CarDealer. Issue 21 | December 2009 | CarDealerMag.co.uk | £3.50
[ SALES FIGURES: October’s new car registrations p65 ]
Driving the future of the motor trade
RoadofTest 2009 the
Year
Mitsubishi EVO X
Ford Focus RS
Jaguar XFR Nissan GT-R
Audi R8 V10
OUR FAVOURITE CARS OF THE YEAR HEAD-TO-HEAD FOR THE FIRST TIME
I N A S S O C I AT I O N W I T H
Ewards 2009
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autotorq.com
Bangers 4 Ben II Runners and riders for our annual charity extravaganza
2009 EWARDS RESULTS SPECIAL ARE YOU AMONG THE WINNERS? 6/11/09 10:04:14
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start Issue 21 | December 2009
FOR this year’s Ewards we did things slightly differently. To pick the Web Innovation winner – one of the five Ewards categories – the judging panel got together at headline sponsor Autotorq’s HQ and had a good old debate. The sites the different judges picked were absolutely fascinating and all were real eye-openers as to the leaps in innovation being made online. But what really got my brain ticking over was a discussion I had with Autotorq’s Clive Jackson and Stewart Niblock while we were tidying up after the judges had gone home. The subject? Google – and its plans for world domination. Ok, so maybe not world domination exactly, more specifically what the search giant’s plans for expansion could mean to car dealers. Just think about it for a minute. Google enjoys by far and away the lion’s share of search. That means more of your potential buyers are likely to use Google to find you than any other search engine. If you’re not on Google, you’re not going to be selling many cars any time soon. However, it’s what’s next for Google that really got me thinking. Clive and Stewart suggested the giant might one day not just want to facilitate consumers’ search, but to offer them the end product too – actually sell the things its users are trying to find.
And when you think about it that makes a lot of sense. Yes, Google currently makes billions from companies paying it to put their firm’s listing at the top. But what if when a buyer typed ‘Ford Focus’ in it guided that buyer towards its own Car Dealership? Scary, eh? But it goes deeper. What if Google wanted to start taking a slice of the sales it helps facilitiate too? It helps a car buyer find you, so why can’t it be paid commission like a broker? This makes even more sense. There are hundreds of brokers putting buyers in touch with sellers every day and this, at its very basic level, is exactly what Google already does – it just doesn’t take a cut. Yet… The more you think about it the more worrying it becomes. After all, Google revolutionised search and, in a lot of respects, the internet, when it arrived on the scene – what’s not to stop it taking car retailing to the next level too? Our Eward experts discussed what they thought the future holds for car dealers online at our judging day too and their thoughts will be printed in our next issue along with a very exciting launch for Car Dealer… In the meantime, turn to page 40 to find out who won this year’s Ewards. RTOTY THIS month we’ve pitched our favourite cars of the
past 12 months against each other in the head-tohead we like to call our Road Test of the Year, or RTOTY for short. All made their first appearance in showrooms in 2009 and have in one way or another set our world’s alight. The Car Dealer team (and friends), pictured below alongside their favourite motors, headed to Wales for four days for the test. If you kept up-to-date with our editors’ blog you’ll know it was an eventful occasion, involving feral children scaring us in a quarry while we took the stunning pictures. If you get bored look back at our posts at CarDealerMag.co.uk – they’ll make you smile. CHARITY CHALLENGE BANGERS4BEN will have just happened by the time this issue lands on your desk, so to find out how it went ahead of next month’s mag, log on to Bangers4BEN.com. There you’ll find blogs on the event and news on the teams taking part. In this issue we take a look at the runners and riders in more detail (p6). Their wacky plans make interesting reading!
James Baggott, Editor
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Bangers4BEN
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Volvo’s big plans
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Vauxhall sale U-turn
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Lexus tops mag poll
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Tokyo Motor Show
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Big Mike
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On the Spot
Issue 21 | December 2009
The runners and riders taking part in our charity challenge Marque looking to expand
What next in GM soap opera?
‘Some we’ve all driven, some just one of us have experienced, and others have been victors in road tests this year, but all are here for one reason: We love them.’
...and the dealers that came last Deputy ed reports from Japan The big man’s getting the decs out Auction4Cars’ chief in the hot seat
[RTOTY: Page 22]
forecourt
22
RTOTY
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New Vauxhall Astra
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Cult Car: Bentley Flying Spur Sales Legend: Fiat Uno
Our five favourite cars of 2009 head-to-head on Welsh roads
The reason GM changed its mind?
38
features 40
Ewards 2009
42 44 46 49 50 53 55 57 58 59 60 64 65 66
Franchised Winner Independent Winner Car Supermarket Winner Car Maker Winner Web Innovation Winner Meet the judges Right Click Dot Com Servicing Online Auctions HPI Valuations SMMT sales figures Sub-Prime Time
The wait is over... find out who’s won our gongs in this year’s big event
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FOLLOW OUR TRIP A
Bangers4Ben II
rattle commence
Let
BANGERS
4BEN MK II
Car Dealer’s crazy dash to John O’Groats in £250 bangers is happening all over again, but this time there’s a few more people taking part...
B
y the time you read this, our mad-cap Bangers4BEN rally will already have taken place, but before our report on the event in next month’s magazine, here’s a look at the teams taking part…
Banger must-have? Whatever we get must be works-prepared so we don’t break down and can then sell it on for as much money as possible. Simple needs for simple minds.
2. The Big BEN Banger 1. Car Dealer Magazine Identifier code: CDM Team members: James Baggott, editor; Duncan Chappell, commercial manager Representing: The greatest automotive industry magazine in the world. Probably. Plan of action? We don’t plan. We leave things to the last minute. Panic. Ask people to help. Then beg people to help. And if that doesn’t work promise them lots of nice publicity in exchange for their help.
Identifier code: BEN Team members: Kirsten Galvin, head of marketing; Emily Bird, press and communications executive Representing: BEN Plan of action? We are both really excited and as long as we make it out alive and preferably unscathed
will consider that a successful mission. In all seriousness though, we want to make sure that everyone involved knows what a wonderful thing they are doing for BEN and how grateful we are. Banger must-have? Air con, leather interior, DVD player, revolving shoe rack, ejector seat, hot tub, butler and mini bar.
3. Bluecycle Online Salvage Auctions Identifier code: BLU Team members: Piers Wilson, head
of market development; Stuart Atkinson, marketing consultant Representing: Bluecycle Plan of action? Avoid breakdown recovery vans, make it back safely and enjoy the ride. We’ll be watching out for the wild Haggis and eating as many local delicacies along the way. Above all, we’re looking to raise loads of money for BEN and be the first team home! Banger must-have? Four wheels, an engine, comfy seats and an MOT! Plenty of headroom for our big hair and room in the boot for our poor taste in cardigans.
4. SportNetwork Cima Racing Identifier code: SCR Team members: Phil Huff, motorsport editor; Juliana Anderiesz Representing: SportNetwork Plan of action? Play fair all the way only utilising bribery, sabotage and malevolent behaviour where absolutely necessary or advantageous. And making sure we have spare fuel and oil, and a supply of spanners in the boot. A supply of body-coloured duct tape is always useful.
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Banger must-have? A luxurious barge with more than four cylinders is essential, and a bit of motorsport pedigree would never go amiss. Oil leaks of less than a litre per thousand miles would also be nice, but not vital.
5. GForces Web Management Ltd Identifier code: GFR Team members: Jamie Dixon, sales director; Paul Hilton, business development manager Representing: GForces Plan of action? We haven’t really talked about our driving strategy yet but I think it will involve plenty of coffee, music and try not to kill each other! BEN is a great charity so we’re really proud to be able to support it in this way. Banger must-have? A decent clutch, no oil leaks, a spare tyre, a charge point for the sat nav, a CD player and, if we’re lucky, cruise control!
6. Where to mate? Identifier code: GRS Team members: James Schofield, buyer; Julian Pullen, procurement manager Representing: GRS Plan of action? Pot Noodles and a travel kettle! Seriously, we’ll be taking it in turns to do the driving, while we make sure that we Tweet as much as we can. We want to keep people up-to-date with our progress as much as possible. Banger must-have? Something as highly spec’d and as comfortable as possible! For BEN, we want something that’s going to be good value, reliable and provide as much money at the auction as possible.
7&8. Impossible Dream 3 and Possible Dream 3 (two teams) Identifier code: ID3 & PD3 Team members: Impossible Dream 3: Andrew Lowerson, European product planner; Gareth Dean, PanEuropean product PR; Dean Hayward, European product planner. Possible Dream 3: Vikki Hood, PR executive; Rebecca Eatwell, service programmes executive; Terry Smith, sales and business planning executive. Representing: Honda Motor Europe & Honda UK Plan of action? We plan to demonstrate the immortality of 1980’s Hondas, aided by Radweld, gaffa tape and heroic optimism. We’ll adopt a smooth and steady driving style to ease the load on our ‘previously enjoyed’ Hondas. Given that the brakes haven’t been serviced
since about 1995, we don’t really have a choice in the matter... Banger must-have? A distinctive, wedge-shaped design married to class-leading performance, handling and accommodation. Not to forget a blown exhaust, superficial rust and large quantities of cat-hair.
9. HyRollers Identifier code: HYR Team members: Mike Askew, bon viveur; Tom Barnard, PR manager Representing: Laika Creative and Hyundai UK Plan of action? Hyundai has had a spectacularly successful year, so we thought we deserved a little luxury to celebrate. We’re sure we will be the most comfortable while we wait for the RAC on the hard shoulder. Banger must-have? We knew the car we wanted, but left it until the last minute to make a purchase because this particular model is very sought after and rare. We kept missing them and had to take what was available!
10. Green Machine Identifier code: BGM Team members: Malcolm Greig, MD; Garry Hammond, aftersales director Representing: Ben Greig Motors Plan of action? As a Vauxhall repairer banger must be a Vauxhall. Take company credit card to cover expected breakdowns and co-driver with years of experience maintaining Vauxhalls. Make sure we keep our sense of humour as and when things go wrong. Banger must-have? Four wheels, an engine and working CD player for the road trip soundtrack. Also the trader’s holy grail of non-existent trade value and great retail potential would be nice...
11. Welwyn Dowed Identifier code: MVW Team members, job titles: James Sawyer, technician; Nick Woolley, aftersales Representing: Marshall Welwyn Garden City Plan of action? The plan is to make it to the start line first of all. And then, reach the finish line. The bit in between will be a lot of luck. Banger must-have? A good sound system, heating, plenty of room in the back to relax and sleep if not driving and lots and lots of cup holders. Most importantly it needs a tow rope, lots of water, oil and a job lot of Radweld.
12. Huttons Henchmen Identifier code: MTM Team members: Andrew Kurland and Michael Westwood, technicians Representing: Marshall of Knebworth Plan of action? Power and Red Bull. Banger must-have? A full five-star EuroNCAP crash test rating, 500bhp, turbos, dump valve, wheels and a nice comfy seat. It may also be useful to have room in the boot for a bodybag…
13. Team Mad Cow Identifier code: CJD (Chrysler, Jeep and Dodge... hence the team name) Team members: Ian Andrews, service driver; Luigi De Luca, tyre bay manager Representing: Marshall Chrysler, Jeep and Dodge Plan of action? Beg borrow and steal our way through the three days and hopefully raise as much money for BEN as possible. Banger must-have? Obvious qualities such as reliability and comfort wouldn’t go amiss. We plan to call the car ‘Flattery’ as she’ll probably get us nowhere!
14. Motoring.co.uk Identifier code: MOT Team members: Chris Green, sales director; Terry Hogan, development director Representing: Motoring.co.uk Plan of action? To laugh out loud at whatever our banger of a motor throws at us on this intrepid journey into the unknown. Banger must-have? Vispring Dirk Technics.
15. Pentagon Toyota Identifier code: PTO Team members: Richard Toyne, workshop controller; Neil Henderson, IT manager Representing: Pentagon Toyota Plan of action? We intend to wake early in the morning, allowing ourselves two hours to start our banger. Then it’s onwards on our long journey. Naturally we’ll need lots of fuel for such a trip… crisps, chocolate and fizzy energy drinks should do the trick! Banger must-have? Reliability is the essential attribute our banger must have so naturally there was only one choice available – a Toyota! It must be reliabile, have a hard-working engine and comfort. Four wheels is a bonus.
16. Really Good Domains Identifier code: RGD Team members: Dave Timmis, MD; Richard Lawton, marketing and PR manager Representing: Really Good Domains Ltd Plan of action? Steely eyed determination and indomitable spirit are just two of the key strengths that the RGD team will hope to bring to the event – that and an ‘egged’ up car! Plenty of coffee will also be on the plan of action – somewhere. Banger must-have? An engine, at least four wheels, working windscreen wipers to clear the snows of northern Scotland and, most important of all, two cup holders. Something with a bit of style, panache and road presence would also be nice. >
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Bangers4Ben II 18&19. Shine!® & SMART Repair Cover Identifier code: WAX & SRC Team members: Paul Normyle, MD; Jo Normyle, opps director Representing: Shine!® Plan of action? This is the second run out for Team Shine!® this year, (European Cannonball in July), that experience should prove to be the perfect warm-up for this, the ultimate road trip challenge of ‘scrappage scheme dodgers’. Banger must-have? Any road trip deserves a suitable ‘road trip bag’ consisting of essential items to draw upon in an emergency 1. Pro Plus 2. Red Bull 3. Pringles 4. RAC card, and finally, 5. A copy of Car Dealer to read while we wait!
20. Team Toyota Identifier code: TGB Team members: Scott Brownlee, general manager press and public affairs; Christian Skelton, Scott’s stepson Representing: Toyota Plan of action? Not to get wet or cold. Banger must-have? A working cassette player.
21. Toyota Team Twits Identifier code: TTT Team members: Daniel Taylor, assistant sales manager; Craig Lacey, general sales manager Representing: Inchcape Toyota Guildford Plan of action? Not to get lost and live to the end as Daniel is getting married a week later. Banger must-have? Cheap, unreliability and bad looks.
22. Used Car Expert
24. Poole Audi
26. Land Rover Cambridge
Identifier code: UCE Team members: Matt Tumbridge, editor and publisher; James Ruppert, columnist and Bangernomics guru Representing: Used Car Expert Plan of action? Team Used Car Expert intend to drive smoothly and carefully, coaxing our ‘banger’ up and down the UK with a gentle touch, ensuring it is in excellent condition for its next owner, who will doubtlessly spend thousands on it at auction. Such an owner will also want to know the car has pedigree, so we will also absolutely thrash the nuts off it round the race track. Banger must-have? Cruise control, full leather, electric seats, auto boot opening, auto gearbox, electric windows, and gravitas.
Identifier code: PAQ Team members: Chris Ryu, marketing specialist; Russell Whittam Representing: Poole Audi Plan of action? I figure that the key to success is all about finding the right car. If we find the right car from the outset then the journey is sure to be much easier. So when making the drive in our ultra-reliable machine, the only thing we will have to worry about, is how towing our competition is going to affect our fuel economy! Banger must-have? Well, being an Audi dealer we really need to buy an Audi. Our £250 ‘banger’ will not only be representing Poole Audi, but the entire Audi brand and so our choice has to be reliable, it has to look great and have a better resale value than what we paid.
Identifier code: MLR Team members, job titles: Alan Ryan; Mick Maxwell, technicians Representing: Marshall Land Rover of Cambridge Plan of action? Slow and steady and to drive over things if they get in the way. Banger must-have? High driving position, huge turning circle, no power steering, driving seat offset to the right, max speed 51mph, 0-51 time of more than 25 seconds.
23. Warranty Wizards Identifier code: WMS Team members, job titles: Eric Stone, sales director; Mark Laws, senior area manager Representing: Warranty Management Services Plan of action? We intend to use every gear we have available to get to John O’Groats. 1-2-3-4-5 and reverse but not necessarily in that order. We will use Sat-Nag device with our wives’ voices to stop us getting homesick. Banger must-have? Preferably four wheels and at least one seat for driver. Perhaps a windscreen and drag anchor for emergency stops. Starting handle, eight-track stereo, fluffy dice and nodding dog essential and, of course, a fully comprehensive Warranty Management Services used vehicle warranty to cover mechanical breakdown!
25. Brainy Bunch Identifier code: BOO Team members: Ryan Purchon, service driver/valeter; Andy Baker, technician Representing: Marshall Honda of Hull Plan of action? Fast and Furious mark II, version 1.2a to scale – on a good day. Banger must-have? It starts and stops, oh and goes. Windows that open. Some Top Trumps in the glovebox. V12. Curb appeal. Not a lot really.
27. Destruction Danny & Dave Identifier code: DDD Team members: Danny Densham, technician; David Hewick, master technician Representing: Marshall Peugeot of Peterborough Plan of action? To actually finish and to do it in style! Banger must-have? Loud and proud. Five-star luxury.
Find out how the teams got on by logging on to our website – Bangers4BEN.com. There you will be able to check out the teams’ exploits and a Twitter feed from all the participants.
