Car Dealer Magazine: Issue 52 by Blackball Media

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SMALL TORQUE

Issue 52 | July 2012 | CarDealerMag.co.uk | £3.50

City cars are booming, so we pitch the best against the new VW pretender

Featuring Volkswagen Up! • Renault Twingo • Peugeot 107 Hyundai i10 • Nissan Pixo •Kia Picanto Chevrolet Spark • Fiat Panda • Toyota Aygo

One car, six cities, four days Skoda Citigo: We take our favourite city car on the ultimate European tour. Is it still the one to beat?

Boxster tested

Plus: New MD interviewed

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IGNITION.

Editorial Director James Baggott james@blackballmedia.co.uk Twitter: @CarDealerEd STAFF WRITER James Batchelor james.batchelor@blackballmedia.co.uk Twitter: @jrrbatchelor Sub Editor Dave Brown dave@blackballmedia.co.uk Twitter: @CarDealerDave ADVERTISING Manager Duncan Chappell duncan@blackballmedia.co.uk Twitter: @CarDealerAds Advertising EXECUTIVE Jade Simmonds jade@blackballmedia.co.uk Twitter: @CarDealerJade Advertising EXECUTIVE Natasha Smith natasha@blackballmedia.co.uk Twitter: @CarDealerTash

Contributors Mike Jones, Big Mike, James Litton, Tim Naylor, Tim Smith, Tim Heavisides and Jonathan Such

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you want proof car Welcome. Ifbuyers are downsizing

in their droves, look no further than the new car registration figures from last month. The SMMT stats show a staggering 85.8 per cent rise in city car sales in May. That’s quite an increase. And that’s no new thing. City car sales have been on the up for some time. It goes hand in hand with a difficult economy and buyers’ needs to tighten belts. It also helps that opting for a city car is no longer the sacrifice it once was. We booked in nine cars for our mega test and I’d have been more than happy to take any on a long journey. And that’s an important message to get across to buyers – downsizing doesn’t have to mean compromising. Modern city cars now come with luxuries like sat nav, Bluetooth and air con – and despite their diminutive engines they can still be good fun to drive. Although dealers make little money selling them, it’s the volumes and aftersales opportunities that they can haul in that are key. One Hyundai dealer told me they make a pittance on i10s but by being clever with their packages – finance, paint protection and, in particular, servicing schemes – they manage to make a decent return. Selling city cars shouldn’t be about the profit that’s in the car all the time, they should also be seen as a marketing exercise. They’re a great way to give new buyers a taste of your brand and your dealership’s services, and if you play it right, they’ll be back to trade up for something else in three years’ time. Play it really right and you’ll snare a customer for life – especially if they’re a youngster buying for the first time. CITITOUR to prove what I say above isn’t complete rubbish, Batch and I embarked on one almighty pan-European road trip

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in Skoda’s latest baby, the Citigo. It’s the sixth model to join the Czech firm’s range so to mark that we visited six European capital cities (see what we did there?). As you’ll read in our piece, I wasn’t exactly looking forward to spending four days and more than 1,200 miles in a city car on a route which largely consisted of motorways, but to be honest I was amazed at how competent the little car was. Not only was it comfortable, but it was also enjoyable to drive in all situations. Even on Germany’s Autobahns it excelled, flying along with the best of the executive saloons. I came away from the trip convinced that Skoda’s target of shifting 8,000 a year was probably rather conservative. It’s easily the one I’d pick out of the Up!/Mii/ Citigo trio and I’m sure many buyers will be making the same choice too. If you’re a Skoda dealer prepare for some very good times ahead… LEAD GENERATION Last month we held our second conference at the Heritage Motor Museum at Gaydon. It was extremely popular with dealers hearing from a fantastic line-up of speakers about how they can make the most out of every lead that comes into their showroom. For those of you that weren’t able to make the event, in this issue we report on the speeches and the fantastic advice given out. And for those of you reading this on our iPad edition (which remember is free if you haven’t downloaded it), you can hear the speakers give their advice on video too. Enjoy the issue!

James Baggott, Editor

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PAINT AND FABRIC PROTECTION

IMPORTANT NOTICE As the UK market leader in automotive paint and fabric protection products, Supagard would like to give a sincere vote of thanks to all those manufacturers, dealer groups and individual dealers who have had faith in both us and our products for the last 24 years and so helped make Supagard the successful company that it is today. We’ve been so successful in fact, that to ‘Supagard’ your car has almost become the dictionary definition for paint protection in the same way that you ‘hoover’ a carpet and millions of happy customers ask for Supagard every time they change their car. But we don’t like to rest on our laurels as we know that some of our competitors will promise you the moon to try to win your business, so our policy is one of continuous research and development using the latest technology to bring the best products and the best service to our customers.

In that spirit, this year sees the launch of new product ranges, new branding, new websites, new literature and new showroom point of sale – and in keeping with the times, we’ve got new apps coming too. All have been developed to maintain the high standards that we set for both our products and our staff, but more importantly, for both you and your customers. Finding a paint and fabric protection system you can rely on isn’t rocket science, it’s SFBMMZ WFSZ TJNQMF - you buy tried and tested products from a tried and tested company. Over 20 manufacturers and over 75 dealer groups have been doing this for over 24 years and we’d like to give a sincere vote of thanks to all of them - so here’s to a great future from all of us at Supagard, the nation’s favourite paint and fabric protection supplier.

Supagard Limited 19-27 Gavinton Street, Muirend, Glasgow G44 3EF Tel: 0141 633 5933. Fax: 0141 637 7219

www.supagard.co.uk

Join Car Dealer Club by visiting CarDealerClub.com Members get free legal advice worth £195 for a £39.99 subscription

INSIDE. ISSUE 52 I JULY 2012

dashboard

Lead Generation Event Round-up 08

City cars

New challenger takes on rivals

Boxster

As good as a 911? Sort of...

CitiTour

1,200 miles in a Citigo

‘‘ 52

Brewer hits back in charity quest

Lead generation Full report on our big event

What’s happening at Lotus

Volvo’s New MD

JCT600’s John Tordoff

That Was The Month

Economy challenge

Bangers4BEN

Finance

Around The World

Big Mike

Car Dealer Club

forecourt

We’re not as cut-throat as a plc as we’re a family business.

£50 car challenge

British Gas joins EV charge

Interview: JCT600’s John Tordoff

Porsche Boxster

City Cars Test

features CitiTour: European Road Trip

The £50 Car Challenge

Lead Generation Event Report

Lead Generation Feature

DATA FILE The Statistics with Motors.co.uk

Right Click

Auto Trader

Auctions

Net Gains

Long Termers

Suppliers Guide with Batch

Trader Directory with James Litton 92

a month in A picture...

Batch and I have been on a European tour in a Skoda Citigo. You can read all about our trip on p46 and if you’re reading this issue on your iPad can watch the video too. If you’re not, go to our YouTube channel to take a look. It’s worth it, for one reason alone: Coffeegate. During an innocuous chat about the Skoda, Batch decided to pour half a cup of coffee all over himself. Thankfully it was all captured on camera. Hilarious.

Workshops

Time is Money

CarDealerMag.co.uk | 05

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

Lead generation event praise JUST a quick note to thank you and your team along with all the speakers who made the Lead Generation event a great success today… some really interesting insight and opinions, so well worth attending. Tim Wellman, via email

Supercar war hots up

Ferrari is the super power and McLaren is a rubbish copy wannabe of the Ferrari 360 Modena. They may be beating Ferrari in the F1 at the moment, but their road cars are put to shame by Ferrari no matter how many times they go head to head. Unleashed, via CarDealerMag.co.uk Ferrari insist that all media test drives are taken in ‘factory-prepared’ cars, which I know from personal experience are not representative of the cars that customers buy!! InTheKnow, via CarDealerMag.co.uk

Ellesmere saved

Ellesmere Port being saved from the chop really is good news – and must be welcome relief for all of those workers. It’s also great news that the new Astra will be built there, safeguarding employees’ futures. While this is a good sign that British manufacturing is doing well at the moment, I’m not sure customers actually know the Astra – or indeed other cars like the Nissan Qashqai or Toyota Avensis – are actually built here. I certainly make sure I tell my customers, but do other dealers? If the public are told, Britain would be selling even more cars. Barry Williams, via email

twitter comments

Sales rose 7.8 per cent in May. Discuss... May was the largest percentage rise for new registrations for 23 months – so is this a sign once and for all that the new car market is heading back to the good old days? This is what Twitter had to say....

The rise is very welcome! Last year was poor to be fair but the woes of Europe equals more volume to UK. Via @vertumotors

We NEED to stick two fingers up to the nay sayers and buy stuff in order to GET OUT of the recession. Via @jonbradbury Activity suggests this month could give a similar number of registrations. Via @carmangear

People downsizing to more economical cars? I wonder if the range of good finance offers available is having a big impact. Via @TophaTron

Coming off a pretty low baseline it does not mean a great deal, one cuckoo does not make a spring, but one green shoot maybe? Via @darrenporter

Suggests nobody really gives a stuff we’re in recession again... Via @anthonyingram

People have stopped listening to Robert Peston and are now getting on with their lives. Via @RabyPorsche

Mazda and Fiat roadster I must say I was surprised to read this on your website, but I think it’s probably for the best. In these times of platform sharing and shared development costs, it makes sense for two big firms to build a similar car that targets the same market. I know a lot of petrol heads would say that

a Mazda MX-5 and a Fiat Group car – a new Alfa Spider? – should be kept apart as they are iconic in their own right. But we should be thankful that these two brands have plans to build such cars in the first place. As long as the two cars are styled differently, customers won’t know.

Sandra Taylor, via email

MY CONFESSION

Well and truly corked I USED to work at a small Volkswagen dealership on the outskirts of London. It was a friendly place, the boss was easy-going and we sold a fair amount of cars. All in all, it was a nice place to work really. One Friday, I was allowed to use a new Transporter. The boss rarely handed over a set of keys to me so I accepted the offer gladly and decided to take my mates out. We went down to Cornwall for a stag do and general antics in Newquay. I let my mate drive as I wanted a rest, and a drink! It had been a tough week – I’d sold a good number of cars. First bad move. By the time we got to Salisbury, we were all smashed, bar the

driver obviously. I thought it would be a good idea to drive down these A-roads with the sliding doors open, that way if some of the empty beer cans fell out, it wasn’t really our fault. Second bad move. We now thought that when we were at traffic lights, it would be fun to show everyone else just how much fun we were having. Pulling up beside families off on their sunny weekend camping trip while throwing a blow-up doll around, rubbish spilling out, music at festival loudness and generally being unruly was fun at the time. Third bad move. We had a few bottles of champagne, we wanted to open them so what should we do with

the corks flying off? Out the door, obviously! It was, as I said, a sunny day and there were a lot of cyclists out. Now I wasn’t aiming for him, that cork had a mind of its own! That was the fourth bad move. About an hour later and another four beers, my phone rings, it’s my boss. I answered; the fifth bad move. ‘I’ve just had a call from the police,’ he said. My boss rattled off everything we had done in the past few hours. Four reports of hooliganism… including one of firing missiles at cyclists. ‘Enjoy your weekend, it’s the first of lots of free days for you…’ Yeah, I got fired. OB, Winchester CarDealerMag.co.uk | 07

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Heavisides

warranty wonders

News that shows how competitive we can be

Second event puts the focus on those all-important leads

he car industry is always full of surprises but recent months seem to have held even more encouraging news for our market than usual and show just what a dynamic and evolving environment we work in. Vehicle production in the UK is at its healthiest level for years and in the first four months of 2012, we exported an astonishing 80 per cent of what was built here. And to demonstrate that the news on production isn’t a flash in the pan, we’ve seen manufacturers almost queuing up to announce long-term futures for their UK plants. Nissan’s news that they’ll be building their new model in Sunderland is a fantastic boost for the industry and underlines just how competitive the UK can be in a global market. To reinforce that message further, Jaguar Land Rover’s investment in the Halewood plant and GM’s commitment to Ellesmere Port confirms just what a great proposition the UK motor industry offers to manufacturers and what a strong contribution it makes to the UK economy. News like this along with the announcement of fantastic new vehicles from a whole host of manufacturers helps stoke the fire of our market, generating interest and bringing customers into showrooms. As buyers, customers have never had it so good and as an industry we need to capitalise on that great collective press. It’s easy to get drawn into the doom and gloom of the news reports about the state of the economy, but with so much buoyant and positive press, customers will be spending more wisely even if they aren’t spending more. And we hope it’s a great time to be a dealer. Great products, the early signs of improving customer sales, a buoyant used car market and fantastic opportunities to upsell once a customer buys; times might be changing slowly, but the fact is they are changing. Maybe that’s something we shouldn’t be too surprised at.

‘Times might be changing slowly, but the fact is they are changing’

Who is Tim Heavisides?

Heavisides is CEO of Car Care Plan, the UK’s leading provider of motor warranty and GAP products. 08 | CarDealerMag.co.uk

Allen Scott got the event under way

Useful advice given to delegates at Car Dealer conference

ar Dealer held its second successful event recently – a lead generation conference with eight keynote speakers advising dealers on the best ways to win new business. Staged in association with Razsor, the event attracted delegates from all over the UK who were given advice from representatives of organisations including Google, CitNOW, Autotrademail and Contact Advantage. Opening the event was Allen Scott, former marketing director of international automotive retailer Inchcape. He reminded his audience that lead generation is a key function for every car dealer. He added: ‘As we know, businesses need to grow to survive. To grow, they need to give outstanding customer service to existing customers. It’s also hugely important that we bring in new business… it’s our lifeblood. ‘And this is where lead generation plays such an important part. We must record information, we must gather it and we must use it in productive ways. Lead generation is a key function for every car dealer.’ Scott went on to explain more about how leads are found and acted on, saying that put simply, lead generation involves ‘creating a list of people to talk to’. He added: ‘We have our products and services and we’re looking for like-minded people we can sell those products and services to.

‘There are many ways we can gather information, from simple word-of-mouth to systematically contacting tens of thousands of people through co-ordinated CRM programmes. Lead generation helps those responsible for customer contact and making sales and really should keep all businesses operating at their peak. ‘The trick is to take potential customers and turn them into new customers. Lead generation can help you understand your customers and potential customers. It helps you profile them, helps you contact them and helps you with demographic data to ensure that we’re satisfying customer requirements. By using it properly, you can really make your business grow.’ Turning his attention to the management of this all-important information, he said: ‘You need software programmes to help you. ‘Customers can choose how they come into your business. It’s not just about us going out there and gathering them. They might walk in, they might telephone, they might use the internet. In this day and age, we have got to have a programme in place for each one of those. ‘And distance selling has never been more important. ‘It’s absolutely critical that you have defined processes in place for each of the ways that customers can interact with us. We also need to have KPIs and continually monitor the effectiveness – and the costs.’ Car Dealer’s next event is on October 24 and will combine our popular Ewards with an online experts conference. If you would like to get involved, email Car Dealer editor James Baggott at james@blackballmedia.co.uk Reports from our lead generation conference run from pages 54-65

motors.co.uk The used car site that’s used more.

With over 3,500 dealers advertising 160,000 cars, motors.co.uk is the UK’s second biggest used car network. Every month, 1.35 million car buyers use it to search for a car, plus it reaches a further 19 million readers weekly via our regional news partners. Now, isn’t that useful?

There are many ways to search at

Your search ends here. Traffic ﬁgure: comScore October 2011

dashboard.

British Gas, a perfect Electric motoring is here to stay. Many car manufacturers are taking a lead, and one of our bestknown energy suppliers is joining the charge too. Dave Brown reports

hink British Gas and a range of products and services will probably spring to mind. Energy supply, boilers, central heating and home insulation are just a few of the areas where the company is perhaps Britain’s best-known and most trusted brand. But there’s another area where British Gas is playing a leading role: The adoption of electric vehicle technology in the UK. British Gas has been chosen to work with several major motor manufacturers in this crucial and ever-growing area, and is ‘walking the walk’ itself, with all-electric Nissan Leafs used as pool and company cars, and plans afoot to introduce hundreds of electric LCVs into its fleet of vehicles in the very near future. It’s exciting stuff and British Gas claims to be way ahead of other energy companies in this area. But why would British Gas be into electric vehicles? Surely it’s a departure from their traditional home-based offerings? Well, look a little more closely and it all makes perfect sense – and it all fits neatly with the company’s stated aim to make the world a more sustainable place for the future. Dan Taylor, director of new ventures at British Gas, and the man who oversees all EV activity at the company, told Car Dealer: ‘We see electric cars as a market that is really going to grow over the next few years. We have witnessed increased pressure over CO2 emissions, huge investment by car manufacturers and significant advances in technology. ‘That’s all beginning to add up – for certain customers, not all – and we think this market will start to take off. ‘We’re obviously very supportive in that respect but our mission is very much around looking after customers and looking after their world. EV is a great new way of helping them save money, manage their fuel costs and become greener.’ Now, obviously, if your customers want to buy an electric car, they aren’t going to approach British Gas. But you’ll know that Nissan, Renault, Vauxhall and others are all making huge strides in this area so there is plenty of choice out there. But what about charging? This is where a car dealership might not have the necessary expertise to advise clients. But with British Gas as 10 | CarDealerMag.co.uk

their partner, that issue is resolved as quickly as flicking a switch. British Gas has a range of charging solutions available and can work with your clients to work out which is the right one for them. In most domestic instances, that will be the ‘single wall box charger’, which provides EV charging on a dedicated circuit to ensure your buyer’s home electrical installation is not overloaded. ‘We’ve got a strong range of products,’ said Dan Taylor. ‘And we have that ability to be technologically agnostic – ie, have more than one charging solution – so we can offer a range of options and advise people on what is right for them. ‘We’ll come out and do a free no-obligation survey. That’s for both residential and commercial

‘‘

customers. People don’t realise that every home is different – they all have different wiring, they park their cars in different places – actually there may be different solutions required for two houses that look quite similar.’ OK, so that’s your customer’s charging point sorted... and once that’s all in place they can look forward to years of green, economical motoring. And electric motoring can be VERY cheap. You might have heard about Red Dwarf star Robert Llewellyn who drove for 1,000 miles in his Nissan Leaf for just £5 thanks to solar energy. But how will your customers know exactly how much they are spending getting from A to B in their clean, green, driving machine? Good question, says Dan

EV is a great new way of helping customers save money, manage their fuel costs and become greener.

Download our App here: bit.ly/CarDealeriPad

EV energy partner GOING SOLAR

Helping car buyers and assisting dealerships too SO British Gas is the natural choice to work with your customers ... but think about what the company could do for you! ‘Some people want a bit of bling so we’ve got these solar canopies which the EV is parked under. They’re really good for demonstrating to customers,’ Dan Taylor, pictured, told us. ‘And solar panels work well for a lot of dealerships as they often have a considerable roof area. ‘Not only have we done this for dealerships, we have put solar panels on Toyota’s factory in Burnaston, Derby, which power pretty much the whole factory. We can go right from residential scale up to that sort of level.’

When it comes to electric motoring, British Gas is leading by example Taylor. ‘If you have a petrol car, you fill it up and know exactly how much that costs,’ he told us. ‘But when it comes to electricity, you might be getting an estimated bill once a quarter. ‘This is where our time-of-use tariff comes in. It’s something we have recently introduced and is a way of moving people away from charging their electric car at peak times and bringing down their carbon impact. TAKING GREATER CONTROL ‘It also helps us because if we can smooth the pattern of the electricity generation on the grid, we can manage our costs better as an industry. ‘We’ve allied it to our ‘‘smart meter’’ offer. The installation of smart meters in the UK is mandated by the Government and by 2019, every home in the UK will have a smart meter installed within their home. These new state-of-the-art smart meters will allow consumers to monitor the energy they’re using in real time, in pounds and pence, and will even allow consumers to set their own daily energy usage targets. Smart

meters will help consumers take greater control of the energy they use, ending estimated bills, and helping reduce usage. ‘Twenty hours of the day are at a discount and then the four peak hours are at a slight premium under the time-of-use tariff,’ said Taylor. ‘If, for example, you’ve got a Nissan Leaf, and you do a full charge during our offpeak period, you can save yourself £1 which is around 30 per cent of the cost, so a massive saving. This arrangement allows people to really make the most of the potential for cheap and green motoring.’ The role British Gas can play as

electric vehicles become more and more popular cannot be over-estimated. Says Dan Taylor: ‘It’s really important for dealerships who are selling EVs to have somebody like us to be able to help customers and provide advice. And don’t forget we can put charging points into dealerships too. ‘We have a process with most of our partners where we have a stand in the dealership with a British Gas brochure on it that will help customers understand the issues. There is a wealth of information for them and a number they can call for advice. ‘We offer a training package to dealerships as well. We keep them updated and make sure that they understand all the latest offers so that they feel confident and comfortable with what they are talking about.’ So far, British Gas has worked principally with major OEMs such as Nissan and Renault but the company is more than happy to go down the EV route with individual dealerships. So if you’re thinking about introducing or strengthening an EV offering, it’s definitely worth giving British Gas a call. You’re sure to form a powerful partnership. [CD] For more information, visit britishgas.co.uk/electricvehicles or email EVenquiries@britishgas.co.uk CarDealerMag.co.uk | 11

Congratulations to the UKâ&#x20AC;&#x2122;s most trusted garages.

British motorists have named their most trusted large and small garages in the UK. Our congratulations go to Reynolds of Selby, North Yorkshire, for winning the large business category and ABP Motorsport, Shavington, Cheshire for winning the small business category. Visit motorcodes.co.uk to see the regional winners, other highly commended garages and everybody who made it onto the Top 100 list.

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Bentley appoints new chairman and chief executive bit.ly/Bentleychairman

‘Customers want smaller cars and ours is one of the best’ Skoda bosses have high hopes for the ‘tremendously important’ Citigo Left, the Skoda Citigo, and below Alasdair Stewart

koda UK chiefs have told Car Dealer they have high expectations for their newest model, the Citigo. ‘To be expanding our product line-up right now with a car like the Citigo, with the city car segment experiencing such a boom in the UK, is tremendously exciting,’ Skoda’s new brand director, Alasdair Stewart, told us. ‘There is a clear trend in the UK towards customers demanding smaller, more economical cars and we believe we have one of the best on the market. ‘This is an extremely important model for us, it’s the first of our cars to display the revised Skoda ‘‘winged arrow’’ corporate badge, and displays some of the design language that customers can expect from our models in the years to come. These are notable milestones that illustrate the huge significance that the Citigo holds for the company,’ Stewart added. The Citigo is the first three-door fullproduction car in Skoda’s history – and, like other new sectors such as SUV ably filled by the Skoda Yeti, the Czech brand is confident it will be successful in another new sector. ‘The A-segment is completely new to Skoda and our entry into this arena

Hyundai sites in trouble SEWARD’S Hyundai dealerships in Christchurch and Salisbury have gone into administration. The closures are a knock-on effect from the earlier administration of the brand’s Vauxhall and Chevrolet sites. Those dealerships were recently bought by the Eden group. ‘We are quite a way down the line with finding another partner for both sites,’ added a spokesman for Hyundai.

NEW BUILD marks a new era,’ explained Stewart. ‘The Citigo is aimed at younger drivers and families looking for a second car; providing an entry-level model will help us to reach new customers and will make Skoda accessible to many more people.’ Stewart, who replaced Robert Hazelwood in May, is also clear Skoda’s new baby car will bolster Skoda UK’s already-strong sales achievements. ‘Last year was a record year for Skoda UK, in which the brand achieved 45,000 registrations and a 2.3 per cent market share,’ said Stewart. ‘However, if we are to meet our goals to deliver 78,000 registrations by 2015 then we need to keep challenging ourselves to meet the needs of a much broader range of consumers. ‘Broader appeal and an added emphasis on consumer choice will be

New Vauxhall Brand Centre key to this process.’ It’s not just the boss who’s happy either – Skoda’s dealers are too. ‘The feedback from has been overwhelmingly positive,’ Duncan Movassaghi, Skoda UK’s head of operations, told us. ‘Our retailers’ overall impression was that when compared to other leading models in the segment, Citigo outpaced them on performance, specification and quality. ‘We have been careful to position Citigo as a real competitor for best in class,’ added Movassaghi. FInd out how we got on with Skoda’s Citigo on our European tour, turn to p46

Sports car maker Lotus dismisses chief exec CHIEF executive of Group Lotus, Dany Bahar, has been sacked following an investigation into how he ran the sports car company. Though no reason for the dismissal has been given, it is thought to relate to expenses. Bahar has been replaced by Aslam Farikullah, 51, who takes the role of chief operating officer. Group Lotus appointed Bahar in 2009 from Ferrari, and in 2010 the marque unveiled ambitious plans for six new models at the Paris Motor Show as part of a five-year turnaround plan. Since then the firm has concentrated on just one of those

SEWARD

models, the Espirit, while introducing revised versions of the Elise, Exige and Evora, and has been developing its own gearbox and engine. Doubt was cast earlier this year when Lotus’ long-time owners, Proton, sold the British outfit to DRB-Hicom – but the boss of the

firm has issued positive words to silence doubters. In a statement Mohd Khamil Jamil, managing director of DRBHicom, said: ‘I would like to assure you that we remain committed to ensure the ongoing and future business operations of the Lotus Group as we take the [Lotus Group] to the next level to remain relevant in the global automotive industry.’ What Bahar’s dismissal means to Lotus’ dealer network and the 1,200 staff employed at its headquarters in Hethel, remains unclear. Car Dealer contacted Lotus for a comment, but as we went to press, Lotus had failed to respond.

