Car Dealer Magazine: Issue 33

CarDealer.

Dealer.

Car Issue 33 | December 2010 | CarDealerMag.co.uk | £3.50

FREE: 2011 WALLPLANNER INSIDE

Driving the future of the motor trade

autotorq.com

EWARDS 2010 THE RESULTS

25 not out We visit the oldest and newest Seat dealers in a MK1 Ibiza and fiery Bocanegra

Find out which car dealers have been handed gongs as we reveal the results of the Car Dealer Ewards 2010 p43

Special report

11 for 2011 We reveal the companies that can help you make more money next year p57

Feature

Sold via Twitter!

How we shifted one of our Mazda MX-5s using the power of social media p74

Interview Vauxhall MD reveals his plans for 2011 p20

CarDealerIss33.indd 1

6/11/10 10:43:36

CarDealerIss33.indd 2

6/11/10 10:43:39

start

Issue 33 | December 2010

Ken Lister, Castlegate

Katie Freeman, Horton Seat

‘One of the oldest and one of the newest Seat retailers in the UK were proof for me that it’s you, the dealers, that really make the difference to a brand’s success.’

OUR Ewards judging day was as revealing as ever this year. Held at Autotorq.com’s Fulham HQ, our expert panel converged for a day’s discussion about the very best automotive websites. The main categories had already been dissected and voted for by the judges before they arrived, leaving just two still up for grabs – the Web Innovation of the Year and Special Achievement Ewards.

Unlike the other categories we didn’t take nominations for these awards, instead each judge brought with them a suggestion for each category.

Each expert pitched their choice for the different categories to the collected panel, then opened up the floor to questions. As always, the nominations were fascinating and revealing in equal measures. Each was unique and exciting, but there was one that simply stood head and shoulders above the rest.

The winner of the Web Innovation of the Year category this year simply captivated our panel, throwing a silence across the room as we took it in. The magical music, the beautiful design and the interactivity meant we spent far longer staring at it than any other.

I won’t spoil it and tell you which site won, instead you’ll have to turn to p43 for that. But if you do one thing online today I’d suggest checking out the Web Innovation category winner – if you don’t lose 15 minutes of your day playing with it I’ll eat my pen.

The Ewards judging day was also a hotbed for discussion and differing opinions on the web. One of the judges envisioned a future where selling cars will be like

trading commodities – buying and selling vehicles online without even seeing them, reselling them minutes later for a profit never having ever seen the goods. Don’t think it can happen? In some cases it already is!

Then there is the rise of the iPad and how it will change the way you retail cars and display your wares online. All the judges were in agreement that although it hasn’t had much of an impact yet, next year will see a boom in this technology, especially as rivals to Apple’s dominating product arrive. There were concerns too at just how far behind the automotive industry is to other sectors online. One judge even believed that our industry is as much as five years behind!

But one of the stories that really gave me hope – in a strange way – was about online chat. This function lets visitors to a dealer’s website chat with a salesman live while they’re surfing – in a similar way to MSN Messenger or Facebook’s chat function.

Our judge explained that one dealer had it installed and handed control to just one salesman to monitor.

When asked how it was performing he’d always claim it was useless – yet somehow he was always selling the most cars… Before long the boss realised the live chat was his secret and he simply didn’t want to share his secret with the other salesmen! Proof, if it’s needed, that sales can be made online – maybe it’s just a case of working out how best to tap them.

We hope you enjoy reading about the Ewards and congratulations to all of our winners from the Car Dealer team, our headline sponsor Autotorq.com and all of our judges.

ALSO THIS MONTH WE know last month’s issue may have been slightly depressing. With car manufacturer bosses saying how they feared for the market, coupled with depressing sales figures for the key month of September, it was hard to portray it in anything other than a depressing light.

That’s why this month we’ve decided to put a positive spin on things and focus on 11 companies that can help you improve your business in 2011. Each promises to help you make more money and all are worth investigating in these quieter winter months when buyers are thin on the ground and you’ve more time on your hands. The guide starts on p57.

And lastly, they may be polar opposites, but Katie Freeman and Ken Lister – one of the oldest and one of the newest Seat retailers in the UK – were proof for me that it’s you, the dealers, that really make the difference to a brand’s success.

Seat is celebrating 25 years in the UK in 2010 and after embarking on our unique road trip in two very special cars it was clear that it’s those of you at the sharp end of this business that really make the difference between a brand sinking and swimming. With passionate dealers like Freeman and Lister on board it’s no wonder the Spanish firm keeps on growing…

James Baggott, Editor

CarDealerMag.co.uk | 03 CarDealerIss33.indd 3

6/11/10 10:43:46

TEAMWORK

Pushing the boundaries for greater achievement It’s far easier when we are all pushing together WMS are proud of our dealer network and we certainly work together to provide customers with the best possible protection, best choice and fantastic value when it comes to warranty, GAP and recovery products.

We do not leave dealers high and dry when circumstances dictate that business volumes are affected and we adopt a proactive approach in helping to increase profit through training, innovation and incentives to encourage customers to make a logical choice to buy. You may only produce a limited number of warranties due to the size and profile of your stock and we understand how business trends can affect you. We have over 3,000 supporting dealerships including multi-franchised, supermarkets and independent dealers and we value all of them.

We want to be regarded as a friend to your business and a valued resource to work with your sales team to increase product penetration and promote aftersales and retain customers. There has never been a more important time to focus on the delivery of added value protection for both the customer and dealership.

The imminent spending review will affect everyone and we are continually told that there will be some tough times to face in the coming months. We are all considering the ramifications for the industry when the proposed VAT increases come into effect, so getting value for money and saving where we can is at the forefront of every customer and dealers mind.

With everyone watching the pennies your customers will want to avoid unexpected repair bills, so offering our range of protection products will help to provide peace of mind for them and additional profits for your dealership. With a team of regional managers on hand to provide help and training, it’s a valuable resource for your sales teams to tap into – and it’s free.

We want to work with everyone in the sales chain and not just concentrate on a chosen few as we believe the culture has to run throughout the whole process to ensure maximum concentration. It’s time to be positive about the vital role we can all play in protecting our customers and then we will find that profit from service and aftersales will become no more than a by-product produced from a robust and reliable sales process.

If you would like to discuss the products and services available from WMS Group, please contact me, Eric Stone, on 07789 682502 or email sales@wmsgroupuk.com

CarDealerIss33.indd 4

0844 477 4909 www.wmsgroupuk.com 6/11/10 10:43:48

ignition Issue 33 | December 2010

74 dashboard 06 Feedback

Your comments from the web and Twitter

09 Hitting back

Dealers’ anger at latest Which? Car report

10 Vertu dividend

Dealer group reveals latest results

12 Inchcape success

Things looking rosy for Lacroix’s firm

14 Mclaren showrooms

A look at the plans for first supercar sites

17 Hyundai special report Firm’s luxury car arm plans revealed

18 On the Spot

GForces’ Tim Smith answers our questions

28

19

19 last Vanquish S for sale Dealer selling slice of Aston Martin history

20 Vauxhall MD

Car Dealer chats to Vauxhall’s Duncan Aldred

23 bMW classic offer

Flagship dealership launches new service

25 big Mike

Playing the guessing game... for mugs of tea

26 Finance

City car deals and First Response column

forecourt

28 Audi RS5 30 VW Sharan 32 Ford Focus vs Hyundai i30

43

features

CarDealer.

34 Seat’s 25th

Our special road trip to visit two special dealers

43 eWARDS – tHe ReSUltS Find out which dealers have won our gongs

I N A S S O C I AT I O N W I T H

autotorq.com

17

57 11 FOR 2011

Firms you should be using to boost your profits

74 911 for 2011

How we sold one of our Mazdas via Twitter

78 Auctions 81 Right cick 82 trader Directory 84 Recruitment 87 Suppliers Guide 88 Used cars 89 SMMt sales figures 90 Sub-prime time

34

57

CarDealerMag.co.uk | 05

CarDealerIss33.indd 5

6/11/10 10:44:01

feedback Your comments via email at james@blackballmedia.co.uk| From our website at CarDealerMag.co.uk | And from Twitter: Follow editor @CarDealerEd

Lotus gets you talking on Twitter Infiniti concept – a work of art

Link: bit.ly/InfinitiConcept THE Infiniti Essence is truly a work of art. It would be almost a sin not to go into production with its current form.

Fan, via CarDealerMag.co.uk

Jaguar MD retires

Link: bit.ly/JagRetire I GUESS a job well done. I wish he could stay on though.

MB, via CarDealerMag.co.uk THANKS must go to Mike O’Driscoll for saving the iconic Jaguar cars from extinction. The new cars mark a completely new Jaguar that will be with us for a long time.

Keith Varnals, via CarDealerMag.co.uk

Saab’s 50 and not out

Link: bit.ly/Saab50th GREAT to see this iconic brand fighting through the tough times with such enthusiasm. As someone who used to watch Sabb 96s rallying in the 70s (and several family members drove 96s), it’s exciting to watch the developments (BMW engines!) and I think the proposed future model ranges will really bring the brand back to its best. Good luck!

Stewart Niblock, via CarDealerMag.co.uk

All charged up

Link: bit.ly/VoltDeal VOLT is not an electric vehicle, it’s a hybrid, just like a Prius with a bigger battery. Even GM now admits that.

So, it probably won’t qualify for EV grants.

John Williams, via CarDealerMag.co.uk

Green leaf retains 40 per cent residuals

Link: bit.ly/LeafRetains TRYING to convince used car buyers to acquire electric vehicles with battery packs losing pounds over time may be more difficult than previous predictions of different analysts. Residual values often turn out to be inaccurate.

Chuck Humprey, via CarDealerMag.co.uk

Want our Mazda MX-5?

Link: bit.ly/WantMX5 WHAT I’ve found fascinating is the noise you’ve been creating around this using social media (sorry James not being a ‘petrol-head’ the details of the model type and engine whizzed over my head!) and from one of your recent tweets seems like you’ve even made a sale! You could be in the running for the next Special Achievement Eward!

Tina de Souza, via CarDealerMag.co.uk

Kia must change their ads Link: bit.ly/KiaAds 14,000 miles is around, if not slightly lower than average mileage roughly so I don’t think this is something to be ranting about with

Talking car stuff on Twitter I don’t think the fourth quarter of this year is the problem. The first quarter of next year is when the pain is really going to hit.

Via @FactoryRSVR I don’t love them [New Lotus] but I do think they look better than I did at first. Hope they’re successful. I want to see them in the metal.

Via @Dear_Blank Does disagreeing with @CarDealerEd over the new Lotuses (Loti?) on Twitter constitute cyberbullying?

Either way, they were

unimpressive cars.

Via @craigthomas1 The Lotus look awesome. Their ability to pull it all off is in doubt.

Via @CimaRacing I hope they get made… Especially when people have to eat humble pie and say what good cars they are after a test drive.

Via @sf4d74 In the pics I did not think the Lotus looked that bad. In the metal, not so much…

Via @FailCar

I understand that in isolation, from a distance, after three pints, in the dark, they look great close up. You just wouldn’t.

Via @OwenReady Went out in a top end Porsche Panamera today, man that thing shifts in sport mode!

Via @catchamonkey Magazine just landed on my desk with all the details on #Bangers4BEN. Going to put the kettle on and enjoy this…

Via @BENMotorCharity

Get involved. Follow the editor on Twitter @CarDealerEd or @CarDealerMag to join the conversation regards to retail customers.

Clips, via CarDealerMag.co.uk

better phone system

Link: bit.ly/phonesystem THIS is a great system. I run a large independent dealership and we often miss calls due to either being too busy, or simply not getting to the phone in time. I can only imagine how many extra sales I would get if I had a system like this in place!

Dealers are finding it tough as it is, and if we are missing phone calls that are (let’s face it) worth £1,000s, we only have ourselves to blame! A customer won’t wait to call again, they will simply call the next dealer… With the power of the internet, customers will Google the car they want, then use the results as guide. If you don’t answer their call, they will call the next on the list and you miss out. Thanks for this, I will make efforts to get this in my dealership.

Steve Clarkson, via CarDealerMag.co.uk

06 | CarDealerMag.co.uk CarDealerIss33.indd 6

6/11/10 10:44:04

100799

sation

200,000 WARRANTY CLAIMS A YEAR. AND RELATIONSHIPS HAVE NEVER BEEN STRONGER.

Customer relationships are safe with us. With a Car Care Plan warranty, you know that there’s no hiding behind small print. Or stalling over pay outs. Instead, you get rapid-response call handling, prompt and efficient claims processing and a friendly, professional service that gives you, and us, a good name. It’s not just car buyers who think highly of us. It’s Car Dealer readers too. They placed us top in their Power Awards for warranty providers. Why not find out more about our highly rated, after-sales programmes. Call 0844 573 7591 or visit www.carcareplan.co.uk It could be the start of a beautiful relationship.

Car Care Plan Limited is authorised and regulated by the Financial Services Authority.

CarDealerIss33.indd 7 100799 CarDealer 3 women Nov 27.10.10.indd 1

6/11/10 10:44:05 10/27/10 2:52 PM

CarDealerIss33.indd 8

6/11/10 10:44:06

Dealers hit back at report claiming they use ‘code’ Which? Car stirs things up again with its latest report CAR dealers have hit back at a report by Which? Car that claims to reveal dirty tricks of the car trade.

The investigation by the consumer association set out to advise buyers on how to steer themselves around ‘salesmen’s hype’. It said dealers use code such as ‘high-balling’, ‘ankle tapping’ and ‘time of the month’ to encourage buyers to part with their cash. But motor traders have struck back branding the claims as being ‘out of a time warp’.

The Which? Car report – released last month – says car dealers use some of the following tricks to shift stock: High-balling Salesman offers customers an unrealistically high trade-in price so he can offer less discount on the car he’s selling Ankle tapping Salesman offers less than the market value for a trade in so he can offer a lower price for a new car Time of the month At the beginning of the month salesman says he needs the sale to make up last month’s quota; in the middle he claims the sale is needed for a specific quota, and at the end of the month he needs it as he’s ‘almost hit his target’ Wooden duck Customer who doesn’t haggle.

Although all dealers we spoke to admitted there are a minority that let the side down, all slated the Which? Car report.

Car Dealer columnist James Litton, of the TheInternetCarLot.co.uk, said he’d never heard of the ‘ridiculous’ terms the research stated. ‘The report must have been found on the Mary Celeste as it’s that out of date,’ he said. ‘Seriously, who writes this rubbish?

For an organisation that professes to be a consumer champion this type of nonsense

appears to me to treat buyers as some kind of brainless idiots.

‘If a salesman honestly thinks using clichéd patter will work for them in this day of information at the tip of buyers’ fingers then more fool them. If a customer falls for it then what does that say about them?’

THE DODO And Litton wasn’t the only one fuming.

Fellow independent car dealer Barrie Crampton, from Preston, Lancs, added: ‘A customer who doesn’t haggle or negotiate should be called a Dodo, not a wooden duck. Not because they’re stupid, but because they don’t exist any more!’

And it wasn’t just the independents standing up for the trade either. Andy

Which? Car says dealers use jargon Coulthurst of dealer group JCT600 added: ‘While there is no doubt that some unscrupulous dealers out there will resort to dodgy tactics to sell cars, the majority will provide a professional service.’

The Society of Motor Manufacturer and Traders wasn’t impressed either.

Chief executive Paul Everitt told us: ‘As an industry we recognise the need for continuous improvement and, through initiatives like Motor Codes, are committed to transparent monitoring and raising standards. I understand the need for interesting headlines, but there must also be fair comparisons and secure analysis.’

What do you think? Let us know. See p6

Infiniti opens doors to its third UK dealer INFINITI has opened its latest showroom in Birmingham – the marque’s third site in the UK. Operated by Mana Premiere Automobiles Ltd (MPA), Infiniti Centre Birmingham has been designed with a ‘hotel’ feel. It opens just as the all-new M high performance V6 diesel/V6 petrol saloon goes on sale.

The dealer’s Bill McMaster said: ‘The centre will offer

West Midlands premium car buyers a whole new customer service experience. It has been challenging to meet the standards Infiniti demands because the centres are not just designed for selling cars but for providing unrivalled service.’

The centre boasts a six-car showroom, five-bay workshop while customers can relax in ‘hotel lobby-style’ surroundings.

dashboard

Martin Hill

Net gains

It’s important to remember sometimes good enough is fine

T

his month, following on from the theme of the last couple of columns, I wanted to ask you for a ‘call to action’. I have seen many dealers, whose new or redesigned websites are due to go live, put incredible amounts of time and effort into the smallest of details prior to launch. In some cases, the position of something or the exact font size that is used has delayed the launch by weeks or months – or even longer in one or two cases.

So, I want to put forward the case for getting your new or redesigned website out there and working – then you can worry about the fine detail later.

As an example, I once dealt with a client who would relish the opportunity to solve problems or add functionality to his website by creating complex ‘I want to put solutions. I’m not sure whether the flexing of the intellectual forward the muscles was addictive or not, case for getting but he thrived on looking for big challenges that gave him a your new or chance to create ever complex redesigned solutions – regardless of website out whether it was a good idea or not, in some cases. there and There were sometimes working for you.’ difficult discussions with this client, as the complex solutions and design brief was delaying the launch of his new site. It is not easy to persuade this sort of individual that problems can usually be solved with simple, mundane solutions. It meant he didn’t get the chance to show off his skills or showcase his extraordinary solutions.

My suggestion was that the best way forward was to build something that gets the job done and then move on to the detailed stuff later. This approach may not have gained many plaudits from industry observers or his colleagues, but it would deliver something effective in a much quicker timeframe. Did the client go with my suggestion? Begrudingly, yes. And it saved a sizeable amount of time and money in the process.

Another example I have read about was a designer shoe emporium where there were disagreements about the standard of shopfitting within the store. These disagreements were causing the store’s opening to be delayed, so one of the managers made an executive decision – he simply stacked the designer shoe boxes into neat piles and used them as tables.

This crude but effective solution meant the store could be opened sooner, and trading could begin. In fact, the customer feedback on the layout showed that the customers actually quite liked it... So remember, sometimes there are times when good enough gets the job done.

Ewards results, p43

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.

CarDealerMag.co.uk | 09 CarDealerIss33.indd 9

6/11/10 10:44:08

dashboard Wake up and smell the coffee at dealer KNIGHTS BMW has invested £1m in redeveloping its dealership – and the new site will boast its very own Starbucks!

The Stafford-based BMW and Mini dealer’s existing showroom is to be demolished with a brand new dealership housing the two brand’s sales, service and parts operations being built in its place.

Dealer principal David McGoldrick said the investment will create a showcase for BMW and Mini.

‘We are looking forward to creating a fantastic new environment for customers to buy and service their BMWs and Minis, which truly reflects the Knights brand,’ he said. ‘Our customers will be able to relax in a new larger customer waiting area while enjoying a coffee from our very own Starbucks. There will also be a PlayStation to keep the children happy.’

Family dealership gets Lloyds’ backing FAMILY-run dealership Richard Sanders has secured financial backing to ensure ‘growth and expansion’.

Lloyds TSB has agreed to support the Ketteringbased company which operates Renault, Nissan, Peugeot, and Honda franchises. Over the past year, Richard Sanders has doubled in size with an annual turnover of around £30m.

Richard Sanders said: ‘This deal is an important step in the development of the business and we’re pleased to have such a strong and reliable financial partner as Lloyds TSB.’ Relationship director at Lloyds TSB Corporate Markets Ian Barkes added: ‘We were impressed by Richard’s track record and his clear vision for the growth of his business.’

GADGETS

Vertu set to pay first ever interim dividend VERTU Motors presented a glowing set of interim results to the London Stock Exchange in October.

The unaudited results up to August 31 revealed revenue had grown by 27.3 per cent, to £511.1m. The growth came from a combination of new acquisitions, increasing new and used car sales volumes, and a rise in transaction prices.

In breaking the half-billion revenue barrier, Vertu’s operating profit for the six-month period grew too from £3.7m to £5.4m. Pre-tax profit stood at £4.9m – a 72.9 per cent rise on last year’s £2.8m figure.

Operating cash generation also rocketed from £1.4m last year, to £7.3m this year. Gains in its freehold and leasehold property portfolio gave a £72.6m boost to the balance sheet, up from £57.3m last year.

It means Vertu will make its first ever interim dividend payment in January 2011, of 0.2p per share.

‘Since our first dealership

acquisition in March 2007 the group has consistently delivered growth,’ said CEO Robert Forrester, pictured above. ‘Following the placing undertaken in June 2009 to accelerate this, 29 sales outlets have been added, representing a 64 per cent growth rate, and the group now operates 74 sales outlets.’

It means Vertu is on track to deliver its objective of building a successful scaled automotive retail group. Indeed, as the group outperformed the

market in the first half of the year, and gave a strong set of financials, Vertu is currently trading ahead of its objectives for the full year.

While UK private registrations fell nine per cent in September, Vertu volumes declined just 2.6 per cent. Things are looking good for the future too, added Forrester: ‘Our more recent acquisitions are already exhibiting significant operational improvements since purchase and this will underpin future profit growth.’

...reviews by James Batchelor

Parrot handsfree will fly off the shelves HANDSFREE kits really have come on leaps and bounds in recent years, and the latest offering from Parrot only serves to remind us of this. The MKi 9200 Bluetooth handsfree kit fits to your dashboard, mutes the car’s speakers, and comes with a separate microphone so the caller can hear you clearly. But that’s not all – it also has voice recognition, and streams your music from your MP3 player and mobile phone. Buy it from Halfords and they will even fit it for you. £199.99, Halfords.com THE digital switchover is looming. No, not TVs but for in-car radio. With the Sonichi SB50 DAB digital CD radio you can add digital listening to your car easily. It comes with AUX and USB input, an SD card slot, and is able to play MP3 CDs too. The SB50 is also Bluetooth compatible with an external microphone meaning you can make and receive phone calls safely. £129.99, Halfords.com ARE you so completely mad about Minis that you’ve

ever thought ‘Hmm… I wish I had a Mini for a dimmer switch?’ Editor James has. So he – and you – will be delighted with this Mini dimmer switch available from Caagis.com. Finished in a pleasing shade of blue with a white roof, the Mini operates just like any normal dimmer switch – twist it clockwise to switch on/brighten and anti-clockwise to switch off/dim. The plastic plate that screws to the wall is designed in an eye-catching map design. £24.99, caagis.com

The SB50 DAB radio, above, Haynes T-shirt and Parrot handsfree kit

THERE was once a time when the only time you saw those iconic car cutaways was in the pages of a Haynes manual. Not any more. These days you can get your favourite car cutaway on just about anything – from mugs, to wallets and bags. And T-shirts. Meet the latest design – approved and certified by Haynes – of the VW Golf GTI. We love it. There’s also one of the Land Rover Series 1 which is just as cool.

From £18.99, autoregalia.co.uk

10 | CarDealerMag.co.uk CarDealerIss33.indd 10

6/11/10 10:44:12

CarDealerIss33.indd 11

6/11/10 10:44:12

Y

dashboard Price is right in Yorkshire as JCT600 create used site DEALER group JCT600 has transformed a former Chrysler, Dodge and Jeep showroom into a used site.

The PriceRight dealership is based at Rawdon and has taken several months of redevelopment to get ready. Representing a £750,000 investment by JCT600, the outlet is one of Yorkshire’s most prominent used car dealerships, with some 40,000 vehicles passing daily.

Andy Coulthurst, sales director at JCT600, said: ‘Developed in response to an increased demand for quality second hand vehicles, the PriceRight concept allows customers to visit one standalone site to find both the value they’re looking for and the assured quality JCT600 offers.’

The new PriceRight outlet includes a brand new building for the PriceRight team’s on-site sales and customer services operations, headed by Derek Boaler, general manager, Joe Tordoff, sales controller, and Neil Bairstow, business manager.

The former Chrysler, Dodge and Jeep showroom has been relocated to the former Seat showroom across the road.

Dealer selling last Vanquish S, p19

Inchcape future looking rosy after decent Q3 DEALER group Inchcape has announced its quarter three results were ‘slightly ahead of expectations’.

Total revenues for the group up to September 2010 rose 7.6 per while like-for-like revenues were up 8.6 per cent on 2009’s figures.

A ‘strong continuation of the industry recovery’ in Australia, Hong Kong, and South America and improved ‘market conditions’ in Russia were quoted as the reasons.

André Lacroix, pictured, group CEO of Inchcape, said: ‘In the first nine months of 2010, the group has enjoyed the benefits of operational leverage with strong vehicle revenues driven by industry growth and market share gains in most of our markets and good momentum in aftersales, which represents around half of group gross profit.

‘Inchcape’s strong performance is driven by our group-wide operational discipline on our top five priorities of growing market share and aftersales while improving margins, controlling working capital and being selective

Share watch

about our capital expenditure.’

Meanwhile, Inchcape reported that it saw fewer new registrations in the UK following the ending of scrappage, and demand for new cars also fell in Greece.

The group’s used car revenues and margins remained strong and aftersales business – which represents around 50 per cent of the group’s gross profit – continued to perform well.

Inchcape has also announced, though, that it aims to cut costs by

£25m and reduce ‘headcount’ by 500, plus it plans to dispose of 10 sites.

‘We expect the continuation of an uneven global recovery and remain cautious regarding the short-term industry outlook in some of our markets. Given our strong track record and the cost restructuring initiatives announced, we expect the group to trade effectively and improve its competitive position in these challenging trading conditions,’ Lacroix added.

...in association with ASE-global.com

Interim reports offer some hope W

idespread economic concerns of the speed (or indeed the existence) of the economic recovery continues to feed through to the quoted motor retail stocks with thin trading being matched with steady price declines for some.

Interim management statements provoke excitement and indifference. Over the past month we have seen a regular flow of interim management statements with the listed motor retailers reporting performance for the first half of the year.

The Vertu share price has had a poor summer, falling steadily from June onwards and wiping 30 per cent off the valuation of the business. The majority of this was reversed in one fell swoop as the stock market reacted to the publication of the company’s interim results for the first six months of its financial year.

There was much to cheer within these results as the positive sales numbers disclosed in the company’s trading update were supported with an over-performance in profit terms against market expectations and a positive outlook for the remainder of the year on the back of a strong September.

‘Inchcape has also had a good month, with a slow and steady increase in the share price.’

The introduction of a maiden dividend along with the directors wading in to increase their shareholdings will have also helped to cheer investors. It will be interesting to see whether this represents a turning point for the share price which has been under pressure all year. The majority of the company’s covering brokers are certainly looking for significant share price growth with target prices reflecting gains of up to 85 per cent.

Inchcape has also had a good month, with a slow and steady increase in the share price. Interspersed within this the company released an interim management statement which balanced a positive outlook on sales and profits with a cost-cutting plan despite the rebound in business.

The covering brokers see more limited scope for growth within the Inchcape share price with Brewin

Dolphin reducing its’ recommendation from ‘buy’ to ‘hold’.

The Pendragon share price has continued the slow steady decline from highs earlier in the year. While trading results are positive, broker concerns over the company’s gearing and lack of asset backing have led to limited target share price growth to 50 per cent.

The debt position should be improved following the sale of the North West Mercedes market area to Marshalls, however Pendragon has continued to remain publicly silent on this transaction.

