that was intensified with the onset of the recession…’

Ward says most car dealers already didn’t think much of manufacturer audit policies – they weren’t there to improve processes, but generate income. ‘We would like to know if this “speed camera” ethos is still present since operations were intensified.’

You’re perhaps wondering what’s in it for you. A potential prize worth £800, that’s what. ‘All dealers completing a survey will be entered into a prize draw to win a warranty risk assessment with one of our consultants,’ adds Ward.

‘The assessment, worth £800, provides the dealer with a full and comprehensive analysis of their warranty activity, including areas of deficiency, personnel deficiency

Share watch

and a financial risk projection, alongside recommendations for improvements.’ Potentially all for a few clicks of the mouse!

Issues around auditing are very real right now, too. Four-in-five UK car dealers are currently not meeting all the conditions in their makers’ audit schemes.

To put it another way, reckons Ward, dealers are sitting on a million-pound warranty audit risk, simply by being not stringent enough in their auditing processes.

Not a good attitude to take, when car manufacturers are upping their audit requirements to offset tough financial times.

AWS will look at the audit conditions you’re meant to be meeting – and makes sure you’re up to speed.

To take part in the survey simply log on to AutomotiveWarranty Solutions.co.uk.

...in association with ASE

Wild swings are starting to ease There is increased stability in listed dealer stock prices

F

ollowing the wild swings over the previous 12 months, listed dealer stock prices have moved within a much narrower range over the past three months. Market sentiment towards the sector has remained relatively consistent and this has fed through to the respective share prices.

Gone are the exceptional gains earned on the back of the record share price lows at the start of the year, with only Inchcape showing a movement of more than 50 per cent during the third quarter of the year.

Looking at the longer range picture HR Owen, Caffyns and Inchcape are all below their share price levels of 12 months ago, with Lookers, Pendragon and Vertu all being ahead.

With the share prices settling down it will be interesting to note the market’s assessment of motor trade valuation. At present there is an apparent inconsistency over the discount applied to the purchased goodwill sitting on the balance sheets of the listed companies

‘Looking at the longer range picture, HR Owen, Caffyns and Inchcape are all below their share price levels of 12 months ago – with Lookers, Pendragon and Vertu all being ahead.’ and it will be interesting whether some companies will continue to trade at a combined market value below their stated net worth.

After the raft of interim statements released in August, HR Owen was the only listed group to publish interim results during the month. On the face of it profits were healthy, with the company declaring pre-tax profits of £6.6m compared with £1.7m in the prior year.

The current year performance has, however, been significantly enhanced by a £7.4m exceptional gain from the early surrender of a property lease.

Stripping this gain out produced an operating loss of £0.9m compared to an operating profit of £2m in the first six months of 2008.

The business is continuing to be hit by the downturn in the economy although the potential return of the bonus culture among the banks and product releases held back from the first half of 2009 may well assist their premium vehicle sales in the medium term. The share price moved positively following the release, however the shares remain thinly traded.

The only other significant announcement during the month came from Vertu which announced a pre-close trading update ahead of its interim results for the six months to August 2009.

They said: ‘Trading has followed the positive trends announced in the AGM.’ In addition Vertu has filled the vacant portions of the sites acquired from the administrators of Brooklyn Group with Fiat. The sites previously housed Toyota, however this franchise was lost when the business went into administration.

If you have any questions concerning the above, please contact me on 0161 493 1930.

Mike Jones, ASE director

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Alternatively email: enquiries@codeweavers.net or visit www.codeweavers.net/yourcarmotorinsurance for further information CarDealerIss20.indd 23

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big mike

Why it’s so important you H know your onions! ere’s something for you to ponder: If ever something goes wrong at home, you call in the experts, yes? So, for example, if your computer breaks down, you get an IT expert to fix it. If a pipe springs a leak, you get a plumber to fix it, and if you can’t tell the difference between weeds and plants, you send the missus out with a trowel to do the garden, on the basis she’s an expert, right? Well, I do, anyway.

You may be a little more green fingered, or a little less sexist.

If we’re all experts, and as any chap who’s gabbled and bantered his way around my local on a Friday night knows, everybody is an expert at something, then I’d wager that by reading this nonsense, you’re probably an expert on cars.

I am. Cars, barbecues, and lower division football. They’re my specialities.

I won’t bore you with the inevitable ennui that comes with following Walsall FC, nor will I explain that the key to stop kebabs falling apart when you try and turn them is to add a dab of butter and wrap them in foil, but I will share with you one of the more curious points of being a car ‘expert’.

And it’s this: When a punter buys a car privately, they are buying it off somebody who has owned and driven it for a number of months or years.

Someone who knows how often it needs the oil topping up, how many miles it does to the gallon, what the tyre pressure should be and how it always helps to put a couple of extra PSI in the nearside front because that’s the one that has the slightly porous rim.

They’re buying a car off a bloke who can warn them not to open the sunroof as it leaks when you close it again, or who knows the cunning way in which you can wiggle the petrol cap to stop it jamming on its thread.

In short, they are buying a car from an expert.

When they buy a car from you, dear trader, they’re buying from an expert in car prices, not on that particular car.

And while you might be able to mentally value a 99T Golf diesel from 100 paces and know what the likely profit is as it drives through the auction hall, you haven’t a cat-in-hell’s chance of

Big Mike made a tidy profit on a Ford Cougar thanks to a perfectly penned advert

‘You haven’t a cat-inhell’s chance of knowing what a car’s like if you haven’t lived with it.’

knowing exactly what that car is like until you’ve actually lived with it.

Yet in the eyes of both the punters, and more importantly, the law, you’re an expert. While the fella flogging the car with the porous alloy wheel and wiggly petrol cap is free of the thing once the new owner has committed their signature to the V5, for you, things are very much different.

One day, it may well come back and bite you on the arse.

So here’s the rule. If you’re going to pretend to be an expert, first do your homework. Drive the car for a week or so before you put it up for sale, as you need something to get to work and back in, and clean it yourself so you can see where its strong and weak points are. After all, the devil, as they say, is in the detail.

And it’s the little things that count, like getting the name of the colour right. Dark Blue, or ‘Octopus Ink’? Metallic red, or ‘Firefrost Metallic’? Speak in ‘expert jargon’ and you automatically sound like you know what you’re talking about.

Be more detailed, too, about the car’s history. In these days of internet advertising, there’s no need to talk in abbreviations any

more. FSH, rear w/w, FFSR and a/c are only necessary if you’re paying 5p a word so try, if you can, to break the habit.

Not convinced – then which of the following would you be most likely to buy?

Ford Cougar, 2000 W, Dark Tourmaline Green with scuff-free raven leather upholstery, 82,000 miles with full main dealer history stamped at 11,232, 22,189, 32,465, 41,880, 49,546, 61,232, 71,289 and 80,009 miles. Two owners, cambelt changed this year. Taxed and Mot’d until May 2010, every MoT from new, air conditioning in full working order, electric windows, electric mirrors, 2.5 V6 with smooth automatic gearbox, drives superbly, £2,150 ono. ...or...

Ford Cougar, 00W, Green, leather, 82k FSH, cambelt done, Tax/Mot 9 mths, a/c, e/e, e/m, 2.5 V6 auto £1,250 ono.

The top one is how I sold it, and the bottom one is the ad from which I bought the very same car (for 200 quid less than he wanted).

See what a difference a little effort makes? I rest my case.

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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Car Dealer Ewards 09

Entry: TCAutos.biz

We take a look at one final entry before results are revealed

T

he best website in the entire Renault network – it’s quite some claim, but one that TC Autos is proud to boast.

Managing director Damien Maguire says they’re not his words, but those of the Northern Ireland director for Renault after checking out his firm’s website TCAutos.biz.

The Renault dealer, in Omagh, Northern Ireland, set out to build a website with partner Nemecom that was ‘fresh, non fussy and informative’.

‘Our site has a clean and clinical design,’ says Maguire. ‘It’s intuitive too with two clicks from anywhere navigation and an idiot-proof backend system that can be updated in seconds which from experience is absolutely vital.’

The entry in the Franchised Eward category has certainly impressed our judging panel, some of which have taken an early look at the entry.

Clive Jackson, founder of Ewards 09 headline sponsor Autotorq.com, said: ‘The web is where the customer experience is nearly always initiated so it’s great to see a dealer posting customer testimonials on their website. These are very powerful and help build trust and reassurance.

It’s a clever differentiator.’

And he wasn’t the only one that liked the TC Autos site. Rob Queen, marketing manager for UK Web Sites and Compucars.co.uk liked the user-friendly graphics and design.

‘The used car search engine is prominently displayed on the homepage allowing customers easy access to available used vehicles which are then displayed with multiple images in a visually appealing page,’ he explained.

‘Graphics rather than text are used to represent fuel, transmission, colour and I also like the fact

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. So, if you’re a franchised dealer, write ‘franchised’. In the email, include the following details: 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

LAST

CHANCE To enter Deadline Oct 16!

If you entered last year, that doesn’t mean you can’t enter these Ewards, but you will need to send us details again.

that wherever the consumer is on the site the used car locator is always displayed on the page, so the user can obtain information on say opening hours and then without clicking to a fresh page commence a used car search.’

Keith Rountree, group marketing manager of British Car Auctions, was impressed with the site’s usability and design too.

‘The look is clean and crisp, and sympathetic to the Renault brand,’ he said. ‘The navigation is overall well-structured, and the search engine for cars and vans is simple and intuitive.

‘There is very clear presentation of both new and used vehicle deals, but F&I or aftersales offers feel a bit relegated and don’t figure on valuable homepage space. There are good calls to action on vehicles and services and overall it’s a good site.’

G-Forces marketing director Tim Smith was equally pleased by the Irish offering.

‘The TC Autos site was something of a surprise: a wealth of information displayed in a way that didn’t baffle the senses,’ he said.

‘The site has a great, crisp and clear design.

While there’s plenty of information available on the homepage you never get the sensation of

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 Google

CHALAST To e NCE nt er Dea d Oct line 16!

Blog

Common sense SEO Marketing

Search

Jackson

Web 2.0

C

being bombarded with too much of it or that you’re being fed a brochure’s worth of details.

‘That vehicles are displayed with clear, optimised images is sure to encourage click-thrus for further information – and those details are never too far away. The offers are clearly shown but, again, in a way that isn’t over-powering, giving a nice sensation of space on a surprisingly well populated site.’

Time is running out to get your entry in for this year’s Ewards competition.

Deadline for entries is 5pm on October 16 and we can’t accept late entries.

We’ve already had hundreds of dealers put their sites forward for judging so don’t delay – make sure yours is included to be in with a chance of winning one of our coveted gongs. See details in panel above.

Straight Talk

ustomer relationship management is a hot topic. No doubt you have read about it, started to consider implementing it or are already up and running. CRM can make a huge difference and really shape the way your business operates.

CRM is the ideal way to secure loyalty, increase brand awareness and keep in regular contact with your customers, which are soft benefits, but is there really return on investment for your business? Well, if you use it wisely, there is: The cost saving, for one, significantly undercuts the expense, not to mention the time and resource, of direct mail marketing.

However, in addition to reducing cost, it can grow sales and with lead generation being the holy grail of online marketing, CRM re-awakens expired leads.

Customers are increasingly driven by emotional aspects of the buying process, and CRM allows you to add value and exceed the customer experience. The golden rule of ‘right message, right person, right time’ provides a simple and effective guideline to develop customer relationships and create further opportunity.

Anyone can flood their customer database with irrelevant emails; the differentiator is thinking like your customer and knowing what they want.

‘The rewards of CRM are endless, it all comes down to how well you do it.’

It’s essential to have the right tools before you start, but more importantly it’s essential to know how to use them properly. The web is nearly always where the customer experience of a dealer’s business is initiated, so be sure that your website is up to date, refreshed regularly and gives customers what they want.

It’s no use creating a really great CRM campaign when your website isn’t up to scratch. You need to secure a strong user experience and your site is an integral part of your CRM strategy. Secondly, your data is key. Growing your database, and keeping it ‘clean’ provides the essential building blocks to launch CRM, so evaluate your customer touch points. The rewards of CRM are endless, it all comes down to how well you do it. Start to broaden your communication streams, keep your customer in mind every time and you will be ahead of your competition.

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

02921 386 338, 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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Pics by Derek Goard

feature

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S

at waiting at the lights, with a delivery of blue roll stuffed in the nose of a Lamborghini LP560-4 Spyder and looking like a Super Mario Brother that’s spent too long in a grow bag, I’m wondering why on earth we decided this was a good idea.

When we took the call from Lamborghini’s UK HQ offering us the chance to try out their latest supercar for the day, we obviously bit their arm off.

Who wouldn’t? But the last thing we wanted to do was spank it around the countryside seeing if we could match the maker’s four-second 0-60mph claim.

OK, that’s a lie, that was exactly what we wanted to do, but we soon realised it would probably make you hate us even more. So, instead, we decided to do something a little bit different – something that we weren’t really used to – actually go out and work for the day. Actual proper work, not tappy tapping and mouse moving, because today we’ll be delivering parts to car dealers in a £150,000 ‘van’.

Euro Car Parts has a nationwide network of 71 branches that pride themselves on getting car dealerships and servicing outlets parts fast. Today, they’ll be exceeding their quoted delivery times by quite some margin…

After taking delivery of the Lamborghini, the mag’s commercial manager and all-round helping hand Duncan and I headed to the Portsmouth ECP branch and reported for duty with boss Bryan Jones.

He kits us out in company issue jump suits, ‘mandatory’ baseball caps and polo shirts and points us in the direction of the changing rooms. Five minutes later we emerge looking like Laurel and Hardy racing drivers. Obviously ECP’s marketing honchos knew everyone would be staring at us as while we drove around the city delivering their parts so wanted to make us look as stupid as possible. They well and truly succeeded.

Bryan tells us a little bit about Euro Car Parts before entrusting us with our first delivery. The Portsmouth branch has a fleet of Peugeot Partner vans and two 125cc motorbikes that usually make deliveries around the city. The firm prides itself on having access to 110,000 different car parts, £50m worth of stock and its ability to get pretty much anything a mechanic would ever need on the same day.

To facilitate this, the firm’s warehouse is huge. All the most common parts can be found right there on the hundreds of shelves at the Portsmouth branch.

And if it’s not there, the firm can call up ECP’s main UK depot at Wembley and have it on one of the three deliveries it gets from head office every day. >

Parts deliveries are the lifeblood of the UK’s motor industry, so it’s anyone’s guess why Euro Car Parts entrusted two hapless Car Dealer writers in a white Lamborghini Gallardo to work on the frontline

Parts Spare

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feature

From left: Dunc tops up the Lambo’s oil level; ‘Best wishes, James’ – Car Dealer editor proves he always has time for his ‘fans’; ‘Work hard for 317 years and you could have one of these.’

‘There are lots of motor factors in Portsmouth so you need to be the first choice for mechanics to call,’ Bryan explains. ‘If you’re the first one on their list that’s half the battle won, then you need to make sure you can deliver the parts they want. If you’re reliable they will keep coming back.’

The stock at the Portsmouth warehouse is incredible. Pretty much anything you could think of that needs replacing on a car is there, ready to pluck and pack and send out for delivery. It’s like a giant Argos for cars with staff milling around picking and packing as the orders reel off the line printer. Sandwiched between the brake pads and oil filters, Bryan gives Duncan and I a parts delivery 101.