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Insurance
cover notes
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THE GENUINE ARTICLE $RIVEAWAY COVER FROM !VIVA IS UNDERWRITTEN BY !VIVA )NSURANCE 5+ ,IMITED 2EGISTERED /FFICE 3URREY 3TREET .ORWICH .2 .' 2EGISTERED IN %NGLAND .O !UTHORISED AND REGULATED BY THE &INANCIAL 3ERVICES !UTHORITY &OR THE PURPOSE OF THE $ATA 0ROTECTION !CT THE DATA CONTROLLER IN RELATION TO ANY PERSONAL DATA YOU SUPPLY IS !VIVA )NSURANCE 5+ ,IMITED &OR OUR JOINT PROTECTION CALLS MAY BE RECORDED AND OR MONITORED #OVER NOT AVAILABLE IN . )RELAND !GE RESTRICTIONS APPLY !VIVA MAY DECLINE TO QUOTE FOR THE ANNUAL POLICY IN SOME CIRCUMSTANCES MEANING THAT THE DAYS´ COMPLIMENTARY COVER CANNOT BE GIVEN /NLY ONE DAY FREE POLICY IS PERMITTED PER CUSTOMER PER VEHICLE REGISTRATION NUMBER #ALLS WILL BE CHARGED AT LOCAL RATE AND MAY BE RECORDED AND OR MONITORED (0) AND THE (0) LOGO ARE REGISTERED TRADEMARKS OF (0) ,IMITED (0) IS A 3OLERA COMPANY $EPENDENT ON VOLUMES
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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 benet 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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dashboard
Volvo looking to expand network ...but not before profitability levels and volumes are addressed, says director VOLVO is planning to expand – but not before profitability levels have been addressed, a director has told Car Dealer. Kevin Meeks, network and business development director at Volvo Car UK, said that growth has to be ‘organic’. ‘We’re at 103 sales sites at the moment and we’d like to expand that,’ he said. ‘We want to expand the network, but don’t want to do that before the profitability is there and the volumes too. ‘If you look back a few years ago the Volvo network wasn’t making money, dealers were unhappy and the relationship was strained. But we put in place a plan to fix the individual problems one-by-one and our ratings in the NFDA survey show that it’s working.’ Meeks said Volvo has taken a number of steps to keep dealers happy including looking at stock levels and demonstrator requirements. ‘I don’t want a dealer to be spending what
103
...current number of Volvo dealerships in the UK
I would call dead money. If they are spending money to build the brand or to sell a car, great, but if they are spending money to keep a car in stock or maintained it’s not doing anybody any good,’ he said. The carmaker has also addressed interest charges as well as DMS requirements to help dealers in these tough economic times. It has even come up with an innovative
Burgess Just checking Have some dealers lost their appetite for scrappage? Volvo director Kevin Meeks parts sharing scheme where dealers can borrow expensive servicing equipment when they need it, rather than every dealer having to shell out on the same tool. ‘We’re looking at working on the wider picture on what we can do to help,’ added Meeks. And he believes the manufacturer is certainly seeing the changes are making a difference to a once-strained dealermanufacturer relationship. ‘In about 1996 we were 33rd of 34 manufacturers in the NFDA survey in terms of value of the franchise. It’s taken a while, but we are now up to 10th in the overall value of the franchise,’ he added. ‘We’ve still got some work to do and the job will never be finished, but for dealers to say they’ve got that sort of relationship with us is evidence to me that we’re adopting the right sort of processes.’
JAMES BAGGOTT
Honda dealer opens in shopping centre HONDA has opened a dealership in the middle of a shopping mall at Chatham Maritime. The dockside shopping centre now houses a 2,500 sq ft prime-position car showroom. It is operated by G&M Motors. Dealer principal Ian Gay says the new development is an innovative solution to his firm’s increased focus on customer needs. Pants? Check. Coffee? Check. Honda Jazz? Check
It wanted to make buying cars as easy as possible for customers – so what better way of doing this than to take the cars to the shoppers! G&M’s marketing agency said: ‘It provides the opportunity to interact with the lucrative commuter and family focused profile which frequents the centre.’ The Chatham Maritime dealer will complement the firm’s more traditional site in Gravesend, which serves ‘an older blue collar profile’. How did G&M justify it, though? Gay said it was ‘the culmination of 18 months work analysing and monitoring the surrounding area’. The firm did this by running a series of test campaigns and events to ensure there was sufficient demand in the area to support a new site.
T
he good news is that the government has boosted the scrappage scheme by £100m, offering retailers another chance to lure customers back to the forecourt. The first time the scrappage scheme was announced the market as a whole was enthusiastic. Now, with the qualification for the scheme including cars registered on or before February 29, 2000, and the qualifying time for light vans reduced to eight years, shouldn’t we be looking to bag extra sales? However, it may just be me but news of extra funding seems to have been met with little fanfare. Indeed, I’m beginning to wonder if we’ve lost our appetite for scrappage. Maybe there hasn’t been ‘Scrappage is enough publicity for the extension and everyone’s offering a small feeling a bit in the dark? window of Or maybe it’s simply that opportunity the profit on new car sales has proven to be less than which needs to be hoped? It’s a tough market. taken advantage A small margin for most of us is better than no margin of now.’ at all. What’s more, the ability to up-sell service and maintenance programmes will provide longer term revenue opportunities, ultimately helping you to boost customer loyalty and retention. The important thing in attracting new car sales in the first place is to talk directly to potential customers. Advertising on TV is a costly affair, and blanket press advertising can reach a wide audience, but not necessarily the right one. However, hitting those who are most likely to respond positively to what you have to say, doesn’t have to be an impossible target. That’s why at HPI we’ve been busy developing hot sales lead. We’ve even screened them for CCJs and credit worthiness to significantly increase your chances of targeting not only buyers who are in your area, wanting to buy the car type and make you sell, but who are most likely to actually afford the car. The scrappage scheme is offering a small window of opportunity which needs to be taken advantage of now. There is already speculation that once this window closes we could well see a return to the sales levels we saw before the scheme commenced, if not lower. So wherever you get your data from, using quality, screened customer information will help you to communicate with those most likely looking to buy right now and keep you one step ahead of your competitors.
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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'REAT NEWS
4HE 'OVERNMENT HAS BOOSTED THE 3CRAPPAGE 3CHEME BY M ¯ DON´T MISS OUT THIS TIME
E G A P E P A R 3C CHEM $ 3 .$%S ON %UR HAND LEADS 4 8 %'ET YO REENED
7 / .
SC T I D CRE
/UR LIST GIVES YOU ACCESS TO MILLION CUSTOMERS WHO COULD TAKE ADVANTAGE OF THE 3CRAPPAGE 3CHEME 7HAT MAKES OUR LEADS THE BEST FOR YOUR 3CRAPPAGE 3CHEME MARKETING CAMPAIGN !LL LEADS ARE CREDIT SCREENED FOR ##*S AND CREDIT WORTHINESS $ATA GATHERED FROM INSURANCE QUOTES TO IDENTIFY PEOPLE WHO COULD BE ELIGIBLE FOR THE 3CRAPPAGE 3CHEME .EW DATA ADDED EVERY MONTH %MAIL AND PHONE DETAILS ADDED WHERE AVAILABLE 4ARGET BY AREA CAR TYPE OR MAKE &REE NO OBLIGATION QUOTES BASED ON YOUR SELECTION CRITERIA
#ALL .OW #$?33!$?
#ALLS WILL BE CHARGED AT LOCAL RATE AND MAY BE RECORDED AND OR MONITORED (0) AND THE (0) LOGO ARE REGISTERED TRADEMARKS OF (0) ,IMITED (0) IS A 3OLERA COMPANY % /% (0) PURSUES A POLICY OF CONTINUOUS PRODUCT DEVELOPMENT 0RODUCTS SPECIFICATION AND PRICING MAY BE SUBJECT TO CHANGE WITHOUT PRIOR NOTICE
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GM decides NOT to sell Vauxhall American giant calls off sale of European arm in a surprise last minute change of heart GENERAL Motors has decided not to sell its European arm – which includes Vauxhall – in a dramatic U-turn. The move comes following news business is picking up for the firm and means the deal with Canadian parts company Magna has been called off. Workers at the company’s UK factories welcomed the plans. ‘Many people believe that a future with GM is the best one for Vauxhall,’ said one worker at Ellesmere Port. Business secretary Lord Mandelson has said government support is on the table for any new plans to restructure Vauxhall and GM Europe. And he confirmed he is keen for early discussions with GM over its plans for the business and how they will affect British plants and workers. He added: ‘I have always said that if the right long-term sustainable solution is identified, then the government would be willing to support this.’ GM said an upturn in the financial state of the European arm, an improving car market, and continued wranglings over the competitive implications of the deal were the reasons behind the move. EC competition commissioner Neelie Kroes announced in October that she was looking
Hill Ellesmere Port safer under GM? into the deal, amid allegations that German jobs and factories were being given preferential treatment. The German government gave billions in support of GM Europe earlier in the year. Fritz Henderson, president and CEO, said: ‘We understand the complexity and length of this issue has been draining for all involved. However, from the outset, our goal has been to secure the best long-term solution for our customers, employees, suppliers, and dealers, which is reflected in the decision.’ Tony Woodley, Unite union secretary general, said the news was ‘fantastic’ and the ‘best decision for Britain and our plants’. Most industry analysts say the latest news is a much more sensible route. GM Europe is a technology leader for the firm, and the main GM board appears to have belatedly realised selling this off does not make long-term sense.
Subaru: Our cars are too reliable SUBARU MD Paul Tunnicliffe believes his dealers are struggling because its cars are TOO reliable. He says because the Japanese cars are bullet-proof customers don’t often have a reason to change – so he’s hoping the new Legacy attracts them instead. He wants this car to form the heart of the Subaru range and says keen pricing and marketing will bring the customers in. ‘The downside of our cars’ reliability is there’s no need to change,’ said Tunnicliffe. ‘That means all normal timely reminders to change cars aren’t there with Subaru and dealers have been feeling the heat. But Subaru is coming to the party now. I feel the marketing will work, the product is there, and we’ll see a drive in showroom traffic. ‘The timing of the Legacy could not be better either.’ What’s more, the Legacy is keenly priced, with the basic model coming in at under £25k. Tunnicliffe, pictured left, admits this is with the support of Subaru though. ‘If we priced it in line with exchange rates, it would be the wrong side of £30k,’ he said. [RA]
New Astra road test, p34
Used car labels USED cars will now display a customerfriendly fuel economy mpg label, with the launch of a new initiative. Minister for transport Sadiq Khan MP unveiled the scheme, to which 1,500 car dealers have signed up. Mirroring the official new car eco label used by more than nine in 10 dealers, it brings colour-coded used car information on key areas for second-hand car buyers. This information includes fuel consumption, CO2, running costs and environmental performance. Car dealers can label vehicles dating back to March 1, 2001, by using information from VCA records. HPI is the first data provider to roll out easy to use forms which car dealers can display on used models. Although it is still voluntary, the RMI is urging all dealers to sign up to this scheme. Sadiq Khan MP said: ‘I hope as many dealers as possible will participate.’
Net gains
Why you must treat your web customers differently
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his month I spent a very interesting afternoon in London as part of the judging panel for the Car Dealer Ewards. As well as considering the nominations for the Web Innovation Eward, I was struck by the differing approaches used by the judges when explaining their choices. However, one approach thankfully proved consistent to all – that of ‘treating web customers differently’. Not considering this apparently simple philosophy can render even the most detailed online strategies as ineffective. Let me explain what I mean. When a customer contacts you via the web, they have made a conscious decision NOT to come to you via the more ‘traditional’ methods. So, even though the web ‘Make it easy is the route they choose to contact the dealer, for people to how many dealer groups initially deal with in the UK have dedicated you on their own customer follow up and sales processes that cater for this? terms. It sounds Of course, there are some simple, but is notable exceptions, but from my experience, these often ignored.’ are still in the minority. Google even have a name for the web customer – a ‘Prosumer’ or ‘professional consumer’. These are people that are time poor and don’t really know in many instances exactly what they are looking for. They prefer to do their research on a new or used vehicle in the comfort of their own home. Yet still the majority of dealer websites make it hard for people to do their research – for example, many sites want to capture customer contact details too quickly in the research process. What web customers appear to want at this early stage is the following: The ability to conduct initial research without being hassled by anyone; good quality information when they want it - not when a dealer is prepared to give it; and an interactive two-way experience – not just a one-way sales monologue. At Codeweavers, I deal with a top 20 client who tells me that more than 70 per cent of their used car leads start life on their website. So how are you catering for these customers? Once you have their attention and they decide to get in touch with you are your customer processes tailored to the online customer? Make it easy for people to initially deal with you on their own terms, and you will instantly become more attractive to them. It sounds simple, but is often ignored…
Who is Martin Hill? Martin is commercial 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 How the internet has changed the retail world...
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he fact this very magazine is celebrating its second year of Ewards winners simply underlines how integral the internet has become to the business of selling cars. There’s very few new or used car retailers who have not embraced the internet and its many applications as a valuable marketing channel, shop window, information source or stock management tool. It was not always this way… the motor industry of the early 1990s saw a stand-off between the online advocates, the technophobes and those who knew the internet was important but couldn’t quite see how to make it work. Numerous platforms launched and disappeared just as quickly, many based on the premise that ‘There are very if you have a list of used cars on the internet they few new or used will somehow sell. The car retailers who technophobes remained have not unconvinced, while others simply became frustrated at embraced the the lack of progress. Most of those early websites internet and failed to tackle the one major its many concern of brand identity. applicatons.’ People generally like to deal with brands they know and trust. This led to a growing realisation from established businesses that they needed to get their act together and get a presence on the ‘Information Superhighway’ before it was too late. This resulted in a rash of brochure-ware sites springing up, but even then some failed to see the writing on the wall and didn’t register their domain names in time – in some cases companies had to resort to expensive legal action to recover their ‘own’ domains. And then there was the issue of internet access. In the mid-1990s far fewer families had access at home and although people may have got online at work, the office landscape was relatively internet free. An event in 1997 was to prove highly significant however. As Labour swept to power, their manifesto promised to put the internet in every school. By 2000, the goal was ‘to get the UK online’ and four years later this was upgraded to get ‘broadband in every home’. By the end of 2008, 56 per cent of UK households had broadband and 95 per cent of all home internet connections were broadband. This has given the critical mass needed to take online technology out of the office and into the everyday world and has had a massive – and beneficial – effect on the retail and wholesale used car environment.
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Lexus has the best dealers, says mag BRITAIN’S best-selling weekly car magazine Auto Express has crowned Lexus as the top dealer network in the UK. But it’s bad news for Renault, which languished at the bottom of the pile. At the end of October the magazine revealed the winners and losers in the car retail world in its annual Driver Power survey. The poll quizzed 20,000 drivers on what they love and loathe about their dealers – and it made fascinating reading. The magazine’s editor in chief David Johns said: ‘Car firms claim that the service offered by their dealers has never been so good. But we know from our mailbox that discontent and disputes are as common as ever.’ Topping the pile yet again was Lexus which has taken first place EVERY year since the survey began back in 2002. ‘With a graph that exactly mirrors the results from last year, it’s clear that Lexus dealers are consistently brilliant,’ said the magazine. In second place was Skoda which has also had a ‘bumper year’.
...but Fiat, Vauxhall and Renault retailers left trailing In the Driver Power poll of the top 100 models, the maker took bronze and silver places as well as the best manufacturer accolade! And in third was Toyota. ‘Put simply, there’s very little the firm’s dealers can do wrong,’ said Auto Express. But the survey makes grim reading for Fiat and Vauxhall which scraped the bottom of the pile along with Renault. Fiat was third worst with readers’ biggest complaint being ‘unanswered phone calls’. Vauxhall was one place from bottom with customers angry at problems not being explained properly. But it’s Renault that will be really licking its wounds. ‘It seems the message simply is not getting through to Renault showrooms – this is the brand’s second year running at the bottom of the table,’ said the mag.
Aston Martin sells for record £550k THE credit crunch certainly didn’t affect one car auction in London which saw nearly £11m bid. The RM Auctions event, which had 84 entries, included some incredibly rare machines. One of these – a 1950 Aston Martin DB2 Team Car, pictured right – was a record-breaker. The Aston, on sale for the first time in 52 years, raised the highest price ever paid for a DB2: a cool £550,000. The world record wasn’t the only eye-opener though. Also selling were a Mercedes-Benz CLK GTR Roadster RHD (below) for £616,000; a Mercedes-Benz CLK GTR Coupe LHD for £522,500; a Mercedes-Benz 600 Pullman Landaulet making £308,000; and a Bugatti Type 57C Stelvio going for £440,000. That right-hand-drive CLK was the top result
of the night, which saw 87 per cent of all lots sold. Not bad for a catalogue that was collated from 11 countries. RM Europe boss Max Girardo said: ‘We’re proud of our reputation for consistently achieving record prices and offering the finest motor cars available to the market, and these results were certainly no exception.’