HR Owen has produced strong share price growth throughout October. The company’s interim management statement produced a positive trading forecast, further bedding down of the new board structure and confidence over the core strategy of concentrating on the group’s ‘unique portfolio of brands.’ There has been little to report for Lookers, Caffyns and Cambria, with the exception that the rise of the Cambria share price at the end of September, has proved a blip settling down to a value half of the initial IPO value. If you have any questions on the above, call me on 0161 493 1930.

Mike Jones, ASE director

12 | CarDealerMag.co.uk CarDealerIss33.indd 12

6/11/10 10:44:13

-

-

-

-

-

-

-

F L c A w

YourCarMotorInsurance

- An Award winning motor Insurance facility with generous commission paid on every policy - Highly competitive monthly premiums fixed for up to three years - Unique shortened question set enabling customers to quote in less than 40 seconds - Lead generation tool enables follow up of quotations as soon as they are requested - No need to be Directly Authorised under the FSA – We manage this on your behalf - Fully integrate with your existing site or have a branded version to match your corporate identity - Ability to re-direct fault and non-fault accident repair work back into your bodyshop For all YourCarMotorInsurance product enquiries please call Lloyd Latchford on 01844 275 555 or for technical information call Codeweavers on 0870 443 0888.

Alternatively email: enquiries@codeweavers.net or visit www.codeweavers.net/yourcarmotorinsurance for further information CarDealerIss33.indd 13

6/11/10 10:44:13

Y

dashboard

McLaren dealers reveal unique look James Litton

Trader Tales

Why Which? got it wrong

W

hen the editor sent me the Which? Car press release – see the news story on p9 – I thought they had been digging in the Car Dealer Magazine garden and unearthed a time capsule from 1960 with this gem inside.

Seriously, ‘wooden duck’ and ‘ankle tapping’, who writes this clap trap? For an organisation that professes to be a ‘consumer champion’ the type of nonsense written here appears to me to treat a consumer as some kind of brainless eejit. If a salesman honestly thinks using cliche patter will work for them in this day of information at the tip of buyers’ fingers then more fool them. If a customer falls for it then what does that say about them?

How can you bid someone a fortune for their part exchange and then sell it at a profit? How can you bid someone in the kilt and expect them to deal?

‘Seriously Seriously Which? leave the Which? leave press releases for someone other than the YTS trainee. the press Surprise surprise, time of releases for the month does exist. During peak months special deals can someone other change by the day, let alone the than the YTS month, depending on stock, bonus structures and, as we all trainee.’ know, even depending on whether someone can send you a cover note in time. This is not the dealer’s fault, this is just a reaction to a campaign instigated by the manufacturer.

I read a snippet from a trade conference recently where someone had used the sound bite ‘a muppet will lose you four per cent return on sales and a superstar will make you four per cent’. Four per cent, for every £100 turned over?

That’s £4 profit and this is what we want our industry superstars to aspire to? Perhaps these people should commission Which? to write a report into where all this profit we are supposed to be making is going.

I for one would love to see something like the American Freedom of Information Act where dealers would have to declare the profitability in each car. ‘Sorry Mr Smith, as you can see, we only make £500 from your £10k new car so it is no surprise that we cannot improve on a part exchange figure you call miserly’.

I always have one piece of golden advice for car buyers. I tell them they do not have to subscribe to any magazine to get a better deal. Instead, I tell them, just stand up and walk. If a dealer can’t improve on what they have offered them then they are either stupid or simply cannot afford to do it. Despite all that is written about us, I can still understand why it is...

Agree or disagree? Let us know by getting in touch. See p6

Who is James Litton?

James runs theinternetcarlot.co.uk. He‘s been in the business for 12 years and always has something to say about the industry he loves.

DETAILS of Rybrook Holdings’ McLaren Birmingham showroom have been unveiled prior to opening next year.

Designed by AT Architects, the new development will host both McLaren and Rolls-Royce brands and will be officially opened in spring 2011.

McLaren Birmingham is one of three dealers responsible for selling the British marque’s new performance sports car, and aims to serve customers from the central regions of England and Wales.

Sales director David Tibbetts said: ‘Our new showroom is designed to create the perfect environment to represent McLaren and the stunning MP4-12C, as well as offering a customer experience as revolutionary as the car itself.

‘We are sincerely looking forward to hosting McLaren, a British marque with an incredibly successful history in motor sport and a reputation for engineering excellence.’

More than 2,700 potential customers have expressed a ‘serious intention to buy’ the MP4-12C, which will be delivered in

the first half of 2011.

Meanwhile, Sytner Group is preparing showroom space for the car at its Knutsford dealership.

There it leads ‘an exciting period of expansion and development’ for the Cheshire-based dealer group, which includes Bentley Manchester and RollsRoyce Motor Cars Manchester.

To accommodate the new McLaren at its flagship premises, the group will undertake a £750,000 re-development of the site.

A state-of-the-art showroom is planned which will house a rolling chassis display of the new roadcar, along with a former McLaren Formula 1 car.

It is expected to open to the general public in spring 2011.

Managing director Jon Crossley said: ‘We are delighted that McLaren is coming to Knutsford. With Bentley, Rolls-Royce and now McLaren represented by one specialist car group, Knutsford is set to become the location to visit for those looking for a prestige vehicle.’

Plans for the Rybrook McLaren site in Birmingham

-E

-C

-H

-P

Vertu Motors handed £25m by Barclays VERTU Motors has received a £25m debt and acquisition facility from Barclays Corporate to support future growth plans.

Originally formed in 2006, the Gatesheadbased company is the eighth largest motor retailer in the UK following several high profile acquisitions.

Vertu Motors’ finance director Michael Sherwin said: ‘Barclays have been very

supportive of our requirements and play an integral part in our plans for future growth.’

Barclays corporate director David Brind said: ‘Having a close relationship with the company’s management team and having a thorough understanding of their industry and markets, has enabled us to structure a refinance solution that fits well with the company’s strategic plans.’

14 | CarDealerMag.co.uk CarDealerIss33.indd 14

6/11/10 10:44:17

-L

-P

w e t f

YourCarLoan

ngham

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

w: www.codeweavers.net/yourcarloan e: enquiries@codeweavers.net t: 0870 443 0888 f: 0870 443 0889 CarDealerIss33.indd 15

6/11/10 10:44:18

STAY AHEAD You want your website to shift gear and put you in front. But to do that, it needs to rank highly with Google and other search engines. And be easy to use.

We’ve been building bespoke websites exclusively for the motor industry since 1999. A number of our sites for dealerships have won awards. And being automotive professionals ourselves, we know what your site needs to help you sell more cars.

Find out more by calling 0845 2508820 or visiting www.ukwebsites.net Email: support@ukwebsites.net

Part of

CarDealerIss33.indd 16

6/11/10 10:44:22

dashboard

..Hyundai special

Hyundai’s premium plan for Genesis in the UK HYUNDAI boss Tony Whitehorn has told Car Dealer about his plans for the brand’s Genesis luxury arm in the UK. We exclusively revealed on our website that one route to market Hyundai may take would be to set up Genesis as a premium brand to rival Lexus and Infiniti.

Whitehorn told us he would want at least 20 per cent of his 152 dealers set up as Genesis outlets with dedicated salesman dealing with the premium brand if it got the green light. Now the Hyundai chief has revealed that the firm is actually considering a number of different plans for Genesis sales in the UK – but added that he hasn’t yet decided which one to take.

‘There are three different routes to market that Hyundai could take,’ he told Car Dealer. ‘This could be by specific training to ensure we have a proficient sales network, a shop-inshop set-up to make Genesis more exclusive, or a completely separate franchise.

‘A complete separation away from the Hyundai brand would be unlikely, but we will consider all options. The way that the Hyundai brand is growing offers us many opportunities and we must review them all.’

Since the story broke on our website, a number of dealers have been in touch concerned about how the Genesis opportunity would work.

Most were excited about the models – a sporty coupe, executive saloon and luxury limousine – but voiced fears about how it would fit into their business models.

Whitehorn added: ‘The Genesis models, as shown at Paris, are a great example of the type of cars we can now produce as a brand. Hyundai

Genesis Coupe

Genesis Saloon

executives considered starting a totally new brand in the US, as Toyota did with Lexus and Honda with Acura, but decided instead that it made sense to create new models under the Hyundai name. For the UK, there are no definite plans for Genesis as yet, but we are hopeful.’

The Genesis models are very different to the existing Hyundai range. The Coupe is a rival to the Nissan 370Z while the Saloon, aims to take on the Mercedes-Benz

E-Class. The luxury limousine Equus will go up against the Lexus LS and Mercedes-Benz S-Class.

Whitehorn knows it would be a tough challenge to bring Genesis to the UK – especially considering the hard times Lexus and Infiniti have faced. He added: ‘The luxury brand segment is highly different from any other aspect of the market and requires a different type of skill and specialism. If Genesis models did come to the UK, it would be very challenging.’

Currently trials are taking place in Europe to see how buyers react to Genesis – these couldn’t take place here as no right-hand drive cars were available. They’ll arrive in late 2012 and the plans for dealers could be rolled out in 2013.

Some dealers aren’t worried though. Michael Nobes, dealer principal of Richmond Hyundai, based in Hampshire, is the marque’s biggest selling dealership in Europe.

He said: ‘I think it would be fantastic.

Hyundai is highly regarded now and my customers would buy into premium models I’m sure.’

Hyundai planning range of sport models HYUNDAI is cooking up a whole host of sporty models to rival the likes of the VW Golf GTI and Seat Ibiza Bocanegra.

The firm’s UK managing director has admitted that the brand is desperately lacking performance variants in its range – and told Car Dealer it was working hard on changing that. Tony Whitehorn said the maker was first planning to release an i20 with a turbo-charged petrol unit that would output around 150bhp.

‘The i20 is the car in our range that would really benefit from a sports halo model,’ said Whitehorn.

First though will be the launch of the manufacturer’s sporty VW Scirocco rival, the Veloster. This will feature a 140bhp 1.6-litre normally aspirated engine at launch in the early part of 2011 and will eventually boast a turbo-charged lump producing at least 200bhp.

‘We definitely need sporty models in our range,’ said Whitehorn. ‘But we need to convince buyers that we have the right credentials and the Veloster will be key in doing that.’

He also said he wanted to see sports variants of the i10 city car when the facelifted model arrives next year, as well as a powerful version of the Ford Focus-sized i30.

Although he wouldn’t reveal what it would be, Whitehorn did admit that the sporting variants would get special badging, such as GTI or SRI. ‘What we won’t do is a sports sub-brand like M Sport or VXR,’ said Whitehorn. ‘That would be too extreme for us. But we do want to give buyers the cars they’re missing out on – and that’s sport models.’

ROAD TEST: HYUNDAI IX20 HYUNDAI has announced prices for its new ix20 which will be available with three drivetrains and trim levels.

Entry level Classic offers air conditioning, six airbags, and iPod capability, with the 1.4-litre petrol priced at £11,595 and the diesel alternative costing £1,400 more.

The range-topper Style boasts a dual-panel panoramic glass sunroof with UV filter, front fog lights, from £13,695 for the 1.4-litre petrol and £15,095 for the 1.6-litre petrol auto.

Car Dealer tried the new car on some less than perfect roads on the Isle of Wight. We only got the chance to drive the diesel. It’s a bit noisy when idling and around

town, but at motorway speeds things improve both aurally and in terms of enthusiasm. It’s also pretty economical – Hyundai quotes 65mpg for the diesel, compared to under 50mpg for the petrol.

As for handling, it’s hard to believe, but Hyundai has taken moulds of British roads back to the factory to emulate them on test tracks. The ix20 is the first fruit of

this idea, and though much is made of its success, the result is competent rather than outstanding. The key thing, though, is the space. This has more room inside than an i30, which means it beats cars like the Focus and Astra by some margin. Overall, the ix20 is a goodlooking, eminently sensible car that offers much to potential owners. It arrives in dealers on November 18.

CarDealerMag.co.uk | 17 CarDealerIss33.indd 17

6/11/10 10:44:28

dashboard Peering into the lives of the motor trade...

On the Spot Name: Tim Smith Age: 35 Lives: Sevenoaks Any family? A wife, a daughter, a bump (soon to be daughter number two) and a dog called Dudley.

What do you drive? Porsche 911 Turbo What was your first job? Project manager for IT company.

What was your first car? Volkswagen Beetle.

Who do you work for now? GForces.

What does this involve? Commercial Director involved in company strategy, marketing and helping to run our production teams What would you say are your job’s biggest challenges? Keeping up with lightspeed changes in the internet industry and translating these technological advancements into relevant revenue generating tools for automotive retailers… that and getting a decent cup of coffee in the office.

Any downsides? Stress and sacrifices.

How much do you earn? It will never, ever be enough...

Do you have an average day and how does it pan out? Get to the office and feed the dog – he likes Bakers Complete. Then I catch up with the other directors so we all get an oversight of the whole business.

We are lucky enough to have extremely talented heads of departments who do an amazing job so they tend to deal with the day to day.

It is extremely varied but typically involves activities like account planning, marketing, troubleshooting and client handling.

What newspapers/magazines do you read?

‘I have no superstitions. And I don’t intend to develop any, touch wood.’

What was the first record you bought?

Shakin’ Stevens… honestly, what was I thinking?

What’s your favourite film and the last one you saw? Heat by Michael Mann and Bad

Favourite football team? Liverpool, but it’s a desperate time recently.

Favourite drink? Caiprinha.

Favourite holiday destination? Tuscany or

What is the most expensive thing you’ve ever bought besides your house? Apart from cars

What is the biggest challenge car dealer’s face? I think the sheer speed of change in

it’s my wife that buys expensive things.

terms of technology, pricing, marketing and consumer demand could see many unresponsive dealers be absorbed or simply fade from existence. Additionally,

Sonar.

Have you got any superstitions? Nope and I don’t intend to develop any, touch wood.

Lieutenant with Nicholas Cage.

Times, Top Gear, NMA, Economist, BBC News.

What’s your mobile phone ring tone?

manufacturers moving into retailing vehicles directly via their owned networks could be a problem.

Dartmouth.

What would be your number one tip for car dealers? Just look at the way consumers interact and engage with businesses nowadays. Dealers need to serve the customer the way they want to be served – conveniently and instantly.

The internet obviously enables this to a massive extent, but you have to have the people and processes in place to back up your online promises.

And finally, what’s your motto in life and business? Take the long view but however beautiful your strategy, you should occasionally look at the results.

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

@

18 | CarDealerMag.co.uk CarDealerIss33.indd 18

6/11/10 10:44:30

Dealer selling last ever Vanquish S off production line JCT600 showroom values 6,000-mile supercar £15,000 above original list price DEALER group JCT600 has got a very special car up for sale – the last ever Aston Martin Vanquish S to be built at Newport Pagnell.

What’s more, the Leeds-based dealership is selling the car for £15,000 more than it cost new! The 6,000-mile supercar is number 50 of 50 ‘S’ models to be built by hand at the iconic factory before manufacturing switched to Gaydon, Warwickshire, and is up for £199,995.

It cost £184,000 new.

‘It’s very hard to price a car like this,’ said the group’s Aston Martin brand manager Mark Hill. ‘But this was the last car out of Newport Pagnell and took 400 hours to build by hand. I priced it on a gut feeling.

It’s the perfect car for a collector and we’ve had interest from around the world.

‘In recent weeks I’ve sold cars to buyers from Malaysia, New Zealand and Germany – we really are a worldwide dealership.

That’s why I think this Vanquish S can command the price we’ve put on it.’

The car – chassis number 502593 – is owned by Aston Martin and is being sold on behalf of the manufacturer. It features a 520bhp V12 powerplant and is finished in Ultimate Black.

‘I’ve driven it and can only describe it as an event,’ added Hill. ‘From the second you

All Torque

Is this a new era for Lotus or a disaster waiting to happen?

O

push the starter button and the V12 roars into life you realise you are in a very special car that requires total respect.

‘Newport Pagnell was a magical place and I can see this car sat in a museum somewhere and being cherished for years to come.’ What remains unclear though, is why Aston Martin is letting a slice of its history go.

To see the listing for the car on the dealer’s website type – bit.ly/vanquishS – into a browser.

JAMES BAGGOTT

...as marque confirms Cygnet’s for all!

ANYONE will be able to buy the new Aston Martin Cygnet city car, the British maker has told Car Dealer.

The manufacturer has revealed that existing Aston Martin owners will ‘take priority’ when the car goes on sale next year, but it will then be ‘available to all’.

That means Aston Martin ownership might start from as little as £30k! The news comes on the back of the car manufacturer

Alex Goy

revealing the Cygnet will be built next year at its Gaydon HQ. Originally shown as a concept back in March, Aston Martin has given the Toyota iQ-based ’luxurious city car’ the green light despite criticism.

Aston Martin’s CEO Dr Ulrich Bez insists that the Cygnet is the right car for the brand. He said: ‘It is time to think differently. Aston Martin is honest and we don’t make compromises. Whatever we do, we do right. If we do performance, we do performance; we don’t downsize or compromise our sports cars. The Cygnet needs to satisfy the demands of emissions and space. It is a car without compromise, just like every other Aston Martin.’

Full pricings and specifications will be announced later this year, although it’s expected to cost around £30,000.

JAMES BATCHELOR

ne day I hope to own a Lotus Elise. An S1 in bright yellow or British Racing Green. They came out when I was 13 and I fell in love at first sight. Not in a mechaphilic way, in an I’m-13-and-that’s-the-coolest-thing-in-the-world kinda way.

It was, and still is, a brilliant handling, awesome looking bit of kit.

I say this even though I’m frequently told that Lotus is jokingly referred to as: Lots Of Trouble Usually Serious. I’m aware the Rover K-Series engine is likely to blow a head gasket. And I’m aware that it’ll be a nightmare to insure. But I don’t care. I just love the things.

You can imagine, then, my trepidation at Lotus’ pre-Paris announcement of the new Elite: a 611bhp, V8, slidey roof, heavy... thing. My first thought was ‘Lotus stole the ‘What have they done to me Lotus?!’ Then Lotus stole the show at Paris show at Paris with a whole new with a whole line up. Everything, it seems, is going to change. Lightweight new line up. appears to be going out of the Everything, it window. Lotus says it’ll be seems, is going keeping the weight down, but all the cars will still weigh over a to change.’ tonne. Which for a Lotus, is like spitting on a priest. To nullify the entry-level Elise’s extra heft it will have 320bhp. More than double the power of the base Elise now.

It makes me wonder what Lotus dealers are going to do.

Because, as I see it, the launch dates are fairly set in stone.

Customers will come in looking for their Evoras and Elises, just as they always would, but soon there’ll be a bigger, shinier, newer model on offer. After all, why not wait a year or so for the new one? The neighbours will have more to be jealous of – the new models are very futuristic. And they’re faster. And the interiors will be far less spartan. All of a sudden that Evora’s looking a little poorly specced. It’s also out of place in the line up – the £50k, 276bhp coupé is less powerful than the £34k base model.

I’m curious to hear what dealers think. Are they worried? I would be. Especially when you hear about the dealer ‘cull’ the marque is planning and the whopping investment it wants its surviving dealers to make.

However, despite sounding negative about the change, I’m really not. I look forward to trying them out. I remain hopeful for the brand, I really do. Perhaps the new cars will succeed and Porsche will become the underdog. Maybe Ferrari will learn from Lotus. Or maybe we’re about to witness one of the final bastions of the British automotive industry shoot itself in the foot with an RPG. Time, as they say, will tell…

Who is Alex Goy? He‘s a motoring journalist with a lot to say. He also produces a brilliant weekly podcast. Check it out by typing bit.ly/alexgoy into a browser

CarDealerMag.co.uk | 19 CarDealerIss33.indd 19

6/11/10 10:44:34

interview

Vauxhall gear up for the future Duncan Aldred is back in the UK and has big plans for Vauxhall.

Here he tells RIcHARD AUcOcK some of the tricks up his sleeve

V

d to say he’s been auxhall MD Duncan Aldred is prou Starting out as an . time long a pany com the with , he worked through undergraduate at Ellesmere Port and sales director. sales nal regio to , eting mark sales and in Budapest, before then In 2006, he sidestepped to work back in the UK, as MD of the he’s , Now any.

Germ to switching . with up company that he’s grown ably not far off getting a prob I’m , long so here ‘I’ve been hope it’s not still a carriage just ‘I s. long-service prize!’ he joke a TV…’ clock – I’d much rather have a plasm though, is a ty, abili oach Beneath the warm appr that he’s been loyal to all pany com the get to ation determin y motoring. his working life (and likewise) reall opportunity, and huge a ents pres d bran hall The Vaux Dealer thus sat Car this: in role dealers will play a pivotal to say. had he t wha hear to ed Aldr down with

How did the Lifetime Warranty idea

How’s business?

has gone. We’ve grown market I’m pleased with how the year th here is hard fought, so share by half a per cent – any grow ember, the market Rem size. our n that’s a good result give first part of the the page in was still being skewed by scrap ds. Now, we’re bran e valu to fall foot ng year, which was drivi ce. etpla mark getting normalisation back in the areas – we are not ‘buying’ Vauxhall is growing in the right retail sector, and have business, are number two in the point. The mood of the ratio full a by closed the gap to Ford network is thus very strong.

Did you notice any changes in the UK

when you arrived back?

and there were pressures we The market had clearly changed, before you factor in the events hadn’t had before – and that’s pe. There was uncertainty, Euro and US the between GM in I was impressed to find but there were also consistencies. t when I came back, for intac h muc ty pret the network was le, and are now working peop example. We retained the right base. cost right the get to closely with them that we wanted to keep – Basically, we kept the network ive, we’re still very strong. so, from the customer perspect and location is one of the Indeed, the network size, shape UK: we intend to capitalise the in hall Vaux real strengths of and reinforce this.

The Lifetime Warranty sure surprised

the industry…

come about?

a while – we had a three-year We’d had it kicking around for we felt we needed to do warranty, others were doing five; scale of our offer was a the rst, fi At le. something unbeatab in a meeting. Amazingly pipe dream when it was mooted our, we’d realised an-h halfof e though, within the spac quickly gathered incredible It ns! mea and ways E WER there weeks, we had it launched momentum; in the space of four and out there.

has ever seen! And it’s It is the biggest thing the industry reacted yet. Ford, for has dy interesting to see that nobo ed it’s hand in reducing play dy alrea ably argu example, has d us, either. This is enge prices, and others haven’t chall Lifetime Warranty has the say stics stati own our as surprising, le positively. There peop four in e changed the opinion of thre rance and confidence, and it’s is higher awareness, higher assu ity one. qual a helping define the brand as

What about the Chevrolet situation? rather than partners?

Are you now competitors

nd 90 dealers, of which Chevrolet has a network of arou hall. They don’t play too Vaux with led dual roughly 60 are though – Chevrolet is a her much of a part with one anot things to different rent diffe ns mea h whic d global bran acteristics. char rent markets. The two have diffe as a chance to grow ds bran the of n ratio sepa We see the like to see. There, we’d t wha both: the VW Audi model is tually separated even but , time long a for led the two dual a rival to Toyota, be can hall as both successfully grew. Vaux So long as dealers dai.

Hyun and Kia rival can while Chevrolet y chance this ever e’s ther ent, implement separate managem ed. succe approach will

How strong a brand is Vauxhall?

lly across Europe there would It’s a 107-year-old company! Idea hall simply has too much be just a single brand. But Vaux thing I’ve really realised since some is heritage to give up – this on, and there’s now a real I came back. It’s unique, full of passi y, we were too defensive. iousl Prev . feeling we can do anything on the front foot. Our We need to look forward and get speak louder than words. ns actio – people need to break out

What’s the future for Vauxhall as a

brand?

t. We aim to become a Vauxhall needs to move upmarke d, building on our bran ing hink progressive, forward-t It’s a 107-year-old ard. forw ing look also but age herit years – the aim now the over lot a ved company that’s evol d bran that’s relevant and is to drive this on and become a not as if the product isn’t It’s et. mark et in tune with its targ ve Vauxhall has jumped there: I’ve looked at VW but belie ity, fit and finish, and qual ior inter as ahead in areas such see and the details you can’t design. It’s both the bits you can inced Vauxhall is in the conv I’m , good so – the cars are now t. ideal position to evolve upmarke

Are there any gaps in your range?

a small city car. We have the An obvious hole in our range is of vehicle Ford Ka and Fiat Agila, but that isn’t really the sort WILL be making a small we So, for. ing look 500 buyers are le city car, a popular rdab junior car. We really need an affo

20 | CarDealerMag.co.uk CarDealerIss33.indd 20

6/11/10 10:44:43

‘I’m convinced Vauxhall is in the ideal position to evolve upmarket.’ one that can bring us big volume. The segment has great potential for us and we’re looking at many things: look out for some interesting developments here in coming years.

What sort of an opportunity is the Ampera?

It’s a terrific opportunity, a potential halo car that could establish Vauxhall as a green frontrunner.

The sales predictions are increasing all the time – interestingly, there’s a real clamour from fleet for it, which is under huge pressure to reduce CO2.

Even so, volumes will be in the tens of thousands, rather than the hundreds. A lot depends on the UK government subsidy; fortunately, the government sees cars such as this as strategic.

The Ampera will be a loss leader, but it will also be a brand builder. First year demand will thus outstrip supply, with ease. The tricky part will be the second phase, when availability becomes better.

Here, we need stability; it’s what happens once the incentives ease that will be key. Hopefully, by then, the UK will be established as a centre for eco technology, such as electric cars. This is certainly something I’d welcome!

What’s your everyday car?

I’m a car guy. I make a point of not sticking to one car from our range – instead, I’ll go through all the cars in the range, from Corsa to Insignia. Spending a month or two with each helps me really understand what each car is about. I have to admit though, it was hard to let the VXR Insignia go…

What’s your message to dealers?

Vauxhall needs to get back on the front foot.

As I say, I think we have been too defensive; understandable over the past year, but our people now need to break out of this and become bolder.

We have some great products and there’s a lot of goodwill for the brand too. It’s a great opportunity for dealers to now build on this, safe in the knowledge they’ll have our full backing.

What are you predicting for the rest of 2010 and 2011?

Vauxhall MD Duncan Aldred

Things may well get worse, as people start to notice they have less spare cash. Post scrappage, things will be harder (this may skew year-on-year results in the first part of 2011) but they will not be catastrophically so. Vauxhall is not planning for a double-dip recession – but even so, my plans are based on a conservative estimate. Our biggest problem at the moment, incidentally, is not being able to get enough cars: Insignia is sold out and Meriva supplies are pretty tight…

As for the January VAT rise, we’re not expecting a huge number of pull-forwards in December: 20k max is what we’re talking. The UK market is so advanced in terms of systems, people can register on December 24 for January 3 – they can thus arrange and register the car before Christmas, but not take it on until after the year end. This will help us manage things. [CD]

CarDealerMag.co.uk | 21 CarDealerIss33.indd 21

6/11/10 10:44:45

M

Y

Y

Y

CarDealerIss33.indd 22

6/11/10 10:44:46

dashboard

BMW launches classic servicing offer at flagship London dealer Park Lane kicks off unique offer with a celebration of classics BMW are trialling a servicing offer for classics at its flagship Park Lane dealership. The initiative sees the German firm offering owners of its legendary cars the chance to have them fettled by its highly skilled technicians.