BRISTOL Street Motors in Chingford has opened the doors of its newly-built Vauxhall Brand Centre. Vertu Motors, the parent company of national brand Bristol Street Motors, has overseen the £5m investment in the twostorey state-of-the-art showroom located adjacent to the North Circular Road. New jobs were created as part of the investment including parts advisors, technicians and sales executives. The new recruits will work alongside the existing Vauxhall business team, who have transferred from Gants Hill in Ilford.

SALES WINNER

Eco-boost for Ford Focus THE new Ford Focus 1.0-litre EcoBoost model accounted for 17 per cent of the company’s sales in April – its first full month of being available – which equates to almost 1,000 cars sold. Overall UK orders for the engine in the Focus currently stand at more than 25 per cent of sales. The engine is classleading in fuel economy and CO2 emissions. CarDealerMag.co.uk | 13

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CRAcKING THE CODE

Use us to make an instant impact with your website

easuring how your customers find your online presence is increasingly important and taking some simple but effective steps can get your business up the search engine rankings – precisely where increasing numbers of potential customers are looking. Firstly, it’s important to remember that when we’re talking about increasing web traffic, I’m not talking about simply looking at the number of hits you get. That’s all very good for pub talk but checking how people are finding your website starts to add some quantifiable value and will transform your marketing focus. Importantly, we know that 70 per cent of all visits to the Motor Codes site come via search engines. Where we add value for our subscribers is that these search engineled hits deliver around 95,000 people every month to your Motor Codes profile pages. That’s a lot of potential business. This really is where your Motor Codes subscription starts to work for you and not only will it support your marketing efforts but deliver you new business. And the beauty is it’s exceptionally easy to make an instant impact. Last month I challenged Motor Codes subscribers to make use of the free advertising space on your profile page and well done to those that did so – the pages look great. We know that garages who use this facility come higher up search engine rankings – often page one of Google. This month, try enhancing things with another experiment. Ask each of your customers to complete the Motor Codes survey. Really go for it and see if you can get a good percentage of people leaving feedback. After a month, log in to your personal area on the Motor Codes site and compare the number of hits your profile page received after you uploaded an advert and then, again, after you have pushed a month’s worth of customer surveys through. I think you’ll be pleasantly surprised. Well-populated Motor Codes profile pages, containing links to service offers and consumer feedback ratings rank highly on search engines. Fact. Higher rankings on search engines mean more customers. Fact.

‘Ask each of your customers to complete the Motor Codes survey.’

Who is Chris Mason?

Mason is managing director at Motor Codes, the government-backed, self-regulatory body for the motor industry. 16 | CarDealerMag.co.uk

Exclusive: ‘Volvo will be losing dealers as we move upmarket’ But new MD Connor promises more profit through new product

olvo’s new managing director has exclusively revealed to Car Dealer that the company will axe dealers as part of a plan to move itself in a new direction, and to keep in line with changing customer behaviour. Nick Connor, who was appointed to the top job last month, told us: ‘We have some bold plans for the nextwork, but we’re not preposing to transform it overnight. ‘We are very focused on making sure the network reflects a contemportary luxury experience. We are in a transition period where we are changing from a semi-premium brand in the UK to a true premium brand that delivers a unique Scandinavian experience.’ This change in market positioning will require investment by Volvo dealers, and in return the Swedish brand aims to deliver measurable volume and profit growth – but it will come at the cost of the size of the dealer network. ‘It means we will have to slightly reduce the number of dealers,’ revealed Connor. ‘We currently have 110 dealers and over the next eight years that figure will come down to 90, with throughput going up from 300 to somewhere north of 450 cars.’ Connor is keen to point out, however, that the cuts are not the result of a large, unprofitable network but as part of plans to push the brand in a new direction and reflect changing consumer buying patterns. ‘We have representation that is historically based,’ he said, ‘and with the market continually changing, customers’ buying habits change. ‘Customers expect a really outstanding experience when they are buying an expensive product, and we need to reflect the investment they are making in Volvo in the experience we give to them. ‘I don’t think we need 110 outlets to give that experience; customers travel these days so they do not need a Volvo dealer on their doorstep. What we do need, though, is to

maintain a proper aftersales structure so servicing will remain local.’ Stern as they sound, Connor’s sentiments come before a crucial year for the Swedish company. New product in the shape of V40 (pictured) and V60 plug-in hybrid will see the brand returning to both old and new sectors, and are likely to be a welcome boost to dealer margins. ‘The V40 order book is building,’ said Connor. ‘It is more than enough to deliver the couple of thousand cars we’ve got planned this year. Frankly we could sell more than we are getting – but this year’s task really is to build a strong order bank for next year. I’ve set ourselves an internal objective of 3-4,000 orders for the end of this year, so we go into the first quarter of 2013 fully covered.’ Connor also told us that his allocation of 125 V60 plug-in hybrids this year have ‘pretty much’ been sold despite dealers not currently being able to place customer orders, and that dealers had expressed ‘frustration’ at this, but added: ‘We have got a finite capacity over the next nine months. Some markets haven’t got any cars at all, and we’re the only right hand drive market to have them – so we believe ourselves to be fortunate.’ Connor went on to say the V60 plug-in hybrid will be used as a ‘halo car to promote the brand and the second-to-none customer experience.’ Connor’s objectives are the same as the brand’s, too. ‘I haven’t come to the brand – I’ve been here far too long. Our targets are to deliver our volume objectives which is around 35,500 cars – 40,000 next year – for our market share to rise to 1.75 per cent this year, and to deliver at least one per cent return-on-sales for our dealers,’ he added.

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INTERVIEW

Tordoff: I’m a people person John Tordoff, managing director of JCT600, believes good staff are key. Dave Brown reports

JOHN TORDOFF ON...

t’s a bit of a cliche as interview questions go, but we ask it anyway. We’re sitting opposite John Tordoff, the managing director of JCT600. It’s a hugely successful motor sales group that represents 21 brands across 32 dealerships, many of which are in Yorkshire and Lincolnshire. So here goes: ‘What’s the best piece of advice you’ve ever been given?’ The answer’s immediate. ‘It’s all about the people.’ Sounds obvious maybe, but Tordoff should know what he’s talking about. After all, he employs 1,350 staff in a business that includes Porsche, Ferrari, Volkswagen, Mini and Aston Martin showrooms. And the company is expanding despite the double-dip recession. Its portfolio of Audi dealerships has been growing at a rapid pace recently and it opened its first Kia dealership – in Castleford – in January. ‘We represent some great brands and we’ve got some fantastic facilities,’ Tordoff told us. ‘But it all means nothing unless you’ve got the right team

‘We represent some great brands and we’ve got some fantastic facilities.’ of people in the business. We’ve got some pretty average brands in some pretty average dealerships to be honest. But put a great team of people in there and boy, do they make it work. ‘The sign above the door and having a good location is great but it counts for nothing if you’ve got a lousy team of people. And we’re fortunate in that we’ve got some great staff.’ JCT600 takes an interesting approach to recruitment and it’s one that would appear to be paying dividends, especially on the sales side – the company’s turnover leapt to £623m in 2011, as reported in last month’s edition of Car Dealer. ‘We’re spending a lot of money investing in staff in terms of their training and development,’ Tordoff said. ‘Most of our best staff – not all – have grown up within the business. They have started on the shop floor, then gone on to management, then general management and even on to director level. ‘They get what we’re about because they’ve seen it from the shop floor and grown up with it. They don’t have anybody else’s bad habits that we need to knock out of them.’ Last year, JCT600 launched its own trainee sales

... being a family business: ‘Our family ethic runs throughout the business. Sometimes though, that’s to our detriment because when things go wrong, we’re not as cut-throat as perhaps a plc would be.’ ... the internet: ‘We’re just about to launch our mobile website. We’ve been at the leading edge of the internet within the motor trade. We run TV ads that just say, ‘‘go to the website’’. You ignore it at your peril.’ ... going green: ‘We invested £400,000 in solar panels at three dealerships and we’re looking at putting them on a few more. When we had all the sunny weather in March, people were

executive programme and Tordoff is hoping that by the end of 2012, between 20 and 25 per cent of its sales execs will be home-grown. ‘We’ve uncovered some real gems,’ he said. ‘We’re finding young people with the right attitude and we can give them the skills. ‘If you’ve got good social skills and good people skills we can teach you the rest. We have found some real young nuggets who are starting to give the more experienced old hands a run for their money. It really is a breath of fresh air. ‘The way it normally works is that we take them from the age of 20-25, with no motor trade experience at all. A lot of them are graduates and have found that life after university isn’t as good as they thought it was going to be. ‘We give them a proper salary, don’t pay them any commission and give them a little company car. However, they have to work the hours required, and that finds some of them out. ‘This industry is littered with sales execs who have worked in the industry all their life but they never last anywhere more than 12 months and just bounce around from job to job. I want young sales execs who have got the right attitude and the right behaviours who want a career with us.

getting quite excited by how quickly the meter was turning!’ ... the economy: ‘We are in a better place than where we thought we might be. But we’re a long, long way from being where we once were. I don’t think anything is going to happen overnight that is suddenly going to switch everything back on again.’ ... the next generation: ‘My eldest son Sam is working in the business and represents the company as a semi-professional racing driver. My second eldest son Joe is in sales. And my brother has two sons, Jack and James, who are both now in the business.’

‘This is the only industry that I know of where you can leave school with no qualifications but by the time you’re 40, you can be earning £100,000 a year. There aren’t many industries out there like that. It’s the best-kept secret in the world.’ We spoke to Tordoff at the opening of JCT600’s new Ferrari dealership in Leeds, again, reported in last month’s edition of Car Dealer. Impressive is one word for it, spectacular is another. ‘It’s one step, maybe two steps ahead of anything any other manufacturer has done in terms of corporate identity,’ Tordoff told us. ‘The lighting effects and things like that are far in advance of anything we’ve ever done. ‘We had a very successful launch event in March – about 300 customers came down for that. And business has been quite brisk since.’ So what of the future of the group as a whole? It seems to be looking pretty bright. ‘We’ve got some fantastic franchise partners who we have a really, really great relationship with and we’d like to expand with them. ‘And we’re quietly acquisitive. If the right opportunities come along we’ll look at them. We want to be the best, not the biggest, and that’s as true today as it’s always been.’ [CD] CarDealerMag.co.uk | 19

DASHBOARD.

That Was The Week – our roundups are posted online on Fridays CarDealerMagazine.co.uk

The month, digested We keep an eye on the motoring must-knows so you don’t have to. Here’s what’s been happening in the auto industry this month

MAY 8-11 VAUXHALL announced it is to call its high-end, premium small hatchback designed to compete against the Mini, Adam. Aston Martin Works opened a state-of-the-art dealership at the company’s historic home – Newport Pagnell. As well as current models, it will offer a selection of pre-owned cars. Saab Parts UK secured the sale of the last remaining 26 right-hand drive MY12 Saab 9-3 convertibles for UK customers. The convertibles arrived in the country in May and are available to buy through Saab’s national network of 87 authorised repairers. Thurlow Nunn Vauxhall, a division of the Thurlow Nunn Group, announced it’s sponsoring the Eastern Counties Football League. Shareholders in Pendragon have forced the company to scrap a planned new pay structure for the company’s top executives. The dealer group experienced two-thirds of its shareholders voting against its remuneration report. Ford is planning to more than triple the production of its vehicles equipped with its EcoBoost petrol engines to approximately 480,000 a year by 2015.

MAY 14-18 CONTINUED demand for the Range Rover Evoque and Land Rover Freelander led Jaguar Land Rover to spend an additional £1bn with UK suppliers. Mini has unveiled its fastest ever car – the John Cooper Works GP. It’s the second incarnation of the GP, and only 2,000 will be produced. Chevrolet revealed an all-new SUV will join its portfolio and make its debut at the Paris Motor Show in September. It will be called Trax. Porsche’s new hyper-car, the 918 Spyder, began road trials ahead of its September 2013 launch. The plug-in hybrid manages 760bhp, returns 94mpg and produces just 70g/km of CO2. Nick Connor was appointed managing director of Volvo Car UK as well as its Ireland and Iceland subsidiaries. Connor, 47, succeeds Peter Rask who left the business in 2011. Connor has performed an acting role since. Full story p16 Motors.co.uk, the UK’s second largest car search network, announced plans to partner with local newspaper group Johnston Press.

MAY 21-25 ABARTH announced its new 695 Maserati Edition will cost £32k when it goes on sale in the UK at the end of this year. It boasts Pontevecchio Bordeaux paint and 17-inch Maserati-like alloys. The remarketing team at BCA Peterborough

Clockwise: Vauxhall Adam; Alesha Dixon; Chevy Trax; and Ellesmere Port

ELLESMERE SAVED

Story of the month VAUXHALL confirmed that its next-generation Astra will be built at the company’s manufacturing plant at Ellesmere Port in Cheshire. Ellesmere Port will be the lead plant of only two in Europe building the new model. The agreement comes into force in 2013 and runs through the life of the next-generation Astra, into the early 2020s. Assembly of the new car is scheduled to start in 2015. The plan agrees a minimum of 160,000 vehicles to be produced each year, and around 700 new jobs will be created. have won a new quarterly award from Inchcape Retail. The auction house is the first recipient of the Outstanding Achievement Award. Alesha Dixon lit up Portsmouth’s Spinnaker Tower. The lights were powered by the electric charge from a specially converted Nissan Leaf. Isuzu announced that its all-new Isuzu D-Max pick-up will be covered by a unique-in-class fiveyear/120,000-mile warranty. Mazda and Fiat revealed they are to work together to develop and manufacture a new

roadster for the two marques. French marque Renault showed off a stunning concept car that celebrates 50 years of the Alpine A 110. Designers used the DeZir concept car as a design basis for the Renault Alpine A 110-50 concept car.

MAY 28 - JUNE 1 MERCEDES-BENZ UK announced it had created the first non-branded campaign ever in its history to launch its new A-Class hatchback. The campaign utilised a striking image of the new A-Class and one line: #NewGeneration. ‘Pimped’ cars’ values could be seriously damaged when it comes to their resale prices, auction firm BCA warned. A survey from AA Car Data Check revealed that nearly 50 per cent of those asked would be drawn in by a car for sale if was advertised at a considerably lower price than its market value. Chevy World Touring Car driver Rob Huff became the first customer to take delivery of a UK-specification Chevrolet Camaro. Motor Codes revealed the most trusted large and small garages in the UK. Full story p94 Ford revealed that its Focus model fitted with the new 1.0-litre EcoBoost petrol unit accounted for 17 per cent of the company’s sales in April. [CD] CarDealerMag.co.uk | 21

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Black magic

Car Dealer takes on the world in a special Castrol event which highlights the importance of using quality oils in modern motors. Tim Kendall reports

pend the day driving BMWs on a private track – it sounds like an appealing brief as work days go. But the devil is in the detail, or on the invitation to be precise. So visions of torturing someone else’s tyres were dispelled quickly, as the reality of the grandly-titled 2012 Castrol / BP & BMW EfficientDynamics Global Challenge unfurled at BP Castrol’s Technology Centre in Berkshire. That’s longhand for an MPG challenge – and part of an event held to celebrate BMW and Castrol’s strategic partnership, now in its 14th year. Car Dealer was invited along to test its mettle against a select handful of BMW dealers and media from around the world in the apologetic acceleration stakes. Why the celebration? Well BMW, understandably proud of its Olympic associations, is getting its moment in the limelight this year. As Official Automotive Partner to the London 2012 Games, it’s enjoying the kind of exposure that a PR executive’s more lurid dreams are made of. You can forgive Castrol for wanting a piece of the action – it’s also an official partner – and its lubricants will be doing their own invisible 24 | CarDealerMag.co.uk

part in keeping the Olympic fleet of BMW EfficientDynamics vehicles running during this summer’s Games. Mindful of the sporting notion that building tension enhances performance, we’re made to wait before we can get behind the wheel of our BP Castrol liveried BMW 320d EfficientDynamics. The first part of the day is all about learning. And learning about lubricants, no matter how slick the presentation, isn’t exciting in the traditional sense. But if you’ve ever pondered why oil seems to be getting more expensive and taking on a slightly premium mystique in the case of ‘top tier’ offerings from Castrol, Shell and ExxonMobil, it is curiously intriguing. It’s also very relevant in the context of the latest engine hardware, and that current engineering buzzword – downsizing – as Castrol’s European development manager for passenger car engine oils, Richard Egan explains: ‘As most of the OEMs move towards downsizing – you’ve got these small powerhouses working much harder to deliver the same power as larger capacity engines – and the engine oil has to work much harder to provide the same protection and durability needed.

‘And smaller engines mean smaller sumps – so the oil not only has to work harder, but there’s less of it to go around.’ Why should dealers be interested in what the oil boffins say? Because for purveyors of the blue and white propeller, Castrol’s Edge Professional Long Life brand is BMW’s recommended aftersales lubricant, and the current ‘factory fill’ choice. Franchised BMW dealers have to use oils capable of delivering the protection and durability demanded by more stressed TwinPower turbocharged engines used by BMW. And using the right lubricant becomes even more important in the context of extended service intervals, with cars covering up to 40,000km between oil changes. The other issue is fuel economy – advanced oils help engines drink less, as Hubert Fischer, BMW’s man from Munich explained: ‘About 25 per cent of fuel consumption is due to friction in the engine, so efforts to improve oil technology are hugely important to BMW.’ And from a dealer’s perspective, if they want customers to see anything like the 68mpg figure claimed for the 320D EfficientDynamics, they

‘‘

About 25 per cent of fuel consumption is due to friction in the engine, so efforts to improve oil technology are hugely important to BMW.

need to make sure the right oil goes in at service time. According to Fischer, that and the trend for more highly stressed engine hardware is pushing the industry towards lower viscosity (thinner) oils. As he lets slip, it’s also why Castrol is working with BMW on developing a 0W 20 grade lubricant – one of the thinnest oils outside of a motorsport application. TESTING TIMES Back behind the scenes at Castrol’s Pangbourne centre and it gets more interesting. In a forensic laboratory teeming with white coats, motors are stripped down for analysis after enduring sustained abuse on test rigs, in what amounts to an engine torture chamber. According to the white coats from Castrol, these rigs can imitate a variety of usage patterns – as the racket in the background from a BMW K46 bike engine confirms. Screaming at up to 15,000rpm on a simulated lap of Brands Hatch it’ll run for a total of 200 hours, before being stripped down for wear analysis. For anyone with an ounce of mechanical sympathy, it sounds quite brutal. But before we have a chance to witness conrods escaping through blocks, our Castrol hosts whisk us off to the private roads of the Transport Research Laboratory in Berkshire. The efficiency challenge is on. Making up Team GB alongside Car Dealer is Stephen Potter, MD of London-based dealer Hexagon BMW. The plan is simple – to coax our Union-Jacked BMW 320d ED to victory, following a few pointers from an instructor on how to adopt the most parsimonious fuel-sipping driving style.

Our reporter Kendall takes part in the Castrol BMW Efficiency test – against the world The tips aren’t rocket science – smooth accelerator and brake inputs, fewer gear changes and planning well ahead being the order of the day. On a pre-set route which takes in 30mph roads as well as a tempting high-speed bowl section, there’s a benchmark figure of 49.2mpg to beat. We also have to cover the course in under 18 minutes to avoid penalties. That means dawdling is out, and as we bunch up behind the sedately driven Team Italy car on our orientation lap, so are national stereotypes. Pandering to another kind of stereotype proves to be the undoing of Team GB, as we catch the Spanish team and end up tailgating them for the rest of our lap. The banked circuit provides room to overtake, but the union of throttle pedal with carpet is, as Potter and I later agree, not really in the spirit of an efficiency challenge. But too much flirtation with the right pedal costs me dearly and I return a shamefully

inefficient 46mpg, whilst my team partner manages a far more respectable 52.1mpg. That doesn’t leave Team GB with the wooden spoon – someone decides that ignoring the brakes entirely and completing the course sideways is the best way to go, and 34.1 mpg – about half the claimed combined cycle figure for the 320d ED – is the result. In the end the gold medal goes to the French team, who manage an admirably frugal 61mpg. Numbers aside, the surprise of the day is that everyone improved their mpg figure on the second run – just by thinking more about the road ahead and finessing their driving style. The other message that the assembled dealers and press take from this exercise, is just how much the slippery golden nectar forms a vital piece of the fuel economy jigsaw – making pricier top-tier oils much easier to justify in the showroom. [CD] CarDealerMag.co.uk | 25

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Bag a bangers spot

Our charity rally this year aims to deliver goods to the poor in Romania – and despite a flood of interest we still have a few places left, reports James Baggott

laces for this year’s Bangers4BEN are being snapped up as dealerships and manufacturers look to help not one but two needy charities. This year our annual banger rally is heading to Romania where participants will be able to hand over much-needed supplies to the impoverished. And then when we get back all the vehicles will be sold at a charity auction in aid of BEN, the motor industry charity. The event – now in its fifth year – has raised tens of thousands of pounds for charity and this year we’re hoping to better it again. But we can’t do that without your support. We know that it’s hard to justify a week off work, but just think of all those lives you’ll be changing – it’s a once-in-a-lifetime trip and one that you can finish knowing you’ve made a real difference. In October, the plan is to drive our bangers – costing no more than £700 – to Romania where we’ve teamed up with charity People Against Poverty who alleviate suffering around the world. We will be supporting their Dobrovat House project and the plan is to fill the cars and vans with goodies to make Dobrovat House a home for the children and families in need. We’ll then drive all the way back to Blighty where the cars and vans will be auctioned in aid of BEN, the motor industry trade charity. We’ve already hooked up with our local paper and plan to run a ‘Shoebox Appeal’ asking members of the public to fill shoeboxes with the goods we need and deliver them to our offices. We suggest participants in this year’s event do the same – it’s a great way to raise the profile of your dealership and you could even ask for the boxes to be dropped off at your showroom, generating some handy footfall too! See the panel for more information of what to fill the boxes with. THE PLAN So what’s involved with this year’s event? Well, we’ve decided to increase the amount you can spend on your vehicle. We’re desperately trying to find a van we can make the trip in as we want to fill it with as many goods as possible and we suggest you do the same (if you want to donate one to us, get in touch with the editor!). To compensate for the need for a bigger vehicle we’ve increased the amount you can spend from £500 to £700. The entry fee has also been increased slightly

The Stigs took part in last year’s event – do you fancy coming along this year?

SHOEBOXES WE suggest participants team up with their local paper or radio station and set up a shoebox appeal where members of the public help fill your Bangers with goods to take to Romania. The People Against Poverty charity has requested certain goods though, so be sure to make it clear what you need. Goods should be placed in shoeboxes and on the front there needs to be a sheet listing exactly what is inside. Without this we could have trouble on the borders. as this time we’ll be away for seven days so there’s more accommodation needed. Entry for two people is £700. That includes your ferry crossing, accommodation, evening meals and breakfast for two people. The event leaves Blighty on October 13 and returns on October 19. On day one we cover 402 miles to Frankfurt, Germany. Day two sees us travel 444 miles to Vienna in Austria, and day three takes us 411 miles into Hungary. On day four we cross the border into Romania and hand over our supplies and return to the same hotel in Hungary, before starting the return

Here’s what they need: 1. Clothes – adult and child 2. Kitchen utensils 3. Cutlery (knives, forks, etc) 4. Craft materials – pens, pencils, crayons, paper, glue (child friendly) 5. Sweets and chocolate 6. Towels – all sizes 7. Toys – board games and garden games (bat and balls etc) 8. Bedding 9. Toothbrushes & paste. journey the next day, following the same route as we drove there. The total trip is around 2,400 miles – a real adventure across deepest darkest Europe. And with the added bonus of helping two amazing causes. Places on the trip are limited to just 36. Places are secured upon payment of the £700 entry fee. The £700 you can spend on your vehicle is a maximum, but remember BEN makes their money when the cars are sold at a BCA auction, so the better the car, the more money BEN will make, if you get our drift... To book your place, call Kelly Neal on 01344 294720. CarDealerMag.co.uk | 27

FINANCE. lEASING

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CHARITY

ACF raises £1,200 for BEN STAFF from The Funding Corporation and ACF have raised almost £600 in sponsorship for the automotive industry charity BEN, after taking part in The BUPA Great Manchester run. The Funding Corporation then doubled the amount to £1,200. BEN’s events manager Kelly Neal said: ‘The Funding Corporation and ACF are great ambassadors of BEN, and we can’t thank them enough for all the fundraising they carry out. ‘We are extremely grateful to those who took part in the run as this money will go to helping all our industry colleagues in times of need.’

Dealership finance used in two thirds of new car sales Innovative products are helping add new life to the used car market as well

wo thirds of the total number of new cars purchased by consumers over the last 12 months were supported by finance sold in dealerships, according to new figures from the Finance & Leasing Association (FLA), the trade body representing the motor finance industry. Figures published by the body show new car sales on finance grew 41 per cent by value and 29 per cent by volume in April compared with the same month last year. The Finance & Leasing Association also reported encouraging news in the used car market. Their figures show that the number of cars financed was up by 17 per cent in April 2012 and the value of finance by 12 per cent. Hire purchase remained the most popular way to finance a used car and accounted for 64.6 per cent of all

‘‘

The wide range of innovative finance products has helped revitalise the market.

consumer used car finance written over the past year. Personal contract purchase (PCP) now makes up 20.8 per cent of the used car finance market, personal loans from car dealers (not secured on the vehicle) 14.3 per cent and leases 0.3 per cent. Paul Harrison, head of motor finance at the Finance & Leasing

Association, said: ‘Incentives from dealers and finance companies supported significant growth in new car finance in 2012, and a record two-thirds of all consumer sales. The wide range of innovative finance products seen in the new car market are increasingly available to used car customers, and that has helped to revitalise the market. ‘Around a quarter of consumer used car sales are now bought using dealer finance,’ concluded Harrison. This figure is lower than in the new car market because used cars generally have lower values, says the FLA. A higher proportion of new cars are bought with customers’ cash savings.