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Who is Simon Henstock?
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Simon is UK network operations director for BCA. Find out more at www.bca-europe.com or call 0845 600 6644.
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YourCarLoan
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Tokyo Show Lexus’ awesome LFA will cost £336k
LEXUS pulled the covers off its 200mph Ferrari challenging supercar at the Tokyo Motor Show. The LFA will be strictly limited to 500 units and will cost an absolutely staggering £336,000. Using a 4.8-litre V10, it punches out 552bhp, revving to a stratospheric 9,000rpm red line. With a 1,480kg kerbweight, this gives it a power to weight ratio of 373bhp per tonne: Enough to see it to 60mph in just 3.7 seconds. The top speed also exceeds 200mph. Extensive use of carbon fibre reinforced plastic has given the weight savings necessary to achieve this. Inside, there’s a racecar-like but leather-clad cabin, complete with automated sequential gearbox using paddle shifters. We like it!
Matt black stealth edition Lotus Exige
LOTUS was one of the few non-Japanese makers at Tokyo and was proudly upholding British honour. The Exige S Scura special edition is a mattblack and carbon fibre model that looks incredible. Just 35 of the £45k coupes are to be sold – all with special trim and swathes of real carbon fibre that cuts 10kg off the kerbweight. It tips the scales at just 925kg. That’s why its 260bhp supercharged engine will take it, with launch control, to 60mph in 4.1 seconds. Stay up to date every day at CarDealerMag.co.uk
...Richard Aucock reports
CR-Z will be ready for dealers in 2010
HONDA’S hit star of the Tokyo Show was its CR-Z concept – which the maker says is 95 per cent production ready. Car dealers won’t have to wait long for the stylish hybrid coupe either – it will be here from the middle of next year! Said to be the world’s first sporty hybrid motor, it uses a 1.5-litre petrol engine mated, Jazz-style, to an electric ‘assist’ motor. It’s also built on components from both the Jazz and the hybrid Insight. With more than a little of the cult CRX, it’s set to be one of the most stylish small coupes on sale, when it arrives in 2010. Indeed, Honda is to trade it on style, rather than any eco-battling dramatics. A spokesman called it the firm’s MINI alternative – ‘those buyers are exactly the sort of people we have in mind for this’. One thing on the CR-Z did strike Tokyo show-goers, though – the six-speed manual gearlever. That’s right, this is the first recent electric hybrid to use a stick-
Honda CR-Z is 95 per cent production ready
Honda is putting the finishing touches to sporty hybrid CR-Z coupe ‘Honda is also putting the Civic Type-R on sale in Japan. The one that’s built here.’ shift gearbox, boosting its sporty credentials. There were two other concepts on the Honda stand. The Skydeck showed how a petrol-electric six-seat MPV people carrier could look. Meanwhile, the EV-N was a pure electric car that harked back to the 1960s in
the most delightful way. Honda’s president remains convinced the future of green cars is not pure electric drive, but fuel cells. If Honda were to build a battery-only model, it would only consider something small and city-based. Honda is also putting the Civic Type-R on sale in Japan. Yes, the same Type-R that’s been available in Britain for years. And which is also built in the UK. Coals to Newcastle, did someone say?
Subaru’s green machine concept SUBARU is letting development partner Toyota do all the talking with the five-seat boxer-engined coupe. Its time will come. Right now, though, we were given another glance at the firm’s future with the Hybrid Tourer Concept, pictured below. This, finally, is a modern Subaru that’s characteristic and stand-out in its own right. What’s more, it’s pretty eco-friendly, too. Subaru’s famous 2.0-litre turbo petrol is mated to two electric motors: a 10kW one at the front, and a 20kW one at the rear, making it the world’s first boxer-engined 4WD hybrid. This also means it’s an all-wheel-drive hybrid, in a two-door body boasting proper Mercedes SLS-style gullwing doors. It’s easily the most stylish thing Subaru has done in years, with the clean, edgy lines
showing real distinctiveness. Could it be previewing some sort of upmarket Subaru four-seat coupe-wagon model? The rear looks a bit like an Alfa Brera, and Subaru has a history of producing bespoke low-volume coupe halo cars. Remember the SVX? Tokyo being Tokyo, Subaru also showed off various other stuff we won’t see in the UK. The Impreza WRX Carbon, for example, was based on the STI A-Line special. It has a carbon-fibre roof and, oddly, a five-speed automatic transmission. As they’ve gone to the trouble with this ‘concept’, could it suggest we’ll be seeing a BMW M3-style carbon roof option on our own STI Imprezas soon?
Toyota unveils successor to the Celica TOYOTA is bringing the spirit of the Ford Capri back to life with this dramatic FT-86 Toyota Celica successor. The rear-wheel-drive coupe certainly grabbed the headlines in Tokyo – and that’s because it looks utterly superb. All creases, curves and angles, there really is no missing it. Making it all the more incredible is the fact that it really is a production-intent model – and, not only that, it will pack in five seats, too. Such usability and practicality, after all, is what made the Capri a huge sales hit… For when, then? Two years could be a possibility, said the car’s chief engineer: ‘But if you put pressure on us, we could do it quicker!’
Stunning: Toyota FT-86
It is powered by a 2.0-litre boxer engine. If that sounds a bit Subaru, then you’d be right. Toyota’s Japanese neighbour is also going to sell the FT-86 as its own version, too. Toyota car dealers will be first, though, with a showroom-filling halo car that’s going to appeal to loads of buyers. Question is, are you as smitten as we are? If you’re not yet, listen up: the chief engineer also said the handling is being honed to aid easy control while drifting. Well, in a roundabout (excuse the pun) way, he did. ‘Balance is important: stability on the limit is the most important trait,’ he told Car Dealer. ‘I don’t care about static weight distribution – I want it best for drift control.’ Also on the Toyota stand was an electric version of the IQ – the FT-EQ II. With two seats and charismatic styling, Toyota reckons it could be on sale by 2012.
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6/11/09 10:04:48
big mike
Christmas is coming and S I’m going to be ready oon, very soon in fact, it will be time to deck the halls with boughs of holly, wish goodwill to all men and indulge ourselves in our annual bout of false sentimentality and overexposed commercialism that represents what have now become known as the ‘Happy Holidays’. I’ve never been a lover of Christmas (oops, I mean, the ‘Festive Season’) as my wife is of the ‘ex’ variety, my kids are grown up but don’t have sprogs of their own and tend to go out on the sauce with their mates, and on the big day I wake up, listen to Terry Wogan (another pleasure soon to be removed), open my handful of gifts and spend the rest of the day watching James Bond movies and drinking whisky. Come to think of it, it’s not that bad a day after all. But this year, I’m determined to celebrate it properly. I’m going to put ‘Christmas’ banners and inflatable reindeer up all over my house, have an illuminated Nativity scene at the end of my driveway and invite every carol singer into the house for a mulled wine or hot toddie. And here’s why. Political bloody correctness. My local newspaper here in the Midlands has pretty much denounced Christmas for fear of offending its readers, which to my mind is utter poppycock. I respect other peoples’ religious festivals, and by and large they respect mine. It might not sound like the most cosmopolitan part of the world, but here in the West Midlands people of different creeds and colours have co-existed for years, mostly in utter harmony, without having to find euphemisms for words such as ‘Christmas’. Last year, my local non-denominational shopkeeper was open all day on December 25, which was great as it meant I could nip out to buy a box of cigars (sorry, mustn’t mention smoking in print, I do apologise to all you impressionable people out there who accidentally take it up as a result of reading that ‘dirty’ word…). He told me it was his favourite day of the year, not for religious reasons, but because his was the only retail environment within a 20-mile radius in which desperate parents could buy the batteries they’d forgotten in advance.
Big Mike will be hiring a van, collecting some decorations and embracing the Christmas spirit this year He’d done 200 quid on Duracells, ‘Rust is rust. It is a so he reckoned, and would do half substance that used that again on Boxing Day. to be metal, but isn’t But maybe us car dealers shouldn’t be too dismissive of the any more.’ PC police. After all, it was us who started the whole ball rolling – ever since the first second-hand car changed hands in the late 19th century, we’ve been at it with the euphemisms to a degree where they become common parlance. Never has a dealer sold a car with ‘high mileage’. ‘Average miles for year’ or ‘motorway miles’ yes, but ‘high’, oh no. We never, ever mention negatives when we’re selling cars, but at the same time we have some arses to cover. So if you see a car advertised in ‘average condition’ or ‘good for its year’, you generally know it’ll be rough as a dog. And what the flip is surface rust, as in ‘it’s only a little surface rust, mate, nothing to worry about’? Rust is rust. It is a substance that used to be metal but isn’t any more. It has ceased to be metal, much in the same way as Monty Python’s parrot ceased to be an avian. And if it’s part of a suspension turret or similar then, to use another euphemism, the car becomes an ‘ideal project, perfect for the DIY enthusiast’.
Or, more often than not, scrapyard. Other classics include ‘virtually one owner from new’ (so two owners then?) and ‘needs minor attention’. If the attention needed were minor, then any car dealer worth his salt would lavish such tlc on the thing to make a decent profit, so you can automatically assume the attention required is more likely of the major variety. For ‘rare car’ read ‘highly undesirable car’. ‘Not many left in this condition’ means ‘impossible to get parts for’, ‘unusual spec’ means beige, with purple upholstery, ‘priced to sell’ means ‘been here ages, nobody wants it’ and then there’s ‘economical’, the biggest euphemism of the lot. How many customers have you told a car does ‘about 40 to the gallon’, when in practice you’ve never driven it further than round the block a couple of times, don’t know and couldn’t really care less? So my New Year’s resolution is this: Never again will I use a politically correct euphemism. Happy Holidays one and all! Drat… 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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Peering into the lives of the motor trade...
On The Spot
Name: Neil Prescott Age: 37 Lives: Burton-upon-Trent Any family? I am married with four children (three girls and one boy) What do you drive? BMW M Sport 320D What was your first job? YTS at Pirelli.
Who do you work for now? Auction4Cars.
What are your job’s biggest challenges? Making sure that Auction4Cars is utilised to its full potential.
Favourite drink? A pint of the ‘black stuff’.
What newspapers/magazines do you read? I routinely read all of the trade press, including of course Car Dealer plus weeklies like Auto Car and Auto Express to make sure I am up-to-date with all the latest model launches.
Have you got any superstitions? I don’t have a superstitious bone in my body.
What is the most expensive thing you’ve ever bought? A classic Jaguar.
What was your first car? An old Mini.
What does this involve? I manage Auction4Cars, Motorpoint’s fee-free online auction site, as well as all of the company’s other trade disposals.
sites so I don’t really have what you would call an average day.
Any downsides? Managing four sites remotely. How much do you earn? Enough, but wouldn’t we all like to be millionaires one day? Do you have an average day and how does it pan out? I spend the vast majority of the week travelling between the
What’s your mobile phone ring tone? I’ve got an iPhone so the ring tones are pretty rubbish to be honest.
Favourite holiday destination? I love holidaying in Britain, usually somewhere in the south, which is a bit risky considering the weather. We also like going camping at the weekend with the kids. What is the biggest challenge car dealers face? Exceeding customer expectations. Great cars at great prices isn’t enough these days!
What was the first record you Number one tip for car bought? I can’t remember. dealers? Visit Auction4Cars, it’ll be well worth it. Favourite film and the last one you saw? My favourite has to be Guy Ritchie’s ‘Snatch’. I’ve And finally... what’s your motto in life and business? lost count of how many times Work hard, keep fit and spend I’ve seen it. The last one I saw time with the family… was ‘Fight Club’.
Want to face the Car Dealer questions? It’s not as bad as it sounds. Email james@blackballmedia.co.uk for details
@
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Road Test OF THE YEAR By James Baggott and Richard Aucock
Ford Focus RS Price: £26,395 Engine: 2.5-litre turbo 5cyl Power: 301bhp, 440Nm 0-60mph: 5.9s Ins: 19 CO2: 225g/km
Mitsubishi Evo FQ-400 Price: £49,999 Engine: 2.0-litre turbo 4cyl Power: 403bhp, 524Nm 0-60mph: 3.8s Ins: 20 CO2: N/A
Jaguar XFR Price: £59,900 Engine: 5.0-litre V8 s’charged Power: 510bhp, 625Nm 0-60mph: 4.7s Ins: 20 CO2: 292g/km
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Pictures @neillwatson
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od Christmas, if there’s one event in the calendar we look forward to more than any other it’s this: Our Road Test of the Year. We use it as an excuse to gather together the cars that have set our world’s alight in the past 12 months and pitch them head to head in an attempt to find our favourite. Some of them we’ve all driven, some just one of us has experienced before and others were victors in road tests we’ve produced in the past year. But all of them are here because we love them – and because we couldn’t pass up another opportunity for a blat around Wales in them. So, to our picks of the year. Firstly the superstar of the pack – the Audi R8 V10. The 5.2-litre engine is the jewel in its crown, producing 518bhp and 530Nm of torque. It’s a slightly detuned version of the same unit used in the Lamborghini Gallardo and sounds incredible. Costing £99,580, before you’ve added extras, it’s the most expensive car here by quite some margin. But it’s not the maddest. No, that accolade rests on the shoulders of the Nissan GT-R. Packed with more technology than NASA, the first deliveries of the incredible machine were made by a select network of Nissan dealers this year. Yes, it was only March
that the first cars found their new homes – it feels like it’s been around ages. Its twin turbo, 3.8-litre V6 packs an almighty punch with 485bhp feeling more like 1,000bhp. It’s clever like Carol Vorderman but extremely scary too. Jaguar’s XF-R is the stately offering in our five-some. It might look somewhat reserved in this company, but don’t let that fool you. Those cuts and grooves in the bodywork and the fact it has ‘Supercharged’ emblazoned on pretty much every surface reveal there’s something rather sinister under the bonnet. That being a 5.0-litre supercharged V8 producing 510bhp and an incredible 625Nm of torque. This is one angry Jaguar, that’s for sure. WITCHCRAFT Then there’s the £50,000 Mitsubishi Evo X. Yes, that’s right, £50k – but this isn’t any old Evo. This is the one that’s had the turbo turned up all the way to 11 – the FQ-400. We all know what the FQ stands for by now, but it’s never been more accurate than when it was stuck on the back of this carbon-fibred beast. Somehow, probably by witchcraft, the maker has squeezed 403bhp out of the 2.0-litre turbo-charged powerplant. That’s enough to make it the second
fastest car to 60mph here after the GT-R – completing the sprint in just 3.8 seconds. And lastly, there’s one of our stand-out cars of the year: The Focus RS. In the summer it saw off the Subaru Impreza STI and Megane R26.R in our triple test, so we had to get it back again to take on the big boys. It might be the slowest here on paper, but the 301bhp 2.5-litre turbo-charged lump is by no means pedestrian. What’s more, on the twisty Welsh B-roads, it’ll be more than a match for some of the more powerful cars here. Our test takes place over four days in late October. Based at the stunning Best Western Falcondale Mansion Hotel near Lampeter, the plan is to venture out each day and enjoy the cars – swapping as we go so we each get as much time in them as possible. Helping out at this year’s event are deputy editor Richard Aucock, who has helped to write this test, the mag’s commercial manager Duncan Chappell, and old friends who you may remember from the first Bangers4BEN rally, Dan Harris and baby Baggott, Will. Five cars with a combined 2,217bhp, five drivers with an average reading age of 12, and four days of Welsh roads. Could be messy… >
Audi R8 V10 Price: £99,580 Engine: 5.2-litre V10 Power: 518bhp, 530Nm 0-60mph: 3.9s Ins: 20 CO2: 327g/km
Nissan GT-R Price: £59,400 Engine: 3.8-litre twin turbo V6 Power: 485bhp, 587Nm 0-60mph: 3.5s Ins: 20 CO2: 298g/km
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Audi R8 V10
Lamborghini drama, but German reliability – it’s got to be the thinking man’s supercar
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lip road on to the M27, and it’s my first chance to mash the throttle. In an instant the sound changes. Gone is the gentle thrum from the V10 as the revs rapidly rise. This is an Audi like no other – with an engine like no other. The following pack is caught unawares as the R8 digs in, hunkers down and attacks the horizon. It’s the start of a special relationship Tony Blair would be proud of. At every given opportunity it’s a necessity to make that V10 sing – junctions take on a new meaning, every chance to stop is a pleasure. Why? Because it means pulling away again – and the chance to ignite more petrol behind my left shoulder to create a soundtrack that’d win the X Factor. Hands down. The R8 is totally intoxicating. The 518bhp powerplant – a detuned version of the same V10 that makes an appearance in the Lamborghini Gallardo – is a masterpiece. It’s a hugely flexible lump, on gnarly country lanes it’ll pull hard in fourth, meaning you can be lazy with the gearbox. Not that you’d want to be. Our test model came with the six-speed opengate manual shifter, that adds to the supercar drama. Just slotting the car into first is an occasion, and as you click-click your way through the box the supercar feeling is cemented even further. The gearbox is great to use too; direct, slick, but with a solid mechanical feel it’s preferable in my eyes to the S-tronic auto option. Long motorway slogs are a surprising pleasure in the R8. The seats are comfortable, the driving position relaxed and the V10 flexible enough for rapid overtakes without dropping a gear. But where the R8 really excels is when the roads get silly-string wiggly. Our route was dictated by a TomTom sat nav unit that was wayward at best. This meant routes could take dramatic unforeseen turns for the worse – from well-surfaced dual carriageway to cow strewn single lane C-road in an instant. That being said, it had an uncanny ability to find entertaining stretches. The best was the last road to the hotel. The A482 out of Llandovery was a stunning stretch of Isle of Mann TT-esque national speed limit goodness, that made the last 16 miles of every day an event. And it was here where the R8 really shone. Dancing on the autumnal damp mulch that littered the route, the Audi found grip where the others span, conjuring up get-up-and-go that saw its LED headlights pierce through the forest well ahead of the others. For a £100,000 supercar to be this easy to drive is testament to the achievement Audi has made with its range-topper. It’s no more threatening than a TT, just as manageable and oh so capable. But make no mistake, performance is devastating: 60mph is reached in 3.9 seconds; that’s the third fastest here to the benchmark, but you’d never know. Not once is the Audi left trailing. The cars on RTOTY are so closely matched in the performance stakes – in our mere mortal hands none are getting away from one another any time soon. But the area where the R8 really is head and shoulders above the competition is in the looks department. At least in my opinion. It might have been around since 2006, but it’s still a true head turner. Fellow RTOTY drivers weren’t all convinced – it seems the silver slab sides still split opinion. But from every angle the proportions are perfect, the glass-topped boot lid that exposes the beautiful V10 is a killer feature, and the rear end is one of my favourites ever to grace the roads. I spend most of the first day playing in the R8 and soon realise the rest of the team are going to struggle to prise the keys out of my hands any time soon. Unless of course I’m swapping them for the GT-R… [JB]
DEALER VIEW Steve Russell Poole Audi, operations director The R8 V10 has only strengthened the appeal of the R8 range. Every test-drive has impressed, and the extra power and specification of the V10 has attracted some customers from the Ferrari/Lamborghini market to look at
the car in a new light. Customers genuinely have been clamouring for it. We could have sold our demonstrator several times over. And there’s yet more to come. The R8 has been a fantastic addition to the Audi range – but we can’t wait for the Spyder next year!
