Car Dealer Magazine: Issue 63

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DRIVEN: The gti is back – peugeot’s hot 208

ALLSTARS

Business Publication of the Year

Issue 63 | June 2013 | CarDealerMag.co.uk | £3.50

battle of the latest four-wheel-drive supercars

NISSAN GT-R

AUDI R8 PORSCHE 911

plus: Car dealer conference – full report on how to make more profit


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IGNITION.

EDITOR James Batchelor james.batchelor@blackballmedia.co.uk Twitter: @jrrbatchelor STAFF WRITER Jon Reay jon@blackballmedia.co.uk Twitter: @JonReay head of design Graeme Windell graeme@blackballmedia.co.uk Twitter: @CarDealerGraeme

ADVERTISING ADVERTISING Manager Duncan Chappell duncan@blackballmedia.co.uk Twitter: @CarDealerDunc Advertising EXECUTIVE Amy Hobbs amy@blackballmedia.co.uk Twitter: @CarDealerAmy CREDIT CONTROL & ADMINISTRATOR Pippa Marsden pippa@blackballmedia.co.uk Twitter: @CarDealerPip

SUITS MANAGING DIRECTOR James Baggott james@blackballmedia.co.uk Twitter: @CarDealerEd OPERATIONS DIRECTOR Andy Entwistle andy@blackballmedia.co.uk Twitter: @CarDealerAndy

Contributors

James Litton, Tim Naylor, Tim Heavisides, Jonathan Such, Dave Brown, Mal Hay, Leon Poultney, Daljinder Nagra, Diana Hargreaves and Nicholas Prangnell

Subscriptions

£39.99 per year (UK) £59.99 (EU) £79.99 (rest of the world) You can pay by credit or debit card on our website – visit CarDealerClub.com

Distribution

Car Dealer is distributed to a database of up to 12,000 franchised car dealers, independents, service and repair sites, car manufacturers and suppliers. Advertisers are supplied with a print certificate every month. Company No. 6473855 VAT No. 933 8428 05 ISSN No: 1759-5444 Car Dealer is published by Blackball Media Ltd (Company No 6473855) and printed by Warners. All rights reserved. Conditions of sale and supply include the fact Car Dealer shall not, without our consent, be lent, resold, hired out or otherwise disposed of in a mutilated way or in any unauthorised cover by way of trade or affixed to or as any part of a publication or advertising, literary or pictorial matter whatsoever. Car Dealer is fully protected by copyright and nothing may be printed wholly or in part without permission.

Welcome. minute warning. And

JON GAVE me the two-

then it happened. A pang of sheer fear. Looking to my left and right, our panel of automotive experts seemed to be totally relaxed. But I, on the other hand, couldn’t have been more afraid if I had tried. The reason why I was so pathetically petrified was that I was proud to be a part of something that was genuinely new in our business… and I didn’t want to cock it up. No other trade magazine has live-streamed a conference before, and given the opportunity to dealers to ask questions to a panel of automotive experts via the internet. This was a genuine first – and just one of the reasons why I love working for Car Dealer. So with all of this running through my mind as Jon gave me the thumbs-up, I croaked my way into my intro and we were off. One hour of fascinating questions all submitted by dealers had begun – and the time flew by. It was one part of a tremendous Car Dealer Conference – one which all of us at Car Dealer were delighted to put on for you. If you were unable to join us at the Heritage Motor Centre, you can read a report on each speech from p77 and read the top questions and answers from our Car Dealer Clinic panel on p98.

ALL STARS Along with the Car Dealer Conference, we have been working flat-out this month. I mean – someone has to pitch the latest Porsche 911 Carrera 4S up against its closest rivals, don’t they? We travelled to Wales to see which one was best, and we had a brilliant time. James Baggott and Car Dealer contributor Leon Poultney have delivered a very entertaining argument – I mean piece of reading – on p60. Turn to it now to have a laugh. BIG ISSUE And finally, my word! This issue has been hard work to put together – but I think it has been worth it. Issue 63 is the biggest ever issue of Car Dealer. At 124 pages it is a triumph of automotive literature. Well I think so anyway. I hope you get as much pleasure reading it as we had creating it. I’m also very pleased to say we welcome the first in a brand new series on p105. Brought to you in association with Warrantywise, Issue 63 is the first issue in which we see our new monthly feature called the Buyers’ Guide. Turn to p105 to find out how to buy the perfect BMW X5. Enjoy the issue.

James Batchelor, editor

Winner: Best Business ‘This magazine brings its readers an insightful, engaging overview of their industry which Publication of the Year entertains as well as informs’ - award judges

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

77

INSIDE.

Make more profit 2013 Car Dealer Conference – full report

ISSUE 63 I JUNE 2013

Dashboard

Letters

Car Dealer Power Above and beyond dealers Happy Citroen dealers Big Mike Baggott

52

Forecourt

Chevrolet Trax

Volvo V60 Plug-in Hybrid Skoda Octavia Estate Renault Captur BMW 3 Series Gran Turismo

All-wheel-drive supercars driven

60

We speak to two happy Citroen dealers

30

Peugeot 208 GTi Is the GTi back? Hot Pug 208 tested

‘‘

56

Our cars need to be as good dynamically as BMW’s models. Nissan’s executive vice president talks to Car Dealer

a month in A picture...

No, your eyes are not deceiving you. That is the 100 per cent electric Nissan Leaf hatchback being driven indoors. In fact the man behind the wheel is Car Dealer’s operations director Andy Entwistle driving the Leaf through the Heritage Motor Centre in readiness for the Car Dealer Conference. To see why he was doing this dare devil manoeuvre, turn to p96

Features

Fiesta ST v XR2 Nissan special

All-wheel-drive supercars Car Dealer Conference

Data File

The Statistics

£50 Car Challenge Taking Stock & Buyers’ Guide Commercials Auctions Long termers

07 16 28 30 37 39 42 44 47 48 51 52 54 56 60 77 100 103 104 106 109 116

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

Car Dealer Conference wins praise I’d like to give a quick thanks for the Car Dealer Conference. I thought guest speakers covered a wide range of subjects well. Plenty of stats too – always of interest. Pat on the back to all involved. Richard Netherwood via email Just a short note to convey my sincere thanks and appreciation for a very enjoyable Car Dealer Conference, The content was first class and the organisation was superb. It just keeps getting better and better. Kevin Watson via email

Barn find wonder

Looking at the various barn find stories on the web recently had me thinking. Firstly, how long until there are no more hidden Aston Martins or Jaguars waiting to be found? Secondly, how long until we start seeing cars from the 70s or 80s popping up as ‘rare and exciting’ barn finds instead? I can’t wait until Ford Cosworths start being found behind chicken sheds. Thirdly, should I prepare now and stuff a few ‘modern’ classics, like the Peugeot 205 or the Mazda MX5, into lock-ups, ready to spring me a profit when I’m ready to retire? I wonder what Car Dealer’s recommendation for a future barn find classic would be. (Peugeot 205 GTi, Ed.) Leo Taylor via email

Europe fights back – but who will lose out?

So Dacia is here, and a few other European manufacturers are preparing budget brands to fight the soon-to-arrive influx of cheap Chinese metal. But I am concerned about Toyota, who do not seem to be prepared for a huge number of products that will come in and undercut them. The GT86 is too little, too late to make Toyota an emotive brand, and with its products almost

twitter comments

Well done @CarDealerMag Throughout the Car Dealer Conference, we asked delegates who use to Twitter to use the hashtag #CDC13 in their tweets. We were absolutely deluged with tweets from delegates and dealers watching the live streaming of the Car Dealer Clinic Q&A session. These were our favourites...

Fantastic day at #CDC13 and met some very interesting people – excellent event from @ CarDealerMag #productiveday Pinewood @pinewoodtech @CarDealerEd @JRRBatchelor @CarDealerMag Brilliant Q&A session. Well done to all participants. Really enjoyed live streaming #CDC13 The Warranty Co @Thewarrantyco Great day at #CDC13 thanks to @CarDealerMag @CarDealerEd & ALL the team cheers guys! Umesh Samani @specialistcars1 being the ‘white goods’ of motoring, it seems to have the most to lose from the kind of cheap and reliable cars the Chinese (and indeed, Dacia) are promising. Perhaps it is time for the return of some long-lost, Toyota-owned brands which can be used to fight Dacia and other budget manufacturers head on? Mark Tompkins via email

Hyundai advert

I was horrified to see the Hyundai ‘suicide’ advert, and I was concerned to think of the

Well done @CarDealerMag to be the first automotive publisher to try conference streaming #cdc13. Once again first to embrace #thinkdigital Stephen Jury @stephen_jury Reasonable turnout at today’s @CarDealerMag #CDC13 considering motoring restriction with #M42 closure. Philip Nothard @PhilipN_CAP

effect this may have on the so-far outstanding growth of the brand. It was a complete failure and embarrassment for the brand. But, now the dust has settled, dare I say it was all a bit exaggerated? I now don’t think it will have had any effect on how consumers view the brand – most likely it has been forgotten already. I do however remember the controversial ‘evil’ Ford Sport Ka adverts which involved decapitated cats and murdered pigeons – and now most people seem to chuckle about these banned ads. Perhaps this was the kind of thing Hyundai was aiming for? Harriet Wallace via email

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DASHBOARD.

Fill in the Car Dealer Power survey online NOW! bit.ly/CDPower13

I’m just browsing, thanks very much Dealers create virtual tours of their showrooms

warranty wonders

Appropriateness is key

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aking a look around your local dealership quite often involves a quick trip down the road – but not for customers at Derby Citroen. The Vertu Motors dealership has teamed up with Google – inviting the internet giant’s cameras onto the premises for a snoop around. The result is that customers can now wander around the dealership from the comfort of their sofas – free to browse the premises with Google’s StreetView system. Almost the entire Bristol Street Motors Citroen site can be toured with a few clicks of the mouse. Both the showroom and forecourt can be navigated in virtual form, with staff members appearing to go about their daily business in the background – and used vehicles proudly on display outside. Most unusually of all though, customers can even step inside the Citroen models on offer. There are full Streetview 360 degree views of the interiors of almost every car sitting in the dealer – including the rather plush DS5. The only area off-limits is (quite sensibly) the service bay. It’s possible to get a good look through the giant glass doors that separate it from the customer waiting area, though. Vertu isn’t the only dealer to have embraced Google-like technology. A supercar dealer in Germany has found a rather

Heavisides

unique way of getting customers into its showroom – albeit not in the way you might expect. The Auto Salon, based in Singen, has launched a Google Streetview-like service that allows customers – and indeed the general public – to have a good snoop around some of the cars on show. Virtual visitors can tour right around the outside of the showroom, where they can see countless Aston Martin, Porsche, RollsRoyce and AMG Mercedes models lined up and sparkling in the German sun. Head inside and things really get interesting, though. Separated off into three different sections, the showroom arguably has one of the world’s most expensive – and diverse – collections of prestige metal around. There you’ll find a whole host of modern metal – ranging from the sublime to the extremely rare, with cars like the Mercedes CLK GTR and Porsche Carrera GT making appearances. There’s also the obligatory Bugatti Veyron, of course. Take a look for yourself by typing bit.ly/ germansupercar into a web browser.

he great and the good gathered at Gaydon for the Car Dealer Conference to explore ways to improve profitability through optimising sales and leads. Most of the profit reports in our industry appear to be pretty healthy at the moment. Footfall seems to be flowing back slowly into dealerships and new and used sales appear to be on the increase, which seems to be driving profit back into businesses up and down the country. It’s still a tough environment but the picture is much rosier than it was two or three years ago. One of the key drivers of improving profits has been the way in which dealers have adopted their business processes to make the most of enquiries, turning them into leads and using the resulting sales to upsell additional products to more vehicle buyers. It’s a change in practice that Car Care Plan has been developing with dealers for some years and, as volumes increase, it brings about yet further profit opportunity. Of course, there is a limit to the upsell opportunity within any given vehicle sale and it’s important not to push customers beyond what they will accept but most buyers are receptive to products that are appropriate and will enhance their ownership experience. Appropriateness should drive the products that are offered to customers. Assuming most customers will say they want to keep their used car for two years or longer, make sure the warranty offered matches the likely ownership experience. If you are helping a buyer to arrange finance, explain how GAP Insurance can protect their investment. Small steps but they all help. Our industry has always been strong at making the most of every opportunity that comes its way. Dealers reporting improved margins is more good news for our sector and as volumes increase further in the coming months, I’m sure we’ll see more welcome profit forecasts.

Who is Tim Heavisides?

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

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DASHBOARD.

Have you seen our YouTube channel? bit.ly/CDMyoutube

Nissan chief: Dealers won’t get the chance to sell Datsun The return of the Datsun name is reserved for India only, says Palmer

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issan’s budget Datsun brand will not be arriving in the UK anytime soon, the firm’s executive vice president, Andy Palmer, has said. The Brit told Car Dealer the Datsun brand will only be available in India and not in Europe as widely rumoured. There was speculation the Japanese giant would bring back the Datsun name in Europe for a range of budget cars – just like alliance partner Renault has successfully managed with Dacia. But there are no plans to follow Renault’s lead, Palmer told us. ‘The idea behind Datsun is to keep it solely in India – 100 per cent local production; 100 per cent for local people,’ he explained. ‘For this reason we have no intention of bringing it

Datsun 240Z to Europe. ‘Datsun will be positioned as a budget offering and will be marketed towards Indian customers who currently use motorcycles.’ Datsun will form another part of Nissan’s new product strategy. The firm will be producing a budget version of

the Nissan Micra which will be badged as a Nissan for emerging markets. ‘It’ll be a challenge to prevent this car putting pressure on Datsun’s raison d’être, but we’re confident this will not be a problem,’ Palmer added. Nissan special, p56-59

More ‘masculine’ Nissan Micra on the way JAPANESE giant Nissan is set to refresh its Micra with a new ‘more masculine’ model. Topping the changes will be a bolder exterior look and better quality interior touches. Nissan’s executive vice president, Andy Palmer, told Car Dealer the changes are ‘extensive’ and will be ‘more masculine’. ‘The changes are far more than just a facelift,’ he told us. ‘It’s well known how popular the Micra has been over the last 30 years, and one of the reasons for that has been its

cutesy styling. The heavily facelifted Micra will be more masculine – a change from the car’s traditional, more feminine styling.’

Palmer refuted the idea the changes will correct the rather lukewarm appeal of the current Micra, pointing to versions fitted with Nissan’s clever supercharged 1.2-litre petrol engine – badged ‘DIG-S’ – as being popular with customers. ‘Micra has been successful for us,’ explained Palmer. ‘It has done particularly well in markets such as Thailand, India and – surprisingly – Israel. There’s also a booted version of Micra called Versa and that’s been popular in the US.’

SHOWROOM

Porsche Centre gets thumbs up PLANS for a new Porsche dealership on the M5 near Tewkesbury, Gloucestershire have been praised by local councillors. The proposal from Dick Lovett Companies Ltd would lead to a prominent and large showroom close to the junction nine roundabout on the M5. A Dick Lovett spokesman told the Gloucestershire Echo : ‘This development will create an impressive feature on the edge of this major road system and entrance gateway to Tewkesbury.’

APPOINTMENT

Citroen’s new sales director CITROEN UK has announced the appointment of Bekir Hassan as its new sales director. Hassan takes on the new role from July 1, and takes over from Charles Peugeot who is returning to Citroen France to lead part of the team that will develop future DS models. Bekir, 49, has a long history with the PSA Peugeot Citroen Group joining in 1992 and spending the last 21 years working for Peugeot. Linda Jackson, Citroen UK MD, said: ‘We welcome Bekir to this pivotal position within Citroen UK. I look forward to working with him.’

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Lookers looks set to open new showroom New Mercedes-Benz dealership near Gatwick

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ookers Group is set to open a new Mercedes-Benz dealership near Gatwick airport. The new dealer, on the outskirts of Crawley in West Sussex, is opening to handle the extra demand caused by the existing Lookers Mercedes dealer in the town. The new premises bring with them a great number of improvements for Lookers Mercedes – including increased space, both in terms of parking for customers and space for approved used vehicles on the forecourt. In addition, the number of Mercedes models on display inside the showroom will also be able to increase – giving customers a bigger choice. Also at the new facilities is a Mercedes-Benz ‘My Service’ system – a drive-through service bay that aims to speed up the time it takes for a customer to hand over their vehicle for work.

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Using the new system, customers needn’t approach a reception desk to discuss the work and hand over their keys: instead, they simply hand them to a service advisor who will be ‘ready and waiting’ for their arrival. An AMG Centre has also been added – showing off Mercedes’s range of ultra highperformance vehicles. The new showroom, located on Gatwick Road, Crawley, will be open from mid-May.

MANUFACTURING

UK car manufacturing drops 6.3 per cent despite rising car sales CAR production in the UK dropped in volume by 6.3 per cent in March this year – the first significant drop since September last year. The latest SMMT figures come despite a rise in new car sales in the UK last month – up 5.9 per cent across the industry. The SMMT points to both an early Easter – causing factory downtime through bank holidays – and weak European car demand for the drop in production. The latter is likely to be the more significant cause – backed up by drops in export volume of 8.2 per cent in the month. Even demand for cars produced for our home market has flattened somewhat. With a rise of just 1.5 per cent in the number of UK-produced cars destined for our forecourts, it appears that the sort of strong demand experienced in the last six months may be easing.


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DASHBOARD.