Being local we guess it’s not going to be so hard finding the drop-offs, but what we didn’t realise was that the guys that do this for a living have The Knowledge. They know the city like London cabbies know the capital, with every rat run mapped and reference points that revolve mostly around food.

Never once is a road name mentioned.

Our first delivery is to Darren Perkins at DP Auto Repairs in Portchester, about five miles away. The Ford specialist needs oil for a Focus and stat! With the four tubs of lube tucked safely in the nose of the Lambo, we try to work out where to go. Fiddling with the sat nav is losing us precious time – the clock’s ticking and we don’t want to let our ECP team down.

Enter, stage right, one of the other drivers, Lewis Doughty, who gives us directions something along the lines of this: ‘Go right by the Marriot Hotel,

at the KFC lights straight over, past Mother Kelly’s fish bar on the left, left at the lights and if you see Kwik Fit you’ve gone too far. You know you’re on the right road if you smell bacon and see Big Sue’s burger van, ask for Darren at DP Autos. Simple.’

So, if we stop directly under the earth’s sun we know we’re in the right place, right? Er, right… Brains frazzled, poor Lewis has to repeat those directions, exactly word for word, three times before it finds a place to hide in our thick skulls. That’s the thing with the Lamborghini, it has an uncanny ability to wipe your brain of important information the minute you slam the door shut. As soon as you pull away and hear that glorious engine note, any factual information will have been left where you were parked. Not very handy when you’re a delivery driver for the day.

Fortunately we’d been given an invoice with the name and address of the customer and those directions, despite sounding like an episode of Ramsay’s Kitchen Nightmares, were actually spot on, getting us there without even a single wrong turn.

Perkins and his colleagues were rather surprised to see us pull up in the quickest Euro Car Parts delivery van ever made. ‘If I just carry on ordering parts all day, will it mean you keep turning up in that?’ he asks.

‘Yes we will. And if you could, we’d appreciate it because it was pretty easy to find this place and we’re rather concerned about getting lost,’ I tell him.

We never hear from him again. Well, ECP might have done. For all we >

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feature Clockwise from top: ‘Does my head look small in this.’

Writer’s block strikes Dunc again; ‘Two tuna mayo, one BLT’ – James gets the most important order of the day; Thunderbirds are go;

know Darren’s still ordering oil in the hope we’ll turn up in the Spyder again…

Anyway, with one delivery down, a very happy customer and the Lamborghini on form, we’re happy. We haven’t cocked up yet so in our book it’s been a great success.

DRAGON’S DEN On the way back to the branch, Dunc and I discuss the merits of ECP swapping their fleet of Peugeots for Lamborghinis. Not only will the parts get to mechanics quicker, but surely you’d be more inclined to order from a firm if you knew it’d turn up in a stunning supercar? I’m made up with the idea, so much so I’m considering asking Duncan Bannatyne and Co for some funding on Dragons’ Den, but Dunc’s not so sure. He points out we’d struggle fitting a back box for a Ford Fiesta in the boot, not to mention the fuel economy, insurance, speeding tickets… Ok, maybe it’s not so good. Before I know it, I’ve opted out of my own idea!

Back at the branch, we take a well-earned break – this working lark is harder than we thought – and let the staff pour over the Lamborghini. This happens pretty much everywhere we stop. Not with the staff, I mean with everybody.

After taking delivery of the Spyder early that morning I parked it outside the house while I jumped in the shower. Five minutes later there were five people from my quiet cul-de-sac I’ve never even met, poking around the Lambo on my drive. Making the most of it, even the wife’s out there chatting to them!

It’s something you just have to get used to because driving a Lamborghini isn’t like driving any other car. Forget the fact it’s incredibly quick, stunning to look at and sounds like angels have descended from heaven to play a V10 in your ears. Forget all of that, because it’s only half the story. It’s the reaction from people that see the snappily named LP560-4, the strangers you meet every single time you stop that would make owning a supercar like this so very special.

You can’t be shy. Everybody, and I mean everybody, looks at it. Other drivers, mums with pushchairs, school kids, old people, traffic wardens – you name them and they stopped and stared. Oh, and they point. There’s always a lot of pointing too. Plus, those people that aren’t looking, oh they’re just trying very hard to make it look like they’re not looking. Of course they’ve looked, they’re just now furiously staring at the pavement in a vain attempt to make it look like they haven’t.

While Dunc and I wonder why we’re the only ‘staff’ members wearing these ridiculous jump suits and baseball caps, Bryan – who I swear is in on the clothing joke – organises our second delivery. This time our navigation >

Who are Euro Car Parts?

When we first dreamt up this stupid idea for a feature, Euro Car Parts was the first company we called – but we didn’t hold out much hope. With the red tape surrounding employers now, we thought the chances of a firm letting us do work experience in a £150k supercar was small. Fair play to ECP though, they loved the idea and couldn’t have done more to help.

It helps if you go to the big boys though. The firm is the largest supplier of car and LCV parts to independent garages in the UK. Starting out from humble beginnings in north London, ECP now employs more than 2,000 people at 71 branches across the UK. There are four more set to open this year.

The company turns over in excess of £180m a year and is a major supplier for Bosch, Lemforder, Pagid,

Textar, Normfest, Exide, Transmech, Continential, SNR, Bilstein and Hengst.

If you’re a mechanic those names will mean something to you, if you’re not all you need to know is that’s a good thing.

There are 660 delivery vans, plus a fleet of motorbikes across the country that all aim to get their customers parts within the hour. The best we managed was 15 minutes!

Our thanks go to Euro Car Parts’ Portsmouth branch for putting up with two ‘workies’ and to

the firm’s head office for allowing us to do it.

For more information log on to EuroCarParts.com or call 0870 150 6506.

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feature skills aren’t needed as co-driver Duncan is replaced by Richard Morris, one of the sales team from the back office.

He takes orders from a network of contacts across the branch’s region and he’s taking this opportunity to come along for the ride and deliver the parts personally. We head out to the small village of Horndean with some brake pads needed urgently for Mercedes specialist Olly Stone.

The Prestige Car Service owner used to work at Portsmouth’s official Ridgeway Mercedes dealer as a mechanic but has now branched out on his own. Richard says Olly is one of his best customers and comes to ECP for 99 per cent of his parts – I get the feeling he’s only ordered today though because he’ll get a delivery in a Lambo.

‘Well, you could have been quicker,’ he jokes, as I hand over a bag full of bits. ‘That car’s amazing. Can you deliver in that everyday please?’ If only we could. After a few digital cameras have been filled up with pictures and I’ve taken a few mobile phone pictures of staff members sitting in the driving seat, we’re off again. Delivery number two? Done.

LEGS LIKE ARNIE What’s truly surprising about the Lamborghini is how usable it is. The Italian supercars of days gone by would have been impossible to use like this.

Stop-start city driving would have needed a left leg the size of Arnie’s and some serious concentration levels to slip it through tight gaps. The LP560-4 is

nothing like that. It’s as easy to drive at sensible speeds as a large saloon car.

The driving position is superb, the seats comfortable and there’s enough room inside to be comfy. But my word is it quick when you need to get an oil filter somewhere in a hurry.

The noise that 560bhp engine makes is up there in my top three sounds of all time. The other two aren’t printable. It is incredible and as addictive as Crystal Meth (Louis Theroux told me). We take the opportunity to unleash the orchestra on the drive back down the A3 and Richard goes strangely quiet.

The Lamborghini just seems to have that effect on people – the minute you put your right foot down and fire your way through the E-gear semi auto box, there really is no point in talking.

Back at the branch I drop off a slightly white-faced Richard and get Duncan back as a co-driver again for our third delivery. This time I know someone in the back office has been calling contacts getting them to order so they can see the Lambo. How do I know? Because I’m handed a pack of blue roll and told to head into the city. Now, brake pads and filters – they’re parts. Oil, maybe at a push. But sodding blue roll? I’m assured it’s a vital workshop component, but I’m not convinced.

This time we’re back to navigating ourselves, but no fear, appearing like a genie is Lewis again with inimitable style of navigation: ‘Into town, straight over the first roundabout, right an the next, head towards the Zurich insurance building and it’s behind Matalan.’ We’ve got to hand it to Lewis,

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who needs road names when he paints a visual map in your mind with landmarks. He’s smarter than he looks.

After a blast down the M27, we find Bob Boardman’s Drive In Automotive servicing site and hand over the desperately-needed blue roll delivery. ‘What on earth do you use that for?’ I ask him.

‘Absolutely everything,’ says Bob. I decide not to take that line of questioning further.

So Bob, were we quick enough for you? ‘Could have been quicker,’ he says with a smile as he signs our delivery sheet. More pictures of the Don Johnson white Lambo are snapped, a few stats about the car reeled off and we’re back on our way. Third delivery safely with the customer – back of the net!

WHO ARE YA! On the way back we pull over for some pictures under a large bridge on a roundabout. While we’re there deciding whether it’s a decent location or not, a car full of teenagers circles the roundabout with one shouting out of the window: ‘Who are ya! Who are ya!’ I felt the need to shout back a reply, but restrained myself. It’s another one of the strange affects the Spyder has on people. Normal members of the public seem to develop Tourettes, shouting out expletives in the most inappropriate of circumstances.

Later in the day we’re in a traffic queue when a chap in Subaru on the other side of the road looks me in the eye and snears: ‘A Nissan GT-R is >

‘Just close your eyes and twist.’ ECP’s Lewis Doughty passes on the secret of opening a giant jar of pickled onions

The Car. The lowdown

U

nsurprisingly, the Lamborghini Gallardo LP560-4 Spyder is an incredible machine. Featuring an astonishing 5.2-litre V10 lump it produces 560bhp and 540Nm of torque. This is enough to fire it to 60mph in just under four seconds and on to a top speed of 201mph!

That mind-warping performance is accompanied by the most glorious soundtrack, a visceral roar that rattles through your rib cage as it hurtles up the semi-auto gearbox. The six-speed E-gear box is one of the best I’ve ever used, changing up in the blink of an eye. Normally I’ll always put a paddle shift car into fully auto at one stage of the test, but such was the fun popping up and down this gearbox, never once did I pop it in drive. In my book, that says a lot for its competence. And the glorious blips as you rattle down the gears is worth every one of those 150,000 pounds alone.

The Gallardo has permanent four-wheel drive which makes for an incredibly planted road car. It’s very hard to get it out of shape and as such very reassuring and complimentary to drive. Steering is superb and the brakes full of feel and capable.

What was most staggering, though, was just how easy it was to get to grips with. Many people think of supercars as hard to drive and inaccessible, but the LP560-4 was as easy to drive around town as a BMW or Mercedes.

Yes, it’s lower and a bit harder to get in and out of, but still usable.

As a few people pointed out, I’ve used the term ‘best car I’ve ever driven’ quite a few times over the years. But, for now, I can safely say this is my favourite. If that lottery win did ever come off I’d be heading to a Lamborghini dealer and placing my order – then going to work for Euro Car Parts in it.

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feature ‘Italian supercars of days gone by would have been impossible to use like this. City driving would have needed a left leg the size of Arnie’s and some serious concentration levels to slip it through tight gaps.’ quicker.’ He is, of course, factually correct, but I found it hard to engage in a heated debate on the merits of a V10 engine as we slowly drifted separate ways. The best was at a roundabout when a woman in a BMW pulled alongside and simply shouted: ‘Tossers!’ We took one look at each other in our ridiculous outfits and decided she was right.

Back at base, Bryan trusts us with our last delivery of the day and this time it’s a bit further afield. Mercury Garage in Emsworth is our destination with a door mirror for a Vauxhall. Just as we’re starting to fret about finding this garage our human sat nav friend Lewis arrives back from making a delivery.

Just as before his directions are perfect – but this time involve many more burger vans and strange landmarks.

Owner Steve Tattersall is delighted to see us pull up. Whether that’s because we’ve got his door mirror or because we’re in a Lamborghini isn’t clear. So, the big question of the day – were we quick enough? ‘Could’ve been quicker.’

Comes the now familiar reply…

So, four deliveries later, and we’re done. I’m pretty sure that’s a good day’s work – at least it is in our book – but this is quickly quashed when we check out the delivery white board in the storeroom listing who’s where and has done what. We’re trailing behind like Luca Badoer in a GP. I think I could see his problem – when you’re driving a supercar like a Ferrari or Lamborghini you want people to see you, and there were a hell of a lot of people in those grandstands to show off to…

Still, general manager Bryan is impressed with our performance. ‘Four deliveries and no crashes – that’s better than some of my drivers,’ he jokes. So, have we got the job? ‘Let’s just say, if you bring that car with you every day, you can work for us any time.’

Right, I’m going to have to make some phone calls, because to be honest, I quite like this job… [CD]

Clockwise from top: Not a bad place to spend your day; Fancy a roll for lunch?; Lambo in more familiar territory; ‘Sorry, mate, it was all we could fit in the car’ Car Dealer disappoints another ECP customer

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Heart T

here can’t be many Porsche fans left with a weak heart. They just wouldn’t have survived the shocks they’ve been submitted to in the past decade. It started with the Cayenne – an off-roader with a Porsche badge – gasp! Then there was the Cayman, a cheaper sportscar that was so good the only car it competed with was its bigger brother the 911. And then, earlier this year, the firm hits fans with the biggest shock of all – a diesel engine. Cue tea spat over thousands of car magazines across the country as Stuttgart devotees absorbed the news.

Bearing all that in mind, news a super saloon, four-seater model was in the pipeline was met with a mere shrug from those still inclined to care. In fact the Panamera makes a lot of sense for Porsche. Buyers are fiercely loyal, so it gives those single-men-turnedfamily-men something to buy when their wife dictates they’ve grown out of their 911.

Considering those target buyers, the Panamera still had to have the same driving characteristics and performance owners had become used to, but wrapped up in a far larger package.

China played a key role in the maker’s decision to put the saloon into production too. Such is the kudos out there at being driven around, many Chinese businessmen were buying 911s and sitting in the back!

China, then, will be a key market for the new Panamera – much more room to read the broadsheets in the back!

Designers were tasked with producing a four-door saloon that drove like a Porsche, but combined comfort and practicality. They certainly succeeded. This is so much more than a 911 with two extra doors. The driving position feels very similar to the smaller sportscar. The steering is direct and full of feel and we love the way you sit ‘in’ the car, cocooned in the large sports seats.

As you’d expect from the German maker, performance is incredible – and even more astonishing considering the car’s size. There are currently three variants of the Panamera available: The S, 4S and the top-of-the-range Turbo. None are in any way slow – the Turbo dispatches the dash to 60mph in four seconds dead, easily a match for the Lamborghini you’ve just read about, and will go on to a top speed of 188mph. Fuel consumption isn’t that bad either for such a big lump – the Turbo returns 23.2mpg on the combined cycle with emissions of 286g/km.

So what’s it like to ride in the back? This is,

Porsche is entering new territory with the Panamera, reports Duncan Chappell

after all, where most of the design has been focussed. Well, the sense of individual space is superb and with the two rear seats divided by a console there’s no danger of brushing knees with your co-passenger. It’s extremely comfortable too, with decent legroom akin to a BMW 5-Series.

That practicality design brief has been met too. The rear seats fold down thanks to a clever ‘saddle’ style fuel tank and Porsche says buyers will be able to squeeze not one, but two bikes in the back without taking their front wheels off. Handy.

We tried the Panamera at the Porsche Driving Experience Centre at Silverstone where we got the chance to really put the car through its paces. Dealers can send buyers to the excellent facility to find out what their new cars can do on a twisty test track, skidpan and a variety of other extreme handling tests.