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‘Dancing on the autumnal damp mulch that littered the route, the Audi found grip where the others span.’
DEALER VIEW Richard Stokoe Benfield Nissan Newcastle Customers are generally blown away by the car. It has totally exceeded their expectations. Our demonstrator is right at the back of the showroom, so people have to walk past plenty of cars. As it tends to be businessmen who
are buying the GT-R, we’ve sold quite a few other Nissan models to them in addition – they see the models, and reckon they’d be canny cars for those working for them, too. Since April we’ve delivered 50 GT-Rs, and will put another five on the road in November alone. Our next big batch arrives in January – we can’t wait…
Nissan GT-R
Computer game fantasy turns real world dream car, but dare we ask, is the mighty Nissan too much?
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irst stint in the Nissan and it’s wetter than an otter’s pocket outside. There’s so much rain lashing the Brecon Beacons, rivers of water are running across the tarmac, making the going frankly treacherous. And to be brutally honest, I’m scared. The Nissan GT-R is ridiculously fast. It’s like riding a high powered superbike, but with four wheels, comfort and spades more safety. Acceleration really is comparable with something like a Suzuki GSX-R1000. With a 0-60mph sprint time of 3.5s, it’s easier to draw comparisons with twowheeled counterparts than most cars. The rush, the feeling in your stomach as the turbos kick in and the speed at which scenery melts into a Salvador Dahli blur in your perhipheral vision is akin to every motorbike I’ve ever ridden. It’s this awesome power that’s hard to fathom. Your brain simply needs reconfiguring to a whole new world of fast when you take your seat in the GT-R. Yes, the Evo and R8 here aren’t giving away much on paper – but when you’re sat at the top table issuing the orders in the GTR it feels another planet quicker than its rivals. It’s the first car in months that has actually made me utter expletives out loud, uncontrollably, the first time I initiated full throttle. Which is, in actual fact, unadvisable. You see in the Nissan there are very few places you can actually give it full beans. You seem to be constantly feathering the fast pedal, instead, never really using all its reserves of power. Stirring emotions you didn’t know you had is a 3.8-litre, twin turbo-charged V6. It produces 485bhp and 587Nm of torque. It sounds utterly savage as the revs increase, but it’s not dramatic or as Hollywood as the Audi. This car is about purpose, and there’s a single one of those – getting you places fast. Steering is wonderfully precise. It’s weighty too and the chunky wheel is great to grip. The paddle shift semi-auto gearbox is incredible. In auto mode it fires up the box in seconds – potter around town and you’re in sixth by the time your reach 60mph. But flick it over to self-shift mode and start using those paddles and it comes into its own. Cogs are swapped in the blink of an eye, only adding to the sense of drama as the world goes all melty. There’s little doubt the GT-R is clever. You need a degree in button pushing to work out exactly what everything does in the cabin. Frankly I found it all a little overwhelming. But the display, which cycles through everything from lateral G-force to the graphs showing your use of throttle and brake, is captivating. There are a huge number of variations you can choose from that’ll display all sorts of data, that owners can bore their mates with in the pub. ‘Do you know I’ve spent exactly 11.25 minutes at 12 per cent throttle for the duration of the last 5.78 miles?’ Really? Shut up and get the beers in… The bore factor of this car is massive. If you can tear yourself away from the buttons and data for a second, and simply sit back and enjoy the ride, the GT-R is mind blowing. Drive it sensibly, or even half sensibly, and it’s devastatingly quick even when you don’t intend it to be. Once you’ve got over the sheer size of the car – it’s 5-Series big, and wide too – it’s capable in a way you could never imagine. Treat it with respect and it’s enjoyable, but you can’t help but get the feeling you’re only half of the picture. Driving aids are countless and sophisticated. And I can testify to that – on wet Welsh roads, knowing there was a Stephen Hawking-rivalling brain doing the saves for me was good to know. So how do I rate it? Well, for the money – £59,400 in the Ultimate Black Edition spec we tested – there is nothing that comes close. The GT-R is as exciting to drive as a Caterham R500 yet as comfortable as a 7-Series. It’s more practical than a 911, it’s one of the fastest road cars in the world and it doesn’t have to be used like the weapon it is all the time. The only problem I can see is it lacks drama. The looks are understated and although it attracted some attention on RTOTY, it doesn’t have the head-turning appeal of a Porsche. That being said, it could be one of the reasons many people will buy one…[JB] >
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Y Jaguar XF-R
Is a 510bhp supercharged model enough to shake off the tweed jacket image?
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4AM start to meet the boys over in Wales for RTOTY. It was dark, cold and miserable. Hard? Nope – I had a Jaguar XF-R outside to do it in. Indeed, I’d enjoyed it all weekend. And was so seriously in love, I didn’t even bother cooking toast. Coffee in a travel mug, banana, and on it. This car really does do it all. It’s posh, great-looking, flash and a head-turner. It has a genuinely lavish interior, packed with character. It rides well, is near-silent when you want it to be, and cruises with nothing short of brilliance. The stereo is properly incredible. Seats, superb. Dials, works of art. The ‘R’ in its name was already for ‘Richard’ when I fired it up early doors. Light, the light, we’re losing the light, I knew the photographer would cry. That was my excuse for getting there as quickly as possible. Welsh roads then, and no traffic: my goodness, the Jag just kept on getting better. It’s blindingly fast, this 510bhp, 155mph supercharged 5.0-litre warrior. All the fives? Not if you’re talking 0-60mph. That takes just 4.7 seconds. The supercharger means it responds instantly, with utter effortlessness. It’s ridiculously desirable. Sounds cultured like you wouldn’t believe at high revs, too – which you hit imperceptibly, courtesy of a gorgeous six-speed auto. Easily made it, with plenty of time: what’s more, it went on to tailgate everything there, without fuss. Forget the rear
doors: this thing is a coupe at heart. The spec sheet suggests good things, with its CATS active dampers, grippy 20inch rubber and the purest drivetrain layout on show here. But what it can’t reveal is the incredible finesse that’s gone into development. No, the firm instead leaves the promotional shots of the car to this: every other one shows it going beautifully sideways. Such is the trust, faith and warm feeling it instills, it’s not hard to see why. I drove the GT-R. Went back to the Jag and was even more staggered by its crisp, responsive steering, its fine balance and remarkable ability to seemingly generate the grip of the GT-R despite driving two wheels less. From the Audi to this? It wasn’t feeling any less special. Evo to this? Really, there’s no comparison… Spending most of the time in the XF-R gave me an outsider’s view of the event, from what I’d already decided was the best seat in the house. It’s a ‘me’ car, this ’ere Jag, and Lordy, how I was reluctant to give it back. Bold, British and brilliant, Jaguar has created a masterpiece. [RA] > DEALER VIEW Max Izen RA Creamer & Sons BUILDING on the success of the current XK model, the XF is key to Jaguar’s strategy going forward. We will, incidentally, see the next phase of this strategy in the months ahead with the launch of the eagerly awaited new XJ.
We have seen a large spike in conquest business from competitors BMW, Audi and Mercedes Benz. Why wouldn’t we? The diesels are proving popular – but for some, only the XFR’s 5.0-litre supercharged petrol engine will do. More and more customers are coming out of the M series BMWs into the XFR and it’s easy to see why.
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6/11/09 10:05:29
Evo FQ-400
Turbo turned up, carbon-fibre liberally applied and huge subwoofer in the boot – it could only be an Evo...
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heard the Mitsubishi coming before I even saw it. What’s that – the booming exhaust? The tish of the turbo? The bombastic, brutal bwroarp of its 403bhp 2.0-litre turbo hand grenade (aka engine)? No. It was the clatter from the steering when you put it on full lock. Yes, this particular model had seen a hard, hard life. And is it any wonder. Ignoring the ridiculous wings and spoilers, I stepped into the four-door saloon, merely grunted in acknowledgement of the proper race car style seats, didn’t even give the plain dash a second glance, and turned the key. Then, swore, took it out, reset the immobiliser and tried again. Result? Pure… roughness. The sort of roughness that, how shall we put it, after a night on the beers, sounds just the job. No commitments, no emotional connections, just get on and do it. The Evo ain’t gonna win any TV singing contests, but for some Xrated motoring enjoyment, it’s proper pfwhoar. Everything is no nonsense: the ride, the gearchange, the engine response, the turn-in, the way you drive it. Wonder why these things always get driven pretty quickly? It’s because there seems to be no other way once you’re gripping the firm, well-shaped steering wheel, double-taking at the silly speeds the silly speedo dial scale compression hides. It’s stupidly fast, of course. All this chat of the GT-R and R8, yet all the time, there was a blimmin’ four-door saloon stuck to their rears. Like them, the Mitsubishi is four-wheel-drive, but here, the tuning is very much on a rally car
driver’s thinking. So, whereas they track neatly and grippily through corners (well, fairly neatly, in the GT-R’s case), the Mitsubishi just begs to be chucked in and chuck you sideways. It’s got yaw control, permanently-shuffling four-wheel-drive distribution, space-age sensors and the mindset of a nutter. C’MON THEN! Think you’re hard? Prove it? C’MOOOOOONNN!! Take me on! So, you do. Hold me shirt… Thing is, this is when the bad boy reveals its sensitive side. There’s an unlikely delicacy to the steering, for example, which is jam-packed with feel and has precision measured in millimetres, never mind inches. That’s not all. Like discovering Grant Mitchell collects stamps, you also discover truly impressive rough-road suspension absorbency, a real talent for finding forward traction in situations where the GT-R’s tail is wagging – even the engine, noisy and booming as it is, delivers its power in a pleasing way. The classically-trained raver, Mitsubishi’s monster has more depth than you may think. Still wasn’t enough to make it our favourite, but we respected it nonetheless. And when there was a need for a quick dash to the chip shop, to get some greasy fried stuff to satisfy, it really was the only choice… [RA] >
DEALER VIEW Dave Fox Grosvenor Garage Kent All buyers of the Evo are interested solely in the performance – it’s their foremost reason for buying. Customers buy into the name, as they know it means searing acceleration and handling. To be honest, they know more about
the car than we do sometimes. Enthusiasts forums help foster great loyalty in the cars; the information flow means dealers really have to keep on their toes. They’re certainly all aware of the FQ-400’s existence… Enthusiasts will buy the cars and use them hard, rather than frequently chopping them in for the latest line.
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‘The classically-trained raver, Mitsubishi’s monster has more depth than you may think.’
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Ford Focus RS
Winner of our triple test earlier this year and curse of the editor who bought an ST, here’s why the RS deserves its place on our Road Test of the Year
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ames’ youngest brother Will helped out on driving duties for Road Test of the Year. Naturally, as the youngest, he was given the lowest-powered motor. Just 300bhp for you then, Will. Short straw? You wouldn’t have been saying that if you’d have been me, 200bhp to the good, struggling to keep up. Dunc would say it’s because I’m a girl. I’d say it’s because the Focus is so amazingly good. Even in this exalted company, it was not shown up – indeed, on the right road, it could even trades blows with the brilliant Audi. Front-wheel-drive, for example, was barely a shortcoming, such is the mastery of those who tuned it. It points sharply, it turns in, it grips, and it puts its power down well. And then it explodes forward again. Our good editor felt genuine pain every time he drove the RS – because he owns the ST version of the Focus, which also uses this engine. In that, it puts out 225bhp, for more than enough power. You’d think. But the way the RS pushes out 301bhp really is something else again. Okay, the seats are a bit high. The dashboard a bit too 1.6 TDCi 90 Style. The rear vortex thing in the bumper a bit too loud. But otherwise the Focus RS is a sure-fire winner – with the added benefit of being the most practical car of the lot, too. On Road Test of the Year, you tend to have a lot of kit to lug about. You stand no chance in the Audi, struggle in the Nissan, and even see compromises in the saloon duo
Mitsubishi and Jag. No danger in the fantastic fast Ford. Fold the rear seats, chuck it in, and you’re away. All ready to chuck away all the broken bits you’ve destroyed with cornering G at the end. It likes a drink along with the rest of them, but which supercar boasted the biggest car dealer network, the most far-reaching aftersales support, the full insight of appearing on systems, networks and listings the country over? None other than the best-selling car maker’s best-performing new car. We always like to put in a bargain choice, to keep our feet on the ground. Trouble is, the Ford is so good, keeping its wheels on the ground became the bigger challenge. You could get four of them for the price of the Audi – perfect. That’s one each, then, and wee Will in the passenger seat of his bro’s, in time-honoured tradition. If only we could find him. Will? Where’s he gone? Hang on: Isn’t that a flat-out five-pot blare I hear, bouncing off the Welsh mountains… [RA] > DEALER VIEW John Clapp Vospers Ford Exeter I’M not that big a fan of front-wheeldrive in performance cars, but I’ve never experienced one as good as this. The drive is fantastic, so very capable – I was taken out on a high-speed passenger run at a circuit, and was amazed at how tenacious it was. It’s extremely well engineered and special.
I’d say 40 per cent of the customers for it are coming from the ST model. They appreciate the bits that you can’t see that help make it so good. It’s not just all about wings and spoilers: Ford has worked on every detail throughout the RS to make it so able. There’s been no compromise. If the ST is a dolphin, says Ford, this is a Shark. That’s not marketing babble, but sums the car up really well.