Already successful in Germany, BMW Classic – formerly known as BMW Mobile Tradition – has decided to bring the operation to the UK, which includes access to a huge catalogue of parts for classics.

It is a service that will succeed, believes BMW UK managing director Tim Abbott.

‘We want to keep classic BMWs on the road, and we estimate we will provide owners with about two million parts a year,’ he said.

‘Some 99 per cent of parts are on our catalogue, and if we don’t have the part, we’ll make it for the customer. BMW’s museum in Munich still has technical drawings for every part of every car.’

2002 tii M1

‘BMW’s museum in Munich still has technical drawings for every part of every car.’

The decision to launch the service at the Park Lane dealership was taken in respect of the company’s experience with its iconic models.

To mark the launch, showroom space at the London dealership was handed over to 10 stunning models of days gone by.

Replacing the selling space were cars ranging from a dainty 1927 3 15 PS Roadster right up to the purist’s favourite, the M3 CSL from 2003.

‘Park Lane has a proud history in BMW motorsport, and when managing director Toby Partridge offered to operate BMW Classic in the UK, we agreed,’ said Abbott.

‘Toby’s team will get the right results and get the job done.’

BMW Park Lane managing director Toby Partridge added: ‘With more than 34,000 parts on catalogue we really can do

M1 M3

3.0 CSL 507 Roadster

328 Roadster

anything for a customer. Though mainly a parts service, full restorations are available, and we have already had some surprising enquires already.’

When asked what cars qualify as classics, Partridge said: ‘There is no definition of age. The Z8 is already a classic and that is only 10 years old. We will let our customers define “classic”.’

Joining the 1927 3 15 PS and M3 CSL were the elegant 328 and 507 Roadsters, a legendary 3.0 CSL, the iconic M1 supercar, the first generation M3, the sliding-door-famed Z1, a Z8, and the 1970s classic 2002 tii which had been made by BMW Classic using an original spare body in 2005.

‘It was very difficult choosing only 10 cars,’ said Partridge. ‘The 328 and 3.0 CSL were easy, as was the 2005-built 2002 tii. But the M3 CSL was a controversial choice as it challenged the definition of classic.’

The BMW Classic ‘Hall of Fame’ exhibition was officially opened by multiple motorcycle and onetime Formula 1 World Champion John Surtees, with ex-BMW touring car ace Steve Soper.

Words and pictures by JAMES BATCHELOR

CarDealerMag.co.uk | 23 CarDealerIss33.indd 23

6/11/10 10:44:54

CarDealerIss33.indd 24

6/11/10 10:44:55

big mike

Playing ‘which car?’ can offer up some big surprises T

here’s a little game that my assistant-cumcar cleaning boy, Jason, and I play when customers wander on to the Big Mike lot, and it goes a long way to reinforcing some of the less complementary stereotypes about this fine ‘vehicle relocation’ business in which we work.

Whenever a punter wanders in off the street, Jason and I both grab a Post It note and write down which car we think he or she will make a bee-line for. If one of us gets it right, then the other has to make the tea until the next time one of us makes a correct prediction. If we both get it right, we don’t alter the tea rota, but we go across the road and have a greasy fry-up on the company.

It’s silliness like this that keeps us sane during the quiet times, for as any used car dealer knows, sometimes the job can be so manic you can’t breathe. Other times, there’s a lot of standing around in the wind and in the rain, waiting for some poor mug to wander off the street with this month’s mortgage payment.

I digress. Normally, when Jason and I play our silly game, we often end up in the café. He’s only 19, but he’s learning quickly, and has got to the stage where he’s quite good at matching cars to people.

He’ll spot the school-run mum and automatically match her up with the Zafira, or the ageing rockstar, who needs a Volvo estate to carry his amps and guitars around in, from 50 paces. But he sometimes gets caught out.

And despite my experience in this industry, I confess that sometimes, so do I. Like the other day. A man in his late 50s to early 60s wanders in wearing one of those awful jumpers that you only ever see on men of a certain age and body type, with a pair of horrendous sort-of-yellowbut-almost-beige trousers to match. He could only have come from one place and one place alone – the golf course.

Seeing him wander across the lot, Jason and I scuttled into the office – a large static caravan with a door at each end – and hastily scribbled down what car we thought he’d be looking at.

As he sidled on to the lot, we compared notes.

Mine said ‘Volvo S80’. Jason’s said ‘That Jag S-Type with the dodgy second-hand gearbox’.

Sometimes, the boy gives just a little bit too much information…

We were both astonished, then, that Golfer Man ignored the two luxury prestige models that were perfect for his ample behind, and instead made a bee-line for a modified Honda Prelude with a stupidly big wing on the back – the kind of rubbish that I’d far more expect Jason to sell to one of his mates, with its big list of tuning companies on its front wing and its stupidly large alloys.

When he offered to buy it on the spot, I was even more concerned. Perhaps he as a mystery shopper, from Trading Standards?

I relaxed a little when I got talking to him,

Not all Honda Prelude drivers are boy racers with a passion for home-made modifications...

‘We were both astonished, then, that Golfer Man ignored the two luxury prestige models and instead made a bee-line for a modified Honda Prelude.’ though. Turns out that in his spare time he’s the moderator on a website called ‘Turbo Nutter’, and modified Japs are just his thing. Each to their own!

He’s not the weirdest one I’ve ever had, though. I once got called out to look at ‘an old Ford’ that was in the garage of an 88-year-old widow, to see if I’d like to buy it.

Since her husband’s passing, the old Doris had decided it was at last time to get something a bit comfier, and with power steering.

Expecting a low-mileage Fiesta, imagine my surprise when she lifted the up and over door to reveal an almost box-fresh Capri 2.8 Injection Special!

Marvellous it was, and I bought it on the spot – but not before I’d asked her what her comfier car with power steering was to replace it.

She lifted the second door on her double garage, and there beneath a dust sheet was not the expected Suzuki Wagon-R or Vauxhall Agila, but a 5.3-litre V12 Jaguar XJ-S, complete with TWR body kit.

Apparently, it had taken her months to find one with a manual gearbox…

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.

CarDealerMag.co.uk | 25 CarDealerIss33.indd 25

6/11/10 10:44:56

finance Finance news Car Dealer rounds up the latest stories from the world of car finance

Finance up for used car sales USED car finance sales were up by more than a fifth in August, says the Finance & Leasing Association.

The latest statistics from the FLA reveal that sales of used cars using dealer finance rose by 21 per cent in August when compared to the same month in 2009.

However, sales of new cars to consumers and businesses using motor finance were down by 12 per cent and 26 per cent respectively.

August is traditionally a quiet month as motorists wait for the release of the new number plate in September.

Paul Harrison, head of motor finance, said: ‘Following the withdrawal of a range of incentives to buy new, consumers have returned to the used car market where lower prices are attractive.’

Alphera bags Aston Martin ASTON Martin has joined forces with Alphera Financial Services to launch a range of tailored finance packages.

Under the name Aston Martin Financial Services, the new range of specialised finance packages has been designed to make Aston Martin ownership affordable across monthly repayments.

‘Personal Contract Purchase’ allows customers to buy, part exchange or return their car at the end of their agreements. Aston Martin chief commercial officer Michael Van Der Sande said: ‘Aston Martin continues to focus on the future and with the introduction of new products and services such as individually tailored financial packages we aim to make the Aston Martin brand more accessible to our customers.’

11 for 2011, p64

Deal finder City cars

Ford Fiesta Ford wants to make it as affordable as possible to run a Fiesta – but also aims to appeal to those buyers taken by its standout looks. Therefore, it’s not offering deals on the base models, but the stylish Zetec that the majority of buyers covet.

The brand has put together a cover-all finance package with many incentives along the way.

First it has cut the list price to £11,645 – that’s £350 off. Then, there’s a £500 deposit allowance for a two-year Ford Options deal. This means the customer needs to find £1,717 for the deposit.

Then, it’s 24 months of £199 a month, with a guaranteed minimum future value of £5,378.

Total amount charged for credit is £9,427 and the customer has plenty of options with a good-value asset at the end, to either continue financing or get something new. No wonder it sells so well…

Ford Fiesta 1.25 82 Zetec 3dr Price: £11,645 Engine: 1.25-litre petrol, 82bhp 0-60mph: 13.3s Max speed: 104mph MPG: 49.6mpg CO2: 129g/km

Hyundai i20 Check out the list price! Hyundai isn’t messing about here – but don’t think this is some stripped-out bargain basement buy either: the Classic may be entry-level, but it still has air con and ESP stability control (albeit no colour choice – it’s non-metallic red only). Don’t worry about the ‘small’ 1.2-litre engine either. It’s actually the fastest here, as well as the most economical.

Naturally, the key to the deal is the stupendous list price. Hyundai can finance this for a meagre £150 customer deposit, then £150 a month for three years. At the end, there’s a £3,474 final payment. Even a middling 5.9 per cent APR rate

is no disincentive, because the price is so low for it to be negligible – such low-outlay convenience equates to just over £1,000 in finance charges.

In ‘Austerity Britain’, you really can’t argue with the all-round logic Hyundai offers here.

Hyundai 1.2 Classic 3dr Price: £7,995 Engine: 1.2-litre petrol, 77bhp 0-60mph: 12.9s Max speed: 106mph MPG: 55.4mpg CO2: 119g/km

Peugeot 207 Peugeot is doing something totally different with the ‘Just Add Fuel’ finance promotion.

Because it is not purchase, but lease! Private buyers, to now, simply haven’t ‘done’ lease schemes. Peugeot aims to change that by going big on its new package.

And it really is a package – the name says it all, for included in the price is three years’ insurance and servicing, breakdown cover, tax and warranty.

The target 207 car is the Millesim model.

There’s no list price involved: it’s simply a £1,497 initial deposit, then 36 months at £195 a month.

The annual mileage is 6,667 miles and there are

penalties for those who step over it; seems a bit low by most drivers’ annual distances, but maybe that’s indicative of the target market Peugeot’s after here. The ‘Just Add Fuel’ lease scheme is offered on many other models too: dealers will be watching closely to see how it fares…

Peugeot 207 1.4 8v Millesim 3dr Price: Rental only Engine: 1.4-litre petrol, 75bhp 0-60mph: 15.7s Max speed: 106mph MPG: 44.8mpg CO2: 145g/km

Valuing Service – Valuing You! ervice – Valuing You!

the first choice for First theResponse UK’s smallFinance to medium is the sized first dealer choicemarket. for the UK’s small to medium sized dealer market.

26 | CarDealerMag.co.uk CarDealerIss33.indd 26

6/11/10 10:44:58

!

...in association with

Jim

Meldrum The difference between survival and extinction

G

etting expert advice on how to improve your business may be the difference between survival and extinction in the current economy. Far too many business owners are reluctant to ask for help and even when it’s offered freely they resist the advice and waste precious time trying to figure out what the catch might be.

Let’s face it, running any business is tough. When things go well there is pressure to do better and when times are hard then there’s just too much to worry about today without worrying about tomorrow.

None of us know what challenges lie ahead in 2011 – I’ll take an uneducated guess and be fairly accurate in the assumption that we can ‘Belts will be expect tough times.

Of course, in the big tightened as scheme of things most of the UK has yet to feel the effects wage rises become of any government cutbacks a relic of the past and remain unscathed from and wage freeze job losses and business agreements closures. For most, the looming VAT rise will be the become the norm.’ beginning of having less ‘spare’ cash to spend.

Belts will be tightened as wage rises become a relic of the past and wage freeze agreements become the norm. Car dealers big and small will feel the pinch as buyers who do have cash to spend become scarce. The good news – these buyers will exist. They will be out there buying cars. The bad news? If you don’t encourage them to buy your cars then they will stay ... OUT THERE! The great news? First Response is offering the services of its business development managers, who are focussed on helping dealers sell more cars. They will do this by increasing buyer footfall using individually agreed marketing strategies and giving advice on how to replace lost opportunities with sales.

You are welcome to call us anytime for free advice.

Read Sub-Prime Time with Don Brough, p90

Who is Jim Meldrum?

Jim is regional sales manager for First Response Finance. Call him on 07917 460 111 or email Jimm@frfl.co.uk to respond to this column

Tel: 0844 8730819 Tel: 0844 8730819 Web: www.frfl.co.ukWeb: www.frfl.co.uk CarDealerMag.co.uk | 27 CarDealerIss33.indd 27

6/11/10 10:45:01

[Forecourt] Audi RS5 Price: £58,685 Engine: 4.2-litre V8 Power: 450bhp, 430Nm Max speed: 155mph 0-60mph: 4.6s MPG: 26.2mpg

It’s a spiritual successor to the original Quattro, but can the RS5 live up to the legend?

T

he Audi RS5 is a car that will surprise you.

In the images, it looks like just another Audi A5, subtly pumped out but not comprehensively overhauled. In the metal, though, it’s a completely different story. This car looks superb, every inch the wide-arched modernday Quattro.

Even if you’re not aware of this, onlookers will be. Rare is the Audi that gets this much attention and turns so many heads on the road. People were crossing the road to get a closer look at the Car Dealer test car. It was one of those machines

in which you feel a bit like a celebrity. This is the surprising added-extra for buyers.

They’ll be primarily drawn by its status as the latest RS Audi, though. Since the Porschedeveloped RS2 of the early 90s, these Audis have been the most tuned-up and extreme cars from Ingolstadt you can buy. There’s never more than one RS version available at any one time: right now, it’s the turn of the A5.

The RS5 is particularly stand-out with flared wheelarches front and rear. These are complemented by matching side skirts, plenty

of add-ons, a speed-operated rear spoiler and, of course, large alloys. Oval tailpipes and satin aluminium door mirrors add the final RS signature, while inside, it’s decked out in Nappa leather and (hard) sports seats.

It has tricks, from an advanced new Quattro differential that can divert more power rearwards, to a start-up sequence that blasts the exhaust loudly with pedestrian-startling menace.

Luckily, it’s far from all just show.

Be in no doubt, it’s quick, courtesy of a stupendous engine. This was mighty in the RS4

28 | CarDealerMag.co.uk CarDealerIss33.indd 28

6/11/10 10:45:04

5 S R I D U A

and it’s no less stellar here. Despite being 4.2-litres, the 450bhp V8 will rev to 8,500rpm, making a lovely wail as it does so, yet it’s also rich and smooth in normal use too. Shame the seven-speed auto’s not as lively – downshifts can be lazy. Often necessary, too: 430Nm of torque is pretty average considering its size.

When worked hard, it’ll hit 60mph in 4.6 seconds and is (heavily) electronically limited to 155mph. It feels more than capable of adding another 20mph-plus to that…

Which makes the way the RS5 feels on the road all the more relatively disappointing. Remember, the RS4 was lovely, an Audi like few others, with

a supple yet taut chassis and a really composed sporting feel on back roads. Has Audi turned the corner, we thought, from making the fast but sensation-lite cars it was renowned for?

Well, if it did, the RS5 suggests it has since turned back. There’s nothing wrong with the way it handles (well, apart from too much wandering about over uneven roads)… it’s just that there’s little sense of real involvement. The steering is distant, the Quattro drivetrain peerlessly efficient but not all that involving – it’s a ferociously, exceedingly fast and competent car. Just not one that feels so.

This may not matter to its target buyers (for

them, a stiff ride may be more of a concern, though). Audi isn’t really targeting the BMW M3 that the RS4 challenged so well with this car.

Instead, it’s something more grown up, more exclusive – and, judging by the admiring glances we got in it – something that beats even the M car for eye candy.

That will be enough. Even if you’ve driven it, you’ll forgive a lack of drama for the way it looks.

Just don’t expect an RS4 coupe, for with the RS5, Audi’s reverted back to type. Given the plaudits we heaped on the RS4 (and given the heady £58k price tag!), that for us is yet another surprise…

RICHARD AUCOCK

CarDealerMag.co.uk | 29 CarDealerIss33.indd 29

6/11/10 10:45:10

[Forecourt]

Sharan’s a sure thing

It was long overdue an overhaul, but now the Sharan is back to do battle in the MPV sector

A

decade-and-a-half is a long time in anyone’s book, especially when it comes to cars. Quite how the old Volkswagen Sharan got away with being with us for so long is beyond us. Granted it may have had the odd nip and tuck here and there, but up until now it was essentially the same car underneath.

Launched in 1995 as part of the Galaxy/ Sharan/Alhambra triplet, time has marched on a bit too quickly for the Sharan and with the competition growing ever more stylish it was time for a rethink.

Ford has parted company from the VW platform-sharing deal, leaving VW and sister firm Seat to strike out on their own.

While the new Alhambra is due to hit dealers any time now, the new Sharan is the first to arrive – and Car Dealer has climbed behind the wheel.

At 6ft 3in wide and almost 16ft long (yes, really), the new Sharan is bigger than the car it replaces. The interior boasts seven seats and, the rear five can fold completely flat into the floor easily, or be removed altogether.

In fact the rear compartment is so cavernous it feels like you’re driving around in a branch of WH Smiths.

Prices kick off at £22,980 for the 1.4-litre TSI ‘S’ model which is generously equipped with extras including stop/start, an electronic parking brake, a six-speed gearbox, electronic climate control, aux-in socket, and mirrors that are heated and electrically adjustable.

The range-topping ‘Executive’ weighs in at £30,580. However, while the 1.4-litre TSI S may look good on paper, on the road

it is a different story.

The supercharged and turbocharged petrol unit may be good in other VAG products – like the Seat Ibiza Bocanegra tested in a couple of pages time – but in the Sharan the 150bhp motor is simply too lethargic.

Not only does the whirring noise of the supercharger seem odd in a car this size, but constantly matching the revs to the turbo gets quite tedious after a while. The only really good bit is the DSG gearbox.

Selecting the 140bhp, 2.0-litre TDI is what the majority of customers will do. It may have 10bhp less than the 1.4-litre petrol, but the extra torque of the TDI unit makes for a more relaxed ride and it gets to 60mph only 0.2secs behind the 1.4-litre petrol, while returning 50.4mpg over the petrol’s 39.2mpg.

The SE spec is better too as parking sensors are included – a much-needed option in such a large car.

Other engines in the range include a 2.0-litre TSI petrol that produces 200bhp and a 2.0-litre TDI producing 170bhp. Considering its size, you wouldn’t expect the Sharan to handle that well. And you’d be right.

However, while there is a fair amount of body roll, the Sharan never feels too unwieldy as an abundance of understeer is tamed neatly by the direct and well-weighted steering.

Overall the return of the Sharan to the MPV market is a welcome one. The Sharan is a competent car, if slightly dull to look at, but it is bound to walk out of the showrooms – bought by both fleet and private buyers alike.

y s a e p e e l S Volkswagen Sharan S 1.4-litre TSI Price: £22,980 Engine: 1.4 super & turbocharged petrol Power: 150bhp, 240Nm 0-62mph: 10.7secs Top Speed: 122mph MPG: 39.2

JAMES BATCHELOR

30 | CarDealerMag.co.uk CarDealerIss33.indd 30

6/11/10 10:45:12

t u o ill

h C

For a great Free

that’s absolutely to use and a

Non stop

supply of quality used

to www.mfldirect.co.uk Buy online today, tomorrow and every day. the source of ex-Motability cars. online. every day PART OF

CarDealerIss33.indd 31

6/11/10 10:45:12

[Twin Test] Ford Focus

F

ive years ago family hatchback buyers had few choices when it came to buying a new car. They’d either head to Ford and Vauxhall or, if they wanted some style, they would plump for the big-bottomed Renault Megane.

But now things have changed with some new hatchbacks from Korea. Kia and Hyundai have really upped their game in recent years, and their family cars are real alternatives to market leaders Ford and Vauxhall.

So to see just how far Hyundai has come, we took the opportunity to get behind the wheel of their recently facelifted i30, pitching it against the market leader – the Ford Focus.

THE MODEL The Focus has rapidly become the default choice for family hatchback buyers. And for good reason. It is sensibly priced, is a class leader in terms of driving dynamics and boasts

a badge many buyers are proud to put on their drive. But as the years have crept on, so has the list price. When compared to rivals like the i30, the Focus seems unnecessarily expensive.

UNDER THE BONNET Ford’s Focus range has a plentiful choice of powerplants. From the mighty five cylinder turbo-charged ST to the green-minded Econetic, the range has it all. We’ve gone for one of the most popular choices – the £18,345 2.0-litre TDCi. It’s not really fair comparing a 2.0-litre with a 1.6-litre diesel but, that being said, this is one of the best sellers. It’s a 134bhp unit with 320m of torque which will manage 124mph flat out while returning 48mpg.

ON THE ROAD Jump out of any hatchback and into the Focus and you begin to notice how far behind other makers are. Even now. The Focus is class

leading for a reason – the way it steers and handles is a benchmark for the industry and it’s clear to see why. The brakes are sharp, the slightly-stiffened suspension leads to a planted ride, and the six-speed Powershift auto ’box is smooth and quick to respond.

SPECIFICATION The dash is simple but lacks design flair. But it is packed with equipment such as a natty ST-style body kit with privacy glass, 17-inch alloys, air conditioning, Quickclear windscreen, comfy sports seats, and stiffened suspension.

On the outside you’d be forgiven for thinking it was an ST. SAFETY As you would expect there is a whole array of airbags (six), Ford’s Intelligent Protection System, ESP, EBD & EBA, and a tyre deflation detection system is available at a modest £75.

Ford Focus 2.0 TDCi Zetec Price: £18,345 Engine: 2.0-litre diesel Power: 134bhp, 320Nm 0-60mph: 9.5s Top speed: 124mph MPG: 48

32 | CarDealerMag.co.uk CarDealerIss33.indd 32

6/11/10 10:45:15

Words and picture: James Bactchelor

Hyundai i30 ON THE ROAD The first thing you notice about the Hyundai is how well it rides. It’s not quite as planted as the Focus with a whisker more body-roll – but it’s still very good. The six-speed manual gearbox is slick and the brakes are very responsive. But the big letdown is the steering.

Spin the wheel and it seems turning the wheels is the last job on the steering’s agenda.

THE MODEL It’s a huge task taking on the Ford Focus, but the i30 has a good go at it. Sitting above the hugely popular i10 – made famous by the scrappage scheme – and the Fiesta-sized i20, the i30 is a well-priced, well-built five-door with a few stylistic nods towards the BMW 1-Series. It’s just had a facelift making the front-end a little sharper, but you’d hardly notice.

UNDER THE BONNET The i30’s 1.6-litre diesel can’t manage the Focus’ top speed, but it’s not far off. With 113bhp and 260Nm it’ll manage 117mph tops, but returns a mightily impressive 62mpg.

There’s also an eco version of the 1.6-litre diesel with 89bhp, and a couple of 1.4 and 1.6-litre petrols. The only real criticism, however, is the noise our £16,450 diesel model made – it’s just a little too loud.

SPECIFICATION The interior of the i30 looks much newer than the Focus’ yet its lofty driving position means it’s more comfort orientated. The Hyundai comes with half-leather seats, air conditioning, electric windows, trip computer, heated door mirrors, iPod input and a set of slightly gaudy chrome inlaid 17-inch alloys.

SAFETY The Hyundai has as many safety features as

the Focus with six airbags and something called ‘active front head restraints’. The i30’s comprehensive list of safety features is an example of how the Koreans have matched their products to the Europeans.

VERDICT Five years ago comparing a Hyundai with a Ford would have been like comparing Ann Widdecombe to Dannii Minogue – comical and a tad pointless. But these days that’s not the case. With the i30, Hyundai has made a car that really rivals the Focus – costing less and with the added benefit of a five-year warranty.

Unfortunately, the i30 is not quite as complete as the Focus – but if the Koreans keep on trying, a Hyundai could steal Ford’s crown sooner than many might think.

Watch our video road test of the Hyundai i30 by typing bit.ly/i30tested into a web browser

Hyundai i30 Premium Price: £16,450 Engine: 1.6-litre CRDI Power: 113bhp, 260Nm 0-60mph: 11.3s Top speed: 117mph MPG: 62

HAtcH

oF THE dAY

SHOUlD tHe FORD FOcUS StIll be tHe FIRSt cHOIce FOR HAtcHbAcK bUYeRS? cAR DeAleR InVeStIGAteS CarDealerMag.co.uk | 33 CarDealerIss33.indd 33

6/11/10 10:45:18

Acceptable

IN THE 80s

34 | CarDealerMag.co.uk CarDealerIss33.indd 34

6/11/10 10:45:21

s

Words: James Batchelor and James Baggott Pictures: Matt Richardson

To celebrate Seat’s 25th an n first and one of the new iversary in the UK, we visit one of the very est dealers in the networ k in two special Ibizas hen Seat arrived in the UK 25 years ago perme d hair, day-glo socks, and Wham! we fro m one of the oldest re all the rag

W

e. Fast forward a qua of a century and things rter couldn’t be more diff trimmed hair is all the erent: wellrage, only builders spo rt day-glo, and the lea singer of Wham! stru d ggles to keep his car out of hedges.

But some things never change. Like car dealers . They have, and alw will have, one prime ays objective – shifting me tal – and making sure customers leave with their a huge smile on their fac e.

To celebrate the Spanis h manufacturer’s arriva l in the UK 25 years ago Car Dealer decided to , embark on a little adv enture. We’d be travel ing

Seat dealers in the UK , Castlegate of Norwi the newest, Horton of ch, to Lincoln.

And to make things eve n more interesting we ’d be doing it in two very different cars. We ’d be tackling the jou rney in the car that hel launch Seat in the UK ped , the MK1 Ibiza, com plete with 44bhp eng one windscreen wiper, ine and and also the sportiest incarnation of the Ibiz yet, the fiery Bocane a gra.

For dealer principal Ken Lister of Castlegate the Mk1 will be like meeting an old friend, but what would Katie Freeman of Horton ma of the old hatchback ke ? Let’s find out. >

CarDealerMag.co.uk | 35 CarDealerIss33.indd 35

6/11/10 10:45:23

SEAT’S 25TH

K

en Lister has been flogging cars for 29 years.

His showroom may reside on a busy innercity main road alongside tile shops and DIY stores, but it is a set-up that works. Castlegate has a very familiar, comfortable feeling. Perhaps that is due to the big man himself. He’s a hands-on, old school car dealer. His desk sits firmly in the middle of the showroom in order to be ‘in the centre of the action’ and you quickly get the sense that he knows a thing or two about shifting Seats – he has, after all, been doing it for 25 years.

When we roll up in our two Ibizas you can see Lister’s face light up. He remembers the Mk1 fondly and the stories come flooding back. ‘I’ve got to say that initially, there were one or two… how shall I put it? Build quality issues,’ he smirks.

‘They were made from the poorest quality materials. The rubber parts shrunk like hell. It became a joke among us not to use Spanish condoms such was the poor quality of the rubber.’

A brutal judgement of the Mk1? No, just honest.

Lister can speak with some authority, though, as he and his dealers really know about the cars they are selling. ‘We drove a lot of them ourselves. We found the problems that ruined them and ironed a number of them out,’ he explains. ‘We had far less issues than a lot of the other dealers because we were engineers; we knew what we were doing.’