Mazda forecasts sales growth of 20 per cent bit.ly/Mazdasales

Trader Media Group scraps all of its printed magazines Company focuses on its online mediums but 150 jobs will go

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rader Media Group has announced it will cease publishing its iconic Auto Trader magazine, with the last printed edition of Auto Trader to be published in June after years of declining sales. The weekly magazine is to be axed nearly four decades after it first landed, with another four titles – Top Marques, Truck and Plant, Van Trader and Farm Trader – also to close their print editions. Auto Trader’s circulation has plummeted from peak sales of 368,000 in 2000 to just 27,000 last month, as car buyers headed online – and the Auto Trader website took off. The final issue of the magazines will be published on June 28, 2013 and will be available in a five-page front cover pull out collector’s edition, featuring the most popular cars from the last 36 years. A limited ‘digital’ edition – a magazine cover incorporating video content – will also be available as part of a competition hosted on autotrader.co.uk in June. Zillah Byng Maddick, interim CEO at Trader Media Group, said in a statement: ‘Trader Media Group’s magazines have played a key role in the Group’s 36-year heritage and we are very proud of the market position our brands have achieved during that period.’ Trader Media Group confirmed the decision will mean 150 job losses across the five titles. The move means Auto

AMBASSADOR

Sharapova fronts Porsche PORSCHE is aiming to diversify its audience – appointing tennis pro Maria Sharapova as its new global brand ambassador. The appointment is a first for the German sports car maker, and is likely to be an attempt to attract more women customers to the Porsche brand. Currently nearly 90 per cent are bought by men. Commenting on the appointment, Porsche CEO Matthias Mueller said: ‘Maria is the perfect choice; her profile and charisma are an ideal fit for Porsche.’ Sharapova will front Porsche campaigns for the next three years.

RESULTS

Cambria profits rise 27 per cent

Trader will now solely exist online, and the site receives more than 11 million unique visitors each month to its website and over three-and-a-half million access the mobile site. Maddick added: ‘With a marked shift by consumers and dealers to online platforms as a means of accessing information and buying and selling vehicles, we continue to innovate to ensure that we offer them the products and services they require through their channels of choice.’

DEALER group Cambria Automobiles PLC has announced its profits have jumped 27 per cent. In the six months ended February 28, 2013, Cambira’s underlying profit before tax was up 27 per cent to £1.4m – up £300,000 over the corresponding prior year period. The company’s total revenue for the six months was £179.1m – up from £166.9m. The impressive results were buoyed by strong new vehicle sales and dealership acquisitions.

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E C N A H C T S A L SURVEY.

Don’t miss out – tell us what you really think Want to fill in this year’s Car Dealer Power survey and share your views? This is your final opportunity to do so....

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he deadline for submitting your Car Dealer Power survey form is rapidly approaching – so read on to find out why you shouldn’t be missing it. Hundreds of you have filled it in but for those of you who haven’t, this is your FINAL chance. Car Dealer Power is now in its fourth year – having helped put dealers and traders back in the driving seat since 2009, and giving you the opportunity to say what you really think about the manufacturers behind your dealerships. Last year, Hyundai just pipped Suzuki and Volkswagen to the top gong. This year’s survey, supported by GEN-3 Glasscoat, is once again aiming to highlight the manufacturers who have treated their dealers best – be it through providing competitive finance offers to get customers through the door, or managing its stream of new stock. It’s not just manufacturers in the survey, though: Suppliers are just as important, and we’d like your views on who you use too. From website designers to auction houses, we want

to know what you think of the companies that your business uses. We want you to rate the firms you use in all areas of your business so we can celebrate the very best – and invite them to our special Car Dealer Power Awards night on June 12. We’ve also managed to secure a number of prizes which will be handed out to random respondents to the survey (see right).

about what it’s like to represent your car manufacturer, so please feel free to give the most honest opinions possible. Car makers take our survey very seriously and a number have implemented changes to their processes directly off the back of comments made in previous years’ surveys. Filling in the survey at CarDealerPower.com shouldn’t take longer than a few minutes.

What’s in it for me?

Awards Night

Aside from getting the priceless opportunity to have your say, there are some enticing prizes to be won. For the sake of confidentiality we don’t ask for your name – simply enter your mobile phone number at the top of the survey if you’d like to be entered to win one of seven great prizes. A BMW watch and even tickets to the BTCC are just a selection of those on offer, so get filling out today if you want to be in with a chance. We want to know the good and bad things

Just like last year, we will be holding an awards night for the winners of Car Dealer Power. Winners will receive access to Car Dealer Power awards artwork, will bag a stunning trophy to take away with them, and will receive fantastic publicity in Car Dealer Magazine and on our website. One small tip though – we advise all suppliers and car manufacturers to ask their clients and dealers to fill in the survey. A friendly nudge towards the online survey can work wonders...

Fill in the survey NOW by

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Car Dealer Power in association with.. THE BRIBES The Car Dealer Power awards night will be held at the top of Portsmouth’s Spinnaker Tower

You could win...

Every respondent who gives their mobile number will be entered into our prize draw to win one of these fantastic prizes. BMW SPORT CHRONO WATCH How about checking the time with this German masterpiece? Worth £208, it’s a stunner!

LAND ROVER EXPERIENCE Fancy a half-day full of mud-plugging? You’ll learn how to tackle rivers and ditches!

SIGNED PORSCHE MODEL You could grab a 1:43 scale model of a Porsche 911 GT3 R signed by racer Peter Dumbreck.

BEAULIEU TICKETS Entry for two adults & three kids/one adult & four kids. Top attractions include Bond in Motion.

CITROEN GOODY BAG Are you a Citroen fan? We’ve got a Seb Loeb cap, 90 years of Citroen book & model cars.

LE MANS BOOK 2013 is the 90th anniversary of the 24-hour race. Celebrate it with this ‘Panoramic’ book worth £35.

HONDA BTCC TICKETS A pair of entry tickets to a BTCC round of your choice courtesy of Honda Yuasa Racing. Thanks to: BMW, bmw.co.uk; Land Rover, landrover.co.uk; Propel Technology, propel-technology.com; Beaulieu, beaulieu.co.uk; Citroen, citroen.co.uk; Veloce, veloce.co.uk; Honda, honda.co.uk.

logging on to CarDealerPower.com

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UK supplier Euro Car Parts merges with Sator Holdings Major new deal sees creation of one of Europe’s largest distributors

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uro Car Parts– a UK-based supplier of car and van parts – has merged with a major European parts group, becoming one of Europe’s largest car parts distributors. The merger, between Euro Car Parts and Netherlands-based Sator Holdings, is financed by the LKQ Corporation – a major supplier of collision replacement parts in the US and Canada. Its subsidiary, LKQ Europe, has owned Euro Car Parts since October 2011 – purchasing the firm for £225 million. Sator Holdings owns a number of different part and tool distribution companies – including many based in the Netherlands, and a number which distribute throughout Europe. Sukhpal Singh Ahluwalia, managing director of LKQ Europe – owner of Euro Car Parts– said: ‘This new group, with annualised sales of over

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€1 billion, has such large purchasing power that it could supply a car part to each of England’s 56 million citizens, each year.

‘We intend to use this power and world-sourcing capability to drive down the cost of car parts for hard-pressed motorists.’


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DASHBOARD.

HPI joins forces with AUTOi bit.ly/HPIpartner

Citroen dealer forced to pay out £1,000 in compensation Court rules dealer fell foul of Sale of Goods Act with faulty C4 Picasso

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Citroen dealer has paid out more than £1,000 in compensation to a customer after falling foul of the Sale of Goods Act. Freeborn Garages’ Citroen dealership in Southampton, Hampshire, sold the Rev Carl Chambers an ex-demonstrator C4 Picasso. But after 16 months the car broke down in the middle of a family holiday in France, forcing Chambers to spend hundreds of pounds to get home. The car was picked up by Citroen’s breakdown service where it was discovered the gearbox selector had broken and would take weeks to fix. Chambers asked for a hire car from Citroen but they refused. Instead, he had to pay to hire a car for the rest of the holiday, fly himself and his family home, hire another car in the UK, then fly back to France to drive the original car back once the problem was fixed. He had spent around £600 on hire cars alone – with flights and other costs on top. Citroen paid for the repairs but refused to cover all the extra costs,

arguing they weren’t liable because he didn’t have the extended warranty and breakdown insurance. Chambers decided to use the 1979 Sales of Goods Act to get compensation. Speaking on the BBC consumer rights show, Watchdog, Chambers said: ‘The Sale of Goods Act gives great power to consumers, who I don’t think know quite how powerful it is. ‘I like to think I am mild mannered person but I do believe in justice.’ Brighton county court ruled in his favour for consequential losses and Chambers received £1,345.16 in compensation. The Sales of Goods Act states any goods sold must be of satisfactory quality and also reasonably fit for purpose. The contract of goods is between the seller and the buyer – and not the manufacturer – so in the case of a car, the garage that sold the car is responsible. The act crucially also states: ‘The product you brought must remain of satisfactory quality for a reasonable

amount of time, whatever the length of the warranty.’ Watchdog interviewee Mark Weston, a commercial lawyer, explained that for a new or ex-demo car, at least two years of the car performing satisfactorily would be considered reasonable. Freeborn Garages said in a statement to Watchdog: ‘As a responsible dealer it would always comply with all current UK legislation as confirmed by its action in this case.’ Car Dealer Club’s legal firm Lawgistics told us: ‘Consequential losses consist of any money that flow from the original problem, as long as they are reasonable and foreseeable. ‘The court would look to see if a customer has contacted a dealer to report any problems and make an attempt to protect himself from these losses. If they do so and the dealer does not or cannot help, then the dealer will be liable for these costs. ‘It has happened in the past that a dealer in the UK, faced with a similar problem, sent a part over to France so the car could be fixed ASAP, saving themselves from these consequential losses.’

CLOSURE

Dealer closes doors after 64 years A 64 YEAR old dealership group in Sheffield, South Yorkshire, has been forced to close. Sheaf Motor Group shut its doors this week, according to the Sheffield Telegraph – citing the financial climate as a reason for its demise. Established in 1949, the company is well known in Yorkshire and Derbyshire – with branches in Dronfield and Coal Aston. Both closed yesterday, with ‘dozens’ of jobs affected. ‘Closure has been a tough decision,’ Cath Talbot, joint managing director, told the Sheffield Telegraph. ‘The turbulent economic climate coupled with the increase in online sales has taken its toll on the business. We would like to thank everyone for their support and custom. ‘We are now looking at a number of potential opportunities for the three sites and very much hope that the sites will be occupied by either the retail or service sector to continue to provide local services for residents in Dronfield and North East Derbyshire.’

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Man proposes to his girlfriend in a showroom Lincoln Seat hands over new car and witnesses a proposal

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s proud as we think many dealers should be about their sparkling premises, even the most impressive showrooms probably wouldn’t make it into a list of potential spots to pop the question. In the case of a couple from Lincoln however, that obviously proved not to be the case – with one groom-to-be choosing not the Eiffel Tower or London Eye as a venue for the proposal, but a Seat dealership in South Hykeham. Wayne Thompson popped the question to his girlfriend – Melissa Grant – while picking up a brand new Ibiza, getting the dealership staff of Horton Seat on board to prepare things for the big moment. Rather than being handed a set of keys, though, girlfriend Melissa found her partner down on one knee – having planned the whole event in the days running up to the proposal. ‘Funny thing is, she had asked me only the day

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before if I would ever lie to her,’ said Wayne, ‘and in fact I had to say I was going to the gym that afternoon, when in reality I was at the dealership sorting out all the arrangements!

Katie Freeman, dealer principal at Horton Seat, said: ‘We are thrilled that Wayne chose to propose in the showroom and we wish them every success for their future together.’


Vertu Motors sells heavy truck dealerships bit.ly/vertutrucks

Dealer calls police to arrest dancing woman ‘Customer’ refuses to stop breakdancing on forecourt

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woman has been arrested at a car dealership in Wakefield, in what’s possibly one of the strangest breaches of the peace imaginable. Officers from West Yorkshire Police were called to the premises after an individual simply refused to stop breakdancing on the forecourt, according to the force. An update to Wakefield’s Central Policing Team’s Facebook page documented the arrest, with a post – which has now been removed – stating that the 31-year-old woman was arrested for irritating staff members and preventing general dealership activities from being carried out. ‘PCs Toon and Starbuck were called to a car showroom in Wakefield,’ the post read, ‘where the female was annoying staff, break dancing on the forecourt and causing a general disturbance, stopping customers from entering. ‘Despite advice from the officers, the female

continued with her behaviour and was arrested for breach of the peace,’ the post concluded. Perhaps unsurprisingly, the news generated more than a few comments – some in favour of the force’s actions, and others less so. ‘You arrested someone for break dancing. Wow, glad to hear my tax money is being put to good use,’ one read, according to the Yorkshire Evening Post.

EXPANSION

Independent dealer Halliwell Jones opens £5.5m service centre WARRINGTON-based Halliwell Jones Group has opened a £5.5m service centre after a major expansion. The new 4.3 acre plot in Chester includes a state-of-the-art service centre with 26 service bays and a body shop. The independent car retailer claims the new site increases the service capacity by more than 250 per cent and has led to a 10 per cent increase in staffing. The expansion came after the group secured £7.6m backing from the Cooperative Bank. The loan was also used to extend and improve its dealerships in Southport and Warrington. Quoted in the Liverpool Daily Post, Halliwell Jones Group finance director Glyn Howes said: ‘We are very grateful for the support of The Co-operative Bank, who have backed our business strategy. ‘This is an exciting time for the group, in particular with the expansion at Chester. ‘We now employ over 350 staff, with turnover expected to break the £240 million barrier in 2013.’

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DASHBOARD.

Charles Hurst goes all Alan Sugar bit.ly/Hurstapprentice

Kia dealer’s major expansion plans annoy the neighbours Customers are stealing our parking spaces, say local residents

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lans to upgrade a Kia dealership in Lee-on-theSolent, near Portsmouth, have been hit with local opposition. Family-run Fine Cars, based in Gosport, has outgrown its premises – hoping to grow its Lee site by knocking down two of the surrounding houses. Expanding the dealership, say owners Brett and Howard Duke, would allow Fine Cars to improve their aftersales and workshop activity – including being able to replace customers’ tyres. The expansion would also aid the dealer’s customer facilities – bringing 11 off-road parking spaces with ‘improved access’ to the showroom. ‘All we’re really trying to do is secure

jobs, and at the end of the day, keep the business going,’ said Brett Duke. ‘It’s not an expansion or the business growing, it’s not actually about that. We have standards to Fine Cars comply to as well, we can’t just drift along forever with the same old machinery and the same systems in place. Every now and of the Fine Cars garage as they are again we have to raise the bar.’ permanently occupied by customers’ Planning officers have received cars attending the garage. ‘nearly 200’ letters over the plans, ‘This is an almost entirely residential and while many local residents are in area and in my opinion more support, some still object. commercial development should not be Geoffrey Park, whose house borders allowed.’ the dealership, expressed his concerns Another, Sheila Baron, was concerned at the plans to the Portsmouth News, that solar panels on her house may saying: ‘There are few parking spaces be obstructed, saying: ‘This proposed outside of the properties in the vicinity extension is far too large and intrusive.’

Dealer’s 19 vehicles destroyed in arson attack POLICE are describing a fire in which 19 vehicles were destroyed at a Merseyside car dealership as an ‘arson attack’. The fire swept the forecourt of Childer Thornton Car Sales, located near Ellesmere Port in Cheshire, destroying several cars and causing considerable damage – with police suggesting that the damage was no accident. Emergency services were called out to the fire just after 4am on April 25, and a joint investigation is now underway, according to the Ellesmere Port Pioneer.

‘Thousands of pounds worth of damage has been caused by this fire but the outcome could have been much worse had it spread,’ said detective constable Allan Faddes, of

Ellesmere Port CID. ‘Fire is so unpredictable and can quickly become out of control so it is fortunate that in this case we are only dealing with damage at the garage rather than people seriously injured. ‘I would appeal to anyone that may have seen people acting suspiciously in the area, or have any information about the fire to call police so we can catch whoever is responsible for this reckless act.’ Witnesses are asked to call police on 101, or Crimestoppers anonymously on 0800 555 111 quoting incident number 79, of April 25.

REFURBISHMENT

£750k re-fit for Lawton Brook LUXURY car sales operation Lawton Brook is celebrating its 21st birthday – and has undergone a £750,000 refurbishment programme. The re-fit, which took around eight months to complete, has seen a complete overhaul of Lawton Brook’s operations. Not only has the company completely refurbished its sales and administration offices, but the construction of a new vehicle turntable with client webinar viewing facilities has also taken place. A 10kw solar PV system has also been installed.

HOT WHITE

White cars top used searches WHITE cars are very much in fashion, according to Auto Trader – with searches specifically for models in the colour skyrocketing in the last five years. Previously avoided by dealers, the colour now seem to be back in fashion; second only to black in the most popular searched colours on the site. White’s growth has been rapid too, Auto Trader reports. Searches for white have increased by up to 600 per cent in the last five years, with 18 million searches for the colour in 2012.

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DASHBOARD.