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The Verdict P
Which of our five-some would we want on our drive? icking a winner is simple. It’s the most obvious choice and the most obvious for a reason. The Audi R8 is brilliant. In ‘standard’ V8 guise it’s a mind-blowing performance car, but with that soul-stirring V10 tucked in the back it’s a supercar to mix it with the very best. At close to £100,000 it’s the most expensive here by some way, but compare it to the supercar glitterati it should really be mixing with and it’s a relative bargain. And worth every single one of those pounds. The Nissan takes second place. It’s an amazing piece of engineering, stupidly quick and exciting to drive – but for some it might be a little too much. Its £60k price tag is certainly attractive in bang for buck terms though. The Jaguar takes third. The XF-R is powerful and involving, but still statesman
like in ride quality and luxurious in feel. The XF really does move the game on for Jag and with a performance halo car like this at the top of the tree, things can only get better. Now all we want is for them to put a new E-Type into production… The Focus RS battles its way into fourth – and not just because the editor wishes he bought one. The fact it was the least powerful here with 100bhp less than the Evo and 220bhp less than the Audi, but still impressed on the country roads is testament to the achievement Ford has made with the hot hatch. It’s a great car to drive, well built – but just a little juicy! And that leaves the Evo in last. But don’t think of that as a bad thing. Our RTOTY isn’t really a like-for-like comparison test – more of a collection of our favourite cars – and if the FQ-400 was up against its contemporary from Subaru it’d win hands down. It’s just that in this company its raw driving experience, slightly tired appearance and feel saw it slip to the bottom. So there you have it, our completely unscientific, but hugely enjoyable RTOTY. See you same time, same place, next year… [CD] Thanks to... Best Western Falcondale Mansion Hotel (01570) 422910
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[forecourt] T
he new Astra has a lot of work to do. In recent years it’s been overtaken by the VW Golf and Ford Focus in the driving stakes – now the new Vauxhall hatch needs to reignite the brand. With the manufacturer’s future the stuff of soap operas, one thing is for certain – the Astra has lot of work to do. So what’s it like to drive? Well, so confident was Vauxhall at the launch of its new car that it put journos in the old model for the half-hour drive to Ellesmere Port where the new model was waiting. It was an unusual move on a car launch – usually the old one isn’t even mentioned, let alone driven. But it worked – highlighting the new car’s plus points superbly. What are they? Well, pretty much everything. The styling has been brought bang up-to-date with aggressive, classy and modern looks. Note the chrome surround on the windows, wide shoulders and low front, Astra’s designers have come out fighting with a very positive design. The inside is even better. High-grade materials make up a tidy cabin. This is how a new car should look. The detail that’s gone into it is stunning. It’s right up there with the very best from VW and Audi, which is important for this new car. There’s buckets of room too, loads of storage compartments and chrome surround buttons adding to the upmarket feel. Remember, this is a Vauxhall after all. The manufacturer surveyed more than 400 customers as part of the new car’s design and asked them what they actually put in the car. That’s why you can now fit four-and-a-half litres’ worth of drinks containers in the car – handy if you’re a thirsty type! There’s a non-slip hole for your iPhone or iPod too, plus an Aux-in on every model. That ticks a lot of boxes for younger drivers which the Astra is
New Vauxhall Astra DEALER VIEW Dave Evans Evans Halshaw Sales executive I HAVE seen the pictures of the new car and think it looks really good. A great new concept in design. We’ve had a lot of interest in it already and taken around five orders. It looks so different to the out-going model, like
a mini Insignia! I think it will give the likes of VW’s Golf a run for its money, and Ford will have to come up with something special to beat it too. I think it will attract younger buyers with the 1.4 Turbo and cheaper insurance throughout the range. I’m looking forward to driving it at the end of the month.
aiming to attract. The insurance groupings have been reduced across the range to broaden the customer base to a younger audience too. We drove the 1.6-litre non-turbo SRI first. With 114bhp, it hardly seems worthy of a sporty badge, but nevertheless it is nippy around town and in traffic. However, on the open roads of the north Wales launch it was a little disappointing. It can be hard work to drive, with constant gear changes needed to ensure progress is swift. The handling, however, is fantastic. You get a ‘big car’ feel from the new suspension as it levels the car through corners to maximise
comfort. In fact you have to keep reminding yourself it’s ‘just’ a hatchback. The accomplished ride could just do with an engine to really do it justice. Later we got to try the 1.4-litre Turbo SRI unit with 138bhp, which is much better. It couldn’t be described as a ‘hot’ hatch, but it’s a huge step up from the sluggish 1.6. The Turbo hits 60mph in 9.0 seconds compared to the 1.6-litre, which is nearly two seconds slower. The smaller capacity unit chucks out less CO2 as well – with 139g/km for the 1.4 compared to 147g/km for the 1.6-litre. Diesel wise, buyers can currently choose from a 1.7-litre CDTi or a 2.0-litre CDTi. But next year a fuel-sipping ecoFLEX 1.3-litre CDTi joins the line-up with 109g/km putting it in the £35 per year tax bracket. At the moment the whole Astra range is only available in five-door. An estate is due next year and we hope a three-door VXR version will follow soon afterwards. The chassis is certainly capable enough to handle increased power outputs. Overall it’s a dramatic step on from the previous generation – that was clear when we got to test the two back to back. So, a fantastic-looking, British-built hatchback with an entry level price of £15,675 – sounds good doesn’t it? Let’s hope buyers think so too…
Duncan Chappell
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[cult cars] B
rides traditionally have a habit of being late to weddings. It’s almost accepted: the nudges in the crowd, the nervous groom, the best man getting into the spirit of a few lunchtime beers by winding up the groom (and that’s before his hilarious ‘lost the ring’ joke). However, even the most disorganised bride would have trouble being late for her wedding if the car was one of these: the Bentley Flying Spur. That’s because it’s based on the 200mph Continental GT Speed. Yes, the same Bentley that uses a 6.0-litre W12 twin-turbo engine, delivered to the ground via all four wheels. In the Speed version, it pumps out 600bhp, which is good for 60mph in a veil-flailing 4.5 seconds. It can go fast, corner hard, outrun almost anything on the road – yet still has space in the back for a bride, a huge dress and a father of the bride fully limbered up to punch the groom if he does anything to upset his little girl on her big day. Car Dealer Magazine recently put this theory to the test, by borrowing the cult car from Bentley. See, the editor’s brother was getting married. So, James did the only decent thing for his little bro, and made fully sure his prospective bride would be at the church exactly when she was meant to be.
Bentley Flying Spur Call it the editorial mind at work: deadlines have to be met. Everything has to be planned. Nothing can be left to chance. The thought of leaving things to an old Rolls was just not on. Enter instead a leather-lined, four-door Bentley, with sober styling boasting just the subtlest hints of Speed. These cues include 20-inch Speed alloys, lowered sports air suspension and the most intricate dark chrome grille imaginable. It’s LED lights at the rear, Bi-Xenons at the front, and a monster set of Bentley-branded brake discs to guarantee stopping outside the church in the EXACT spot ordered by the photographer. After the ceremony, James’ new sister-in-law reported back indulgence from the full-width rear seat, which was both heated and had lumber massage, to gear her up for the big day. Stately, dignified, cultured and very, very fast, the Bentley Flying Spur Speed really is the
performance car you could turn up for your own wedding in. It’s now recorded for longevity in the Baggott family album, ensuring the cult car will become an additional underground cult for years to come. The bride wasn’t late, the bridegroom was done proud, and the bridegroom’s brother had the most amazing weekend once they were safely at the airport. Fancy some of the same? You’ll be needing £137,000 to do so. Mind you, compared to the cost of the wedding, that’s a drop in the ocean… Bentley Flying Spur Price: £137,000 Engine: 6.0-litre twin-turbo W12 Power: 600bhp @ 6000rpm 0-60mph: 4.5secs Max: 200mph
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It doesn’t take much these days for a damaged vehicle to be considered beyond economical repair, and the devastating effect that this can have on our customers and their ability to overcome the financial shortfall realised between the original purchase price of the vehicle or outstanding finance balance and their road risk insurance payout. Trying to reinstate the status quo and return the customer to their original purchase position can be impossible to overcome and result in a lost customer forever. In fact it is estimated that over ½ million vehicles are written off each year. Car values are unpredictable in the current climate so the opportunity for stability and guaranteed protection is an attractive proposition when explained clearly for every customer. Surely our commitment to all customers should go beyond the initial sale and protect their asset and our business into the future. How much involvement and through
If you would like to discuss the profit opportunities available from the innovative range of protection products from Warranty Management Services, please contact Eric Stone, Business Development Director on 07789-682502
STATISTICS - It is estimated by industry insiders that 50% of all stolen vehicles are never recovered and with a vehicle stolen every 90 seconds GAP/RTI is powerful proposition and a demonstration to every customer is a must. You may choose to ignore the stats but the following are hard facts... 1. WMS offer a product that is available for every customer. 2. Increased penetration and profit reported from supporting dealers. 3. Sales and product training provided. 4. Guaranteed under a claimable event. 5. Finance GAP and Return to Invoice protection in one product at one price. 6. Dealer fitted accessories and Insurance excess can be included. 7. Monthly direct debit payments available.
Vehicle Warranty | RTI | GAP
0844 477 4909 www.wmswarranty.co.uk sales@warrantymanagementservices.co.uk
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sales legends F iat was in strife in the early 1980s. Not an unfamiliar situation for the Italian firm, in all fairness. But this particular predicament was especially bad. It needed a car to save it, to replace the ageing 127 and give the automotive giant the all-important volume it needs. Basically, it needed a winner. A car that would sell in the millions, all around the world, that bulging factories could rush out day and night, and which would be different enough within a developing marketplace to ensure the buyers queued up with cash. It charged one Giorgetto Giugiaro, he of ItalDesign fame, to come up with an icon. What he generated was a supermini template that even today defines how family cars look. Not bad. It was called the Uno, and was tall, boxy, had an aerodynamic squared-off tail, set passengers on high seats and sported flat, square lines throughout to realise maximum interior dimensions. Launched in 1983, it became an instant modern classic. Up to then, we’d had Ford Fiestas and Renaults 5s defining the supermini sector. Indeed, Fiat itself actually invented it, with the 1970s 127. But all these models basically reinterpreted larger cars – yes, they had a hatch, but they still stuck firmly to the ‘shrunken large car’ look of bigger machines. The Uno adopted a completely different approach, using design from the inside out for, arguably, the first time since one A. Issigonis drew the original Mini. The results were startling, too – never before had a supermini had so much interior space and flexibility, felt so like a larger model, offered such an array of family-friendly layouts. Rear legroom was vast; the boot could still be considered contemporary; seats were commanding enough to make up for the somewhat Italianate driving position. It was all set within a space-age, designer cockpit that, like the exterior, offered something completely fresh. Out went your shrunken Ford Granada look, in came forward-looking instrument pods,
Fiat’s with switches set around the steering wheel for operating by fingertips. The only column stalk was for the indicators, and it all worked brilliantly. Fiat launched the Uno with a range of 127derived engines, labelled by bhp – 45, 55, 65, 75 and 90. These were okay, but the 0.9-litre and 1.1-litre powerplants were also dated. Much better was the 1.0-litre FIRE engine that arrived in 1985. This used cutting-edge construction to match the modern design, and was extremely fuel efficient. It made 1987’s rattly, noisy diesel a bit of an irrelevance. And also provided something of a contrast to the mid-1980s 1.3-litre whizz-bang
Richard Aucock reports on how the Uno saved the day for the Italian firm back in the 80s
turbo. 105bhp may not sound much today, but it was when packed into a car as light (and as hard-riding) as the Uno. Continuing the clever theme, 1987 also saw the launch of an innovative CVT automatic variant, called Selecta. Inevitably, these were a bit unreliable, but they still set yet another template that brands such as Audi continue today. Shame, then, that Fiat lost some of this individuality when it facelifted the Uno for the 1990s. Sure, the new interior rattled way less than the characterful original, but the identikit look was the exact opposite of the original’s approach. The styling was also toned down. The 1984 Car of the Year eventually left Fiat new car dealer showrooms in 1995, after more than a quarter-million had been registered here. Indeed, total production topping six million means it most definitely deserves sales legend status. Particularly as, remarkably, it’s still being built over in Brazil, as the Fiat Mille. It achieved its aims, and saved Fiat. Well, for long enough to prosper until the next crisis arrived (that needed the launch of the Punto to overcome). Seems oddly fitting, then, that one UK car magazine discovered the Uno was the 10th most scrapped car in the country. Yes, the model that saved dealers in the past is, courtesy of scrappage, still doing so today…
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I N A S S O C I AT I O N W I T H
Ewards 2009
I
autotorq.com
t’s hard to believe the internet has only been around just over a decade – how we survived before it is beyond me. But there is one thing that is clear: The future of car retailing is online. A good website can be the difference between no sale and sale; the difference between red and black on your bank statement and the difference between a future or the dole queue. But getting car retailing right online isn’t easy. Design, user experience, used and new car searches, offers, search engine optimisation – these are all key to a good offering online, but getting the right combination is very tough indeed. The reason we launched the Car Dealer Ewards last year came about after chatting to dealers just like you. Most knew they
needed to be online, most knew they needed a good website – but they didn’t know how. What exactly does make a good car dealer website? How do you go about setting it up? And just where on earth do you start? All valid and pertinent questions. So we set about looking for the best examples of those in the automotive industry that have got it right. The dealers large and small and car manufacturers that are blazing a trail on the worldwide web. And this year we’ve done it all over again. We had nearly 1,000 entries in this year’s Car Dealer Ewards in association with Autotorq.com. We whittled down a shortlist in each of the five categories and then handed those lists over to our judges. Each an expert in their respective fields, they spent hours poring over your offerings before awarding their points.
‘A good website can be the difference between no sale and sale; the difference between red and black on your bank statement and the difference between a future or the dole queue’
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Blog
Common sense SEO Marketing
Search
Web 2.0
Jackson Straight Talk In Eurovision style they handed 10 points to the site they liked the best, nine to the runner up, eight to 3rd place and so on. This ensured the winners were decided in the fairest possible way. The only one we did differently this year was our Web Innovation Eward. All the judges got together at headline sponsor Autotorq’s headquarters in Fulham, London, to nominate their one pick for a site that offers something truly innovative. After three hours of discussion and analysing the sites the judges voted again – in the same way as the other categories – to give us our winner of the special gong. Next month we’ll bring you a picture special of the winners with their trophies and a special feature on what the majority of our judges think the future holds for car dealers online. But now the wait is over – who’s won what? Turn over to find out who picked up this year’s Car Dealer Ewards in association with Autotorq.com…
The 2009 Eward categories 1. Franchised Dealer Website of the Year 2. Independent Dealer Website of the Year 3. Car Supermarket Website of the Year 4. Car Manufacturer Website of the Year 5. Web Innovation of the Year
T
his is my last column and in it I want to focus on ways you can get everybody in the dealership thinking smarter about the digital channel. 1. Are your sales team incentivised to capture email addresses of customers? Getting phone numbers is great but with email you can send targeted offers or reminders and track if they opened it. And it costs a fraction of snail mail. How many customer records in your DMS have no email address? Why not send out a mail shot with an incentive for them to respond with email addresses? We did this recently for one large client promoting their green credentials and were inundated with email addresses from customers wanting to go green too. 2. Want to understand where your customers are coming from? Use track-able phone numbers and URLs to see which campaigns on and offline are making the phone ring. Great help when determining how to apportion marketing spend. 3. Appoint an internet champion and an understudy for when one is on holiday or sick. Invest in training on your website for them. They need to know how to do the basics right e.g. loading cars and managing leads. The quicker cars are published on the internet and leads are responded to, the better. Incentivise them on this. 4. Keep the website fresh. You wouldn’t leave a bowl of rotting fruit in reception so don’t do it on your website. Offers and news should be loaded at least once a week. Fresh content is good for your Google ranking too. 5. Meet once a week to discuss the website. Get all departments involved. Review Google Analytics together to understand what your customers are doing and where they are coming from. Your website provider will talk you through Google Analytics on the phone and highlight which metrics are important to your business and why. Final point to make: like everything else, you get out what you put in and this means either time or money. If you don’t then your competition will and they’re one click away.
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.
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autotorq.com Ewards 2009
Franchised Dealer Website of the Year
Winner EssexAutoGroup.com Produced by: G-Forces Runner up
ArnoldClark.com third
3rd: John-Clark.co.uk
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ere’s one for the Essex boys and girls to celebrate! Multi franchise operator Essex Auto Group picks up this year’s Eward for Franchised Dealer Website of the Year. The firm – which holds franchises for Ford, Mazda, Fiat, Kia and Volvo – has a stunningly simple, but beautifully thought-out website that wowed our judges. It was a close run thing though – it narrowly took the top spot with just two more points separating first and second place! The independent, family-run group has been trading for 20 years and has placed high importance on its website, which is produced by G-Forces. The groups’ marketing director Matt Brown was over the moon with the Eward and said it proves his vision for the site has paid off. He designed the site with G-Forces with the plan of promoting Essex Auto Group first and foremost, not just the cars it sells. ‘Customers can buy a car from any dealer, so it’s down to the relationship you can build with them,’ he said. ‘Our website aims to do just that and all are marketing starts or ends on our website. ‘It’s good to know the judges spotted that we try to get our personality across on the website. We’re delighted with this award and to beat Arnold Clark into second place is quite some achievement. ‘We’re not resting on our laurels though. We’ve got big plans to push the website next year with a host of new features and we’ll be concentrating on making it even better.’