Those other dealers were Seat’s first UK sales force back in 1985. Lister was one of 80 charged with the

‘They were made from the poorest quality materials. The rubber parts shrunk like hell. It became a joke among us not to use Spanish condoms...’ task of charming the public out of their provincial Fiestas and into the eccentricities of Spanish Seat ownership.

Lister picked up his franchise by default.

‘We started in 1971, acquiring these premises in 1981, and specialised in nearly new Volkswagens and Audis. But at that time there was little chance of becoming a Volkswagen dealer, and we read in the newspaper of Seat coming into the market and I thought the combination of Volkswagen and Seat in one dealership would be a great opportunity.

‘However, initially we were declined by Seat because a local Fiat dealer had acquired the franchise in town – Seat and Fiat was obviously the connection – but then we got a letter from Seat saying there was a change in situation and could they come down and see us.

‘The first MD of Seat UK was a man called Douglas Clare and he came down here, and got half way around and capitulated, saying “It’s yours, don’t tell me any more, I can you tell you want it. You’ve got the enthusiasm – it’s yours”, and we went from there.’

Despite Lister’s enthusiasm for the brand, he and the other 80 dealers did not see Seats simply ‘walk’ out of showrooms. The first month of Seat in the UK – September 1985 – saw a total of 24 cars sold and by the end of the year 405 had been shifted across the country.

Ken Lister, right, hired Fawlty Towers’ Andrew ‘Manuel’ Sachs for the launch of the MK1 Ibiza at his Castlegate dealership

With its Guigiaro-designed bodywork, ‘System Porsche’ engines and attractive price-tag of £4,171, the Ibiza could claim a majority stake of those sales, and by Christmas 1986 Seat had shifted a total of 5,922 cars to curious Brits.

‘In those early days,’ reminisces Lister. ‘It was an adventure. We were backwards and forwards to Spain seven or eight times a year, and if they wanted to discuss something with their dealers they would fly you over to see them.

‘Regularly we had two-day trips to Spain to visit the design studios – real in at the grass roots stuff.’

It was this contact between the decisionmakers in Spain and the dealers who had to flog the cars to the public that made Seat’s introduction to the UK last a quarter of a century, believes Lister.

‘They always wanted the dealer’s input,’ he says. ‘The UK was – and is – a demanding and mature car market where the customer knows

what they like and what they don’t like.

‘For example, when the cars initially came from Spain they had decent radios but rubbish speakers that distorted the sound. We told Seat of the problem and said it needed rectifying, and they did that – so much so that it negated us the opportunity to sell customers a better stereo!’

Being in Lister’s company you quickly realise that he is an ‘old school’ salesman. His desk may be in the centre of the action but what marks him out is his approach to customers. The British public may well be demanding when it comes to choosing their next set of wheels, but his old-fashioned selling techniques, his experience with the brand, and knowing how to deal with all types of punter has contributed to Castlegate Seat remaining open for so long.

Like his customers, he’s serious too: ‘The big difficulty with Seat is the fact that if you do not know the brand, then you are a little

36 | CarDealerMag.co.uk

CarDealerIss33.indd 36

6/11/10 10:45:29

apprehensive about putting your bum, or your money, into the car.

‘I’m a terrible brow-beater of people and I tell people to take the car and have it for the weekend. And I think about 99 per cent of customers will return and say “oh, that’s really good, I really enjoyed that – I didn’t think I was going to”. Seat, the brand, surprises people, and customers come to the brand with preconceived ideas. But once they have driven one – I manage to convince them to buy one!’

And Lister has a whole portfolio of contented customers too. ‘They keep coming back and buying them over and over again,’ he says. ‘We have some amazing customers who even started with the Mk1 and are still buying Seats from us.

‘We worked out that one couple – I’m not sure of their sanity – have had about 40 cars in the last 10 years from us. They change their car every three months and they have been through

the whole range – up and down it two or three times. I don’t know where they get their money from. They’re too old to be drug dealers that’s for sure.’

Lister is full of stories and anecdotes like that.

He is more comfortable suggesting that it is his ‘mad’ customers who return to him and not the customers returning because they like him and the way Castlegate do business.

Push him harder and he reveals that even Seat recognise that him and his team are more than capable at their job. ‘According to our aftersales manager, we have one of the strongest retention rates in the network.’ Modest you would agree? Especially as by ‘the network’ he means in the country.

It is perhaps this modesty and getting on with the job that has helped Castlegate remain high in Seat’s good books.

‘We hadn’t even realised it was 25 years,’ said

Lister. ‘We celebrated 21 years but we hadn’t thought about 25! You see the years roll on with constantly changing products – there isn’t much time to draw breath.’

So, what of the last and the next 25 years for Castlegate and Seat? Lister replies, completely honestly as always: ‘I would like to think that we have built a good representation of the brand in this area. You might not be as sad as me but I drive around this ring road and in this town and I see Seats everywhere – I don’t go anywhere without seeing a Seat in some nook or cranny of some age or of some description.

‘Most have got our plates on – we’re a bit territorial in Norfolk – and I would like to think this would be the case in the future. 25 years ago it was the case of dealers phoning us up wanting to get rid of used Seats and we would buy them all back. Now, though, Seats are so damn good we have to ring them up!’ >

CarDealerMag.co.uk | 37 CarDealerIss33.indd 37

6/11/10 10:45:31

SEAT’S 25TH THE MODEL Fast forward 25 years from the MK1 and things couldn’t be more different. The Ibiza range is made up of no less than 43 models now, from a fuel-sipping Ecomotive that’ll do 76.3mpg to the fire-breathing £17,720 Bocanegra range-topper.

It’s this hot hatch variant that we’ve laid our hands on for this test. Featuring a badge that harks back to the maker’s past – 1975 to be exact and the 1200 Sport – Bocanegra translates as ‘black mouth’ and is the reason for that gloss black nose.

UNDER THE BONNET My how things have changed – today’s flagship Ibiza is a veritable performance machine that would keep sportscars of 1985 humble. The Bocanegra is based on the Ibiza Cupra which means it boasts a 1.4-litre unit with direct fuel injection, a turbocharger and supercharger! That’s good for 180bhp, 184Nm of torque and a 0-60mph time of just 7.2 seconds. It’ll top 140mph and return an impressive 44mpg.

SPECIFICATION By comparison the latest sporty Seat is packed with technology. As standard it features air conditioning, electric windows, trip computer, cruise control, heated door mirrors, radio with CD player and inputs for your iPod plus six speakers. There’s an alarm, immobiliser and bright xenon headlights. In fact, the options list is so long we haven’t got room to publish it all!

SAFETY Modern cars may not only be quicker and more efficient, but they’re also far safer. Disc brakes feature all round with ABS, while traction control boasts electronic brake force distribution and hill hold control. Not to mention the host of airbags for both the driver and passenger and tyre pressure monitors.

ON THE ROAD The power-packed new Ibiza is a delight to drive. With an incredible seven-speed DSG gearbox it fires through ratios at break-neck speed. The ride on the 17-inch alloys is a little firm, but it handles brilliantly and that clever engine is potent, especially in a car of this size.

38 | CarDealerMag.co.uk CarDealerIss33.indd 38

6/11/10 10:45:36

THE MODEL When the Ibiza MK1 was launched in 1985 it was designed to be a basic and honest rival to the hatches of the time such as the Ford Fiesta and Peugeot 205. It was a resounding success for the marque with 1.3m finding homes in seven years. A lot of that was to do with a collaboration with Porsche on engines and gearboxes allowing the maker to use the marketing slogan ‘System Porsche’. It looked good too – the MK1 was designed by Giorgetto Giugiaro of Italdesign who’d previously penned the first Golf. It cost £4,171.

UNDER THE BONNET Our tidy test car has been totally restored by Seat UK, but even the maker couldn’t breathe more life into the four-cylinder 903cc 8V engine. Producing just 44bhp and 64Nm of torque it’s positively weedy. Top speed – if you’re lucky and the wind’s behind you – is 80mph and it’ll eventually hit 60mph in 18.4 seconds. On the plus side, fuel consumption is 35mpg.

SPECIFICATION Climbing inside the little Seat is like stepping into a time warp. There’s a Philips radio – with two speakers – that you tune with, wait for it, knobs, a rocker switch that operates the indicators and a single wiper that just about clears the windscreen in a light shower. The heating blows out a smoker’s wheeze on full power and you have to put the windows down using a winder.

SAFETY There’s no traction control or ABS here, in fact the MK1 doesn’t even feature power steering. Inertia seatbelts, rear drum and front disc brakes were the only things holding you in place and stopping you from becoming part of the scenery.

ON THE ROAD With just 44bhp, manoeuvres have to be planned well in advance. The steering is heavy and slow, the gearbox has more play in it than an Xbox 360 and the drum brakes just about achieve their primary objective – if you give them enough advance warning. And beware of corners – body roll in bends makes you feel like you could poke your head out the window and kiss the Tarmac.

CarDealerMag.co.uk | 39 CarDealerIss33.indd 39

6/11/10 10:45:42

SEAT’S 25TH

A

fter several cups of vending machine coffee, we leave Lister and Castlegate with notebooks filled with enough tales to write a history of the brand. It was quite fitting pulling away from Lister’s forecourt in a car that he had started selling to Norwich 25 years ago – we just hoped the rubber met his expectations on the new cars…

The long drive to Horton Seat – the brand’s newest dealership – gives us the opportunity to muse over the differences between the two Ibizas.

Despite its Giugiaro-designed body, which has cues of the Mk 1 Volkswagen Golf and Lancia’s Delta in it (both Giugiaro designed), the Mk1 is a very different car from the modern day Bocanegra.

Step inside the 903cc Mk1 and it really is like going back to a different era. It feels very agricultural, not only compared to the Bocanegra, but to other European cars of the 1980s.

Since Volkswagen took full control of the Spanish brand in 1990, Volkswagen’s expertise with quality and reliability has made cars like the Bocanegra possible. Now, 25 years on, Seat is still a niche brand but has products that use the bare bones of German engineering, garnished with their own individual style.

The Bocanegra is a comfortable, safe and refined place to be – and it’s rapid too. The 180bhp, supercharged and turbocharged 1.4-litre engine sounds superb and it handles brilliantly. It really is remarkable how far the humble Ibiza has come in just 25 years.

Before we know it we’ve covered the 106 miles from Norwich to Lincoln and are pulling into what looks to be a freshly laid forecourt at Horton Seat.

Situated in a large motor park and in the shadow of a monolith of a BMW dealership, Horton Seat is small but nevertheless warm and inviting. There’s lots of space between the cars in the used car lot, a great selection of models and even music playing outside on the forecourt.

And as polar opposites go, Horton Seat’s retailer principal, Katie Freeman, 29, couldn’t be more different to Castlegate commander in chief Ken Lister.

With a BS in Environmental Science and an MSc too she fell into the motor trade by mistake. A meeting with Oliver Horton, whose grandfather set up the Horton group in 1954, led to Freeman joining the business, tasked with turning aftersales around. She was hugely successful in that role and was eventually handed the new Seat franchise to run.

It soon becomes clear that Freeman’s approach to the brand is very different to Lister’s. Being Seat’s newest dealer, the future of the brand and her new dealership is what interests Freeman the most, not necessarily the history of Seat in the UK. ‘To an extent I am aware of the history of the brand but, I have to admit, my interest is where they are now and where they want to be,’ she explains. ‘That is what has inspired us to take this step with Seat.’

Setting up a dealership in 2010 with fears of the UK slipping back into recession means that brand

embraced the trend of using new media as another way of doing business. Their website boasts a newsletter sign-up feature and a stock updates service, which has resulted in improved business.

‘We have evolved into doing most of our advertising on the internet and a lot of customer awareness is of key importance. Choosing interest and sales comes from the web. We get Seat could be seen to be a risky choice as it customers from around the country coming is a niche brand with a loyal, but generally here. A lot of our investment goes into the select, following. But Freeman knows it was the internet in terms of marketing and exposure.’ right choice.

Even after spending only 15 minutes in ‘Last year was one of the best years for Dennis Freeman’s company, we quickly become aware Horton & Son. We thought at that point it that the future is what drives her. She has bold was good to look at other opportunities with views on what Seat is missing in its range – ‘a another brand and another site, and this seemed soft-top sports car, not based on another Seat like the perfect match,’ she explains. model, with a real edge to its looks’ – and has ‘It is already paying off for us. The brand advice for other new Seat dealers as well. strikes a certain amount of excitement because ‘Getting the dealership right in terms of the you only have to look at the products – the style look is very important,’ she explains. ‘Seat is very and the build quality – to think that they are interested in how their dealerships look and we products you would want. have got it right. It’s not something that is easy ‘There is also the fact that they are a young to come by, but I am very pleased that we have brand with a young image; there is the sense of done it right. It is key for a new Seat dealer to “what are they going to do next?” and “where get the footprint right.’ are they going to be in three or four years And what about that music outside – where time?” and we want to be a part of that.’ did the idea for that come from?

In conjunction with her visions for the brand, ‘That’s about making the customer feel relaxed Freeman has also brought green thinking to her and at home. A lot of dealers can be cold and business. Her background in eco technologies unwelcoming, but music makes people feel at has seen the dealership revaluate the way it uses ease and more comfortable about making the electricity – there’s even a special system that big decision of buying a new car,’ she says. reuses rainwater already in place.

‘The music stays on until 10pm when the Good going for such a young dealership. dealership is closed as we have found that many Remarkably, Freeman wants to see more done. customers come and have a look at the cars ‘We want to investigate solar panels, but there is when no-one is on site. We’ve even caught some an initial outlay with technologies such as those, of them having a little jig!’ and an introduction of those would need to be There’s no doubt that, although very different, stepped, maybe in a year or two,’ she says. both Lister and Freeman are hugely passionate As a new dealership, Horton Seat has about the Seat brand, despite going about their business very differently. And, really, that’s key. It doesn’t matter what your dealership looks like, or where it’s based, you just have to remember people sell cars to people, it’s those people that build relationships that last decades, and if you want your brand to be celebrating its 50th anniversary in the UK, one thing’s very clear – you need dealers like these. [CD]

‘I am aware of the history of the brand but, I have to admit, my interest is where they are now and where they want to be.’

40 | CarDealerMag.co.uk

CarDealerIss33.indd 40

6/11/10 10:45:51

CarDealerMag.co.uk | 41 CarDealerIss33.indd 41

6/11/10 10:45:55

Congratulations to all the winners of Car Dealer Ewards 2010 sponsored by autotorq.com, delivering Multi-lingual, multi-currency platforms in over 50 countries

Digital Solutions that help you sell more cars As the leader in automotive digital solutions and services, autotorq.com delivers marketing efficiencies and competitive advantage to large automotive dealer groups; and we do this by revolutionising the way they interact with their customers on the web. We help you attract the right consumer, convert their interest and retain their business long-term. As a result, automotive businesses leveraging our complete digital offering and best practice services measurably improve lead flow, lead management, marketing investment and ultimately, their bottom line.

Our best lead forms right now on mandated Dealer websites in the UK are generating an average 49% conversion rate

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: recruitment@autotorq.com

CarDealerIss33.indd 42

s $WWUDFW the right customer s &RQYHUW their interest s 5HWDLQ their business long term

A good website can be the difference between a sale or no sale; the difference between red and black on your bank statement and the difference between a future or the dole queue

0844 243 5310 tellmemore@autotorq.com

www.autotorq.com 6/11/10 10:45:56

CarDealer.

I N A S S O C I AT I O N W I T H

autotorq.com

After much fingernail-biting on your part and number crunching on our part, the results for the car Dealer ewards are finally in.

Here we reveal who has won our coveted gongs this year

N

ever has the internet been more important to the car industry. You don’t need me to remind you about the statistics of how many buyers start their search for a new car on your website – at the last count the percentage was in the high 80s, now it’s probably even higher.

And there’s a good reason for that. Buyers can take their time online; virtually poke and prod their potential purchases in the comfort of their own home for as long as they want without one of your salesmen hassling them.

They can compare models, get finance quotes, look for insurance, specify their potential purchase for days and weeks if they desire. And then, when they’re ready to buy, they’ll pay you a visit.

The Car Dealer Ewards – held in association with Autotorq.com – are now in their third year and aim to highlight those in our industry that are at the top of their game. From franchised dealers to independents, our Ewards search the very corners of the worldwide web for excellence. This year we had a record number of entries.

Not only did you send in your nominations in the hundreds,

we also took suggestions from Twitter, email and on our website to ensure we covered all bases.

We then came up with a shortlist for the Multi-Franchished, Franchised, Car Supermarket, Independent and Car Manufacturer Eward categories.

These were sent to our expert judges (p55) who ordered them from their favourite to least favourite. Each time a website was placed first by a judge it was awarded 10 points, a second place secured nine, and so on. When all the votes were in we had our winners.

Things were a little different for the Web Innovation and Special Achievement Ewards. To decide these all the judges got together for a special judging day at Autotorq’s Fulham HQ and nominated one website in each category.

These were then discussed and voted for in the same way as the other categories. So here they are – the very best UK automotive websites; our Car Dealer Eward winners 2010.

James Baggott, Editor

the car Dealer ewards 2010 p44 Multi-Franchised dealer Website of the Year p45 Franchised dealer Website of the Year p47 Car Supermarket Website of the Year p49 Independent dealer Website of the Year

p51 Car Manufacturer Website of the Year p53 Special Achievement of the Year p54 Web Innovation of the Year p55 Meet the judges

CarDealerMag.co.uk | 43 CarDealerIss33.indd 43

6/11/10 10:46:01

CarDealer.

I N A S S O C I AT I O N W I T H

autotorq.com

Multi-Franchised Dealer Website of the Year

Winner: Autoplanet.co.uk Produced by: Spidersnet Highly commended: smc-cars.com | Highly commended: hrowen.co.uk

T

his year the multi-franchised Eward was a new category and was added to reflect the challenges these businesses have of placating a variety of manufacturers.

Group franchised dealers have to tread a fine line between getting their own branding across on their website while at the same time promoting a number of different car makers and their models.

That being said, these larger groups often have larger budgets to match – and that opens up the possibilities online even further.

This inaugural Eward was one of the most hotly contested categories this year with just five points separating the top three websites.

Sealing the win – by just two points over the second placed site – is Autoplanet.co.uk. The group holds franchises for Fiat, Kia, Mazda, Peugeot, Renault and Seat with sites across the south. Judges were impressed with the clean layout, the bold graphics and the ease at which cars could be researched.

Brett Kavanagh, group marketing manager, said: ‘It is a great honour for the team here at Waters AutoPlanet to win the Car Dealer Magazine Multi-Franchised Dealer Website of the Year Eward.

‘It is testament to the extensive thought and effort that went into designing the site that we’ve managed to design and build a website that has been recognised for its user-friendliness and ease-of-use.

‘Online is now central to the success of every automotive retailer in the country and it is now essential to understand, and deliver precisely, what the customer wants.

‘I think we have managed to achieve this in a format that presents our own Waters AutoPlanet brand, and all the manufacturers we represent, in a way that is easy for customers to understand and interact with.

‘Of course this award is only the beginning as we now strive to build on what we have achieved and to be recognised once again by our peers in the future.’

Headline_sponsor_says.doc

autotorq.com

THIS website is definitely the best entry in this class and a worthy winner as it ticks many of the boxes for customer experience and usability. Offers are immediate, clear and engaging and if the customers are looking for different brands it’s easy to find with the clear architecture and presentations.

The site ranks high for performance and interaction with features and functionality such as presentation of new and used vehicle information and call to actions making it more likely to meet customers’ needs.

44 | CarDealerMag.co.uk CarDealerIss33.indd 44

6/11/10 10:46:10

in association with autotorq.com

Winner: Hillsford.co.uk Produced by: GForces Highly commended: audinorthwest.co.uk | Highly commended: alandayvw.co.uk

T

alk about a photo finish! This category was the closest of any we’ve judged in the three years we’ve been running the Ewards with just a point between first, second and third places!

This category is aimed at franchised car dealers that represent just one brand – and edging into first place was Blue Oval dealer Hills Ford. With sites in Malvern and Kidderminster, the dealer scooped top spot with an impressive, bold and easy-to-use site.

Judges were impressed with the clear layout, eye-catching offers and the level of detail in the car listings – both new and used. Of particular interest was the integration of Twitter and Facebook links which allowed visitors to share cars they’d found on the social media websites.

Richard Hill, joint managing director, said: ‘We are

extremely proud to have been voted the winner of the franchised dealer website category in this year’s Ewards. As a relatively young business we wanted to ensure we had an easy-to-use and uncluttered website that promotes our business and our key offerings while being user friendly and informative.

‘We felt it extremely important to have our contact telephone numbers prominent as I’ve always been amazed at how many sites have a fantastic homepage but don’t make it easy for the user to talk to someone.

In addition it was a priority to have the ability to handle a number of photos for each used vehicle along with finance and product information.

‘Our web partner GForces has done a great job in meeting our needs and providing a website package that’s flexible and has some great functionality. Thanks to the judges – it’s a real honour to win this award.’

Headline_sponsor_says.doc

autotorq.com

WE really liked the used car search functionality on this website which also provides customers with the option of lifestyle search which is not common.

Some other wins on this site include a good, clean, unfussy presentation with ease of navigation and clear imagery – key factors for a well-performing website. And there’s a clever proposition of using stock updates for data capture too.

Franchised Dealer Website of the Year

CarDealerMag.co.uk | 45 CarDealerIss33.indd 45

6/11/10 10:46:21

CarDealerIss33.indd 46

6/11/10 10:46:24

in association with autotorq.com

CarDealer.

I N A S S O C I AT I O N W I T H

autotorq.com

Car Supermarket Website of the Year

Winner: Autoquake.com Produced by: Autoquake Highly commended: CarShop.co.uk | Highly commended: TheCarPeople.co.uk

S

tack ’em high, sell ’em cheap! It’s the motto of the car supermarket, but with so much stock and so much choice, producing a decent website to highlight it all is very hard work indeed.

Nowhere is the importance of countless pictures, detailed descriptions and calls to action more crucial than on a car supermarket’s website. This year’s winner, Autoquake, secured top spot by a country mile over last year’s champion CarShop.co.uk.

The online car retailer was launched four years ago with a goal to provide a ‘better used car buying experience’. Growth for the business has been rapid and the dealer currently sells around 1,000 cars a month.

Our judges loved the way the car supermarket had made buying cars online easy. Customers find the model they want, reserve it with a £100 deposit, pick their finance and warranty options, then elect to have it delivered or pick it up.

The car listings themselves are detailed and the

pictures from every angle a buyer could possibly want were also praised.

Dermot Halpin, CEO of Autoquake, was over the moon with the accolade. ‘We’re delighted to be the number one car supermarket website in this year’s Car Dealer Ewards,’ he said.

‘As an online car retailer, our website is our showroom, so it has to be easy to use, informative and attractive. We’ve worked hard to make finding and buying the right car online transparent and straightforward.

‘The ability to transact online, the 40 images per car, our interactive condition viewer, online finance and warranty application and car watch email alerts are key innovations that differentiate Autoquake.com from other websites.

‘We are constantly working to improve the experience, so you can expect to see more improvements as we strike to retain the Car Dealer Eward next year.’

Headline_sponsor_says.doc

autotorq.com

IN A field where it is hard to differentiate through functionality, Autoquake have adopted a ‘user centric approach’ in creating a simple and easy-to-use site which compares with successful e-commerce retailers in other industries.

The ‘four simple steps’ highlights ease of use, with additional search criteria for vehicles giving customers flexibility. It will be interesting to see the development and progress of this provider in the future. A clear best in class!

CarDealerMag.co.uk | 47 CarDealerIss33.indd 47

6/11/10 10:46:53

Dealerplus

Guaranteed to make you more money!

Finance applications

Forecourt eMarketing

Trade to trade

Cars 2 Go

D L O S Immediate finance decisions Application process in real time Over 30 lenders, prime and non-prime

Sell your stock on Visitcars, eBay, Fish4Cars and Oodle

Talk, sell, swap with other dealers Effectively sell aging stock

Request a car View cars on the wanted board

y!

ne o m d n a rt o ff e , e m ti rs le a e d Saving

Understand your customers’ financial profile in just 3 seconds!

Instant lending decision for your customer Access to all major lenders in the UK Know all the lenders’ rates and terms on your desktop

It’s easy to sell more cars with Dealerplus To join call now

08713 103 444 www.dealerplus.co.uk sales@dealerplus.co.uk CarDealerIss33.indd 48

6/11/10 10:46:58

in association with autotorq.com

CarDealer.

I N A S S O C I AT I O N W I T H

autotorq.com

Independent Dealer Website of the Year

Winner: ThameServiceStation.co.uk Produced by: GForces Highly commended: Mccarthycars.co.uk | Highly commended: Motorite.co.uk

E

ven independent dealers can compete with the big boys online and our Eward winner for 2010 is a perfect example of that.

Thame Service Station has produced a stunning website for its new and nearly new sites in Oxford, High Wycombe and Aylesbury which highlights stock in a way that would put many franchised dealers to shame.

Its used car listings are clear and well laid out with plenty of pictures, detail and lots of ways to contact sales staff, including live chat.

The adverts can be easily downloaded in PDF format, buyers can save and compare their favourite cars and even work out finance quotes in seconds – all without navigating away from the listing itself. Judges were impressed with the Facebook integration too as well as the approachable style the dealer had taken online.

Thames Service Station sales director Nick Allen said: ‘We are hugely delighted to be awarded the Car Dealer Magazine Eward for Independent Dealer

Website of the Year. At Thame Service Station we passionately believe that our website should give our customers a great experience of dealing with TSS before they phone or visit.

‘We know that if our website is easy and pleasurable to use, then this is the impression our customers will get of the business. We didn’t want anyone to have to click more than three times to reach their destination.

So we wanted to design a site with this in mind, and also easy to manage internally.

‘We went to GForces with our criteria and after a long discussion and design period we arrived with this site in January. The site of course has to evolve with the ever-changing face of the internet and the car market, so the constant SEO work we do is crucial to the success of the website.

‘We believe that being fully transparent through our website is the way forward for TSS, and our mission now is to develop the site so that within the next 12 months we will be able to sell cars online 24/7.’

Headline_sponsor_says.doc

autotorq.com THIS website is definitely the best entry in this class and worthy winner with a clean layout, design and functionality. The site has well-placed calls to action and a good used car search tool. The bar has definitely been raised in this category!

CarDealerMag.co.uk | 49 CarDealerIss33.indd 49

6/11/10 10:47:11

Helping your web customers find the right vehicle at the right time - Premier Data Provider CAP data through your Dealer Management System or the use of CAPcode can automatically populate historic technical, specification details, standard equipment and options of your used stock on to your website in real time.

New vehicle data and images also available.

Congratulations to the winners of the 2010 Car Dealer Ewards CAP, Capitol House, Bond Court, Leeds LS1 5EZ T: 0870 122 2211 W: www.cap.co.uk E: sales@cap.co.uk

CarDealerIss33.indd CarDealerAD.indd 150

Ref: Cam1CDM

6/11/10 10:47:15 10/27/2010 11:34:03 AM

in association with autotorq.com

CarDealer.