We got to try all of them in the Panamera and were impressed with its ability to belie its size.

It might not be as flighty or agile as a 911, but it’s not far off – coping with the challenging circuit extremely well.

It’s equally competent on the road, but it’s here you’re reminded of the car’s size. Threading it through tight villages and traffic, its width can certainly raise your pulse! However, get used to that and the Panamera is an easy car to drive. The PDK semi-automatic gearbox is fluid and responsive, the ride firm but never uncomfortable and visibility superb all round.

In fact, the Panamera is hard not to love – there really is little you can fault.

Ok, so the looks might not be to everyone’s taste, but we’re sold on it. The proportions are perfect and it looks so much better on the road than it does in the pictures.

The price isn’t too bad in comparison to the competition too. The Turbo starts at £95k, but our test model, with ceramic brakes and a few other extras would set buyers back £120k.

Compare that with a Mercedes S65 AMG – a direct competitor – and you’re looking at not much change from £150k. So the Porsche is a bargain, right? Well, that all depends on the size of your bank balance, but for buyers of super saloons it certainly looks tempting.

Porsche really has done a sterling job with the Panamera. There is so much on offer: performance, space, usability, drivability and, of course, the heritage of that badge. Porsche dealers must be squealing with delight they’ve finally got something to offer buyers that have grown out of a 911, especially those that wouldn’t be seen dead in a Cayenne…

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[forecourt]

I SELL THEM

Panamera features smart split rear spoiler; the interior is roomy in the front and back; and pictures just don’t get over the sheer size of the car – compared to a 911 it’s huge

Darren Street, sales manager, RSJ Sports Cars, Slough HOW will it sell? Well, it’s a little early to say at the moment.

I was sceptical after seeing the press pictures, but seeing the new car in the metal I think it is a very good-looking car and am looking forward to driving one very soon. I’m not sure if it is something that the current Porsche buyer will order though, but I think it will take customers away from the likes of Bentley GTs and Mercedes S-Class. I think it will take time for the customers to get used to the car as a member of the Porsche family though.

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cult cars I

n this issue, we’re bringing you all the green news from the Frankfurt Motor Show. Ah, how different things were a decade ago.

Back then everything was booming. Nothing was running out. Anything was possible. Well, almost.

Certainly, launching the world’s fastest, most powerful, most expensive car was but a walk in the park. Well, it was if your surname was Piech, and you were boss of the mighty Volkswagen. Ferdinand had already bought the famed Bugatti brand, and shown a deluge of hyper-extravagant concept cars, including an 18-cylinder monster. Now, his dream was to be realised on the road.

All due credit to the good Doctor: the production model was barely any less dramatic. A two-seat mid-engined luxury performance coupe, the car that would become the Veyron was initially known as the 16/4. Why? Well, 16 cylinders, of course. Oh, and four camshafts, instead of eight – the ‘W’ design, and narrow angle, meant the cam count could be cut in half.

It was basically a Golf VR6 on hyperdrive.

Well, almost. There was no quibbling with the figures Piech quoted – 987bhp, four turbos,

Bugatti Veyron more pulling power than some planets. Everything about the stat sheet was monstrous, from the 9mpg combined economy, to the 8,000cc capacity, to the fact it could top 200mph.

Nay, not just 200mph, either. This thing went on to top 250mph – 253mph, to be exact. And if you don’t believe them, check out James May’s run on Top Gear, easily found on many a YouTube search. All a bit undramatic, was Captain Slow’s remark, as he became one of the fastest car drivers in the world.

It was – and still IS – utterly, ridiculously insane. Don’t let the smooth styling and understated, chintzy air fool you. The Veyron is a blimmin’ warrior, albeit a fantastically easy one to handle courtesy of four-wheel drive, electric control of everything, and a DSG flappypaddle gearbox just like in a Golf 1.4 TSI. At low speed, it could be as docile as a Polo.

It just so happens to transform into a rocket whenever you press the right pedal.

It stops, too. Brakes are massive. Yet not even discs the size of large dinner plates are enough to slow it – Bugatti also had to design a massive rear air brake, that explodes up in an eye-blink to help drag the thing to a halt. You think F1

cars are hi-tech? They look like kit cars compared to the amount of kit packed into this.

And, naturally, it corners. Ridiculous tyres are said to cost £5k a piece (yes, that’s each), and stick the thing to the tarmac like it’s MADE from tarmac. Providing an intense racecar experience, tails out and balls out, was not part of Bugatti’s remit with this. No, Piech wanted plain intensity, sheer force of incredulity. My how he achieved it.

When it came to market, he was right about something else, too. It really was the world’s most expensive car. Yours for about £800k sir – and that’s before options. Bugatti drivers could spend a lot more besides, by getting their consorts to tick an endless array of boxes.

You have to wonder why they’d ever need to.

After all, they’re hardly jam-packing our roads, these things. Production has now switched to the open-top Grand Sport, meaning there are only around 200 Veyrons on the road. But, my goodness, how achingly special every one is.

The Golf that can do the impossible. Hard to think it would ever be made nowadays, but how great it is that Bugatti did help give the supercar a real millennial bang.

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sales legends S o, the latest Astra is a ‘vital’ car for Vauxhall? A ‘make-or-break’ model in many ways? Well, no change there. It’s always been so, ever since the very first was launched back in 1980.

Back then, Vauxhall was in strife. It had a grim reputation, an ageing model line-up of rear-drive cars… one of the most marketable cars dealers had to sell was the Chevette, which kind of says it all. Quite a state of affairs for part of the (then) mighty General Motors to be in, really.

The Astra saw it finally getting serious. This was to be the first front-drive Vauxhall ever, signalling a step into the future already long since outlined by Volkswagen. Half a decade ago, the Golf had set the template for the sector we now know as the family hatchback. Here was Vauxhall’s take on it.

And what a fine job they did.

Crisp styling was thoroughly up-to-date, and clothed in a really crisp chassis and engine range.

All-new alloy-head ‘Family II’ engines revved with uncommon vigour, while Vauxhall had cannily chosen a sporty suspension setup, to ensure vim remained through the corners.

Dealers loved the mix of three and five-door hatchback models, plus commodious estates.

There were even dodgy-looking saloons; dealers were less keen on these. They didn’t last long.

Vauxhall even got carried away – roomy the interior may have been, was there any need to mount the seats quite so low in the chassis?

Many a wannabe rally driver was pleased by the Astra… at the expense of the grannies who found it a wee bit daunting.

Typically, the base L models were stripped out and sparse (and we mean sparse). Moving up the line, LS and GL variants came with more kit, while the special Berlina variants even had twotone metallic paint. Very swish too, they were.

Later there was also a hot GT/E version, with

Astra 1,800cc fuel-injected version of the sprightly engine. This was a real thriller, a proper Golf GTI rival, and a fair bit better than its arch-rival, the Ford Escort XR3i. Hot hatch wannabes also found plenty to like in the more attainable 1,600cc SR. Mind you, the eagle-eyed will spot something.

Actually, it wasn’t launched in 1980. This shape first appeared on our roads in 1979, didn’t it?

Yup, you’d be right – see, the Astra was also sold as the Opel Kadette. Increasingly by the same car dealer. Confused? Yes, everyone was.

As the latest version appears on the horizon, Richard Aucock takes a look at Astras of the past

It was all a bit bonkers, and the franchise wasn’t fully rationalised until the mid 1980s.

By then, though, the Astra had become firmly established as a family car front-runner. In second-generation guise, it was taking the fight to the Ford Escort, and had easily overtaken the pricy VW Golf. In time, it would do for the Austin Maestro, too; combined, these two sold well over 1.1 million units in the UK. Vauxhall didn’t gamble with the MkI Astra relative to the competition – but did so by its own standards. It had to push boundaries, as it was so off the pace before its launch.

And while it didn’t quite have the impact the Cavalier did, the hatch did pave the way for that model – and did help Vauxhall turn into the dominant force it was by the end of the 1980s.

Indeed, come the early 1990s, the Astra was outselling the Ford Escort. Quite a way to come from the crummy Chevette…

Now, we’ve almost come full circle. Vauxhall dealers are pinning their hope on the all-new one to help the company once again prosper.

Can it do it? Tune in next month when we’ll have a first drive of the new contender.

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[interview]

PREPARE FOR A

SHOCK Electric vehicles are the future – at least that’s what Nissan thinks. Here, the UK chief tells James Baggott why he’s so excited about the revolutionary technology and explains what it will mean to his dealer network

A

s the world’s press gathered for the unveiling of Nissan’s new electric Leaf model, the car firm’s executives in territories around the world were still trying to work out how its dealers would make money out of the car.

In fact, even now, the car manufacturer is devising a plan for its UK dealer network to keep profitability levels up when the Leaf finally hits our shores at the end of 2011. Ok, so the firm has got a bit of time to sort out the commercials, but what’s the problem?

Well, electric cars will need far fewer check-ups in the conventional sense – oil and filter changes will be replaced with the need for battery replacements – so dealers will be seeing customers far less, losing the chance for up-sales. And then there’s the problem with batteries – these units are hugely expensive and carmakers are still working out whether they’ll be leased or sold to customers.

‘We think zero emissions vehicles, in terms of volume, will grow aggressively over the next 10 years,’ Nissan UK managing director Paul Willcox explains. ‘We don’t see electric as a stepping stone – we see it as the future.

‘But we are still to decide how the distribution of EV via our network will work. We know it will be regionally based and we need to structure the network to support the roll out.

‘We know we have to make sure that this is a positive opportunity for the network in terms of attracting more customers and generating more profit. And in terms of this we are still ironing out the firm details. We would be stupid to create a business model that alienates our dealers and are confident the one we devise will be sustainable one for the network.

Name Paul Willcox Job title MD, Nissan Motor (GB) Limited Age 45 Family Married, two daughters, one son Drives Nissan 350Z Roadster Lives Surrey CV Joined Nissan in 1989 as zone sales manager followed by a variety of roles including corporate planning manager (1998-99). Moved to Nissan Europe in 1999 as sales market manager, then general manager marketing strategy and pricing between 2001-03. Returned to Nissan (GB) in 2003 as marketing director, then back to Europe in ‘05 as vice-president, strategy and marketing. Current position since 2008.

‘But it’s true we also need to think about how we manage the packaging of the batteries. Will people buy them or lease them? That’s something we don’t know yet, but our intention is to make sure the cost of ownership is comparable with an internal combustion engine.’

Nissan’s step into electric vehicles is a bold move – especially as not everyone is convinced it’s the future. There are some corners of the

industry that backs hydrogen fuel cells and others that are concentrating on making conventional combustion engines as efficient as possible. But not Nissan – Willcox says the brand is fully behind EVs. ‘We think electric vehicle technology is the way forward,’ he explains. ‘That’s why we’ve made a big statement in terms of the investment we’ve made and we are committed to bringing it to the UK. We think it’s the right time for electric cars, especially for Europe and the UK. We are putting a huge emphasis on this – and don’t see it as a bridge to anything else – we see it as the next step.

‘Some would say that’s a big gamble, and I guess in many respects it is, but with the product we’re bringing it forward in – a compact hatchback – I think it will be a very usable product.

‘It’s not a Micra, it’s a fully fledged five seater, five door hatch and when the vehicle is launched it will be useful. It will have 160km range and it will have the performance drivers are used to – you will be able to break the speed limit in it, not something we advocate, but you will be able to.’

SHARP END Willcox says the Nissan dealer network will be at the forefront of rolling this technology out and it’ll be those retailers close to the large conurbations, such as London and Manchester – traditional commuting cities – where dealers will be called upon first.

‘We think the demand will probably grow in areas where financially it probably makes more sense. So if you can avoid the congestion charge by using an EV then chances are London will be one of the largest markets,’ says Willcox.

‘Dealers are very positive about the technology.

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Nissan president and CEO Carlos Ghosn unveils the electric LEAF to the world’s press

‘We would be stupid to create a business model that alienates our dealer network and are confident the one we devise for electric vehicles will be sustainable.’

Nissan UK MD, Paul Willcox

At the end of the year we will sit down and explain to the network what the business model is. We are still working on that. But they are very enthusiastic about Leaf and our commitment to EVs. They can see that if we’re leading in this field it will do a lot for growing our credibility in the market.’

Willcox has recently returned to Nissan UK after a period of spearheading the brand’s marketing in Europe and one of his main objectives has been to bring stability to the UK set-up.

Nissan has been through varying restructuring programs every three to four years for more than a decade and one of his first tasks was to establish a better relationship with the brand’s

184 UK dealers – and to sort out some problem areas.

‘We have a bedrock of good performers; 60 per cent of our dealers do an excellent job. But we have over-complicated things in the past,’ explains Willcox. ‘We have taken a bold step to try and make things more simple and that’s also in the way we evaluate our partners.

‘In the past we had 100 KPIs as to what made a good dealer and what didn’t. We threw them out of the window a year ago and now have a very simple view: A good business partner has to satisfy three things.

‘It has to deliver an acceptable level of retail sales performance; high level of customer

quality in terms of sales and aftersales; and have an open win-win relationship with Nissan. If they satisfy those three things then we’ll have a fantastic working relationship.

‘If they don’t, well, then we have a problem.

And that’s something we will address. In the past we’ve been less than convincing in our approach to our dealers but we will not tolerate a lack of commitment or under achievement in any of those three key areas.’

Willcox says he can split the underperforming 40 per cent of dealers into two distinct categories: The new ones, and the real problem ones.

‘It takes a while to reach good representation as a new dealer – we reckon 4-5 years before >

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interview they really get up and running – so I’m confident that 20 per cent will come on in the way we expect,’ he explains.

‘It’s the other 20 per cent that are consistently underperforming which we have to address and we’ve got a program in place to address this.’

Willcox tells us that those three core performance indicators are designed to cut the wheat from the chaff. Margin structures have been designed around those core guidelines – so dealers that don’t come up to scratch can’t survive.

‘We’ve increased our margins and put an emphasis on quality. Three per cent of a dealer’s margin is now based on acceptable levels of sales satisfaction – if you don’t achieve it you don’t get your margin. Dealers can’t stay in business if they don’t get that margin so they have do something about their quality.

‘The remainder of the margin is on retail sales performance. This means dealers that deliver here will have a very profitable performance with Nissan. Equally it means that dealers that don’t start performing will become unviable.’

OFFICE ANGELS That’s not to say Nissan isn’t prepared to help its network. The manufacturer has a team of business support managers that can help dealers perform. These ‘office angels’ were put in place around the same time as the market collapsed too, so have been instrumental in helping Nissan franchise holders survive the downturn.

‘We are very happy with the shape and size of our network,’ added Willcox. ‘We have 184 dealers and 85-90 partners with a very balanced mix between PLC and owner drivers.

‘It’s the bottom 20 per cent that we are concerned about. For those that we feel can’t make up the performance deficit we’ve already begun to issue termination notices. Around 15 of our dealer points in the last three months have been issued these.’

Nissan chief Willcox says the Qazana concept is the car he’s most excited about

So, for those dealers that remain on board, what would Willcox’s number one piece of advice be for a successful future?

‘Don’t overreact,’ he says bluntly. ‘At the end of last year the whole industry’s reaction to used cars lost everybody a lot of money. There was panic, huge panic, and the lemming stampede to get rid of used cars meant everyone was rushing back to buy them again six weeks later at a premium. It’s easy for me to say, and difficult to do, but I would say dealers need to keep calm and not overreact to situations.’