The firm’s efforts impressed our judges, many of whom gave it top marks. ‘The site has good impact as soon as it loads,’ said Visit Cars’ MD Shaun Armstong. ‘There’s a soft, engaging car search, clear navigation for purchase options while time and good effort has gone into the SEO.’ Fellow judge Motoring.co.uk’s sales director Chris Green loved the fact the site makes a song and dance about the group. ‘The website has something that I have been banging on about for ages; something I feel dealers should promote more: Themselves!’ he explained. ‘I also like the live service booking, which is fantastic, as we all know how hard it can be to get through on the phone. The whole site has a clean look and feel – Essex Auto Group has got it spot on.’ HPI automotive director Daniel Burgess was also impressed with the clever live booking facility and liked the fact the group had embraced social media. ‘We liked the strong stylish identity with the homepage banner showing the various branches,’ said Burgess. ‘There’s good search facilities based around lifestyle/vehicle type too. And extra site functionality like the live booking really sets these guys apart.’ And Rob Queen, marketing manager for UK Websites and Compucars also spotted the group’s adoption of Facebook (the group has a page on the social networking site where customers can become fans). ‘I liked the structure of the homepage allowing the user to locate their required service and with one click access that area,’ said Queen. ‘I was also impressed with their approach to innovation by featuring Facebook and a Loyalty Reward Scheme.’
Autotorq talk
Ewards headline sponsor’s view on the winning website
‘This franchised group solution has managed to squeeze a lot onto its brightly coloured and impacting homepage. It makes good use of both still images for vehicles in stock and has provided a corporate video to introduce customers to the group. Nice to see them adopting online “chat” to engage with customers and the Loyalty Logistix card programme to encourage customer commitment. Definitely one to watch as it refines with age.’
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‘The firm – which holds franchises for Ford, Mazda, Fiat, Kia and Volvo – has a stunningly simple, but beautifully thought out website that wowed our judges’
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autotorq.com Ewards 2009
Independent Dealer Website of the Year Winner CliveSutton.co.uk Produced by: Dzinegarage.com Runner up
hampshiresportsandprestigecars.co.uk third
3rd: John-Clark.co.uk
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hen you’re selling cars to the stars you need a website that oozes quality – and CliveSutton. co.uk does just that. It’s packed with rich media including video, smart photo galleries and magazine quality photographs that do the exclusive London dealer’s stock justice. Every car listed on the site has a wealth of information about it with pictures from every angle imaginable – a perfect draw for the wealthy customers Sutton’s looking to attract. The independent dealer has worked hard to ensure the site gives off a quality feel and Sutton says it’s key to his business. He works closely with an India-based firm called D’zine which has put his ideas for the site into practice. ‘The site is a result of me totally reconfiguring my business to draw customers in from around the country to buy and sell their vehicles with us,’ said Sutton. ‘I’d like to thank the judges for picking us and for Car Dealer for having a category that salutes the independents as it’s often hard to get the recognition. The site is of the utmost importance to the business and it’s really good to know that our hard work has been spotted. ‘It’s our most important shop window and we’ve even sold cars to people in Hong Kong on the back of the videos on the site so we know
it works. I am delighted to have won.’ The Independent Eward category was the closest fought of all – Clive Sutton’s site took first place by just ONE point. But what was quite clear from the judges was how much they liked the use of media on the luxury car dealer’s website. ‘Clive Sutton’s site has easy navigation and clear screens,’ said HPI automotive director Daniel Burgess. ‘The site has all the functionality of some of the more down market sites, but manages to maintain a consistent and stylish brand presence. Superb car imagery and presentation of the stock in slide shows are impressive. And he engages with Twitter too!’ Fellow judge Chris Green, sales director of Motoring.co.uk, said his choice for a winner in this category was the hardest, but said the way Clive Sutton’s site screams ‘stunning cars here now’ was the reason it got the nod. Codeweavers commercial director Martin Hill was another of our top judges who was impressed with the use of photography. ‘The pictures really add to the luxury feel of the site,’ he said. ‘Also there are many different ways in which the customer can contact the dealer, at a time that suits them. ‘Good use of online payment technology makes the customer commitment tangible and allows them to reserve vehicles online with deposit or payment.’ And G-Forces marketing director Tim Smith praised the use of video and rich media adding: ‘The high end exotica that Clive Sutton is well known for is presented very well with the use of superb photography.’
Autotorq talk
Ewards headline sponsor’s view on the winning website
‘Strong on branding with powerful images on the homepage, an interesting video gallery tucked away inside, and again the use of online ‘chat’. This shows how independent dealers can build a clean, clear website to promote their brand and engage customers with good solid content – a worthy winner.’
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autotorq.com
Congratulations to the winners of Car Dealers 2009 Ewards sponsored by autotorq.com
Our new services help automotive dealers quickly become more profitable using the web and digital marketing services. “We are delighted with the new ideas and thinking from autotorq.com. They have really opened our eyes to what is achievable through the digital channel. The website videos of independent test drive customers are proving a real hit with customers. As a result of these new services, we’ve seen a measurable increase in the number of leads and cars sold.” Gary Pesticco, Mananging Director, Bridgend Ford
Vacancies: Are you looking for a challenge and an opportunity to be part of a dynamic team driving innovation in dealer marketing? Contact us for details and more information on the vacancies we have available tellmemore@autotorq.com
0844 243 5310
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Why do more franchised dealers choose motoring.co.uk than any other site for new cars?
Instant, easy stock upload .... Recommended by manufacturers .... Sell more new cars now
Call us on 0844 245 1556 Download our brochure: www.motoring.co.uk/brochure Email trade@motoring.co.uk CarDealerIss21.indd 46
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I N A S S O C I AT I O N W I T H
autotorq.com Ewards 2009
Car Supermarket Website of the Year Winner Carshop.co.uk Produced by: G-Forces Runner up
Autoquake.com third
CarCraft.co.uk
S
torming to victory in the Car Supermarket category by an incredible 21 points over its nearest rival is the Car Shop. The firm’s winning website combines a bold and bright colour scheme with useful functions and clever touches that curried favour with our judging panel. The car supermarket group currently has three locations across the UK in Swindon, Northampton and Cardiff, with a fourth due to open in Doncaster in November. CarShop.co.uk is the second site in this year’s Ewards to be designed by G-Forces and has been an integral part of the group’s success. Launched in August 2008 the site has steadily improved as the firm adds more functionality to help car buyers make their buying decision there and then. Group marketing manager Cathie Kemp said: ‘We are delighted with this award. It just proves we are doing the right thing. ‘We place huge importance on the website as we know around 80 per cent of buyers turn to the web first when they’re making their buying decision. We ensure all the information is there for them to chose the car they want from finance to insurance to vehicle choice. ‘It started out as a very pure site, but we’ve gradually added more functionality and in the last 18 months the website has gone from something that was rarely mentioned to our number one priority. We’re delighted with this Eward.’ Our judges were understandably impressed with the bold site. Really Good Domains’ marketing manager Richard Lawton is well placed to comment on the winning site – his firm’s portfolio includes
Carsupermarkets.co.uk, a directory of the dealers across the UK, so he’s seen most of the UK’s supermarket websites. ‘We love the bright, cheerful graphics – it really hits the nail on the head of what a car supermarket is about,’ said Lawton. ‘Another excellent feature deployed on the website is the video testimonials, while the stock search is easy on the eye and incorporates a good green search option.’ Black Horse MD Chris Sutton agreed adding: ‘The site has a contemporary design with strong appeal for a consumer audience. It is easy to navigate and there’s good consistency throughout the site, both in look and content. ‘Where many in this category bombarded the user with information, the Car Shop has about the right level of information on each page. It’s graphically interesting too.’ Codeweavers’ commercial director Martin Hill was also impressed with the design and use of colour to brand the site. ‘The video testimonials are very useful, as are the animations,’ he said. ‘Plus the use of the cartoon character provides a consistent presence for the end user as they move through the site.’ Visit Cars MD Shaun Armstrong liked the fact it had a ‘fun, light-hearted and engaging’ feel and praised the stock lists which he believed would appeal to the target buyers. While Compucars and UK Websites marketing chief Rob Queen added: ‘There were a number of innovative features that swung it for me, most notably the My Car Shop that allows personalisation of the site and video testimonials that leave the consumer reassured.’
Autotorq talk
Ewards headline sponsor’s view on the winning website
‘Nice to see an uncluttered homepage that doesn’t overburden the consumer on their first visit. Good and highly visible use of video testimonials from happy customers to build confidence with new prospects and a simple but effective search interface helped Carshop. co.uk emerge at the front of the pack.’
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autotorq.com Ewards 2009
Car Manufacturer Website of the Year Winner Volkswagen.co.uk Produced by: Tribal DDB Runner up
Audi.co.uk third
Fiat.co.uk
S
olid and reliable – just like its cars – the Volkswagen website packs in a host of clever touches to take the Car Manufacturer title. The German site has recently had an overhaul and offers users a typical VW experience. The branding on the site is spot on, the user journey hooks customers in and the new car configurator is second to none (more on that later). The site is packed with rich media, video animations and is an absolute pleasure to use. It’s packed with information too – everything buyers could possibly want to know can be found on the site quickly and easily. VW said the award proved the hard work it had put into the site since its launch in 2008 has been worth it. ‘Volkswagen places a huge amount of importance behind the website and invested heavily over the last few years to provide an experience that is innovative, engaging and provides the information our customers require, so being named Car Manufacturer Website of the Year is a really great result which we are very proud of,’ explained Marianne Nicholas, Volkswagen relationship marketing manager. ‘The website is often the first port of call for prospective customers, Volkswagen owners and general web-browsers alike, and it was designed to
make it more appealing to all. ‘We are proud of the website, and our research and tracking shows it has been well received since launch. These new functions ensure we offer customers what they want and need, and of course we will be looking to develop the site and its range of features further in future.’ Car Dealer Eward judges were impressed with the site’s ability to trap the user and filter them through to a variety of different areas. Many praised the use of animation – which features heavily on the site – as well as the clean and crisp design. HPI automotive director Daniel Burgess said: ‘The clever homepage directs the user to the correct part of the site immediately. It really lives the brand values of reliability and simple sophistication too and this approach is carried throughout the site.’ G-Forces marketing director Tim Smith also spotted the site has made use of some clever software – stealing a march on its rivals. ‘The use of Adobe’s next generation Flex platform has been put to expert use here,’ said Smith. ‘The site is crammed full with offers, conversion tools and reflects the manufacturer’s promos. It’s also linked in very tightly to offline marketing.’
Autotorq talk
Ewards headline sponsor’s view on the winning website
‘A beautifully clean, crisp website with simple but clever use of “I want” navigation on the homepage. It presents a professional, well-engineered face to match the brand characteristics. Nice touches like the cars driving on to the page when you look for new vehicles and an excellent configurator are really appealing – a worthy successor to last year’s winner!’
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autotorq.com Ewards 2009
Web Innovation of the Year
Winner Volkswagen New Car Configurator Produced by: Tribal DDB Runner up
Fiat.co.uk third
3rd: Volkswagen gtiproject.com
I
t’s double top for VW in this year’s Ewards! Not only did the carmaker pick up the Car Manufacturer of the Year gong, but it’s also sealed victory in the Web Innovation category with its stunning New Car Configurator. The clever piece of software is an absolute joy to use and can be seriously addictive – even if you’re not in the market for a new VW! The animations are superb and it’s easy for users to pick a plethora of options, delete and add others with a click of the mouse. There are also handy functions so potential purchasers can save their chosen car, then return later to finish it off. Buyers can print off the details to take to their dealer and there are bold buttons to book a test drive and order a brochure. But what really stands out is the flow and animation of the configurator. The graphics are visually stunning – just check out the way ‘your’ car is sprayed in a different colour when you select it – and all this happens very quickly. Marianne Nicholas, Volkswagen relationship marketing manager, said the car maker was ecstatic with its second gong. ‘We are delighted to receive this award for the New Car Configurator, which has become such an integral part of Volkswagen.co.uk,’ she said. ‘With so much information available, buying a new car can be a confusing and daunting process so the challenge has been to ensure our website is equipped to give users the key facts and figures they need, in as clear and uncomplicated a way as possible to allow them to make an informed decision.
‘The configurator gives users a life-like experience of sitting in and walking round each of the models in the Volkswagen range without having to leave the comfort of their own homes. ‘Every option that can be specified on a new Volkswagen has been included on the site, so it gives visitors the chance to see first hand how changing and including additional options will enhance the car of their choice.’ The Web Innovation Eward was voted for in a slightly different way to the others. All 11 judges had to pick one automotive website – large or small – that they felt had done something truly innovative online. Then when all the judges got together at headline sponsor Autotorq’s headquarters in Fulham, London, each member of the panel got the opportunity to put the case forward for their choice. Why they chose the individual sites was purely personal and on what they, as experts, judged as innovative. Debate was intense as we pored over the sites for three hours, testing each as we went and analysing the different parts. At the end of the nominations, judges were handed voting forms and allocated their points – in the same way as the others – with 10 for their favourite, nine for the runner up all the way down to one for their least favourite. Judges were extremely impressed with the VW configurator with many swayed away from their original picks to award it top marks. Motoring.co.uk’s sales director Chris Green said it was ‘outstanding’ with another of the panel stating ‘it’s simply the best car configurator out there at the moment’.
Autotorq talk
Ewards headline sponsor’s view on the winning website
‘It’s hard to stand out from the crowd with a car configurator, but Volkswagen has achieved just that with a rich and engaging interactive show of how to build and specify your own car. Clever little touches like robot arms spray-painting the car to the colour of your choice, or rolls of material being laid out for the interior, shows a genuinely innovative approach to presentation.’
Web Innovation Nominations These are the sites nominated by our Ewards judging panel – which included the Car Dealer team. All are worth checking out. In no particular order the nominations were
1. Auction4cars.com 2. Changeperspective.saab.com/global/en/ 3. Zype.co.uk (actual product, not website) 4. GTIproject.com 5. Fiat.co.uk 6. Autotrade-mail.com 7. Volkswagen.co.uk’s New Car Configurator
8. Webuyanycar.com (the concept, not the website) 9. Autotrader.co.uk 10. Google analytics NEXT MONTH: Find out what the Car Dealer Ewards judges think the future holds for the automotive industry online in our exclusive round table feature.
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BH AD - AHEAD OF THE REST:2009 BRAND REFRESH
3/11/09
12:50
Page 1
AHEAD OF THE REST Congratulations to the winners of the Car Dealer Ewards 09
For dealer finance, Black Horse is the clear winner. As the No.1 provider of point of sale finance to the motor industry, Black Horse provides finance to more than 10,000 new and used car dealers throughout the country, and carries over 50 years’ industry experience with it.
To find out more about funding options visit
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Meet the Eward judges Richard Lawton
Martin Hill
Tim Smith
Daniel Burgess
Clive Jackson
Really Good Domains Marketing manager
Codeweavers Commerical director
G-Forces Marketing director
HPI Automotive director
Founder Autotorq
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 looked for websites that did more than just look pretty. While eye-catching design is important, we paid special attention to how intuitive and easy to use the website was from a user’s perspective.
I wanted to see innovation. Was the user informed with quality content, video and vehicle information? Were there clear calls to action? If the answer was yes, the site got my vote.
Innovation, execution and results were what I was looking for. Results are key to success and the Eward winners have demonstrated a positive impact on their business from their website.
I reviewed websites to see which offer a shop window to a range of products and services, from finance to warranty. But, as ever, how this was delivered was key to influencing our decision.
I looked for websites that were not only well designed, but provided a return on investment. I wanted to see evidence that the web was working for the busines and that it was measuring success.
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
0845 667 6000, compucars.co.uk I looked at two distinct areas. How efficiently does the website promote used car stock? I also looked at how well it uses the website for up-selling value added products and services.
autotorq.com
08717 502 495 visitcars.co.uk
0161 638 9804, motoring.co.uk
02921 386 338, blackhorse.co.uk
0845 600 6644, bca-europe.com
I looked at the customer journey and usability of the websites. Capture points that call the visitor to action and good SEO for lead generation was key as well as regional and localised targeting.
I wanted to see businesses that have embraced the internet. I looked to see whether a consumer was able to find the information they were looking for easily and analysed their search engine rankings.
We’ve all come across websites which don’t deliver. The Ewards are all about celebrating the best, so I was looking for sites that have functionality, search engines and engaging designs.
I looked for integration and return on investment. Integration is vital because while the web can be a great shop window, the follow through to transaction may often be offline.
CarDealerMag.co.uk | 53 CarDealerIss21.indd 53
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Run by dealers for dealers Est 1999
21,158 prime used cars offered on Autotrade-mail last month IT’S FREE TO TRY CALL 08444 702513
“Joining Autotrade-mail back in May 2001 is one of the best business decisions I have made –
the system is paramount for us to buy and sell trade stock. We have
always dealt with professional outfits through Autotrade-mail.com and the stock that we source though it is truly quality. The stock advertised will represent the true market value at any one given time and also is an indicator on how things should be priced. Quite simply, with ‘profit’ in mind, this system is truly a gem.” Peter Helme, Barton Townley Nissan October 09
Over 4500 dealers subscribe to Autotrade-mail.com If you aren’t already one of them, we’re certain we can help you make more profit!