I N A S S O C I AT I O N W I T H

autotorq.com

Car Manufacturer Website of the Year

Winner: Citroen.co.uk Produced by: Dagobert Highly commended: Audi.co.uk | Highly commended: LandRover.com

J

ust because they’ve got a budget the size of a small country to produce their website, it doesn’t mean they all get it right. Take a look at some of the websites for the biggest selling brands in the UK and you’ll find countless lessons in how not to do things online.

Car manufacturers are very good at dictating what they want from their dealers’ websites, but it’s only possible to truly get that message across if they practice what they preach! Our Eward winner for 2010 certainly does just that.

Citroen was the clear winner in this category with our judges impressed by the flash site. Click on the homepage and users are treated to a visual delight.

Offers and sections scroll on to the screen like virtual billboards and it’s incredibly easy to use.

Our experts loved the layout and the different take

Citroen has opted for to display its cars. The 3D virtual showrooms the cars are displayed in came in for particular praise and the photography promotes all the models in the best possible light.

Jules Tilstone, Citroen UK marketing director, said: ‘With manufacturer websites now playing such a key part in the purchase decision we re-launched our national website in June of this year, just two years after our previous site had been launched.

‘For us, this has been an important project designed to ensure that our range of vehicles are presented in an appropriate environment, improving the overall visual experience, improving the images of our model range, using less words and providing easier access to interesting brand content across the site.

‘Our new site has also been part of a global objective to ensure that our brand is consistent worldwide.’

Headline_sponsor_says.doc

autotorq.com

A WELL deserved win! The brand provides a rich, engaging online experience consistent with an aspirational manufacturer.

With clear calls to action and well-structured navigation it’s easy to find the relevant information; a key factor in the customer pre-purchase decision.

Citroen has invested in creating a consistent and relevant experience on multi-device platforms.

The website oozes class and innovation.

CarDealerMag.co.uk | 51 11:34:03 AM CarDealerIss33.indd 51

6/11/10 10:47:44

...and the winner is?

"XBSE 8JOOJOH &YQFSUT BU JODSFBTJOH XFCTJUF USBóD BOE TBMFT MFBET Creative Automotive Website Design Specialists in Search Engine Marketing, including Social Media & Google Adwords.

Express importing and exporting of stock data to all major DMS and Motoring websites Professional training and support from our Motor Trade experienced Account Managers Competitively priced packages proven to provide a fantastic return on investment

Call: 0800 0810 610 Email: info@spidersnet.co.uk Visit: www.spidersnet.co.uk CarDealerIss33.indd 52

6/11/10 10:47:47

CarDealer.

in association with autotorq.com

I N A S S O C I AT I O N W I T H

autotorq.com

Special Achievement of the Year

Winner: Citroen C3 ‘Wash Me If You Can’ Produced by: The H Agency Highly commended: Nissan Juke microsite | Highly commended: Vee24.com

T

he Special Achievement of the Year Eward is handed to a website, web-based product or digital project connected to the motor trade that judges feel has achieved something remarkable.

This year the winner was hard to pick. Some of our experts struggled to find a site that really deserved the Eward – with one even abstaining from nominating a site altogether. The sites that were nominated created some interesting debate, but the winner, by just one point was Citroen’s C3 Wash Me If You Can. Buried away on the Citroen homepage is this interactive advert that aims to highlight the C3’s panoramic windscreen. Featuring four very different characters, it showcases each personality’s unique way of washing the Citroen’s glass.

Although all the judges agreed it was slightly mad, it was the way it kept users on the site for long periods

of time that really impressed. Citroen revealed that in just a month 290,000 people interacted with it, 384 bloggers wrote about it and it was mentioned in countless tweets.

Jules Tilstone, Citroen UK marketing director, said: ‘The production of content that engages a wide web audience and leverages the growing use of social media, rather than purely reaching in-market car buyers has been a key focus for us in 2010.

‘The new C3 Screenwash campaign was created centrally by our Paris team and is a fantastic, fun and engaging way of demonstrating the panoramic windscreen that is available on the new C3.

‘Such content will play an important part in our ongoing approach to online. We wish to thank Car Dealer for this recognition.

‘Awards like this mean a lot to us and the dealer network.’

Headline_sponsor_says.doc

autotorq.com GREAT use of interactive video in a bright, lively fun way make this a clear winner. It is hard to start this little application without running it again and again.

The beauty is in the simplicity and the tongue-in-cheek approach, but the real winner is the way it engages visitors to the site and gives you an impression of a brand you want to get close to, without over complicating things. Try it and you will keep coming back for more!

CarDealerMag.co.uk | 53 CarDealerIss33.indd 53

6/11/10 10:48:01

CarDealer.

I N A S S O C I AT I O N W I T H

autotorq.com

Web Innovation of the Year

Winner: Nissan Juke microsite Produced by: Digitas Highly commended: Citroen.co.uk | Highly commended: Carsite’s RAC videos

T

he Web Innovation Eward is handed to a web-based product or service for the motor trade that has done something truly innovative this year. We stipulated that it needed to be as revolutionary as possible – and our winner has hit the nail on the head!

The Nissan Juke is a funky little crossover aimed at young, trendy buyers – and the manufacturer has really thought about how to market this car. The car’s brilliant microsite picks up our Web Innovation Eward for its combination of style and interactivity that makes the Juke even more desirable.

Captivating music, impressive graphics and a level of involvement that hooks you into the site in a magical way makes users want to stay on the site for far longer than other similar offerings.

It’s the clever Facebook integration that really makes it addictive – when users click on the site they can connect with the social media website. Once logged in, the microsite then adds pictures from the user’s profile

and highlights names from their friends list in the neon signs in the background.

Judges loved the unique approach and praised its addictive nature. It was described as the ‘perfect approach’ for the car and its target market.

Andy Jackson, online marketing manager at Nissan Motor (GB), said: ‘When thinking about the launch of Juke on Nissan.co.uk the brief was very much to challenge Digitas to demonstrate the car’s infectious energy and unique selling points while creating a distinct personality for the car.

‘Incorporating the Facebook connect functionality into the module, allows the user to be the virtual driver and infect the city with its own energy, through his/her own profile details.

‘To be awarded this Car Dealer Eward is a fantastic endorsement for Nissan, and excellent recognition of how we are continuing to challenge the conventional parameters of how customers experience and interact with a product.’

Headline_sponsor_says.doc

autotorq.com

THE emphasis of this category was revolution versus evolution and this is one of those websites that you can end up spending ages on.

The key factor here was how Nissan cleverly integrated social media into the virtual experience personalising the online test drive with users’ Facebook data.

The whole experience supports their innovative positioning, creating appeal and entertainment with their target audience.

54 | CarDealerMag.co.uk CarDealerIss33.indd 54

6/11/10 10:48:11

in association with autotorq.com Stewart Niblock

Keith Rountree

Tim Smith

Autotorq

BCA

GForces

FOR me, the challenge was finding websites that focussed on giving the consumer what they want, when they want it. Too many websites now seem to be intent on crowding as many buttons, banners and widgets as possible on to the home page, which often results in higher drop-out rates. You wouldn’t push all your products, marketing material and advisors to the front door of your showroom, so why do it on the web?

I WAS looking for sites that really engaged with visitors. Engaging also meant two-way communication: giving consumers plenty of relevant content and information but allowing them to provide their details or opt-in. Allowing visitors to comment is vital in today’s age where online recommendation is as important to brand reputation and perception as advertising and marketing, so I also looked for this.

INNOVATION, execution, integration and results were what I was looking for. Innovation as in a forward-thinking attitude and a willingness to embrace new technology.

Execution was about how well everything was put together; how well it worked and how simple it was to use for the visitor. Integration demonstrated how the business had adapted to meet the expectations of today’s ‘internetempowered’ customer.

Eric Stone

Terry Hogan

Rob Queen

autotorq.com

british-car-auctions.co.uk Gforces.co.uk

Martin Hill Codeweavers codeweavers.net

I WAS looking for solid evidence of a well thought out customer journey – one where the constituent parts of the website worked together to provide a true ‘pre-dealer contact’ interface. The best sites were intuitive to use and the winners effectively demonstrated a differentiated approach to web customers. If they catered for the web customer by not trying to force them down a sales process then they got my Right Click, p81 vote.

Matthew Strudwick

James Tew

CarCarePlan

carcareplan.co.uk

Webzation webzation.com

I WAS looking for websites that focussed on making it easy for customers to navigate, that were simply and effectively laid out and that helped drive their owner’s bottom line. The best sites load quickly without overloading users with unprompted data and they generated business by encouraging repeat business. Websites are as much a window on the dealership as the forecourt frontage so we were looking for fresh, uncluttered and tidy sites.

I SIMPLY wanted to buy a car through the website! How much of the experience could be undertaken online?

The sites getting my vote were those that enabled either all or part of the buying process to be fulfilled online. I expected to see everything from product presentations to the ability to handle part exchanges. A site needed to demonstrate the affordability of the vehicle and a way to ‘shop and collect’.

Daniel Burgess

Alan Stuart

Shaun Armstrong

WMS Group

wmsgroupuk.com

Motoring motoring.co.uk

Starkwood Media Gp

starkwoodmediagroup.com

HPI hpi.co.uk

Spidersnet

Dealer Plus

I WAS looking for sites that compelled me to stay online and provided a simple and straightforward path to my goal. How easy and attractive was it for me to buy other products like warranty and GAP protection with the relevant information?

A website can reach millions of people but sometimes we forget that it’s often ‘one at a time’ so sites needed to make it a good experience through my eyes.

THIS year we focused less on the fine detail and more on consistent branding, ease of use for consumers and a clear message as to why a user should buy from the vendor. We were also looking for kerb appeal.

And we were hoping for more innovation in the new car offerings. Certain manufacturer websites have made leaps and bounds this year – but could retailers follow through on this brand experience on their own sites?

THIS year I was looking for something different, but I wasn’t sure what! The web is changing so quickly with new features being introduced all the time that I guess it’s a motor retailer’s ability to adapt to this speed of change that I was looking for.

However any innovation needs to fall within the parameters of good, solid web design that is easily navigable and will be prominent within the major search engines. It’s a tall order!

IT IS all too easy to get carried away with detail and clever applications in an attempt to draw buyers in, particularly with social media complicating matters.

We looked for simplicity both in terms of navigation and well chosen information. That said, we are big advocates of adding value to websites. This could be as simple as partnering with other brands. Too much or too little? Striking a balance is not as easy as we all think.

ATTRACTIVE and well laid out design, but most importantly a site where the dealer had fully embraced the technology that is available to them.

I was looking for latest deals, all vehicles with images, and good quality ones. Interesting content about the dealership with images of the site, with a customer feedback area that was up to date.

I also liked to see video integrated into the site, either a profile of the business or of individual vehicles.

I WANTED to see sites that embraced technology to give the users the best possible experience. This meant I was looking for innovative online tools with an attractive and engaging user experience. Sites needed to be intuitive to use and the information had to be presented in a way that the user would enjoy the experience. Getting the right mixture of information, technology and usability was also high up my list.

Anthony Doherty CAP

Also judging

IN ADDITION to all the judges profiled here, FOR me ‘creativity’ entries were also rated was the key. When and reviewed by Car applied well it ensures Dealer editor James that the design and Baggott. He said: ‘I implementation was looking at the successfully deliver on the websites with both a purpose of the site. The trade and consumer hat user experience needed on. I wanted sites to be to be intuitive, providing easy to use but most clear signposts to the importantly I wanted to journeys through the site find car prices. So often and interactive to keep on sites it’s so hard to the journey interesting. find a car’s price.’

CAP.co.uk

autopromotor.co.uk

dealerplus.co.uk

>> Next month

Do you know your tweets from your status updates? Do tweets and Facebook ‘likes’ equal sales or are they just a waste of time? To find out we asked our expert Eward judges whether they thought dealers should be using social media. Find out what they said in our special report in the next issue of Car Dealer and look out for a mini-documentary appearing on CarDealerMag.co.uk soon CarDealerMag.co.uk | 55

CarDealerIss33.indd 55

6/11/10 10:48:16

Unlimited

Free mobile valuations have arrived!

With any GlassNet Unlimited subscription you can now get free valuations on your mobile and add them to your online stock to access at any time

Basic value

Find a vehicle using VRM lookup

£12,850.00

Get quick and accurate valuations on the move

Adjustments subtotal

£ -1,675.00

Adjusted value total

£ 11,175.00

Make adjustments for light damage, options and mileage

There’s never been a better time to go online...

For a limited time only sign up and receive a FREE Apple iPad

Call today on

01932 823 824 and quote‘GN iPAD’

Terms and Conditions apply. For full terms and conditions visit: www.GlassGuide.co.uk/go CO UK

CarDealerIss33.indd 56

Images shown are for illustration purposes only

6/11/10 10:48:18

Intro New year, new challenges, new and used car sales facing new and old hurdles. After the pain of late 2008 and 2009, 2010 was a fillip for dealers, with scrappage-boosted new incentives combining with the improving health of the used car market to broadly improve fortunes for most.

But 2011 looms large, and right away, there’s the uncertainty of a rise in VAT to 20 per cent. There’s no scrappage, either, but there IS the risk of big government cuts crunching people’s pockets across the board. Customers’ spending power will be impacted, making the purchase of a new or used car something they’ll really think about and need to be convinced by.

In short, things look like they’ll be tough. To make sure you’re best placed to face them, you need new ideas and new creativity. Car Dealer is here, with a full set of them.

No less than 11 great ideas for 2011, that can give you a business boost across the board.

We’ve looked at all areas and spoken to a broad selection of suppliers, all of whom are promising useful savings, bold new ways of drawing interest – and not a little ingenuity along the way for good measure.

Many of them won’t cost you a penny. Others cost, essentially, pennies, but can bring you gains worth thousands. We’ve covered the full spectrum, from new car sales, to used, to aftersales, to repairs. Read on, to see how 2011 could be a year of dramatic gains rather than doom and gloom…

Richard Aucock Deputy Editor

What’s inside?

N

ew year, new challenges, new and used car sales facing new and old hurdles. After the pain of late 2008 and 2009, 2010 was a fillip for dealers, with scrappage-boosted new incentives combining with the improving health of the used car market to broadly improve fortunes for most.

But 2011 looms large, and right away there’s the uncertainty of a rise in VAT to 20 per cent. There’s no scrappage, either, but there IS the risk of big government cuts crunching people’s pockets across the board. Customers’ spending power will be impacted, making the purchase of a new or used car something they’ll really think about and need to be convinced by.

In short, things look like they’ll be tough. To make sure you’re best placed to face them, you need new ideas and new creativity.

Car Dealer is here, with a full set of them. No less than 11 great ideas for 2011 that can give you a business boost across the board.

We’ve looked at all areas and spoken to a broad selection of suppliers, all of whom are promising useful savings, bold new ways of drawing interest – and a little ingenuity along the way for good measure.

Many of them won’t cost you a penny. Others cost, essentially, pennies, but can bring you gains worth thousands. We’ve covered the full spectrum, from new car sales, to used, to aftersales, to repairs. Read on to see how 2011 could be a year of dramatic gains rather than doom and gloom…

Richard Aucock deputy Editor

58

Glass’s Guide

60

car loan 4U

61

bcA

63

Motor codes

64

Alphera

66

mfldirect.co.uk

67

car care plan

69

Fleet Auction Group

70

easi-Drive

72

Autochat

73

Dentgard

New mobile platform delivers data on the move Find real customers who are ready to buy Online bidding functions make auctions easier How to get your garage on the approved list Finance big-hitters with a great range of products Source some of the best stock in the business Aftercare experts with products for all dealers Trade-only firm makes it easier to bid for bargains

Look after your customers after an accident Interact with browsers on your website Up-sale opportunity that protects your customers

CarDealerMag.co.uk | 57 CarDealerIss33.indd 57

6/11/10 10:48:19

Intro New year, new challenges, new and used car sales facing new and old hurdles. After the pain of late 2008 and 2009, 2010 was a fillip for dealers, with scrappage-boosted new incentives combining with the improving health of the used car market to broadly improve fortunes for most.

But 2011 looms large, and right away, there’s the uncertainty of a rise in VAT to 20 per cent. There’s no scrappage, either, but there IS the risk of big government cuts crunching people’s pockets across the board. Customers’ spending power will be impacted, making the purchase of a new or used car something they’ll really think about and need to be convinced by.

In short, things look like they’ll be tough. To make sure you’re best placed to face them, you need new ideas and new creativity. Car Dealer is here, with a full set of them.

No less than 11 great ideas for 2011, that can give you a business boost across the board.

We’ve looked at all areas and spoken to a broad selection of suppliers, all of whom are promising useful savings, bold new ways of drawing interest – and not a little ingenuity along the way for good measure.

Many of them won’t cost you a penny. Others cost, essentially, pennies, but can bring you gains worth thousands. We’ve covered the full spectrum, from new car sales, to used, to aftersales, to repairs. Read on, to see how 2011 could be a year of dramatic gains rather than doom and gloom…

Richard Aucock Deputy Editor

Glass’s Guide

Call time on valuations Find them: glass.co.uk Why you need them in 2011: Valuations experts have launched GlassNet mobile platform allowing you to get accurate car prices on your phone.

U

sed car sales have faced unprecedented challenges for the past few years. These are set to continue going forward, says one of the industry’s biggest names, as the dynamics of the secondhand market continue to adopt ‘a new normal’.

More than ever before, it’s crucial that car dealers get the right advice, the best knowledge, the highest level of insight. Enter Glass’s Vic Barodia, a man with decades of used car industry knowledge.

His warning for 2011? A continuation of the themes seen in 2010 – but more complications besides.

‘Dealers will need to continue working hard to source stock,’ he says. ‘Especially during seasonal peaks in retail demand – particularly early spring.

The shrinking of the vehicle parc is making this harder than ever; it’s something that began a while back and is going to continue.’

The heady years of 2004-05 saw 2.4-2.5m new cars sold. Now, we’re looking at circa two million; as the number of new registrations has dropped, so the parc for one-to-three-year-old cars has reduced.

‘New car sales in 2011 are expected to be no better than 2.1m units. Fewer part exchange vehicles will thus feed the market. Used car sales will naturally follow recent trends and suffer a knock-on effect – already in 2010, they’re 14 per

cent lower than two years ago,’ he explains.

There’s a further unknown quantity for 2011, warns our expert Barodia: how the coalition government’s austerity measures will pan out.

‘How the potential loss of 490,000 jobs in the public sector will affect used and new car demand is not clear, but consequently, overall consumer demand will be flat.

‘The loss of buyers from this demographic of the market may be partially offset if we see improvement of GDP and some expansion in the private sector.’ But it’s hard to say for sure: Glass’s is aware of it, though, and will continually monitor the market for trends.

At least retained values are more certain – music to the ears of those harmed by the fireworks in used car prices over the past few years. ‘Annual retained values will remain at 2010 levels, and we’ll continue to see peaks and troughs in line with familiar seasonal trends.

‘At the moment, residual value performance of used cars is matching the decade as a whole. Used prices are in line with CPI at a compound growth rate of two per cent pa, and used car prices both have, and will continue to, match that trend.’

A widely varied set of conditions, in other words.

Question is, how can you be best placed to navigate

your way through them? Enter Glass’s new services and tools for 2011. The firm has been hard at work on them, says Barodia, who explains to Car Dealer Magazine just what the firm has coming up…

What are you doing to improve your offer for dealers?

Our core business is the generation of valuation and pricing data. Our goal is to become the first choice, and there is much to do that will help improve this. We are working through a strategic change programme that will change the way Glass’s does its business and will dramatically improve our offering to customers across a multitude of sectors.

We have already made some significant progress this year. We strongly feel that becoming representative of the market can only be achieved by getting closer to it. We have thus increased the number of observations coming into our business to several hundred thousand, spanning the breadth and depth of available data. This is the key to our business so that we can truly be the choice across all sectors – from independent to franchise dealer, and from auction house to car supermarket.

Going forward, that breadth and depth will play a big part in embedding our valuations into the processes of customers: we’re aiming to ensure

58 | CarDealerMag.co.uk CarDealerIss33.indd 58

6/11/10 10:48:20

Intro New year, new challenges, new and used car sales facing new and old hurdles. After the pain of late 2008 and 2009, 2010 was a fillip for dealers, with scrappage-boosted new incentives combining with the improving health of the used car market to broadly improve fortunes for most.

But 2011 looms large, and right away, there’s the uncertainty of a rise in VAT to 20 per cent. There’s no scrappage, either, but there IS the risk of big government cuts crunching people’s pockets across the board. Customers’ spending power will be impacted, making the purchase of a new or used car something they’ll really think about and need to be convinced by.

In short, things look like they’ll be tough. To make sure you’re best placed to face them, you need new ideas and new creativity. Car Dealer is here, with a full set of them.

No less than 11 great ideas for 2011, that can give you a business boost across the board.

We’ve looked at all areas and spoken to a broad selection of suppliers, all of whom are promising useful savings, bold new ways of drawing interest – and not a little ingenuity along the way for good measure.

Many of them won’t cost you a penny. Others cost, essentially, pennies, but can bring you gains worth thousands. We’ve covered the full spectrum, from new car sales, to used, to aftersales, to repairs. Read on, to see how 2011 could be a year of dramatic gains rather than doom and gloom…

Richard Aucock Deputy Editor

‘The big news from Glass’s is the launch of our GlassNet mobile platform. Launching this month, it gives GlassNet Unlimited customers the opportunity to do rapid vehicle valuations, and accurately mileageand condition-adjust, all from their phone.’

those valuations may be accessed by any available means, anytime, anywhere. We’ve got some powerful new ideas and services coming in 2011, and it’s very much a case of watching this space.

Glass’s is on the up, and I’m confident that our huge customer base of dealers will join us.

What’s your killer idea for 2011?

The big news from Glass’s is the launch of our GlassNet mobile platform. Launching this month, it gives GlassNet Unlimited customers the opportunity to do rapid vehicle valuations, and accurately mileage- and condition-adjust, all from their phone.

We’ve already had a few customers trial the mobile site and early feedback has been extremely positive.

The marketing launch saw a record number of registrants who wanted to know more – it was a phenomenal response in such a short period of time.

This tells us at Glass’s that it’s THE product that our customers have been waiting for, and through listening to our customers – something we’ve done more of this year than ever before – we’re planning through 2011 to build on this as a mechanism to access Glass’s valuations.

What makes GlassNet mobile so different?

We soft-launched the mobile site earlier in the year so that customers could keep up with GlassGuide. co.uk while on the move and could login to GlassNet. Mobile valuations were completely accessible, but the powerful functionality of GlassNet was difficult to negotiate in its desktop variant as represented in a mobile phone screen.

The new mobile platform simplifies all of this, so the time to get valuations is significantly quicker.

The added bonus is that it is totally connected to the customers’ online account, so vehicles valued by mobile will be available in their enquiry or stock lists when they manage their accounts back on the PC. It’s different from other suppliers for many reasons, not least because it is supported by official manufacturer data for options, condition (Glass’s can offer replacement parts and repair times info) and, like the valuations, is fully retrievable on the desktop. Getting our customers mobile is very much part of our strategy going into 2011.

Glass’s has an unparalleled history stretching back more than 75 years, says Barodia. ‘But it cannot be that we rest on our laurels and live off the brand

equity for the next 75,’ he says.

‘We need to evolve with our customers, so dealers can continue to look to Glass’s as the first choice for valuations. We will be embarking on a path that demonstrates how critical it is for dealers to accurately adjust valuations according to mileage and ever-changing market conditions.’

Barodia has a prime example. He met with a Land Rover dealer recently, who took a 2006 Discovery 3 with 90k miles on the clock in part exchange.

Incredibly, he took an unadjusted valuation from the guide, which was average mileage at 60k!

‘He’d just lost himself around £2k, because he didn’t use the adjustments we provide for a more accurate valuation. In today’s tough economic times, where margins are being squeezed and the customer is more informed than ever, that’s a lot of money to leave on the table.’

Glass’s aim is to help put this right, so dealers can help make the right profit margins. Barodia says it is doing this by listening and evolving. ‘Glass’s has recognised that our customers are changing, the process by which they operate is changing and therefore we need to change with it,’ he adds. ‘It’s a new chapter in Glass’s, and one I’m proud to part of.’ >

CarDealerMag.co.uk | 59 CarDealerIss33.indd 59

6/11/10 10:48:21

Intro New year, new challenges, new and used car sales facing new and old hurdles. After the pain of late 2008 and 2009, 2010 was a fillip for dealers, with scrappage-boosted new incentives combining with the improving health of the used car market to broadly improve fortunes for most.

But 2011 looms large, and right away, there’s the uncertainty of a rise in VAT to 20 per cent. There’s no scrappage, either, but there IS the risk of big government cuts crunching people’s pockets across the board. Customers’ spending power will be impacted, making the purchase of a new or used car something they’ll really think about and need to be convinced by.

In short, things look like they’ll be tough. To make sure you’re best placed to face them, you need new ideas and new creativity. Car Dealer is here, with a full set of them.

No less than 11 great ideas for 2011, that can give you a business boost across the board.

We’ve looked at all areas and spoken to a broad selection of suppliers, all of whom are promising useful savings, bold new ways of drawing interest – and not a little ingenuity along the way for good measure.

Many of them won’t cost you a penny. Others cost, essentially, pennies, but can bring you gains worth thousands. We’ve covered the full spectrum, from new car sales, to used, to aftersales, to repairs. Read on, to see how 2011 could be a year of dramatic gains rather than doom and gloom…

Richard Aucock Deputy Editor

Car Loan 4U

Cash in on bigger sales Find them: carloan4u.co.uk Why you need them in 2011: Approved Dealer List gives you access to customers who have been accepted on finance

T

his year was quite a big one for Car Loan 4U, explains the firm’s director James Wilkinson.

‘We rolled out a brand new website, increased our panel of lenders to broaden our scope over the prime to non-prime range, and expanded our Macclesfield HQ to accommodate more staff. We paid out more than £35m to dealerships across the country – oh, and that new website also clocked up a million unique users!’

You’d think the web-based company was thus up for a break. Not a bit of it. Not only is the organisation looking to recruit 500 more dealers across the country in the next six months, but it’s also been innovating, too. ‘Our latest brainchild is The Approved Dealer List,’ said Wilkinson, which the firm is launching big in 2011. These are all dealers that the firm has fully verified and committed to work closely with.

The thinking behind it, says Wilkinson, is to give peace of mind to customers. ‘And it also gives

peace of mind to us, that we aren’t dealing with any rogue dealerships. In turn, this means we are lending responsibly and can keep our extensive panel of lenders happy.’

Right now, there are more than 300 dealers on the ADL, from large franchises such as Bristol Street Group, to small local independents.

For dealers, there are big benefits, too. ‘The customer is introduced to their local approved dealers once they are fully accepted on finance.

Therefore, the dealer is getting a full financeapproved customer that is actively looking to purchase a vehicle. This effectively promotes the dealer’s stock to the customer free of charge,’ said Wilkinson.

‘They are a 100 per cent qualified lead. We do the finance deal, the dealer gets a sale that he would not have had before, the customer gets the car that they want… all sides are kept happy!’

Currently, more than 55 per cent of deals written

are placed with dealers from the ADL – but Wilkinson wants to grow that to 65 per cent by the end of quarter one 2011. ‘Hopefully, 80 per cent of the business we write will be from the ADL by the end of 2011.’