Motorists kept waiting for correct tax discs to be issued Drivers with personalised plates are told to display old tax discs

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otorists waiting for a new tax disc after changing their car’s registration plate to a personalised one have been told they should keep their OLD disc on show – even though the registrations won’t match. Many drivers who have opted for personalised plates are being kept waiting for a new tax disc because of the way in which the DVLA processes applications. The problem has come about due to the planned closure of local DVLA offices across the UK by the end of 2013. Drivers are now receiving their new V5C registration certificates before their new tax disc displaying their personalised registration. But the DVLA is assuring motorists it is acceptable to drive their cars displaying their old tax disc carrying the old number plate on them – despite their cars clearly displaying their personalised number plates and not matching their tax discs. Notices (pictured right) have been put up in DVLA local offices stating: ‘If you get your registration certificate (V5C) before your tax disc, you can still legally drive your car and display the new registration plates. Your tax disc will arrive shortly afterwards.’ If a car’s number plate does not match the tax disc on display it’s an offence – but the DVLA says that in this instance, motorists will not be breaking the law. ‘We are advising customers who are changing their car’s number plate to a personalised one and have received a

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Drivers are receiving updated V5Cs before their new tax discs new V5C but not their new tax disc to carry on displaying their old tax disc,’ a DVLA spokesperson exclusively told Car Dealer. ‘The two different number plates will match our records and motorists will not be penalised.’ The spokesperson added that all police forces have been notified of the situation. When asked whether motorists could be penalised, the spokesperson replied: ‘That is a matter for the police. We sent out a bulletin informing them – they are aware.’ However, the situation has not pleased one cherished number plate dealer. James Saperia of Simply Registrations told us: ‘It is great that the DVLA is keeping everyone informed of current turnaround times, however we are advising our clients not to fit their new number plates until they are able to display the appropriate tax disc.’ For dealers switching personalised

number plates onto new cars, the DVLA suggests car salespeople register cars 14 days before they hand over the car to the customer if possible to get around the problem. From July, the ‘grace period’ will be extended to 14 days

EXPANSION

Eden acquires new site EDEN Motor Group has acquired a Fiat, Alfa Romeo, Hyundai and Mazda dealer in Basingstoke. The Alan Gibson dealer, located not far off the M3, was previously owned by Lancaster Group – selling the premises to the dealer’s namesake, Alan Gibson, who later helped the premises gain franchises for Hyundai and Mazda. The dealership will join Eden’s other sites in and around the south of England, including those in Reading, Exeter, Camberley and Fareham – but are the only non-Vauxhall or Chevrolet premises that the group owns.

INVESTMENT

Ford invests in Bridgend FORD has announced a multi-million pound investment in its Bridgend plant in South Wales – gearing it up for production of a new range of engines. The new engine – a 1.5-litre EcoBoost – is likely to go into a whole host of Ford models, and is designed with countries whose tax laws benefit engines smaller than 1.6litres in mind. Bridgend currently produces 2,668 engines every day, exporting them to Ford’s car plants around the world – including its Spanish factory in Valencia.


Volvo extends used car programme bit.ly/VolvoSelekt

HR Owen adds Lambo dealership to portfolio

HR OWEN is to add a Lamborghini dealership in Pangbourne, Berkshire, to its network The addition of Lamborghini Pangbourne provides a total of six UK dealerships for HR Owen, the UK’s largest luxury car dealer. Located west of Reading, the new CI-compliant showroom will serve an important region on the M4 corridor and will formally open later this year. The dealership will join HR Owen’s Lamborghini locations in London and Manchester. The UK is Lamborghini’s third largest market by volume behind the USA and China. HR Owen, which operates franchises in the prestige and specialist car market, can trace its roots back to its formation by Harold Rolfe Owen, who opened a dealership selling Bentley and Rolls-Royce cars in 1932.

Bowker Motor Group becomes first Maserati dealer in Lancashire

MD Chris Eccles and Bowker Group chief executive Paul Bowker

Prestigious Italian car maker chooses family firm

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ancashire-based Bowker Motor Group has been appointed by Maserati to operate its first Lancashire Maserati dealership. The agreement will see Bowker Maserati operate from the motor group’s existing premises on the A59 in Osbaldeston near Blackburn from June 2013. The dealership will be the sole distributor of the Italian brand in the north west and Cumbria. The Osbaldeston dealership, which is already home to Bowker Ribble Valley, is being developed to display three Maserati models with full aftersales facility. The investment in the dealership will generate an additional three jobs. Bowker Maserati will be headed up by managing director Chris Eccles, supported by sales manager Jim Gregory. Bowker Maserati is the tenth member of the Bowker Motor

Group portfolio, which includes dealerships in Blackburn and Preston. Paul Bowker, Bowker Motor Group chief executive, said: ‘It is a huge privilege to be chosen by Maserati to represent them in the north west and Cumbria. We have already established award-winning motor retail experiences in Preston and Blackburn with some of the world’s most prestigious motoring brands.’ David Aldcroft, Maserati North Europe network development manager, added: ‘We are delighted to be working with a Lancashire business as highly regarded as Bowker Motor Group. We select our partners carefully and we were especially attracted to a business that has a significant and long standing presence in the Lancashire local community with such high levels of service and award winning customer care.’

SOLD

Jardine sells Scothall Hants JARDINE Motors has sold its Scothall Hampshire BMW and Mini franchise – passing the dealerships on to Toby Partridge, previously managing director of BMW Park Lane. Commenting on the acquisition, Partridge said: ‘I am delighted to have acquired the dealership. I had eight fantastic years running the BMW Park Lane business but I now have the chance to inject my passion for BMW and Mini into my own dealership at a very exciting time for both brands.’

LAMBORGHINI

One-off car up for grabs A FRENCH car dealership has started attracting worldwide interest – after it advertised the sale of a rather special one-off Lamborghini. The ultra-exclusive model – oddly named the Pregunta – which was first unveiled at the 1998 Paris motor show, has gone up for sale at Autodrome Paris sporting a price tag of £1.3 million. The first model conceived after the Volkswagen Group takeover of Lamborghini, the Pregunta was short lived, with production never making it past the one example.

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DASHBOARD.

Above and beyond James Batchelor picks his favourite stories of dealers going the extra mile for their customers

Foursons Norwich

What do you do when you have more customers booking services than you have courtesy cars available? Say no? Get more cars? Or send them to country retreat for a spot of relaxation instead? Well that’s the solution Mitsubishi dealer Foursons of Norwich has. Customers having a service on their vehicle are whisked away to the nearby Dunston Hall for golf, spa treatments, or time in the sauna, thanks to the dealership’s corporate membership. ‘It works well for us because it frees up our loan vehicles,’ says MD James Jones.

Ford

Retail

Ford Retail is so passionate about customer service, it calls them Moments of Truth and has a customer service training programme which tries to spread happiness through Ford dealers. Every Ford Retail employee has attended the training to receive a Ford Retail Diploma, and the programme measures how satisfied customers are with the service through an online survey. The highest performing staff are awarded with a certificate and gold badge. The result? Ford Retail is the only company in the sector to be recognised and accredited by the Institute of Customer Service.

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Pendragon’s auditor investigated by UK watchdog bit.ly/Pendragonauditor

West Way Nissan Sutton Coldfield

When an elderly customer needed help with a tyre issue, the dealer principal collected her car from her home on a Sunday, had the problem fixed and returned the vehicle washed and valeted the next day. The grateful customer invited him inside for a ‘thank you’ cuppa, but soon had him working again… putting away box after box of Christmas decorations. And the kind-hearted DP obviously did a good job. ‘A few weeks later she rang me up to ask if I’d quote to decorate her lounge,’ David O’Grady, dealer principal, told us.

Audi Mechanicsburg Pennsylvania, USA

Pennsylvania-based Audi Mechanicsburg reacted immediately to a panicked phone call from a stranded customer whose wheels had been stolen. They dispatched a limo to take him and his family home, and two technicians with new wheels were driven out to repair the A8 – then delivered to the customer’s door. The owner was so happy, he bought his next car from them, as well as buying the two employees lifetime memberships at a health club. ‘He’s sent a lot of business our way,’ said general manager Steven Baun (pictured).

Firs Garage Oxfordshire

Firs Garage in Oxfordshire is thought to be the only car dealer in the UK with its very own airstrip and landing pad – so when a customer from up north wanted to pick up his new Mitsubishi Shogun he was pleased to learn he could arrive by air. The Mitsubishi fan flew in his helicopter, dropping off a friend to drive his new Shogun back for him. Dealer principal Dean Wood says: ‘Customers find the landing strip and heli-pad an unusual and enjoyable way to arrive.’

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DASHBOARD.

We’re all heading in the C

itroen in the UK is changing. The French brand has long had a decidedly cheap and cheerful image among customers, but the firm, along with its dealer network, is working overtime to change it. It’s a brand in transition but is it really working? As a former Citroen owner I’m one of those people asking that very question. Is the brand successfully strutting between the poles of producing volume cars and luxury premium ones? And are its dealers happy? Four months ago I wrote a passionate column expressing cynicism. I said: ‘The picture is grim for Citroen as a whole. Car sales in France have slumped to their lowest level since 1997… And taking a look at the UK, apart from the DS3, there’s very little to persuade the badge-obsessed British buyer to go with Citroen. The C1 is old; the C3 is dull; C4 is even more dull; C5 suffers from the C6’s disease; while, apart from the C3 Picasso, the firm’s MPVs are lacking in the desirability stakes.’ Those words naturally angered Citroen. They argued they’ve got the best product range ever

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Editor James Batchelor recently wrote that the picture was ‘grim’ for Citroen in the UK. Can the company change his mind?

Car Dealer’s editor meets Tom Lander and that their dealers are happy. The solution was for Citroen UK to take me to two dealers who cannot speak more highly of the Double Chevron brand. ‘I don’t think there has ever been a better-built model line-up,’ says Tom Lander, director of the dealer group Yeomans and chairman of Citroen’s national dealer council.

Lander, a man of considerable experience with the Citroen brand, settles himself down in his chair in an office overlooking the showroom floor. His Citroen dealership in Fareham is one of four holding the Double Chevron franchise. The dealer group also has one Peugeot franchise, three Toyota dealerships, four Honda showrooms and is one of the longest serving Nissan dealers in the country. ‘I love coming here,’ he remarks, after a sip of his coffee. ‘The Citroen corporate identity works really well here.’ We discuss the European car market and how it’s showing that the UK market is relatively strong. And then I ask how well is the premiumpositioned DS line selling? ‘We sell 350 new cars a year here,’ replies Lander. ‘The DS range takes up close to 20 per cent of that. DS3 in particular, dare I say it


BMW takes to Indian market with mobile showrooms bit.ly/BMWindia

same direction sells itself.’ Another sip of coffee and a few more questions later and the topic of DS3 crops up again. ‘Without a shadow of doubt it has introduced a new type of customer to Citroen showrooms. Fewer customers are thinking of Citroen as a cash-back brand. The dynamic has changed – customers are now buying Citroens because they want to own them, not because they are cheap. ‘For conquest sales, DS3 is our biggest weapon. I would say 60 per cent of DS3 sales are conquest – that is incredible.’ Lander has occupied the position of chairman of Citroen’s national dealer council for the past two years – and firmly believes the bond between the manufacturer and its dealer network is a strong one. ‘It is very positive,’ he says openly. ‘I cannot think of a time when a dealer network and a manufacturer have been closer.’ I ask whether the network is expressing concerns to him. Lander replies that due to Citroen changing the way it supplies stock, dealers are getting nervous. ‘There are always things which we all do not agree on,’

he argues, ‘but there is a large amount of commonality and everyone going in the same direction.’ And by everyone, Lander means everyone. The Citroen dealer network, like most volume car makers’ networks, has a patchwork quilt of large franchises and smaller groups. One of those is Richard Sanders – one of Citroen’s newest dealers. The family-owned business operates Peugeot, Nissan, Honda, Renault and Dacia showrooms, and has just refurbished a new dealership in Northampton for its recently acquired Citroen franchise. As we sit down for a chat, managing director Richard Sanders muses about the DS5 I have driven up in. ‘The DS5 was the main reason why I wanted a Citroen franchise,’ Sanders chuckles. ‘You don’t drive it, you fly it. When I first saw that car, I said to my two sons we have got to get into Citroen.’ Sanders describes how the dealership used to be a Vauxhall one and how the new Citroen corporate identity looks really smart. There are red painted walls, a polished white floor and luxurious leather chairs for customers. The whole

dealership speaks of quality. ‘We opened this showroom in February 2012 and we have sold 350 new cars. The franchise has exceeded all of my best expectations.’ We chat about how the dealership pulls in customers who visit a Mini dealership next door, and Sanders gives the reason why: ‘Citroen is vivacious with lifestyle products. ‘I think Citroen has done an immense aboutturn from its original history. Citroen is back with well-made products which are stylish and comfortable.’ With dealers like Richard Sanders and with a dealer council chaired by a man like Tom Lander, perhaps Citroen really is changing. But Citroen was always going to take me to the happy dealers. We’ll see how satisfied dealers are in the coming months in our Car Dealer Power Awards… [CD]

A family affair: Richard Sanders with his wife and two sons

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DASHBOARD.

Around the world

Dealer news from somewhere other than here

Barn-find Jaguar E-Type sells for £109,000 bit.ly/barnetype

GERMANY

Auto discounts in Germany rose to their highest level in seven years in April. A study says more than one in five car sales in Europe come via car discounts. One dealer in Cologne is even offering a discount of 5,450 euros on a 2013 Ford Fiesta via a Groupon voucher, meaning a price reduction of around 32 per cent.

USA

A former Texas car dealer has come out in support of Tesla, which is battling laws that prevent manufacturers from selling cars directly to customers. Sterling McCall wrote a letter to the Houston Chronicle asking for current laws to be maintained but an exception to be allowed for Tesla, which has no dealer network. The laws prevent manufacturers undercutting franchise dealers – which Tesla doesn’t compete against.

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UAE

Rolls-Royce sales in Abu Dhabi continued to grow during the first quarter of 2013, with the brand reporting a 39 per cent growth over the same period in 2012. The UAE capital is already the regional leader in Rolls-Royce sales, and earlier this year Abu Dhabi Motors, the sole RollsRoyce dealer in the region, was awarded the ‘Global Dealer of the Year’ award by the British marque. Bespoke vehicles accounted for a large part of the sales.

KENYA

INDIA

Sales of the Indian ‘people’s car’, the Tata Nano, have continued to slide as only 948 units were sold across India in April this year. According to information provided from the manufacturer, Nano sales declined by over 80 per cent compared to April last year, when 8,028 units were sold. Not a single Nano was exported in April either, despite high expectations for the car when it was launched in Sri Lanka two years ago.

Honda has confirmed its African expansion plans with the opening of a new dealership in the Kenyan capital of Nairobi. It’s been seven years since Honda had a presence in the region. A spokesman for the company said emerging economies such as Africa had become the driving force of the world economy, and that Honda had opened a regional East African office in Kenya to better understand local customer needs.


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FINANCE. FLA FIGURES

More buyers turning to finance for their new cars FIGURES published by the Finance & Leasing Association (FLA) show another double-digit increase in the number of new cars bought on finance by consumers through dealerships. In the 12 months to March 2013, the number of cars financed this way increased by 27 per cent, and by 22 per cent in the first quarter of this year. Overall 127,084 cars were bought on finance through dealerships in March, with the value of all the advances reaching £1.898 million. FLA members’ penetration of the private new car registrations market was 72.9 per cent, up from 71.9 per cent in February 2013. Commenting on the figures, Paul Harrison, head of motor finance at the FLA, said: ‘Used car finance volumes in March were relatively static with the new number plate helping to drive strong growth in private new car finance sales. ‘Our figures again highlight how affordable finance deals are helping to bring people into car showrooms.’

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Buyers desperate for clever finance package flock to UK’s Peugeot dealerships French company reports three-fold increase in its ‘Just Add Fuel’ deal

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eugeot has reported a three-fold increase in the number of customers choosing to purchase their new car using the Just Add Fuel offer. The innovative finance offer, which covers tax, servicing, roadside assistance, the warranty, insurance and the car itself, now accounts for over 30 per cent of all Peugeot’s retail sales. ‘Just Add Fuel is proving particularly attractive to the younger driver customer base,’ a Peugeot spokesman exclusively told Car Dealer. The most popular models purchased through the deal are the 107 and the 208 – in fact over 80 per cent of the Just Add Fuel sales relate to customers who bought either a 107 or a 208. ‘In the past nine months, new car sales to customers under 25 have grown steadily using Just Add Fuel – averaging 12 per cent of retail sales by the end of March 2013. This compares with only 3.5 per cent for non-Just

Add Fuel customers. ‘At the same time, a further 15 per cent of Just Add Fuel customers are aged 25-30 compared with only eight per cent of non-Just Add Fuel purchasers in the same age bracket.’ Peugeot calls the deal ‘an allinclusive, inflation-proof package’ and it includes deals on every model in the Peugeot range. However it has been the smaller, cheaper models which have had the most success through the deal.