“Autotrade-mail has proved very useful over the past few months, I had an email through looking for a specific vehicle, which I happened to have in stock, I contacted the dealer and the deal was done without fuss, in that one sale alone I cleared ageing stock and made enough profit to cover the annual subscription! Autotrade-mail has proved itself many times over.” Brad Nathan, Geoff Bray Ltd October 09
Call us on 08444 702513 for a FREE two week trial to experience the full range of Autotrade-mail subscriber benefits before investing in your £40 monthly subscription. The UK’s leading online real time used-car trading network CarDealerIss21.indd 54
6/11/09 10:07:35
k
g
right click
...in association with G-Forces
Jenson wouldn’t have done it without his winning team Car dealers can learn a lesson from Button’s win about getting a good team behind them
A
s the media furore returns to a gentle simmer, interviews and articles about Britain’s second consecutive Formula One world champion all share the sentiment that, as good a driver as he is, Jenson wouldn’t have achieved success without a strong team behind him. Just as Mr Button’s title-drought for his first eight years in the sport or Damon Hill’s lack of further titles after switching teams makes clear; a good driver isn’t the only element of a title win. Behind every podium placement there’s a group of tireless individuals making sure that the car and driver are backed up by a strong and flexible team and strategy. From team principals and aerodynamic experts to pit-stop tyre changes and fuelling decisions – it’s these elements that ensure a sure-fire victory doesn’t turn into an early retirement. The same principle applies to automotive dealers looking to achieve success in a world that’s just as competitive as the F1 starting grid – the internet. A recent survey of vehicle buyers revealed that 88 per cent used the internet for information as part of the vehicle buying process with the majority of customers making use of dealer websites over manufacturer sites (source: CAP Gemini). So how can automotive dealers ensure their website is in a position to grab the attention of vehicle buyers online? And then how can they ensure their site can win leads? Having a good looking website is one thing, but having a strong yet flexible strategy and team behind your website is vital. It means it can adapt to every change in the market and user behaviour.
Jenson’s world championship win was down to his team too, and it’s the same for you online on the scrappage scheme the second ‘The same principle applies enquiries the offer went live. to dealers looking for success Both your marketing strategies and web need to be able to adapt and evolve in in a world that’s as competitive platforms line with the latest changes as they happen. Not only to ‘cash in’ but to ensure you don’t get left as F1 – the internet.’
Responsible for 181,117 new vehicle sales so far this year, the scrappage scheme has been one of the biggest motivators in new vehicle sales yet. One of our clients, The Stoneacre Group, was well ahead of this trend with their marketing strategy. Some six months before Mandelson’s announcement, the company was running a dedicated blog on the scheme. With 36 per cent of car buyers using information sites as part of their decision making process, Stoneacre was in an ideal situation to drive qualified leads to its site, itself built on a flexible platform already prepared to handle
behind by the competition. Our clients at G-Forces benefit from the support of a team with strong and flexible software, management and marketing. Whenever there’s a change in the market, they’re able to act immediately with a strategy already in place. In the race for online enquiries, automotive dealers need to ensure that their site is backed up by just such a web strategy. From the design and functionality of a website to dedicated support and marketing – it’s these elements that make the difference between a site without visits and a lead-generating digital dealership up for an Eward.
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C
Isn’t it about time you got paid on time?
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How? Well, you need the a warranty partner who doesn’t mess you around, pays ratified claims within 24 working hours, has the right products, no red tape, support from dedicated and experienced engineers who talk your language, gives you the right training and appreciates your business! We have over 2000 dealers across the UK making real cash for their business as resellers of the WMS range of protection products... so, the next time you get to the point you’re going to go round the bend because it’s weeks (or even months) you’ve been waiting for payment - maybe it’s the right time to call our Business Development Director; Eric Stone on 07789 682502
Vehicle Warranty | RTI | GAP
0844 477 4909
sales@warrantymanagementservices.co.uk www.wmswarranty.co.uk
CarDealerIss21.indd 56
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...in association with Really Good Domains
dot com
...in association with Really Good Domains
Web adverts overtake TV!
Despite one of the deepest recessions for generations, online advertising is positively booming
U
ndoubtedly the biggest news to hit the online marketing world this year was announced at the beginning of October – we’re talking about the news that online advertising spend for the first time has overtaken TV spend, with online growing 4.6 per cent to £1.75bn during the first half of 2009. According to the online advertising expenditure study from the Internet Advertising Bureau (IAB) in partnership with PricewaterhouseCoopers (PwC) and the World Advertising Research
Centre (WARC), the internet has now overtaken TV advertising to become the UK’s single biggest advertising medium. It took a record 23.5 per cent share. This news comes on the back of one of the deepest recessions for generations where the entire advertising sector contracted by 16.6 per cent. So why have we seen the internet rise to become the most important advertising medium in the UK? Well, what internet advertising facilitates is that it allows the targeting of very specific groups of people and while not a perfect science, it makes advertising spend easy to track.
‘More than 70 per cent of adults spend more than an hour a day online and 92 per cent of these people have broadband.’
It’s also the media which people are consuming in greater quantities, more than 70 per cent of adults spend more than an hour a day on the internet, and 92 per cent of these people have a broadband speed of over 2MB. So while it would be nice to advertise to the many millions watching Simon, Cheryl, Dannii, and Louis on the X Factor every Saturday and Sunday night, the smart money looks at ways of making advertising money stretch further online. One of the largest parts of internet advertising is paid-for search, most commonly seen on Google with its ubiquitous Google Adwords, with other search engines such as Yahoo! and Bing utilising a similar model. This method of advertising can be very effective, but it’s not without its drawbacks. Using paid-for search can be extremely costly with companies, large and small, bidding on the most popular keywords, which is great for the search engine provider but not so good for the already stretched marketing budget! Another aspect which many companies fail to realise, until it’s too late, is that once you stop or reduce your use of paid-for search the company will become anonymous once more. The other main option for car dealers looking to exploit the limitless potential of internet advertising is through the selected use of aggregators or portals – the best of these portal websites attract car buyers like a bear to honey, in far greater numbers than your own website could possibly hope to achieve and it is here where the savvy car dealer can flex its marketing budget to greater effect. Portals such as ContractHire AndLeasing.com, Save MoneyOnCars.co.uk, and TheVanWebsite.co.uk have been designed to appear at the top of search listings on thousands of relevant search terms, which in turn mean that hundreds of thousands of car (and van) buyers flock to these websites every month looking for their next vehicle. Effective advertising to these buyers when they are actively seeking their next purchase is the ideal way of stretching your advertising budget.
The most popular deals for contract hire and leasing A
t ContractHireAndLeasing.com we run an annual set of awards to promote and reward some of the best deals we have seen on the website over the previous 12 months – its always very popular and this year is no exception with a record number of entrants from hundreds of companies. One of the most pleasing aspects when we sift through the entries is the sheer variety of makes and models entered into the awards – it really is the full spectrum of cars that are popular in the industry and on the website. For example the tiny Citroen C1 has been
exceptionally popular all year as many people look for a value-for-money run around, yet we have also seen more prestigious cars like the Audi A5 remain very popular with business and personal users. The most popular car of the year though in the leasing market remains the Volkswagen Golf with strong demand from business and personal users all year. What is also apparent is the level of interest that is out there for all contract hire and leasing cars, especially when something is perceived to be excellent value. A case in point was a particularly strong offer for
the always popular Audi TT 2.0 TDi Quattro in June, where such was the level of interest in a specific deal that the leasing company in question could have sold 10 times the number of cars, if only the manufacturer had had a greater allocation. As it was, the company completed 17 deals on the model in only a week! ContractHireAndLeasing.com is the backbone to the contract hire and leasing industry in the UK. Hundreds of dealerships enjoy the benefits of advertising to 500,000 monthly users. For more details phone 0161 482 7650.
CarDealerMag.co.uk | 57 CarDealerIss21.indd 57
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servicing
in association with the Motor Industry Code of Practice
Joining forces to back Motor Codes Code gets resounding vote of confidence as industry rallies round to back the scheme CAR industry bodies and MPs have joined forces to support the consumer-friendly Motor Codes. This provides further key support for a scheme that, it is hoped, will stave off the threat of further government legislation for car dealers. The Motor Industry Code of Practice for Service and Repair has been given the seal of approval by the SMMT, RMIF, SMTA and consumer affairs minister Kevin Brennan. This resounding vote of confidence comes a year after its launch with the Code now boasting more than 5,500 members.
5,500
...number of garages signed up to Motor Codes already
It proves, says the body, that the car industry can regulate itself and boost consumer care standards without the need for costly additional regulation. Government minister Brennan said he was very encouraged by the take-up of the Code so far. However, he added, ominously, more support was still needed. Otherwise ‘the government will need to revisit the case for
Garages are signing up in their droves tighter regulation of garages’. Nobody wants this – so it is in all garages’ interests to make sure as many car dealers as possible sign up! SMMT chief Paul Everitt confirmed that ‘the Motor Industry Code of Practice for Service and Repair gives the best opportunity yet for garages owners to clean up their trade’s reputation’. He added: ‘Most garages already exceed the minimum standards set by the Code, but by signing up and displaying the logo, they can help motorists identify the better businesses and drive out the rogue traders.’
Why I signed up... Balsdons Vehicle Services which we get across by taking the time to explain what it’s all about on an individual basis. ‘We then promote it with a leaflet included with each mailshot, giving the scheme greater visibility.’ Motor Codes is very keen on getting feedback, and Balsdon encourages this from every customer. ‘We hand out feedback forms, but also encourage customers to go online and complete the forms
ALAN Balsdon is managing director of Balsdons Vehicle Services and loves being part of the Code. He says Motor Codes has been ‘an absolutely fantastic tool – a definite step forward’. The Devon dealer has re-signed for this year, something he will definitely do every year going forward. ‘We have nothing to hide, and this is the perfect way of demonstrating that,’ he says. ‘Customers appreciate this clarity,
there. They’re often time-short, and this is a good workaround for them.’ Balsdon expects the profile to raise further when the Code receives full OFT approval. ‘As it grows, it can only benefit us. It will put the back street garages out of business – and, as they diminish, it will mean more work for us. If anyone is looking to ensuring the best chance of staying in business in the future, they need to subscribe to the Code.’
Cracking the Code Chris Mason, asks whether you ‘get’ the Code yet?
D
espite the welcome uplift in car registrations that has resulted from the scrappage scheme, the underlying weakness in the UK economy continues to dissuade many consumers from buying a new car. For the service and repair sector, the potentially helpful bi-product of extended car ownership is that a growing numbers of consumers recognise they need to keep their existing vehicle in tip-top condition to protect their investment. The number of cars on the road at the end of last year totalled more than 31m and, of those, over 24m are more than three years old. Evidence suggests that motorists with vehicles over three years old are increasingly likely to shop around for regular servicing and repair work. It is therefore more important than ever that garages stand out from the crowd, and build the kind of positive relationship with customers that will ensure repeat business and facilitate cross-selling. Many Motor Codes garages report that they are winning new service and repair business entirely because of their affiliation with the scheme. Furthermore, customers have a greater desire to make return visits due to the open, honest and customer-friendly way that Motor Codes businesses operate. Cost is often a key factor motivating service and repair customers to shop around. The transparent pricing, estimating and quotation structure insisted upon by Motor Codes encourages customers to use a garage where the cost of a job is known upfront. Nearly a fifth of the UK’s garages now benefit from association with the Code, and these subscribers also make good use of the extensive range of free marketing materials available at motorindustrycodes.co.uk. These marketing tools enable garages to highlight to the public their commitment to the Code, setting them apart in a very visible way from non-subscribing rivals and ‘rogue’ garages.
‘It is more important than ever that garages stand out from the crowds and build a positive relationship with customers.’
Good for customers, good for our industry, good for your business.
58trade_ad190x30a.indd | CarDealerMag.co.uk 1 CarDealerIss21.indd 58
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
6/11/09 10:07:42
online
...in association with Motoring.co.uk
...in association with Really Good Domains
If Carlsberg made salesmen ...they would be chasing every single lead. But Motoring.co.uk has found out that sadly it’s not always the case
I
magine this scenario. Mrs A has researched her purchase for the past week or two, trawling around Fifth Gear, Top Gear and any other site she could find for new car reviews. Her thoughts have turned from browsing to buying, and the excitement is kicking in. Questions like ‘What colour shall I get? How much is my car really worth? Will I have it for Christmas when my family are round?’ All are running through her mind. Mrs A finds the right deal online, and emails an enquiry to you. She gives two phone numbers and an email address and waits for the instant response. ‘This is online, right, I’ll get a response straight away,’ she thinks. The phone does ring almost straight Ok, so your salesman might not be asleep on the job but as good as when it comes to web leads away, the dealer has a car in stock, in the right colour. Fantastic. The dealer emails a quote to know the result of the call. and the part exchange price is actually not bad At Motoring.co.uk we monitor our dealer at all. Great. Next step: buy it. Mrs A calls the enquiries via an underlying customer service dealer, pays a deposit and the deal is struck. email suite and by a random telephone survey, Simple. If Carlsberg made salespeople, this is so we can help retailers identify shortcomings how it would always be... probably. and positive results. We can even inform any But according to our research, dealer followmember of staff in an organisation when there? What can you do today to increase your up can be as low as 40 per cent of new car there is a missed opportunity. online conversions? customers within 48 hours. With used car sales Few of us are allowed to take personal Let’s look at three solutions, which we know being buoyant, and contributing strongly to calls at work, so if you call a customer from personal experience work really well and dealer profitability, it is no wonder the sales during office hours chances are you’ll get an that you could implement in just one day. team chase the quick buck. It has always been answerphone. Once you have left a ‘good The simplest is just to acknowledge the enquiry that way, and maybe always will. news, call me’ message, increase your chances automatically. ‘Thank you for your enquiry, our So if 60 per cent of the customers described of a return call by texting and emailing the team will call you shortly’. List your opening above are not contacted quickly enough, how customer. Most people review their emails and hours on the reply, so they know when you are do they feel about this? The excitement that texts much more quickly than their voicemail. likely to be there. This will buy you a little time had built up has ebbed away, and is turning Remember you are probably competing with to… call the customer! Not revolutionary, but into frustration. In short, the longer you take other dealers, so first contact is vital. By folthere are two parts to it. One is to actually call, to contact the consumer, the less likely they are lowing these simple steps, you will increase the second part and, arguably more important, is your online conversions – today. to buy a car from you. So what quick wins are
‘If Carlsberg made salespeople, then this is how it would always be... probably.’
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'RZQORDG EURFKXUH ZZZ PRWRULQJ FR XN EURFKXUH CarDealerMag.co.uk | 59
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auctions Transforming the way you buy at auction
SMA auctions online
AUCTION4CARS was launched this time last year – and the Motorpoint division is soon to hit 10k sales. What’s more, a FIFTH of all UK traders have registered on the site to bid for the motors. Taking part-exchanges from Motorpoint, the fee-free CAR auction house SMA will soon car auction is a trade-only have access to ALL of its auctions service. It was launched at across the UK. This will mean car the firm’s Derby base, but has dealer customers of the Scottish firm quickly extended to Burnley, need never visit a ‘live’ car auction Newport and Peterborough. ever again. The firm is selling 400 cars Sales director Eddie Thompson a week – leading group said the company has done this by disposals manager Neil SMA now offers access to all its investing heavily in the ‘ultimate Prescott to reveal the 10,000 auctions on its website service’, which allows buyers to end of year goal. ‘attend’ an SMA auction without ‘It is clear from the volume leaving the comfort of their office. of people who have registered Only basic computer skills and an email that everyone was looking for an alternative to traditional address are needed. auctions,’ he said. ‘We believe It’s not a complete substitute, he Auction4cars has the potential added. ‘While we don’t believe to radically transform the going online will replace the way in which the trade buys physical auctions, having the option of service_and_repair_code_ad:188 X 130 30/7/09 16:20 Page 1 vehicles in the UK.’ full internet access, in real time, is an
Company offers dealers access to ALL its sales on its website, saving you time and money
‘It is the closest thing to actually being in the auction hall, saving me a huge amount of time.’
additional service.’ For those worried about provenance, SMA is laying on inspectors to appraise vehicles ‘before, or during, every sale’. But Hampton Court Motor Company co-owner Doug Cowan reckons there’s nothing to worry about. The system, from which he’s bought 30 motors, ‘has put paid to me having to either fly or drive to Scotland to make use of the company’s facilities, saving me a huge amount of time and expense’. ‘It really is the closest thing to actually being in the auction hall,’ he said. ‘The condition of every vehicle is perfectly outlined in the sale description, the video link is exceptionally clear and precise, and if I ever have a query, an SMA inspector, many with direct retail motor trade experience, is on hand to answer my call.’ SMA’s move is the next step in the progression of online car retail. What do you think the future holds? Get in touch and let us know.
If you already do this: honest and fair services open and transparent pricing work completed as agreed invoices that match quoted prices competent and conscientious staff
You would benefit from signing up to this:
The Motor Industry Code of Practice for Service and Repair commits garages to an open, fair and responsible way of doing business. It is a voluntary Code that has the backing of the whole of our industry and delivers the benefits of self regulation to garages and their customers. It’s likely your business already meets the standards required by the Code so by subscribing you can easily benefit from being part of an initiative designed to benefit the industry as a whole.