He adds keeping an open relationship with the manufacturer you represent is equally key.

‘We’re here to support our dealers, not force them out, so the sooner an issue is identified the sooner we can look at it,’ he says. ‘If you keep your head down, you can go down.’

That support certainly seems to have had the desired effect – Willcox explains the marque has lost very few dealers in the credit crunch.

‘Our industry’s ability to adapt, especially at Nissan, has really surprised me. This has certainly been the toughest recession I can remember,’ he says. ‘But we’ve managed to grow our share at a time the industry has been hit, somewhat bizarrely. I say bizarrely because our network profitability to the end of June is at record levels – 1.7 per cent return on sales. Our network is doing well.’

And things are looking positive for the future too, says Willcox, with some extremely exciting product launches. ‘We have got a big investment in products coming,’ he explained. ‘Next year we have a new Micra, which will be important for us, but I’m most excited about the Qazana – it’ll be built in Sunderland and that car will be very unique in the marketplace. At a time when the industry is under pressure, Nissan has maintained its investment in new models – dealers should be confident about the future.’ [CD]

The perks of the job NISSAN has a diverse range of vehicles from frugal city cars, capable off-roaders to performance machines that humble Porsches.

But it’s an iconic hot hatch from the past that really floats Paul Willcox’s boat – the Nissan Sunny GTi. Remember it? It was the hot hatch with vents and spoilers that made Subaru Imprezas look tame.

‘It was a fantastic drivers’ car,’ he says. ‘I had about three of those and it was an absolute sheep in wolf’s clothing. I loved it because it was very reliable and fantastic to drive. It was the perfect drivers’ car. I’m not sure if I’d like to see something like that again – our cars are very different now – but one car that comes close in terms of driving thrills is the Qazana concept. It will have similar levels of fun and it will be the car that pushes us forward.’

But what about the marque’s current line-up – what gets the boss’s nod there? Unsurprisingly it’s the GT-R. ‘I am just scared to drive it now – it builds so much confidence, it’s just awesome,’ he said.

‘I was driven around the Nurburgring in one – which made me feel very ill. It was when I was working in Europe. It had the underpinnings of a GT-R but they had grafted the body of a G35 Coupe (an Infiniti model) on it. It sat a little awkwardly but it drove. I was taken around by the guy who set the lap record in it at the ’Ring and this guy has got no emotion, he’s just completely focussed.

‘I never want to experience that again, but it was amazing. I’m a terrible passenger – after that I was nearly sick. But I loved it.’

Upsetting the boss MOST car manufacturer MDs we chat to like to visit their dealer network – and most arrive completely unannounced. Paul Willcox is no different.

‘I get to see a lot of dealers and I never tell them when I’m going,’ he told Car Dealer. ‘I went out with another director recently to see a dealer and on the way back we stopped at two other sites. It’s interesting to see the reactions you get while also being able to see the facilities as a customer would.

‘My real pet hate is bad housekeeping. Dirty demonstrators, point-of-sale material out of date, layout on the forecourt that has a lack of clarity – things that don’t cost anything to put right.

‘I can understand when times are tough that running your business is difficult, but what we can’t excuse is a lack of focus and attention to detail – especially when they cost nothing.’

Cor, seems like you don’t want to get on the wrong side of the boss at Nissan. So, anything else that winds him up?

‘A lack of atmosphere in our showrooms drives me mad,’ he says. ‘Walk into any building and you get a feeling for the atmosphere straight away. If our dealers haven’t got a warm atmosphere then that drives me nuts. I saw three dealers on that day – two were great – and one was less so. They got a phone call when I returned.’

So how can dealers get that atmosphere right?

Some would say that’s got to be one of the hardest things to get right. Not so, says Willcox: ‘It’s about people – not premises or location – the people.’

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feature ‘Such is the rate of expansion for the new and used car portal, it’s rapidly gaining a reputation as THE place to be.’

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ON THE ROAD TO

Success With its simple approach to online car buying, Motoring.co.uk is reaping the rewards, as an impressed Richard Aucock discovered

M

otoring.co.uk carries a simple, polite message on its website. Yes, you can advertise your car stock for free on it – no matter how many cars you have to sell – but it’s only for car dealers or manufacturers. ‘No brokers, please’ is the ask. Short sentence. But, within it, lies the very key to why this site is so significant to you.

The men in charge certainly have the stats to wow: 700,000 people visited Motoring.co.uk last month. Big numbers. But all the more amazing when you consider that this has grown by 100,000 almost every single month since launch…

Such is the rate of expansion for the new and used car portal, it’s rapidly gaining a reputation as THE place to be. But what sort of place is it?

‘Total support for new car search and finance,’ says Chris Green, one of the company founders. A simple claim behind which lies a whole lot more…

We met over coffee, where Green had to hand a fresh set of stats. We were intrigued – what did they say? He showed us: site analytics for Motoring.co.uk, that he’d just printed off.

Those 700,000 car buyers – well, it seems

they’re clicking on 14 MILLION pages throughout Motoring.co.uk each and every month… 14 million! No wonder the average time they spend there, also revealed by the stats, is well over 10 minutes. And, no wonder he’d got the biscuits in.

All of which makes it a Google-beater, Green tells us. Fact. ‘Our site drives more traffic to car dealers than Google itself,’ he says. And if you’re out-Googling Google, well, you must be doing pretty well.

Particularly when you can boast a CRM database of five million email addresses – of which 500,000 are officially ‘high net worth’ individuals. Throw in the opportunity of solus branding for email communications, to get even MORE interest, and, well, is it any wonder car dealers are celebrating how they can build brands and deliver transactions?

For you, it all starts with a question. Green wants car dealers to ask whether their current provider passes the FITness test. The what? ‘Flexible, Integrated and Trackable,’ he says.

‘With Motoring.co.uk, our solutions change as

your business does. We fully integrated online and offline tools. And everything we do for you is fully trackable.’

Our Americano reflects back a puzzled expression. Green explains. Think of shop display advertising. There are messages there, similar in thinking to those in your car ads – good mpg, good finance and so on. ‘But, every other website says price alone. If you’re the cheapest, you’ll get found. If you’re not, you won’t,’ adds Green.

‘What, though, if your key offer is zero per cent finance, or big contributions to finance deposits?

How do you get found then? Well, with us: we basically take all these search criteria and mash them up, allowing buyers to search in any way they wish.’

This means price becomes not the sole search criteria. At the moment, for example, scrappage is key, so car dealers may want to go in big on those deals. ‘What about next year though – maybe then, electric cars will be big news?’ explains Green.

‘Motoring.co.uk is all about building on car buyers’ needs and desires – responding to and >

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feature changing with them. This is done in exactly the same way they search Google.’

Areas of specialism can stretch much further too – if your car dealer has great Motability, PCP, HP or leasing deals, these can be shown in the site’s finance search. They, as with new car search, can also be incorporated into ‘Best Buy’ tables and strategically placed around the site.

Used car search hasn’t been overlooked either, says Green. Google-style ‘Powerlistings’ are unique to Motoring.co.uk, and are specifically designed for franchised car dealers.

‘These can be tactically placed at the top of search – and are NOT defined by price or brand.

They’re up to six times more likely to be viewed by the car buyer… and, more importantly, allow the dealer to have their cars shown on the FRONT page, at the price they need to sell at.’

Overcoming on one fell swoop the problem of getting your cars seen above all the £1k bangers out there… Brilliant!

All this works well even for brands outside the big boys. ‘Hyundai and Kia have some fantastic superminis, but don’t have the recognition alongside a Ford Fiesta. We, though, will show a Hyundai right alongside a similar Ford Fiesta, once searched for – and if it beats the Fiesta for insurance, tax costs and so on, then it will come out above it.’

Green says that the firm’s biggest partners are from the premium sector. ‘Sytner Group, for example, represents Audi, BMW… all these guys

simply don’t think discount. Instead, their key offers are on finance deposit contributions.

‘We’re winning with them, as we allow them to show this, and let car buyers search for it – something they’ve never previously been able to display. This has so impressed Blue Bell BMW – which normally bans such advertising – we came through a due diligence process with them and are now an official third party new car advertiser!’

The head of Audi UK is similarly impressed, says Green, while a meeting with Inchcape Retail turned into a dream. ‘They’re used to businesses telling them what they need – so were delighted by our approach, which saw us ask them what they want, what’s their vision, how can we help.

‘Every car dealer is different, after all. Why shouldn’t we reflect this with our flexibility?’

It all comes back to one thing. Advertise online the way you do offline. The way car buyers search in newspapers, something that’s been done for decades, is very different to the still-new world of the internet. You’ll only get the biggest benefits from a site savvy enough to combine them both.

And really, you don’t even have to do anything.

Motoring.co.uk pre-qualifies all the buyers for you.

‘Our search is your offering,’ says Green. Those interested in the cars YOU have, able to spend the money YOU are charging, all will be sent straight to, well, you.

What Green, and his dealers, are particularly proud of, though, is getting rid of new car brokers. > Company founders Chris Green (middle) and Terry Hogan were joined by Kevin Gaskell (top) last year

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feature

‘On some rivals, two thirds of the ads can be from car brokers. How can any car dealer compete? On Motoring.co.uk there won’t be a single one.’

Brokers are guaranteed not to be on Motoring.co.uk. At all. Nor internet or leasing sites, either. It’s a site for car dealers only.

‘We have no “Freds in sheds” on our site,’ says Green. Most internet sites are riddled with car brokers, against which franchised dealers struggle to compete on the key criteria – price.

‘Of course, with guys in bedrooms, there’s no guarantee the car buyer will actually see a car, or get anything for cash they may outlay – or even get through to anyone at all. But, they’re still able to command an unrepresentative section of the market, at the expense of franchised car dealers.’

On some rivals, estimates Green, two thirds of the ads can be from car brokers. How can any car dealer compete alongside these? But, on Motoring.co.uk, there won’t be a single one.

A two-base, 40-staff resource based in hip central Manchester personally vets every call, ensuring that only those spoken to and confirmed to be car dealers will be able to show their wares on the site.

All this is something that gained the very highest seal of approval back in April, when industry giant Kevin Gaskell joined as chairman. In doing so, he immediately gave a clear seal of approval to all Green and business partner Terry Hogan were doing.

‘I was excited by the team’s strategy, and felt that the enthusiasm and industry knowledge of Chris and Terry would allow us to build a very exciting business,’ he said.

In his view, it really is the future. ‘Motoring.co.uk is the next generation car marketing platform, and allows car manufacturers and dealers to use the full power of the internet to sell new cars and used cars to real buyers. The platform facilitates the integration of offline and online marketing programmes, which is not something offered by any other website.’

This makes it, in his view, an unbeatable

proposition – particularly as it’s backed up by that unique trade-only guarantee. ‘I can strongly support the business model that Motoring.co.uk only works with manufacturers and franchised dealers and, as such, is totally supportive of the automotive sector.

‘I believe that online automotive retailing still has an enormous amount of potential for growth, and I am delighted that we have grown to number two position in the UK in only a couple of years.’

You can bet he won’t be happy until the number one slot is his…

There’s no doubt Green and Hogan have all the right credentials to convince a man of Gaskell’s standing. They’ve been retail salesmen themselves, managing teams of 30, selling new cars, used cars… ‘We’ve done every job there is in a retail environment,’ added Green.

After leaving the franchise world, the two went into consultancy, and started their own online business. ‘All told, I’d say we’ve sold around 30,000 cars over the years. This means we talk the same language, understand the motor trader – while also knowing what both their brand and their buyers want,’ Green says.

He can also point to stacks of emails from car buyers, saying how pleased they are. ‘Buyers love our search, as it’s different, intuitive and, above all, works. We’ve no end of credentials from people who actually buy the cars.

‘Think of Google. They send consumers to their biggest paying partners. That’s just what we do. If you’re a larger partner, with a bigger spend, you’re more visible with us.’

All told, it’s a deal as sweet and as tasty as Green’s vanilla-shot Latte. ‘We’ve created a motoring version of Google, that beats it,’ he says.

‘And nobody knows how we’ve done it…’ [CD]

Motoring.co.uk column, p67

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Welcome to the family.

You may have only recently heard the name Alphera. But you’ll be very familiar with our parent company – the BMW Group.

So while we offer motor nance for all makes and shapes of car, you still benet from the service and quality you’d expect from BMW. And it’s delivered personally though our team of regional Business Development Managers, ready to give you the individual attention you need to achieve the sales you want.

Discover what a partnership with Alphera could mean for your business.

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How do you close a sale

if you can’t get the lead into the showroom?

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Sales happen face-to-face. Motivate more in-market leads to visit your showroom with innovative walk-in incentive technologies from HookLogic. s Raise your show rate by 50% or more s Pay only for real lead actions s Attract more high-quality leads into your dealership

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marketing

...in association with HookLogic

Drive more walk-in traffic HookLogic reveals tips on how to lure visitors into your showroom from your website

H

ow do you pry people away from their computer screens and get them to step inside your dealership? Coaxing prospects to make a personal appearance is one the main challenges for dealers. Blame the internet!

As car buyers increasingly rely on web research, visits to dealerships have plummeted. The average number of visits to a dealer by a customer looking to purchase a car has decreased from seven in 2000 to only 1.5 in 2008 (Source: Network Q, April 2005).

This amounts to far fewer chances to meet prospects in person. The upside is that if you’re one of the 1.5 dealers a buyer chooses to visit, you have a more educated buyer who won’t take as much time to close. But if you’re one of the 5.5 that a buyer would have visited pre-internet, you don’t even get a shot.

Dealers are addressing the new shopping landscape by maintaining attractive websites and following up leads aggressively with CRM applications. Amidst this scramble, one highly effective, yet often overlooked, marketing tactic is the walk-in incentive.

Walk-in incentives are precisely the kind of tactic that entices shoppers to visit a dealer.

Walk-in incentives help differentiate a dealership from competitors, who may all be offering essentially indistinguishable OEM or finance incentives.

When a shopper is researching online and deciding where to visit, a small gift, such as a £20 fuel card, can tip the decision to visit one dealership instead of another – or even entice him to add an extra visit to his list.

So why has the time-tested walk-in incentive fallen out of favour? First, there’s the risk of wasting time and funds by attracting gift seekers who aren’t truly in-market. Then there’s the challenge of limited resources, as it requires time to plan a giveaway promotion.

There’s the logistical challenge of procuring and stocking items, and ensuring these items don’t ‘grow legs’ and walk away on their own.

There’s the issue of picking the right incentive too, with the inherent risk of investing in an ineffective promotion. And then there’s the challenge of measurement – how do you measure the ROI on such investments?

Fortunately, new technologies and partners allow you to apply smart walk-in incentives – driving high quality prospects, eliminating wasted incentive inventory, taking the logistics off your hands, and providing campaign measurement.

Here are some of our best practices for managing walk-in incentives effectively:

Getting customers from your website into your showroom is key. HookLogic can help

‘Walk-in incentives are precisely the kind of tactics that entice shoppers to visit a dealer.’

1. Target incentives to the right in-market prospects: Limit an offer to people who’ve indicated they’re interested. Instead of showing an offer to every visitor to your website, target it to visitors exhibiting shopping behaviours, such as navigating to vehicle inventory pages or making repeat visits to the site.

2. Target special incentives to prospects needing extra motivation: Offer sweeter incentives to in-market shoppers who haven’t been responsive.

For example, you can escalate the value of a walk-in incentive to a good lead who hasn’t set an appointment after a week’s effort.