According to the manufacturer, over the last decade, the average number of Peugeot new car buyers aged under 40 was only 22 per cent. But recent research carried out by the brand has revealed that Just Add Fuel has had a positive impact on younger drivers’ purchasing behaviour, with new car buyers through ‘Just Add Fuel’ aged under 40, now accounting for 40 per cent of the sample. Handbook: Peugeot 3008, p49 Handbook: 208 GTi, p52

Skoda boosts customer interest with scintillating summer deals SKODA has announced some special finance offers including deals on the brand new Skoda Octavia. The new deals include ‘no VAT’, 25 per cent discounts and zero per cent finance on selected models. The smallest car in the Skoda range, the Citigo (various models including Sport), comes with one year’s fully

comprehensive insurance free for drivers aged 21 and over, while selected models in Skoda’s flagship Superb range qualify for the ‘no VAT’ offer when financed with a 50 per cent deposit. The new Octavia qualifies for a £500 deposit contribution and three years’ free servicing when the car is bought

with a Skoda Finance hire purchase or personal contract plan at 6.9 per cent APR representative. Finally, when purchased with a PCP or HP 7.9 per cent APR finance agreement, every car in Skoda’s range continues to qualify for three years’ free servicing, apart from the Citigo S, Citigo Sport and Octavia SE Connect.


..in association with

DEALFINDER.

Latest finance deals on SMALL ESTATES

Meldrum

RENAULT MEGANE SPORT TOURER

Facing price objections

WITH striking looks and practicality to match, the Renault Megane has huge appeal in estate form. The Megane Sport Tourer has a premium-feeling cabin thanks to Renault’s push for higher quality, and the boot has a generous 486 litres of boot space. Renault offers a four-year, 100,000mile warranty for peace of mind too. Buyers can grab this French-fancy through Renault’s own 48-month finance package. Monthly payments for the well-specified 1.6 petrol Expression+, which comes with alloy wheels, Bluetooth and front fog lights, start at £259 after a deposit of £1,927. The low deposit is boosted by a dealer deposit

contribution of £1,000 – meaning for this £17,350 carbuyers need only finance £14,423. The optional final payment is £3,968.

VAUXHALL ASTRA SPORTS TOURER LIKE Renault, Vauxhall call their Astra estate a Sports Tourer – and like the Renault the Astra Sports Tourer is probably far too svelte to be lumbered with the estate moniker. The latest

Astra took a big step forwards in terms of interior quality and style – the 500 litres of seats-up boot space not impacting the looks. And of course, customers get Vauxhall’s famous lifetime warranty. Vauxhall is offering a £1,000 dealer deposit, also like Renault, and with zero per cent interest too. After a deposit of £5,190 (plus the dealer contribution), buyers can pay 60 monthly instalments of £249 to get the Astra Sport Tourer SE 1.6i, with 113bhp and sporty alloy wheels. The best bit about this deal is after the term is up, the customer owns it.

KIA CEE’D SPORTSWAGON KIA is a real contender in the small estate segment, and if buyers don’t fancy driving a ‘Sports Tourer’ they might be tempted instead by the Kia Cee’d 1.6 GDI, err, Sportswagon. Seems no manufacturer calls their compact load-luggers ‘estate’ anymore, even though the Cee’d Sportswagon does have a huge 510-litre boot, even before you put the seats down. The Sportswagon is £17,360 in ‘1’ spec, which comes with air conditioning and front fog lights – and after the £900 customer saving from Kia, an OTR price

of £16,460. With a deposit of £4,161.25, buyers can pay 36 monthly payments of £219, with a guaranteed future value of £5,785.75.

time is money

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ast month I recommended protecting the future of your business by making sure your sales staff receive continuing professional finance training. Providing your staff with on-going training means they will not only have the key skills that they need to be successful but it will also help you to retain the best of them because most employees feel valued when their company continues to invest time and effort in their development. And we all know that on-going training is very cost effective because it’s far less expensive to train existing staff compared to training new recruits. A good example of what training might be needed is the good old ‘handling price resistance’. How well do your teams cope when they are faced with a price objection following a finance quote? Do they drop the rate first, second or third? Do they challenge the customer and tell them that they are being offered the best available rate? Do they stand their ground on the rate at the risk of losing the sale? Or do they begin to pick around the overall deal to try to find a more palatable monthly (or weekly) payment? If any of your sales people enter into any of the above conversations then they are in dire need of finance training. This training can be supplied by an outside agency or an associated company such as your finance provider. As experts in our industry, finance companies, like First Response Finance, can deliver priceless knowledge that could save your business money every time your sales people hear a customer say ‘That’s too much’. Car dealers who provide a good level of training understand that finance profits are an essential ingredient if they want their dealership to thrive in the fiercely competitive motor industry. These people make it a fundamental part of their business plan.

‘Save cash every time a customer says “that is too much”.’

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

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big mike.

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

Doing the sums sees me moving up a notch

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here are things that make cars fly off your forecourt because buyers are convinced they make great sense. Any dealer will tell you that anything with a VW Group diesel is great news. Easy to sell, reputedly reliable and often found in a car that’s dull but beautifully executed with a jolly nice interior. It works well in the new car market where such models command a significant premium but even better on used forecourts — I’ve never had a VAG diesel sit on my forecourt for more than a fortnight, and that includes a white normally aspirated Golf SDi, which came to me in part ex with a similar mileage on the clock to that of Apollo 11. A recent quick turnaround was an Audi A6 1.9 TDi quattro of 2001 vintage, sensible miles at a smidgen over 100k, leather, a nice Bose audio system, heated bum pack and a sunroof, finished in obligatory sales rep silver. At £2,695 it looked like great value and I sold it in under a day. Her indoors was delighted as she got a curry and a few halves of lager — flogging a part-ex with just a lick of polish, a quick Hoover and some tyre shine was a perfect end to a pretty good week. In recent weeks, I have moved up in the world. Almost every car dealer I know uses something unsaleable as their transport, usually gargantuan, uber-luxurious and powered by a V-shaped petrol engine. For years, I ran Rover 800s and Ford Scorpios, along with the more quirky luxo-barges. But after my missus parked the Toyota Camry in the rear doors of a Transit, and my Nissan QX was deemed beyond economical repair when the exhaust fell off (it was more cost effective to break the rest and sell it piece by piece on eBay), our current runabout is also an Audi A6. This one is a black 2.8 V6 quattro on a private plate, loaded with every toy of 12 years ago. When it rolled off the production line it went on to Audi GB’s management fleet and has had one owner since. It even has a factory-installed sat nav but I keep forgetting it was

Big

built before the M6 toll road and so get caught up in traffic in Walsall. I’m running it because I’ve owned it for nearly a year. Generally, if something hangs around for six months, it gets the chop down the auction but this car was far too nice for such a fate. Reducing it to £1,395 got no response, so I decided to run it myself. Driving to work the other day, I did the sums. According to the trip computer, the 2.8 V6 is averaging 25mpg. So for 20,000 miles I need to feed it 800 gallons of unleaded at £1.35 a litre — £5,992, which makes my eyes water but is a fact of life. Outside of road tax and running repairs (at this price, dealer servicing rarely comes into it — it’s an annual oil change, plus brakes and exhausts as required), that’s your lot. Considering I sold the equivalent-aged TDi model for £1,300 more before it used a drop of the smelly stuff, it makes for an interesting comparison. If you averaged,

Mike

‘I want the posh one that sounds juicy, goes like stink and has all the toys’

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

say, 40mpg at £1.42 a litre as it is at my local, you’re in for £4,673 over the same distance. That makes it more or less the same cost overall, including purchase, to run for 20,000 miles — a reasonable life expectancy. Driving 20,000 miles at my current mileage takes me a fraction over three years (closer to four if I keep getting stuck in Walsall) and if I own a car for that long, then I want the posh one that sounds juicy, goes like stink, has all the toys and disguises its age from the Joneses, with whom my much beloved goes out of her way to keep up. In making this argument, though, I reluctantly realise that someone may read this and come along and buy it. And that’s a shame, because it means I’ll end up back behind the wheel of a Toyota Camry…

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 | 37


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bAGGOTT.

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Jumping the right way during a recession

A

mid the closures, administrations and sob stories hanging over the motor trade like a toxic smog there are some businesses that are flourishing — and this month I had the opportunity to peek inside one. Nestled next to the expanses of asphalt that make up Cambridge Airport, Marshall Motor Group’s head office is in a small, unassuming office complex. In fact I had trouble finding it. When I did, there was no receptionist to point me in the right direction, just the chief executive officer, Daksh Gupta, there to greet me as I poked my head through the door to check I was in the right place. Gupta joined the company less than five years ago and in that time he’s transformed the business from also-ran to one of the largest dealer groups in the UK. While his acquisitions have been plentiful and well documented, his dealer disposals haven’t had the same level of publicity. Slowly and steadily he’s sold off the poorly performing sites and those that didn’t mix well with his portfolio. In 2008 he had, he says, an ‘unbalanced’ portfolio — seven were prestige makers, seven alternative premium like Volvo and Alfa Romeo, and 28 volume players like Ford and Peugeot. All were based in the rump of Britain, around East Anglia, and with group turnover at £380m the turnover per site was £9m. At the time, Pendragon was turning over £15.5m for each of its 326 locations. It was clear to Gupta that change was needed and he could see that coming in one of three ways: downsize, sell out completely, or scale up. We all know he chose the latter. In what Gupta calls the ‘land grab years’, he went on a buying spree — snatching dealer groups that were hitting troubled times as the economy squeezed the motor industry. It was a masterstroke. Sites were cheap as no one wanted to invest in dealerships and this allowed Gupta to achieve his goal of extending the Marshall footprint across the UK. Mercedes sites

James Baggott *EDITOR’S NOTE: YES, ANOTHER DAY OUT OF THE OFFICE*

were bought in the northwest, VW sites acquired and more recently Audi franchises in the southwest. While the purchases grabbed the headlines, Gupta quietly disposed of under-performing sites. He asked me how many I thought he’d got rid of in the last five years. I guessed seven. The figure is 18. A variety of smaller player makers were given the boot alongside some volume franchises too — they either didn’t fit the group’s portfolio or simply weren’t performing. In 2013 the Marshall portfolio looks very different. Prestige sites number 19, with more Jaguar, Land Rover and Volvo franchises joining the group. Alternative premium is up to 23 while the volume sites remain static at 28. The headlines of change at Marshall look particularly impressive: Headcount has grown from 800 to 2,200, two thirds of the group’s 70 franchises are new and, most

‘£1m will soon be small change for Marshall’ impressive of all, turnover is up from £250m to nearly £1bn — a 400 per cent growth in sales. Incredible stuff. Gupta is enthusiastic as he charts the group’s moves over the past few years. It’s clear he loves what he does and won’t be taking his foot off the accelerator any time soon. As we’re chatting he checks his phone. Throughout our 40-minute chat his phone has been constantly buzzing. All were ignored, apart from this one. ‘Really?’ he asks, in surprise to the caller. ‘Now I’m REALLY excited about that! It’s £1m? Do it.’ Gupta explains it was an offer too good to turn down, but won’t go into detail. ‘It’s nice to be in the position to push the button on spending £1m,’ he smiles. And at the rate Marshall is growing, it seems £1m may soon be small change…

Who is James Baggott?

He’s the founder of Car Dealer Magazine and managing director of parent company @BlackballMedia, an automotive services provider. He now spends most of his time on Twitter @CarDealerEd and annoying the rest of us.

CarDealerMag.co.uk | 39


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Q& A

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

Q

I have a member of staff who is 65 this year, so at the old retirement age, however they have not mentioned anything to me about retirement at present. Can I force the issue and ask them outright what their intentions are, as I am trying to plan for the future of the business? DC, Somerset

A

Since the abolishment of the default retirement age, retirement is a sticky subject amongst employers. We refer you to a recent tribunal case of Quick v Cornwall Council and another ET/1701914/2011 where it was discussed whether employers commenting on, or asking about an employee’s retirement plan was in fact unfair dismissal? Mrs Quick was headteacher at a school and after a number of periods of prolonged sickness, was dismissed from employment on the grounds of gross misconduct. Mrs Quick decided to claim for unfair dismissal, and for age discrimination based on the following: n Colleagues questioning if she had made any plans to retire. n A conversation between Mrs Quick and the chair of governors, during which her plans for retirement were the main topic of discussion. n A comment in an email from a colleague which

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Q

Our car sales manager had a letter from a customer stating that they wanted to reject a vehicle under the Sale of Goods Act 1979 and wanting a full refund of the purchase price because of an alleged defect with it. After inspection, we said we couldn’t find any problem. A solicitor’s letter was then received saying that because the car was purchased less than six months ago, it was for us to prove it was not faulty and not for the purchaser to have to prove that it was. Is this true? TS, Derby

A

Despite what you may think, the answer is actually NO. The so called ‘reverse burden of proof’ does not exist when a consumer seeks to reject in the first instance. stated: ‘We will be observing teaching in both classes, including her. She’s 59.’ Later emails discussed what relevant notice period Mrs Quick would have to serve if she were to retire. n A comment from the council’s officer that ‘too many people carry on after they should have retired’. n Being dismissed without merit. Mrs Quick’s case was struck out on the basis that for the purpose of business restricting, it was

perfectly acceptable for her retirement plans to be discussed in an open forum. This is, however, a one-off case with a specific set of facts and should not be seen as a precedent that means that employers can force conversations of this nature upon employees. Issues of this nature should still be considered as sensitive and conversations still be dealt with on a need-to-know basis.

Acknowledge the complaint and take time to reply Q A We have been contacted by a company called PRS, saying that we have to pay a licence fee to them because we have the TV on in our reception area. Can they do this, as I already have a TV licence? MD, Plymouth

Q& A

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If you have a TV in a customer waiting area or staffing area that broadcasts radio or music channels, you may also be required to have a PRS (Performing Rights Society) and PPL Licence as well. According to the PRS website, this is because: ‘A TV licence permits you to receive certain broadcast signals. It is not concerned with

copyright material. ‘If you play copyright music in public by any means you are likely to need a music licence. ‘PRS for Music licenses the public performance of music that is included on TV such as theme tunes, adverts and music played within films and TV programmes.’ By the same token, a PPL licence will also be required.

Lawgistics is 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


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forecourt.

Chevrolet Trax How’s the network performing in the UK? We’re making really good progress on it at the minute. We have 78 dealers, but we’ve been working very closely with them to improve the quality overall. I’m pleased to say we’ve got six new appointments going on during 2013, and they’re all very enthusiastic about joining the Chevrolet brand, so great news – very good progress. So how many units of Trax do you expect to sell in a year? We’re hoping to do quite well. I mean obviously we won’t give a forward forecast in terms of volumes and numbers, but our expectation is that

on test

At long last Chevrolet has a car to take on key B-SUV players. Jon Reay reports

ENGINES

It’s a familiar assortment. Petrols comprise a 1.4-litre turbo and a 1.6. Buyers would better off in the punchier 1.7-litre diesel. ��| CarDealerMag.co.uk

Chevy UK’s MD, Andy Higgins, talks to Car Dealer about why the American brand is performing strongly this segment will grow in 2013 to around 2.5 per cent of the market, and we expect to take a fair share out of that segment with our car. It truly is good enough to be one of the top performers in this segment – so watch this space. Do you feel one of the closest rivals to the Trax is Vauxhall’s Mokka? Is it difficult to compete? No, it isn’t really – the Vauxhall and Chevrolet brands appeal to different people, and within that we have people who are particularly interested in

CABIN

Inside it’s a very comfortable place to be. Trax has Chevy’s new MyLink system which works well but it’s not as slick as Ford’s SYNC.

the B-SUV segment overall. But no, we don’t see it as being one of our key competitors. We see our key competitors as being the Qashqai, the Juke, the ASX, the 2008, even the Yeti – there’s plenty of competition out there without going head to head with our own product. And the cars are differentiated enough specifically to Vauxhall and Chevrolet’s brand needs. Is there a danger of Chevrolet simply being seen as Vauxhall’s cheaper competitor in the UK? Is that

LOOKS

Chevy’s trademark grille, we think, works a lot better than Vauxhall’s on the Mokka. Overall, the Trax is good looking but it’s not daring.


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necessarily a bad thing? Well I think if you look at many manufacturers now they have a strategy with a multi-brand approach. And we believe that’s good for GM too. So really, we don’t see a significant overlap between Chevrolet and Vauxhall. I think if you look at the market place overall, between us we take maybe 12-13 per cent of the UK market – and that gives us 87 per cent to play at – so not a significant issue. And there are many advantages in running with the two brands and having the partnership, because we’re able to leverage and align excellent technology, we’re able to get great offers to market, and in many cases we’re able to utilise similar dealer networks.

recently is we’re seeing a slightly improved interest in the Volt across the national network, and we’ve added four new Volt dealers to give us a wider geographic reach than we had before. So no significant issues, exactly in line with our forecast and expectations – and it’s a great car and I drive one personally.

How’s the Chevrolet Volt doing? It’s meeting our expectations. We knew that it was a specific target market – we’re running across that – and in fact what we’ve done most

Any plans to bring some of Chevrolet’s USA hybrid range here? Not at this point in time. We’ve got our full electric offer to the market place with our electric extended range vehicle, and we don’t see at this point in time any opportunity for hybrids.

the knowledge What is it? The Chevrolet Trax – a diddy SUV that sits somewhere between Nissan’s Qashqai and Juke in terms of size. If you thought it looked familiar too, then it probably does – it shares quite a few bits and pieces with Vauxhall’s Mokka.

in favour of a decent-sized touch screen that controls everything from music to the sat nav, and it certainly looks the part. It and a rear-view camera are thrown in for free on the £17,495–£19,795 LT trim, too – fairly generous compared to the sort of kit Vauxhall offers in even top-of-the-range Mokkas.

What’s under the bonnet?

What’s it like to drive?