SsangYong aims to attract customers with new finance deals SSANGYONG is aiming to continue tempting customers to its brand by offering a number of finance deals across its range of Korando SUV, Rexton 4x4 and Rodius MPV. The Korando SUV continues to be available with five years’ low-interest finance on S, LE and now ES models and any Korando financed also comes

with five years’ free servicing – all until the end of June. Korando S, LE, ES and all Rodius models are available from £247 a month; £259 a month on the Korando LE, and £239.82 on a Rodius. For complete peace of mind, all models include five years’ free servicing. ‘The SsangYong range is tailored

for today’s tough economic motoring conditions,’ said Steve Gray, marketing and communications director of SsangYong Motor UK, ‘so we have created a suite of purchase options to help the customer buy the car they want in a way and timescale that suits them.’ The finance offers are available until the end of June.

Valuing Service – Valuing You! First Response Finance is the first choice for the UK’s small to medium sized dealer market. 28 | CarDealerMag.co.uk

..in association with

DEAL FINDER Latest finance deals on hatchbacks FORD FOCUS THOUGH criticised by a handful of motoring journos at its launch, there’s no doubt the Blue Oval has created a winner with the new Focus. It’s built well, is good to drive, and with a large range of engines available, it’s winning customers hand over fist compared to its rivals. Ford currently has a raft of finance deals on the car, one of which is available on the Style model fitted with the 1.6-litre 83bhp petrol engine. For a deposit of £2,938.55 and a deposit allowance of £1,000, customers can pay £199 for 24 months at 4.9 per cent APR.

An excess mileage fee sits at 7.2 pence per mile, with mileage limited to 9,000 per annum. An optional final payment comes in at £6,072, bringing the total amount payable to £13,796.55.

final payment – including an option fee of £285 – comes to £4,749 should they choose to keep the car. All in all, it means the total amount payable by the customer is £18,918.

VW GOLF WHEN it comes to being conventional, the Volkswagen Golf is the most level-headed choice available. But that’s no bad thing. The Golf is very much a classic choice of hatchback and one that UK customers are happy to spend their money on – and VW currently has an offer on its 1.2-litre S model. A deposit of £3,328.01 from the customer is needed to start the deal after a dealer contribution of £1,500, and an acceptance fee of £125. 35. Monthly payments of £209 at 4.9 per cent APR follow, with mileage per annum limited to 10,000 miles and a 4.4p-per-mile charge

time is money

Making that decision

FIAT BRAVO OFTEN overlooked in this sector, Fiat’s Bravo has been on sale for around five years now. With its simple good looks it’s very much a left-field choice in a sector that favours the conventional. And the Italian firm has slapped a finance deal on its 1.6-litre MultiJet 105 Dynamic Eco. A customer deposit of £2,730 is needed to begin the deal along with a Fiat deposit contribution of £1,000 followed by 41 monthly payments of £279 at 5.2 per cent. At the end of the agreement, an optional

Meldrum

if exceeded. An optional final payment of £5,450 along with a £60 option-to-purchase fee is needed all that’s needed to complete the deal. The total amount payable by the customer is £17,653.

’m sure you’ll agree that the ability to make good decisions is pretty essential if you want your business to be a success. None of us can really afford to make too many bad decisions in the current economy, which is why we need to make best use of all the resources and expertise available to us. When faced with a problem, or a business opportunity, it makes sense to begin by generating as much discussion as possible with as many informed people as possible and create as many different options as possible. I had the pleasure of recently meeting with a director of a large motor group who had got together with his sales managers and, using this method, decided that they needed a finance partner who could help them understand non-standard finance a little better. This motor group has multiple franchises and a vast range of used cars on offer, but they found themselves with limited options when it came to getting acceptances for those unfortunate customers who were being overlooked by the prime lenders. His team discussed many different alternatives and debated the pros and cons of using credit brokers or allowing their prime lenders to pass declined applications to an ‘associated’ sub-prime lender as well as approaching sub-prime lenders directly themselves. I am very pleased to report that First Response Finance came out head and shoulders above the competition and we are currently looking at how to help this motor group sell more cars to non-standard finance customers. We were chosen because of our attitude of offering outstanding customer service, the helpful reputation of our new business staff and our unique consultative approach to helping motor dealers.

‘None of us can afford to make too many bad decisions.’

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

Tel: 0844 8730819 Web: www.frfl.co.uk CarDealerMag.co.uk | 29

dashboard.

Around the world

Thurlow Nunn Vauxhall signs football sponsorship deal. bit.ly/dealerfootball

NEW YORK

AMERICA’S National Auto Dealers’ Association reports used car buyers in the country could be in luck in June. The association’s used car guide predicts prices on many mid-sized and small cars will plummet by as much as five per cent.

Dealer news from somewhere other than here ATLANTA

A CLUTCH of Buick and Toyota dealers are attempting sue the Indian car firm Mahindra, claiming the company duped them into false promises and walked away with $9.5m in cash and $100m in trade secrets. Dealers from five states are claiming Mahindra & Mahindra and Mahindra USA delayed US certification of their vehicles in order to gain the cash and crucial information.

ABU DHABI

CHINA

MAY saw China’s auto market revving to life despite the weakening economy, with vehicle sales jumping nearly 16 per cent from a year earlier to 1.61m units. Sales for May in the world’s largest market for new vehicles were sharply higher than earlier this year. Total car sales in the first five months of the year inched up 1.7 per cent to 8.02m units, the China Association of Automobile Manufacturers reported.

DELHI

MORE than 20 car dealers have been issued strict warnings by officials in Abu Dhabi after failing to move out of their premises. Twenty-six dealers have so far refused to relocate their dealerships to a new motor world complex designed to alleviate congestion. The complex is spread over three million square metres, and will provide parking for more than 2,700 cars.

BMW has successfully rolled out the Mini brand to India, initially offering the Hatch, Convertible and Countryman. Like in Europe, the German giant has positioned the British marque as a premium offering. The brand is being sold by Bird Automotive in an exclusive showroom with a display area of more than 5,000 square feet and two floors suitable for six cars.

money to

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big mike.

All Big Mike’s columns are on our website. Enjoy here bit.ly/bigmike

Could jobs have been saved by better customer service?

any of you are probably already aware that the DVLA is planning to close all of its local offices next year. Apparently, this will simplify life for all of us, and contribute some pretty significant cost savings to the public purse as well. All of which works well in theory, but in practice I’m not entirely sure they’re ready for it. They still use dotmatrix printers with that funky retro peel-off paper, for goodness sake. Just last week, I had the dubious pleasure of sitting in one of these palaces of despair after Mrs Big managed to write off my cherished (and much written about) Nissan Maxima by applying her make-up when she should have been applying the brakes. About the only thing worth saving was the personalised number plate, which I elected to transfer to my new daily smoker (a Toyota Camry, seeing as you ask). And so it was that I found myself sitting in the DVLA local office in Birmingham, watching life in all its forms unfold around me. The process goes a little like this. You walk into the room and remove a ticket from a dispenser, rather like the meat counter at the supermarket, but with a slightly more putrid raw meat smell from behind the counter. You then sit in a pit of oblivion and desperation awaiting the computer, which must be the most wellspoken resident of Garrett’s Green, to call out your number. After around an hour, you’ll be called forward to the counter. Unless, like me, you’ve popped out for a fag with 22 numbers to go, and come back in to find they’ve had a sudden upsurge in customer service and you’ve missed your slot… Anyway, after two hours, I was called forward. Unlike most of the muppets in there (the best being an Eastern European who had been asked to surrender his licence for a drink-driving offence, and had come in to see if he could ‘borrow it back for ID purposes’), I had gone to the bother of printing off the forms at home (on my wireless laser printer) and had filled them all in correctly. Or at least I thought I had… On arriving at the counter, I was met by a woman with a mouth like the bow of the Titanic – if anything a little larger with a slightly higher metal content – and was given the third degree about why I had

Big

mike Our man on the inside spills the beans on the car business...

decided to bother her so late on a Wednesday morning. My first error, it transpired, was that I had written the form out in blue ink, so I was made to go over everything again in a black ballpen while she watched over me like an evil schoolmistress. Once that was done, she got round to asking me why I was there, so I explained. ‘Personalised number plate?’ she exclaimed, in a voice a little further from the Queen’s English than she had apparently said ‘Cashier Number Six, please…’ ‘You must be bloody loaded.’ At this point, I tried to explain (feeling in a small way that I had to) that I had only acquired the numberplate B16 MKY because it came in on a Nissan Micra I took as a PX in 1996. Ignoring me completely, she then asked me to

‘My first error, it transpired, was that I had written the form out in blue ink...’ ‘hand over the readies then’ with all the delicacy of a highwayman or a drug dealer, before conspicuously colouring in each note all over with a fake money detector pen. Satisfied that I wasn’t defrauding the DVLA for a transfer fee, she then disappeared off into the back to ‘sort it all out’ for me. She emerged about 15 minutes later, smelling quite strongly of fags and coffee, and thrust the reg change documents and new tax disc in my face. ‘Nice that you can afford a personalised plate,’ she barked. ‘I’m going to be losing my bloody job next year, and then what’s going to happen? How are you going to transfer your precious personalised numberplate then?’ Online, I hope. But I’m not banking on it. Of course, it’s genuinely sad that if the DVLA closure goes ahead there’ll be a number of people put out of work, but part of the path to success is good customer service. It’s why generations of the same family keep coming back to buy cars off me, and why, indeed, the DVLA offices would be both useful and probably staying open if they weren’t populated by ogres such as this…

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 | 33

helpdesk.

Join Car Dealer Club by visiting CarDealerClub.com Members get free legal advice worth £199 for a £39.99 annual subscription

Ask Lawgistics Car Dealer Club lawyers Lawgistics answer dealers’ legal questions. Join for £39.99 a year to get advice like this when you need it

A customer brought his car back after four months because the clutch was slipping. He had a three-month breakdown warranty so I told him he was out of warranty. He said he had taken advice and the Sale of Goods Act gave him six months cover for any breakdowns. I’ve heard of a sixmonth rule but does it apply? WD, Cornwall There is still a lot of confusion about the law of warranties and the precise nature of the Sale of Goods Act. The Sale of Goods Act (SOGA) is a piece of legislation which you cannot avoid (although parts of it can be bypassed in the case of selling to bona fide motor traders). We will just consider private consumers to avoid confusion. SOGA states (among other things) that every car you sell must be of satisfactory quality and fit for purpose. There are some very broad pointers as to what is ‘of satisfactory quality’ but a lot of the benchmarks come from cases that have gone to court and have been judged upon. As a guide, think of it this way – is the car behaving in a way that you would expect given its age and mileage? On a 10,000-mile/one-year-old car you would not expect the alternator to fail for a very long time. However, on a 120,000-mile/ eight-year-old car with an original clutch, the customer cannot expect that clutch to last any great amount of time. So it follows that under SOGA you can take a

ADVICE

Engine trouble

Q. I recently bought a vehicle from an auction. After taking delivery of it, I learned it had an issue with the engine which is going to cost a considerable sum to repair. It might even need replacing. The auction house didn’t say there were any issues with the vehicle. Can I get my money back from the auction house? AS, Surrey A. This is a common complaint. Most car dealer will encounter this problem. Auction houses merely introduce buyers and sellers and therefore disclaim themselves against the condition of the vehicle. view and, if necessary, get an independent expert to back you up, that the customer is expecting more than they should. Warranties are a mini-contract where you (if it is a dealer warranty) or an insurance company (if it is underwritten by an insurance company) agree to carry out a repair if there is a particular breakdown during the warranty period. You can set the warranty period but it will not override Sale of Goods law. What is important though and where warranties and SOGA share some ground, is that for most warranties fair wear and tear leading to failure is excluded.

You will therefore not have any form of redress with the auction house. If you look at their terms and conditions, they will be clear that they will accept no liability in the matter. You will therefore need to ask them for the vendor’s details and look to pursue them privately. So, in the example of clutch-slip for the 120,000mile/eight-year-old vehicle, then early failure after sale may well not be caught under both areas of law. The six-month rule for SOGA cases is simply sorting out whose job it is to prove there is or is not a case. If a problem arises within six months of sale, then under SOGA it is the dealer who has to prove the car was of satisfactory quality when it was sold, but after six months it is the customer who has the task to prove it was not. In both cases it can come down to getting expert opinion.

I’m worried about Olympic ‘sickness’ Q. With the Olympics approaching soon, I have had numerous requests for holidays, and as it is one of the busiest times of the year I have had to refuse some requests. I am now worried that I will have a lots of employees going off sick to watch the Olympics at home. How do I deal with this? SS, Ayrshire A. Firstly, it is important never to jump to conclusions in matters such as this. However, it is an issue many employers are worried about and we advise that precautions are taken prior to the games beginning to ensure that employees are fully aware of the consequences of false absenteeism. We would recommend a memo being put

on staff noticeboards, reminding staff of your company’s sickness policy. This should include methods of reporting absence and the consequences should employees be found not to be genuinely ill. The next step will be to ensure managers are fully briefed as to your sickness policy and reporting methods. Make staff telephone and speak to a manager, don’t just accept texts, emails or messages from friends or colleagues. Managers should be mindful to ask questions of absent employees before merely accepting that they are ill and unable to get to work. The final step is organising a return-to-work interview even if they have only had a single

day’s absence, and cross-reference this to the conversation with the manager your employee had when reporting the illness. This will help ‘catch out’ those employees who were not genuinely ill. Should you have reasonable suspicion upon which to undertake further disciplinary action, ensure the correct procedures are followed to prevent any issues at a later date. Employers are being advised to be flexible during the games, and could maybe allow staff to watch the games at work if they think it’s appropriate. And just to remind you, The Olympics run from July 27 until August 12, and the Paralympics from August 29 to September 9.

Let Lawgistics help you Lawgistics are extremely experienced when it comes to helping car dealers with legal matters. The firm has a reputation for assisting the motor trade with customer complaints, health and safety issues, trade-to-trade problems and much more. To get advice like this (worth £199) join Car Dealer Club for just £39.99 per year. Sign up at CarDealerClub.com 34 | CarDealerMag.co.uk

forecourt.

Chris Craft

Porsche GB’s managing director is delighted by the reception the new Boxster has received. And he’s quietly confident about the future. Dave Brown reports Being based in Hampshire, we’re very interested in your new dealership taking shape in Portsmouth. It’s an important new development. The business should go live in July and there will be an official opening afterwards. It fills an important space within our network and will be our 34th centre. Another location worth mentioning is Solihull, where there has been a big development. We have moved from the outskirts of Solihull to Solihull itself. We’ve got a fantastic centre there and we have also expanded in Nottingham. There’s certainly investment going into the network. So, how’s business? We’re quite happy at the moment. Obviously, we’re always looking to the economic climate and what that’s doing to the market. I think we’re in the right position in our lifecycle. We had 911 at the end of last year, we’re launching Boxster now, and clearly these things have a positive impact on our business. After four months of this year, our sales are 32 per cent up on where we were the previous year. In other words, so far so good but we continue to look at what’s happening in the market, what’s happening in Europe and what impact that might have. Before you came to Porsche you were at companies including Skoda and Volkswagen. How does Porsche differ? Yes, I’ve handled other brands in the UK. I think every brand is unique and it’s very important that you understand the brand and what it’s about. I think customers are very clear on what they expect from a brand and that needs to be fulfilled. You can’t assume that it’s the same for every brand and every customer so getting that right is important. You’ve been at the head of Porsche in the UK for two months. Have you been impressed by what you’ve found? Yes I have and of course, I’m enjoying it. Many people I spoke to when I was moving to Porsche said, ‘that’s a good job isn’t it?’ How many Porsche centres have you visited so far? Thirteen or 14. I’ve got out and about and I’ve met all of the centre principals – we had a meeting where we had them all together. Importantly too, I’ve also met a number of our customers. 36 | CarDealerMag.co.uk

‘‘

Are any changes or developments planned for the future? As we bring plug-in hybrid to the market, we’ve got to gear up for that. We’ve got to make sure that we’ve got the necessary expertise and that we’ve got the technology to back it up as well. That’s all part of our business development. So what are your plans in the plug-in hybrid arena? Plug-in hybrid is very interesting for us. The first one will be the Panamera where we have a car that is a sporty, luxury saloon, but has the ability to cover real distance purely on electricity. I think that’s an interesting formula. But it doesn’t mean that overnight, our sales are going to swing to plug-in hybrids. For certain people though, it could be a very interesting proposition.

We’ve got to make sure that we’ve got the necessary expertise and the technology to back it up as well.

Turning to the new Boxster, you must be pleased by the positive reaction it’s received? We’re absolutely delighted. The product has taken a huge step forward and Boxster, in fairness, even with the last model, to the end of its life, was still a great model and still doing very well

in reviews. But you look at what the engineers have done, the weight that has been stripped out, the improvements in performance of the engine as well, and the way that’s translated into the whole driving experience is a huge step forward. So, for people who enjoy driving, and who want to enjoy the sun when we do have sun, it appears to be the right formula. Porsche owners expect to be treated in a certain way. Would you agree with that? Our engineers do a great job building great cars that provide a great driving experience. The ownership experience has got to live up to that. Getting those details right, and having those people there in the centres, and giving a personal service, is a big part of it. As well as the thrill of the drive, you’ve got to feel good about it overall. A bit of a cliché maybe, but would you say Porsche is in a good place at the moment? I think it is but we would never be complacent. Last year, the network came through a year when they ran out 911, they ran out Boxster, two key-selling models and did that successfully. To go in this year with a new 911 and then to be launching a new Boxster as well, actually, that’s a reasonable position to be in. Any final thoughts? My view would be: Great brand, good business and I think we’re in a good spot with the new product coming through. The future looks OK.

in association with CABIN

A new, fully electric hood opens to reveal a distinctive interior offering more space for the driver and passenger. The centre console – from the Carrera GT – further improves ergonomics.

EFFICIENCY

The philosophy of Porsche Intelligent Performance makes the new car the most efficient roadster the company has ever made.

HANDLING

Porsche Boxster Lighter, more efficient and more agile, the new Boxster arrived in Porsche centres in May. Dave Brown took one for a spin What is it? In a nutshell, the third generation of Porsche’s ever-popular Boxster. The new car offers open-top driving enthusiasts a new generation of the benchmark roadster. It boasts an all-new lightweight body, new flat-six engines with direct petrol injection, a completely revised chassis and evolutionary styling, Porsche say ‘its mid-engined layout delivers renowned poise and balance combined with precise and agile handling’.

What’s the spec like?

What do the press think of it?

Impressive, to say the least, although customers could end up forking out quite a lot if they like the look of some of the extras. The Boxster features 18inch alloys, auto stop/start and sports mode and an audio CD with seveninch colour touch-screen control – prices start at £37,589. Boxster S adds 19-inch alloys, bi-xenon headlamps, and partial leather upholstery – with a starting price of £45,384.

Auto Express said: ‘The new Boxster is more stylish and more luxurious. Yet the best bit is that it’s even more exciting to drive, too. It’s longer, wider and lower than before, which means even better handling.’ Pistonheads said: ‘Treat it as a comfortable, usable car that can turn an empty, open B-road or A-road into an unfettered joy and you will love it. The whole car just flows so well along the road you’ll soon forget that the steering isn’t quite perfect.’

What’s under the bonnet?

What’s it like to drive?

The mid-mounted power unit fitted in the Boxster delivers 264bhp from a 2.7litre displacement – 10bhp more than its larger 2.9-litre predecessor. The 3.4litre Boxster S delivers 314bhp. Both models feature a manual six-speed gearbox with the seven-speed dual clutch PDK as an option. The Boxster S can sprint to 60mph in 4.8 seconds.

We’re big fans of the Boxster and we were pleased to find this new car is an even more impressive package than the outgoing model. Our test car was the Boxster S and we revelled in the car’s throaty engine note, slick sevenspeed PDK transmission, and weighty steering. Make no mistake: the new Boxster is a class act.

What do we think of it? We loved it. Our test route took in a classic selection of twisting, turning B roads and our Boxster S was more than up to the challenge. The new Boxster is sure to be a hit. With the sun out and the hood down, there are few cars that are as much fun to drive.

Faultless. Feels as though it’s glued to the road. Responsive, agile and exciting all at the same time.

the knowledge Model: Porsche Boxster S Price: From £45,384 Engine: 3.4-litre, petrol Power: 314bhp Max speed: 173mph 0-60mph: 5.0s MPG (comb’d): 35.3 Emissions: 188g/km Residual values (three years): tbc

target buyers: Current owners and conquest buyers.

the rivals: Mercedes-Benz SLK, BMW Z4, Nissan 370Z

Key Selling Points: 1. Improved performance, greater efficiency. 2. Fully electric hood is pretty cool. 3. Classy, stylish interior.

Deal Clincher: Difficult to beat for pure driving pleasure. Monthly AutoTrader.co.uk searches: 341,758 CarDealerMag.co.uk | 37

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To be part of the winning formula just call 08433 098 801 Sources: 1. Omniture Mar 2011, 2. Omniture Jan 2012, 3. comScore Jan 2012, 4. comScore

forecourt.

in association with

City slickers

It’s the current growth sector and as downsizing continues it’s only set to get more popular. Here we look at the latest city cars the models in your showroom are up against, and then take the one we’d buy on a mega European road trip

Words: MARTYN COLLINS | Pictures: matt richardson

he Hyundai i10 has rapidly become Britain’s most popular city car. Last year it sold 20,325 units and holds a 48.3 per cent market share. That resulted in Hyundai dealers cashing in and making tidy profits... but are Hyundai dealers’ good days under threat? They could well be... Volkswagen Group has now waded in with a comprehensive offering across its VW, Seat and Skoda brands to steal sales away from the Korean giant. Meanwhile the C1,107 and Aygo threesome and Renault Twingo have all undergone major revisions to add force to the turning tide too.

That’s not to mention the Nissan Pixo which is doing its fair share by unhelpfully becoming one of Britain’s cheapest superminis, and Hyundai’s sister firm, Kia, has a pint-sized offering too – the bold new Picanto. Along with the VW Group, Fiat has replaced the agricultural but much-loved Panda with a more quality offering. The all-new Panda will pose a large threat to Hyundai dealers as Fiat dealers expect to put a large Panda-sized dent into the i10’s sales. Here, we’ve brought together the cars aiming to steal the i10’s crown together for one big shoot-out. Let battle commence. CarDealerMag.co.uk | 39

forecourt. Chevrolet Spark

ising from the ashes of the Daewoo/ Chevrolet Matiz, the Spark has been with us now for around two years. Benefitting from the ‘Transformers’ effect, the Beat concept car went on to be the Spark that has featured in all the recent films. Sadly, the concept car that appears on screen is more exciting than the city car we have here. The attractive but boxy profile means there’s plenty of head and legroom in the Chevy. Twingo and Up! aside, the Spark has to be the most comfortable way of transporting tall passengers around. Where it scores over the Renault and VW is with its five-door practicality. In fact, the only compromise to the Spark’s practicality is its tiny 170-litre boot. There’s plenty of standard kit, but we weren’t keen on the cheap feel of the trim and plastics considering the price. The Spark’s looks might be sharp, but its driving experience might leave buyers feeling a bit short-changed. There’s a choice of two fourcylinder engines, a 1.0-litre and the 1.2-litre petrol as we’ve tested in range-topping LT form here. The 1.2-litre isn’t particularly powerful and the gearchange is slow-witted. This means you’ll have to work it hard to make decent progress and then it gets noisy. And that’s a shame as the Spark actually rides quite well. It’s a fair effort from Chevrolet, but when faced with the tough competition out there it lacks a lot.

Dealer’s view Luke Gordon, dealer principal, Cambridge Chevrolet ‘The Spark is popular because it offers a lot of car for the money. Whenever we are out and about with it, customers comment on the fact that it comes with a lot of high-end features for a downto-earth price. This includes lots of desirables and for customers it means great value for money.’

Model: Chevrolet Spark 1.2 LT Price: £10,695 Engine: 1.2-litre, four-cylinder Power: 80bhp, 111Nm Max speed: 102mph 0-60mph: 12.1s MPG (comb’d): 55.4 Emissions: 119g/km Monthly AutoTrader.co.uk searches: 14,930 Verdict: Neat styling, spacious interior but rivals are better made and more fun to drive.

Dealer’s view Tony Dittli, managing director, Italian Motor Village Ltd ‘The New Panda is pleasantly surprising our customers with its versatility, build quality and attention to detail. This new version is larger than the outgoing one and its increased capacity wrapped up in an attractive finance package is proving popular amongst discerning consumers.’

Model: Fiat Panda 1.2 Easy Price: £9,550 Engine: 1.2-litre, four-cylinder Power: 69bhp, 102Nm Max speed: 102mph 0-60mph: 14.2s MPG (comb’d): 55.3 Emissions: 120g/km Monthly AutoTrader.co.uk searches: 115,440 Verdict: Looks great, should prove cheap to run but some options should really be standard.