3. Test to find the best incentives: Your intuition may be valuable but it is not a replacement for testing. Figure out if you really need to give away that promotional item worth £30, or does a £15 item work just as well?

4. Consider different incentives for different prospects: If your dealership sells to different audiences, you may find unique incentives resonate better with each type of customer. It may be a £50 dining voucher in one instance, or a pair of movie tickets in another. Consider the audience you’re trying to reach – those in the market for the latest BMW or the VW Polo –

and then test!

5. Find an outsourcing partner: The right partner can overcome the challenges of planning, buying and stocking incentives. Outsourcing partners not only take away the headache of inventory planning and fulfillment, they also bring expertise in running effective promotions.

6. Use all your channels: Don’t restrict your promotional activities to just your website. Make sure your promotional strategy includes your other marketing channels: direct mail, telephone sales, and SMS. 7. Don’t be defeated by technology (or the lack of it): Presenting the right offer to the right people at the right time can be enabled by dynamic content insertion technology on your site and by rules-based promotion tools for CRM applications.

Getting access to the right technology does not mean you have to fight long battles with the IT department or make big capital investments.

There are SaaS (software as a service) providers that offer quick implementations without technology upgrades at the dealership. Some providers offer variable ‘pay-per-use’ fee models, so you don’t incur large fixed costs and only pay for results.

Face-to-face discussion is how to close sales.

As you work on attracting more leads into the showroom, don’t pass up the footfall boost that well-targeted walk-in incentives can deliver.

For more information, contact Ben Cooper (ben@hooklogic.com) or Gaurav Anand (gaurav@hooklogic.com) at HookLogic.

CarDealerMag.co.uk | 55 CarDealerIss20.indd 55

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feature

dard

Is your team

Fighting Fit? Training is the key to keeping your team motivated and productive.

Richard Aucock looks at the various initiatives on offer

E

veryone is talking about training nowadays.

The complacency of the good days has gone – now, only the few fail to realise that, to actually grow business and make more money, you need to rely on the people doing the job, rather than the market itself. But where do you start?

Potentially, it’s a minefield.

Particularly if you don’t approach it right. Some dealers may see it as an expense which can be done without. Many training providers will give advice to the contrary here – and, indeed, bettertrained staff do inherently perform better and make you more money.

But, once trained, they’ll only give their best if they know what to give. And it’s here where management needs to ask questions of itself, says professional training provider Bram van den Berg of BVDB Ltd. ‘Staff need to know your vision – and YOU need to know the goals you want them to work towards. Only then will training have direction and purpose.’ And any company expenditure fully rewarded.

Indeed, this is what drives his firm’s approach.

His own three core values – integrity, respect and creating value for clients – help him focus on only giving you what you need your employees to know. Anyone can have a day out the office, go on a course and come back… none the wiser.

To best benefit from it, you need a more structured approach.

What you need, he explains, is a set of KPIs – Key Performance Indicators. These need to be decided upon, agreed by both management and staff, then implemented in a clear way. That is where van den Berg’s assistance comes in. The firm helps everyone work to the same set of KPIs they’ve all agreed upon.

Doing this is a logical process he says, once you’ve identified just what you need to do to enable it. ‘We provide bespoke solutions for this, to help businesses make money.’ How? Well, there >

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feature are two routes. You could take up a consultancy with the firm, where they’ll discuss the sort of things you need, and how they can help. This is easy to do – it’s carried out over the phone – and will give you a health check questionnaire.

Following this, he says, the consultancy will then determine the sort of things you need. But there is another option. ‘Just go on to our website.’ What could be simpler? See, on bvdbltd.com there is a menu-driven list of all the training courses offered by the firm. That’s title, subjects covered, details of what delegates will get at the end of it – even dates, times and costs.

In that 10-minute period as you wait for the computer backup disc to run, you could have a full set of training courses laid out for your staff, to give them the knowledge to make you money.

Which really can’t be bad, can it?

‘Your team is the core of your business,’ says van den Berg. ‘If they come to work excited, objectivedriven, believe in customer care and can no longer fear customer objectives, you’re one step closer to a firm better able to make money.’

And all without being lectured to. ‘We will never tell you what to do,’ says van den Berg. ‘But we’ll always give advice on what you could do…’

Despite this undoubted logic, training has still been something of a declining industry recently.

As Martin Fenton of Rapport Training explains, training in his specialist area of money has traditionally been provided by the motor finance and insurance companies – but, since the start of the millennium, these have been rationalising themselves.

‘Mergers and acquisitions has now resulted in fewer point of sale finance companies, and thus, less choice for dealers,’ he says. This, with many other changes in the industry, has led him to believe a number of key skills and disciplines have been lost.

‘It is apparent when I get involved in dealer car finance and general insurance training that regular and focused sales skills training is not being provided by the major finance companies on anything like a concerted and frequent basis.’

Yet, he says, such skills are MORE important now than ever – to maximise the revenue-generating upsale opportunities from POS finance, GAP insurance and so on.

Simply put, says Fenton: ‘Many dealers have lost confidence in promoting these – particularly since the advent of the FSA rules on insurance sales.’

These stipulated that car dealers must more clearly explain the various schemes on offer, especially on PPI schemes. It also made dealers check more closely that customers would be eligible to claim.

The close scrutiny of oral disclosures necessary for car dealers has made many hesitant to offer the products – hence the decline in a very profitable

source of income for many car dealers. With training from Fenton, he says, this can be reversed.

‘Training and development of staff is an ongoing process – in fact, the government has recognised that, during the economic downturn, the need to continue giving employees the skills they need is even more important.’ Thus, you don’t even need to stump up for the full cost of training yourself.

There are a multitude of government schemes and initiatives at the moment, which help offset or fully reimburse the cost of training programmes.

‘Government support is available in certain areas of the UK. In Yorkshire, for instance, up to 60 per cent of the cost of funding training can be accessed from The Enhancement Fund. A number of my clients have taken advantage of this,’ added Fenton.

For those who see the benefits but are struggling to make a financial case, a little investigation here could just make all the difference.

Such investigations may lead you to consider another route – apprenticeships. ReMIT Group can help here – the ReMIT Training arm partners up with local colleges nationwide to provide formal, structured motor vehicle apprenticeships. It’s the official training arm of the RMIF, and will ensure any apprentices you take on receive the very highest training from the outset.

And how do you find these employees? Well, by turning to ReMIT Recruitment. Just as Ford Retail, Inchcape, Lookers and Mercedes UK do, you can use them to snare the quality applicants needed to fill specific vacancies. Certainly a route worth considering.

There’s a lot to be said for another completely different form of training – getting not only the staff but the stock looking tip-top, too. And how to do this? Well, car care firm Sports Car Protection runs a special two-week professional ‘Dealer

‘If your team come to work excited, objectivedriven, believe in customer care and can no longer fear customer objectives, you’re one step closer to a firm better able to make money.

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Academy’ detailing course just for car dealers.

It gives, says boss Dave Bowerman, two gains: maximising sales margins and helping your cars really stand out from the competition.

It’s a bit of a no-brainer when he talks it through.

See, despite the power of the internet, customers will still shop around when it comes to the final deal. And this is where the condition of the car, not the price or the mileage, becomes crucial. If your motor is the one looking like it’s just come from a motor show stand, then that’s the one they’re likely to prefer.

The two-week course costs from £1,500 per employee for most car dealers – but prices are negotiable for groups of more than 10. What does it include? Well, everything. How to wash a

car without damage, correcting paint including wet sanding and scratch removal skills (saving on bodyshop bills?), applying paint protection systems, engine detailing, leather refurbishment…

‘Car dealers will even get a chance to try out almost every protection product we have in stock – including our £7,000 jars of Carnauba wax!’

With value for money in mind, all training is done in-house on your own stock. This on-site gig means there are no travelling or out-of-business expenses – and it also means all that stock gets an extra-special valet!

‘Dealer Academy is not about showing staff how to valet cars. Anyone can do that. It is about having the ability to achieve a finish on a car which is simply mind-blowing – with a standard that is far greater than any competitor.’

There’s much more to gaining skills than plain training, though. CIP Development Services runs >

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feature a ‘Continuous Improvement Process’, which promises particularly big efficiency gains in service departments. It works by handing over analysis of the business to its employees. A team of half a dozen, in a five-day programme, analyse various operations, and they themselves work out where time-savings can be made.

These teams are not from top brass, though.

‘We generally discourage having a member of management on the team, as the tendency then is for the other team members to agree with the manager’s comments,’ says director Ian Godfrey.

‘They are less likely to come up with as many good, innovative, ideas themselves for improvement.’

These teams will be led by someone outside the business – they give a new set of eyes on proceedings, and usually see many more improvement opportunities than ‘insiders’. Just make sure, says Godfrey, it’s someone trained to visualise potential alternatives.

All this leads to a set of processes that focus on specifics, and which can be continuously improved upon. Hence, Continuous Improvement Process, something that’s been deployed in more than 100 countries worldwide. You needn’t fear about forking out to undertake it, says Godfrey: ‘In every single instance, the costs of the exercise have been proved to be capable of being recovered within

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less than three or four months. What’s more, after that, profits increase accordingly, as well as customer satisfaction and overall efficiencies.’

That’s why he offers a profit guarantee: a full refund of the training programme if potential savings are NOT proven by those involved.

It’s a confident guarantee. ‘In one large operation with two vehicle workshops, it was proven that pre-tax profits – including profits on the additional parts sold through the two service departments as a result of the increased throughput from the same number of technicians – would increase by a little over £3.5m in the 12month period after completing CIP! Amazing.

Throw in follow-up reviews from the team leader on an ongoing basis, which often reveal even more savings, and Godfrey reckons it adds up to one simple headline: ‘The aggregate time saved will enable more vehicles per day to be serviced by that technician, without him actually working harder – just more effectively.’

Really, how can you argue? Indeed, how can you wonder about training as a whole? With the right buy-in from staff and management, it can help employees grow, help the business perform more efficiency and help you make more money in the process. All stats and evidence says that training does the job. Who will you choose to help in YOUR business? [CD]

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SURVIVE THE RECESSION! INCREASE AFTER-SALES PROFITS – GUARANTEED!

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9/10/09 09:32:44

wms cash ad - sept 09 v2.pdf 25/09/2009 10:26:04

Cash is King!

“AUTHORITY WITHOUT CASH WON’T PAY THE BILLS”

Turnover is vanity – profit is sanity… a saying that rings true for all dealership businesses across the UK. Now more than ever you need fast and efficient mechanical repair payments, warranty products the customer wants, and, support and training to help you generate revenue. WMS, Warranty Management Services, continue to set the benchmark as more and more dealers realise the commercial benefits of ‘value added’ products.

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The lifeblood of any business is cashflow… WMS has a real understanding of the challenges and pressures so many dealerships, repair and service centres cope with on a daily basis - particularly the ability to generate additional net profit from each sale – without hassle or complicated paperwork and red tape!

WMS have a dedicated team of business partners who are a vital part of the sale, implementation and delivery of a range of innovative and profit producing products and our sales support and training package will ensure that you receive FREE product & sales training for all customer facing staff.

Our relationship is with the whole of the dealership from prospecting to sales, from service to repair and of course after-sales and re-solicitation. We want to help promote the “drive for life” ethos and add to your customer’s experience in a positive way. We have spent years developing successful relationships with retailers and repairers throughout the UK and our ability to deliver help and advice to thousands of customers certainly bears testament to the team of experts in the bigger picture.

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A dealer can use a warranty to incentivise the customer to buy, everyone knows that; but it also provides the opportunity to build or maintain a relationship with that customer or prospect – it’s hard enough to get the customer through the door so you want to be in a position to maximise the sales and have a competitive advantage over the dealer round the corner or even the ‘private seller’.

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Our business partners demand and expect straightforward and fair treatment and we are winning more business as a direct result of our claims handling with priority always focused on; The Benifits Speed of claims payments – 24 hours for ratified claims Ease of use – dedicated numbers – dedicated engineer Qualified engineers who speak your language Straightforward and fair – quick decisions, no outstanding issues Labour rates agreed at inception – no future negotiation Bespoke policies – wear and tear can be included for qualifying vehicles

Used car warranty and associated products present real profit opportunities at the front end plus the benefit of additional revenue through customer retention and service work. But what about warranty repair work for supporting dealers and independent garages? We know the importance of receiving fast payment for fulfilling the financial protection and the peace of mind this brings when operating a warranty scheme – you want to be turning the jobs round quickly with satisfied customers who then recommend you.

The Promise

Of course we are proud of our growing reputation as ‘a dealer’s trusted partner’ but we are pleased that many dealers are using our reputation to strengthen their offering to the customer… with confidence, able to say we deliver an easy, transparent and seamless claims process designed; and proven, to return full and immediate payment for all ratified claims, no delaying tactics – just keeping our promises and keeping it simple!

Warranty Management Services, WMS, provide a range of profit making protection products to over 2000 dealerships throughout the UK and have a dedicated field force of 30 regional sales / training managers.

NO waiting 30 minutes on the phone trying to get through.

NO getting through to someone who clearly isn’t an engineer or isn’tt trained.

NO waiting goodness knows how long to be paid. Ratified claims paid in 24hrs

If you want to generate more cashflow please contact our Business Development Director; Eric Stone on 07789-682502 today

Vehicle Warranty | RTI | GAP

0844 477 4909 sales@warrantymanagementservices.co.uk www.wmswarranty.co.uk

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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

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right click

...in association with G-Forces

Shoot down those negative comments before they harm I

n a world where Tweets, forums and Facebooking have become part of daily conversation, advice famously passed on to Michael Corleone would serve businesses and automotive dealers well: Keep your friends close, but your enemies closer.

Word-of-mouth has taken on a different meaning and auto dealers need to be proactive in dealing with negative opinion. While a happy customer may recommend your company, an unsatisfied customer will fall over themselves in their hurry to share their displeasure and they’ll now do so via the largest soapbox available: the internet.

Before social media sites, information about a company was pretty much dictated by the company itself. Now there are thousands of sites offering users their own little ‘Hyde Park Speaker’s Corner’ for a huge audience to read and participate in.

Unhappy customers will try their hardest to slate you on the biggest soap box ever – the internet. G-Forces says you need to fight back...

From the latest pregnant celebrity, errors in last night’s episode of CSI to political quagmires, companies and services, it’s all up for debate.

Before brushing social media aside it’s worth noting that 67 per cent of global internet users visit member communities (source: E-consultancy 2009) and 77 per cent of active users read blogs.

A recent survey on the impact of customer care reputation on purchasing decisions found that 40 per cent of those surveyed turn to discussion forums and online rating systems to learn about companies’ customer care records. Potential customers are only ever an adjective away from finding the online conversation on your business.

This is something companies ignore at their peril, just ask Dell about Jeff Jarvis. In 2005 Jarvis, an avid blogger, had a problem with his Dell computer and contacted customer support. His complaints went ignored and he turned to his blog. His ‘Dell Hell’ struck a familiar chord with many of the firm’s customers who generated hundreds of comments and a ripple-like effect of blogs and posts about Dell’s customer care.

By 2006, when Dell started to look at their online reputation, they found that 49 per cent of online comments about them were negative.

For automotive dealers, online brand management is vital. This means monitoring the online ‘buzz’ and actively taking part in the conversation through the same portals your customers are using. This means dealers can not only prevent negative comments becoming widespread but can rectify complaints quickly and, in so doing, enhance online opinion.