Wilkinson says the ADL is so effective, Car Loan 4U believes an approved customer is 90 per cent more likely to deal than a normal customer walking in off the street. Those interested should certainly get in touch with him, he says. As getting added to the list is free, it seems 2011 could be another busy year for Wilkinson.

60 | CarDealerMag.co.uk CarDealerIss33.indd 60

6/11/10 10:48:23

Intro New year, new challenges, new and used car sales facing new and old hurdles. After the pain of late 2008 and 2009, 2010 was a fillip for dealers, with scrappage-boosted new incentives combining with the improving health of the used car market to broadly improve fortunes for most.

But 2011 looms large, and right away, there’s the uncertainty of a rise in VAT to 20 per cent. There’s no scrappage, either, but there IS the risk of big government cuts crunching people’s pockets across the board. Customers’ spending power will be impacted, making the purchase of a new or used car something they’ll really think about and need to be convinced by.

In short, things look like they’ll be tough. To make sure you’re best placed to face them, you need new ideas and new creativity. Car Dealer is here, with a full set of them.

No less than 11 great ideas for 2011, that can give you a business boost across the board.

We’ve looked at all areas and spoken to a broad selection of suppliers, all of whom are promising useful savings, bold new ways of drawing interest – and not a little ingenuity along the way for good measure.

Many of them won’t cost you a penny. Others cost, essentially, pennies, but can bring you gains worth thousands. We’ve covered the full spectrum, from new car sales, to used, to aftersales, to repairs. Read on, to see how 2011 could be a year of dramatic gains rather than doom and gloom…

Richard Aucock Deputy Editor

BCA

Hammer home your advantage Find them: british-car-auctions.co.uk Why you need them in 2011: Two new online buying functions that make bidding for cars even easier on firm’s refreshed website

W

e know running a dealership is more than a full-time job. Customers are demanding, staff sometimes even more so, then there’s the mountains of paperwork to contend with, advertising, the website… you get the picture – sometimes you need 10 of you just to get the job done.

That’s why auction house BCA is aiming to make things a bit easier for you. Stocking your used car forecourt can be a pain. Finding the right cars is hard enough, but not as difficult as finding them at the right price. Auctions can be the answer, but do you really want to leave the comfort of your office to head down to a freezing auction hall?

No, we didn’t think so – and neither does BCA. Last year the auction house sold 100,000 vehicles online and that number is only set to grow in 2011. Why? Well it’s easy, it’s quick and it’s convenient. Once registered, buying a car online is as easy as being in the auction hall yourself. In fact,

many buyers prefer it. BCA has therefore been investing in making the website a doddle to use.

‘The big thing for us has been a top-to-bottom revamp of our online offering in 2010,’ said BCA’s Tim Naylor. The firm is confident that its new website will be just – if not even more – successful that the old one. That website attracted more than three times the amount of visitors than its nearest rival, and took more than 50 per cent of all vehicle remarketing sector traffic in the UK, according to Experian HitWise.

Some of the new functions on the website include Bid Now and Buy Now functions to help dealers. The former gives dealers access to a special list of vehicles from some of the best-known corporate sellers. Dealers can place proxy bids for the cars – a price that they don’t want to go over – and BCA will bid for them in the online auctions. This means you won’t have to monitor the auctions live and bid as they’re taking place.

WE’VE GOT MORE ROUTES TO MARKET THAN

Buy Now is, as it sounds, the ability for dealers to purchase stock for a fixed price immediately. Think of it like eBay’s Buy It Now price – if you like what the car’s being offered for you won’t have to wait for the auction to take place and buy it then.

Both of these new functions are being rolled out online now. >

Physical Auction

Live Online

Bid Now

Buy Now

A SAT NAV

Welcome to multi-channel vehicle remarketing from BCA. As Europe’s biggest and most vibrant used vehicle market place, we match more buyers with more sellers than anyone, whether in the auction hall or online. All underpinned with clever technology which puts you in control of your inventory, so like the Sat Nav you’ll wonder how you got by without it. Another reason why we are the first place to do business.

www.british-car-auctions.co.uk

We never stop CarDealerMag.co.uk | 61 CarDealerIss33.indd 61

6/11/10 10:48:23

Subscribe to Motor Codes

By subscribing to Motor Codes, you demonstrate a commitment to improving our industry and can take advantage of a world of unique benefits.

Garage Finder listing Potential customers make 500,000 garages searches each year.

Promotional materials FREE PR, marketing and advertising materials.

WIN Defining our ise customer prom

back th e service cost of your or repa ir up to the

value of

£500* For you r chance torcode to win your exp s.co.uk and tell , erience at this gar us about age

visit mo

Peace of mind for mot

orists

Customer feedback FREE monitoring tools to help maximise customer satisfaction.

Advice and support Dispute resolution team to help you solve problems.

Motor Codes is supported by government, Trading Standards and industry, for more information go to www.motorcodes.co.uk or call 0800 692 0825.

CarDealerIss33.indd 62 PFB [ BUHFBDG LQGG

6/11/10 10:48:30

Motor Codes

Crack the code Find them: motorcodes.co.uk Why you need them in 2011: Signing up to industry code of practice can give your garage marketing gold with a listing on approved garages website.

H

ow much would you pay for a permanent presence on a recommendation website that, last year, got half a million page views?

Not just random visits, either: those visits will have been pre-filtered by postcode, so each time someone in your area visits, they’ll be directed to YOUR profile.

Pretty trick stuff – it’d have to be worth a four-figure sum of anyone’s money, surely? Not if you’re a Motor Codes subscriber, says Chris Mason.

He’s the director of Motor Codes, who’s keen to remind dealers that such incredible coverage is yours for just £75!

Amazing… and that’s not £75 a month, it’s £75 for an annual subscription. You’ve all probably heard of Motor Codes, and know it’s a fast-accelerating industry code of conduct that’s gaining real traction in the industry and further afield. Bet you didn’t know it was both so effective AND so cost-effective, though?

The free local search is the headline draw. When customers visit the main Motor Codes page, they’re asked to type in their postcode. It’s this

r

Intro New year, new challenges, new and used car sales facing new and old hurdles. After the pain of late 2008 and 2009, 2010 was a fillip for dealers, with scrappage-boosted new incentives combining with the improving health of the used car market to broadly improve fortunes for most.

But 2011 looms large, and right away, there’s the uncertainty of a rise in VAT to 20 per cent. There’s no scrappage, either, but there IS the risk of big government cuts crunching people’s pockets across the board. Customers’ spending power will be impacted, making the purchase of a new or used car something they’ll really think about and need to be convinced by.

In short, things look like they’ll be tough. To make sure you’re best placed to face them, you need new ideas and new creativity. Car Dealer is here, with a full set of them.

No less than 11 great ideas for 2011, that can give you a business boost across the board.

We’ve looked at all areas and spoken to a broad selection of suppliers, all of whom are promising useful savings, bold new ways of drawing interest – and not a little ingenuity along the way for good measure.

Many of them won’t cost you a penny. Others cost, essentially, pennies, but can bring you gains worth thousands. We’ve covered the full spectrum, from new car sales, to used, to aftersales, to repairs. Read on, to see how 2011 could be a year of dramatic gains rather than doom and gloom…

Richard Aucock Deputy Editor

that takes them to their nearest Motor Codesapproved garage, displaying a bespoke ‘page’ for that individual garage.

‘It’s a fully live page,’ says Mason, ‘that dealers have full access to and can continually update. This is particularly relevant because all feedback analysis is conducted through a monitoring suite that runs in real time. This means that businesses will not only see the results of their customer satisfaction surveys immediately, they can also upload the data straight to their profile page as well.

‘Currently have a 98 per cent customer satisfaction rating? Then shout about it! We want to see car dealers sticking their head in the air as one of the good guys: by joining us, they’re making a commitment to being a safe haven for customers.’

Signing up shouldn’t be feared. ‘Motor Codes is very much a minimum standard – anyone running a decent garage will already be doing all that it asks for. Dealers shouldn’t be scared, as for most, it will be about benefits rather than perceived troubles.’

Mind you, it’s still not effective enough for Mason. He’s looking to double the postcode searches next year, to a hefty one million.

There may well be governmental incentives, too.

Schemes such as this are increasingly looking to be a part of the government’s plans; small business minister Mark Prisk, says Mason, has identified local business regulations as a way of industries achieving a level of self-regulation.

Mason says: ‘Local authorities are going to have a remit to monitor standards in their local area – but will have a reduced budget to do so. They’ll thus be looking to specialists in areas such as Motor Codes to help.

‘Joining Motor Codes is your way of securing a slot as a safe haven – not only will we channel business your way, we’ll also speak on your behalf about changing means and methods of authority.’

All for £75 a year? Mason says he wants to see a generational shift in perception with dealers, with a big long-term penetration among all car retailers. We’d say it’s hard to find a reason why you can’t agree with him and sign up… >

CarDealerMag.co.uk | 63 CarDealerIss33.indd 63

6/11/10 10:48:37

Intro New year, new challenges, new and used car sales facing new and old hurdles. After the pain of late 2008 and 2009, 2010 was a fillip for dealers, with scrappage-boosted new incentives combining with the improving health of the used car market to broadly improve fortunes for most.

But 2011 looms large, and right away, there’s the uncertainty of a rise in VAT to 20 per cent. There’s no scrappage, either, but there IS the risk of big government cuts crunching people’s pockets across the board. Customers’ spending power will be impacted, making the purchase of a new or used car something they’ll really think about and need to be convinced by.

In short, things look like they’ll be tough. To make sure you’re best placed to face them, you need new ideas and new creativity. Car Dealer is here, with a full set of them.

No less than 11 great ideas for 2011, that can give you a business boost across the board.

We’ve looked at all areas and spoken to a broad selection of suppliers, all of whom are promising useful savings, bold new ways of drawing interest – and not a little ingenuity along the way for good measure.

Many of them won’t cost you a penny. Others cost, essentially, pennies, but can bring you gains worth thousands. We’ve covered the full spectrum, from new car sales, to used, to aftersales, to repairs. Read on, to see how 2011 could be a year of dramatic gains rather than doom and gloom…

Richard Aucock Deputy Editor

Alphera

Get friends in high places Find them: alphera.co.uk Why you need them in 2011: Finance firm has just signed a deal with luxury marque Aston Martin – now it wants to help dealers of all sizes grow too.

F

inancial services specialist Alphera is on the prowl for new partners. Already having a successful agreement with BMW under its belt, Alphera has just announced a new association with Aston Martin. But it’s not just big, luxury brands Alphera is interested in – dealers of all sizes motivate them.

‘We believe dealers should be using us because we have an appetite and enthusiasm to consolidate our existing growth and continue to grow,’ Alphera director Spencer Halil told Car Dealer.

‘Existing growth’ is putting it mildly. Earlier this year, Alphera reported that its business was booming as more partners joined forces with the company – January and February of 2010 being the most lucrative since the business began in 2006.

But the only way Alphera can grow is by making its business partners grow too, explained Halil. ‘We recognise that the only way we can grow is to help our dealer partners to be successful, to provide them with innovative solutions to help them diversify their revenue streams, and to help them sell more car finance,’ he says.

At the beginning of November the firm announced its new arm, Aston Martin Financial Services. This will be operated by Alphera on behalf of the luxury marque and its customers will be able to choose tailor-made financial packages that suit their needs. Alphera already has a track record of running a big manufacturer’s financial services operation – the company is best known for running BMW’s.

‘The Aston Martin partnership is a very good example of what Alphera wants to do in 2011 and beyond,’ says Halil. ‘It is an example of a partnership and our willingness to invest to grow, and of our creativity. It is also a very confident statement. In a hesitant financial market, we are engaging with a very strong, iconic brand.

‘There is no way we would be doing this if we were not in it for the long-term, and with BMW and Aston Martin associated with Alphera – probably two of the strongest brands in the industry – we’re well placed to help dealers of all sizes too.’

Those two big name tie-ups are all very well, but what about how the firm can help you in 2011?

It’s here, says Halil, that the company aims to add value to your offering.

‘We are a partner rather than supplier and we can work with dealers to help their business,’ he explains. ‘We are very much promoting an F&I

consultancy-based approach to the relationship. We aim to add value to dealers rather than just ticking boxes – it is very much about a mutually rewarding and sustainable partnership.’

Alperha says that dealers’ success is their ‘primary motivation’ and that it can help add profits through

‘proactive support’ that generates additional income from insurance-based products.

And with those big-name associations at manufacturer level under its belt, you can be secure in the knowledge that they are well versed in helping you too. >

64 | CarDealerMag.co.uk CarDealerIss33.indd 64

6/11/10 10:48:39

For finance. For insurance.

For business growth.

Proactive support and industry leading products.

As BMW Group’s multi-brand motor nance company, we’re committed to helping our Dealer and Broker Partners grow their businesses. Offering proactive support, alongside opportunities to generate more income through additional services such as insurance products and a lead management system.

Your success is our primary motivation.

For full details on working with Alphera, call now on 01256 747 824 or visit www.alphera.co.uk

CarDealerIss33.indd 65

6/11/10 10:48:40

Intro New year, new challenges, new and used car sales facing new and old hurdles. After the pain of late 2008 and 2009, 2010 was a fillip for dealers, with scrappage-boosted new incentives combining with the improving health of the used car market to broadly improve fortunes for most.

But 2011 looms large, and right away, there’s the uncertainty of a rise in VAT to 20 per cent. There’s no scrappage, either, but there IS the risk of big government cuts crunching people’s pockets across the board. Customers’ spending power will be impacted, making the purchase of a new or used car something they’ll really think about and need to be convinced by.

In short, things look like they’ll be tough. To make sure you’re best placed to face them, you need new ideas and new creativity. Car Dealer is here, with a full set of them.

No less than 11 great ideas for 2011, that can give you a business boost across the board.

We’ve looked at all areas and spoken to a broad selection of suppliers, all of whom are promising useful savings, bold new ways of drawing interest – and not a little ingenuity along the way for good measure.

Many of them won’t cost you a penny. Others cost, essentially, pennies, but can bring you gains worth thousands. We’ve covered the full spectrum, from new car sales, to used, to aftersales, to repairs. Read on, to see how 2011 could be a year of dramatic gains rather than doom and gloom…

Richard Aucock Deputy Editor

mfldirect

Locate stock that sells itself Find them: mfldirect.co.uk Why you need them in 2011: Dealers of all sizes can get access to low-mileage, up-to-three-year-old cars from the Motability scheme to sell for bumper profits

T

here’s no better way of saving money than getting something for free – mfldirect.co.uk, Motability Operations’ vehicle remarketing arm, offers dealers just that: no-charge joining, and no monthly fee.

It’s no limited-access deal, either – so long as you’re a registered and accredited dealer, you pay nothing to access around 100,000 ex-Motability cars every year. The attraction is pretty absolute, all right.

If you’re not one of the 4,500 dealers mfldirect. co.uk is selling to, you really are missing out, says national sales manager Peter Wilson. There’s no single larger supply of up-to-three-years, lowmileage, single owner cars in the UK. Wilson explains that the target for 2011 is to continue spreading the message of this all-round offer. ‘We’re particularly keen to bring in smaller independent dealers, who may not be fully aware of the range of benefits we offer,’ he explains.

The start of the year is the ideal time to take notice, he adds. ‘With the stock situation being what it is in the first few months of the year, it makes sense to get first dibs on the stock that you really need. To make sure you don’t risk losing cars that will make money, simply log on to mfldirect. co.uk first thing in the morning.’

The attractions are far-reaching. Where else, for instance, can independents get such direct access to cars that have been fully main-dealer

maintained? ‘It’s part of the Motability contract that users keep the cars serviced, and all this work is usually carried out at the main dealer that supplied them the car,’ explains Wilson.

It makes for an envious service history – and that’s from a choice of cars 240 models wide, from a pool of 40 manufacturers. The firm uploads new cars for sale 16 times a week – at various times throughout the day. That’s every day of the week apart from Sunday! Generally, fresh mfldirect. co.uk stock is posted at 7.45am, 1.30pm and 2pm Monday to Friday, and from 7.45am on Saturdays.

Wilson says there’s ample help in managing this influx of new stock. ‘We know we have an enviable source of vehicles and we make sure dealers never miss out on the right cars for their customers. Setting up automatic alerts allows dealers to put out requests for particular cars: as the cars are uploaded into the mfldirect.co.uk system, an alert is sent out to the traders seeking those cars.’

You can go one further, too. ‘With our My Virtual Showroom facility, dealers can sell cars direct to their customers from our website – complete with their own branding and mark-up.’ This is an exceedingly clever service that cuts out a huge

amount of physical process, making the business of selling cars much more efficient.

The mfldirect.co.uk motors are also VAT margin cars, which dealers will be able to use to their advantage. Traders can also choose to collect their own cars, or get them delivered straight to their forecourt. ‘We don’t insist dealers do one or the other – it’s entirely up to them,’ added Wilson.

For those dealers who may have a query, mfldirect.co.uk promises to respond fast – 85 per cent of all queries are resolved within 24 hours. All part of the 24-7 service promised by the package.

If you like the sound of it, join in, says Wilson.

‘It’s never too late to gain access: simply go to mfldirect.co.uk and click on register here in the top right-hand corner. We’ll then do the rest.

Remember, we’re fast, we’re secure, we’re easy… and we’re always available online!’

66 | CarDealerMag.co.uk CarDealerIss33.indd 66

6/11/10 10:48:42

Intro New year, new challenges, new and used car sales facing new and old hurdles. After the pain of late 2008 and 2009, 2010 was a fillip for dealers, with scrappage-boosted new incentives combining with the improving health of the used car market to broadly improve fortunes for most.

But 2011 looms large, and right away, there’s the uncertainty of a rise in VAT to 20 per cent. There’s no scrappage, either, but there IS the risk of big government cuts crunching people’s pockets across the board. Customers’ spending power will be impacted, making the purchase of a new or used car something they’ll really think about and need to be convinced by.

In short, things look like they’ll be tough. To make sure you’re best placed to face them, you need new ideas and new creativity. Car Dealer is here, with a full set of them.

No less than 11 great ideas for 2011, that can give you a business boost across the board.

We’ve looked at all areas and spoken to a broad selection of suppliers, all of whom are promising useful savings, bold new ways of drawing interest – and not a little ingenuity along the way for good measure.

Many of them won’t cost you a penny. Others cost, essentially, pennies, but can bring you gains worth thousands. We’ve covered the full spectrum, from new car sales, to used, to aftersales, to repairs. Read on, to see how 2011 could be a year of dramatic gains rather than doom and gloom…

Richard Aucock Deputy Editor

Car Care Plan

Run for cover Find them: carcareplan.co.uk Why you need them in 2011: Already a big player with franchise dealers, warranty and insurance specialist is rolling out its products to independents too.

C

ar Care Plan is one of the most well respected service providers in the industry.

Manufacturer main dealers and large dealer groups rate the warranty and insurance specialist’s services extremely highly, making it one of the biggest players in the market. But did you realise these same benefits are on offer to smaller dealers, too? If you didn’t, 2011 is the perfect time to start investigating.

Car Care Plan’s offer for smaller dealers comes under the Auto Trust brand, whose benefits were explained to us by the firm’s Andrew Jackson. Mind you, they’re simple to outline: ‘Auto Trust dealers get exactly the same products, services and level of cover as bigger Car Care Plan customers.

‘The key difference is that Auto Trust is tailored for the smaller dealer, with intricacies relevant purely to independents. Dealers thus get the advantages of size, but the specific details applicable to them.’

An immediate advantage here is that Auto Trust is offered regardless of FSA status – both FSA-approved and non-approved independents can sign up and benefit. ‘We know the cost of FSA approval is prohibitive for smaller dealers: those trading 200-500 cars a year are unlikely to make a sensible business case for gaining FSA approval.

‘Those dealers shy away from finance and insurance. Here, though, is a way they can offer it to their customers – and not only that, but at a level equivalent to a larger dealer. We feel it’s a very strong offer indeed.’

Auto Trust products can be offered by Car Care Plan because of the firm’s size. Its broad reach gives it the capacity to develop specific solutions for all dealers. ‘We can give them the same level of cover and back office support, the same claims and customer service functionality.

‘The proposition is still supported by a large field team of experts too: really, there is little difference between small and large dealers in the way we approach customer relations and functionality. An Auto Trust product user is just as important as other users of the Car Care Plan product family.’

Those familiar with Car Care Plan and Auto Trust will, of course, probably associate it with one thing. ‘Warranty still takes the lion’s share of our business,’ agrees Jackson. ‘This is logical – we’ve been doing it for years and believe we offer the best product in the market. We still tailor it to each specific dealer, and this is something that remains the case for Auto Trust buyers, too.

‘This is something we won’t be changing: we’ve always done it and we always will. It means dealers can pick and choose which elements of the proposition they wish to take up, rather than using an off-the-shelf product.

‘Off-the-shelf is not the way dealers work and is not the way customers operate, so to us it is not the way a service provider should work. That’s why you can make the Auto Trust warranty so bespoke.’

There’s more besides warranty, though. Jackson says Auto Trust dealers can still also enjoy all the other products available to other dealers.

There’s a whole host of insurance offers, plus other products like its range of vehicle protection services coming under the Smartguard umbrella.

‘We’re one large family with a broad range of services.’

So, are you thinking of swapping? There’s even reassurance here offered by Jackson. ‘The big unknown is how long it will take to switch provider, and how much it will cost. Feedback has shown this to be a real worry, so we have put great effort into make it as easy as pressing a button.

‘Because we have so much already set up, we pledge to do this extremely fast for dealers – it’s a seamless transition to our services, with no hassle and minimal cost.’

Big dealer benefits for small dealers, which you can switch to with ease, without big expense or upheaval: this catalogue of benefits is why Auto Trust is one to watch in 2011. For ambitious smaller dealers, it’s certainly one to check out. >

CarDealerMag.co.uk | 67 CarDealerIss33.indd 67

6/11/10 10:48:44

DRIVE TRAFFIC Your website is your online forecourt. So it needs to work as hard as you do. It’s also got to be easy to navigate and rank highly with Google and other search engines that will drive traffic to your website.

We’ve been building bespoke websites exclusively for the motor industry since 1999. A number of our sites for dealerships have won awards. And being automotive professionals ourselves, we know what your site needs to help you sell more cars.

Find out more by calling 0845 2508820 or visiting www.ukwebsites.net Email: support@ukwebsites.net

Part of

CarDealerIss33.indd 68

6/11/10 10:48:46

Intro New year, new challenges, new and used car sales facing new and old hurdles. After the pain of late 2008 and 2009, 2010 was a fillip for dealers, with scrappage-boosted new incentives combining with the improving health of the used car market to broadly improve fortunes for most.

But 2011 looms large, and right away, there’s the uncertainty of a rise in VAT to 20 per cent. There’s no scrappage, either, but there IS the risk of big government cuts crunching people’s pockets across the board. Customers’ spending power will be impacted, making the purchase of a new or used car something they’ll really think about and need to be convinced by.

In short, things look like they’ll be tough. To make sure you’re best placed to face them, you need new ideas and new creativity. Car Dealer is here, with a full set of them.

No less than 11 great ideas for 2011, that can give you a business boost across the board.

We’ve looked at all areas and spoken to a broad selection of suppliers, all of whom are promising useful savings, bold new ways of drawing interest – and not a little ingenuity along the way for good measure.

Many of them won’t cost you a penny. Others cost, essentially, pennies, but can bring you gains worth thousands. We’ve covered the full spectrum, from new car sales, to used, to aftersales, to repairs. Read on, to see how 2011 could be a year of dramatic gains rather than doom and gloom…

Richard Aucock Deputy Editor

Fleet Auction Group

Get the auction inside line Find them: fleetauctiongroup.com Why you need them in 2011: Don’t battle consumers in the auction halls. Trade-only FLAG specialises in services exclusively for dealers.

W

the firm’s ‘can do’ attitude and try to maintain a e’ve all been to car auctions. They’re connection between traders and market trends. packed with bangers, bacon butties and The firm’s Coalville-based centre also impresses. cups of tea. They’re also packed with Boasting a fully enclosed pre-sale viewing area bargains – but it can sometimes be a bit of a pain for up to 300 vehicles, conference and training battling it out with consumers hunting for a deal facilities are also on offer to manufacturers, and when you’re looking to buy stock at trade prices. there’s a restaurant too.

With trade and private buyers all fighting over Vehicle valeting and facilities for pre-sale the same cars, motor vehicle auction rooms can be preparations are available, and the firm quite frenzied. That’s why Fleet Auction Group – operates a 24/7 vehicle collection and delivery more commonly known as FLAG – likes to do things service allowing dealers to collect vehicles at offa little differently. Established in 2000, traders have peak times – helping get purchased stock into your to be pre-registered before they can be allowed showroom quicker. into the firm’s auction halls or be able to bid online.

But what about the buyers’ premiums? FLAG have That means there’s no Parkers Guide reading that in hand too. The company has a policy of fixedprivate buyers to battle with. cost premiums for buyers helping dealers keep an Instead you’ll be bidding in a professional eye on their bottom line. environment, surrounded by traders of a similar Next year is going to be a difficult one for the background. Or, as boss Andrew Walker puts it: industry, predicts Walker, but he remains upbeat ‘Retail buyers belong in retail showrooms.’ and confident nevertheless. ‘At FLAG we are Walker and his operations director Kevin Clarke Car Dealer magazine 4/10/10 12:00 pm Page 1 looking forward to the challenges of 2011,’ he said. regularly get up on to the rostrum implementing

‘In what may well be a very difficult year for business in general, we will be working to introduce new products to the market that will add value in a way that has not been utilised before.’

Next year is going to be exciting too, says Walker: ‘We will continue to investigate expansion opportunities abroad as well as at home, and will be building the UK’s most modern vehicle inspection and costing facility, at our Leicestershire based headquarters.’ >

There is someone who still gives you real service Our unique, strictly no cash/trade-only auctions combine high-tech resources and innovative thinking with good old fashioned service principles.

State-of-the-art auction halls, fixed buyer's premiums, 24/7 collection, fleet car sales every Monday and Thursday from the UK’s leading fleets, the list goes on.

Trade professionals like service. At FLAG we are passionate about it.

Brindley Road, Stephenson Industrial Estate, Coalville, Leicestershire LE67 3HG T: 01530 833535 F: 01530 813425 email: info@fleetauctiongroup.com www.fleetauctiongroup.com

CarDealerMag.co.uk | 69 CarDealerIss33.indd 69

6/11/10 10:48:56



Intro New year, new challenges, new and used car sales facing new and old hurdles. After the pain of late 2008 and 2009, 2010 was a fillip for dealers, with scrappage-boosted new incentives combining with the improving health of the used car market to broadly improve fortunes for most.

But 2011 looms large, and right away, there’s the uncertainty of a rise in VAT to 20 per cent. There’s no scrappage, either, but there IS the risk of big government cuts crunching people’s pockets across the board. Customers’ spending power will be impacted, making the purchase of a new or used car something they’ll really think about and need to be convinced by.

In short, things look like they’ll be tough. To make sure you’re best placed to face them, you need new ideas and new creativity. Car Dealer is here, with a full set of them.