FIAT panda

iat make great small cars, you only have to the look at the success of the Mini-rivalling, retro-styled 500 and the outgoing version of the Panda. This latest model is designed to build on the success of the old car, with an added dash of Italian style and has only been on sale for a matter of months. In fact, we’d go as far as to say that the funky exterior and interior styling of the Panda come a close second to the Up! in this test. Get past the styling and because of the Fiat’s tall body, there’s plenty of headroom. We also like the raised MPV-like driving position and the fact that all the important controls including the gear lever, fall easily to hand on the tall centre console. Where the Panda’s interior package slightly unravels is in the rear and boot space. Rear legroom is tight and there’s just room for two on the bench seat. The 250-litre boot is well-shaped, but a split-folding rear seat, only available as an option, is a surprise. You can have the fiesty Fiat with three engines, 1.2 or 0.9 petrol engines, the latter being the clever Twinair with 84bhp and a 74bhp 1.3-litre for diesel lovers. Our test car was fitted with the 1.2-litre petrol and was in mid-range Easy trim. The 1.2-litre works fine in town, but was noisy when worked. However, as city cars go, the latest Panda has the right ingredients to finish in a credible third place. 40 | CarDealerMag.co.uk

in association with

Hyundai i10

Most powerful

he i10 is one of the oldest city cars in this test, with the original version of this boxy car dating back to 2008. Face-lifted last year and with much of its recent success down to the government’s Scrappage Scheme, we think the top-selling Hyundai can still keep pace with the more modern rivals here. Despite its tiny dimensions, there is more than enough space for two of the lankiest six-footers to get comfortable in the back. Shame then, that despite being well-equipped and solidly built, the interior of the Hyundai feels so cheap and basic. The plastic trim on the steering wheel of our 1.2 Classic felt particularly bad. Could the i10‘s interior space be at the expense of practicality though? And there’s just 225 litres of boot space, which is a bit on the small side. There’s the choice of either a three-cylinder 1.0litre, or the more powerful four-cylinder 1.2-litre we’ve got here. A smooth and surprisingly refined performer, even on the motorway, it’s no fireball but it is well matched to the light and positive fivespeed manual transmission. With the soft suspension, the i10 rolls a lot in corners. This doesn’t stop it being fun to drive though. While it might not be the newest model on the block, it’s cheap to buy and run. There’s also no doubting that as a package, it’s still one of the best available.

Dealer’s view William Cook, dealer principal for Southend, Basildon & Chelmsford (Essex Motor Company) ‘The Hyundai i10 has had a remarkable effect on our business. Throughout the scrappage scheme, many people bought into our brand through the i10 because it offered such great value for money. As a result, we have extremely loyal customers now and it’s a reason for Hyundai’s success story.’

kia picanto

most expensive

here seems to be no stopping Kia at the moment, with a seemingly endless stream of products for the UK market at dealers. One of the Korean company’s most recent launches is an all-new Picanto. Underneath, the Picanto and i10 might share some mechanicals, but in terms of exterior and interior styling, the Kia and Hyundai couldn’t be more different. Outside, the Kia looks sleek and modern with the large headlights set high at the front, the upward crease that houses the door handles at the side, plus the distinctive boomerang-like rear lights and over-sized rear window at the back. Inside, the attractive well-designed cabin and lighter plastic trim go together to give the interior of the Picanto a far classier feel than the i10. However, on closer look, the plastic and trim finishes won’t worry the Volkswagen Group – yet. Well at least there’s plenty of standard kit in the range-topping 3 model we have here and the reassurance of that seven-year warranty. Picanto buyers have the choice of 1.0-litre, or the 1.25-litre petrol we have here. It accelerates well and is a smooth operator, but it needs to be worked hard to get the best out of it. The reason we’d place the Picanto behind its sister car and the Fiat is because we don’t like the sharp, over-servoed brakes and the short-travel clutch, which make stop-start city driving a chore.

Model: Hyundai i10 1.2 Classic Price: £8,345 Engine: 1.2-litre, four-cylinder Power: 85bhp, 121Nm Max speed: 105mph 0-60mph: 12.2s MPG (comb’d): 61.4 Emissions: 108g/km Monthly AutoTrader.co.uk searches: 41,445 Verdict: A well-equipped, grown-up city car that’s good to drive too.

Dealer’s view Andrew Shelly, director Lovekyn Kia ‘Customers are surprised by how spacious the Picanto is and like the bold, chunky styling, and in Surrey (where we are based), the zero congestion charge has added value. Low insurance costs and an award winning seven-year warranty add to the baby Kia’s appeal.’

Model: Kia Picanto 1.25 3 Price: £11,195 Engine: 1.2-litre, four-cylinder Power: 84bhp, 120Nm Max speed: 106mph 0-60mph: 11s MPG (comb’d): 60.1 Emissions: 109g/km Monthly AutoTrader.co.uk searches: 65,450 Verdict: It looks and feels more modern than an i10, but the Hyundai is the better drive. CarDealerMag.co.uk | 41

forecourt. Nissan pixo

Cheapest to buy

he Pixo is the cheapest model in this test – but is it cheerful enough to be the pick of the city cars? Basically a Nissan-ised Suzuki Alto, the Pixo shares most of the design and engineering with the baby Suzuki and is also built at the same Indian plant. The Pixo might have a version of the Nissan family nose, with different headlights, grille and bumpers, but it’s still difficult to tell the two cars apart. Still, at least the bold wheel lips and the raised rear window line give the Pixo a clean and modern, if unimaginative look. The driving position is generally good, and there’s enough space even for taller drivers, though rear legroom suffers. Head, leg and knee room are all limited in the back of the Pixo, with the upswept rear windows making it a claustrophobic place to sit. We weren’t expecting limo-like levels of quality and equipment in a city car priced under £10k, but compared with the other models in this test, the level of fit and finish was disappointing. All the plastics felt hard, sharp and shiny with mismatched grains. Still, air-conditioning, electric front windows and a single-disc CD player were standard on the N-TEC model supplied for the test. There’s lots of body roll in corners and the Pixo’s ride borders on the uncomfortable, it crashes at low speeds and gets bouncy as you go faster. Unfortunately for Nissan it’s not our city car pick.

Dealer’s view Julian Haywood, Head of sales West Way Group ‘The Pixo is a fantastic city car, it occupies very little road space, is compact and very easy to manoeuvre. As well as being great value for money, the Pixo is also extremely frugal and owners can enjoy paying very little road tax.’

Model: Nissan Pixo 1.0 N-TEC Price: £8,250 Engine: 1.0-litre, three-cylinder Power: 67bhp, 120Nm Max speed: 96.3mph 0-60mph: 14s MPG (comb’d): 65.7 Emissions: 103g/km Monthly AutoTrader.co.uk searches: 14,189 Verdict: The Pixo might be the cheapest here, but its interior is disappointing and it’s no fun to drive.

Dealer’s view Paul Goodwin, Director Arbury Peugeot ‘The 107 is a great small car that appeals to all ages it has modern looks and a fun driving style. The greatest appeal to customers are its running costs, with just £20 tax, brilliant fuel consumption and it is a very reliable small car that has an ongoing appeal to all families.’

Model: Peugeot 107 1.0 Allure Price: £9,695 Engine: 1.0-litre, three-cylinder Power: 68bhp, 120Nm Max speed: 100mph 0-60mph: 14.2s MPG (comb’d): 65.7 Emissions: 99g/km Monthly AutoTrader.co.uk searches: 137,181 Verdict: The 107 is beginning to show its age in key areas such as ride, refinement and quality.

Peugeot 107

esigned and built alongside the Citroen C1 and Toyota Aygo, the Peugeot is one of the most familiar city cars, having been launched seven years ago. Facelifted for 2012, the 107’s design still looks sharp with its 308-like nose and short overhangs. Move inside and the 107 begins to show its age. The dashboard might look smart and all-round vision is excellent, but some of the switchgear is randomly sited, poorly marked and doesn’t feel the best quality. The controls for the heating and air-con are particularly difficult to understand. There’s enough room for two to sit in the back of the Peugeot in reasonable comfort, but like some of the other cars tested, it seems interior space has come at the expense of boot space. There is just a 139-litre boot and there’s the highloading lip and fiddly hatch window opening to contend with too. With just the choice of a revvy but frugal 68bhp 1.0-litre three-cylinder petrol engine in the 107, the lightweight build means there is more than enough power in town. Although refinement suffers on the motorway and you find yourself turning up the stereo to try and drown out the three-cylinder drone. Considering the 107 is designed to spend most of its time in the city, we felt the ride was perhaps a touch too firm. Still, the upshot of the firmer ride is the Peugeot’s sharper handling. 42 | CarDealerMag.co.uk

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Renault Twingo

most fun

ne of the bigger city cars in our test, the Twingo survived the cull of Renault models last year and also gained a face-lift to take on newer rivals. On the outside it looks quite different and more aggressive, but the big driving lights and latticed grille will not appeal to all buyers. With a comfy driving position and fine visibility, the Twingo feels more like a car from the class above. The dashboard is dominated by the central digital speedo, which is sometimes hard to read and won’t appeal to all. Headroom might be at a premium in the back of the Twingo, but the clever sliding rear seats means there’s plenty of legroom. The rear legroom comes at the cost of boot space, as with the seats shoved right back, there’s just 165 litres. The Twingo might have just 1.2-litres and 74bhp, but the Renault’s engine is free-revving and feels faster than you might expect. Yes, there is some body roll, but with sharp steering, a crisp turn in and body roll kept under control, the Twingo has to be one of the most fun-to-drive cars here. The Renault rides well too, hiding all but the worst of British roads’ imperfections. So if we like the Twingo so much, why don’t we tip it for the top? Well, despite the re-fresh, the Renault still feels a bit dated in this company, the interior plastics feel disappointingly cheap and it seems expensive.

Dealer’s view Jonathan Gravell, managing director Gravells ‘The feedback has been very positive towards the latest Twingo. New Twingo is much more appealing and looks a lot more dynamic for customers, with the new colour range and personalisation options providing more unique choices for the customer.’

toyota aygo

most wanted

ike the Peugeot 107 (left), the Aygo has been around the longest as it was launched back in 2005. Boasting a new look like its sister car, we think that the Toyota revamp has been better executed than Peugeot’s. There’s a more chiseled look to the Aygo’s front airdam and the bright daytime running lights fitted to our Fire test car look great. The lack of seat height adjustment plus a steering column that only adjusts up and down, means that some drivers will find the Toyota uncomfortable. Also, the Aygo’s dashboard might have looked funky seven years ago, but now it’s a bit of a mess. Quality-wise, the Toyota feels solid, but we wonder how some of the interior finishes will look after everyday use. The Aygo will seat four in reasonable comfort, but the rear space has resulted in a letterbox-sized 165-litre boot. There is just a 68bhp 1.0-litre three-cylinder petrol engine available. It feels nippy in town, but is noisy at motorway speeds. The lack of steering feel is frustrating in the Aygo, as it is sometimes hard to work out what the front wheels are doing. On top of this, it appears to weight up in town too, making parking more of an effort. The Toyota rolls too much and loses grip too quickly to be fun as well. So, while it is a likeable car that should cost pennies to run, the Toyota shows its age with the stiff ride.

Model: Renault Twingo 1.2 16v Dynamique Price: £10,350 Engine: 1.2-litre, four-cylinder Power: 74bhp, 107Nm Max speed: 105mph 0-60mph: 12s MPG (comb’d): 55.4 Emissions: 119g/km Monthly AutoTrader.co.uk searches: 52,277 Verdict: A likeable, capable all-rounder, but it feels dated and build quality could be better.

Dealer’s view Kevin Slack, managing director Ron Brooks Toyota ‘The Aygo is a great little seller for us. I think it has better brand perception than the C1 and 107 sister cars and stronger residuals show that. It also appeals to the young and old alike and with many people downsizing the fact it is fuel efficient really helps. It is certainly popular with buyers.’

Model: Toyota Aygo 1.0 VVTi Fire Price: £10,350 Engine: 1.0-litre, three-cylinder Power: 74bhp, 93Nm Max speed: 97mph 0-60mph: 14.2s MPG (comb’d): 65.7 Emissions: 99g/km Monthly AutoTrader.co.uk searches: 156,378 Verdict: The sharp looks cannot hide a car that feels dated, despite recent updates. CarDealerMag.co.uk | 43

forecourt.

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TEST WINNER

test winner: vw Up!

he only way is Up! Well, that’s what we think Volkswagen dealers are hoping city car buyers will say, when they compare their new car against rivals. The new baby VW gets off to a great start with the crisp exterior styling. Key Up! design features include the short overhangs and the lower than you’d expect roof height. Move inside and despite the Up!’s compact dimensions, the interior is surprisingly spacious with a big car feel. Quality is up to usual VW standards and the simple dashboard design is elegant. The driving position is excellent in the Volkswagen; the high-backed single piece front seats are also comfortable. All round visibility is excellent too. There’s enough rear room for a couple of adults to travel in reasonable comfort. The boot is also one of the biggest in its class at 251-litres. Our Move Up! test car included the all-important airconditioning, electric front windows and remote central locking. Go for the optional Maps & More optional navigation system (£290) and other big car features such as Bluetooth are included. The Up! is powered by a choice of new 60bhp or 74bhp three-cylinder 1.0-litre engines. Our car had the smaller of these two engines, yet we were impressed with its refinement and torque. Featuring BlueMotion Technology it has low emissions and sips fuel, boasting 96g/km CO2

figures and a 68.9 combined fuel consumption figure. Like the engine, the ride is impressively refined and composed. Only bigger bumps seem to upset this little Volkswagen. The ride might be supple, but it’s still fun to drive as body roll is kept well in check and the steering accurate. So in our view, this is the best city car in the group here. It looks great, is well-made and great to drive. However, it’s not a cheap choice and much key equipment is included in the option packs. Dealer’s view Chris Slater, communications manager, Pulman Volkswagen ‘The Up! has been popular with our existing customers. However the success with new customers experiencing the brand for the first time has been the most obvious – there’s a real enthusiasm about the car that has started at the launch and has continued ever since. It’s fantastic!’ Model: Move up! BlueMotion Technology 1.0-litre Price: £9,440 Engine: 1.0-litre, three-cylinder Power: 60bhp, 95Nm Max speed: 100mph 0-60mph: 14.4s MPG (comb’d): 68.9 Emissions: 96g/km Monthly AutoTrader.co.uk searches: 29,744 Verdict: VW could have created the best city car, but the Skoda Citigo is a better value package.

...The up! may win, but turn over to find out why the Skoda citigo is our pick 44 | CarDealerMag.co.uk

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Key benefits of SmartShine Free application training and certification for your staff Full range of point of sale materials No specialist handling required Formula contains a unique element to show your customers that their vehicle has been protected Application is guaranteed for the customer’s entire period of ownership Customer receives a signed certificate from the technician, an eight piece aftercare pack and access to a customer care support platform

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Feature.

skoda

#CitiTour

No they don’t put plates on at the factory – our car was shipped to Slovakia especially

Skoda’s new baby Citigo is the sixth model in the maker’s range. To mark the launch Baggott and Batchelor headed off on a tour of six European capital cities. Here is their story told via the medium of Twitter. Don’t worry, you’ll get the hang of it... How it works This weird picture means it’s a tweet from Baggott (@CarDealerEd) during the road trip And this slightly poncey picture means it’s a tweet from Batch (@JRRBatchelor)

Lunch at the Volkswagen factory. Menu on TV. Like Saturday Kitchen but no annoying chef to ruin it. I’m all for a bit of home cooking but firstly what is this? And secondly whose grandma is cooking? (See pic right).

This @ sign donates a reply from another Tweeter. The hashtag #CitiTour enabled tweeters to follow our trip.

Day one of our #CitiTour. At Heathrow, heading for Slovakia and the baby Skoda’s birthplace. Then it’s back home via six Euro cities. We’re writing this feature via social media too (it’s one way to ensure it’s kept succinct). We’ll be running your replies in the mag too. Boarding BA bus. I hate buses #CitiTour Brilliant idea. Will follow #cititour with keen interest! Via @RichardAucock Watching Batch trying to tweet on his phone off of the 90s. Like watching my mum trying to change TV channels #CitiTour http://pic.twitter.com/ mtC7ueYJ

We’re un sure who se grandm the VW fa a makes ctory... lunch at

Volkswagen Slovakia is the only factory in the world to make five brands’ cars under one roof. Seat, Audi, VW, Skoda and Porsche. This amazing cable car for cars goes from final assembly room to the test track. Cool watching cars glide through air. (See pic right). That’s fantastic! Via @torquespeak Yes – that really IS fantastic! Via @richardaucock That’s rather speechlessly cool! Someone needs to do one to take you to the top of a mountain pass. Via @Jonbradbury

Batch attem pts to write a ‘text’ on his 1970s phone. Fails.

You didn’t mention it was fancy dress. C’mon, show us your outfit. Pirate? Elvis? Via @HofmeisterKink Personal space being invaded. Again, I hate buses. In an @CarDealerMag first I’ve actually gone away with a bigger case than Batch. Not sure how he managed it #CitiTour

Baggott in bigger suitcase than Batchelor shock. And it was pink

Potato puffs filled with sour cream, sour kraut and something? Sound quite nice actually but they should let granny go home. Via @frattonlad

46 | CarDealerMag.co.uk

Our Citigo on the line before the editor drove it out of a pedestrian exit. The fool.

That really is very clever. Via @drivingspirit I’d love to see them all revving up & jumping off at the other end! Via @guitarmonkeyfan Our baby about to roll off the production line at the factory. (See pic right). Just experienced that awkward moment when the editor drives a Citigo off the production line and through the pedestrian exit. Skoda Citigo was designed by the same man that penned the Bugatti Veyron. Shame he forgot to do the engine too. Still 3cyl sounds ace.

This cable car for, er, from pro c duction to ars transports th em testing... in the air!

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THE BLOGS

#CitiTour: Our web musings from day one of our trip BAGGOTT’S BLOG DAY one of our European #CitiTour and things have been surreal and surprising in equal measure. An early flight out of Heathrow and a short transfer across the border from Vienna saw us arrive at Volkswagen’s Slovakia plant in time for lunch, where the real strangeness began. Confronted with a choice of eight dishes on two TVs, we opted for ‘Grandma’s menu’ which consisted of chicken and rice. And garlic bread. And gherkins. And pickled chillis. And soup. After attempting digestion, we collected our Citigo from the production line and I promptly drove it out of the factory – via a pedestrian exit. Whoops. After an afternoon’s video and picture shooting, we headed to our hotel deep in the capital, Bratislava. Our hotel is a Citigo’s throw from the Danube and is surrounded by teeming bars and packed trams. From what I’ve seen it’s a lively city. Our day ended with a dip in the hotel pool. Unfortunately we hadn’t realised swimming costumes were ‘optional’ and Batch discovered, to his horror, just how open the natives can be when he was confronted with full-frontal nudity from a saggy couple. Pleasant it was not…

It’s the first car to show off Skoda’s new ‘design language’ (grille and black bits and stuff). Also gets new badge.

DAY TWO: Bratislava to Prague Citigo is the firs off new badg t Skoda to show e. We like it.

First impressions are great. Feels more like a Polo than a city car. And there’s no doubt it (and its sister cars) will sell like hot cakes. It does sound really good for a 1 litre doesn’t it!! I like the way the Mii growls as you rev it up. Via @liverpoolSEAT Surely the Seat Mii will be the one to buy for the fun factor? Via @brazilianvwbay @brazilianvwbay They’re all the same car with same engines. Only the looks and interiors have changed. So they all drive the same. Following on from the cars flying through the air pic, here’s lots on a train. So very orderly.

Citigos on a train at the plant. Heading we don’t know where

We’re up and slightly raring to go. Bratters to Prague today. But first, where’s breakfast? Top Tip: Make your public transport look like a car so users don’t feel like cheapskates using it. Just approaching Vienna, the second capital city on our #CitiTour. Batch’s singing to German radio grating.

All public tra ns made to loo port in Slovakia is k like cars. W e think.

Arrived in the centre of Vienna. And there are horses. Wearing hats. Amazing. EAR HATS. Incredible. Via @John_Slavin Of course, it is a tidy city ;) Until you step into the horses’s leavings. Via @kpfssport

Horses with hats on. Possibly the best thing we’ve ever seen.

A contraption with two horse power. And a horse-drawn cart. (Sorry Skoda, couldn’t resist. Love it really.) The middle of Vienna. Po orly parked. Ag ain.

BATCH’S BLOG THIS will probably annoy some EU people, but whenever I’ve thought of Slovakia, I’ve thought of somewhere ugly, grey and cold. Not so. VW’s Slovakia operation is a paradigm of cleanliness, efficiency and innovative thought. We’ve spent the day having a look around the plant where the German powerhouse builds the Porsche Cayman, Audi Q7, and the VW triumvirate – namely, the VW Up, Seat Mii, and Citigo. There are Ron Dennis levels of cleanliness here. Not only is every surface coated in McLaren-like gloss white, but there’s not a speck of dirt. Anywhere. In fact, whenever a car is driven around in the main inspection area, there’s often a man with some cleaning fluid and a mop polishing the floor after it. We’ve experienced this hygiene obsession as today we had the treat of driving Skoda Citigo, registered OY12 AWH, off the production line. And then through the pedestrian exit to the outrage of many Slovaks instead of the designated car exit (editor’s fault). All in all it’s been a jolly old day. That was until we got to our hotel and its swimming pool. It would seem Big Daddy and his wife are here. Naturally, both are naked, and have taken it upon themselves to barrel-roll into the pool with all their genitalia bouncing around. Remember I thought Slovakia was ugly?

CarDealerMag.co.uk | 47

Feature. Only had the car on site 3 days James and sold 3 already, interestingly all to drivers new to Skoda. Via @BenfieldSkoda @BenfieldSkoda Great news. What are your hopes for sales? How important is it to you as a new car? I think it’ll do very well, new market for us, our buyers looked at Picanto and i10 too. I think Skoda’s 8000pa target’s easily achievable. Via @BenfieldSkoda Vienna #CitiTour with a difference: On Segways! I want a go. At least we’ve got aircon.

Segway tour of Austria appealed to the ed. Batch didn’t fancy it

You are going to have to be brave to do this as I’m not sure the traffic in Vienna will be very forgiving. Via @HelenGoff

@HelenGoff Traffic has been kind so far. But obviously have now just jinxed that... We’ve hit our first traffic jam of our #CitiTour not far from Brno so we’re doing what all Brits do when they need the loo. Visit MacDs! Just been chased down the road by Czech petrol station woman. She didn’t understand English. We did TRY to pay. Honest. Rapidly approaching Prague. And when I say rapid I mean rapid. This Citigo may only have 3cyl but it’s still happy on motorway! Filming in Prague at the moment. It’s so busy with Skodas. You’d think they were a Czech firm. No wait... Skoda have over 30% market share in the Czech Republic so every third car you see should be a Skoda... Enjoy Prague! Via @Mich_Henniker Day three: Prague to Hannover, via Berlin Day three of our #CitiTour and we’ve forgotten what day of the week it is. If anyone can remind us that would be handy. We’re still in Prague. Stunning city but equally scary at the same time. As busy as London except traffic seems to move here. Just given back the sister car the up! after almost 500 miles. Amazed by the speed and big car refinement. Via @TMotoringMartyn We’re heading for Germany today and Das Autobahn. Which will be entertaining in our baby Skoda. 48 | CarDealerMag.co.uk

THE BLOGS

#CitiTour Day Two: Bratislava, Vienna and Prague BAGGOTT’S BLOG TO be completely honest, the thought of 1,200 miles in a 1.0-litre city car wasn’t exactly thrilling me prior to embarking on our #CitiTour. But after spending a good eight hours ensconced in Skoda’s baby, I’ll quite happily admit I’ve fallen a little bit in love with it. There’s something ever so special about wringing a low-powered, three-cylinder engine along the motorways on the way to and from three of Europe’s stunning capital cities. We left Bratislava this morning for the short hop across the border to Austria and the capital city Vienna. Among the trams and tourists the little Citigo was a delight, bouncing over bumps and singing its happy three-pot thrum. I’m staggered at just how good it is. Inside it feels big for a city car and the noise insulation on the motorways is top-notch. It’s got a corking stereo and (when it works) the sat nav is pretty nifty too. It even lets me play my music from my iPhone via Bluetooth. Much to Batch’s disgust. We’re now in Prague, the third city on our trip, and from what I’ve seen of it it’s stunning. We’re off now to check out the pool – and hopefully there’ll be a noticeable lack of naked people.

BATCH’S BLOG I’M writing this with a beer at my side and thinking what an extraordinary day it has been. In fact, the day never really ‘began’. Thanks to a large dosage of snores a la Baggott I’ve only had around 30 minutes snoozing. But enough of the bitterness. Today was the first day of our long-haul drive back to the UK in Skoda’s new Citigo, and it’s really been a tale of three cities. We left the city of Bratislava (or Bratters as I like to call it) this morning and headed to Vienna for a spot of sight-seeing. It was here we were treated to the delights of Vienna’s St. Stephen Cathedral. Think Lego and you’ll have a good idea of how it looks. But what really impressed Baggott wasn’t the amazing architecture, it was the fact the horses had hats on. He really is a philistine. A series of motorways and fast-flowing Austrian countryside roads allowed us to find out how the Citigo feels out of its comfort zone. And, as you’ll know from the Ed’s blog, we were impressed. A few stop-offs and a short delay courtesy of an accident on said Austrian countryside road later (which was expertly and speedily cleared up by the Austrian rozzers; petty comments referring to not a Highways Agency Landcruiser in sight shall not be made), and we’ve made it to Prague. The third pretty city in a row. But before I talk about that let me get some shut-eye. Did I mention I’ve only had 30 minutes of snoozage?

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CASH IN THE GARAGE

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Feature. No happy dogs allowed?

This sign in the middle of Prague baffled us. And dogs.

That sign means ‘no mincey camp dogs’ so @CarDealerDog would be fine! Via @JBAEdmonds

Das Autobahn was fun. Not bad going for a 1.0-litre, 3cyl motor. Small cars flat out are always more fun than executive cruising. Via @Liamcu

Obviously we didn’t really 120mph. Th do is is faked. Ho nest.