Ensuring you make the most of your happy customers is just as important. One of our clients, a leading UK car supermarket, has a page on their

site dedicated to testimonials from satisfied customers. In this way, not only do visitors to the site find the videos, but potential customers searching for opinions on the company come across glowing, positive feedback first.

In a marketplace where consumers are spoilt for choice, your reputation for customer care can make all the difference in attracting visitors.

Stay in tune with the online conversation about your dealership, nip complaints in the bud, use the power of the web to spread the good word about your company and give customers more reasons to use your digital dealership over your competitors.

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If you’re paying more than that for your car dealer website then you need to talk to us. Car Dealer Web Design has built a clever system that puts YOU in control of your website, not some geek It’s easy to use, easy to understand and in conjunction with our partners HPI Dealer Exchange lets you upload your stock to loads of sales channels like eBay Motors, Auto Trader and Exchange & Mart. Sound too good to be true? Well, it’s not. Get n touch to find out how we can help you

E: info@cardealerwebdesign.co.uk BROUGHT TO YOU BY CarDealerIss20.indd 64

9/10/09 09:32:51

...in association with Really Good Domains

dot com

...in association with Really Good Domains

Don’t forget your van corner You don’t have to just rely on repeat business for LCV sales when promoting stock’s so easy, says Really Good Domains

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our light commercial vehicles section might not get a second look from car customers, but it remains a vital revenue stream for any self-respecting dealership.

Often overlooked when it comes to marketing, many van managers have to rely on repeat business from a loyal customer base however this needn’t be the case. Leading website TheVanWebsite. co.uk is experiencing a significant surge in interest for vans and van-related services as the country begins to emerge from the harshest recession in years. In fact, year-onyear, the website has experienced a 35 per cent increase in search engine traffic.

As consumer behaviour switches to using the internet when it comes to looking for cars, so too are the business and fleet markets when researching and purchasing new, nearly new, and used light commercial vehicles.

It’s important to grab a slice of this business and dealerships should actively look to advertise their light commercial vehicle stock – this is where TheVanWebsite.co.uk comes in.

With the largest user base in the industry, TheVanWebsite.co.uk can rightfully claim to be the most popular light commercial vehicle website in the UK. What’s more it also has a history, having served the sector since its inception in June 2004. Each month 200,000 people visit the website looking for deals on vans or using the comprehensive van services directory. Making it a very popular website where advertisers see real, tangible results.

The website has been designed to be simple to navigate through; there are three key sections that the user can access. Firstly the website has a section for leasing deals, this works in conjunction with market-leading

‘TheVanWebsite.co.uk is experiencing a significant surge in interest as we begin to emerge from recession.’ website ContractHireAndLeasing.com and works in much the same way.

Advertisers add deals which are then displayed in chronological order – the latest deal appears at the top of search results and slowly drops down the table as further deals are added.

The second section works in much the same way, with the notable difference being that deals are for outright purchase of new, nearly new, or used vehicles. In a nutshell, by adding deals to the website then this will generate enquiries, adding more deals will lead to more enquiries; it really is as simple as that.

The third and final section brings together a

comprehensive directory of more than 5,000 companies offering van-related products and services – things such as insurance providers, refrigeration conversion specialists, and ply-lining companies. Essentially the website is a hub for everything a van owner needs.

It’s also important to use a site which features highly in search engine results – how often do you click on to the second page of Google? Rarely, if ever, and that’s where TheVanWebsite.co.uk again scores highly, featuring at the top of hundreds of relevant search terms, it’s impossible to search for vans and light commercial vehicles and not come across the website.

The website also benefits from its obvious, memorable name and is heavily marketed across other Really Good Domains motoring websites, such as FleetDirectory.co.uk, RoadTestReports.co.uk and ContractHire AndLeasing.com.

Why you need to be ‘in’ with contract hire and leasing A

re you maximising your contract hire and leasing sales? Do you have preconceptions over who leases cars? And do you have preconceptions over which cars are popular in the contract hire sector?

With more than nine years serving the industry, ContractHireAndLeasing.com has the answers.

Since 2000, we have seen the contract hire industry grow from being a relatively niche sector of the motor trade to one maturing into a core area and this is set to continue – during this time the mix of buyers has both grown and altered. Previously the preserve of the business or fleet owner, around half of the users of the website are now personal deal customers, no

doubt tempted by the offer of fixing their motoring costs and in many cases having the ability to drive a brand new car for the first time.

This change in the make-up of the audience has had a significant impact on the types of cars popular in the contract hire market. Historically performance cars and executive saloons were the dominating segments in the industry, and while prestige marques are still very popular things have changed.

Now all segments are in high demand, with any vehicle that benefits from strong residuals a perfect contract hire model. Over recent months we have seen cars as varied as the Citroen C-Crosser, Smart

Fortwo, Audi TT, and Range Rover Sport feature as popular searched cars on the website, this has also been confirmed by advertisers on the site benefiting from strong sales performance.

One advertiser sold 10 Subaru Tribeca ‘because that’s all the cars we could get hold of!’ From the smallest city cars to the largest people carrier there is a large market for contract hire and leasing deals.

ContractHireAndLeasing.com is the backbone to this industry in the UK. Hundreds of customers enjoy the benefits of advertising to 500,000 monthly users.

For more details phone 0161 482 7650.

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online

...in association with Motoring.co.uk

...in association with Really Good Domains

Is Infiniti wasting money?

Search marketing – listing on sites like Google – are powerful, but only if used correctly, says Motoring.co.uk’s Terry Hogan

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earch marketing is now the largest provider of traffic to most automotive websites in the UK, and takes the highest proportion of spend.

But how many people actually track the results of the number of visitors and page views. What do consumers do when they visit your site? What do you want them to do, and how many of them do it? These are just some of the questions you should be asking yourself.

Motoring.co.uk has done a lot of research on this over the past three months, and the results are very interesting. Everybody wastes a portion of their marketing spend, but each pound wasted on poor search terms could be making you money and increasing your sales and profit margins. So how can you reduce this leakage?

Well, there are a few simple tips you can follow. But the first thing we would advise any site owner to do is to ask themselves these very basic questions: What action do I want my visitors to do, and how much am I prepared to pay if they do it?

Then track this action with a management program like Google Analytics or an in-house solution to see if enough people are doing it to justify your spend. How much do you make per enquiry? How many enquiries turn into sales? Are you making money? Once you can establish the answers to these questions, you are in business.

We would suggest many advertisers lose a considerable amount of money on their online marketing, but they don’t know it. Take the latest September Infiniti campaign on Google.

If you type in ‘new cars’ they appear number one pretty much every time.

Infiniti is number three in the paid-for listings in Google, but is the maker wasting its money?

‘In the wrong hands, search marketing is like giving a Glass’s Guide to a salesman on his first day and asking them to value cars.’

Yes, they get out in front of many ‘new car’ browsers, but what percentage of the market do they cover? Less than half a per cent of UK buyers buy from their already established competitor Lexus, so one would assume it would be safe to say 99.5 per cent of people won’t buy an Infiniti this year.

Does this mean they are wasting 99.5 per cent of their search spend? Well, not quite as there is clearly brand exposure, but at what cost?

Wouldn’t it have been

better to target competitors like Lexus and the German manufacturers than simply to say: ‘Hey, we’re here!’

Sites like Motoring.co.uk and other aggregators of cars are much better suited to mass market terms such as ‘new cars’ and ‘used cars’ as they cover the whole market. So it would be much better as an advertiser to spend money on visitors with an aggregator, such as Motoring. co.uk, as the website visitor can choose from a range of cars and then decide what to do. This consumer is much further down the buying cycle.

Search marketing is a fantastic tool, but in the wrong hands it’s like giving a Glass’ Guide to a salesperson on their first day, and asking them to value all the cars.

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'RZQORDG EURFKXUH ZZZ PRWRULQJ FR XN EURFKXUH CarDealerMag.co.uk | 67

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Wake up and smell the coffee!

Recession-proof your dealership and laugh in the face of your competitors with qualified, targeted sales leads that will reduce your costs and increase your new car sales.

Ad up your marketing and advertising Add costs and if you’re lucky you can talk to a prospective car buyer for £150. That’s a lot of your hard-earned profit margin poured down the drain.

We can supply your next customers for just £2.40. Yes, that’s about the same price as a Caffe Mocha!

r buyers said: Our survey of 43,207 ca new car Over 1 in 3 bought ane from a dealer in our twork ht a car Almost three quarters boug outside their area y within 1 in every 3 customers bu 2 weeks of enquiring for their 9 out of 10 buyers paid new car by cash use us 90% of buyers wreould again in the futu

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You don’t need an accountant to tell you that we can help you save money and gain massive advtanage over your competitors.

The figures speak for themselves.

Pick up the phone now and talk to us now before your competitors do.

0845 644 8220

9/10/09 09:33:09

e

servicing

in association with the Motor Industry Code of Practice

Car manufacturers backing the Code Just over a year in, and Motor Codes is enjoying the backing of some big industry players MOTOR CODES has celebrated its first year with a flurry of subscribers signing up for long-term commitments.

Indeed, growing numbers of carmakers are actually making Code membership part of their dealer arrangements!

Great news for Motor Codes director Chris Mason, who said the launch of the Motor Industry Code of Practice for Service and Repair last August is delivering ever-increasing levels of service.

‘Garages that have renewed are recognising the benefits to be obtained from subscribing to the Code, and wish to continue doing so,’ said our columnist.

‘This sends a clear message, both to consumers and those other businesses that have not yet realised the importance of demonstrating their willingness to do the right thing.’

Many carmakers are actually bulk-subscribing their entire networks. Ford of Britain customer service director, Andy Barratt, said the blue oval had led the way here.

‘Ford Authorised Repair Centres already meet, if not exceed, the Code, so they found it easy to embrace,’ he explained.

‘Most importantly, the motor industry now has a common standard to make the choice

Ford has backed the Motor Code of garage easier and to provide other valuable customer benefits.’

There are now more than 5,000 subscribers to the Code, which is right now passing through OFT Consumer Codes official approval. It has already passed the first stage of the approval process.

‘The fact that so many vehicle makers have renewed their commitment by bulk subscribing their dealers to a second year in the Motor Industry Code of Practice for Service and Repair gives a clear vote of confidence in the value to be gained by this industry-wide means of delivering consistent levels of customer service,’ said Kevin Todd, chairman of the Motor Codes customer service committee.

Not bad for a £75 subscription…

Why I signed up... Ferris Bros, Cardiff ANDREW FERRIS is chief of Ferris Bros in Cardiff. He has long seen the need for an independently run national quality scheme, such as Motor Codes.

‘The tabloid media has had the whip hand in painting an appalling picture of our industry for far too long,’ he said.

Sure, there are rogues, but some form of balance needs to be struck.

This scheme does just that.

‘It shows our customers we are not only technically capable, but also that we will deal with them in

a professional manner.’

There was no pain in implementing it either. ‘The Code has dovetailed directly into how we already function.’ If you’re a good garage already, says Ferris, then meeting the criteria is child’s play.

The logo is now on the firm’s stationary and promotional materials, advertisements and leaflects. ‘We advise all customers of our membership of the Code, and encourage them to complete the satisfaction survey available in the Brief Guide or on the Code

website.’ This provides really useful feedback for the firm.

Ferris has even used it to promote his business in entirely new ways. ‘We have been quite proactive in taking the Code to the local Institute of Advanced Motorists & Round Table, who were willing recipients of a short talk and Q&A session.’

Overall, says Ferris, the scheme shows the public there are businesses out there that operate in their best interests, adding he thinks it’s a ‘business no-brainer’.

Cracking the Code Chris Mason says it’s more than just a Code, it’s a hallmark of quality

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he Service and Repair Code has been successfully operating for just over a year now and already it is clear that those pioneering businesses who signed up – and in most cases re-subscribed for a further 12 months - no longer consider it simply as a compliance tool.

Those astute enough to recognise the benefits to be gained have embraced the Code as a valuable addition to their marketing toolkit and are seeing a return on their bottom line and credibility.

It’s pretty straightforward when you think about it – your subscription puts you in a better competitive position than other garages in your area that are yet to make the connection that the Code helps provide the trust that customers are looking for in a garage.

Promoting the fact that your garage commits to the industry minimum standard of operation clearly demonstrates you mean business and are proud about it. Others in your local competitive area that don’t or won’t, can’t compete with the levels of consumer reassurance you offer with the backing of Motor Codes.

And it’s not just your customers you need to show that spirit to – don’t forget that government and consumer bodies have got you in the spotlight.

Use the Code as your means to shape the future of the garage industry – as your hallmark of quality. Take the small step of subscribing and you can prevent costly administrative burden being administered by faceless officials outside of our sector.

To me it seems obvious I guess, but I don’t think it’s rocket science. Yes it’s a code of practice, but it means so much more. It offers you - and your customers - peace of mind. Sign up and show them all you mean business.

‘I don’t think it’s rocket science. Yes it’s a code of practice, but it means so much more. It offers you – and customers – peace of mind.’

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

19/12/08 16:58:00 CarDealerMag.co.uk | 69

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lawgistics

...Advertising feature

Doing warranties DIY style N

early half of all car owners reckon warranties are just not worth the paper they’re written on – something that Lawgistics’ Joel Combes says is hitting car dealers smack in the face.

‘Many insurance warranties,’ he says, ‘do not live up to the peace of mind they first promised.

And unfortunately, when a consumer becomes dissatisfied with their warranty, it reflects badly on the dealer or company providing it.’

This is why car dealers are increasingly calling upon the expertise of him and his firm to simply, says the Trading Standards expert, ‘deal with issues before they become complaints – rather than making them worse’.

How? With ‘Driver Options’. A product that allows car dealers to run their own warranties, rather than hooking in an external insurance firm. ‘It’s not something we set out to get involved in,’ says Combes. ‘But, as a legal firm, complaints about warranty firms from car dealers were coming up time and again.’

Warranties are generally so over-complicated, he says, many car dealers would be ‘much better off putting the money into their own accounts’.

A proposition he admits may initially scare some car dealers.

Have you thought about offering your own warranties?

So, to get your attention, Combes throws two headlines our way. ‘Car dealers who have switched from insurance warranties to Driver Options have saved more than two thirds of what they previously spent on warranties,’ he says.‘We also help them increase profit margins, without impacting on their professional image.’

After all, half of what warranty companies charge, he says, is for admin. So how do you do it?

Well, each time you sell a car, you also provide your own warranty, rather than an insurance warranty. The cash you save through not having to BUY a warranty, coupled with the cash the customer is GIVING you, are put into a separate fund. This pool of cash is then used to fund any warranty claims that may arise.

Hang on. That all sounds a bit too simple.

What about the legal side? How can you make

sure you’re not doing something that could see you in court? What about documentation for the customer? A-ha, says Combes, fear not…

Combes’ and Lawgistics’ expertise in the legal side ensure the products meet Sale of Goods Act and FSA regulations, throwing out a further concern about ‘self warranties’.

The company’s charging model works by you buying warranty books from them. These glossy brochures contain all the terms and conditions, clearly and LEGALLY laying out what everyone is signing up for – and can even be branded up with your dealer logos, to give the best possible brand recognition and coverage.

Genius? Well, so say more than 600 car dealers, who have saved thousands of pounds, and boosted customer satisfaction to boot.

Even if you don’t want to buy into the Driver Options product, Lawgistics helps out, with a series of free factsheets.