Be part of this industry wide initiative and register now at www.motorindustrycodes.co.uk
60 | CarDealerMag.co.uk CarDealerIss21.indd 60
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Motor Trade & Commercial Insurance
Features and Benefits t Cover for full and part-time traders t Traders aged 25+ covered t Demonstration cover t Motorbike cover t Trade and social use t Recovery vehicles covered t Cover from home or premises t Road Risk and Commercial Premises Cover Available
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Insurance Factory Ltd. Registered in England and Wales (No. 02982445). IF_CarDealerMag_190x142.indd 1
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6/11/09 10:07:45
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For All Motor Trade Staff and Positions Throughout The UK – CALL US DIRECT OR VISIT www.Topcarrecruitment.com chris@topcarrecruitment.com or 07590 051011 | james@topcarrecruitment.com or 05602 398186 paula@topcarrecruitment.com or 07525 495348 | sarah@topcarrecruitment.com or 07793 411385
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Are you reading this? We thought so. And so are thousands of car dealers. Find out how affordable promoting your company in this slot is. Call us now on (023) 9252 2434 62 | CarDealerMag.co.uk CarDealerIss21.indd 62
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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: 02921 386 338 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.
FEATURED ENTRY... Warranty Management Services T: 01844 290536 W: warrantymanagement services.co.uk E: sales@warrantymanage mentservices.co.uk
Warranty Managment Services are the latest firm to be included in our not-to-be-missed guide. It’s the most affordable way to get your company in front of thousands of car dealers every month. Simply call us on 023 9252 2434 to find out how you can get listed. and sub-prime. 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
WARRANTY AA Warranty T: 08707 559 614 W: aawarranty.co.uk
Autotorq.com T: 020 7384 8501 W: autotorq.com E: enquiries@autotorq.com CDWD T: 0844 880 1630 W: CarDealerWeb Design.co.uk E: info@cardealerweb design.co.uk Info: Fed up paying web designers to do a job you can do yourself? CDWD can help. We’ve collaborated with HPI to offer a truly unique product. Codeweavers T: 0870 443 0888 W: codeweavers.net E: enquiries@code weavers.net G-Forces T: 0845 055 9040 W: digitaldealership.co.uk E: info@gforces.co.uk
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used cars HPI Valuations Top Ten Hybrid models start to make an impact on the used market
I
t may surprise some to see that in terms of percentage of original cost new retained, the top three cars this month are all hybrids. The Toyota Prius, Honda Insight and Civic Saloon did not even feature in the top 10 a year ago. This is surely a sign that times are changing and greener technologies have gained greater acceptability. This ‘shift’ in buying habits is certainly significant. Diesels are still the best buy in terms of pounds spent, but in terms of money retained the hybrid may now rule the roost. VW Golf and Honda Civic Hatchbacks remain strong in the sector, with the Kia Pro_C’eed and Hyundai i30 making the top 10 for the first time. This comes at the expense of the Volkswagen Jetta, Mitsubishi Lancer, Renault Megane, Kia C’eed and Peugeot 308. When it comes to value for money motoring in this sector, little has changed in the past 12 months with the Kia C’eed and Pro_C’eed, Chevrolet Lacetti, and Hyundai i30 taking the top four spots. The average three year 60,000 miles forecast for all cars is 32.5 per cent and the sector average is down at 29.8 per cent, but all of the top 10 model ranges are above average. This sector still looks great value for used car buyers at the moment but expect values to increase further on the most popular models.
Hybrid vehicles go mainstream HPI’s Valuations expert, Martin Keighley highlights the boom in greener cars
T
he November marketplace is likely to show few changes from October. Used retail activity has slowed a little and values are showing little movement as a result. Without the scrappage scheme new car sales would still be significantly down year on year. It is no surprise that the government has extended the scheme, given its success. Even with the scheme new sales are way below the peaks of 2007. This means that fleets are still hanging on with extended contracts and waiting to see if confidence improves further. It appears that the entire country is in ‘waiting’ mode. Waiting for the economy to improve. Waiting for the availability of finance. Waiting for the best deals. It looks like this wait will last well into May next year. Most manufacturers have serious ‘alternative’ developments getting close to production. Hybrids such as Lexus, Honda and Toyota have proved more popular than many thought, even in the used market where residual values are now as strong if not stronger than diesels. The first mainstream electric cars will also be with us in the next year or two. We have now driven a number of these offerings. The downside is the overall cost of the car and batteries (whether leased or not) compared to
...in association with HPI Valuations
Lower medium 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
a standard diesel. In a regular fleet lifecycle the diesel wins out in terms of pound notes. Will people buy a diesel today when tomorrow’s electric model may have twice the range in the battery? But if government incentives (possible £5,000 subsidy from January 2011), grants and tax concessions are brought in it could make this new generation of vehicles very attractive. Some press reports talk of used values for late plate city cars and superminis being close to the cost at new, suggesting that used values may have peaked. This is unlikely to be the case, as manufacturers continue to push new prices upwards. As a result, late plate used values will continue to rise to a reasonable level from cost new. Until interest from buyers weakens, we don’t see this ending any time soon. From the trauma of massive falls in used values to the excitement of price rises, the last 18 months have been the most turbulent for some decades. Many dealers and traders called it a day, the rest have adapted to the changing market conditions on an almost daily basis. We certainly haven’t seen recovery as yet, but the trade have got used to living off scraps most of the time. As always the boldest and bravest will find the greatest success.
Models in range
Average new price
Average RV 36(60) £
Average RV 36(60) % Monthly depreciation cost £
Toyota Prius Honda Insight Honda Civic Hybrid Volkswagen Golf Honda Civic Mazda3 SEAT Leon Kia Pro_Cee’d Skoda Octavia Hyundai i30
7 3 3 37 40 20 19 7 37 15
£21,488 £17,390 £19,090 £19,044 £18,579 £17,188 £16,817 £13,652 £16,428 £14,343
£8,946 £6,925 £7,167 £7,095 £6,655 £5,791 £5,533 £4,379 £5,204 £4,533
41.7 39.9 37.6 37.2 35.9 33.8 32.9 32.0 31.7 31.6
£348 £291 £331 £332 £331 £317 £313 £258 £312 £273
Kia Pro_Cee’d Chevrolet Lacetti Kia Cee’d Hyundai i30 Chevrolet Cruze Honda Insight Toyota Auris Dodge Caliber Skoda Octavia Fiat Bravo
7 4 11 15 8 3 21 4 37 18
£13,652 £11,888 £13,922 £14,343 £13,670 £17,390 £15,796 £15,075 £16,428 £15,255
£4,379 £2,369 £4,391 £4,533 £3,466 £6,925 £4,700 £3,919 £5,204 £3,972
32.0 20.0 31.5 31.6 25.3 39.9 29.7 26.0 31.7 26.0
£258 £264 £265 £273 £283 £291 £308 £310 £312 £313
64 | CarDealerMag.co.uk CarDealerIss21.indd 64
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...in association with HPI Valuations
Scrap and impending VAT rise boost market
N
ew car sales for October recorded the biggest rise of any month in 2009 – with a 31.6 per cent jump on last year’s totals. The new car sales leap remains one driven by the scrappage scheme, says the SMMT. Private sales, which are incentivised under the scheme, were up 86 per cent in October. It takes the year-to-date total up to 1,685,981 new car sales. This means the SMMT is hopeful of full year sales in the region of 1.92m units. That’s 200k down on 2008 – but MUCH less of a fall than was predicted earlier in the year.
October’s rise is the fourth consecutive month of new car sales rises. SMMT chief Paul Everitt said the scrappage scheme accounted for more than one in five of them. ‘We have seen additional demand created by the extension of the scheme and customers wanting to avoid the VAT increase planned for January.’ But it’s not just an 86 per cent rise in private sales that is driving the new car market, he added. ‘Encouragingly, there has also been an increase in demand in the fleet and business sectors, which will be critical in sustaining recovery next year.’
The Ford Fiesta continues its reign as the overall best seller. It has now held the top slot for eight months in 2009. And it was small cars overall that continued the new car sale drive: supermini sales were up 47.9 per cent in October… and city car sales rose by an incredible 200 per cent! As for winning makers, Hyundai continues to lead the field for market share increases, with a stunning 286 per cent rise on 2008. Fellow Korean maker Kia has posted a 156 percent increase, while Fiat is up 117 per cent.
SMMT sales data October / year to date
Figures supplied by SMMT
October Marque
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 Opel 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
Year to date (YTD)
2009
% market share
2008
% market share
158 693 135 7,178 56 8,041 0 1,104 245 6,454 0 107 0 170 6,570 23,454 4,490 2 7,179 8 1,312 168 5,633 2,584 397 68 3,398 5,985 58 3,120 925 6,979 186 128 64 9,078 553 73 8,438 0 0 335 2,409 4,122 573 60 232 2,063 0 8,136 19,364 11,777 4,557 123 168,942
0.09 0.41 0.08 4.25 0.03 4.76 0.00 0.65 0.15 3.82 0.00 0.06 0.00 0.10 3.89 13.88 2.66 0.00 4.25 0.00 0.78 0.10 3.33 1.53 0.23 0.04 2.01 3.54 0.03 1.85 0.55 4.13 0.11 0.08 0.04 5.37 0.33 0.04 4.99 0.00 0.00 0.20 1.43 2.44 0.34 0.04 0.14 1.22 0.00 4.82 11.46 6.97 2.70 0.07
15 360 110 6,387 87 7,961 8 860 136 4,967 0 137 0 264 3,020 21,309 4,284 7 1,856 0 1,404 124 2,195 1,283 531 38 2,921 3,860 27 1,886 526 3,350 0 94 60 6,692 432 122 4,328 0 0 1,009 1,943 2,461 587 41 254 997 0 5,886 19,422 11,701 2,340 70 128,352
0.01 0.28 0.09 4.98 0.07 6.20 0.01 0.67 0.11 3.87 0.00 0.11 0.00 0.21 2.35 16.60 3.34 0.01 1.45 0.00 1.09 0.10 1.71 1.00 0.41 0.03 2.28 3.01 0.02 1.47 0.41 2.61 0.00 0.07 0.05 5.21 0.34 0.10 3.37 0.00 0.00 0.79 1.51 1.92 0.46 0.03 0.20 0.78 0.00 4.59 15.13 9.12 1.82 0.05
% Change
2009
%market share
2008
%market share
953.33 92.50 22.73 12.38 -35.63 1.00 -100.00 28.37 80.15 29.94 0.00 -21.90 0.00 -35.61 117.55 10.07 4.81 -71.43 286.80 0.00 -6.55 35.48 156.63 101.40 -25.24 78.95 16.33 55.05 114.81 65.43 75.86 108.33 0.00 36.17 6.67 35.65 28.01 -40.16 94.96 0.00 0.00 -66.80 23.98 67.49 -2.39 46.34 -8.66 106.92 0.00 38.23 -0.30 0.65 94.74 75.71 31.62
1,131 7,828 1,071 79,563 681 82,270 105 15,896 2,331 60,292 36 2,187 17 2,281 48,864 272,530 65,326 46 47,757 32 15,260 1,993 40,410 24,658 6,649 423 39,456 59,630 323 32,910 9,524 64,426 186 1,092 496 88,250 4,447 846 49,803 0 0 6,991 25,182 29,534 6,711 726 2,977 24,710 0 88,090 207,256 134,278 27,737 763 1,685,981
0.07 0.46 0.06 4.72 0.04 4.88 0.01 0.94 0.14 3.58 0.00 0.13 0.00 0.14 2.90 16.16 3.87 0.00 2.83 0.00 0.91 0.12 2.40 1.46 0.39 0.03 2.34 3.54 0.02 1.95 0.56 3.82 0.01 0.06 0.03 5.23 0.26 0.05 2.95 0.00 0.00 0.41 1.49 1.75 0.40 0.04 0.18 1.47 0.00 5.22 12.29 7.96 1.65 0.05
88 5,442 1,479 90,317 1,446 100,982 165 16,694 5,375 73,179 12 4,520 29 3,573 49,701 285,764 76,766 166 25,904 0 18,450 3,769 28,584 30,241 9,338 605 45,092 67,243 36 36,696 14,869 61,471 0 1,821 573 107,635 5,495 1,356 83,419 2 3 14,547 26,406 33,683 6,527 573 4,332 24,096 1 96,832 267,703 159,245 29,641 885 1,922,771
0.00 0.28 0.08 4.70 0.08 5.25 0.01 0.87 0.28 3.81 0.00 0.24 0.00 0.19 2.58 14.86 3.99 0.01 1.35 0.00 0.96 0.20 1.49 1.57 0.49 0.03 2.35 3.50 0.00 1.91 0.77 3.20 0.00 0.09 0.03 5.60 0.29 0.07 4.34 0.00 0.00 0.76 1.37 1.75 0.34 0.03 0.23 1.25 0.00 5.04 13.92 8.28 1.54 0.05
% Change
1,185.23 43.84 -27.59 -11.91 -52.90 -18.53 -36.36 -4.78 -56.63 -17.61 200.00 -51.62 -41.38 -36.16 -1.68 -4.63 -14.90 -72.29 84.36 0.00 -17.29 -47.12 41.37 -18.46 -28.80 -30.08 -12.50 -11.32 797.22 -10.32 -35.95 4.81 0.00 -40.03 -13.44 -18.01 -19.07 -37.61 -40.30 -100.00 -100.00 -51.94 -4.64 -12.32 2.82 26.70 -31.28 2.55 -100.00 -9.03 -22.58 -15.68 -6.42 -13.79 -12.32
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 | 65 CarDealerIss21.indd 65
6/11/09 10:07:50
tail light
Sub-Prime Time A
round 10 years ago 45 per cent of adults had used the internet ‘at some time’ and only 30 per cent of households had internet access; many people thought the internet was a mystery within a conundrum that was wrapped in an enigma. Today the internet is an integral part of our lives with 90 per cent of adults using it regularly in their day-to-day business and personal activities. The internet is no longer a mystery to most of us but some sites are still truly dreadful. Websites today should be a bit like a great lover; they should immerse you in an intuitive and engaging experience, go well beyond your expectations and, while you’re completely satisfied with the outcome, you’re repeatedly drawn back for more. At First Response I have to admit we’re somewhat behind the times and have only really started this year to investigate what’s necessary to get true value from this media in the coming decade, and I know that there are many dealers out there that are in a similar position. We’ve had a site for years with dealer access, and the ability for customers to apply for finance directly, but it’s all pretty basic, and when I review the websites of our dealer partners, many are pretty basic too. So while using the internet may no longer be a mystery, the technology underpinning sites, which adds considerable value to the user and provider, is still a bit of a conundrum to most of us. At the end of 2008 I put an internet budget and project together so we could spend some time and money on learning, trying new things, seeing what works and what doesn’t. We decided to produce a new Cheap and Cheerful (we call it ‘CAC’; well you would) website to try out new ideas before we embarked upon the creation of a new
‘Ten years ago, many people thought the internet was a mystery within a conundrum that was wrapped up in an enigma.’ website that’s appropriate for the coming decade. The year has flown past. We can now get on to Google’s first page for a number of appropriate searches when we want to (without new cost), we’ve trialled and compared many iterations of the CAC website, and during 2010 you’ll see a new First Response website arise from our learning. In deciding what sort of experience we wanted our new site to provide we reviewed and critiqued many other websites (not just car or finance related) to see what was good, working and appropriate. The Ewards in this issue showcases some great sites and ideas that provide real insight into how dealers can tweak, refresh or totally rebuild their websites for the new decade ahead, and I urge you all to think in these terms when reading about this year’s winners. Today, there are still a few people that regard the internet as if it were a misery within their colon requiring an enema, but simply turn to the Ewards section (p40) and I know you’ll not be one of them.
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
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Car Dealer is published Contributors by Blackball Media Chris Jervis, Mike Askew (not Ltd (Company No 6473855) and printed Big Mike!), Dave Timmis, by Warners. All rights reserved. Conditions of Simon Evans, Will Baggott and sale and supply include the fact Car Dealer shall not, without our consent, be lent, resold, hired Rosalind Pawling out or otherwise disposed of in a mutilated way or in any unauthorised cover by way of trade or Commercial Manager Thanks to... affixed to or as any part of a publication or advertising, literary or pictorial matter whatsoever. Duncan Chappell Derek Goard, Tim Naylor, Car Dealer is fully protected by copyright E: duncan@blackballmedia.co.uk Linda Baggott, Bernard and nothing may be printed wholly or in T: 023 9252 2434 McGranaghan and Dan Harris part without permission.
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66 | CarDealerMag.co.uk CarDealerIss21.indd 66
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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
CarDealerIss21.indd 67
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CarDealerIss21.indd 68
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