@Liamcu Couldn’t agree more. Citigo feels remarkably stable at speed. And quiet too. Not bad at all! God bless the Autobahn. Via @CarhootsUK Just given @CarDealerEd a history lesson on Dresden. Told him not to mention the war. Love the Citigo most of the time but the sat nav/music system is poor. When it works it’s great but that’s not all the time. I’ve got a feeling dealers will be fielding a few complaints about the nav unit. It’s built by Navigon not Skoda.

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THE BLOGS #CitiTour Day Three: The German invasion

BAGGOTT’S BLOG DAY three and we’re feeling a little jaded. The miles, the rain and the Germans have all taken their toll. Don’t get me wrong, I like a good German. It’s just I haven’t met any yet. Today started in Prague, a stunning city, full of happy smiling locals and tourists. And it’s ended in Hannover, after a stop-off in Berlin. Both of which seem to be home to grumps. Anyway, back to Prague. Last night was an entertaining evening. We took in the delights of the city and ate at an extremely traditional Czech restaurant… Hooters. For Batch it was an eye-opening experience. Obviously I’m referring to the way the ham and cheese sandwich he devoured was prepared and not the scantily-clad women who served it to him. Obviously. Berlin was the next stop of the day. The architecture was as you’d imagine. Grand, over the top. All a little bit shouty if I’m honest. We managed to park our Skoda slap bang in front of the Brandenburg Gate for some shots too –

Can’t help thinking everyone who looks at us in Germany hates us. Citigo has got British plates. Probably doesn’t help Pop on a Chelsea shirt then you’ll see real hate! Via @LeaseWorld

We’ve made it to Berlin, the fourth capital on our tour. Parked in quite possibly most illegal place ever. Whoops.

Still driving. I’ve been asleep. It appears Germany has stolen all our rain. Batch appears to be in huge huff.

We’ve now got another 350 clicks to go to our overnight stop at Hannover. At this rate could get there Friday.

Not sure if any of aforementioned tweet is linked. Possibly. Think my snooze was induced by come down off Haribo.

THE BLOGS

#CitiTour Day Four: The Long Drive Home BATCH’S BLOG Day four and we were tired even before we left Hannover. Thanks to another night subjected to nasal noise from Baggott (AGAIN) and rubbish German breakfast, we left a dreary, cold, and damp Hannover not entirely in the most alert of moods. No matter because Amsterdam – or, ‘Ams-tooor-re-damm as the sat-nav man insisted on calling it – laid before us. As you’d expect, Amsterdam was a marked difference to the other capitals we had been to. Entering the city was like entering the mind of Benny Hill. It was just so happy. But despite our yearnings to stay there and, erm… experience the place fully, we had to tap Piccadilly Circus into the sat-nav and put our foot down. Dashing through Belgium and a bit of France seems quite normal in a large car, but in

50 | CarDealerMag.co.uk

a tiny little city car at (redacted) mph it was just such a joy. An argument between Baggott and I resulted in me doing the entire stint (he says argument, what he really means is he got in a girly huff – ed) and I couldn’t have been happier. That thrummy little engine and the opportunity to listen to what I wanted to on the Citigo’s marvellous stereo system – Radio 4 Netherlands, if you want to know – was a memory I will cherish. Back in Blighty it was a whistle-stop tour of London. Like the cities before it, the Citigo proved to be the perfect weapon for the capital’s congested streets. A bit more filming and then that was it: 1,200 miles and six capitals finished. The way back to Gosport allowed us to have a think about how the Citigo had performed. It is a highly impressive car. In fact, we’d go further and say it is almost faultless. The Navigon system is a huge disappointment and one that could lead to Skoda dealers getting an angry mouthful from customers, and yet, you can’t hate this car. It’s a class-leader and one we’ve fallen in love with. Which really is quite some achievement.

it’s amazing what you can get away with when you’ve got foreign number plates. After indulging in a traditional German lunch – huge sausage mit curry sauce – we tackled the last leg of our trip to Hannover. Batch informs me these last 170-odd miles were mostly travelled in a biblical rain storm. I wouldn’t know as I was asleep. Our Citigo has performed (near) faultlessly throughout. We’ve managed to max it on the Autobahn (I think 120mph is the fastest I’ve ever been while driving bare foot), the heated seats made up for my wardrobe error of wearing shorts, and the sat nav has got us to our three destinations with only a couple of hiccups. However, I do have one grumble. The Citigo’s Navigon optional sat nav and entertainment unit can be a little flaky at times. Infuriatingly it keeps forgetting my phone, which has been streaming music it to it via Bluetooth, whenever we stop the car. And sometimes it just stops working altogether. If there’s one thing dealers will have to prepare for it’ll be complaints about this unit. And that’s a shame because the rest of the car is brilliant. Tomorrow we’ve got even more miles to tackle. From here it’s on to Amsterdam and then London before returning to the centre of the universe… Gosport. Wish us luck. You’ve got to love the Germans for trying, but this could quite possibly be the most over exaggerated hotel sign ever... Day four: Hannover to home, via amsterdam

Bless the Ge rmans... the y do try to be funny . Sometimes .

Day four of our #CitiTour. We’re shattered. Only the 1000km today though. Ouch. En route to Amsterdam. Then it’s four hours to the Chunnel and then central London where we’ll finish our road trip. Well sort of. Got to get home after. Leaving Hannover. Never been so tired. 834km to London today. And that doesn’t include mileage home. We’ve made it to Amsterdam. There are a lot bikes. And other things that have caught Batch’s eye... Well Amsterdam was an experience. Batch very nearly killed us when he mistook a tram line for a road. Interesting. Now heading for the Chunnel. Then central London for our final city of the tour. Eta? 9pm. Ouch. We’ve made it to London. We’re knackered. But thankfully the Citigo isn’t. I need sleep. Amazing trip. Brilliant car. Forgot how much I hate London... and buses... and the editor. [CD]

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Feature.

Brewer’sBACK Ok, so the editor may have struck it lucky with the Peugeot, but that hasn’t stopped him bragging about being ahead of TV’s Mike Brewer in our challenge to raise money trading cars

James’ story

ord of warning: Gloating will set you up for a fall. You may remember last month I did a bit of the aforementioned after flogging the £50 Peugeot for a whopping £1,400 – nearly a grand more than Mr Wheeler Dealer managed with his French flop. With 1,400 crisp ones burning a hole in my back pocket – and no handy dealer part exchanges to secure for a pittance – I was thrown in at the deep end trying to find a suitable car myself. Always a safe bet, I decided to head over to our friends at Richmond Hyundai – Europe’s biggest Hyundai dealer – to see what they’d taken in part exchange that week. With around 30-40 cars coming and going every week, Richmond is awash with part exchanges and a long-standing agreement with the dealership means I can secure the cars for the same price as traders. Problem was, with time ticking away to this issue, I needed to find something quick. Nothing really stood out – all were just out of budget or well below it and a gamble. For some reason a Daewoo Matiz stood out. That is, without doubt, the first and last time I’ll ever write that. At first glance it looked ok. It was a little ropey around the edges, but nothing a bit of polish and some careful describing on eBay wouldn’t disguise. I checked the paperwork (not carefully enough) and ran it through the Auto Trader pricing App and it looked as though a quick turnaround could make me a nifty £250. Richmond wanted £400 for the W-reg model which looked a little high, but as that’s what another trader had bid him there was little room for movement. It had tax for three months and what I assumed was the same in MOT. So I did the deal. Unfortunately when I got home and checked the paperwork more thoroughly, I’d misread the MOT – there was only a week left! Hoping for the best I dropped the car off for an MOT with our trusty mechanic, but this time it was bad news. It failed. Miserably. The list of failures was 10 strong and the worst was 52 | CarDealerMag.co.uk

£50

carchallenge

the emissions. At fast idle and normal idle the emissions were excessive – and with no easy (cheap) fix, I’m stuck. The other faults could be sorted for a few quid, but the engine issues would need far more cash thrown at it – and for what could be very little return at the end. So a valuable, yet painful lesson learnt: Always check the paperwork. My only option is to stick it on eBay as spares or repairs and hope for the very best. Either that or strip it of the parts worth any money – tyres, interior, etc – and then weigh the rest in for scrap. Balls. After last month’s success this Matiz has been a painful reminder that this trading lark isn’t all gravy. But don’t worry Brewer – I’ll be back next month...

Mike’s story

fter taking a kicking from that pen pushing mag monkey last month, I needed to pull out some Wheeler Dealer tricks from the bag. You may remember, I drew the extremely short straw at the start of this challenge and bagged a piece of French purple pap that only its mother could love. With what was quite possibly the worst spec this side of a prison cell, shifting the Clio was never going to be easy, unless by shifting you mean driving it off a cliff. Instead I threw it to the eBay wolves and flogged it for £410. That’s not a bad return on the £50 that was originally paid for

it – but still nowhere near Baggott’s fluke. So with a wedge (of sorts) tucked away, it was time to twist some arms and grab a bargain. This time it didn’t take me long – and old dealer mate in London had taken in a student-baiting Ford Ka for next to nothing. It was an 03-reg in black, 40k miles, and a bit of history. There was some tax, but it needed an MOT. A quick poke around and the usual rot these cheap Fords suffer from hadn’t taken hold yet, so I knew really expensive problems were unlikely. A quick run around the block and it drove fine too so after some haggling I did the deal – for just £400. They don’t call me Mr Wheeler Dealer for nothing. Next job was to get it through the MOT. With Edd busy on our series, I couldn’t play that trump card (I’m holding that one back), so I took a gamble with my local garage. I know the lads down there pretty well, so was pretty confident I wouldn’t get trussed up. After a morning worrying (why do we always worry about MOTs?), I got the call – it had passed! Well, after a new bulb had been fitted, but that’s no biggie. So team Wheeler Dealer is in a good place. Guide prices have Kas like mine up to £2,495 and as low as £1,400. I’m going to play it safe and stick it on the web with a reserve of about a grand. I know these little Fords sell well – they make perfect first motors – so I’m sure some spotty teen will be around kicking the tyres and testing the stereo out before the month is out. Hopefully it’ll make a few quid – which is a damn sight more than the editor’s going to make with that pile of ****. Hahahahahaha. [CD] Mike Brewer presents Wheeler Dealers. Catch the latest series on Tuesdays at 9pm on the Discovery Channel

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With quite possibly the worst spec this side of a prison cell, shifting the Clio was never going to be easy, unless by shifting you mean driving it off a cliff.

The editor cocked up and bought this

CarDealerMag.co.uk | 53

focus on.

lead generation event razsor

Sharpening your online marketing W: Razsor.com T: 08433 096 679

f you want to sharpen up your digital marketing strategy, Razsor is in a perfect position to help you. That was the message to delegates at Car Dealer’s lead generation event from Paul O’Donoghue, director of product and strategy for the digital marketing division of Trader Media Group. Razsor, an integral part of TMG – and headline sponsors of our Lead Generation event – produces cutting-edge automotive websites, incorporating best practice in web design and SEO. And O’Donoghue himself has more than 15 years in both client and agency environments creating local and global digital strategies for a wide range of companies. Razsor will focus on your consumer-facing lead generation and digital marketing offering and, as O’Donoghue explained: ‘We will help you set out your stall properly, help you to understand what customers are doing, help you target them and, most importantly of all, convert them effectively.’ He told his audience at Gaydon that as the media landscape is so fragmented, there were lots of factors to consider – but that in actual fact, building an effective digital strategy would be straightforward with Razsor’s help. He said that the first requirement was obvious: a well-constructed website. O’Donoghue said: ‘Anyone can build a website. It’s not that difficult but not everyone can build a website in the right way that does what it should be doing. It’s got to be simple, it’s got to be very clean and clear and the way you lay that site out has to be approached scientifically. ‘You are a business. The average franchised dealer turns over £14m a year. What we do, and what we try to preach, is how to position things on a page properly. We did some research recently and found that no two websites in the automotive sector are the same but every single website that we come across has the same elements.’ O’Donoghue listed those key elements, saying that search, navigation, offer promotion and finance 54 | CarDealerMag.co.uk

were all vital, as were effective calls to action. And mobile internet use was growing all the time, he added. ‘People are sitting at home watching TV, with a laptop or an iPad and a mobile phone. We’ve got to be able to access this audience. Twenty per cent of the traffic to our desktops at Auto Trader is coming from mobile,’ he said. ‘We have developed just over 1,000 mobile solutions for our customers in the past three months. A mobile solution is an absolutely critical part of your business.’ Of course, the sheer size of the Auto Trader organisation means that there could be huge benefits for your business if you decide to go down the Razsor route. ‘We’re very lucky that we have this wonderful engine called autotrader.co.uk,’ said O’Donoghue. ‘It gives us an enormous base of data and an enormous base of behaviours that we can learn from. We can bring that into our offerings and hopefully help your world.’ Mention the internet of course, and the word Google is never far from anyone’s lips. ‘Google are at the heart of the internet, absolutely,’ said O’Donoghue. ‘Ninety per cent of all journeys on the web start at Google’s front door. The effect that this is having on our customers is that 82 per cent of them are using a machine to research a purchase. Twenty-four per cent are using mobile – and that is increasing on a weekly basis. Fourteen per cent are using tablet. You’ve got to be prepared for all these environments. ‘The effect of all that on your business? Well, in the last 11 years, we have seen a massive drop in forecourt business. Customers don’t need to go to a forecourt to look around… they’ve done their research online beforehand. ‘The average customer used to go to seven forecourts before making a purchase. Now it’s 1.5.’ O’Donoghue touched on a wide variety of other areas during his presentation. Good SEO (search

HELD In association with razsor

Trader Media Group’s Paul O’Donoghue

INSIGHT

David or Goliath? Razsor can help you whether you see yourself as a David or Goliath of the motor trade. Razsor not only gives you a digital marketing solution which meets your business needs, but takes a lot of the nitty gritty technical stuff off your hands, so you can focus on selling cars. All you need to do is upload your stock, customise the look and feel of your website and handle the influx of new leads. engine optimisation) was a crucial part of an effective online presence, he said. ‘Why do you need it? Because 76 per cent of all automotive searches are through used cars. Ninety per cent of customers use search engines before they go and purchase a car. Two thirds of all online research is taking place outside a manufacturer’s website. ‘So they aren’t going to a manufacturer first, they are going to local dealers. We have a very defined strategy of location, make and model. If you can’t optimise location, make and model in the first instance, you need to rethink what you’re doing.’ Social media was another area that needed consideration, he added, telling our audience: ‘We do need to try to understand the environments that are out there and it’s not just about Facebook and Twitter, it’s about things like FourSquare, Digg and Delicious. It’s these other places where content can be served and you can get good traction.’ With Facebook, for example, O’Donoghue said that one post every two days would be quite a good strategy to start with. He added: ‘Look at things like sponsored stories on Facebook. You can increase your reach by tapping into fans or tapping into

And you won’t need a degree in web design to manage your website. It will quickly become second nature with the help of Razsor’s guides and tips on getting the most from your digital marketing solution. But simplicity doesn’t mean a lack of behind-the-scenes complexity – Razsor delivers more than 1,000 online referrals a month in addition to an average of 41 calls and five emails per month, driving valuable, qualified leads to your business. friends of friends.’ One factor O’Donogue was keen to emphasise was that lead management was as important as lead generation. Surprisingly perhaps, he said: ‘Talking to dealers we find that emails are being ignored and phone calls aren’t being responded to. If you’re spending money and training your staff to handle digital inquiries, and you’re getting leads in, you need to make sure that you’re managing them properly. ‘Some dealers aren’t working hard enough to respond to those leads in the right way.’ A couple of interesting slides from O’Donoghue showed dealer responses to email inquiries. One response was along the lines of: ‘Sorry, that car has been sold.’ Another began the same way but went on to suggest an alternative purchase for the inquirer, starting a conversation and forming a relationship with someone who had approached the company via the web. ‘Automotive is still slightly behind in terms of digital adoption. But we’re rapidly moving forwards and the next 18 months are going to be a crucial period,’ concluded O’Donoghue. With Razsor on board you’ll be forging ahead in no time. CarDealerMag.co.uk | 55

focus on.

lead generation event AutoTrade-Mail

Making the right connections W: Autotrade-mail.com T: 01243 523000

56 | CarDealerMag.co.uk

on your website and advertising but if you’re advertising a crappy car, people won’t bother coming to see it. ‘Use your forecourt and advertising space wisely. If you’ve got an old car that isn’t selling and is starting to look a bit tired, you’re probably better off selling it and getting another one.’ Jeff touched on a theme many of our speakers mentioned in their presentations: The fact that customers’ behaviour has changed immeasurably over the last few years. ‘We know that consumers will spend a lot of time finding the car they want before they get to you,’ he said. ‘You’ve got to use the same information that consumers are using to find the type of cars you should be stocking. They are getting fussier and more cautious. They are better informed these days and make fewer than two visits to dealerships. ‘Widen your sourcing net – and use businesses like Autotrade-mail and others to make sure you’ve got the widest net possible to find cars. Use all the data you can to value those cars. It’s not just about the trade price of a particular car, it’s about what you can actually sell that car for. ‘If we started selling more cars for slightly less money, we’d turn them over quicker, thereby having more interesting cars, and therefore more customers looking and generating leads for you.’ Pugsley focussed on a few facts and figures relating to Autotrade-mail during his part of the presentation. He said the website offered 20,000 vehicles a month, ‘up there with the level of auction houses – and we’re just a “little” website!’ There are 3,900 unique visitors to the site every day, with more than 60 per cent of those people visiting more than twice a day. More than 350,000 emails are sent daily, and every car that’s advertised goes to at least 400 dealers. ‘Dealers have access to the stock 24/7, 365 days a year, via their desktop or mobile device,’ said Pugsley. ‘Whenever they’re looking for cars and want to access their stock they have got it to hand straight away. The industry these days is very fastpaced, we’re working in an ‘‘e-cultured’’ way. ‘Operating in real time is very important. We can deliver notifications of vehicles within 120 seconds

‘‘

A key point about Autotrade-mail is that all members have been put through a stringent vetting process so new joiners can be confident they are only dealing with reputable traders.

‘‘

f there’s one thing that counts in a company’s favour when trying to drum up a bit of new business, it’s a testimonial or recommendation from an existing satisfied customer. At Autotrade-mail. com they’ve got dozens of them – and when you learn a few facts and figures about the company, it’s easy to see why it’s so highly regarded. In the 13 years since its formation, Autotrademail has grown to become a phenomenally successful B2B business with a simple mission in life. As sales manager Gee Pugsley told his audience at Car Dealer’s Lead Generation Event: ‘Our aims are simple: To buy and sell trade stock, help you generate leads, help you convert those leads and ultimately make you money.’ Pugsley shared Autotrade-mail’s slot at the event with his colleague Alistair Jeff who said the company now has more than 5,000 subscriber members, and is used by 35 per cent of the franchised dealer network. Sixty per cent of Jaguar dealers use Autotrade-mail, as do 77 per cent of Lexus dealers. And Jeff was keen to point out that Autotrademail – built by dealers for dealers – has won the lead generation category of the Car Dealer Power awards for the last two years. In a nutshell, Autotrade-mail is an online tool to assist dealers in the buying and selling of trade vehicles. ‘We help turn leads into sales,’ said Jeff. ‘You might have a vehicle that has come in as a part-exchange that is not the type of vehicle you normally sell. Autotrade-mail can help you underwrite that vehicle. We can get you the extra couple of hundred pounds that customer’s looking for. ‘We can help you convert a lead you have struggled to generate in the first place. And say you’ve got a customer in, but you haven’t got the exact car they want. We can help you with that too.’ Autotrade-mail is also able to help dealers clear over-age stock. Jeff said: ‘You need to make sure that you have got the right kind of cars for the leads that you’re generating. You’ve got to free the space on your forecourt of cars that aren’t so good and aren’t driving leads. ‘It’s absolutely brilliant to spend loads of money

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AutoTrade-Mail’s Gee Pugsley and Alistair Jeff

TESTIMONIALS

‘You’re the best of the lot’ to a dealer’s desktop. What does that mean? Vehicles are sold within minutes.’ Another key point about Autotrade-mail is that all members have been put through a stringent vetting process so that new joiners can be confident they are only dealing with established and experienced members of the motor trade. If this all makes you keen to get involved with the team at Autotrade-mail, you’ll be pleased to know that getting started on the site is easy. Members can specify which makes and models they are interested in and where in the UK they are happy to receive them from. In addition, you can set age and mileage criteria and edit this information at any time. Whenever another dealer offers a car that matches your profile, Autotrade-mail email you

a description of it and include the dealer’s contact details. It’s as simple as that! There are no middle men and no handling fees. If you’re selling, the system scours its database and draws up a list of dealers who are most likely to be interested in your car. Dealers who wish to bid for your car are then free to contact you directly, leaving you in control of the whole process. The company has proven time and again that the more relevant dealers you can put your car in front of, the more likely it is that one of them will really want your car and so offer you a higher bid for it than perhaps your local trade contacts can. Lead generation, increased profits and a smoother running business… that’s what Autotrade-mail can do for you.

Autotrade-mail issue new members with a handy booklet to help get them up and running… and it features a selection of quotes from happy customers. Mark Wall, of Forest Gate Group Vauxhall, says: ‘You’re the best of the lot. I place quite a number of cars on the system and find it not only the easiest site to use but also very quick to place adverts. It’s also the only system I use for sourcing my stock.’ Haydn Board, of HGB Motors, adds: ‘Autotrade-mail has played a big role in making my business as successful as it is now. It has helped us build the partnerships that we needed to expand and grow the business.’ CarDealerMag.co.uk | 57

focus on.

lead generation event MediaHawk

Are you from the Duran Duran era? W: mediahawk.co.uk T: 0844 245 1316

ealers’ behaviour has changed in the last three years especially with the use of the internet – and not for the best. Mediahawk’s sales and marketing director Harry Bott began his speech by lampooning delegates to get their attention. ‘A dealer wouldn’t dream of buying a white good without looking at whether it’s cheaper online, yet not a single one of you buy your product,’ said Bott. ‘How many of you have spent £20,000 of your own personal money to buy a car? I have; you haven’t. Do you know what it’s like to have spent £20,000? ‘That is the biggest challenge car dealers face. Your behaviour has changed with products, but you’d have no idea what it is like to buy a product. What I am trying to get dealers to understand is to think like a consumer – if dealers think like their customers they will generate more leads, then they’ll convert them and they’ll earn more money.’ Bott believes the crux of the problem lies with dealers coming from a different generation and failing to adapt to a changing consumer. ‘The bulk of dealers come from the Duran Duran era, and your name is Rio,’ he said. ‘In those days we had price differentiation where a dealer would put their advert in Auto Trader. There might be five BMW 3 series in there and that was all the customer could see in terms of what they wanted. ‘A dealer would have a £1,000 price differentiation on the bonnet. Cars were appalling 10 to 20 years ago, they broke down – that gave someone a reason to come to a dealer, and there was something called localism – customers who lived 10 miles away from a dealership.’ Bott compared the 1980s with the current times where there’s market transparency, there’s 20,000mile cars, and customers have mobility. ‘Customers have changed,’ added Bott. ‘Some 70 to 80 per cent of all calls from call tracking originate from the internet, 18-30 per cent of car customers phone dealers from their mobile, dealers miss on average around five per cent of their inbound calls, 58 | CarDealerMag.co.uk

and the calls they do answer they take 11 seconds to pick up.’ So how do you generate more leads? ‘It’s actually not that complicated,’ said Bott. ‘Use what consumers are using – so take a look at Google pay per click, direct mail, websites like Auto Trader and in certain areas, local newspapers. ‘The car industry is not on its backside – 1.9m cars are still being sold. With the pound strengthening dealers are going to be selling more cars. Cars aren’t the problem,’ said Bott. ‘It’s how you manage your leads.’ One way of managing those leads is using a firm like Mediahawk – a specialist in call tracking. Bott added: ‘Dealers can assign a unique telephone number to their website users so they can follow every single lead – where the customers goes to on your website, and when they pick up the phone, and then you can listen to their phone call. Because the web is where consumers are going, dealers can go with them.’ But it’s managing leads which is the biggest challenges dealers face, believes Bott. ‘The biggest level of enquiry you’re going to get to start with is telephone. There are lots of statistics saying that with the number of forecourt customers down, it is bad news for dealers. It is not. Many of our customers have never been more profitable – you’re still selling the same if not more cars. It doesn’t matter if there are less people on your forecourts – 10 years ago all these additional forecourt customers were tyre kickers. ‘Now they are phone kickers – they’re ringing you up and enquiring about cars. A lot of dealers don’t take these seriously – more fool you.’ Dealers should be telephone-interviewing their staff, says Bott. It’s the first communication tool with customers and is vitally important as customers do not drive out of their way to book their car in for a service, they phone. Use call tracking on your inbound and outbound calls to find out where you’re going wrong.

HELD In association with razsor

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Margins are so slim on cars that dealers don’t love their customers – dealers need to. A customer spending £20,000 should be loved.