A trio of engines nicked from the rest of Chevrolet’s and Vauxhall’s ranges. We drove two: a 1.4-litre turbocharged petrol with 138bhp, and a 1.7-litre VCDi diesel with 128bhp. We hate to say it, but we didn’t really like either – the petrol is just a bit on the coarse side, while the diesel wasn’t much better. Of the two we’d be tempted to say that the 1.7 VCDi suited the car best. There’s also a 112bhp 1.6 petrol in entry-level cars and, although we haven’t been offered a go in one, we don’t have high hopes – the spec sheet suggests that it’s both slow and inefficient.

This is where things fall apart just a tad. The Trax suffers from a strange mix of a slightly firm ride and distinctly wobbly handling – but RHD versions are set to have a re-engineered suspension. Buyers would be wise to opt for the 1.7 VCDi – but rivals like the Nissan Qashqai 1.6 dCi are still more refined.

What’s the spec like?

The Trax is a strangely charming beast. Ok, so its handling might not be inspiring, and the engine range might be ripe for replacement at this point, but it’s a perfectly pleasant thing to drive around and we think it looks great too. We even like the interior. Would we have one over a Qashqai? Perhaps not. Over a Mokka? Definitely.

Not bad at all. 16-inch alloys, air conditioning, parking sensors, automatic headlights and Bluetooth are all thrown in on the basic £15,495 LS model. Trax also comes with Chevrolet’s MyLink – a system that’s a bit like Ford’s SYNC, albeit not quite as sophisticated. The stereo gets binned

What do the press think of it? Top Gear said: ‘Based on what we’ve seen, nothing about this car will tighten any trousers.’

What do we think of it?

Model: Chevrolet Trax 1.7 VCDi AWD LT Price: £20,495 (as tested) Engine: 1.7-litre, turbo diesel Power: 128bhp, 300Nm Max speed: 117mph 0-60mph: 10.5s MPG (comb’d): 57.6 Emissions: 129g/km Residual values (three years): 44 per cent

target buyers:

Wide range of private buyers – from small families with young children to older buyers

the rivals: Nissan Qashqai, Peugeot 2008, Skoda Yeti, Renault Captur

Key Selling Points: 1. Every model is well-equipped for the money 2. Stylish exterior 3. Chevy’s new MyLink system is fun to use

Deal Clincher: Better looking and crucially cheaper than the car it’s based on: Vauxhall’s Mokka Searches supplied by Monthly AutoTrader.co.uk searches: n/a CarDealerMag.co.uk | 43


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Volvo V60 Plug-in Which markets have had the biggest appetites for the V60 Plug-in Hybrid so far? The Netherlands is a very big market for this car because their tax system right now supports people who buy this kind of car in a very big way. Production has in fact recently increased for a second time to keep up with orders. The V60 plug-in hybrid seems to have taken its place in people’s hearts. Do you think that level of interest has also occurred in the UK? The UK model is the MY14 version, with new front end styling, and the decision was made to

Chris Wailes from project team Volvo V60 PHEV, chats to Car Dealer about the plug-in hybrid Volvo hold the launch until now. The UK version will get increased specs thrown in over and above what buyers would normally get. And as the V60 has been popular elsewhere we expect strong interest in the UK. Do you think the price point is too high? In short, no! This is backed up by the increased production. But this is not a

car for everybody. High-mileage users would be better off with a diesel car. However, for the 75 per cent of European drivers who commute fewer than 31 miles a day, then the car makes absolute sense because you start to get a return on your initial spend straight away, by being able to drive to and from work on pure electricity.

CABIN

On-board it’s traditional Volvo. So there are big comfy seats clad in soft leather and lots of safety equipment. It’s a nice place to be.

on test

James Batchelor takes a spin in the world’s first diesel plug-in hybrid – and is very impressed What is it? Hippys rejoice. There’s now a Volvo which is both an estate car and one that can make trees smile. The Swedish firm has taken one of its V60s and shoved a plug-in hybrid system into it. It means that for a smidge under £44k (after the £5k government subsidy), customers can have a V60 that can get to 60mph in six seconds and reach 143mph, yet returns 155mpg, and emits just 48g/ km of nasty CO2. Sounds interesting, doesn’t it?

What’s under the bonnet? Well under the bonnet lies one of Volvo’s thoroughly good 213bhp 2.4-litre five-cylinder diesel engines. But the V60 Plug-in Hybrid also sports an electric motor which powers the rear wheels. The 68bhp electric motor is mated to an 11.2 kWh lithium-ion battery pack installed under the boot floor, meaning the V60 Plugin Hybrid has a total power output of around 281bhp. The car can be plugged into charging ��| CarDealerMag.co.uk

points dotted around the UK or at home and can give 31 miles of pure electric driving. Three buttons are mounted on the dash – pure, hybrid and power – but even more noteworthy is the ‘Save for Later’ button that ensures the driver has adequate battery capacity to drive in pure electric mode later on their journey.

What’s the spec like? It is based on the V60 SE Lux so it sports luxuries such as leather and sat nav. V60 Plug-in Hybrids cost £48,775 but they do qualify for the £5k Government subsidy which takes the price down to £43,775. Our test car retailed at £50,625.

What’s it like to drive? The car’s major triumph is that the transition between pure electric and diesel motoring is almost impossible to notice. To drive it’s better than any other V60 thanks to the different weight distribution (55/45 front/rear). But because of the stiffer handling and weight (thanks to the batteries and motor) the car does ride a little too harshly for our liking.


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Why have you put the technology into the V60? When we started, it was the latest car we had in our model portfolio. We always put the latest technology in the newest model we have. Are you teaching dealers how to sell the car? Will customers need a lot of persuasion to buy one? We know that now 90 per cent of customers who walk into a dealership will have done research on the internet, and everything for the V60 is online. But I have made sure all the dealers have gone

some good but ordinary products to sell in recent years. Do they now have something to really shout about? The V60 Plug-in is definitely something to shout about. A salesman will always ask what can I sell? And if you have for example a senior manager with a short daily commute, and he is interested in the V60 Plug-in Hybrid then this is absolutely the perfect car. Sales people can show that yes there is a little bit more to spend in the first place, but the customer will start to get some of that back in running costs.

through the training, and we will not allow any market to have the car until it has completed the training. The simple reason – 400 volts! It can kill you and is very dangerous if you touch the wrong lead. So there are no exceptions for the training. In the UK, we have an agreement with British Gas who will come in and check the customer’s house to ensure any charging points are safe, giving people the confidence that every area has been dealt with. It’s fair to say Volvo dealers have had

UNDER THE BONNET

Beneath here is one of Volvo’s creamy 2.4-litre five-cylinder diesels. The electric motor lies in the boot floor.

LOOKS

Geeks will notice the slightly different trim – the odd splash of extra chrome here and there, and the plug-in ‘filler’ cap.

the knowledge Model: Volvo V60 D6 AWD Plug-in Hybrid Price: £50,625 (as tested) Engine: 2.4-litre diesel & 50kWh electric motor Power: 280bhp (comb’d), 640Nm Max speed: 143mph 0-60mph: 5.8s MPG (comb’d): 155.2 Emissions: 48g/km Residual values (three years): 31 per cent

target buyers:

Mostly early adopter retail customers but also some business users

the rivals: Peugeot 508 Hybrid4, Chevy Volt, BMW ActiveHybrid 5

Key Selling Points: 1. Amazingly manages to emit just 48g/km of CO2 2. With 280bhp, it’s sprightly 3. Frugal to drive – manages 152.2mpg combined

What do the press think of it? The Independent said: ‘Buyers will have a trailblazing green car on their driveways… For those few early adopters, that’s something they will happily pay for.’

What do we think of it? We’re big fans of this car. It’s really exciting to see

Volvo branching out into world-first technology, and the V60 Plug-in is a very impressive proposition. It is pricy though, and it’s hard to get away from the steep asking price. But the car could make a lot of sense for drivers, especially for those who don’t do high mileages (otherwise a V60 D5 is a better bet) and we think Volvo will have no problems shifting the 150 units coming.

Deal Clincher: Not only new for Volvo but it’s also a world-first – a diesel plug-in hybrid Searches supplied by Monthly AutoTrader.co.uk searches: 64,499 CarDealerMag.co.uk | 45


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forecourt.

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UNDER THE BONNET

CABIN

The Estate, unsurprisingly, uses the same engines as its hatchback brother: ecominded petrols and torquey diesels.

Build quality is top notch with vast areas of soft-touch plastic. It really is just as good as the VW Golf, if not more stylish.

Skoda Octavia Estate

LOOKS

Octavia Hatch is a class-act, but the Estate just adds to the style. It has a pleasing air of respectability about it.

Can the Czech brand work its magic once again with the Octavia Estate? Daljinder Nagra has driven it What is it?

What’s the spec like?

If buyers need even more rear load space than the cavernous Octavia hatchback offers, Skoda has them covered, with the quite frankly massive (internally at least) Octavia Estate. Unlike some of its contemporaries, the Octavia wears its practicality trump card like a badge of honour, so it comes with a class-leading 610-litre boot (1,740 litres with the rear seats folded) and has a folding front passenger seat, allowing for items up to three metres in length to be stowed safely.

Even the basic S models at £16,790 are equipped with DAB digital radio, Bluetooth connectivity, slots to hook up your MP3 player and an eightspeaker stereo system. Top-spec Elegance models at £21,040 are further kitted out with rain-sensing wipers, cruise control, headlight washers, electrically folding door mirrors and a very impressive built-in sat nav system. Never before has a work-a-day estate from a value manufacturer felt so upmarket.

What’s under the bonnet? Customers will be able to choose from the usual 1.6 and 2.0-litre diesels as well as 1.2 and 1.4-litre turbo petrol engines. CO2 emissions fall as low as 99g/km in the 1.6 diesel, for road tax free motoring. They’ll get even lower, too, once the Greenline editions appear. Even in its most polluting guise (the 2.0-litre diesel), the Octavia manages emissions of just 124g/km.

What’s it like to drive? Being a family oriented car, Skoda has made ride quality and comfort the focus for the Octavia estate. It shares the same suspension setup as the hatchback and as such, is as comfortable as anyone in the market for this sort of car could hope for. That’s not to say it’s a pudding in the corners. While it won’t set your hair on fire, the Octavia is more than willing when you’re in the mood,

changing direction positively and feeling no way near as staid as it’s exterior visage would suggest. The extra shot of power and torque from the 2.0-litre unit is welcome, and with it, the Octavia feels muscular enough to make light work of even the longest drives.

What do the press think of it? What Car? said: ‘It’s not the most dynamic estate available, but it is wonderfully versatile and a very sensible choice.’ Auto Express said: ‘It’s roomier than ever, with more standard kit and efficient new engines.’

What DO WE THINK OF IT? As painless a car to live with as it is possible to get, the Octavia appeals with its premium feel, ultimate practicality and anonymous image. It’s the sort of car you could imagine keeping for years, only giving it up when it finally breathes its last.

the knowledge Model: Skoda Octavia Estate Elegance Price: £21,890 (as tested) Engine: 1.6-litre, turbo diesel Power: 105bhp, 250Nm Max speed: 119mph 0-60mph: 10.8s MPG (comb’d): 74.3mpg Emissions: 99g/km Residual values (three years): 44 per cent

target buyers: Owners of previous Octavia Estate, private buyers and fleet customers

the rivals: Ford Focus Estate, Audi A4 Avant, VW Golf Estate

Key Selling Points: 1. Smart practicality touches such as ice scraper fuel filler lid 2. Build quality as good as its sister – the Volkswagen Golf 3. Large selection of models including a 4WD version

Deal Clincher:

The Octavia Estate has class-leading bootspace Searches supplied by Monthly AutoTrader.co.uk searches: 634,364 CarDealerMag.co.uk | 47


forecourt.

Renault Captur

INSIDE

Along with the new Clio, the Captur is a step up in build quality. More importantly, though, is the options list...

ENGINES

Captur has a variety of petrols and diesels in various states of tune. Our pick is the higher-output petrol auto.

OUTSIDE

Love or loathe it, there’s no doubt Renault’s new look is bold. And you couldn’t have said that two years ago.

the knowledge

Brushing aside the forgettable Koleos, Captur is Renault’s first proper foray into the B-SUV segment. Leon Poultney reports What is it?

What’s the spec like?

This is the vehicle Renault hopes will attract nearly as many, if not as many punters as its best selling Clio. Picture the Captur as a Clio that has gobbled a few protein shakes and spent the past few weeks performing pull-ups – it’s based on the same basic underpinnings as the aforementioned hatchback (and comes in front-wheeldrive only) but rides 10cm higher and measures around 6cm longer.

Renault has really upped its game when it comes to interior kit as even the basic Captur includes cruise control, an Eco mode, a decent sound system and hill start assist but most customers will likely opt to add a dash of glamour to their vehicles. There is a plethora of interior and exterior personalisation options such as roof colour, wheels, interior trim and even seat covers – which also zip on and off for easy cleaning/replacing. Optional extra packs – or ‘collections’ as Renault calls them – can get slightly confusing, though. Prices range from £12,495 to £18,895.

What’s under the bonnet?

a chilled-out way of doing things and will get occupants to their destination relaxed and in style.

What do the press think of it? Autocar said: ‘The Renault Captur, the sister car to the Nissan Juke, offers an appealing ownership package – but it isn’t the last word in driving engagement.’

What DO WE THINK OF IT?

Renault is pinning a lot on its latest crossover but we think they Both petrol and diesel engines are are on to something. The Captur on the table with the former offered is practical beyond belief, with an in two states of tune – around 90bhp interior that’s robust yet doesn’t feel (manual only) and 120bhp (auto only) What’s it like cheap. The removable seat covers – and the latter diesel developing to drive? are clever and stowage space in the 90bhp (both manual and auto offered) The Captur will never set the Tarmac but with an extra dollop of torque. The alight but then again it’s not supposed rear is impressive. If you have a hectic lifestyle yet like to cart around diesel looks fantastic on paper, with a to. The engine was quiet, the cabin surfboards, bicycles and babies at the combined economy figure of 76.4mpg hushed and the seats incredibly weekend, you can’t go far wrong with but it lacks grunt. The petrol feels comfortable. Yes, the steering lacked this car. It’s a sensible solution that better, it’s much quieter for a start and a bit of feel at times and both the still manages to look cool (especially when coupled with the auto box, it’s petrol and diesel engines could do in orange and black – Ed). an absolute doddle to drive. with more shove but the Captur has ��| CarDealerMag.co.uk

Model: Renault Captur Dynamique Media Nav 120 Price: £17,195 (as tested) Engine: 1.2-litre, turbo petrol Power: 120bhp, 220Nm Max speed: 119mph 0-60mph: 10.2s MPG (comb’d): 52.2mpg Emissions: 125g/km Residual values (three years): 43 per cent

target buyers: Small young families, new and returning to the brand customers. Mostly retail

the rivals: Peugeot 2008, Nissan Juke, Skoda Yeti, Vauxhall Mokka

Key Selling Points: 1. Step up in build quality over Renaults of old 2. Impressive range of standard kit 3. Looks. Customers will either love or hate them, but there’s no doubting they’re bold

Deal Clincher:

Unique lifestyle touches such as removable seat covers Searches supplied by Monthly AutoTrader.co.uk searches: n/a


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Peugeot 2008

the knowledge

The French firm wants to build on the 208’s success and enter the B-SUV sector. Have they cracked it? Martyn Collins reports What is it? Look past the disjointed styling and the 2008 is basically a scaledup crossover version of the 208 supermini. Based on the same A platform, the 2008 shares 67 per cent of its components with the supermini including windscreen, front doors and mirrors. The extra practicality and clever features such as Grip Control, traction control and Park Assist systems are included to bring conquest buyers to the Peugeot brand.

What’s under the bonnet? The 2008 is offered with a choice of 82bhp 1.2-litre or 120bhp 1.6-litre VTi petrol engines and 70bhp 1.4-litre HDi, plus 92 and 115bhp versions of the 1.6-litre e-HDi diesel. The latter two have Stop & Start, with the 92bhp expected to be the best-seller. Our favourites were the willing, if noisy, 1.2 petrol and both versions of the likeable 1.6-litre e-HDi diesel

which are torquey and refined.

What’s the spec like? Like the new 208, there are four trims: Access+, Active, Allure and Feline. All get standard air-con and six airbags. Expected best-seller Active adds Bluetooth, a DAB digital radio, plus the counter-intuitive touchscreen multimedia system. Allure includes Grip Control and dual-zone climate control. Range-topping Feline has 17-inch alloys, alarm and panoramic glass roof. Prices are expected to start from £12,995 rising to £18,995.

What’s it like to drive? The 2008’s raised ride height means some body roll, but it grips well and the ride is generally very good. Whether diesel or petrol, too much engine noise makes it into the cabin. The electric power steering lacks feel, plus looking over the small steering wheel at the instruments won’t suit

shorter buyers. Both the five and sixspeed gearboxes are generally clunky and slow-witted. Grip Control fitted as standard to 1.6-litre models turns this Crossover into a surprisingly capable soft-roader.

What do the press think of it?

Model: Peugeot 2008 1.6 e-HDi 92 Allure Price: £16,895 (est) Engine: 1.6-litre, turbo diesel Power: 91bhp, 230Nm Max speed: 113mph 0-60mph: 12.6s MPG (comb’d): 78.5mpg Emissions: 103g/km Residual values (three years): 49 per cent

target buyers: Current 207 SW owners, conquest buyers from the supermini segment

the rivals:

Autocar said: ‘The Peugeot 2008 falls wide of the mark – not because it is particularly objectionable, but because it fails in any meaningful sense to be properly memorable or praiseworthy.’