But it’s the savvy warranty offer that’s really getting dealers’ interest – and saving them big. What savings are on the table? Well, savings such as the annual £18k Wordsley Motor Company is enjoying, or the extra £4,500 in profit Kent’s West Car Sales is seeing! Interested?

Then get in touch using the details below.

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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...

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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

CarDealerIss20.indd 72

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,.

9/10/09 09:33:15

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...Advertising feature

Coming up with that Win-Winning formula A new distribution deal with a specialist dealer training firm adds to WinWin World’s already impressive offering

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inWin World’s bid to become the leading provider of specialist dealer showroom systems has taken another giant leap forward.

The firm has set up a distribution arrangement with specialist motor industry training consultancy iN3 Ltd which has experience of working with companies such as GM, Volkswagen, Volvo and Hyundai.

The iN3 team also specialises in delivering high-level motivational sales tools and techniques to automotive sales professionals.

WinWin provides a seamless ‘soup to nuts’ solution with WinIT providing showroom lead management, TrackIT stacking the deal, printing all the paperwork and producing the maximum profit possible, FundIT proposing the deal electronically to the finance providers and KeepIT providing award winning CRM designed to keep the customer in the loop for the aftermarket and that all-important next purchase.

Many providers of showroom and dealer systems will say that they have products and services that save on time or increase the chances of making more sales.

WinWin is very different – not only is its systems proven to save on overheads, but it is also proven to increase profit on a sale-by-sale basis. A true win-win!

Robert Purfield, of iN3, believes the WinWin software is a ‘smart move’ for today’s dealerships.

He said: ‘Many of the programmes we deliver are based upon accelerated learning principles.

‘This means they are designed to work with the human brain’s multiple streams of intelligence, tapping into the underlying belief that people always retain more if the learning is fun.

‘The WinWin software has been designed using exactly the same principles. For example, the WinIT lead management software has been built to a car racing theme with a number of

Robert Purfield, of iN3, has joined forces with WinWin World to further enhance its offering to dealers

‘With this software seeing is believing! You won’t find a more powerful suite of all encompassing, integrated software sales tools anywhere else.’

racing icons and animations to focus the sales person’s mind on winning the race – or securing the sale. iN3 is in the business of taking fun in business seriously and this theme underpins everything that we do.

‘With this software seeing is believing!

You won’t find a more powerful suite of all encompassing, integrated software sales tools than the WinWin suite anywhere!’

WinWin already has around 250 installed

dealer sites in the UK and with the iN3 team now in place they are set to roll out across the market rapidly. The software is available as a fully integrated package or each element can be purchased as a standalone.

WinWin has a very unique way of pricing its software products too, with each designed to increase sales and/or profits for the dealer. So as well as charging a fixed subscription coupled with up-front training and install charges, WinWin can also charge the dealer on a ‘per delivered unit’ basis. This option gives the company a real incentive to work with the dealer to increase sales and profitability.

Robert Purfield has put together a team of six account managers across the country, who will install the systems as well as train end users. In most cases a visit to the WinWin showroom in Tring, Hertfordshire is enough to convince prospective users. There the firm has a mock-up car showroom showing every aspect of the system.

If you are interested in finding out what WinWin can do for you, or want to become an agent, distributor or trainer for WinWin World, call (020) 7538 6688.

CarDealerMag.co.uk | 73 CarDealerIss20.indd 73

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Peering into the lives of the motor trade...

On The Spot Name: Paul Campion Age: 49 Work for? Fords of Winsford Job title? General manager How is your business made up?

One site – car supermarket with more than 1,300 used cars at any one time ranging £3,000-£30,000. One showroom – two owners.

Owned by? Graham Bell and Paul Ford.

What was your first job?

Apprentice parts advisor – John Wallwork Volvo Manchester.

So what got you into the motor trade?

It was always going to be either the building or motor trades – my dad was a joiner and he purposely put me off following in his footsteps – never looked back since!

What was the first car you ever sold?

A-reg Cavalier MKII 1.6L saloon in green – lovely!

What’s your best ever deal?

Getting my first job with Fords of Winsford.

How many cars do you sell a month? 700 plus.

What do you love about your job? The satisfaction that comes from giving the customer exactly what they want. It’s the whole package – the car, the sales process and the aftersales. It’s not rocket science.

Good old-fashioned customer service is the number one priority in my book.

What do you hate? Don’t much care for the word. Next question please!

What’s your best sales tip?

Show enthusiasm and do something extra for everyone who comes into your showroom – regardless of whether or not they buy. You’d be surprised at how many end up doing so.

What car would you buy for £30,000 and why (but it can’t be one you sell)?

Wouldn’t spend this kind of money on a car thanks – even though there are a some nice designs out there. Am just fine with my Fiat Multipla JTD. What car would you buy if money was no object? Got to be the Multipla! A load of room and economical – what more do you want?

What would be your best tip for someone starting in the motor trade?

Show enthusiasm, know your products and, most importantly, enjoy the experience.

‘Do something extra for everyone who comes into your showroom – regardless of whether or not they buy.’

Who do you look up to? My dad and a guy called Roger Taylor at Manchester Garages Ford. Between them, they set me up on the path I’ve since taken in the motor trade.

What is the biggest threat facing car dealers? One word – complacency. Failure to act in the face of the current volatile marketplace is the greatest threat to any dealership. Having a badge above your door is no longer enough – you have to go on reinforcing your standing in the marketplace – however small or large that might be – day in, day out. Consistent customer service is the key.

What’s the first record you bought?

Sweet Caroline by Status Quo – time doesn’t diminish its brilliance.

What magazines/newspapers do you read? Except for the business pages don’t really do the broadsheets – prefer something that gives me a giggle.

What is the most expensive thing you’ve bought after your house?

Family holiday in Dubai – fantastic place!

Have you got any ambitions? Probably to live somewhere where the winters are warmer!

What’s your mobile phone ringtone? At And finally... what’s your motto in life and business? Have it! the moment, Doctor Who.

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

@

74 | CarDealerMag.co.uk CarDealerIss20.indd 74

9/10/09 09:33:19

Motor Trade & Commercial Insurance

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Insurance Factory Ltd. Registered in England and Wales (No. 02982445).

IF_CarDealerMag_190x142.indd 1

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9/10/09 09:33:20

auctions BCA: We’re working to beat clockers BCA operations director Simon Henstock exclusively contacted Car Dealer Magazine to issue a response – following our story about a clocking car dealer online.

The firm was recently mentioned after a car dealer was sentenced for a huge car clocking scam (see story below right).

BCA was, it is important to note, totally exonerated by the judge.

However, Henstock was still keen to reassure Car Dealer Magazine readers that the firm is taking such fraudulent

BCA’s Simon Henstock

cases seriously.

‘Clocking is bad for all bona fide, legitimate businesses,’ he told us. ‘And BCA has made great strides to counter the damage that clocking does.

‘Our company has a long and well-established track record of working closely with all relevant organisations concerned with clocking – notably trading standards offices nationwide.’

The criminals themselves get short shrift. ‘We deal with clockers in the only way we can – we report them to the appropriate authorities and ban them from trading at our auctions – as has happened in this particular case.

‘We have had instances where leafleters acting on behalf of “mileage correction companies” have targeted the public car parks at our auctions and we make great efforts to stop this practice and deter them from returning.’

This led Henstock to further comment on the huge 1.2 million mile clocking scam. ‘We would never offer a car for sale with mileage correction service details on the windscreen and refute the defendant’s comment that these were on “most vehicles at auction”.’

Auction4Cars saves dealers £250,000!

Motorpoint’s no-fee, trade-only website is the ideal place to buy used car stock

AUCTION4CARS reveals it has saved car dealers £250k in auction fees – in just its first year of trading.

The Motorpoint offshoot says it now has more than 3,000 car dealer traders on its books.

They’re getting exclusive access to the firm’s 15,000-plus trade-in cars – and, as it’s a trade-only site, they can be guaranteed of no unhelpful retail-led influences.

The fee-free auction division is headed up by Neil Prescott, and has recently stated selling commercial vehicles alongside its wide-range of cars. The service has also extended to Burnley, after starting out in Derby.

The teams sell 400 cars a week between them – which has led Prescott to estimate a five-figure sales total under the new service this year alone.

‘Auction4cars has really taken the trade by storm since it was launched last year,’ he said.

‘It is clear from the volume of people who have registered on the site that

The Burnley Auction4Cars.com team has helped dealers save thousands

‘It is clear from the volume of customers that an alternative to the traditional car auction was wanted.’

Falls in used prices predicted FALLS in used car prices are on the horizon for the last quarter of 2009, warn price experts Glass’s.

Right now, they’re stable, after rocketing earlier in the year – but risk dropping as winter approaches, by around two to four per cent.

It’s a big contrast to spring 2009, says managing editor Adrian Rushmore, where the rises were ‘without parallel’.

They were caused, he says, by there simply being no cars out there.

‘The improvement in prices this year was largely due to the much lower level of used car supply,’ he explained.

‘It is apparent that the correction is complete – in other words, the trade price of a car, plus a dealer margin, now equals the retail price that customers are willing to pay.’

Now, a trend is emerging. ‘There are already signs that some dealers are

displaying vehicles with smaller margins in order to ensure that would-be buyers are not discouraged by price,’ he said.

That’s because retail sales are now expected to slow – a worry for car dealers who will have paid very high prices for stock.

At least there won’t be an excessive increase in used car supply caused by the 59-plate registration change.

This means the market is unlikely to destabilise – but even so: ‘There is now the threat of price falls for the first time this year,’ he added.

‘The balance of power may be shifting from seller to buyer for the first time.’

Mind you, as the usual fall during this period is eight per cent, it’s not going to be a complete disaster…

HPI Valuations’ View, p80

everyone was looking for an alternative to the traditional car auction, and in Auction4cars.com, we believe they have found it. Although it is still early days, we believe that based on current performance and level of interest, it has the potential to radically transform the way the trade buys stock.’

1.2m miles clocked!

DEALER Asif Seriwala has escaped prison – despite making 1,204,351 miles disappear in a year!

The Preston trader pocketed £10,000 from his scam. He bought 22 cars from BCA Preston, clocking them and altering the service books. Cops found garage ink stamps at his house.

At Burnley Crown Court, this earned him a suspended year-long prison sentence, 200 hours’ community service and £6,550 of costs to pay.

The Lancashire Evening Post reported how, in one instance, he bought a 185,000-mile motor – then knocked off a 105,000 miles. Prosecutors pointed out the ‘highly reputable’ car auction house ‘had nothing to do with what he did’.

Seriwala denied clocking the cars himself. Instead, he used mileage correction services, after seeing leaflets on car windscreens. In sentencing Seriwala, the Judge said he had done a ‘disservice to car dealers’.

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CAR DEALER SUPPLIER GUIDE ENTRY FORM The Car Dealer Supplier Guide is a great way to get your company’s details in front of our army of readers every single month. Submitting your

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78 | CarDealerMag.co.uk CarDealerIss20.indd 78

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Don’t be left out! Call Car Dealer on (023) 9252 2434

suppliers guide

IF YOU’RE LOOKING FOR A MOTOR TRADE SUPPLIER YOU CAN FIND THE DETAILS OF SELECTED COMPANIES HERE ACCIDENT MANAGEMENT WINN Solicitors T: 0800 917 8177 W: winnsolicitors.com E: solicitors@winn solicitors.com

ACCOUNTANTS Baker Tilly T: 01284 763311 W: bakertilly.co.uk E: ross.bartholomew @bakertilly.co.uk

AUCTIONS Auction4Cars W: auction4cars.com BCA T: 0845 600 6644 W: british-car-auctions.co.uk Paragon Remarketing W: paragonremarketing.com E: Contact@Paragon Remarketing.com

CALL RECORDING VoiceSafe T: 0845 421 5050 W: voicesafe.co.uk E: enquiries@c-a-solutions. co.uk

FINANCE Bridford T: 0844 815 8888 W: Bridford.co.uk E: sales@bridford.co.uk Black Horse Motor Finance T: 0131 311 2127 W: Blackhorse.co.uk E: michael.mcpartlin@ blackhorse.co.uk Info: Black Horse is the market leader for point of sale motor finance in the UK and has been supporting the industry for more than half a century. To find out what Black Horse can do for you contact us today.

Car Finance Company T: 0800 023 2440 W: thecarfinance company.co.uk E: Via website Clements Car Credit T: 08444 142100 F: 08444 142200 W: clementscarcredit.com E: tony@clementscar credit.com Info: Motor finance broker for car dealers, prime

E: paul.hanna@ aawarranty.co.uk Info: AA Warranty offers peace of mind to customers, with comprehensive cover for mechanical and electrical breakdown lasting up to three years. Full training is given to ensure you add value to your profile and profits. A range of Products are available, including mechanical breakdown, GAP, tyre, Key and MOT insurance. We provide telemarketing, data services and dealer finance.

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First Response T: 0115 946 6370 W: frfl.co.uk E: Via website

KEY TRACKING Keytracker T: 0121 559 9000 W: keytracker.com/cd E: sales@keytracker.co.uk

OILS Mobil 1 W: mobil1.com E: Via website

ONLINE ADVERTISING Compucars T: 0845 667 6000 W: compucars.co.uk E: Via website Motors.co.uk T: 0845 265 5502 W: Motors.co.uk E: sales@motors.co.uk Really Good Domains T: 0161 482 7650 W: reallygooddomains.com E: sales@reallygood domains.com Skupenet T: 020 8610 6103 W: skupenet.com E: info@skupenet.com Vansunited.co.uk T: 0845 265 5510 W: Vansunited.co.uk E: sales@ vansunited.co.uk

Online Trading Autotrade-mail.com T: 0870 2000 848 W: autotrade-mail.com E: sales@autotrademail.com Info: The UK’s leading online real time used-car trading network. The fastest place to buy and sell trade prime stock.

The most active site of its type. Over 4,000 dealers subscribe. The professionals choice. Run by dealers for dealers. The original and the best. Call for your FREE two week trial.

Warranty Management Services T: 01844 290536 W: warrantymanagement services.co.uk E: sales@warrantymanage mentservices.co.uk Info: Warranty Management Services offer a full range of unique products designed to increase profits. Bespoke programmes to suit your requirements and fit electronically into your sales process. With over 2,000 supporting dealerships throughout the UK, supported by 30 dedicated field managers delivering sales and FSA compliance training.

Car Text Services T: 0870 742 6655 W: cartextservices.co.uk E: Via website

TRADE BODIES Motor Industry Code of Practice W: motorindustry codes.co.uk

TRAINING FLA T: 020 7420 9613 W: specialistautomotive finance.org.uk E: Via website

WEB DESIGN

BlueRewards T: 0845 421 5050 W: bluerewards.co.uk/trade E: sales@bluerewards.co.uk

Rapport Training T: 07793 612401 W: rapporttraining.co.uk E: rapporttraining @fsmail.net Info: Specialising in car finance and insurance sales training for managers, owners and sales executives.

Our realistic and interactive approach to the learning experience helps increase both skills and profitability in these key business areas.

SOFTWARE

VALUATIONS

PROVENANCE CHECKS HPI T: 01722 435444 W: hpi.co.uk Apply at CarDealerMag.co.uk and register in the fold down corner tab

REWARDS

Dragon 2000 T: 0845 838 2000 W: Dragon2000.co.uk E: sales@dragon2000.co.uk WinWin World T: 020 7538 6688 W: winwinworld.co.uk E: callmenow@winwin world.co.uk

TEXT SERVICES

HPI Valuations T: 0845 300 8939 W: hpi.co.uk Apply at CarDealer Mag.co.uk and register in the fold down corner tab

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CarDealerMag.co.uk | 79 CarDealerIss20.indd 79

9/10/09 09:33:28

used cars HPI Valuations Top Ten BMW X6 confirms itself as the daddy of all 4x4s

T

he large 4x4 sector has come in for a lot of stick over the past 18 months or so.