No less than 11 great ideas for 2011, that can give you a business boost across the board.

We’ve looked at all areas and spoken to a broad selection of suppliers, all of whom are promising useful savings, bold new ways of drawing interest – and not a little ingenuity along the way for good measure.

Many of them won’t cost you a penny. Others cost, essentially, pennies, but can bring you gains worth thousands. We’ve covered the full spectrum, from new car sales, to used, to aftersales, to repairs. Read on, to see how 2011 could be a year of dramatic gains rather than doom and gloom…

Richard Aucock Deputy Editor

Easi-Drive

Take a crash course in profits Find them: easidrive.com Why you need them in 2011: Looking after your customers when they’ve had an accident could mean they buy another car from you.

Easi-Drive can ensure the process is a smooth one.

M

ost car dealers know exactly how much they spend getting customers in the first place. And it’s a scary sum. Yet with ever-more competition, greater methods of communications and no let-up in the ways of appealing to buyers, rarely have your customers been more liable to stray.

This is, reveals Easi-Drive’s head of sales, Zac Mitcheson, a problem that can be particularly acute when a customer has an accident. The first call following an accident is almost always to the insurance company.

‘Naturally, insurance firms operate on a commercial basis,’ he explains. ‘They’ll work on pure cost – so, if a customer has an accident in a Renault, they may not necessarily be directed to a Renault dealer for repair work. And even if they are sent to a Renault dealer, it may not necessarily be your dealership!’

In short, a customers’ next interaction with a dealer outside purchase and servicing could be in times of distress. The perfect time for dealers to shine. If, that is, you can guarantee it’s you…

In general though, the customer does have the right to choose where their car goes, in non-fault accidents. Here’s where Easi-Drive steps in. ‘Every customer who has an accident is vulnerable,’ says Mitcheson. ‘We help lessen this risk by ensuring the insurance company doesn’t send them to your chief rival for repair work.

‘This way, we help you retain customers. If you’re a BMW dealer, for instance, you won’t want your customer going to a non-approved dealer. Worse still, you won’t want them going to an Audi dealer! We ensure those who have accidents stay in the brand and stay within the specific dealer group operations.’

It even stretches to the type of courtesy car offered. Insurance companies are compelled to offer a like-for-like replacement. This means that a BMW 7 Series driver should get a 7 Series courtesy car – not a 1 Series, and certainly not a Corsa!

‘The large car owner is paying large-car levels of insurance, so are entitled to an equivalent in the event of an accident. We ensure this.’

What sets Easi-Drive apart from other accident management companies, says Mitcheson, is the firm’s proactive approach. ‘Even before a customer has an accident, we’re fully training dealers and doing all we can to help,’ he explains. ‘We back this up with a strong reactive process in the event of an accident, ensuring best service for the customer and best opportunities for the dealer.’

The accident management industry exists, says Mitcheson, because the ins and outs of arranging things in the event of an accident are not there.

The technicalities and logistics are extensive, the skills to be deployed along the way are intricate.

‘We create a bespoke package of solutions, including the brand-for-brand replacement vehicle, damage assessment of vehicle and pledge to liaise with all third parties for the customer – including witnesses.’

By offering Easi-Drive as part of an aftersales package, you’re able to provide a high-quality accident management service. In doing so, EasiDrive commits to offering outstanding customer service to all its referral providers.

There’s another clincher, too. ‘Statistics say that annually, 20 per cent of people will be involved in an accident. If you help look after them when they really need it, they’ll be more loyal to you.’

Besides, 40 per cent of them will subsequently change their car in the next six months, because it’s ‘not the same car’.

Think of the benefits you could enjoy, then, from being in the right place at the right time, should a customer happen not to be… >

70 | CarDealerMag.co.uk CarDealerIss33.indd 70

6/11/10 10:48:57

 

                 

   

       

CarDealerIss33.indd 71

 6/11/10 10:48:58

Intro New year, new challenges, new and used car sales facing new and old hurdles. After the pain of late 2008 and 2009, 2010 was a fillip for dealers, with scrappage-boosted new incentives combining with the improving health of the used car market to broadly improve fortunes for most.

But 2011 looms large, and right away, there’s the uncertainty of a rise in VAT to 20 per cent. There’s no scrappage, either, but there IS the risk of big government cuts crunching people’s pockets across the board. Customers’ spending power will be impacted, making the purchase of a new or used car something they’ll really think about and need to be convinced by.

In short, things look like they’ll be tough. To make sure you’re best placed to face them, you need new ideas and new creativity. Car Dealer is here, with a full set of them.

No less than 11 great ideas for 2011, that can give you a business boost across the board.

We’ve looked at all areas and spoken to a broad selection of suppliers, all of whom are promising useful savings, bold new ways of drawing interest – and not a little ingenuity along the way for good measure.

Many of them won’t cost you a penny. Others cost, essentially, pennies, but can bring you gains worth thousands. We’ve covered the full spectrum, from new car sales, to used, to aftersales, to repairs. Read on, to see how 2011 could be a year of dramatic gains rather than doom and gloom…

Richard Aucock Deputy Editor

Autochat

Watch your potential buyers Find them: autochat.co.uk Why you need them in 2011: Watch visitors as they browse your site – and then interrupt them and ask them if they need any help!

O

ne of the biggest problems with the internet is that while customers might show an interest in buying a car, they are not actually there for dealers to close a deal. This is where Autochat comes in.

It’s a new service from Starkwood Media Group which allows dealers to contact visitors who are actively looking at their website directly. When a dealer contacts a visitor like this instantly, the chances of turning enquiries into cold, hard deals are increased, says the firm.

With the service, dealers can not only answer customers’ questions, but also speak to them in real time – giving salesman the opportunity to find out more about their customers and book viewing appointments.

The software has been designed to notify dealers when visitors are on their websites, and can be programmed to recognise ‘serious’ customers by the length of time they spend on the site.

The dealer can then ‘message’ the customer

inviting them to have a live chat online. Dealers can do this from their desktop in the dealership or even in the comfort of their own home!

Information about the searches customers have made to get to the dealer’s website also feature on the software, a spell-checker and ‘customisable canned responses’ to help showroom staff deal with enquires in the most effective way are also available.

Customers can even choose which department they want to speak to, resulting in a better experience for the buyer, and helping dealers with multi-services such as sales, parts, and used car departments organise the right staff to speak to the right customers.

Starkwood Media Group’s marketing manager Rob Queen said: ‘Having researched the viability of this product, both in the UK and USA, we are delighted to be offering Autochat to the automotive sector.

‘It really is in its infancy in the UK and is relevant

for all retailers from the largest franchised dealer group through to the smallest independent.

‘Currently, those that have this facility are in the minority, but by the end of 2011 I expect this situation to have been completely reversed. At the end of the day, if you don’t have Autochat and your competitors do, guess where motorists are going to be having their online conversations.’

72 | CarDealerMag.co.uk CarDealerIss33.indd 72

6/11/10 10:48:59

Intro New year, new challenges, new and used car sales facing new and old hurdles. After the pain of late 2008 and 2009, 2010 was a fillip for dealers, with scrappage-boosted new incentives combining with the improving health of the used car market to broadly improve fortunes for most.

But 2011 looms large, and right away, there’s the uncertainty of a rise in VAT to 20 per cent. There’s no scrappage, either, but there IS the risk of big government cuts crunching people’s pockets across the board. Customers’ spending power will be impacted, making the purchase of a new or used car something they’ll really think about and need to be convinced by.

In short, things look like they’ll be tough. To make sure you’re best placed to face them, you need new ideas and new creativity. Car Dealer is here, with a full set of them.

No less than 11 great ideas for 2011, that can give you a business boost across the board.

We’ve looked at all areas and spoken to a broad selection of suppliers, all of whom are promising useful savings, bold new ways of drawing interest – and not a little ingenuity along the way for good measure.

Many of them won’t cost you a penny. Others cost, essentially, pennies, but can bring you gains worth thousands. We’ve covered the full spectrum, from new car sales, to used, to aftersales, to repairs. Read on, to see how 2011 could be a year of dramatic gains rather than doom and gloom…

Richard Aucock Deputy Editor

Dentgard

Serve and Protect your customers Find them: dentgard.co.uk Why you need them in 2011: An insurance up-sale opportunity which will protect your buyers’ new cars from dents for three years

W

hen you’ve shelled out thousands of pounds on a new car the fear of picking up a dent or ding is huge. No-one wants their pride and joy to be spoiled with an unsightly blemish – which is why this clever offering is bound to be snapped up.

Until now, solutions to those dents have been few and far between. And the opportunities for dealers to satisfy their customers’ dinged motors with a swift and – most importantly – affordable solution have been even fewer.

But that’s where Dentgard comes in. Three years in the making, the Dentgard system is a paintless removal technique for those upsetting dings.

Essentially it’s an insurance product for customers. Dealers can offer car buyers the promise of up to two dents repaired per year for a fixed annual sum. Think of it as supermarket car park protection for three years!

And that means good news for you – because not only do you get a percentage for reselling the cover, but you also get the chance to upsell to customers as they’re forced to return to you for remedial work.

Dentgard’s cover costs £57 for three years – but

there’s no limit on the price that you can charge your customers. The average resale price is £199 – a healthy mark-up, we’re sure you’ll agree. What’s more, premium car buyers are far more likely to accept a higher price for the cover – for example, one Porsche retailer sells the product for an impressive £699!

Dentgard operations manager John Roche said: ‘It’s great for dealers because they can sell a car with minor damage to it, and then sell the Dentgard package on top.

‘We dispatch a fully-trained technician who repairs the damage to the car, meaning the customer drives away satisfied and the dealer is happy too as they have sold two products!’

Dentgard also shares information it gathers from customers – such as when they’re looking to buy another car or sell theirs – with the supplying dealer, giving you the chance for upsales.

So just how popular would a product like this be with customers? Well, in April 2009, the company conducted a survey of 1,000 people and asked the question: ‘If you were selling a vehicle would you consider paintless dent removal prior to advertising the vehicle if the process was simple

and readily available in your area?’ Some 91 per cent of respondents confirmed that, in the interests of maximising the value of their vehicle, they would use this procedure.

‘Our plans for 2011 are to grow and to appeal to more dealers,’ added Roche. Already the firm has tied up agreements with an impressive portfolio of dealer groups including Peter Vardy, Vertu, Pendragon, Burnt Tree Vehicle Solutions, and the UK-arm of Nissan Motors.

Part of Dentgard’s success has been due to the way the product was created. The company used feedback from a number of dealers in shaping the offering and one thing’s for sure – that feedback has created a very sellable product! [CD]

CarDealerMag.co.uk | 73 CarDealerIss33.indd 73

6/11/10 10:49:01

911for2011

One down one to go After the clean of their lives thanks to AutoGlym, we’ve finally managed to sell an MX-5 – via Twitter!

T

witter. I know you probably think we bang on about it a bit too much but if there’s one thing that’s going to change the shape of your business in the future it’s social media.

But we’ll never sell cars using Twitter, is the claim we hear most dealers cry. But actually it can be done – and if you want proof of that, we’ve got it here. We did exactly that with one of our Mazda MX-5s, being sold as part of our quest to turn £0 into a Porsche 911 in aid of automotive charity BEN by (sometime in) 2011.

And we didn’t proposition the buyer, or hound her down, she actually came to us after hearing about the cars up for sale on the social media website. So how did that happen? Well, we’ve been covering the 911 for 2011 quest heavily on our website in between updates in the magazine and, as usual, we tweeted about the fact we’d finally managed to put one of our Mazdas up for sale.

We decided to list G799 OCW on eBay. It wasn’t quite as good as the H-reg model so a detailed description, copious amounts of pictures and a video would hopefully be enough to see it shifted (more on that in a bit). A day after the listing started I received a tweet from PR lady Suzanne Tennant. She was in desperate need of a car after writing hers off and wanted to know if we’d take an offer on the car we had on eBay. I explained we liked to let our auctions run, but that we did have a slightly better one tucked away waiting to be advertised. I gave her the run down – all via Twitter’s direct message service – and explained it had a new MOT, 12 months tax and had just been serviced. >

74 | CarDealerMag.co.uk CarDealerIss33.indd 74

6/11/10 10:49:03

Words: James Baggott Pictures: James Batchelor

CarDealerMag.co.uk | 75 CarDealerIss33.indd 75

6/11/10 10:49:05

911for2011

‘You can have it for £1,700,’ I said. Seconds later she’d agreed and we arranged for her to pick it up two days later. It was unbelievably easy. But it wasn’t until we chatted about how it all came about when she came to collect the car that I realised quite what a missed opportunity her predicament was for dealers across the UK. You see Suzanne, like many others in her position, tweeted about the fact she was ‘desperate’ to buy a new car and asked if there were ‘any dealers who could help her’. How many spotted the tweet and replied? None.

Ok, so she was contacted by a few car manufacturer marketing departments, but even Suzanne admits that if the right dealer had come along with the right price she would have bought from them.

‘If a dealer had set up a search for “looking for a new car” on Twitter then they could of snapped up my business,’ she explained. ‘I was in desperate need of a new car and open to offers.’

Twiter allows you to set up searches which will look at recent tweets and flag up the users’ messages to you. So, for example, if you’re a Seat dealer you could set up searches for ‘New Seat’, ‘I want a Seat’, ‘looking to buy a Seat’, in fact, the list of search options is pretty much endless.

With millions of Twitter users in the UK, canny dealers could easily capture a new sales stream with the right tactics. Yes, I admit it sounds complicated, but believe me it’s not.

So why did Suzanne buy our Mazda?

‘I knew about the Mazdas as I’d seen you’d been tweeting about them,’ she explained. ‘Your tweet was timely about the eBay auction, it reminded me, and I decided to get in touch.’

It just goes to show that Twitter really is a powerful tool. You don’t have to be promoting your cars all the time. Simply generating a regular presence on social media and building up relationships with anyone and everyone really can pay dividends in the long run. They might not buy from you now, but if you are regularly reminding people you’re there

Autoglym’s Karl Heath, left, and Matt Kendell

and ready to help, someone might do one day!

We dropped the price of H109 XGH £100 as Suzanne was concerned about an unknown cambelt change, but we still banked £1,600 from the sale. We’d bought it for £250, added 12 months tax worth £210, so made a healthy profit of £1,170.

FIT AND PROPER The sale came just days after we’d collected the cars from Matt Kendell, of White’s Motors, Portsmouth, who had been lovingly getting them back into a roadworthy condition.

Both had finally passed their MOTs after rather a lot of welding and Unipart had chipped in with a service pack for each which consisted of new plugs, oil, air and oil filters. To pay for the work we let Kendell and his team keep the broken MX-5 which we’d been using as a donor car. They were happy and so were we with not having to raid the piggy bank for any recon cash.

What really made our cars desirable though was the day spent by Autoglym expert Karl Heath buffing and polishing them back to life.

Heath spent an entire day cleaning our cars inside and out and the difference he made was simply

76 | CarDealerMag.co.uk CarDealerIss33.indd 76

6/11/10 10:49:09

‘With millions of Twitter users in the UK, canny dealers could easily capture a new sales stream with the right tactics. Yes, I admit it sounds complicated, but believe me it’s not.’

staggering. Heath usually travels the country teaching dealers how to use the Autoglym range of products, but was dispatched to tackle this most-difficult of tasks. G799’s paintwork was particularly faded in places so needed a huge amount of work. The bonnet was oxidised badly – however nine coats of expensive polish later and it was looking far shinier.

The interiors were treated to a range of Autoglym’s products to bring them back to life.

The roofs were cleaned and conditioned, the engines blasted of grime and the windows given a dose of elbow grease.

Quite how Heath made the cars look so good is a mystery. Some firms we approached wouldn’t even take on the challenge as they felt the cars were ‘too far gone’ – but Autoglym had no such concerns. Heath did warn us that the bonnet on G799 could do with a respray, but spending any

more cash on them would be silly.

There’s no doubt the hard work Heath put in led to one of the cars selling. As you know, clean cars sell – and these Mazdas were certainly clean!

Unfortunately our eBay auction didn’t quite go as smoothly. After seven long days of waiting and one bid which was removed four days later, we failed to shift G799.

Perhaps our starting price of £995 was a little ambitious and put some bidders off. Still, it managed to clock up more than 1,000 visits so there must have been some interested parties.

As this issue went to press we were still thinking about an action plan to get it sold. Fingers crossed by the time the next issue arrives on your desk we’ll have finally managed to shift it...

CASH Cash List Incoming Audi A3 VW Golf Ford Fiesta Hyundai i10 H-reg MX-5

£790.03 £250 £2,150 £5,005 £1,600

Outgoing Tax for MX-5s £420 IN THE POT

£5,685

To keep up to speed with our charity quest in between issues, type bit.ly/911for2011 into a web browser to be taken to the latest posts.

THE STORY SO FAR...

Bought for... £0 Sold for... £250

Bought for... £0 Sold for... £790.03

Bought for... £985.25 Sold for... £2,150

Bought for... £2,000 Sold for... £5,005

All bought for... £500 One sold for... £1,600 (so far)

CarDealerMag.co.uk | 77 CarDealerIss33.indd 77

6/11/10 10:49:25

auctions

Make the most of customers’ phones Henstock Auction stations Sourcing retail stock is getting harder but help is at hand

A

verage used car values over the last quarter improved by £95 against quarter two to reach £5,875 – almost on a par with the value of £5,888 recorded in quarter one.

Year-on-year values are 4.3 per cent behind (£279) but this is more a reflection of the extraordinary demand combined with the shortage of supply in 2009.

While supplies remain relatively constrained, a good balance between supply and demand has seen the return of the seasonal trading patterns.

So what are the prospects for ‘The new car the final quarter of 2010? market remains There are no signs that under some the numbers of fleet and pressure, although lease cars are going to rise dramatically, supply to the there were some nearly-new market is likely underlying to remain lean, and dealer P/X volumes reaching the positive signs in wholesale market should September.’ remain reasonably steady.

This status quo means demand should keep prices on an even keel. While the market should expect a little price pressure, the general mood is positive.

With the national spending review now unveiled, there is plenty to distract motorists from buying. The new car market remains under some pressure, although there were some underlying positive signs in September as sold numbers actually rose year-on-year, once the effects of the scrappage scheme were accounted for.

However, as new car sales remain depressed and businesses hold vehicles for longer periods, the changing age and mileage profile of the used car market is expected to influence the marketplace for some time. BCA has identified this as a major issue. Locating and securing supplies of retail stock is likely to become increasingly competitive. BCA has launched new online remarketing channels: Bid Now and Buy Now. They dovetail with BCA’s existing physical auctions and Live Online sales.

As all stock is integrated it means buyers shouldn’t miss an opportunity. When searching for stock they’ll be presented with the appropriate buying option.

Bid Now online auctions run every weekday, with new stock appearing daily. Vehicles can be previewed from mid-afternoon and bids placed between 4pm and 6pm. Buy Now online sales offer vehicles 24/7 at a fixed price with immediate purchase.

With used cars increasingly becoming the battleground for dealer profitability, BCA customers now have some extra weapons for their armoury!

Who is Simon Henstock?

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

MANHEIM Retail Services has launched a new mobile product that will help dealers convert enquires into sales.

The Vehicle Mobile Marketing product from the auction house will enable dealers to directly send mobile web pages, full specifications and high-quality images straight to prospective customers’ phones.

Managing director of Manheim Retail Services John Simpson said: ‘As the market toughens, dealers need to be using a full suite of communications channels to optimise every sales opportunity.

‘By embracing new technology we are now able to help dealers make it simple and instantaneous for prospects to access stock information though their preferred communications channel, whatever that may be.

‘Mobile marketing is now one of the fastest growing technologies in the UK and dealers should be thinking very carefully about incorporating it into their marketing strategies.’

The new service has been trialled by Fife Seat, who have already seen the results.

MD Stephen Graham said: ‘It’s like a virtual showroom. You can have a customer on the phone and within about 20 seconds send a vehicle brochure straight to them while you are talking.

‘The template also allows you to tailor personal messages to the individual customer.

‘We had a recent enquiry from a customer outside our area whose local dealer didn’t

stock the car they wanted and couldn’t provide any further information on it.

‘Even though we were some distance away, the customer got in touch with us at 9.30am one morning and I texted him the information while he was on the phone.

By 2.30pm he was in the showroom and by 4.30pm he was driving away in his new car.’

Powerful stuff indeed.

Tomalin lands ‘dream role’ as new Carryduff MD NORTHERN Ireland-based auction company Carryduff Auction Group has announced the appointment of Michael Tomalin as their new managing director.

Tomalin comes to the company with more than 23 years of experience, working for many auction houses including BCA and more recently as corporate sales director at SMA. Tomalin said: ‘This is a dream role for me.

There is a great vehicle infrastructure here already and our plans are to add quickly to that with some key corporate vendors.

‘We are planning a total overhaul of the site and its infrastructure in the coming months, with new branding for the entire group, a new website and dedicated marketing that will position us as the leading auction centre in Northern Ireland.’

Hefty rise in sales for online used car site AUCTION website Auction4Cars experienced a 21 per cent rise in sales in September.

Motorpoint’s trade-only website reports that traders turned to the company to replace their stock as demand for used cars continued to grow.

Statistics from the company said September sales had risen to a six-month high. However, while demand remains strong, overall used car values were down.

Auction4Cars reports that used car values fell by five per cent in September to £2,453.10, suggesting that traders are less willing to pay the high prices seen in 2009.

Group disposal manager at Motorpoint Neil Prescott said: ‘It’s been a very encouraging month of sales for Auction4Cars, and is further proof that buying stock online is definitely the way forward for the trade in this country.’

78 | CarDealerMag.co.uk CarDealerIss33.indd 78

6/11/10 10:49:26

CarDealerIss33.indd 79

6/11/10 10:49:26

AT101 We Listen A4

2/11/10

10:07

Page 1

We like to listen...

...our members told us that they would like:

Some assistance with delivery and collection From November you could benefit from our latest service. Along with sourcing and disposing of vehicle stock, our members now benefit from a new transport service at a competitive cost, allowing members to collect and deliver vehicles at the touch of a button.

Run by dealers for dealers Est 1999

Call 01243 523000 to try Autotrade-mail.com FREE for two weeks

With over 4700 subscribers advertising more than 1000 cars a day, Autotrade-mail subscribers enjoy first choice of the prime stock offered by other members across the UK. It should be an essential part of every successful sales team.

The UK’s leading online real time used-car trading network CarDealerIss33.indd 80

6/11/10 10:49:26

right click

...in association with GForces

Embracing technology in all its forms can really drive sales up GForces’ Tim Smith asks what dealers can learn from IT firms

A

s we all try to recover from a crippling recession many companies big and small are looking at information technology to help drive the next wave of growth.

With only a modest upturn in domestic demand this year, most companies are seeking to consolidate cost savings while exploiting growth opportunities. For car dealers, the real question is ‘how can technology deliver value to our company?’.

Apple state that ‘700,000 Mac Book Airs are expected to sell in the forthcoming holiday season along with 500,000 iPhone 4s and one million iPads,’ therefore the retail economy, more specifically the technology sector, is hopeful in receiving some positive Christmas sales. However, can this be used as a benchmark for the automotive industry? IT delivers innovation by embracing mobility; increasing access, reach and communication among companies and consumers.

Peter Sondergaard, senior vice-president of research at Gartner claims that ‘information has become the new gold or oil of the 21st century. Technology plays a pivotal role, not just increasing operational excellence and the performance of an enterprise; IT will assist in driving the revenue and value of the company’.

However, most companies spend 75-80 per cent of their IT budget on the people employed to manage technology. Ideally this should be cut to 50 per cent with the other half being put to good use in driving applications.

Dealers need technology to run their business and market their cars online. A report by internet world stats showed that those who intend to buy a car in the next 12 months are 90 per cent more likely to go online during the car purchasing process.

This proves technology is moving at such a pace that dealers need to absorb it faster to meet demands of the ever-evolving customer.

‘Technology plays a pivotal role, not just increasing operational excellence and the performance of an enterprise; IT will assist in driving the revenue and value of the company.’

By utilising the full range of technology available today dealers can put themselves in the driving seat as traditional forms of media fall by the wayside.

Thanks to the likes of social networking, search engine marketing, behavioural targeting and other online strategies, creating an integrated and embedded viral position in the market is a

dealer’s way of reaching a wider audience and becoming far more efficient and effective in their business strategy.

As seven in 10 UK car buyers use a search engine to locate automotive websites and two in five visits to dealerships come from search engines, the internet is clearly the perfect partner for the industry and can facilitate every point of the online customer journey and buyer cycle.

According to the Internet Advertising Bureau, the automotive industry is now the second largest spender online accounting for 12.9 per cent of the total market.

Some 85 per cent of internet users with an interest in the automotive sector also access consumer generated content or sites while shopping for a vehicle, proving that technology is an incremental asset to a business and a growing channel which dealers need to understand and embrace fully.