What DO WE THINK OF IT? The 2008 continues Peugeot’s stride to become more premium, with its classy, spacious interior. However, we don’t think this is going to be enough for this crossover to take class honours. Rivals are more involving to drive, plus its odd looks which are not helped by the dull set of colour finishes, might put some buyers off.

Nissan Juke, Renault Captur, Vauxhall Mokka, Skoda Yeti

Key Selling Points: 1. Classy, spacious interior 2. Models fitted with Grip Control are surprisingly agile off road 3. Unique and dainty small steering wheel of the Peugeot 208 remains

Deal Clincher:

One of the most fuel-efficient cars in its class Searches supplied by Monthly AutoTrader.co.uk searches: n/a

INTERIOR

The more premium revolution which started with the 208 continues with the 2008. That said, it’s not perfect...

STYLING

The 2008 is a smart looking car, but an uninspiring colour palette does it no favours. Especially compared to Captur.

ON THE ROAD

While it may have a small steering wheel, the 2008 is not sporty to drive. There’s too much body roll, but it does ride well. CarDealerMag.co.uk | 49


��| CarDealerMag.co.uk


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BEHIND THE WHEEL

CABIN

Those familiar with sharp-handling 3 Series saloons and Tourings will be disappointed with the GT. It’s far from exciting to drive.

There’s more space inside than the 3 Series Touring and this very much a car to be driven in. Interior can be personalised, too.

BMW 3 Series Gran Turismo

LOOKS

This is a car that divides opinion, but it’s certainly unique. We rather like it and it’s an interesting twist on the classic 3 Series.

BMW is filling another niche with a 3 Series that has a strange rear end. Have they pulled it off? Leon Poultney has driven it What is it?

What’s the spec like?

The 3-Series GT rests somewhere between an SUV and BMW’s muchadmired 3-Series Touring model. GT drivers sit around 60mm higher than those in the Touring, allowing for a much more commanding view of the road ahead, which BMW hopes will encourage women to get behind the wheel. The GT is also wider, taller and quite a bit longer than both the standard 3-Series and the Touring, resulting in increased interior space and a more purposeful road presence.

Not bad really, the cheaper 318d Sport that we drove came fully equipped with 18-inch alloy wheels, DAB radio and all of the exterior glitz that differentiates it from a regular 3-Series. As with many German cars, customers will feel the need to lavish their pride and joy with options, but it quickly gets expensive. The biggest gripe here surrounds BMW’s sleek multi media interface with built-in navigation; it’s an expensive extra. Something we would fully expect to come as standard on a continentcrossing cruiser like this. Prices range from £28,835 to £35,210.

What’s under the bonnet? BMW customers are generally bombarded by engine choice and the story is no different here – 320i, 328i and the range-topping 335i see petrol engine capacity span two to three litres, while the diesels come in 318d to 320d variants (both 2.0-litre diesels in differing states of tune). Punters can look forward to 320i xDrive, 325d and a full-fat M Sport model coming in July.

What’s it like to drive? That depends on what engine and gearbox combination buyers opt for. The 318d proved distinctly underpowered and when mated to a manual gearbox, it felt sluggish and truly revealed its size and weight. The 328i petrol engine in Luxury trim was a much more civilised affair and when

mated to the eight-speed automatic gearbox, it rarely selected an incorrect ratio nor felt flustered or overworked. It’s definitely not the most exciting thing to pilot and its tendency to understeer around corners will frustrate true BMW chassis fans.

What do the press think of it? The Daily Telegraph said: ‘What a disappointment. BMW has squandered the opportunity to make a highly desirable machine by jacking up the body with all that means to the detriment of ride and handling.’

What DO WE THINK OF IT? Aside from the dividing aesthetics (that rear can be ghastly from some angles) it’s clear to see what BMW is doing with this vehicle. It will likely attract customers away from the 5-Series and offer those tired of their 3 Series Touring something more luxurious to upgrade to. It’s quiet and comfortable just like any GT should be.

the knowledge Model: BMW 328i Luxury Gran Turismo auto Price: £34,030 (as tested) Engine: 2.0-litre, turbo petrol Power: 240bhp, 350Nm Max speed: 155mph 0-60mph: 6.1s MPG (comb’d): 44.1mpg Emissions: 149g/km Residual values (three years): 43 per cent

target buyers: Retail buyers who have got bored with their 3 Series Touring, conquest customers

the rivals: 3 Series Touring, 5 Series Touring, Mercedes C-Class

Key Selling Points: 1. Interior lends itself to personalisation 2. Longer and wider than 3 Series Touring 3. Fills a supposed requirement for the 3 Series to be a chauffeur-driven car

Deal Clincher:

The most spacious and comfortable 3 Series ever Searches supplied by Monthly AutoTrader.co.uk searches: n/a CarDealerMag.co.uk | 51


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CABIN

UNDER THE BONNET

Inside there are dubious splashes of red trim, but the sports seats are comfortable and supportive. It’s a nice place to be.

It’s an engine used in the Mini Cooper S, Mini John Cooper Works Cooper S and the Citroen DS3 Racing. It’s a cracker.

LOOKS

Peugeot has decided to play it safe with the GTi. It’s subtly styled. But that’s no bad thing. GTi hallmarks are present.

Peugeot 208 GTi

Has Peugeot finally created a worthy successor to its illustrious 205 GTi? James Batchelor got behind the wheel to find out What is it? You’ve got to feel for Peugeot. For two decades they’ve been criticised by us journos for not producing a worthy replacement for the iconic 205 GTi. The 206 GTi looked rather tasty but failed to deliver in the driving department, while the 207 GTi was both wrong to look at and to get behind the wheel of. So you can imagine our nervousness to agree with the marketing hype of the new hot 208. Is ‘the GTi back’? Yes it is.

What’s under the bonnet? It’s an engine anyone interested in cheap-to-run hot hatches will be familiar with. It’s the 1.6-litre turbocharged unit developed by Peugeot Citroen that has been used in a plethora of French-made machines, not forgetting the Mini Cooper S. Peugeot uses a 200bhp setup in the GTi – just like the Citroen DS3 Racing – which means it’ll hit 60mph in 6.7 seconds – 0.4 seconds quicker than the 207 GTi and 1.1 seconds faster ��| CarDealerMag.co.uk

than the original 205 GTi. Top whack is 143mph, CO2 emissions are a respectable 139g/km and combined MPG is 47.9.

What’s the spec like? There’s just one well kitted-out version. List price is a competitive £18,895 and it comes with 17-inch alloys; rear spoiler; DAB radio; Bluetooth; rear parking sensors; unique LED indicators; leather steering wheel; half-leather sports seats; lots of red trim inside and dualzone air conditioning.

What do the press think of it? The Sun said: ‘With the GTi, Peugeot has rediscovered the fun factor in some style. The more time I spent throwing the GTi around, the bigger my smile became.’

WHAT DO WE THINK OF IT?

We’re very pleased to say Peugeot has finally pulled it off – this is a worthy successor to the 205 GTi. It would seem it has taken Peugeot over 20 years to finally stick its GTi badge on a car that deserves to wear it, and What’s it like those old 205 GTi owners who want to drive? a modern day replacement could do The GTi bears no comparison to a lot worse than spend their cash cooking versions of the 208 (like our at a Peugeot dealer. We’ll be very long-termer) with a punchy engine, interested to pitch the car against its taut chassis and a steering system chief rivals but for now we’re happy that has a tremendous amount of feel – the 208 GTi succeeds in that tricky through it. On our Welsh test route we balance between fun and useability. had immense fun throwing the GTi The 208 GTi really is a car you can into corners, feeling it slide and then hoon around in and then pop to grip. It dances around bends just like a Waitrose and do the weekly shop. hot hatch should. Welcome back, Peugeot.

the knowledge Model: Peugeot 208 GTi Price: £20,890 (as tested) Engine: 1.6-litre turbo petrol Power: 200bhp, 275Nm Max speed: 143mph 0-60mph: 6.7s MPG (comb’d): 47.9mpg Emissions: 139g/km Residual values (three years): 46 per cent

target buyers: Grown up 205 GTi owners, cash-rich mid-20 to 30-yearolds after some fun

the rivals: Ford Fiesta ST, Renault Clio RS 200, Mini Cooper S

Key Selling Points: 1. Subtle exterior details mark it out over lesser versions 2. Cracking little chassis makes the most of twisting country roads 3. Punch 1.6 turbo engine is also rather economical

Deal Clincher:

It’s tremendously useable – just like a hot hatch should be Searches supplied by Monthly AutoTrader.co.uk searches: 67,754


CarDealerMag.co.uk | 53


FEATURE.

Historic hOt hatch match

Fiesta ST v XR2

B

ritain’s love affair with hot hatches stretches back decades and one manufacturer has consistently been at the forefront of the pocket rocket phenomenon – Ford. From the legendary Escort XR3 to the Focus RS and fiery Cosworth models, the Blue Oval has been delighting with its hot hatchery for years. However, for me, the story starts with the humble Fiesta XR2. Back in 1998 I had one as my first car and adored it. Forced to sell it when I got my first job because I couldn’t afford the fuel, some 10 years later I had to have another – the car you see here. Now Ford’s at it again with a spiritual successor – but is the Fiesta ST capable of living up to the legend? We took both to a test track in Wales to find out.

What are they? They may have the same name on the boot and 1.6litre engines, but the XR2 and ST are very different

James Baggott takes the latest Ford Fiesta ST and pitches it against his own car for a proper shoot-out cars. This is a MKII Fiesta XR2 and features a black body kit, spot lights and pepper pot alloys which marked it out from standard Fiestas. Launched in the early eighties, the XR2 rapidly stole a large slice of Fiesta sales, accounting for more than a third of registrations at one point. The ST is Ford’s reinvention of its legendary predecessor. Combining the same attributes that made its forefather such a success – a peppy engine and sporting looks – it has already captured buyers’ attentions with 1,000 sold just a few weeks after launch.

What’s under the bonnet? Well, in my XR2’s case, quite a bit of rust and a lot of filler. Next to that detritus is a relatively solid 1.6-litre CVH engine producing 96bhp and a mere 131Nm of torque. It’s a characterful lump that serves up more

the knowledge Model: Fiesta ST Price: £16,995 Engine: 1.6-litre, four-cylinder turbo petrol ��| CarDealerMag.co.uk

Power: 176bhp, 240Nm Max speed: 137mph 0-60mph: 6.9s MPG (comb’d): 47.9

sound than go, but the exhaust note is instantly recognisable. Top speed is 112mph, or was back in the day, and before the ravages of time took hold it could hit 60mph in 10.2s. It weighs just 839kg (less now thanks to the rust) and returns 32.9mpg. The ST has Ford’s acclaimed EcoBoost technology in 1.6-litre turbo-charged guise. It pumps out 176bhp and nearly double the XR2’s torque with 240Nm. It can easily hit 60mph in 6.9s and a top speed of 137mph. Despite weighing a rather more portly 1,163kg, it can return 47.9mpg. While the CO2 emissions on the XR2 are bordering on the planet killing, the ST emits just 138g/km.

What’s the spec like? Spec in an eighties Fiesta mostly consists of wind-up windows, cardboard door cards and a cigar lighter. It


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Scan the QR Code to see the Fiestas in action

does have such luxuries as a rear wash-wipe, threestage heater and the height of cool at the time – a digital, yes digital – clock. Outside it was a bit more plush with a rubber rear spoiler and classic pepper pot alloys. It has no ABS, no power steering and the traction control involves your foot and brake pedal. Yes, it’s a bit basic by modern standards… The ST, meanwhile, is positively Rolls-Royce in comparison. Traction control, electric power steering, ABS and airbags all feature. A Sound Symposer channels the sound of the engine into the cabin (in the XR2 it just comes through the tin foil doors) and it features 17-inch alloy wheels, DAB radio, SYNC connectivity, air con, alarm and Recaro seats.

What are they like to drive? Very different indeed. If you want to learn the meaning of body roll just get behind the wheel of the XR2 – it feels like you could poke your head out of the window and kiss the Tarmac in corners. It feels slow and heavy compared to its modern equivalent with little power in the brakes, and heavy steering. That said, there’s a classic purity to it that’s very addictive and the exhaust note is extremely gratifying. The ST really is incomparable. It’s a brilliant little hot hatch that has a wicked turn of speed, extremely compliant handling, and crisp steering (that feels incredibly light compared to the XR2). And although the sound isn’t as pure as the XR2’s

it’s equally addictive. Ford seems to have learnt a few things about hot hatches over the years!

Verdict Ok, so it was a little unfair comparing a 27-year-old car with a brand new model, but it does draw some interesting parallels. Both serve up their fun in tiny packages and it’s interesting how the engine sizes haven’t changed. Although they are very different sized cars, the idea of putting a feisty power plant in a little car still produces the same results: An entertaining drive that can’t fail to put a huge smile on the driver’s face. I don’t know about you, but I’m just pleased that, some three decades later, Ford is still committed to producing fun machines for the masses. Amen to that. [CD]

the knowledge Model: Fiesta XR2 Price: £5,713 Engine: 1.6-litre, four-cylinder petrol

Power: 96bhp, 131Nm Max speed: 112mph 0-60mph: 10.2s MPG (comb’d): 32.9 CarDealerMag.co.uk | 55


FEATURE.

NISSAN SPECIAL

Andy Palmer Nissan’s executive vice president talks to James Batchelor about his premium Infiniti brand and Nissan’s future plans

N

issan’s premium marque Infiniti is all set to steal a share of the luxury car sector thanks to new models and a refocused strategy. The Japanese company aims to launch three new models, increase the brand’s worldwide perception and sell 500,000 Infinitis by 2020. Speaking to Car Dealer, Nissan’s executive vice president Andy Palmer said Infiniti has a strong future within the Renault-Nissan Alliance – and there’s no chance it’ll be axed. ‘If we’re going to take a share of the luxury car segment, we’ve got to do it properly,’ he said. ‘We are in the long game with Infiniti.’ Palmer explained that with 50 per cent of automotive profit lying in the luxury car segment, there are great gains to be had by focusing on it. But Infiniti will not reach those goals by using the strategy it has used in the past. ‘We once sold a car called the Infiniti G20 which was basically a rebadged Nissan Primera,’ Palmer told us. ‘In hindsight, that was not a good idea. ‘Our cars need to be as good dynamically as BMW’s models, but they should differ in style. We need to be more evocative with the way our cars look.’ Topping the list of new product is the firm’s first foray into the premium C-segment. Announced in December last year, Infiniti’s new premium hatchback will be built at Sunderland and will be positioned uniquely. ‘We really see a good place for a car spanning the space between the Audi A3 and the Audi Q3 crossover,’ said Palmer. Two more products, the new Q50 and the USA-only QX60 hybrid, will help ‘draw a line’ under the old Infiniti brand. Palmer points to Audi as a direction Nissan is

taking with Infiniti. ‘Unlike other German luxury car brands, Audi has very successfully moved into it and moved away from being just another Volkswagenowned brand. Infiniti will always be separate from Nissan – a point we have clearly made by moving Infiniti’s headquarters to Hong Kong,’ explained Palmer. But where next for Infiniti? Will the company focus on the small premium sector or concentrate its efforts on the large premium market? It’s very much the latter, says Palmer. ‘We could go smaller than the new hatchback,’ he told us, ‘but I think we should be focusing on the large luxury market. ‘Other luxury car brands can go smaller because they’ve got brand cache. We need to focus on building the brand and that is why whenever we launch Infiniti to a new market, we reveal the FX (Infiniti’s large, flagship SUV) first. ‘But I think we need to go larger, not smaller. It won’t be in the BMW 7-Series sector because that segment is diminishing, but we need to go larger to build the brand.’

Nissan chief Andy Palmer wants Infiniti to hit the big time

NISSAN’S FUTURE IS ELECTRIC, HYBRID... AND HYDROGEN NISSAN has revealed it’s looking at other forms of low-emission motoring such as plug-in hybrids and hydrogen-power rather than just electric cars. The firm’s executive vice president, Andy Palmer, revealed to Car Dealer that while Nissan still aims to become the world’s leader in electric motoring, plug-in hybrids and hydrogen-powered cars wearing Nissan badges will be appearing in the next few years. ��| CarDealerMag.co.uk

First will be a plug-in hybrid which could arrive in just two years’ time with the firm putting the technology

into a current production car rather than create a bespoke, ground-up plug-in hybrid such as rival Toyota with its Prius. As to what car will get a plug-in hybrid derivative, Palmer pointed to a mid- to large-sized Nissan. ‘I feel plug-in hybrid technology naturally lends itself well to C- and D-segment cars.


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Customers go crazy for Leaf at O2 Arena NISSAN’S brand experience centre at London’s O2 Arena gave customers more test drives of its Leaf EV than its dealer network managed last month. Called the Nissan Innovation Station, visitors get the opportunity to learn more about the Japanese company’s exploits in zero-emission motoring and can also take a test drive of the Leaf electric hatchback. The centre gave 312 test drives last month – DOUBLE the number Nissan dealers managed. In comparison, the Japanese company’s dealer network gave only 150 test drives in March. Speaking to Car Dealer, Nissan Motor Company’s executive vice president Andy Palmer said it’s a reflection of how customer behaviour is changing and how Nissan is speaking to potential customers. ‘On average, customers only visit 1.2 dealers when they are choosing their next car,’ he told us. ‘So, if customers are only ever going to come to your showroom once – you’ve got to embrace them.’ Nissan has just signed another four-year deal with the O2 Arena, and Palmer strongly believes the venture is an interesting one. ‘The Innovation Station is a different touch point for customers compared to a traditional dealer. The O2 Arena welcomed 8.6m visitors last year – and around four million of those visitors visited the Arena’s attractions. That’s a lot of footfall.’