Labelled ‘Chelsea Tractors’ by the press and slated by the green lobby, they stand accused of destroying the planet. However, it doesn’t have to be that way. Modern engines mean that today’s 4x4s tend to be far less polluting than their older counterparts. In addition, they are a very popular option for people in the city and the country, offering practicality, style and comfort.

Fortunately, the press has gone very quiet on the subject of late. Demand has risen once more, along with used values. The BMW X6, Land Rover Discovery 4 and Range Rover Sport make up the top three on percentage of retained value. However, when it comes to monthly depreciation, the Ssangyong Rexton, Nissan Pathfinder and Land Rover Discovery 4 are best on value, making Land Rover the top performer overall.

The average three year, 60,000 miles forecast for all cars is 32.5 per cent and the sector average is 32.4 per cent, so only the top eight model ranges are above average. The fact is that cars in this sector aren’t the best value when it comes to depreciation, but you do get a lot of car for your money.

Not enough stock to go round HPI’s Valuations expert, Martin Keighley, looks at the state of the used market

E

veryone is talking about the great stock shortage: How and why has the used market found itself so short of retailable stock? How long will the shortage last and what will be the long term impact on values?

The operators who have control over used car stocks, namely manufacturers, daily rental companies and fleets, are no longer managing the process in the usual way. In addition, kneejerk reactions when the recession first took hold have not been reversed as the economy has started to recover.

Over the past 12 months, manufacturers have reduced their used vehicle stocks to the bare minimum, using the scrappage scheme and a variety of special offers. They have also turned off the taps by reducing production of new vehicles, while reducing support for the daily rental industry in both numbers of vehicles and depreciation risk.

Manufacturers are still not supplying the market with enough fresh used stock and as a result, daily rental companies no longer have the regular volumes that would normally make their way into the used market.

Rental providers have also struggled to get finance to take on the extra risk of outright purchase of new vehicles. This means the rental sector is holding onto the vehicles they do have

...in association with HPI Valuations

Large 4x4 sector Rank

Model

Ranked by residual value % 1 2 3 4 5 6 7 8 9 10 Ranked by monthly depreciation cost 1 2 3 4 5 6 7 8 9 10

for longer and what was once a major supply of used car stock has been reduced to just a trickle.

This in turn has impacted on leasing and fleet companies, leading them to rely on extended contracts to ride out the residual value falls and avoid large back end losses. This means fewer end of contract vehicles coming to market. Leasing company disposals are slower than usual, with many vehicles now above average in terms of age and mileage. Added to this, dealers are taking fewer part exchanges, instead relying on the scrappage scheme to generate business.

Dealers just cannot find the right stock to sell, which means some, including franchise operators, will struggle to survive.

The used market suppliers appear to be lacking the confidence to step up production and start taking risks again, even though used values are back to something like sensible levels. If the tap was turned back on tomorrow it would still take months before used stock got back to anything like enough to match demand.

So it looks like the stock shortage is going to be with us for some time, meaning that used values will continue to rise and dealers compete with each other in an effort to fill their empty forecourt spaces.

Models in range

Average new price

Average RV 36(60) £

Average RV 36(60) % Monthly depreciation cost £

BMW X6 Land Rover Discovery 4 Range Rover Sport (New) Audi Q7 Porsche Cayenne BMW X5 Lexus RX Mercedes M-Class Volkswagen Touareg Mercedes R-Class

9 5 4 14 9 10 5 9 16 10

£50,654 £37,630 £53,645 £47,945 £53,670 £50,164 £47,277 £50,499 £40,024 £43,168

£21,372 £14,840 £19,231 £16,943 £18,536 £17,533 £15,950 £16,183 £12,591 £13,545

42.7 39.6 36.3 35.4 35.3 35.2 33.8 32.9 32.0 31.8

£813 £633 £956 £861 £976 £906 £870 £953 £762 £823

SsangYong Rexton 3 Nissan Pathfinder Land Rover Discovery 4 Nissan Murano Jeep Grand Cherokee Volkswagen Touareg VolvoXC90 BMW X6 Mercedes R-Class Toyota Land Cruiser

3 3 5 1 5 16 29 9 10 9

£22,162 £29,320 £37,630 £32,150 £33,500 £40,024 £38,537 £50,654 £43,168 £43,953

£5,100 £8,667 £14,840 £7,725 £8,090 £12,591 £10,528 £21,372 £13,545 £13,478

23.1 29.6 39.6 24.0 24.4 32.0 27.5 42.7 31.8 31.2

£474 £574 £633 £678 £706 £762 £778 £813 £823 £847

80 | CarDealerMag.co.uk CarDealerIss20.indd 80

9/10/09 09:33:29

...in association with HPI Valuations

Industry welcomes scrap extension

U

K car registration figures from the SMMT showed an 11.4 per cent rise for September – and it’s all thanks to scrappage.

The figures are the THIRD monthly rise in a row, and are a further boost to new car dealers.

Some 367,929 new cars were sold in the key sales month of September, as car buyers responded to the launch of the 59-plate new registration.

It’s stemmed the drop in year-to-date sales, to 15 per cent. So far in 2009, more than 1.5m new cars have been registered in the UK. This will have

many hoping the more pessimistic 1.6-1.7m annual sales estimates some spoke of earlier in the year are exceeded.

SMMT chief Paul Everitt said: ‘Market conditions remain challenging, with demand being underpinned by the extremely successful scrappage incentive scheme.

‘The extension of the scrappage scheme will help to sustain demand through the latter part of this year and into 2010. This will allow economic recovery to strengthen and safeguard

valuable industrial capability.’

Some 70 per cent of these September sales would NOT have happened in 2009 if it wasn’t for the scrappage scheme.

Ford’s Fiesta was top of the sales chart. Here, Car Dealer Magazine can reveal which cars sold best in the key 59-plate registration month.

Top 10: 1 Ford Fiesta; 2 Vauxhall Corsa; 3 Ford Focus; 4 Vauxhall Astra; 5 Volkswagen Golf; 6 Peugeot 207; 7 MINI; 8 BMW 3 Series; 9 Toyota Yaris; 10 BMW 1 Series.

SMMT sales data September / year to date

Figures supplied by SMMT

September

Year to date (YTD)

Marque

2009

% market share

2008

% market share

% Change

2009

%market share

2008

%market share

Abarth Alfa Romeo Aston Martin Audi Bentley BMW Cadillac Chevrolet Chrysler Citroen Corvette Daihatsu Daimler Dodge Fiat Ford Honda Hummer Hyundai Infiniti Jaguar Jeep Kia Land Rover Lexus Lotus Mazda Mercedes-Benz MG MINI Mitsubishi Nissan Perodua Peugeot Porsche Proton Renault Rover Rover MG Saab SEAT Skoda smart Ssangyong Subaru Suzuki Tata Toyota Vauxhall Volkswagen Volvo Other British Other Imports Total

212 1,978 160 15,117 99 19,526 8 2,955 681 13,688 1 284 0 773 11,712 54,553 14,750 0 11,031 24 3,360 560 9,778 6,587 1,786 54 11,289 12,690 61 8,634 2,287 16,142 85 18,440 472 146 10,354 0 0 1,093 5,628 6,301 1,268 152 863 5,371 0 21,179 41,255 28,181 6,192 32 137 367,929

0.06 0.54 0.04 4.11 0.03 5.31 0.00 0.80 0.19 3.72 0.00 0.08 0.00 0.21 3.18 14.83 4.01 0.00 3.00 0.01 0.91 0.15 2.66 1.79 0.49 0.01 3.07 3.45 0.02 2.35 0.62 4.39 0.02 5.01 0.13 0.04 2.81 0.00 0.00 0.30 1.53 1.71 0.34 0.04 0.23 1.46 0.00 5.76 11.21 7.66 1.68 0.01 0.04

41 796 216 16,355 153 17,860 61 3,416 467 12,284 1 1,077 3 598 9,818 44,631 12,460 15 4,970 0 3,608 660 4,875 4,907 1,894 88 9,506 14,777 9 7,116 2,482 12,417 70 18,057 561 149 10,454 0 0 2,186 4,072 5,099 1,015 53 652 5,868 0 18,840 42,727 27,176 5,453 92 210 330,295

0.01 0.24 0.07 4.95 0.05 5.41 0.02 1.03 0.14 3.72 0.00 0.33 0.00 0.18 2.97 13.51 3.77 0.00 1.50 0.00 1.09 0.20 1.48 1.49 0.57 0.03 2.88 4.47 0.00 2.15 0.75 3.76 0.02 5.47 0.17 0.05 3.17 0.00 0.00 0.66 1.23 1.54 0.31 0.02 0.20 1.78 0.00 5.70 12.94 8.23 1.65 0.03 0.06

417.07 148.49 -25.93 -7.57 -35.29 9.33 -86.89 -13.50 45.82 11.43 0.00 -73.63 -100.00 29.26 19.29 22.23 18.38 -100.00 121.95 0.00 -6.87 -15.15 100.57 34.24 -5.70 -38.64 18.76 -14.12 577.78 21.33 -7.86 30.00 21.43 2.12 -15.86 -2.01 -0.96 0.00 0.00 -50.00 38.21 23.57 24.93 186.79 32.36 -8.47 0.00 12.42 -3.45 3.70 13.55 -65.22 -34.76 11.39

973 7,135 936 72,385 625 74,229 105 14,792 2,086 53,838 36 2,080 17 2,111 42,294 249,076 60,836 44 40,578 24 13,948 1,825 34,777 22,074 6,252 355 36,058 53,645 265 29,790 8,599 57,447 432 79,172 3,894 773 41,365 0 0 6,656 22,773 25,412 6,138 666 2,745 22,647 0 79,954 187,892 122,501 23,180 640 964 1,517,039

0.06 0.47 0.06 4.77 0.04 4.89 0.01 0.98 0.14 3.55 0.00 0.14 0.00 0.14 2.79 16.42 4.01 0.00 2.67 0.00 0.92 0.12 2.29 1.46 0.41 0.02 2.38 3.54 0.02 1.96 0.57 3.79 0.03 5.22 0.26 0.05 2.73 0.00 0.00 0.44 1.50 1.68 0.40 0.04 0.18 1.49 0.00 5.27 12.39 8.08 1.53 0.04 0.06

73 5,082 1,369 83,930 1,359 93,021 157 15,834 5,239 68,212 12 4,383 29 3,309 46,681 264,455 72,482 159 24,048 0 17,046 3,645 26,389 28,958 8,807 567 42,171 63,383 9 34,810 14,343 58,121 513 100,943 5,063 1,234 79,091 2 3 13,538 24,463 31,222 5,940 532 4,078 23,099 1 90,946 248,281 147,544 27,301 815 1,727 1,794,419

0.00 0.28 0.08 4.68 0.08 5.18 0.01 0.88 0.29 3.80 0.00 0.24 0.00 0.18 2.60 14.74 4.04 0.01 1.34 0.00 0.95 0.20 1.47 1.61 0.49 0.03 2.35 3.53 0.00 1.94 0.80 3.24 0.03 5.63 0.28 0.07 4.41 0.00 0.00 0.75 1.36 1.74 0.33 0.03 0.23 1.29 0.00 5.07 13.84 8.22 1.52 0.05 0.10

% Change

1232.88 40.40 -31.63 -13.76 -54.01 -20.20 -33.12 -6.58 -60.18 -21.07 200.00 -52.54 -41.38 -36.20 -9.40 -5.82 -16.07 -72.33 68.74 0.00 -18.17 -49.93 31.79 -23.77 -29.01 -37.39 -14.50 -15.36 2844.44 -14.42 -40.05 -1.16 -15.79 -21.57 -23.09 -37.36 -47.70 -100.00 -100.00 -50.83 -6.91 -18.61 3.33 25.19 -32.69 -1.96 -100.00 -12.09 -24.32 -16.97 -15.09 -21.47 -44.18 -15.46

Get these figures first every month! New car sales figures revealed at CarDealerMag.co.uk on the fourth working day of every month.

CarDealerMag.co.uk | 81 CarDealerIss20.indd 81

9/10/09 09:33:30

tail light

Sub-Prime Time I

t’s been widely speculated for some time that the well-known phrase ‘change is as good as a rest’ is likely to have fared quite badly during the current economic difficulties.

The Axiom Review Board meets once a year at the beginning of every April, and the expected outcome of their next review is to downgrade this phrase from an axiom to a mere expression.

However, it’s also believed that the inner circles of this august body are considering elevating the well known phrase ‘change is the only constant’ to that of a ‘universal truth’, and in 2010 it will join other axioms that have achieved this premier status such as ‘he who laughs last, thinks slowest’, ‘hell hath no fury like the lawyer of a woman scorned’, and ‘for every action, there is an equal and opposite criticism’.

The point I’m hoping to make (and there actually is a point to this apparent nonsense) is that we’re always looking for ways to improve, overcome an unexpected event or get the most out of a new situation; change really is the only constant.

However, the past ‘universal truth’ noted above, i.e. that every action has an equal and opposite criticism (while trying to be amusing) also holds true and anyone who has ever tried to implement change without sufficient thought to the individuals who will be affected by it, will know this only too well.

Over the last six months or so, I’ve been trying to highlight the amount of change that is taking place and is going to take place in our industry (using my own market as an example). There’s a significant need to recognise and acknowledge this, that each business should perform their own individual reviews and analysis in relation to these industry changes, and that this analysis should provide the basis of an action plan

‘I can’t stress enough that there’s a clear need to embrace change, but I must also stress the need to put time and effort into planning it.’ that will allow each business the opportunity of flourishing over the coming five years or so, and I suppose I’m making an assumption that every business, large or small, is currently engaged in a change programme of some degree.

Now I’m raising a new cautionary note. Making change happen isn’t easy (at least doing it well isn’t), and while I can’t stress enough that there’s a clear need to embrace change at this time, I must also stress the need to put loads of time and effort into planning for it.

Clearly, there is a need to engage and communicate with as many relevant parties as you can during the planning and early roll-out phase to help overcome the ‘equal and opposite criticism’ from those not directly involved, and we need to face up to another universal truth that ‘nobody likes change’.

But if we provide open and honest reasons as to why change is taking place, people are more often than not prepared to accept it’s inevitability, allow a few early teething problems and actually move more quickly to a new (however brief) status quo.

is chief executive officer of First Response Finance. For Who is Don Brough? Don more information visit www.frfl.co.uk or call 0115 946 6370

CarDealer.

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82 | CarDealerMag.co.uk CarDealerIss20.indd 82

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0115 946 6370

Many Happy Returns 17% of our business comes from returning customers – and we always encourage people to visit the same dealer for their next vehicle (or point them towards a supporting dealer from our network).

To help your business benefit from our many returning customers, join our dealer network by calling 0115 946 6370 today.

First Response Finance Limited, Chetwynd Business Park, 5 Regan Way, Chilwell, Nottingham NG9 6RZ

CarDealerIss20.indd 83

9/10/09 09:33:32

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218_Car Dealer Scrappage CarDealerIss20.indd 84 Scheme 1 1

7/10/09 09:33:33 16:12:19 9/10/09