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Media Hawk’s Harry Bott

‘We mystery shop our customers and consistently 25 per cent will never respond to an email. How would you feel if a company selling white goods did not reply to your email? And yet you want me to spend £20,000 and you can’t be bothered to respond to me? There’s a disconnect going on here and one reason for this is margins. Margins are so slim on cars that dealers don’t love their customers – dealers need to. A customer spending £20,000 should be loved – it’s a lot of money.’ Another tip is to conduct a response audit. ‘When was the last time you tried to buy a car from your own dealership? It is remarkable; send in an email to try and buy a car – you can’t do it! Go and do a response audit and look at what happens when you phone or email your dealership, or send a friend in and see how they are treated. ‘You will find one of your squeeze points, you will have some awful response rates, and you’re going to have a very odd attitude where your sales people will not care in how they burn you.’ Finally, what should be a dealer’s action plan to make the most of their leads? Bott adds: ‘First thing you should all do is go and have a look at your website on your smartphone and weep. Go and have a look at the web trends on the number of people who have visited on a tablet or a smartphone in the last month… and weep. ‘Next conduct a response audit, and review your sales process – does it fit for the modern, changing consumer? Next telephone interview you staff and train your staff, and finally implement full enquiry tracking and analyse results to improve conversions.’ Try these things, says Bott, and then call his firm in to help. CarDealerMag.co.uk | 59

focus on.

lead generation event Motors.co.uk

Pandas and Penguins are not always cute, says Motors W: motors.co.uk T: 0845 265 6000

et your website mobile and integrated with the internet’s changing trends was the message from the second largest used vehicle classified site, Motors.co.uk. With a presentation entitled ‘Five things we’ve learnt over the last 12 months’, Motors.co.uk’s head of research, Dermot Kelleher, outlined the changes the firm has had to make to its online presence due to a changing world wide web, and how dealers could take a leaf out of Motors’ book. ‘It’s very hard to pick up a trade title and not see a strong emphasis on SEO and ensuring a dealer’s website consistently returns good search results,’ says Kelleher. ‘We’ve been affected by Google over the last 12 months, and have discovered that Pandas and Penguins aren’t necessarily cute.’ Kelleher was referring to the raft of changes the search engine giant has implemented over the past year. ‘Panda hit UK algorithm in April 2011 and was a major change to many of the 600 factors Google uses to rank websites,’ explained Kelleher. ‘It rewarded sites that produce a lot of original content and punished sites that stole content from others. ‘Penguin hit the algorithm in April 2012 and while the full effects are still being understood, the update appears to target artificial or “link spam”. It rewards sites that naturally generate links from its online presence and content, and links from wellknown and trusted sites are especially well-regarded. ‘What did we do about Panda? Well, over the course of 2010 our volume of traffic from organic search terms like ‘‘used cars’’, ‘‘used cars Hull’’, or ‘‘used BMW Bromley’’ was increasing. However, with the Panda changes we actually saw an initial fillip as some of our competitors suffered, but much like that extra round of shots in the pub, we thought we had got away with it... but we hadn’t.’ Motors’ team of busy bods quickly identified that their site didn’t have enough editorial on their website. While they had many cars advertised on their website – around 160,000 no less – a lack of editorial was pushing Motors down the search engine results. ‘While no protection is absolute, there are some key factors to focus on to ensure your site rankings are not affected,’ said Kelleher. 60 | CarDealerMag.co.uk

‘You should be focussing on the volume and quality of inbound links, unique editorial content and consistently update it, make sure there’s a balance between editorial and advertising, concentrate on your page load speed and bounce rate, and the use of social media such as Google+ and Facebook pages.’ While much has already been said about the importance of mobile users to dealers and their websites, Motors believes this year is the most important year. ‘We have found over the last 12 months that consumers using their mobiles is here – 2012 is the year of the mobile,’ said Kelleher. ‘I heard recently that if you don’t have a mobile version of your website, you are effectively shutting down your website for a day. The number of visitors we are seeing via mobile is about 15 per cent of our traffic – that has doubled over the last year.’ But do dealers opt to make their mobile website suitable for the simplicity of iPhone or the marketleaders Android? ‘An alternative strategy is to rebuild your core site in HTML5 and make your website responsive,’ explained Kelleher. ‘Motors’ Auto Exposure service is a great provider of this and takes a dealer’s website and scales it neatly into a mobile format. Mobile and tablet formats should feature highly on your to do list. ‘ So too should Facebook. Advertising on the social

media site can pay huge dividends – but dealers must have a strategy. Facebook attracts around 31m UK unique visitors per month and the average time spent per month on the site is seven hours. Motors has found 43 per cent of consumers now use social media in some way – up from 27 per cent earlier this year – and according to Hitwise research, each new Facebook fan drives 20 additional visits to a company’s website. ‘A big cheque book to fund large advertising campaigns is not the world we have been living in,’ remarked Kelleher. ‘TV and radio target a big reach, but it’s expensive to produce and pay for air-time, and you could be targeting people who are not in the market to buy, and it’s hard to track. ‘We’ve been experimenting with YouTube, Criteo and Spotify to get our message our there – and perhaps dealers should be doing the same. Why? Because there’s a strong opportunity to target and retarget people, it’s easy to calculate ROI, and there’s an engagement with customers.’ Advertising on a used car portal is a direction dealers should be taking to generate leads, says Kelleher. ‘We understand the desire to quantify how unique a dealer’s sales are and we can help dealers with this.’ Perhaps, then, you should put in place an online strategy in this, the year of the mobile.

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Motors.co.ukâ&#x20AC;&#x2122;s Dermot Kelleher

CarDealerMag.co.uk | 61

focus on.

lead generation event

CITNOW

Use the personal video approach W: citnow.com T: 01189 121 040

62 | CarDealerMag.co.uk

of discovery every time – whether that’s to your website, to Auto Trader or to wherever. They probably know more about the product that you do. Customers yearn for video. Will you be an early adopter and use video to get more leads into your business?’ Video sales system provider CitNOW could be the perfect provider for a dealer wishing to become a video adopter. They originally began working with Honda on their interactive television adverts, and can now count BMW, Mini, Mercedes-Benz retail and Renault Retail Group along with a raft of dealer groups including Sytner, Lookers, JCT600 and Inchcape as valued clients. ‘We started in 2006 and we have a combined automotive experience of 30 years,’ says Horsburgh. ‘We are trying to use raw sales management knowledge and translate it into ways dealers can use video. And that is the key to our success – allowing sales managers to understand how video will assist them to not only convert but to generate leads. We’re a relatively small business – there’s nine of us – and we’ve got a video sales system that essentially generates and converts leads.’ The firm can send dealers a free guide to make the most of video: ‘It’s a video toolkit which will tell you everything you need to know about video. We’ll tell you how to set-up free video – and the guide is free too.’ Horsburgh urged dealers to work out their own digital sales process. ‘What percentage of your appointments actually turn up?’ he asked. ‘The research we have done is that less than 50 per cent of all appointments turn up to a franchised dealer’s forecourt. It’s because it’s a tactic to get the sales person off of the phone. What percentage of your email enquiries can you not get hold of on the phone? And how many appointments turn up at your showroom and not even know the salesperson’s name they have come to see? I urge

‘‘

We did a pilot over six months with eight dealerships and we created 1,100 videos for enquiries. They converted nearly 40 per cent.

‘‘

t’s the same in virtually every industry: The early adopter is the winner. That was the message from video software provider CitNOW’s sales director Alistair Horsburgh. ‘I’m going to take you back in time,’ Horsburgh told the Car Dealer Lead Generation delegates. ‘Back in 1997 my camera was a Sony floppy disk camera. You could be lucky to get 25 pictures on it. ‘The sales person would come back inside, wait for the computer to warm up, upload the pictures and then wait another long time. You had no choice. ‘A bad photograph was always better than no photograph at all. And that was the premise – if you were fortunate enough to have a website back in the late Nineties, a photograph was the be all and end all.’ Horsburgh told the audience how he had spent 18 years as a car dealer and that then it was all about getting ahead of the competition. ‘Some 15 years on, what has changed? Are you an early adopter today, or have we gone full-circle? Does every photograph now look the same on a dealer’s website? Has the raw personality gone? Are you struggling to make your cars look different from the other dealers?’ he asked. ‘In 1997, I was a sales manager with a team of 15 sales people and 400 cars in stock. And when I look back the job was quite easy – 80 per cent of my customers would walk in, 20 per cent would phone-in, and I would be lucky to have an e-mail enquiry. It was all about the test drive and getting bums on seats.’ Looking at CitNOW’s current client base about 35 per cent walk in, 45 per cent pick up the phone, 15 per cent email, and there’s a small proportion of live chat. ‘Nine out 10 customers will use the internet before they view a car, and they go on a journey

HELD In association with razsor

CitNOW’s sales director Alistair Horsburgh

you to work out your own digital sales process.’ But what does this mean? ‘We did a pilot last year over six months with eight dealerships and we created 1,100 personalised customer videos for enquiries. ‘They converted nearly 40 per cent. We concentrated on three areas – using video as an effective meet and greet tool, a presentation tool and a virtual demonstration.’ Any dealer choosing CitNOW receives a free copy of ‘The Digital Road to the Sale for Car Dealers’, which is the aforementioned, tried and tested sales process.

Don’t think that CitNOW is just the dispenser of excellent free advice, though. CitNOW has some rather nifty products that allow dealers to use iPhones and iPods to make videos, and all of their equipment easily integrates with Facebook, Twitter and YouTube. A complete suite of training modules is also included so sales people are as effective on and off camera as possible. Some good examples can include Car Shop which has converted 50 per cent of their live video requests on their website. Customers just click the video request button and enter their first name, and

within 20 minutes Car Shop will ring them and transmit live video to them. ‘We’re also doing some work with BMW and Mini and it is one of the first brand integrations for video on a manufacturer’s website for used cars. It is the only one we are aware of, and Mini has had close to 1,000 video requests in the first month of it being live. Video works.’ Any dealer wishing to try out the software can take advantage of a 28-day money-back guarantee if they feel being an early adopter is not for them. Which is highly unlikely after trying it out. Why not give them a go? CarDealerMag.co.uk | 63

focus on.

lead generation event Contact Advantage

Give us a pound and we’ll give you three back W: contact-advantage.com T: 08452 262650

eing different is one of the keys to success for any business, according to Bob Feltham from Contact Advantage. The firm works with many big names in the motor industry to drive efficiencies, enhance service, increase profitability and improve retention. It was Feltham’s second appearance at a Car Dealer event – he also delivered a presentation at our Profit Clinic in December last year and he told his audience: ‘The reason we’re back is that it worked for us. We got some good business from appearing on this stage.’ On his theme of standing out from the crowd, he added: ‘There is no point in having a website that no-one remembers, there’s no point in having a name that no-one remembers. Differentiation provides needed contrast and helps people make choices. If you don’t stand out, people aren’t going to remember your name.’ But although being different is important, it’s even more vital to manage the leads that are coming into your business. And this is where Contact Advantage can help your business survive and thrive. The company works with motor manufacturers, supplying data to the people at the top about the successes (or otherwise) of individual dealerships within their organisation. Feltham said that the most common reason why businesses fail is that they don’t move with the times. He argued that it’s no good sticking to the mindset of ‘business is tough, we’re in recession, it’s never going to change’. He added: ‘We know that if you make your brand slightly different, you make it stand out, and you make the machinery work, you’re going to get an awful lot of business.’ Feltham acknowledged that times are indeed tough and that extracting profit is harder than ever. And as an example of what happens if businesses don’t get it right, he cited Tesco Cars, which closed down earlier this year. On a more positive note, however, he used the case of Premiership footballer Fabrice Muamba to illustrate the difference that Contact Advantage could make to your business. Muamba, who suffered a cardiac arrest on the pitch at White Hart 64 | CarDealerMag.co.uk

INSIGHT Contact Advantage will help put you in control of the performace and processes of your business. CA:Automotive is the ‘ultimate’ showroom CRM solution for keeping track of all your leads and maximising your sales potential. CA:Automotive gives you the control to make sure customer contacts are made consistently and professionally. It improves sales performance by ensuring that prospects are identified, customers are followed-up and that all elements of your sales process are fulfilled in the most efficient and professional manner.

Lane earlier this year, was saved by a Dr Andrew Deaner, consultant cardiologist at London Chest Hospital, who ran out from the crowd. Feltham observed: ‘One guy from a crowd of maybe 40,000 people was able to run out and save his life. With business it’s nearly the same. If you can get one good guy in, they can turn a business around. We have just done an exercise with a Ford business which has been run traditionally for a long, long time and we pulled in £58,000 of incremental profit by using modern, effective ways of managing leads. ‘Don’t let your leads just drift along, otherwise, guess what, you’re not going to make any money.’ To emphasise the worth of an investment in Contact Advantage, one of Feltham’s slides said: Give us £1, we’ll give you £3 back! Feltham claimed the motor trade as a whole could do more to manage leads effectively: ‘Dealers don’t move leads forward and they don’t realise you need a lead to be managed all the way through. ‘Contact Advantage can do this. We have a call centre and we can manage that data. If there are problems, we will talk to the manufacturer and dealer about where they’re going wrong.’ Another key word for dealers is recommendation, said Feltham: ‘It’s really important that you get as much positive feedback as you can on the product

or service you are supplying. ‘Trust is being built differently these days,’ he explained. ‘It comes from the internet where experiences are shared online. If you’ve got negative feedback on your website, you need to be addressing that with your customers. ‘Your buyer has a need. They research solutions, get educated a bit and contact the most helpful and authoritative. Sound familiar? This trend is fuelling the rise of content marketing.’ The fact that customers are becoming more knowledgeable has drawn attention to gaps in the expertise of dealer staff. Another of Feltham’s slides said: ‘Research showed that 50 per cent of customers cited perceived attitude and knowledge of staff as poor.’ Feltham observed: ‘In some ways that’s something of a red herring because the knowledge has always been slightly iffy. It’s probably always been at that level but now customers have got an option… they can go onto the Which? website, or Motors.co.uk or What Car? and do some research.’ Feltham went on to discuss the importance of dealers’ systems operation in real-time. ‘The CA system is a live system,’ he added. ‘It picks up the data from the manufacturers, so say there’s an offer on Monday morning at manufacturer level, every single site has that information captured, right up to date. If your system is not working live, it’s probably the wrong system. ‘Customers expect immediate responses. If you think that an email not being answered in a couple of days is not a problem, I can let you know that at Vauxhall, they are measuring those responses in minutes. If you do not contact them quickly, customers will drift – guaranteed.’ And of course, that customer’s email address is a valuable marketing tool. Feltham said: ‘Ninety-five per cent of email data collection is the norm at most dealers now. If you’re not getting 95 per cent, then you need to drive it and that might involve a session of sitting down with people and showing them how to do it. Most people in the country now have an email address and if you’re not getting it, you’re probably missing out. If you’re still focusing on traditional marketing, you’re spending a load of money that you probably don’t need to spend.’

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Contact Advantageâ&#x20AC;&#x2122;s Bob Feltham

CarDealerMag.co.uk | 65

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lead generation Event GOOGLE

Get searchers to your site and make more money W: google.com T: 020 7881 7430

e all know that having an attractive and effective website is crucial if you want your business to do well... and there was plenty of advice at Car Dealer’s Lead Generation conference to help delegates in that particular area. But how can you make sure that potential customers are actually going to find your website in the first place? Well, that’s where Google come in. Googling is of course a verb in its own right, and seems to be the search engine of choice for the majority of the population. Google’s automotive industry manager Alex Rose had plenty of useful advice for dealers of all shapes and sizes. A couple of recurring themes were the flexibility Google offers and the importance of being relevant with your internet presence. Rose said that car dealers should think more about promoting their aftersales service online and warned: ‘Your business does various things. You sell new, you sell used and you’re involved in upselling as well. So often I see a completely different approach to Google and to paid search across those three business areas. ‘I often find that new cars are pretty well covered, used cars may be but aftersales completely ignored with no visibility at all in front of local consumers. ‘Third parties in the marketplace are doing very well because the average dealer doesn’t promote their aftersales particularly well online.’ Much of the automotive advertising that Google carries is hosted on a ‘daily budget’ principle, explained Rose. ‘So often we find that a dealer will be generating leads at a cost-effective price that they’re happy with,’ he said. ‘What happens is that at some point during the day, they will hit a budget cap and the ads will switch off. ‘My challenge would normally be, if you find these leads are profitable to you, why do you stop? If you’re paying £20 or £30 for a lead and you’re getting £50 profit, why would you turn that off?’ Stressing the importance of having a mobile site, he said: ‘It’s been said that it’s like shutting your shop for one day a week if you don’t have a mobile site. For

Google’s Alex Rose

some automotive brands, it’s more like shutting your shop for two days a week. Some brands out there are getting over 25 per cent of their search volume from mobile devices. ‘Needless to say, on mobile, visibility is really, really important as well. There are only two paid search results you can see on mobile without scrolling down.’

One of the tips Rose had for his audience was to move away from running a daily budget and adopting a cost-per-lead approach. He mentioned a Google colleague who looks after airline clients and contrasted the approach from that industry: ‘They never think about a budget. All of it is down to cost per lead. They know exactly what the profit is on a seat on a plane from Glasgow next week. We’re seeing it more in automotive but you need to set a cost per lead – a realistic one – across all areas of the business.’ He went on: ‘Bring your ads to life a bit. Make them more expansive and more powerful.’ And he mentioned a very clever tool called the ‘conversion optimiser’. He said: ‘What will probably happen is that you might get less clicks. You might get a lower click-through rate, and a higher cost per click. That sounds bad but what you will find is that optimised key words, and the time of day, and the browsers and the locations are all geared up to drive the inquiry for you. On average, when we do this, you’ll get 21 per cent more leads at a lead cost 14 per cent lower.’ The key fact to remember is that consumers look at a total of 18 online sources when they search for their next car... and you need to be in that number. With Google on your side, you’ll have the best possible chance of success. CarDealerMag.co.uk | 67

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lead generation MOTORS.CO.UK

The perfect partner in the search for quality leads W: Motors.co.uk T: 0845 265 6000

And the advantage of this? ‘The dealer then knows how much they spent on advertising – “I got this number of phone calls, and each call was worth this much to me”,’ says Jones. That’s not forgetting the websites partnerships either. ‘Last year was very important for us as we made a number of investments and went to market with a number of initiatives,’ explains Jones. ‘We feel we have real momentum at the moment.’ Along with growth in traffic, vehicles, and dealers, the initiatives included new messages to the public and new deals with the car advice website Honest John – the latter of which joined another of Motors.co.uk’s partnerships, namely Parkers.co.uk. New partnerships are good news for dealers using the Motors.co.uk platform. Such associations reach further into consumers’ research habits, and by Motors.co.uk appearing on websites consumers use when they are finding out what the experts think of a car, consumers are more likely to be directed to a dealer’s classified advert on Motors.co.uk. That’s not to mention the fact the firm is powering the used car search engines on Mail Online, LocalPeople and Thisis. ‘Our partnerships with regional newspaper groups also grew as did our sales teams,’ explains Jones. ‘Regional newspaper groups

‘‘

If dealers don’t know where the leads are coming from, then dealers are spending blindly on marketing and that is a waste.

‘‘

enerating leads may sound like an easy thing for dealers to be doing, but how do you not only generate them but be assured they are good leads? Well, perhaps Motors.co.uk can help. It’s the UK’s second largest used car classified website, and is an advertising portal that can really take dealers to new levels in terms of leads and acquiring new business. ‘The advantage of an advertising portal is that it has a mixture of stock on there, so users are going on there because they want to see different types of cars,’ explains Jones. ‘There’s no denying that there is a market and a need for a dealer’s own individual website, but a portal exists because people want choice and this is exactly what portals offer. ‘A portal can also generate enormous economies of scale, by taking the money from dealers and investing that in marketing.’ Advertising portals like Motors.co.uk couldn’t be simpler to use. Not only is the website incredibly fetching for customers to look at and search on, but the portal can increase dealers’ sales significantly. But it’s the way you use it which makes the difference. As with most things, there’s always another side to the coin. It’s not only the practice of capturing leads that dealers should be concentrating on, but knowing where the leads have come from is just as important. ‘If dealers don’t know where the leads are coming from, then dealers are spending blindly on marketing and that is a waste,’ says Jones. ‘We feel that dealers should have a mix – this can be different portals, the dealer’s own website, Google Ads, and local press. ‘But dealers need to know where their leads have come from and the great thing about portals is that they show the number of phone calls, and the number of clicks, and emails their stock has had.’ Motors.co.uk’s software will report back to the dealer on how many times their cars appeared in search listings, how many times it has been looked at, how many times a customer has printed the details, and how many times a customer has called.

are very important to us as they provide a local audience and a sales team, and the more newspapers we’re in, the more promotion we get.’ More promotion means more potential customers for dealers. Motors.co.uk currently has partnerships with more than 200 local newspapers that reach a significant 38 per cent of the UK population. And only in May the firm announced it had partnered with local newspaper group Johnston Press extending its highly local reach through its existing partnerships with nine other local newspaper publishers including Northcliffe Media, Trinity Mirror, Archant and Iliffe News & Media. With such loyal partnerships and a top-notch advertising platform, Motors.co.uk could be the perfect partner to generate more leads for dealers in 2012.

CarDealerMag.co.uk | 69

focus on.

lead generation MEDIAHAWK

Tracking those vital calls W: mediahawk.co.uk T: 0844 245 1316

ouâ&#x20AC;&#x2122;ve heard it all before: Customers are using the internet more and more when buying their new car. In other words, itâ&#x20AC;&#x2122;s getting harder for dealers to generate and track leads in the traditional way. So dealers need powerful software to get ahead of the game â&#x20AC;&#x201C; and this is how Mediahawk can help. â&#x20AC;&#x2DC;Weâ&#x20AC;&#x2122;re a market-leading call tracking provider,â&#x20AC;&#x2122; says Mediahawkâ&#x20AC;&#x2122;s sales and marketing director, Harry Bott. â&#x20AC;&#x2DC;This year weâ&#x20AC;&#x2122;re celebrating our 10th anniversary providing innovative call tracking solutions to dealers, and we can count Aston Martin, Kia UK, and Inchcape Retail as some of our happy customers.â&#x20AC;&#x2122;

Thatâ&#x20AC;&#x2122;s probably due to their simple and easy-tounderstand product line-up â&#x20AC;&#x201C; there are just three: call recording, classic call tracking, and a brand new product called vision call tracking. The first product records inbound and outbound calls so dealers can learn exactly how they can improve their telephone patter. Classic call tracking is an effective and easy-to-use system. Its strengths are simple: Customers may be using a dealerâ&#x20AC;&#x2122;s website but they may resort to the telephone to make their inquiry. So how do dealers track those calls that came from their website? Dealers can track every call from Adwords, search terms, emails, referring URLs and more, to find out

intelligent information on ROI, and how best to manage those leads. Mediahawkâ&#x20AC;&#x2122;s brand new service called Vision Call Tracking is state-of-the-art. Quite simply itâ&#x20AC;&#x2122;s a visitor-level call-tracking solution designed to follow customersâ&#x20AC;&#x2122; paths through a dealerâ&#x20AC;&#x2122;s website to when they pick up the phone and call the dealer. Having a path of where the customer has been on a dealerâ&#x20AC;&#x2122;s website allows the dealer to be well prepared when the customer makes the call. Prices for Mediahawk call tracking start from ÂŁ8.99 per month, and any new dealers interested in Mediahawk call tracking can take advantage of a free six-week trial.

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DIRECT AFFINITY SOLUTIONS

Getting the blend right W: directaffinitysolutions.co.uk T: 0845 643 4570

t’s not just coffee makers who use the right blend to achieve success. Direct Affinity Solutions know that their combination of knowledge, skills and attitude can lead to a vastly improved sales performance for car dealers of all shapes and sizes. And that’s no idle boast. The company is proud to have worked with many of the top 50 car dealer groups and independents in the last quarter – helping all of them sell more cars and increase profit. The team at Direct Affinity Solutions are experts at prospecting for new customers and working lost sales opportunities. And although they realise that a dealer’s logical

approach has always been to do this in-house, for maximum effectiveness, it’s a far better idea to harness the benefits of their dedicated sales team who are experts in the industry and work with state-of-the-art call centre technology. Many of Direct Affinity Solutions’ partners have been pleasantly surprised by the fantastic return they have received for their investment. And what could be more important than generating those crucial leads? After all, without lead generation there are no sales. With an outstanding track record and a deep understanding of how to generate high-quality targeted sales leads, Direct Affinity Solutions will

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Lead generation—helping you find the people who are in the market to change their car today. We are very proud to have worked within 1 in 5 of the Top 50 car dealer groups in the country in the last quarter alone— helping them all sell more cars and increase profit. Without lead generation there are no sales—it’s that simple. With an outstanding track record and a deep understanding of how to generate high quality targeted sales leads, we will help drive the success of your sales team. We know and understand that a dealers’ logical approach has always been to do this in-house. However, for maximum effectiveness, efficiency and consistency, our partners find that our dedicated customer contact team are delivering outstanding results. Lead generation success from us, means you don’t waste the time of your sales executives cold calling or prospecting. Let us generate leads and let them sell.

help drive the success of your sales team. Direct Affinity Solutions work closely with their clients. Customers are qualified properly and a lead is only generated when the decision-maker has clearly indicated a current need for your products and services. The company’s impressive track record and growing reputation within the automotive industry is seeing it go from strength to strength. Director Phil Williams said: ‘Our services are having a really positive impact on the sales activity of our partners. ‘We are already starting to book up throughout July, August and September but we would welcome the opportunity to support new clients.’

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focus on.

lead generation Sales tracks

Give callers the personal touch when they ring W: Salestracks.co.uk/motortrade T: 0207 462 5630

‘‘

mobile number so that becomes a sales person’s own personalised content within the network. ‘Each one of those messages costs £50 including VAT to make. If they don’t want to spend the £50, they can have one of the free messages and then just pay £2 a month to play them as many times as they are called. ‘This service isn’t rocket science, but it is different. All we’re trying to do is give a motor sales person an edge. It’s for anyone who uses their mobile phone in a sales environment to engage with their customers or their prospects.’ The great thing about Sales Tracks is that there is a lot of flexibility built into the system. Jackson explained: ‘You can turn them on, you can turn them off, you can have them on at certain times of the day, and you can have certain messages for certain inbound numbers. ‘So if you were to take the really high-marque car dealerships, where they take customer satisfaction to the nth degree, you could actually set up a message that said, ‘‘thank you Mr Jones for calling Bentley’’. ‘And with Sales Tracks you can get the conversation with your customer started before you have answered your phone. So if a caller has been told they are ringing HR Owen for example, the salesman can answer the phone and simply say, ‘hello, this is Richard’. It takes the hassle out of the call and breaks the ice.’ Getting started with Sales Tracks couldn’t be easier either. It’s simple to set up and no extra hardware or software is required. There’s an easy-to-use self-management interface and the minimum contract term is just one month. So if you don’t like it, turn it off. But you probably won’t want to do that. With Sales Tracks, your customers will be engaging with you before you’ve even answered the phone! And as Jackson concluded: ‘That in itself will help you achieve sales success.’ [CD]

This service isn’t rocket science, but it is different. All we’re trying to do is give a motor sales person an edge. It’s for anyone who uses their mobile phone in a sales environment.