EVs should be small whereas plug-in hybrids can be larger,’ he told us. ‘One car which I would like to see a plug-in hybrid version of is a crossover,’ Palmer added. That could mean the next-generation Qashqai may feature not only a range of conventionalengined powerplants, but also a plug-in hybrid version. The Nissan SUV crossover could be the perfect

fit for the new technology. Palmer revealed the new British-built car will be a development of the current Qashqai in terms of packaging. It’ll be larger for instance, while the seven-seat variant – called Qashqai+2 on the current car – will be different: ‘Don’t expect us to do it in the same way,’ said Palmer. And the Japanese giant is also seriously considering building a hydrogen-powered car too.

While the plug-in hybrid will use an existing car for its packaging, Palmer revealed a Nissan hydrogen car would have its own separate platform. In effect the hydrogen car will adopt a similar packaging approach to that which the all-electric Leaf does when it is compared to more conventionally-powered Nissans in the current model line-up. The hydrogen-propelled Nissan could arrive as early as 2017. CarDealerMag.co.uk | 57


FEATURE.

NISSAN SPECIAL

Nissan Leaf Nissan GB’s managing director, Jim Wright, speaks candidly to Car Dealer about the new, British-built Leaf Does the new Leaf really move the game on? I was in a Leaf recently with someone who was taking their first trip in one, and it wasn’t long before they were wearing an ‘EV smile’. The silence and the torque are what you notice and if you’ve driven the old Leaf, you’ll notice that there are quite a lot of changes in the vehicle. It feels really, really different actually. It seems that the Leaf proposition for Nissan dealers has changed enormously? Exactly. With the old car, the margin structure was different from the rest of the range. We’re harmonising all that. From the dealer perspective I think we’ve removed a mental block. What we’re doing now is including it in the range in a very conventional way – in the same way we would include a Qashqai or Juke. From now on, dealers will find the whole proposition easier to understand. It will become easier for a salesperson to understand too and it will just become more like a normal car. Our dealers will see the business case change substantially as well – and also our order take. In March, we had our highest ever order take for Leaf. I think we did 250 cars after the £2,000 price reduction on the old model. All in all, dealers will see a different kind of business case for the car. Are dealers enthusiastic about the new

approach you are taking with battery leasing? There’s a very wide dispersion. Of the 200 dealers that we’ve got selling the car now, a lot of them only came on stream in November or December last year. Some of them won’t have sold a car yet. Others have done better – when we reduced the price, one dealer group sold 17 cars in the space of 10 days. We’re running a new training programme. We started off with only 32 dealers selling Leaf. In each of those 32 dealerships, we picked one person and they became the Leaf person, EVRM, or ‘electric vehicle relationship manager’. They were the ones given all the training. Our intention is to ensure that every salesman gets training. We’ll still have some form of specialisation, but we’ll be taking that up from one person to two per dealership. Everyone in a dealership will get trained around the car. So this new approach will make things run more smoothly then... Well, we had some feedback from customers, particularly in the early days with the early adopters, who, like with any form of technology, knew more about the technology than the people selling it. When they got the guy who knew what he was talking about, it was a great experience, but when he wasn’t there, nobody knew anything about it.

on test

Dave Brown gets behind the wheel of the new and improved Leaf

What is it? With Nissan’s new battery-leasing scheme, buyers can get behind the wheel for less than £16,000 (after the £5,000 Government grant). There’s added peace of mind for owners with an enhanced battery warranty and a host of clever touches designed to enhance the ownership experience. Some will still say that it simply can’t travel far enough between charges though.

What’s under the bonnet? A new electric powertrain based around a high ��| CarDealerMag.co.uk

response 80kW motor that’s powered by improved lithium-ion batteries. It’s all very hi-tech and a better system than existed in the old Leaf. The charging time has been cut in half (from eight hours to four) and there are a couple of associated techy bits worth drawing attention to: the aforementioned heating system that’s 70 per cent more efficient than its

predecessor (meaning far less impact on range); and a new ‘B’ setting on the transmission that increases regenerative braking during deceleration and braking.

What’s the spec like? In our humble opinion, old Leaf felt a bit leftfield and ‘out there’. This one seems far more like a member of


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‘‘

It will now be easier for a Nissan salesperson to understand Leaf. It will become more like a normal car.

the knowledge Model: Nissan Leaf Acenta Price: £18,490 (as tested) Engine: 80kW AC motor with lithium-ion batteries Power: 107bhp, 254Nm Max speed: 90mph 0-60mph: 11.3s Range: 124 miles Emissions: 0g/km Residual values (three years): tbc

target buyers:

Old Leaf buyers wishing to upgrade, curious motorists wanting to try electric power

the rivals: the Nissan range that’s performing so strongly just now. The new version of CarWings telematics system is clever too, and the Leaf comes in three trim levels. Prices range from £15,990 (Visia with battery lease) to £25,490 (Tekna with batteries bought outright). Both include £5k Government grant.

What’s it like to drive? Lovely. The ride and handling have been firmed up a bit for UK roads now production has started at Nissan’s Sunderland factory, and the steering feels a tad more direct which is no bad thing.

What do the press think of it? Autocar said: ‘The Leaf remains a highly impressive machine. It is the most niche of niche vehicles, but it also delivers a uniquely satisfying driving experience.’

What do we think of it? Nissan has played a blinder with this new Leaf. The company has listened and learnt from the last two years of marketing the first version and not only has the car been improved, the new battery leasing and trim levels give purchasers so many more options if they’re planning to giving petrol the push.

Renault Zoe, Mitsubishi iMiEV, Citroen C-Zero, Smart electric

Key Selling Points: 1. Three trim levels means more choice 2. More space thanks to fully integrated motor 3. Charging time cut in half

Deal Clincher: Longer range makes for a more viable ownership proposition CarDealerMag.co.uk | 59


FEATURE.

of e e r Th

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. . . a kind in association with

Choosing the winner from these three supercar specimens wasn’t easy, but James Baggott and Leon Poultney have given it a go. Three four-wheeldrive supercars tested on miles of twisting Welsh roads gave the pair ample opportunity to row... err... discuss which one was best. Here’s what they had to say... PICTURES: DON JAMES

CarDealerMag.co.uk | 61


FEATURE.

‘Hand-picked to tackle the sweeping bends and speedy straights were some of the finest four-wheel-drive supercars currently available to man’ James: Three brilliant supercars. All four-wheel-drive. And a road trip to Wales to find our favourite. What could go wrong? Well, as is usually the case with Car Dealer tests, pretty much everything. Despite planning it weeks in advance, the day we were due to depart Antarctic weather descended on the UK, blocking roads, causing crashes and generally making travelling in a motor car, let alone a supercar, inadvisable. So obviously we went anyway. ��| CarDealerMag.co.uk

Leon: Yes, we chose the village of Denbigh in North Wales as our base camp, partly because the scenery looks like it has been cut directly from a Lord of the Rings film but mainly because the surrounding roads are some of the most thrilling the UK has to offer. Hand-picked to tackle the sweeping bends and speedy straights were some of the finest four-wheel-drive supercars currently available to man: the Porsche Carrera 911 4S with its feisty

3.8-litre straight-six and an on-the-road price tag of £87,959. The giant-slaying Nissan GT-R packing a cheap-as-chips asking price of £76,610 and a meaty twin-turbocharged 3.8-litre V6. Finally, the new and improved £92,710 Audi R8 with its screaming 4.2-litre V8 and slick manual gearbox. James: Well tackling those roads was the plan at least. With the south coast basking in sunshine it was hard to believe the weather reports and traffic alerts as we made our way up the country. But by the time we hit the M6 Toll the skies had changed and the white stuff was pasted across


in association with Baggott slides the R8 out of a hairpin bend. Poultney follows in a GT-R. If ever there was a recipe for disaster...

the knowledge Model: Price: Engine: Power: Max speed: 0-60mph: MPG (comb’d): Emissions:

business angle

UK is a hot market for slinky Audi IT’S no surprise that the R8 is a popular car here in the UK. Just like the rest of the range, us Brits are anxious to spend our cash at Audi centres. The UK is the third most popular market worldwide for the R8, just behind the USA and Germany. Audi describes the R8 as ‘evolution on the outside, revolution on the inside’, and says buyers are predominantly freelancers, self-employed, managing directors or senior executives. Average customer age is 48 to 55 and they are mostly male. Popular options are carbon sideblades and fine Nappa quilted leather.

the hard shoulders. And it got worse. By the time we hit the A55, traffic was down to one lane and it was sheeting it down. It was at this point I thanked the motoring gods we were in four wheel drive supercars. Leon: Baggott is painting a pretty picture here, I was tasked with piloting the monstrous Nissan GT-R from Stansted airport to the northern tip of Wales via some of the most snow-stricken areas in the UK. Baggo and the rest of the Car Dealer chaps had already furrowed a path up the country but I was merely picking my way around the

Audi R8 4.2 FSI quattro £92,710 (as tested) 4.2-litre V8, petrol 424bhp, 430Nm 188mph 4.4s 19.9 332g/km

edge of Wales when the real blizzards set in. The GT-R was magnanimous, always providing bags of grip even when the only lane left open on the A55 was covered in ice and snow. I crawled past abandoned MX-5s, stricken motorcyclists and even the odd Land Rover struggling in the snow and all the while the Japanese Tarmac-destroyer continued to march on. Apart from the time I tried to squeeze up a narrow country lane in order to cut down on the miles, resulting in me sliding sideways down a hill towards a hedge. It soon became clear motorways were the only option. CarDealerMag.co.uk | 63


FEATURE.

‘It’s very hard not to like the GT-R, especially if you were a fan of a certain videogame franchise that resulted in many poor GCSE results.’ James: We were obviously EXTREMELY worried about you Leon as we threw another log on the fire and cracked open our third beer. Fortunately I’d been in the 911 for the journey northwards and had thoroughly bonded with it in the process. The new 991 model is an absolute corker and with the £10k Powerkit option, it looks stunning. Anyway, before we go all gushing, let’s set some parameters for deciding our winner. I’m thinking scores in the following order of importance: Style, price, performance, comfort, practicality and desirability. A mark out of five in each should help us decide the winner. ��| CarDealerMag.co.uk

What do you reckon? Leon: What about dropping practicality for value for money? Let’s be honest here, comfort will be somewhere towards the top of most supercar buyers’ check list but fitting the monthly Ikea shop into a 530bhp monster is rarely considered. I can end the debate on practicality right here: the Nissan and Porsche have bags of room, the Audi is pathetic. There.

let’s recap. We’re in Wales, which could very easily be the North Pole. Cars are littering ditches, we’ve seen a JCB dig a Freelander out, but we’ve made it to base camp safely. Unfortunately our hopes of penetrating Lord of the Rings land (sounds like a porno) didn’t go to plan as six-foot snow drifts covered most exits to decent roads from Denbigh so this test will mostly be carried out in a rugby club car park. Picturesque. So Poulters, let’s start with that GT-R. Like it?

James: Oh, you bitch. Sticking the knife in early aren’t you? Ok, agreed. We’ll mark them later. So

Leon: It’s very hard not to like the GT-R, especially if you were a fan of a certain videogame franchise


in association with Those who think the GT-R’s looks only suit the streets of Tokyo should think again. It’s a beauty on the B4581

the knowledge Model: Price: Engine: Power: Max speed: 0-60mph: MPG (comb’d): Emissions:

business angle

The ultimate everyday sports car? YOU may assume the typical buyer of a Nissan GT-R is someone in the computer industry, who has been fuelled on a diet of Gran Turismo since the age of 11. But no – Nissan says the average customer is a small business owner but comes from a variety of sectors, and are in their 30s to 40s. The Japanese firm markets the car as the ‘ultimate everyday sports car’ – and it would seem to have worked. Like the Audi R8, the UK is a popular marketplace for GT-Rs. Last alone, dealers shifted 235 of them, and the most popular colour was white.

that resulted in many poor GCSE results. On paper, the Japanese giant is pretty much unrivalled: 542bhp delivered to all four wheels, a 0-60mph sprint time of an astonishing 2.84 seconds and enough electronic wizardry to ensure mere mortals can keep the brute on the road. But far and away the most surprising aspect is the GT-R can quite happily devour motorway miles without resulting in spinal injuries. It can play music from one’s phone via the Bluetooth interface, it has a very good sat-nav and it even has cup holders that happily cosset a large Costa coffee. I wouldn’t be surprised if the Porsche offers a similar

Nissan GT-R £76,610 (as tested) 3.8-litre V6 twin-turbo, petrol 542bhp, 630Nm 196mph 2.8s 24 275g/km

amount of luxury but I fear the Audi may fall behind... again. James: I’m beginning to spot a theme here... Anyway, that GT-R. What. A. Car. I’ve driven a few of these brutes now and every time I honestly can’t understand how something can move so quickly in a forwards direction without a hyperdrive. It is one car that every car fan should drive at least once. Sod a Ferrari or Lamborghini, this thing may not have the brand cache, but it’s more frightening and astonishing to drive. The sound, the way that gearbox rifles CarDealerMag.co.uk | 65


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FEATURE.

in association with The most glam car to have ever parked on this industrial estate

‘When this thing turned up at the office and you sent me that picture of it I was instantly in love. That kit, with the ducktail and skirts, in white, makes this thing look ace.’ through the ratios, and the grip. It’s incredible. I like the looks too, but the problem is it attracts the wrong sort of attention (think baseball cap and McDonald’s wrappers). But it’s hard to argue with that price – you could have one of these and a Cayman for the price of the 911... Leon: Stealing my analysis again, Mr Baggott? But yes, if I were in the market for a car that was simply incredible to drive, I would buy a GT-R and then grab a Cayman for the tighter, twistier stuff. See, that’s the problem with so many supercars these days, the Great Horsepower Race has made many cars almost impossible to drive on ‘normal’

UK roads. I’m not talking about the vast, open expanses of North Wales but the country lanes in Surrey where most of these will find homes. But I digress, in summary, the GT-R is a phenomenal machine that shouldn’t just be viewed as a great car but one of the great engineering feats of the last decade. James: I’m not clever enough to come to my own conclusions, hence stealing yours... Let’s move on. Rapidly. So to the Porker. When this thing turned up at the office and you sent me that picture of it I was instantly in love. That kit, with the ducktail and skirts, in white, makes this thing look ace.

I love the way it drives too. The PDK gearbox is awesome – but that said I’d have a manual too – they’re both great. And the sound it makes when you hit that exhaust button is sublime. Everything works brilliantly too and it’s comfy, real long distance comfy. But £105k? Really? That’s so much more cash that no matter how good it is I don’t think I could justify it. Could you? Leon: Drive the Porsche for just five minutes and you could justify that asking price. The German marque is often lambasted for not taking bold steps with model updates but this 991 looks, drives and sounds better than CarDealerMag.co.uk | 67


FEATURE.

‘The noise was out of this world – a mix of savage roar and exploding overrun as he wound through the gears.’ ever. The driving position is superb and my time spent piloting it back from Wales was the most comfortable I had been all weekend. The cockpit felt special too, with lashings of Alcantara and splashes of leather making sure it stood out over lesser models in the line up. I will never forget a stretch of the M6 when Design Ed Windy depressed the sports exhaust button in the Porker, let himself drift back a few yards and then nailed the throttle past me. The noise was out of this world – a mix of savage roar and exploding overrun as he wound through the gears. I was in the not-so-silent R8 at the time – doing a stellar ��| CarDealerMag.co.uk

job of adding to the cacophony of exhaust notes – but finding my ear drawn towards the Porsche’s vicious soundtrack. James: Ok, I’m with you, but I can’t help thinking it will be a difficult conversation in dealers when a 997 owner comes in and the cost to change makes him spew his frappuccino all over the salesman. It’s good, in fact it’s great, but if it were your cash on the line, would it really be worth £30,000 over the GT-R? Let’s move this on to that R8. A car I’m very fond of. In terms of head-turning looks the R8 nails it. Porsches are

everywhere, GT-Rs don’t look outrageous enough, but the R8 is a beauty. I love the sound of that V8, the steering is a delight and the open gate gearbox is always an occasion. It’s also so easy to drive – it feels a lot smaller than it is. I like the new LED indicators too – that strobe across the car from left to right; they’re Tron cool. Leon: I feel that I’ve been unreasonably harsh about the Audi in the last few exchanges – the R8 has always been a personal favourite of mine ever since I had the pleasure of driving the mighty V10 convertible for a couple of weeks during one


in association with New 911 C4S does have traction control. Try telling that to Baggott

the knowledge Model: Price: Engine: Power: Max speed: 0-60mph: MPG (comb’d): Emissions:

business angle

Grippier 911 is a top seller for Porsche TYPICAL buyers of the C4S like to take a trip to the continent, Porsche tells us. Since the Carrera 4 model was first offered in the ‘Type 964’ 911 in 1989, it has developed a firm following. Historically, C4 models represent 35-40 per cent of total Carrera sales, and 20 per cent of total 911 sales. Meanwhile 85 per cent of buyers opt for the Sport Chrono package with ‘dynamic engine mounts’, 90 per cent tick the box for the on-board telephone, 60 per cent go for the Bose stereo and half of 911 C4Ss are specified with Porsche’s Dynamic Chassis Control.

of our unusually hot summers (remember those?). I stepped into the Autobahn-destroyer after doing long stints in both the GT-R and the Porsche and my first, overriding feeling was, ‘God, this open gate gearbox is great’. There is something instantly involving about having a real, chunky gear lever in a car of this magnitude, it instantly forces the driver to be on his or her A-game. We left a service station and instantly came across a set of roundabouts – down went the clutch, ‘thunk’ went that excellent gearbox, second gear was selected and then many whoops of delight were emitted as I screamed onto the slip road at

Porsche 911 Carrera 4S £105,925 (as tested) 3.8-litre flat-six, petrol 430bhp, 440Nm 190mph 4.2s 31 215g/km

mind-boggling revs. The sensation soon fizzled out as I quickly realised I couldn’t get comfortable. The seating position was too low and I sat with my legs outstretched almost horizontally like I was driving a Caterham. Is this because I am vertically challenged or a design fault? James: Vertically challenged, almost certainly that. Anyway, let’s try and decide a winner, which I can guess isn’t going to be easy. I’m going to do it mathematically and work it out on a piece of paper. Bear with me caller... Ok, so I’ll show my workings CarDealerMag.co.uk | 69


Total work of art. Enough said ��| CarDealerMag.co.uk


FEATURE.

in association with

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‘Next someone will be telling me the world really is round and that PE really does have to be done in your pants if you want to lose weight.’ somewhere else thanks to head of design Windy’s crayon set. But it goes like this for me: In a surprising third place is the 911. I can’t get past the price, and despite the looks and performance it’s in no way worth so much more than the faster GT-R. In second, is the R8, scoring pretty much middle of the road marks in all our categories. But the GT-R storms it in my rankings. Its great value for money, by far and away the quickest with only it’s relatively bland styling letting it down. Controversial I know, but them is the results of the numbers. For me anyway. Let’s see what you come up with, add it all up and work out the winner. Scientifically and all that jazz.