CarDealerMag.co.uk | 81 CarDealerIss33.indd 81

6/11/10 10:49:28

Trader DIRECTORY

F

inding the right cars at the right prices isn’t always easy difficult. On top of that, selling cars that you don’t necessarily want to put on the forecourt can be tough

Alfa Romeo Sturgess Alfa Romeo Scott Allen 0116 275 8800 scottallen@ sturgesscars.co.uk Buying used Alfa Romeos up to five years old Benfield Alfa Romeo Dax Pearce dax.pearce@Benfield motorgroup.com Alfa stock wanted up to 40,000 miles. Call for immediate bid. 07501 257220 or 0191 211 2200

Aston Martin Mangoletsi (Holdings) Limited Fraser info@mangoletsi.com 01565 722899 HWM Aston Martin Paul Spires paul.spires@hwm.co.uk 01932 240611 07850 326755

Audi Wimbledon Carriage Company Limited John Crisp 07885 211872 Walton & Epsom Audi Mark Loughnane 01932 220404 07739 519306

BMW Williams Rochdale Craig Fenlon 01706 717700 07808 092110 Vines Group Dominic McConnon Buying used BMWs up to 5 years old 07776 246905 dominic.mcconnon@ vinesguildford.bmw-net. co.uk

Bentley Harwoods Simon Elkin 01798 877211 07803 088711 Jack Barclay Bentley Derek Bennett 020 7629 7444 07713 887 886

Citroen Marlborough

too. Our Trader Directory aims to alleviate these problems. Instead of thumbing through endless pages in price guides looking for the right trader, you can consult the Trader Direc-

Ferdi Khab ferdik@marlborough. uk.com 020 8225 5840 07949 219 830

Hyundai

Daihatsu

Hatfield Hyundai Mark Littler/Tim Barnes 0161 767 9500 07920 599 394 07787 921 222

Woodford Motor Co Ltd Stephen Barnard 0208 504 0017 Proven Daihatsu Keith Pattison 01428 652554 07771 547406

Ferrari HR Owen Ferrari Nick Carey nick.carey@hrowen.co.uk 07824 362229 Monza – Ferrari Andrew Ludlow ferraribuyer@ntlworld. com 07889 305 053 Maranello Ferrari John Dutton 07817 019 456

Fiat Glyn Hopkin Ltd Glyn Hopkin 07730 711889 Sturgess Fiat Ian Callis 0116 254 1717 icallis@sturgess cars.co.uk Buying used Fiats up to five years olds

Ford Benfield Des Sammon des.sammon@benfieldford.co.uk 07831 828024 Lifestyle Ford Richard Walker 07748 177889

Honda Brayley Honda Mark Corr 07812 342 635 Thames Honda Group Jerome Chandiram 0208 845 3551 Holdcroft Honda Luke Regan / Chris Thursfield 07971 543884 07813 737 921

Bushey Heath Hyundai Jon O’Donoghue 0208 420 5100 07976 177 959

Jaguar Sturgess Jaguar Chris Allen chrisallen@sturgess jaguar.co.uk 0116 282 6868 Buying Used Jaguars up to five years old

Murray Motor Company Graeme Robertson 0131 200 8888 07765 252745

Maserati Meridien Modena Warren Butt 02380 283404 07860 530703

Lifestyle Mazda Mark Spowage 01293 845045 07974 770020

W R Davies Neil Swan 07739 625958

Jeep

Mercedes-Benz

John Holland Sales John Holland / Mark Holland 07836 690818 07831 824644

Hughes of Aylesbury Tony Oblein 01296 319600 07785 781623

Chapelhouse Kia Andy / Neil 01925 570800 07891 531129 07825 311 297

Lexus Lexus Twickenham Dave Cooper / Steve Gurr 07831 704134 07921 408983

Land Rover Sturgess Land Rover Chris Allen chrisallen@sturgess jaguar.co.uk 0116 282 6969 Buying used Land Rovers up to five years old Beadles Land Rover Greg Wilcox g.wilcox@beadles-landrover.co.uk 07740 717209

Lotus Dick Lovett 07808 940777

Nissan

Mazda

Mitchell Mazda Brian Blanchard 07826 817850

Lee Gilmour Tower Hill Garage 01923 263700 07768 367085

North City Autos (Chingford) Ed Tyrrell Interested in low mileage FSH vehicles 020 8524 8855 07736 610285

Sturgess Nissan Ian Callis 0116 254 1717 icallis@sturgess cars.co.uk Buying used Nissans up to five years olds

HR Owen Nick Carey nick.carey@hrowen.co.uk 07824 362229

Charles Hurst Jaguar Stewart Begg 0208 938 1300 07534 927 821

Kia

tory, either in the magazine or online, and find them right away. If you’d like to be included you can submit your details in the Directory find out how at the bottom of this page.

Tony Purslow Ltd Simon Sneath 07810 771 161 Mercedes Benz of York Darren Hewitt-Craft dhc@rybrookmercedes. co.uk 01904 694000 07701 001491

Mini Vines Group Dominic McConnon Buying used MINIs up to 5 years old 07776 246905 dominic.mcconnon@ vinesguildford.bmw-net. co.uk Sytner Mini Matthew Jones 07870 688793 Specialist Cars Stevenage – Mini Jason Ayriss jason.ayriss@specialistcars.co.uk 01438 760303 07918 680445

Mitsubishi Livery Dole Mitsubishi Nigel Clegg 07836 516945

Peugeot Robins & Day Guildford Julian Mills 01483 414 311 07795 291087

Porsche Paragon Mark Sumpter 01825 830424 07778 968911

Renault Sunwin Renault Preston Sean Dean 01772 329900 07790 253827 Renault Retail Group Ian Millichip 07718 967026

SEAT Hobin Group Ltd – Seat Alex Cullen 07950 566427 Kings Seat Mike Read 07789 956937

Skoda Mitchell Skoda Richard Macklin / Ross Thompson 07500 539791

Smart Smart of Exeter Darren Webber 07940 756063

louis.jones@sparshattsgroup.co.uk 01489 785111 07775 508255

Suzuki Glyn Morgans Ltd Glyn Morgans 07836 240059

Toyota Currie Motors Toyota Dave Cooper / Steve Gurr 07831 704134 07921 408983 Toyota World Stuart Smith 07966 172397

Vauxhall Monorep - Vauxhall Andrew Ringer 020 8836 3031

Volkswagen Ridgeway Newbury Andy Jones 07917 635534

Volvo Sturgess Volvo Scott Allen 0116 275 8800 scottallen@ sturgesscars.co.uk Buying used Volvos up to five years old

General Buyers Sol Cars Tim Hancock Wanting part exchanges of all types up to 4k 07973722243 timfoxhancock@btopen world.com Barry Freedman 01753 543105 07836 338694 barry.freedman@virgin.net Trade buyer of PX vehicles anything up to £8k Philip Wight Motor Co Philip Wight Sensible buyer of hatch and estates up to £4k please.

01923 220000 phil@click4cars.co.uk

Subaru Cheam Subaru Richard James 07836 549553 Sparshatts Subaru Louis Jones

To have your details included here log on to carDealerMagazine.co.uk/trader-directory.htm There’s also a more comprehensive list of traders on the website, updated throughout the month.

prices for six month listings: £29.99 On Website | Or £39.99 for Magazine & Website Prices inclusive of VAT. Payments can be made online via credit or debit card. Your details will appear in the next available issue

82 | CarDealerMag.co.uk CarDealerIss33.indd 82

6/11/10 10:49:29

Even though the Sales Manager held regular morning meetings, it was beginning to become obvious that Adam had not fully grasped the “team work” ethos.

(Seconds after this picture was taken, they let go of the rope and Adam disappeared backwards through the showroom window never to be seen again) WMS have a team of dedicated partners who understand that a successful business needs to be sure that everyone is pulling in the same direction.

We’re not into tea and sympathy visits but we do want to help you achieve greater sales penetration and profits from our range of warranty and protection products.

We are on the same side with over 3000 dealerships offering a dedicated service for their customers and we can help you build a robust sales process that will not just provide opportunities today but customers for the future.

If you want to talk tactics and finds out more about how our game plan can fit in with your team talk then please contact us on 07789 682502

If you would like to discuss the products and services available from WMS Group, please contact me, Eric Stone, on 07789 682502 or email sales@wmsgroupuk.com

CarDealerIss33.indd 83

0844 477 4909 www.wmsgroupuk.com 6/11/10 10:49:29

Recruiting Success in the Automotive Industry

We thrive on the demands and expectations of our candidates and clients.

John Gibson Associates – The UK’s l leading Automotive Recruitment Consultancy.

With a Head Office in York supporting a national network of Regional Offices, each run by experienced Motor Trade Professionals who know the local market inside and out; ensuring we are the only providers of national coverage on a local basis.

Specialists in working confidentially; respecting the identities of all our clients and candidates meaning that there are no embarrassing situations.

Each candidate we put forward is pre-interviewed so that we are certain that not only do we find exceptional candidates for the job but also for the business environment – we take pride in our reputation for expertise and an outstanding professional service.

Every vacancy we handle is a genuine client requirement and every candidate we put forward has been contacted, giving their consent to be considered for a vacancy.

We’ve been established for over 20 years.

Our track record speaks for itself; we enjoy an 85% level of repeat business and place more candidates in more jobs than anyone in motor trade recruitment. All this means that John Gibson Associates are the recognised and trusted brand in Automotive Recruitment. And because we are confident that you will be more than satisfied with our client services – all this comes with a six month guarantee.

$BS%FBMFS 1PXFS

Winner 2010 Recruitment

2010 Automotive Recruiter of the year

CarDealerIss33.indd 84

Providing you with an unrivalled service and helping to fulfil your potential is second nature to us…

We take pride in our reputation and our services.

JGA cover all positions in the Motor Trade and it’s related industries – below is a selection of the different vacancies currently being handled by our network of Regional Offices – visit www.jgauk.com to see a complete list of genuine client requirements and take the next step towards your future success.

Job ID Job Title

Location

15375 15363 15383 15215 15042 15329 15209 15009 15126 15376 15333

Berkshire York Area SS Postcode Lancashire Yorkshire DA Postcode Cornwall West London Area Staffordshire Yeovil Surrey

Workshop Controller Truck Sales Specialist Sales Executive Prestige Business Manager Aftersales Manager General Manager Group Parts Manager Dealer Accountant - Prestige Sales Manager Technician Brand Manager

JGA Regional Office Thames Valley North East East Anglia North West South & West Yorkshire South East Dorset, Hants, Cornwall London West Midlands South Midlands Surrey/Thames Valley

Tel: 0845 644 3003

THE LOCAL, REGIONAL, NATIONAL AUTOMOTIVE RECRUITERS

Web: www.jgauk.com Email: info@jgauk.com

6/11/10 10:49:29

Move with certainty

08450 212123

www.justcarjobs.co.uk

MAKING THE RIGHT

connection

As an EMPLOYER in today’s highly competitive market, you need real talent in your business. Don’t just choose any recruitment agency. Choose Connect - automotive recruitment specialists in Yorkshire and the North East.

As a CANDIDATE, if you stand out from the crowd and are looking for a new challenge we want to speak with you today!

WE HELP MAKE WINNING PARTNERSHIPS

Technicians Parts Advisors Sales People Sales Administrators Warranty Administrators Service Receptionists Sales Managers Service Managers Parts Managers Accident & Repair Centre Managers Aftersales Managers General Managers Directors

Call 07552 176324 for a confidential discussion Or email your CV to: admin@connect-hr.com You can also upload your CV at: www.connect-hr.com CarDealerIss33.indd 85

6/11/10 10:49:30

[ Classifieds ]

FBMFS $BS% EXCLUS IVE DEAL!

Car Dealer subscribers’ guide to the best offers from suppliers

FEATURING

BCA | Gforces | WMS | Winn Solicitors | Bluecycle | Autotrade-mail Progress DMS | Viper Image Media | Dealer Auction | Compucars UK Car Exchange Webzation | Zype | Any Text | TomTom | SaveMoneyOnCars.co.uk |

IN ASSOCIATION WITH

All new subscribers to Car Dealer are sent a copy of our special Car Dealer Exclusive booklet free of charge

Want to advertise here? call (023) 9252 2434

HAVE YOU SUBSCRIBED? If you like CarDealer.and want to keep receiving it you need to subscribe. Just because you’re getting it now doesn’t mean you always will UNLESS you’ve signed up...

£24.99

PER YEAR!

REGISTER YOUR SUBSCRIPTION NOW: CarDealerMagazine.co.uk/subscribe.htm

Want to DRIVE TRAFFIC to your website?

Find out more by calling

0845 2508820 or visiting www.ukwebsites.net

Email: support@ukwebsites.net

Part of

86 | CarDealerMag.co.uk CarDealerIss33.indd 86

6/11/10 10:49:36

[suppliers guide] IF YOU’Re lOOKInG FOR A MOtOR tRADe SUpplIeR YOU cAn FInD tHe DetAIlS OF SelecteD cOMpAnIeS HeRe AUctIOnS Auction4Cars W: auction4cars.com

FeAtUReD entRY...

BCA t: 0845 600 6644 W: british-car-auctions.co.uk

Dealer-auction.com W: dealer-auction.com t: 0844 3350174 e: info@dealer-auction.com

Dealer Auction W: dealer-auction.com t: 0844 3350174 e: info@dealer-auction.com Info: The Uk’s fastest growing online trade auction.

Franchised dealers can offer physical trade cars to over 1500 registered trade buyers nationwide.No monthly subscriptions, No Buying fees and No Sale No Fee makes us the most profitable option for franchised dealers wanting to maximise their dealerships trade car profit.

AUctIOn cAR bUYInG SeRVIce AuctionCarBuyer.co.uk t: 07768 338585 W: auctioncarbuyer.co.uk e: joe@auctioncarbuyer. co.uk

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: aawarranty.co.uk 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.

DeAleR AUctIOn is the latest firm to be included in our not-tobe-missed guide. It’s the most affordable way to get your company in front of thousands of car dealers every month.

Simply call the number above to find out how your company’s details could be included in next month’s issue!

W: clementscarcredit.com e: tony@clementscar credit.com Info: Motor finance broker for car dealers, prime 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

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.

pROVenAnce cHecKS HPI t: 01722 435444 W: hpi.co.uk Apply at CarDealerMag.co.uk and register in the fold down corner tab

SOFtWARe 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 Any Text t: 0845 638 1421 W: anytext.co.uk e: info@anytext.co.uk Info: Established 1994, AnyText specialises in text SMS

services. Keep your customers informed by text from your PC. Send full vehicle details, including pictures.

MOT reminders, service follow ups. Customer satisfaction surveys. Free account set-up. No minimum billing or monthly charges. Full, free support. Just buy bundles of texts as needed.

tRADe bODIeS Motor Industry Code of Practice W: motorindustry codes.co.uk

Web DeSIGn

tRAInInG 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.

VAlUAtIOnS 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

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.

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 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

CarDealerMag.co.uk | 87 CarDealerIss33.indd 87

6/11/10 10:49:36

used cars Fleet success is target for Fiat’s Wheeler

FIAT UK has promoted current used vehicle boss Simon Wheeler in a new fleet-focused move.

Wheeler now becomes fleet and remarketing director at the firm, in an expansion of his exisiting role. He’ll now be responsible for developing fleet and corporate sales opportunities, alongside his current job of helping Fiat, Alfa Romeo, Abarth and Fiat Professional dealers with used vehicle sales.

‘I am really looking forward to this new role within a company I have not only enjoyed working for but grown to respect,’ said Wheeler. ‘Fiat Group is now a serious force within the UK motor industry and our recent success in the retail channel now deserves to be repeated in the major fleet sectors.’

Punters demand top marques at auction

Be a savvy seller SELLERS are out of pocket to the tune of £500 when it comes to flogging their car, says Manheim Auctions.

Research by the company found that one-in-10 fail to prepare their car before they sell, and ignoring damage can cost dearly.

Damaged alloy wheels and headlights can reduce a car’s value by £150, while cracked windscreens and poorly presented carpets and seats devalue a car by as much £350.

Minor bodywork damage can also cost as much as £250 per panel. ‘It’s imperative that people do everything they can to maximise what their car is worth,’ said Craig Mailey, client services and marketing director, Manheim Auctions.

U

NUSUAL levels of demand for premium cars have been experienced by one of the UK’s leading auctions houses.

BCA Edinburgh has reported ‘extraordinary’ levels of demand for premium motors at a recent BMW Open auction earlier this month.

Two 2008-registered BMW X6 3.5i XDrive Steptronics each fitted with a comprehensive extras

package and with only 20,000 miles on the clock went under the hammer making far more than was expected.

BCA’s guide price was around £30,000. However, when the hammer fell one sold for £58,000 – equivalent to 195 per cent of CAP Clean with the second model achieving £58,500 or 192.1 per cent of CAP Clean.

BCA’s national account manager

Simon Young said: ‘These BMW sales always attract a huge amount of attention from buyers and regularly achieve strong market values on the cars offered.

‘However, the values on these two X6 models are exceptional by any standard and underline the power of auction to maximise values when you put the right product in front of the right buyers.’

The most searched-for cars online in October on...

Compucars

Motoring.co.uk 2

Motoring.co.uk (bodystyle)

ContractHireAndLeasing.com

1 BMW

3 Series

1 Mazda

1 Hatchback

1 Mercedes

2 Ford

Focus

2 Volkswagen Golf

2 4x4

2 Volkswagen Scirocco

3 Vauxhall

Astra

3 Skoda

Yeti

3 Supermini

3 Audi

4 Honda

Civic

4 Suzuki

SX4

4 MPV

4 Volkswagen Golf

5 Mercedes

C Class

5 Ford

Fiesta

5 Saloon

5 Volkswagen Passat CC

6 BMW

1 Series

6 Renault

Clio

6 Estate

6 Audi

A5

7 Ford

Fiesta

7 Ford

Focus

7 Green

7 BMW

5-Series Saloon

8 VW

Golf

8 Mazda

3

8 Cnvertible

8 Land Rover Range Rover Sport

9 Fiat

Punto

9 Nissan

Juke

9 Coupe

9 Jaguar

XF

10 Vauxhall

Corsa

10 Seat

Ibiza

10 BMW

3-Series Saloon

C-Class Saloon Q7

88 | CarDealerMag.co.uk

CarDealerIss33.indd 88

6/11/10 10:49:38

Tough times ahead as sales fall again O ctober saw new car registrations plunge by 22.2 per cent – the worst fall since May 2009 latest SMMT figures report.

The figures reveal that the new car market fell for a fourth successive month, but October’s results were the worse in 2010 – new car registrations in September were ‘only’ down 8.9 per cent in comparison.

However, the October new car market was 2.4 per cent ahead of 2008’s record low figures, and with scrappage volumes removed, October was on a par with the 2009 market.

‘There was a significant fall in October’s new

car registrations, reflecting the impact of the scrappage scheme at this time last year and some deterioration in consumer confidence. Total new car registrations in 2010 are forecast to be 2.026m units, 1.5 per cent up on 2009,’ said Paul Everitt, SMMT chief executive.

Recently Car Dealer reported that key figures in the industry expected quarter four to be tough, with Ford of Great Britain MD, Nigel Sharp, expecting the market to be ‘intensely competitive’.

October’s figures would seem to reflect this.

Everitt added: ‘The industry expects the coming months to be challenging with slow, but steady,

economic growth feeding through to improved confidence and demand during 2011.’

It’s not all doom and gloom, however. The new car market remains 4.8 per cent up over the first 10 months of the year, at 1,767,154 units, while diesel sales reached their best ever monthly market share of 54.7 per cent and year-to-date share of 45.3 per cent. The Ford Fiesta remained the UK’s best seller, but overall figures of small cars were again down.

October’s decline was in line with SMMT expectations for the month. The full year forecast was revised upwards to 2.026m units last month, a modest 1.5 per cent rise over 2009.

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 Saab SEAT Skoda smart Ssangyong Subaru Suzuki Toyota Vauxhall Volkswagen Volvo Other British Other Imports Total

2010

75 843 96 6,616 85 10,034 1 719 82 4,965 0 3 0 19 3,548 16,344 3,146 0 3,057 37 806 104 2,755 1,864 303 61 2,303 4,967 16 3,183 776 5,935 0 44 6,295 599 47 7,495 377 2,083 2,833 375 10 206 926 5,284 15,970 12,814 3,202 77 115 131,495

Year to date (YTD)

% market share

2009

0.06 0.64 0.07 5.03 0.06 7.63 0.00 0.55 0.06 3.78 0.00 0.00 0.00 0.01 2.70 12.43 2.39 0.00 2.32 0.03 0.61 0.08 2.10 1.42 0.23 0.05 1.75 3.78 0.01 2.42 0.59 4.51 0.00 0.03 4.79 0.46 0.04 5.70 0.29 1.58 2.15 0.29 0.01 0.16 0.70 4.02 12.14 9.74 2.44 0.06 0.09

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 64 9,078 553 73 8,438 335 2,409 4,122 573 60 232 2,063 8,136 19,364 11,777 4,557 123 128 168,942

% market share

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 0.04 5.37 0.33 0.04 4.99 0.20 1.43 2.44 0.34 0.04 0.14 1.22 4.82 11.46 6.97 2.70 0.07 0.08

2010

%market share

2009

%market share

1,229 6,949 941 88,355 891 92,083 24 11,942 1,266 64,183 2 168 2 756 47,406 246,770 55,421 4 54,872 158 13,939 1,718 50,278 32,654 5,629 448 40,113 64,187 266 36,003 10,586 77,113 0 684 95,529 5,568 686 83,286 4,554 28,235 35,360 6,730 230 3,284 18,627 77,231 214,593 151,025 33,112 943 1,121 1,767,154

0.07 0.39 0.05 5.00 0.05 5.21 0.00 0.68 0.07 3.63 0.00 0.01 0.00 0.04 2.68 13.96 3.14 0.00 3.11 0.01 0.79 0.10 2.85 1.85 0.32 0.03 2.27 3.63 0.02 2.04 0.60 4.36 0.00 0.04 5.41 0.32 0.04 4.71 0.26 1.60 2.00 0.38 0.01 0.19 1.05 4.37 12.14 8.55 1.87 0.05 0.06

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 64,426 186 496 88,250 4,447 846 49,803 6,991 25,182 29,534 6,711 726 2,977 24,710 88,090 207,256 134,278 27,737 763 1,092 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 0.03 5.23 0.26 0.05 2.95 0.41 1.49 1.75 0.40 0.04 0.18 1.47 5.22 12.29 7.96 1.65 0.05 0.06

% Change

-52.53 21.65 -28.89 -7.83 51.79 24.79 0.00 -34.87 -66.53 -23.07 0.00 -97.20 0.00 -88.82 -46.00 -30.31 -29.93 -100.00 -57.42 362.50 -38.57 -38.10 -51.09 -27.86 -23.68 -10.29 -32.22 -17.01 -72.41 2.02 -16.11 -14.96 -100.00 -31.25 -30.66 8.32 -35.62 -11.18 12.54 -13.53 -31.27 -34.55 -83.33 -11.21 -55.11 -35.05 -17.53 8.81 -29.73 -37.40 -10.16 -22.17

% Change

8.66 -11.23 -12.14 11.05 30.84 11.93 -77.14 -24.87 -45.69 6.45 -94.44 -92.32 -88.24 -66.86 -2.98 -9.45 -15.16 -91.30 14.90 393.75 -8.66 -13.80 24.42 32.43 -15.34 5.91 1.67 7.64 -17.65 9.40 11.15 19.69 -100.00 37.90 8.25 25.21 -18.91 67.23 -34.86 12.12 19.73 0.28 -68.32 10.31 -24.62 -12.33 3.54 12.47 19.38 23.59 2.66 4.81

CarDealerMag.co.uk | 89 CarDealerIss33.indd 89

6/11/10 10:49:39

tail light

Sub-prime time I

’ve just been on holiday during my kid’s half term and I have to say it was decidedly average. For one reason or another we haven’t had a family holiday this year and I was looking forward to it, but the experience was far less than we’d hoped for. Without naming the resort it’s billed as a luxury location offering great family facilities.

I thought we’d arrived at a ghost town. I think the occupancy was between 30 to 40 per cent and it’s clear that the recession has hit some well-known luxury resorts very hard indeed.

It was shabby, staff attitudes were cool to cold, many facilities and restaurants were closed and what was available was excessively expensive for what was being provided. The kids club was quite good fun but even here it was obvious that costs were cut and resources tight. My kids had a fun time regardless; as kids tend to do.

I’m not telling you this simply to share a poor-value experience, which it most clearly was, but to offer my experience as an opportunity for us all to step back and make sure the details that add value to our customer’s service are reviewed, maintained and indeed improved.

As I was walking around the resort I noticed many small examples of ‘rubbish’ left just off the main areas that should have been removed, housekeeping quality not up to the mark, poor food quality, attitudes being wrong, etc. I remarked to my wife that it was clear that someone at a high enough level wasn’t keeping an eye on the little things that add up to a quality feel and experience.

OK so we’re still in a recession and no doubt there have been staff cuts and service cuts throughout the resort. But unless someone is driving quality and focusing on making good with the resources on offer, then staff attitudes will be wrong and customers using the facilities today will think twice about returning in

‘Unless someone is driving quality and focusing on making good with the resources on offer, then staff attitudes will be wrong and customers using the facilities today will think twice about returning.’ the future when the economy is healthy once more. The ‘leaders’ at the resort were clearly not spending time simply walking around, opening their eyes and seeing what’s happening (or more importantly what’s not happening) from their customer’s viewpoint.

For me, letting standards slip is not an option – even if you have to cut overall activities and facilities – but those you do offer have to be right.

Most of the issues in the resort could have been dealt with at a junior level if the staff were inclined to clean properly, cook well, or offer a smile during their conversation, and this could have been kept sharp with good leadership and feedback.

So have a walk around your dealership today and try and look through the eyes of your customers so you can see how to improve the service you’re offering.

Simple and often small improvements add up to a great experience and service.

is chief executive officer of First Response Finance. For Who is don Brough? Don more information visit www.frfl.co.uk or call 0115 946 6370

CarDealer.

PO Box 227 | GOSPORT | PO12 9DE [ISSN 1759-5444] Tel: 023 9252 2434 | carDealerMagazine.co.uk

Editorial Director James Baggott E: james@blackballmedia.co.uk T: 023 9252 2434 W: Twitter.com/CarDealerEd

Commercial Manager Duncan Chappell E: duncan@blackballmedia.co.uk T: 023 9252 2434 W: Twitter.com/CarDealerAds

Staff writer James Batchelor E: james.batchelor @blackballmedia.co.uk W: Twitter.com/JRRBatchelor

Sales Executive Jade Simmonds E: jade@blackballmedia.co.uk T: 023 9252 2434 W: Twitter.com/CarDealerJade

Thanks to...

Richard Aucock, Chris Jervis, Mike Askew, Linda Baggott, Simon Evans, Tim Naylor, Martin Hill, Dean Smith and Matt Richardson

Car Dealer is published

by Blackball Media Ltd (Company No 6473855) and printed

by Warners. All rights reserved. Conditions of sale and supply include the fact Car Dealer shall not, without our consent, be lent, resold, hired out or otherwise disposed of in a mutilated way or in any unauthorised cover by way of trade or affixed to or as any part of a publication or advertising, literary or pictorial matter whatsoever.

Car Dealer is fully protected by copyright and nothing may be printed wholly or in part without permission.

Subscriptions to Car Dealer are £24.99 per year. To register for your free trial issue, log on to CarDealerMag.co.uk and click on ‘Subscribe’ You can pay by credit or debit card on our website, or send us a cheque to the address above made payable to ‘Blackball Media Ltd’

90 | CarDealerMag.co.uk CarDealerIss33.indd 90

6/11/10 10:49:41

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

CarDealerIss33.indd 91

6/11/10 10:49:41

e bl la I ai HP av y gh nl u O hro t

Free 7 day insurance The key to speeding up sales The HPI Driveaway scheme benefits both you and your customers.

You can offer your customers 7 days’ FREE motor insurance underwritten by Aviva, and you get a covernote within an hour so you can tax the car and complete the sale.

FREE 7 days’ insurance will:

Increase the speed of stock turnover Increase customer satisfaction

Great benefits for your customers:

Help you close the deal

7 Days’ Free Cover

Comprehensive benefits

24 hour claims helpline

�

Up to £500 cover for audio equipment

�

Personal possessions cover (up to £150)

�

Child seat cover (up to £100 per seat)

�

Manufacturer fitted options covered as standard

�

Make the most of every sale...

Call us now

0845 301 1813

hpi driveaway The free 7 day insurance

Driveaway cover from Aviva is underwritten by Aviva Insurance UK Limited. Registered Office: 8 Surrey Street, Norwich NR1 3NG. Registered in England No. 99122. Authorised and regulated by the Financial Services Authority. For the purpose of the Data Protection Act 1998, the data controller in relation to any personal data you supply is Aviva Insurance UK Limited. For our joint protection calls may be recorded and/or monitored.

Cover not available in N. Ireland. Age restrictions apply. Aviva may decline to quote for the annual policy in some circumstances, meaning that the 7 days’ complimentary cover cannot be given. Only one 7 day free policy is permitted per customer per vehicle registration number. Calls will be charged at local rate and may be recorded and/or monitored. HPI and the HPI logo are registered trademarks of HPI Limited. HPI is a Solera company. * Dependent on volumes.

CD_DW_0510

CarDealerIss33.indd 92

6/11/10 10:49:41