‘‘

very once in a while a new product or service comes along that’s simple, effective, and very reasonably priced. Sales Tracks is something that certainly falls into all three of those categories. Put simply, it’s a mobile service which allows you to replace the 20 seconds of ‘ring ring’ sound your callers hear with a message or jingle of your choice before you answer your mobile phone. It’s similar to a switchboard message but your callers do not pay to hear it. Sales Tracks are not stored on your phone. They are played directly from within your mobile operator’s network and do not rely on anything being stored in your handset. Anyone who receives business calls on their mobile phone can use the service, so long as the provider is Orange, T-Mobile or Virgin. The Sales Tracks website features a sample message from a fictional Audi dealership – so instead of the ‘ring ring’ before the call is answered, a caller hears the words: ‘You’re calling Audi. Book your Audi A4 Technik test drive today online at Audi.co.uk.’ Clever stuff! In essence, Sales Tracks offers you a unique and exciting way to broadcast your business to your customers like never before. Company founder Richard Jackson told Car Dealer: ‘What we’re doing is kick-starting the service with lots of pre-recorded messages on the website. ‘We’ve picked 36 brands of motor vehicle and 11 major retailers – HR Owen, Sytner, Listers etc – and I’ve pre-recorded some messages that say, for example, ‘‘thank you, you’re calling HR Owen,’’ or whatever it might be. ‘Rather than me approach every car dealership in the United Kingdom, what I’m doing is prerecording some easy-to-use messages on the website which are free for people to use. ‘If they want to go a step further, there’s the ability to have their own message professionally recorded. They’re not recorded by the individual. ‘We send them off to a recording studio where they are professionally recorded and mixed. We then deliver those into the mobile network for that

CarDealerMag.co.uk | 73

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DATA FILE.

..in association with

Thestatistics Used Cars n Top 10 Searches n SMMT Sales Data

How UK car industry’s playing a leading role in economic recovery U

K automotive manufacturers have set their sights on breaking all-time manufacturing records by the end of 2015. Figures released before the SMMT’s annual International Automotive Summit in Canary Wharf this month, suggest the UK could surpass the 1972 record of 1.92m cars produced, with more than two million units rolling off domestic manufacturing lines in 2015. ‘The UK automotive industry is leading economic recovery with increased manufacturing output, growing export volumes and new jobs being created on the back of major international investment in the sector,’ said SMMT chief executive Paul Everitt. Proof that the UK is a leading automotive player was the announcement BMW will build a new generation of high-tech, 3-cylinder petrol engines for the i8 plug-in hybrid sports car at its UK engine plant. Making the announcement at the SMMT Summit, Ian Robertson, member of the board of management of BMW AG, said: ‘Our Hams Hall engine plant will make an important contribution to the future success of the new BMW i brand and the company’s strategy for achieving sustainable mobility. ‘The new 3-cylinder petrol engines will enable our future

‘‘

BMW’s Ian Robertson

BMW i8 plug-in hybrid sports car to set new standards for dynamic performance in combination with industry-leading fuelefficiency and low-carbon emission levels.’ The SMMT summit also heard from a number of influential automotive individuals including HR Owen’s CEO Joe Doyle and Charles Peugeot, Citroen UK sales director. They along with a panel of experts gave their views of the future of retailing, concluding that doing the basics was the most important tip for dealers, and that sales people need to be as informed about product as the customer is. Delegates also heard from a panel made up of Paul Everitt, Vertu Motors’ CEO Robert Forrester and Motor Codes managing director Chris Mason who said the key to dealership success hinges on maintaining and enhancing customer relationships.

Increased output, growing exports and new jobs...

Kelleher

Market insight

Digital radio comes top

e recently ran a survey on Motors. co.uk to ask used car buyers on our site what technology they coveted most in their next car. More than 700 people replied and the results make interesting reading for dealers keen to select the right stock relative to their competitors. In terms of the most desired technology, the clear winner was digital radio, with 63 per cent of respondents saying this was something they wanted, some way ahead of the second most desired technology, namely wireless connectivity between their in-car entertainment system and their smart phone (47 per cent), followed in third place by a desire for MP3 docking stations (42 per cent). Somewhat surprisingly for anyone who has children, just 26 per cent expressed a desire for an integrated DVD player in the passenger headrests and just 14 per cent for integrated games consoles. In terms of sat nav technology, while just seven per cent of our respondents had a dashboard-integrated version in their current car, a whopping 61 per cent said they would like this in their next, way above the 28 per cent who said they would prefer to use a standalone device (e.g. TomTom / Garmin / NavMan) and the 10 per cent who were happy to use a Sat Nav app on their smart phone. In summary, in much the same way as leather seats, air-conditioning and electric windows used to be key purchase criteria, so the added value of in-car technology has become a key factor in the purchasing decision for many motorists.

Who is Dermot Kelleher?

He is head of research at Motors.co.uk. Find out more about how the portal can help you on their website or call 0845 265 6000.

sales@motors.co.uk

0845 265 6000 www.motors.co.uk/mediacentre

CarDealerMag.co.uk | 75

DATA FILE.

Thestatistics Used Cars n Top 10 Searches n SMMT Sales Data

The most searched-for cars on Motors.co.uk

Most popular manufacturer 1 Ford 2 Vauxhall 3 Volkswagen 4 BMW 5 Audi 6 Peugeot 7 Mercedes-Benz 8 Mini 9 Toyota 10 Renault Most popular models 1 Ford Focus 2 BMW 3 Series 3 Ford Fiesta 4 Vauxhall Corsa 5 Volkwagen Golf 6 Vauxhall Astra 7 Ford Mondeo 8 Audi A3 9 Audi A4 10 Renault Clio most popular sub-£10k cars 1 Ford Focus 2 Ford Fiesta 3 Vauxhall Corsa 4 Vauxhall Astra 5 Renault Clio 6 Volkswagen Polo 7 Vauxhall Zafira 8 Peugeot 206 9 Renault Megane 10 Ford Ka

May figures reflect growth in demand from private buyers ... but there are fears the Olympics might hit sales

ew car registrations rose 7.9 per cent in May to 162,288 units, according to the latest figures from the SMMT. May was the largest percentage rise for 23 months boosted by 14.3 per cent growth in private demand, and ending a three-month decline, the fleet market was up 4.8 per cent in May. Registrations over JanuaryMay have risen 2.6 per cent to 868,166 units. ‘May’s 7.9 per cent increase in new car registrations is good news for the motor industry and the UK economy, particularly the steady growth in demand from private buyers,’ said Paul Everitt, SMMT chief executive. ‘There is no doubt that vehicle manufacturers and their dealer networks are working hard to deliver value for money to motorists and the consistent climb in new car registrations during the first five months of the year suggests that confidence

‘‘

The Vauxhall Corsa took the number one position for May is returning, despite financial uncertainty in the eurozone.’ Director of the RMI National Franchised Dealers Association (NFDA), Sue Robinson, said: ‘It is very encouraging that new car sales increased again in May with a boost to private registrations of 14.3 per cent. ‘There are a number of great retail offers currently available to consumers which are tempting people into showrooms and customers are now willing to buy if the offer is right. ‘Consumers continue to monitor their spending and

The government should offer support by reviewing schemes that boost spending.

are looking at ways to reduce their household expenditure. This has resulted in reasonable demand for smaller, fuel-efficient and easy-tomaintain vehicles. The Olympic Games may cause a distraction for consumers. In order for the market to remain stable, the government should offer support by reviewing schemes that boost spending.’ For the first time this year, the Ford Fiesta was knocked off the top spot in the bestsellers table – its rival, the Vauxhall Corsa, earned the number-one position. The May market was more than six per cent and 9,000 units above SMMT’s forecast for the month. The 12-month running rate stood at 1.963 million units in May, almost unchanged from a year ago but some 20,000 units above the 2011 full year figure of 1,941,343 units.

sales@motors.co.uk

0845 265 6000 www.motors.co.uk/mediacentre 76 | CarDealerMag.co.uk

..in association with

SMMT sales data May/year to date May Marque

Abarth Alfa Romeo Aston Martin Audi Bentley BMW Chevrolet Chrysler Citroen Daihatsu Fiat Ford Honda Hyundai Infiniti Jaguar Jeep Kia Land Rover Lexus Lotus Maserati Mazda Mercedes-Benz MG MINI Mitsubishi Nissan Perodua Peugeot Porsche Proton Renault Saab SEAT Skoda smart Ssangyong Subaru Suzuki Toyota Vauxhall Volkswagen Volvo Other British Other Imports Total

2012

82 584 54 10,116 137 10,303 1,430 266 6,039 0 4,073 23,255 3,625 4,774 21 1,126 157 5,176 3,860 695 36 25 1,901 7,282 49 3,576 554 6,722 36 8,238 741 16 2,814 6 2,669 4,696 309 74 86 1,824 6,250 20,275 15,511 2,649 90 86 162,288

% market share

0.05 0.36 0.03 6.23 0.08 6.35 0.88 0.16 3.72 0.00 2.51 14.33 2.23 2.94 0.01 0.69 0.10 3.19 2.38 0.43 0.02 0.02 1.17 4.49 0.03 2.20 0.34 4.14 0.02 5.08 0.46 0.01 1.73 0.00 1.64 2.89 0.19 0.05 0.05 1.12 3.85 12.49 9.56 1.63 0.06 0.05

ALFA ROMEO -43.79%

CHEVROLET +77.20%

Year to date (YTD) 2011

% market share

2012 % Change

81 1,039 88 9,081 110 9,883 807 37 4,953 0 3,104 21,581 2,835 4,270 15 1,124 200 3,873 2,401 471 30 31 2,060 6,050 50 4,262 888 7,892 46 7,452 642 44 4,488 377 2,421 4,484 411 0 264 953 4,370 18,839 15,399 2,851 74 100 150,431

0.05 0.69 0.06 6.04 0.07 6.57 0.54 0.02 3.29 0.00 2.06 14.35 1.88 2.84 0.01 0.75 0.13 2.57 1.60 0.31 0.02 0.02 1.37 4.02 0.03 2.83 0.59 5.25 0.03 4.95 0.43 0.03 2.98 0.25 1.61 2.98 0.27 0.00 0.18 0.63 2.90 12.52 10.24 1.90 0.05 0.07

1.23 -43.79 -38.64 11.40 24.55 4.25 77.20 618.92 21.93 0.00 31.22 7.76 27.87 11.80 40.00 0.18 -21.50 33.64 60.77 47.56 20.00 -19.35 -7.72 20.36 -2.00 -16.10 -37.61 -14.83 -21.74 10.55 15.42 -63.64 -37.30 -98.41 10.24 4.73 -24.82 0.00 -67.42 91.40 43.02 7.62 0.73 -7.09 21.62 -14.00 7.88

504 3,530 422 55,069 558 50,212 7,622 1,265 30,949 0 20,807 126,724 21,785 27,806 268 5,951 967 27,507 22,303 3,938 79 150 12,957 39,579 511 17,463 3,092 43,159 211 43,774 3,168 138 16,476 143 15,755 22,613 2,175 376 1,089 10,568 38,201 94,598 78,684 14,151 428 441 868,166

%market share

0.06 0.41 0.05 6.34 0.06 5.78 0.88 0.15 3.56 0.00 2.40 14.60 2.51 3.20 0.03 0.69 0.11 3.17 2.57 0.45 0.01 0.02 1.49 4.56 0.06 2.01 0.36 4.97 0.02 5.04 0.36 0.02 1.90 0.02 1.81 2.60 0.25 0.04 0.13 1.22 4.40 10.90 9.06 1.63 0.05 0.05

2011

Figures supplied by SMMT

%market share % Change

590 5,500 505 51,220 474 48,187 5,641 254 29,724 2 18,385 120,020 22,715 26,225 153 5,674 809 22,184 17,377 3,532 200 172 14,101 34,292 79 18,703 5,200 39,908 250 41,796 2,481 255 29,609 3,244 15,428 19,138 2,254 9 1,403 8,928 32,648 103,846 77,885 14,594 483 436 846,513

0.07 0.65 0.06 6.05 0.06 5.69 0.67 0.03 3.51 0.00 2.17 14.18 2.68 3.10 0.02 0.67 0.10 2.62 2.05 0.42 0.02 0.02 1.67 4.05 0.01 2.21 0.61 4.71 0.03 4.94 0.29 0.03 3.50 0.38 1.82 2.26 0.27 0.00 0.17 1.05 3.86 12.27 9.20 1.72 0.06 0.05

-14.58 -35.82 -16.44 7.51 17.72 4.20 35.12 398.03 4.12 -100.00 13.17 5.59 -4.09 6.03 75.16 4.88 19.53 23.99 28.35 11.49 -60.50 -12.79 -8.11 15.42 546.84 -6.63 -40.54 8.15 -15.60 4.73 27.69 -45.88 -44.35 -95.59 2.12 18.16 -3.50 4,077.78 -22.38 18.37 17.01 -8.91 1.03 -3.04 -11.39 1.15 2.56

Smmt Has Removed The Following Brands As They Registered No Vehicles In The Uk In 2011: Cadillac, Corvette, Daimler, Dodge, HuMMER

CarDealerMag.co.uk | 77

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Make your advertising tailored and timely Targeting can keep forward thinking dealers ahead of the competition

he modern consumer is ‘time-poor’. When browsing the internet they are unlikely to spend much time on any given website – even one they like, trust and visit regularly. Nowadays, a flashy website isn’t enough to encourage a potential customer to return. Sophisticated tools and techniques are required to get a potential customer’s attention, and encourage them to re-engage with a brand. Web advertising is increasingly important in promoting a brand, its products and services, as well as creating leads. According to digital advertising specialists IAB, 28.8 per cent of UK advertising expenditure goes on the internet, and web-based advertising grew by 16.8 per cent in 2011 alone. There are various reasons behind this. In the UK alone there are 40 million regular internet users – a huge and growing potential audience. The ability to advertise through social media is another factor – Facebook advertising clickthrough increased by 18.3 per cent in a single quarter of 2011. The potential reach of the web can also help produce a comparatively low cost-per-lead. However, web-users filter out what they aren’t interested in seeing when browsing, so the

task for car dealers is to advertise in a way that is tailored and timely. This is where targeted advertising comes in. Targeted advertisements reflect the preferences of the individual consumer. For car dealers, targeting works by storing the car search criteria specified by a consumer who visits their website, then drawing on those criteria to create tailored advertisements that appear on third-party websites subsequently visited by the same consumer. For example, a consumer might search for a vehicle on Dealer A’s website. When that consumer goes elsewhere online they will be greeted by advertisements for Dealership A highlighting that vehicle – and similar models – currently held in stock. Dealer targeting campaigns have seen over 1.5 million advertisements created in just three months, resulting in over 8,000 additional website visits. As a secondary bonus, targeted advertisements also work hard to help build brand awareness with a receptive audience. Re-engagement from consumers that may have otherwise been lost is also strong. Targeted advertisements have garnered more than 3,000 clicks from third-party sites back to a dealer’s website.

This can represent excellent value for money, with cost-per-click rates at as low as 50p. These same campaigns can also draw in healthy numbers of leads. Studies show that someone clicking on a targeted advert is 70 per cent more likely to complete a sale. The results of targeted advertising campaigns highlight the financial benefits. A recent GForcesmanaged campaign for a multi-franchise chain generated over 300 extra leads, and one-in-four cars that were clicked on were then sold. These are not isolated examples, and they illustrate how effective targeting can be. By being more relevant to the individual consumer, a dealer’s message cuts through the white-noise of internet advertising. The resulting re-engagement with consumers that previously left their site enables dealers to enhance their brand and improve their conversion rates. It is a proven tool, proven to keep forwardthinking dealers ahead of the competition.

Who is Tim Smith?

He is commercial director for serial award winners GForces. Learn more about how he can help you at gforces.co.uk or call 0845 658 9290.

‘Someone clicking on a targeted advert is 70 per cent more likely to complete a sale.’

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CarDealerMag.co.uk | 79

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Dealers need to become retailers Transition from offline to online search gives us a huge opportunity

he transition to online continues and is entering a new phase. First it was consumers who moved from offline media to online media; now it is about the need for dealers to make the transition to become internet car retailers. The need for transition is occurring because of the transparency created by online in terms of: 1) the transparency of pricing and 2) the transparency of data created by the online footprint consumers leave when searching for their next purchase. The transparency of price information available to consumers today has often been raised as an issue by dealers, with many arguing this as the main reason for declining profitability. Yet this price transparency is available to all dealers and hence is the very information that can help dealers become more profitable. This transition from offline to online search is a huge opportunity for the trade, as long as they make the transition from dealers to retailers. Operating in an industry where data clearly indicates what consumers want and what price they are willing to pay is a great industry to work in! So why are dealers not spending more time investigating consumer data? It sounds obvious but think how much food retailers spend on understanding consumer needs and price points. Tesco has invested vast amounts of money to

‘Pricing of used cars is critical to a dealer’s profitability.’ understand this better than any of its rivals and many believe the reason Tesco has been so successful is because of its competitive advantage in consumer understanding. Pricing of used cars is critical to a dealer’s profitability but a pricing strategy that is focused on ‘trade plus’ is doomed to failure if all the data indicates that consumers are not willing to buy at that price. When making the two critical decisions of pricing and sourcing, research shows that the majority of dealers do not make those decisions based on significant data analysis. Only about 1,000 dealers actively use pricing products that are available in the market while the majority of dealers use just ‘trade plus’ pricing. But how can ‘trade plus’ pricing help profitability when what a consumer is prepared to pay will dictate what the car should be bought for, not what the supply

and demand dynamic is within an auction? Also, while a dealer’s experience of pricing vehicles in the local area may be good, it’s increasingly worthless when consumers now search nationally Knowing what cars to buy, where to buy them from and how to manage them once they’re on the forecourt, all needs data to optimise decision making. There is a direct correlation between those dealers that use science in pricing, stocking cars people want by analysing supply/demand dynamics, their stock turn, advertising ROI and hence overall profitability. Dealers need to embrace the transparency created by the next evolution of online, which is about the ability to analyse and make decisions based on data. Being part of an industry where 90 per cent of consumers search online is a great place to be.

Who is Tim Peake?

Tim is Group Strategy Director at Trader Media Group, publishers of Auto Trader, the UK‘s largest car marketplace. Visit autotrader.co.uk

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Henstock

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Two key factors in the decision-making process

o it’s official. The UK is in a double-dip recession. Needless to say, that will affect the buying habits of motorists and in last year’s BCA Used Car Market Report there were some signs of subtle changes occurring. For a start, more men than women were making the purchasing decision. Fewer younger or older motorists were buying cars, with the biggest percentage of buyers being aged between 25 and 64 years. Unsurprisingly, the younger you are the more likely it is you will buy a used car – 91 per cent of motorists aged under 24, compared to 54 per cent of 55 years-plus car buyers. So what are the critical factors for motorists in making their choice once the decision has been made to purchase a used car? ‘Personal experience of make/model’ remains the most important factor for used car buyers. Of course, this works both ways – a great experience will reinforce the likelihood of that make and model being purchased again, while a bad experience will probably do the exact opposite! Interestingly, men and older motorists pay more heed to their ‘personal experience of make or model’ than women and younger drivers. The second most powerful influencer are the ‘views of family and friends’, again preferred to more official sources of information and – following that thought process – independent internet sites appear to hold more sway than dealers’ sites. Some food for thought for your marketing department to chew on?

Used values increase by nearly nine per cent May figures better than April’s, according to latest Pulse Report

verage used values improved by nearly nine per cent across the board in May, according to BCA’s latest Pulse Report. Fleet values reached a new high point too, averaging nearly £8k as BCA sold a slightly richer mix of cars during the month. Month-on-month values improved in all three main market sectors in a complete reverse of the figures from last month. Fleet/lease values improved by 3.8 per cent month-on-month, part-exchange values saw a modest rise of £35, equivalent to an improvement of 1.2 per cent, while values increased by over £2,500 in the nearlynew sector – an increase resulting from a changing model-mix in a low-volume sector. Across the board, values improved from £5,599 to £6,098, reversing two months of decline and returning to an average value broadly on a par with those seen between November 2011 and February of this year. Used cars averaged 95.4 per cent of CAP Clean in May, up by nearly a point compared to April, while average age and

Who is Simon Henstock?

Simon is UK network operations director for BCA. Visit british-car-auctions.co.uk or Car dealer cowboy ads 13/6/12 09:59 call 0845 600 6644.

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mileage dropped slightly over the month, down to 62.5 months and 59,600 miles. Year-on-year, May 2012 is a substantial 5.3 per cent ahead of 2011, while average age and mileage have climbed by 0.6 per cent and 1.7 per cent respectively in the same period. BCA’s communications director Tony Gannon said: ‘While May posted significantly improved figures compared to April, the market is now moving into a period over the summer months where we expect values to remain relatively flat. ‘Families are now thinking about paying for their summer holidays, and, while the jubilee is now behind us, we still have the distraction of the Olympics. These type of events have short-term effects on the retail sector and therefore impact on demand in the wholesale car market.’

Trade buyers cherry-picking in tough times THE latest Manheim Market Analysis reports that the overall average selling price of dealer part-exchange vehicles fell by 1.6 per cent (£39 to £2,417) in May, average age remained the same at 98 months and average mileage increased by 1,264 miles to 76,271. Overall average wholesale values were down 5.1 per cent (£380 to £7,121) when compared with April but up 4.6 per cent (£313) when compared with

the same period last year. Daren Wiseman, valuation services general manager, Manheim Auctions, said: ‘During May we continued to experience more pressure on values as the market continued to toughen. ‘We have noted the increasing trend of cherry-picking amongst trade buyers as they look for the cleanest, fullservice-history examples in the best colours with the best specification.’

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Make sure you don’t become a dinosaur Learn how to learn and keep up-to-date in our internet-driven world

’m just coming up for 20 years working in and for the motor trade. For the first seven years of my career, I worked in dealerships selling or managing people that sold finance and insurance products. During those seven years, I attended a twoweek business manager induction course before I started and a one-day RFS PCP product course. Most of the people I worked with had less training than I did and in many cases nothing but ‘on the job’ direction from their sales manager. When we set up Codeweavers, my world was turned on its head. We found the people we were employing had a completely different mindset that was focused on learning. This was due in part to the fact that they were fresh out of university, but mostly because the skills required in the IT industry change rapidly. If you don’t keep up, you get left behind, working with clunky, out-of-date technologies. Today, Codeweavers has developed to actively encourage all its staff to continually improve and a key part of this is learning new skills. We don’t just pay lip service but actively encourage employees to attend seminars, courses and events. We buy books and learning materials. We have coding dojos, katas and group learning sessions. Our business encourages collaboration so that juniors can rapidly learn from more experienced team members. We even offer

‘Employees that feel valued are less likely to have a wandering eye.’ ‘Google’ time on a Friday when people can work on their own projects to help them spike new ideas or technologies. This represents a considerable cost to our business – however, our investment has paid some significant dividends including the following; 1. We can much more effectively motivate our team by demonstrating a genuine interest in their personal development rather than using financial inducements. 2. Our staff retention is excellent. Employees that feel valued are less likely to have a wandering eye. 3. We can recruit hungry, enthusiastic, ‘green’ employees in the knowledge that what they lack in experience they can make up through their passion to learn. 4. Our business is continually re-invigorated and stimulated by new ideas.

5. Our employees are more flexible and able to take on new roles and responsibilities. I am limited here to just 500 words here but I could go on and on about the benefits. Just because you are not working in an IT business doesn’t mean that you and your staff should shy away from learning. The world is changing rapidly and while superficially dealerships look similar to how they looked when I last worked in one, they are operating in a vastly different world. The world today is internet-driven, where customers visit not seven dealers but fewer than two before they buy. Profit margins are being eroded on all sides. And if you fail to create a learning culture in your business you risk becoming one of those dinosaur businesses that gets left behind. Learn how to learn.

Who is Roland Schaack?

Roland is managing director at Codeweavers. Learn more about how he can help you at Codeweavers.net or call 0800 021 0888.

PERCEPTIONS CAN BE MISLEADING

SURPRISINGLY AFFORDABLE!

0800 021 0888 www.codeweavers.net contactus@codeweavers.net

CarDealerMag.co.uk | 85

SHARES.

..in association with ASE-global.com

A year of declining values as we await news of recovery May was quiet but the bigger picture shows ongoing concerns about our economic prospects

ay proved to be a relatively quiet month in the quoted motor dealer sector with few announcements and little movement in share prices. Most companies edged down slightly in response to the general economic malaise and eurozone fallout rather than any sectorspecific issue. Market pricing continues to be intriguing to observers, with the majority of the sector trading on market values at or below their tangible net asset value. This is despite most trade sales witnessed by ASE in recent months being at or above tangible net asset value. Whilst share prices have remained stable in recent months, it is interesting to note the sharp declines in value that have occurred over a longer 12-month period. Clearly the markets will remain concerned until there is concrete evidence that a recovery is under way.

‘Vertu may be back on the acquisition trail after a relatively quiet 2011.’ A review of the current price earnings (P/E) ratio shows a different picture, with four out of the six quoted stocks showing a consistent valuation of around 10 times earnings, although there is evidence of continued concern regarding Pendragon, currently trading at a P/E of just four. Recent improvements in trading performance appear not to have made their way through to the share price with the markets still nervous about debt levels despite a heavily discounted £75m rights issue in 2011. In May, Pendragon also made the headlines when 67 per cent of its shareholders chose to vote against the directors’ remuneration report. This prompted Pendragon to go back to the

STRONG SET OF RESULTS FROM VERTU THE expanding Vertu Motor Group plc has announced a strong set of results. The upbeat statement from the company, now the UK’s ninth largest motor retailer, said revenue was up 8.9 per cent to £1.09bn, reflecting its continuing acquisition activity, and profit before tax had increased by 3.8 per cent to £5.5m. Its market share increased to more than three per cent of the private new car market. And the business was continuing to perform well, with its trading performance during March and April significantly ahead of the same months in 2011. Chief executive Robert Forrester said: ‘The group has successfully navigated a challenging period for the industry driven by reduced customer demand in 2011. ‘Increased profit before taxation, strong cash generation and the continued development of the dealership portfolio were delivered. ‘The group saw revenues in excess of £1bn for the first time and profit momentum was re-established in the second half of the year. From the start of 2012, market conditions have improved in the retail car sales sector. The new car market has returned to growth and used car demand has been robust.’ Vertu trades under the Bristol Street Motors, Macklin Motors, Vertu Honda and Bristol Street Motor Nation brands. The group was formed in 2006 and now operates 85 franchised and three non-franchised sales operations across the UK. It is continuing its progressive dividend policy with a proposed final dividend of 0.4p per share

drawing board over its remuneration policy. Cambria continues to suffer, trading at 20.8p, 52 per cent lower than the 43p of a year earlier. The company’s weaker-than-expected results have continued to put pressure on the price although the group appears well-placed to continue to take advantage of expansion opportunities with £11m of cash in the company’s balance sheet at the end of February 2012. Vertu published its full-year results to February 2012, which showed solid rather than stellar improvements year on year (see above). The chairman’s report makes interesting reading with a notably upbeat vibe and a clear indication that the 2012/13 financial year has got off to a strong start with like-for-like new

Who is Mike Jones? He‘s executive chairman of ASE Global. If you want to talk to him about his column call 0161 493 1930 86 | CarDealerMag.co.uk

Robert Forrester and total dividends for the year up 20 per cent to 0.6p per share. Forrester added: ‘The board remains committed to its growth strategy supported by the strong financial position of the group.’

and used sales up by 4.1 per cent and 9.8 per cent respectively in April and May. The report also makes reference to a continued desire for investment in growth and a strong pipeline of acquisition opportunities indicating that Vertu may be back on the acquisition trail after a relatively quiet 2011. The only other announcements noted were the acquisition by Lookers of a Northern Ireland based contact hire and leasing business under its Charles Hurst banner. The group continues to prove to be a solid performer, with a 12-month fall in share price of 18 per cent, the best in the sector, underpinned by the perceived strength of its aftersales operations.

the fleet.

Skoda Yeti: First report Another long-termer arrives at Car Dealer Skoda’s Yeti GreenLine II. Martyn Collins reports

hile Mr Baggott and Mr Batchelor made their way across Europe getting to know Skoda’s baby, the Citigo, I was being introduced to another member of the range, Car Dealer’s new long-term Yeti GreenLine. Truth is, we should have had Skoda’s awardwinning crossover months ago, but with it being one of the three lowest depreciating cars in the country, according to trade valuation specialists CAP, the factory in Mlada Bolselav can’t build them quick enough! So has it been worth the wait? Well, as I write I’ve had the car almost two weeks and covered hundreds rather than thousands of miles, but the answer in such a short space of time, is a resounding yes. OY12 AVU fits so well into my life I’m already dreading the day when the man from Skoda will knock on my door to take the key away.

88 | CarDealerMag.co.uk

Firstly, there is the practicality and interior space, with definitely more baby seat room than our usual family wagon, a Volkswagen Golf. Harry, my 20-month old son, also likes looking out the big tinted rear windows. The practically-shaped boot is a bonus too. Even in the short time we’ve had the car, it has swallowed the usual toddler clobber, a large foldable desk chair and the novelty of having a bigger boot has meant countless trips to the dump. Then there is the equipment; our Elegance Greenline II lists at a pricey £20,475, but it does include niceties such as leather trim, Bluetooth and a four-spoke multi-function steering wheel. We’ve also added what we believe to be one of the best, although costly (£1,530) DVD-based satnav system. Personally, I love the way the Yeti pairs with my iPhone the moment I fire up the 103bhp 1.6TDi GreenLine engine. It has only thrown a tantrum once, but I think it was sulking after being left in an underground car park while I attended a foreign car launch. It might be a frugal green car, but there’s a real maturity to the way the Yeti drives and rides. So is there anything we don’t like? My wife’s likening of the Yeti’s boxy shape and Corrida red paint to Postman Pat’s van, the standard, optimised rolling resistance tyres seem to lack grip in corners and the central locking’s CB-like roger bleep when locking and unlocking sounds like a cheap 80s alarm. These are all minor annoyances and I’m really looking forward to spending the next couple of months behind the wheel and getting the most MPG out of this Skoda.

second opinion

Sister car impresses I’LL let you into a little secret - this is the second Yeti GreenLine II we’ve been driving this month. Car Dealer had the pleasure of testing an almost identical car and I can report this is one impressive car. It’s no surprise this car keeps on wooing the public. In our week-long evaluation week, the Yeti proved the perfect partner to our Rio in lugging all the paraphernalia needed for the Car Dealer Lead Generation up to Gaydon, and then a family outing to the shops also occurred. I live in the countryside, nestled among some of the best roads south Hampshire can muster, and the 1.6-litre diesel Yeti is, surprisingly, a rather a fun car to steer. It’s both fun and practical. A full review will appear soon. JAMES BATCHELOR

the knowledge Model: Skoda Yeti Elegance GreenLine II Price: £22,670 Engine: 1.6-litre, 4cyl Power: 103bhp, 250Nm Max speed: 109mph 0-60mph: 12.1s MPG (comb’d): 61.4 Emissions: 119g/km Mileage this month: 802 Costs this month: £0

This month’s highlight: The Yeti is great to drive and how quickly this car has fitted in with family life.

longtermers

Kia Rio: Third report Duncan Chappell is the third member of the Car Dealer team to deliver his verdict

second opinion

It’s time to clean up

small Korean hatchback with a threecylinder diesel engine. Exciting, eh? I was looking forward to driving the Rio as much as I used to relish the thought of going to RE lessons at school. I hated RE. But this was like walking into the classroom to find that Alesha Dixon is the new teacher. The car looks great. Big wheels, sexy profile and a tidy rear end. We love the look of the Rio, and next to my Astra VXR, it looks really fresh. My first drive in the Rio was up to the Motor Heritage Museum in Gaydon for our Lead Generation event. The first thing I noticed was the size of the boot. We managed to pack most of our 200 goodie bags and boxes of mags in the back of the hatchback. Once the seats were folded, the load space was similar to a larger saloon car. I was impressed! Next was the two-hour drive to Gaydon. The car was obviously fully-loaded, and I also had a passenger, but the drive was great fun. Sure, it is a little wheezy in higher gears if you come to a hill or want to overtake,

but all in all it’s a great little thing. The engine is a peach, and for everyday use, this car will tick a lot of boxes for a lot of people. The spec level is amazing too. The iPod connection to a great stereo keeps the slightly noisy engine away from your ears and the air con (remember when it was hot?) is as cold as ice. The only thing I don’t like is the seatbelt extender. I catch my shoulder on it every time I get in and it twists the belt into my neck. I’m sure after a while and some adjustment I would find a way of avoiding this problem, but in the limited time I have used the car I’ve found it rather annoying. I have done a few miles in the Rio now for meetings and events and it gets better all the time. It sips diesel, in fact compared to my VXR it practically runs on air. ‘Like I would have no having trouble living with one Alesha of these every day as as an RE my own car. teacher...’

THE email from editor Baggott left us in no doubt. The Rio had got into a bit of a state and he was less than impressed. It wasn’t that we had been deliberately neglecting the car. But we had been putting it through its paces as we were enjoying driving it so much and a wash and brush-up was somewhat overdue. I took the rap as I had been driving it the most but I never touch Red Bull, so those empty cans in the passenger footwell definitely weren’t mine! Anyway, the issue was quickly resolved. Batch took the Rio through a car wash (his first time) and I gave it a thorough vacuuming and checked the levels. It all seemed to placate the ed. The next time he used it he sent me a text: ‘Good hoovering x’. Nice. DAVE BROWN

the knowledge Model: Kia Rio 1.4 CRDI ‘3’ Eco Price: £14,295 Engine: 1.4-litre, 3cyl Power: 89bhp, 90Nm Max speed: 107mph 0-60mph: 13.7s MPG (comb’d): 70.6 Emissions: 105g/km Mileage this month: 1,487 Costs this month: £0

This month’s highlight: Getting the Kia back to its pristine showroom condition.

CarDealerMag.co.uk | 89

data file.

Batchelor

BACKFIRED

All city cars look the same? Are you serious?

ou probably think your shiny new city car sitting in the middle of your equally shiny showroom bears no resemblance to the other dealer’s offering just down the road. You probably think that yours is better, bigger, smaller, faster, more economical, kinder to trees, and comes in an array of colours that are far more daring and ‘hip’. I hate to break this to you but you’re wrong. While you and many others know the difference between a Vauxhall Agila and a similarly-priced Korean thing, the majority of buyers, however, don’t. As far as they are concerned your excellent little Agila could be wearing a Tata badge and drizzled with lemon curd, and they probably wouldn’t know. This point was proved most alarmingly during the photoshoot for our cover. The man who works below our office, Tom, comes to work in a Y-reg Mazda 323 on Mondays, Tuesdays and Fridays, and an old Golf estate on Wednesdays and Thursdays. He’s the typical customer we don’t like to think exists. Accidentally barging in on our photoshoot, he remarked, quite honestly, ‘all these cars look the same’. To this I spluttered ‘you cannot be serious’, pointing to Volkswagen Up! and Fiat Panda as suitable candidates for differing takes on the city car concept. But as far as Tom was concerned, one was black and the other was blue. In his mind it is the boredom you and I encounter when we venture down the kitchen appliances aisle in John Lewis. While it’s easy to poke fun at Tom and dismiss his observations as infantile, it’s something dealers need to think about. Yes, it’s true that quite a few customers know more than you do, but there’s still a large number of people out there who don’t know Peugeot makes a rival to the Kia Picanto. And with the city car segment so varied, the challenge is on for dealers of each brand to really convince customers like Tom why they should buy their car.

‘As far as Tom was concerned, one was black and the other blue.’

Who is James Batchelor?

Award-winning Car Dealer writer James is one of the fastest-rising new talents in motoring journalism. Read him here every month. 90 | CarDealerMag.co.uk

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FEATURED LISTING: Car dealer club FREE LEGAL ADVICE with every car dealer subscription CAR DEALER CLUB gives dealers of all sizes access to free legal advice from our motor trade lawyers worth £195. Members get a copy of Car Dealer Magazine every month as well as access to a host of discounts from motor trade suppliers – all for a paltry £39.99 annual subscription! This offer is only available to new subscribers, so if you haven’t renewed your subscription then you need to do so to gain access to this very special offer. Signing up is simple. Type CarDealerClub.com into a web browser

CarDealer.Club to be taken straight to the section on our website where you can find out more and join up! Alternatively you can send us a cheque for £39.99 made payable to Blackball Media Ltd to Car Dealer Club, Blackball Media, Endeavour Quay, Mumby Road, Gosport, Hants, PO12 1AH and we’ll send you details of your Car Dealer Club membership by return post.

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guide

If you’re looking for a motor trade supplier you can find the details of selected companies here

mini test: BMW M5

Auctions

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Car dealer says HHHHH

Central Car Auctions

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THIS is the fifth-generation M5 and features the most powerful production engine ever installed in a BMW. The outgoing M5 notched up 1,700 sales in its five-year run and the German firm expects to match those figures with the new car. It doesn’t please the purists, but the characterful V10 has been killed by the emissions police and junked in favour of a twin-turbocharged V8. Power is up 10 per cent to 560bhp and torque up a whopping 30 per cent to 680Nm.

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This helps it hit 60mph in 4.4s, although an impromptu test with an iPhone app saw us manage it in 4.2s. Price: £73,040, tested in Issue 46.

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Finance

Valeting services

Warranties

mini test: FORD FOCUS ZETEC S

First Response

National Car Cleaning Company

WMS

Car dealer says HHHHH

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Until the arrival of the fire-breathing ST, this is the sportiest Focus customers can buy. It’s been specifically created for the UK market and boasts an athletic body-kit, zesty engines and reworked suspension. The Zetec S has four engines to play with. There’s a 123bhp 1.6-litre petrol and a 113bhp diesel version, but of more important note is the 161bhp 2.0-litre diesel and spirited 178bhp 1.6-litre EcoBoost petrol.

Wholesales

Online Advertising

Carfleet Wholesale Ltd

Netcars.com

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Price: £20,495, tested in Issue 46.

Finance

Warranties

Finance

Auctions

Online advertising

Black Horse

Car Care Plan

Moneybarn

FullAuction

UsedCar.co.uk

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data file.

James Litton TRADER TALES

Why it’s sometimes not easy to be memorable

he older we get, the more fondly we remember our past. I am only 33 yet remember a motor trade devoid of much of the box-ticking and reporting that I am faced with today. I commented recently that mystery shops add value but only when executed with a sense of realism. Obtaining customer details and completing a followup call are enough to guarantee a score but should the bias not be more about content and tone? Many sales managers like me are faced with the daily monitor of our customer satisfaction index. So obsessed have I become with a positive result that I find I sometimes have little time to talk to the salesmen about live or lapsed contacts. Every day I listen to scores of inbound phone calls so that I can coach, train and give feedback to the salesmen on the handling of phone enquiries. When the technology was demonstrated to me, the pitch was more about how I could monitor structural elements of the call but nothing about pace and delivery. I am lucky to work in an environment which allows me to completely control my trade cars. With the growing pressure on the used vehicle parc, this has meant some excellent profit figures where I tailor the disposal channel according to the car. For many though, the ‘policy’ adopted by their group restricts the flexibility and therefore entrepreneurial flair to maximise the result. The positive intention of all the controls and measures in place in a franchised environment today is obvious. However, it is my belief that manufacturers and board-level employees are creating an environment which is less appealing to good sales people and sales managers. I was once told that the secret to selling cars was to be memorable – but being memorable is not easy when the process and in some cases the financial package does not allow it. The irony of it all is that homogeneous individuals are what we need least of all in today’s tough trading environment.

‘I listen to scores of phone calls so that I can coach, train and give feedback.’

Traderdir Alfa Romeo

Alfa Romeo

Sturgess Alfa Romeo

Benfield Alfa Romeo

Dax Pearce dax.pearce@Benfield motorgroup.com Alfa stock wanted up to 40,000 miles. n Call for immediate bid. 07501 257220 or 0191 211 2200

Mangoletsi (Holdings) Ltd. London Road (A50), Allostock, Knutsford, Cheshire, WA16 9NS Tel: 01565 722899 Fax: 01565 722229

Aston Martin

Audi

HWM Aston Martin

Wimbledon Carriage Company Limited

Walton & Epsom Audi

John Crisp 07885 211872

Mark Loughnane 01932 220404 07739 519306

BMW

Bentley

Williams Rochdale

Vines Group

Harwoods

Bentley

Chrysler

Daihatsu

Jack Barclay Bentley

Horsham Car Centre

Alan Nicholas 07703199478 alan@horshamcarcentre.co.uk Best buyer for all late Chrysler/ Jeep

Stephen Barnard 0208 504 0017

Daihatsu

Ferrari

Proven Daihatsu

HR Owen Ferrari Nick Carey

Scott Allen 0116 275 8800 scottallen@ sturgesscars.co.uk

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Simon Elkin 01798 877211 07803 088711

Woodford Motor Co Ltd

Monza – Ferrari

nick.carey@hrowen.co.uk 07824 362229

Andrew Ludlow ferraribuyer@ntlworld.com 07889 305 053

Ferrari

Fiat

Maranello Ferrari

Glyn Hopkin Ltd

Sturgess Fiat

John Dutton 07817 019 456

Glyn Hopkin 07730 711889

Perry Beaver 0116 254 1717 perrybeaver@sturgesscars.co.uk

Who is James Litton?

James is sales manager at Tony Purslow Mercedes Benz, Guildford. He always has something to say about the industry he loves. 92 | CarDealerMag.co.uk

To have your details included here log on to CarDealerMagazine.co.uk/trader-directory.htm

ectory

Finding the right cars at the right prices isn’t always that easy. On top of that, selling cars that you don’t necessarily want to put on the forecourt can be tough 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 Directory, 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.

Ford

Honda

Benfield

Benfield Alfa Romeo

Lifestyle Ford

Honda

Thames Honda Group

Honda

Hyundai

Jaguar

Holdcroft Honda

Bushey Heath Hyundai

Hatfield Hyundai

Sturgess Jaguar

Lookers Park Royal

Jeep

Kia

Lexus

Land Rover

Horsham Car Centre

Tower Hill Garage

Chapelhouse Kia

Lexus Twickenham

Sturgess Land Rover

Des Sammon des.sammon@benfield-ford. co.uk 07831 828024

Luke Regan / Chris Thursfield 07971 543884 07813 737 921

Alan Nicholas 07703199478 alan@horshamcarcentre.co.uk Best buyer for all late Chrysler/ Jeep

Dax Pearce dax.pearce@Benfield motorgroup.com Alfa stock wanted up to 40,000 miles. n Call for immediate bid. 07501 257220 or 0191 211 2200

Jon O’Donoghue 0208 420 5100 07976 177 959

Lee Gilmour 01923 263700 07768 367085

Richard Walker 07748 177889

Mark Littler/Tim Barnes 0161 767 9500 07920 599 394 07787 921 222

Andy / Neil 01925 570800 07891 531129 07825 311 297

Brayley Honda Kevin Adams 07900 986095 kevin@brayleys.co.uk

Chris Allen chrisallen@sturgess jaguar.co.uk 0116 282 6868

Dave Cooper / Steve Gurr 07831 704134 07921 408983

Jerome Chandiram 0208 845 3551

parkroyaljaguar@lookers.co.uk 0208 938 1300 07534 927 821

Mike Mongiello mikemongiello@sturgess cars.co.uk 0116 282 6969

Land Rover

mini test: SSANGYONG KORANDO

Lotus

Maserati

Beadles Land Rover

Car dealer says HHHHH

Murray Motor Company

Meridien Modena

Greg Wilcox g.wilcox@beadles-landrover. co.uk 07740 717209

Steering is rather vague. But for most buyers, the Korando will be more than adequate.

Brandon Ware 0131 200 8888 0750 326 0186

Warren Butt 02380 283404 07860 530703

Price: £22,995, Issue 46.

Maserati

Mazda

Mini

Mazda

Nissan

HR Owen

Lifestyle Mazda

Vines Group

Brayley Mazda

Nissan

Toyota

Volvo

General

Hyundai

Kia

Currie Motors Toyota

Sturgess Volvo

Barry Freedman

Sturgess Hyundai

Brayley Kia

Nick Carey nick.carey@hrowen.co.uk 07824 362229

Dave Cooper / Steve Gurr 07831 704134 07921 408983

Mark Spowage 01293 845045 07974 770020

Scott Allen 0116 275 8800 scottallen@ sturgesscars.co.uk

There’s also a more comprehensive list of traders on the website, updated throughout the month

Dominic McConnon Buying used MINIs up to 5 years old 07776 246905 dominic.mcconnon @vinesguildford.bmw-net.co.uk

01753 543105 07836 338694 barry.freedman@virgin.net n Trade buyer of PX vehicles anything up to £8k

Kevin Adams 07900 986095 kevin@brayleys.co.uk

Perry Beaver perrybeaver@sturgess cars.co.uk 0116 2541717

Sturgess Nissan Perry Beaver 0116 254 1717 perrybeaver@sturgesscars.co.uk

Kevin Adams 07900 986095 kevin@brayleys.co.uk

Prices for six month listings: £29.99 On Website Or £39.99 for Magazine & Website.

Payments can be made online via credit or debit card. Or send your cheque made payable to Blackball Media Ltd to Car Dealer, Endeavour Quay, Mumby Road, Gosport, Hants PO12 1AH. Your details will appear in the next issue.

CarDealerMag.co.uk | 93

workshops.

Want to be included in our new section? Call (023) 9252 2434

Pride of UK’s most trusted garages Annual initiative recognises businesses who deliver high standards of customer service

otor Codes, the operator of OFT-backed codes of practice for the motor industry, has revealed the most trusted large and small garages in the UK. Taking the big-business accolade is Reynolds of Selby, North Yorkshire, and the winner in the small business category is ABP Motorsport, Shavington, Cheshire. Garage of the Year, sponsored by Havoline, is an annual initiative, recognising those garages that are committed to providing consistently high customer service standards. In being awarded the title, the winning garages have beaten off competition from a huge field. Both garage owners were exceptionally proud to pick up the title – one that was decided on by the thousands of motorists who voted in the nationwide contest to seek out the UK’s best car service centres.

Chris Meredith, owner at ABP, said: ‘We treat each and every customer as a mystery shopper, making sure that everybody who comes through the door experiences the sort of service that we’d Chris Mason, left, with representatives of Reynolds of expect to receive ourselves. The fact that Selby, winners of the large business category real customer feedback got us in front of John Jackson of competition sponsor, Havoline. Each the judges makes it all the more rewarding.’ garage was also independently assessed by the RAC. Stephen Reynolds of Reynolds of Selby added: Motor Codes managing director Chris Mason said: ‘We’re so pleased to be named Garage of the Year ‘The judges certainly had a tough time picking the because it shows recognition from the community winners from the shortlist of regional champions and and reflects the long-standing relationships that we this is indicative of the quality of customer service enjoy with many of our customers.’ that motorists across the UK regularly experience.’ The winning garages were picked from 20 Complementing the Garage of the Year regional champions, separated by a judging panel competition, Motor Codes offers a postcode-driven that included Emma Butcher, consumer editor at garage finder on its website, listing more than 6,800 What Car? magazine, Peter Lawton, editor of motor subscribing garages. industry magazine Car and Accessory Trader and

ÜÜÜ° °V 94 | CarDealerMag.co.uk

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We chat to two dealers celebrating 50 years in business

Landmarks that shaped the motoring world

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Five decades of Ford vs Vauxhall in the sales charts

for just ÂŁ40 a year s We take on tellyâ&#x20AC;&#x2122; our latest Mike Brewer in charity challenge

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THE GREAT SALES EVENTS! At Pete Roberts Development Ltd. we have helped many dealerships to achieve unprecedented sales results within just 4 days, and you can do the same. We assist you in all planning and preparing for success, and provide bespoke Events to meet the requirements of your business which appeal to both your existing customers and new prospects alike. We specialise in attracting new conquest business customers to your centre and do not just rely on your current database to achieve results.

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Try to give yourself the best chance of surviving the storm

aving moved through the first six months of this year, what better time than now to take a step back and reflect on how well things have gone so far in 2012? It is just as important to cast an eye forward to the next six months and assess how well-prepared you are for whatever the economy may throw in your direction. If you are anything like me, most of this year will have been full of optimism and opportunity, as we rolled our sleeves up, got to the gist and ground out some good results regardless of other people who may have thought 2012 was going to be something of a thunderstorm. However, I have to admit, the last month or so has made even the most enthusiastic and confident of us take stock. We’ve been looking inwards at our own teams and organisations as the news headlines continue to be dominated by the very prominent Eurozone crisis. The Bank of England recently pulled in its growth predictions for the UK for this year to 0.8 per cent from 1.2 per cent. It’s feared we won’t come away unharmed following all the turbulence in Greece, Spain, Italy and Ireland. Greece has, for a long period, been spending at a rate far faster than cash has been coming through the door and we can all learn some valuable lessons from them in preparing ourselves for the future. The number of public-sector workers increased in Greece over an eight-year period at a more aggressive rate than most European neighbours. Because of this, due to the level of cost involved in this exercise, when the financial crisis hit they were not geared up to cope. Some would say they have also been far more relaxed

Jonathan

Such TIME IS MONEY

towards output and productivity as a nation. This would be the result of extremely poor governance – again something which has impacted on their ability to deal with a change in economic conditions. It’s never too late to make structural adjustments which may increase your ability to withstand some unexpected changes in fortunes or any potential ‘thunderstorms’. Look at your monthly running costs and analyse what associated return on investment your business is currently receiving. Perhaps in some instances this might not be known, hence a good starting point before things spiral out of control. Move onto the durability of your customer retention

‘The last month or so has made even the most confident of us take stock.’ system. Some organisations, even today, find this to be a severe weakness in their armoury of tools, but still appreciate its importance. Check how much time is allocated to training your employees in order that they are better at what they do and feel a sense of progression and development. If people feel valued, they ultimately add more to their role thus easing turnover by driving down your recruitment needs with their associated costs. There isn’t much individually we can do about the current situation across Europe. However, we can give ourselves the best possible chance of weathering the storm and that starts with making sure, structurally, we are as well prepared as we can be.

Who is Jonathan Such? Such is regional sales manager for First Response Finance. You can contact him on 07917 781608 or email jons@frfl.co.uk

Coming next month

If there’s something you think we should be covering get in touch. Our details are on page three 98 | CarDealerMag.co.uk

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