Leon: Your mathematical methods seem to work a treat, perhaps that’s why you purchased that rust bucket Peugeot 205 for such an amazing price (another story readers). After doing some frantic scribbling it looks like this for me: In joint third place are the Audi R8 and Porsche 911 with the latter only really slipping up in the price department. It’s so difficult to justify such a premium over the other great cars here and even though the Porsche press department will argue that a standard 911 is cheaper that an Audi R8, we all know it’s impossible to leave the options list completely unchecked. That means the GT-R storms ahead in my makeshift table, mainly thanks to the exceptional ‘bang-for-your-buck’ value it offers.

I also don’t agree with the desirability argument against owning a GT-R. We parked all three luscious motors up at a service station somewhere outside Birmingham and the crowds soon flocked, with the majority leaving grubby prints all over the windows of the Nissan while a select few admired the German offerings. James: So Mr Mackie the Maths Mumbler off of school didn’t fail me – sums actually work! Next someone will be telling me the world really is round and that PE really does have to be done in your pants if you want to lose weight... At least we came to a sensible conclusion for a not so sensible test. What Car – we’re coming for you! [CD] CarDealerMag.co.uk | 71


focus on.

Manheim

Powered up A

s we know all too well in the automotive industry, times are tough. Britain might be out of recession, but its effects are still being felt today. Margins are still being squeezed, and the only way to keep on top of things, put simply, is to adapt to the situation. This means lowering costs, managing resources and streamlining your processes as best you can – saving time and money. Daunting as it may seem, big changes need to happen if many businesses – including dealers – are to stay afloat over the next few years. The question is, where to start. Manheim is a company that may just be able to help. One of the world’s largest automotive businesses, Manheim has a wide breadth of experience across the entire industry – and is arguably in a great position to help dealers. ‘We offer services across the full range of products needed by dealerships,’ Manheim’s Andy Cullwick tells us. ‘From the start, where dealers are looking to source their stock, right up to the moment that they’re marketing and selling that stock online – we’re there throughout the whole process.’ The integration, says Cullwick, helps Manheim deliver the best experience possible to dealerships – particularly when compared with dealing with individual companies. ‘The fact that everything’s more of a single, joined-up process makes things a lot smoother for our customers, and of course only dealing with one company makes life a lot simpler.’ That process starts early on. Manheim has one of the largest networks of vehicle auction centres in the UK – around 17 in total, ranging from Saltash in the South West to Washington in the North East – ensuring that there’s never a shortage of available stock near you. There are even a host of online bidding options if you’re interested in buying a vehicle in an inconvenient location – ensuring that distance need not be an issue. In addition to that, Manheim even have a tradeto-trade network under their wing – Dealer-Auction. com. With over 4,000 cars auctioned each month, and previously a Car Dealer Power Award winner, Dealer-Auction is another great way to acquire stock. Next comes Manheim’s comprehensive retail services. Offering anything and everything from ��| CarDealerMag.co.uk

‘‘

There are a lot of people using the web, but maybe not to its full potential

CONTACT Manheim W: manheim.co.uk/dealer T: 0844 668 4226

web design services to email marketing, and even online chat solutions, Manheim may well be the only company you’ll ever need to deal with. The group’s experience speaks for its self – currently powering the used stock locators of manufacturers like Audi, Lexus, Honda and more, Manheim’s 18 years of experience means that it knows just how customers go about searching for their next vehicle. Mobile solutions are also on offer, with apps and specially designed websites just two of the services Manheim are able to provide – bringing

with them a range of additional potential customers that dealers need to be tapping into. Manheim can even help you get social. Websites like Facebook, Twitter and Google+ are great tools for dealers – and Manheim’s ‘Essentially Social’ products can help you get on top of what’s going on in the world of social media. ‘In terms of using the web to its full potential, I’d say that dealers are getting there,’ Cullwick tells us.


COMPANY HISTORY Manheim is one of the world’s largest privately-owned business, with automotive roots in a huge number of countries. The group helps make nearly 10 million wholesale vehicle transactions possible worldwide every year, and drives 10s of thousands of sales leads to franchised dealers every month. The group has won a multitude of awards over its life as well – including several from us! Last year Manheim won in the category of ‘Best DMS and Technology’ provider at our Car Dealer Power awards, while its subsidiary Dealer-Auction was crowned ‘Best Specialist Online Advertising Site’.

‘There are a lot of people using the web, but maybe not to its full potential. And a slight issue can be neglecting things like social media, and still trying to sell vehicles using more traditional methods. ‘We did a mystery shop recently that identified a number of dealers that had email and Twitter enquiries that weren’t responded to – or not responded to quickly enough.

‘The tendency is to forget that any lead source – be it someone walking off the street or someone sending an email enquiry – is a potential sale. So we’re encouraging as many dealers to do that using the products that we have, and effectively they enable them to track and monitor how their digital performance is working.’ Social media aside, there is still a place for traditional advertising and marketing techniques –

and Manheim is in a great position to assist on that front too. Online, they can get you set up with AdWords – a great way of advertising directly on Google – and ensure your website stays as close to the top of search results as possible by optimising your website for search engines. Perhaps Manheim’s biggest boon to dealers, however, is an integration with one of the UK’s leading advertising portals – Motors. Both online at Motors.co.uk and in partnership with 11 regional newspaper groups, Motors has a combined reach of over 25 million adults every week. The site even powers used searches on big-name websites like Parkers. couk, HonestJohn and Desperate Seller – giving a highly impressive reach of potential customers. Making use of these resources is key. With customers now effectively choosing their next car online, your online presence is key. ‘Our research shows that the number of leads into a dealership has gradually fallen over the last few years, but conversion rates have increased,’ says Cullwick. ‘Which sort of implies that actually when a customer steps onto your forecourt to come for a test drive, they’re much closer to making a buying decision than they were historically. So it’s important that you put the right information in front of customers to actually support that when they’re online and looking for their next vehicle.’ So, don’t get left behind – after all, the dealers who are likely to survive the financial situation are the ones who embrace the sorts of solutions Manheim has to offer. [CD] CarDealerMag.co.uk | 73


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focus on.

Aftersales and upsales

A better journey I

n the current economic climate, it makes sense for dealers to diversify their revenue streams. One seemingly simple way to do that is to increase the number of aftersales products offered. Seemingly, because as dealers are all too aware, the investment in time, not only in sales staff training, but by the service department, can often outweigh the potential benefits of offering an aftermarket product. Even when that product is long-established and from a reputable brand, the incentive for dealers often simply isn’t there. TRACKER, the UK’s leading vehicle recovery system, and the only one to utilise high-frequency VHF technology, understands the problem thanks to its strong relationship with its dealer network. Mark Tavner, TRACKER dealer network manager, explains: ‘We were looking for a way to increase sales through the franchise network and after conducting a UK tour of our dealers, a lot of issues were highlighted about there not being enough money in selling the product. One way to move that forward was to share the subscription fee with the dealer and allow them to take the total sale value off the customer at the point of sale.’

It’s a simple but effective proposition, which has yielded a number of benefits for all parties concerned. Tavner continues: ‘Firstly, it allows the dealer to make considerably more money. To put it into context, a duration subscription (three-years) with TRACKER costs £332.50 excluding VAT. So if we share it with the dealer fifty-fifty it gives them £166.25 for making that sale. ‘It’s also a much better journey for the customer, with them paying for the unit, fitting and subscription at one place at one time, to the dealers. And because everything is taken care of in one transaction, the cost of the TRACKER unit can be added to the customer’s dealer finance agreement. ‘This new business model also benefits franchised dealers as it ensures the parts manager is happy with the money they’re making, the service manager is happy with the return on workshop hours committed and the business is making money on the sale once all the costs are taken out.’ The sub-share model, as TRACKER is calling it, offers not only simply increased revenue, but training and support to allow dealers to maximise profits.

‘We’ve been working on our dealer toolkit, which is all of the materials that a dealer needs to enable them to sell TRACKER efficiently,’ says sales director David Wilson. ‘It includes point of sale materials, but also training for staff. ‘The dealer in the local showroom is also provided with a portal on their website that can go straight into our systems, which automates the whole sales process.’ Once largely associated with premium manufacturers and more expensive vehicles, TRACKER has worked hard to ensure its system is a viable proposition for motorists of every budget. ‘We’ve realigned some of the entry level products’ pricing to include them in the sub-share scheme,’ continues Wilson. ‘The way we’ve wrapped them up in the new model means that a used car dealer or franchise can still make good money from selling it, even if they are fitting it themselves. ‘This isn’t just for Range Rover drivers, it is for anyone who has had to save up to buy a car and wants to protect their investment. It’s no longer about what is mandated by insurers, this is about emotion.’ [CD]

CONTACT TRACKER W: tracker.co.uk T: 0845 604 6028

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CONFERENCE.

HELD in association with PRO-ALIGN

CONFERENCE 2013

IN ASSOCIATION WITH

I

t’s that time of year again! Our annual Car Dealer Conference has once again taken place, and to just as much acclaim as before. Our free-to-attend event was the best attended yet – with hundreds of dealers and automotive industry figures making their way to the Heritage Motor Centre in Gaydon to hear our 10 speakers’ best advice on generating profit. Our headline sponsors, Pro-Align, kicked off proceedings with some great advice on generating profit in workshops – an area of the dealership that’s becoming increasingly relevant as profit margins fall. Nine other speakers followed, including

Glass’s, GardX, Autotrade-Mail and more – each keeping dealers on their toes with some great tips. The conference itself wasn’t the only worthwhile part of the day, however. Downstairs in our exhibition area, dozens of fantastic companies that you should be working with set up shop – handing out great advice and giving attendees a chance to check out some new products. There were even some live demonstrations in action. Pro-Align were busy showing off their clever new alignment products on a Volkswagen Up, live in the exhibition hall, while 3M were giving dealers an insight into how vehicle wrapping could be of great benefit to them.

The biggest news for us was a brand new addition to the day: A live Car Dealer Q&A panel. Chaired by editor Batch, representatives from big names like Trading Standards, Google, the FLA and more were on hand to answer any questions dealers had to offer. Combined with the activity in the room, the session was streamed lived to the internet – and both generated some lively discussion! Don’t worry if you couldn’t make it though – we’ve detailed the events of the day over the next few pages. It’s worth a read – our speakers handed out some great advice. Just make sure you’re in attendance next year, or who knows what you could miss!

INSIDE Pro-Align AutosOnShow Contact Advantage

78 80 82

Autotrade-Mail BCA GardX

Plus: Expo pictures 96

PICTURES: STEVE HALL

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90 92 94

ADP Glass’s Autoffsets

Car Dealer Conference Q&A SESSION 98

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CONFERENCE.

PRO-ALIGN

Easy-sell products can do wonders for profits W: pro-align.co.uk T: 01327 323007

T

imes are tough in workshops. ‘The idea is to have dealers checking every car Whether they be independent or that comes into their workshops for work – be attached to dealerships, margins are that a service or warranty work,’ Paul tells us. becoming ever smaller and, thanks ‘When you can perform the check in 90 to a squeeze on customers’ purse strings, footfall seconds, there’s no reason not to.’ has also fallen. Once that is completed, details of the check It doesn’t help that creating profit has become are instantly uploaded to the internet – allowing all the more difficult. A decade ago things like service reception staff to print out the results and tyre sales might have been a reasonable source demonstrate any potential work to the customer. of income, but with the competition of internet‘We call it a bit of a soft sell,’ says Paul. ‘Once based suppliers, margins have dropped. Any new they see that print-out demonstrating exactly opportunities to generate profit, then, should how their wheels are misaligned, there’s no arguably be welcomed with open arms. need to even push anything – the customer can Enter Pro-Align. Established 21 years ago, the see exactly what’s wrong with the car, and the firm knows all about the benefits majority of the time they will go of introducing wheel alignment right ahead and order the work.’ products to workshops. It’s the easy-sell nature of Today, Pro-Align is a leading wheel alignment that’s helping supplier in wheel alignment dealers and tyre shops generate equipment: offering a range comfortable levels of profit every n Consider the of innovative products directly – and pay for the equipment benefits of wheel day to garages and dealers. What cost in a matter of weeks. alignment its owners, Paul and Kathryn ‘I was speaking to someone Beaurain, haven’t forgotten recently who ran a fast fit centre, n Do more highhowever, is the history behind and they’re now doing about margin jobs the company. £900 per day in alignment – at ‘We started off as a retail n Don’t treat new 88 per cent gross margin. That’s alignment centre ourselves,’ a great amount of money to have equipment as Kathryn tells us. ‘Just out of an coming in. an overhead industrial unit in Northampton ‘Many pieces of equipment back in 1991, where we had are seen as something of an something like six employees overhead in a garage, but the – all doing customer alignment. From there it aligner is often seen as the revenue generator for really just grew.’ those people who have spotted it and created an And grow it did. Pro-Align has grown to a alignment strategy – and that’s really the key.’ team of around 40 people, and supplies a huge As far as the products may sell themselves, number of dealers, garages and tyre shops Pro-Align knows that keeping customers happy is across the country with high-tech wheel still the most important factor. alignment products. ‘We focus primarily on alignment equipment, The key to Pro-Align’s product portfolio is a so I suppose the good news – both for us and partnership with a leading American equipment the customer – is that we can concentrate just company: Hunter Engineering. on that, in terms of training for people, the spare Already dominant in the USA, Hunter’s parts they carry on their vans and so on. If it’s products are state of the art – and endorsed by a only alignment, then they’re better trained. number of car manufacturers, dealers and more. ‘We work very hard at after sales support, too, It’s their new Quick Check product that really and the targeted response time is within impresses, however. New in 2013, it gives a rapid, 48 hours. four wheel check of a car’s alignment, allowing ‘Fifty five per cent is achieved within 24 hours workshops to check a car in as little as though – and if you’re that garage making £900 a 90 seconds. day, the quicker the better!’

Speech in brief

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HELD in association with PRO-ALIGN

CONFERENCE 2013

IN ASSOCIATION WITH

Conference speech KICKING off our Car Dealer Conference speakers was Paul Beaurain, managing director of our headline sponsors ProAlign. Starting off with a brief history of the company, Beaurain gave the delegates a little insight into just what Pro-Align is all about. ‘We supply the whole industry, from car factories for audit test and research, to franchised garages for nearly every brand, to fast fit, tyre shop, crash repair businesses. Our turnover is in excess of £6 million,’ he told delegates. Beaurain then went on to explain just how Pro-Align could help dealers in 2013: ‘It doesn’t need me to tell you that the car dealer franchise is under great financial pressures. Car sales can no longer be banked on to pay the dealer overheads, and hence there’s a greater wish and need for the service department to pay a significant contribution towards the bills.’ There are pressures on the service department too, though, he explained – with cars more reliable than ever, workshop staff are increasingly spending less time under the bonnets of cars, and the opportunities for making money have moved. ‘Where are these opportunities today? Modern suspension is more adjustable and requires finer tuning. Nine out of 10 cars have some form of misalignment, and 32 per cent have rear alignment angles that can be adjusted and corrected within manufacturers’ tolerances. ‘So that is the scale of the opportunity. More cars are adjustable than ever before. Wheel alignment offers outstanding revenue generation activities. ‘In the industry we must move away from last century’s tracking stickderived gauges, to equipment that allows four wheel alignment processed to be accurate, fast and transparent for the driver. When alignment is handled correctly, we get an outstanding revenue generation activity.’ The bottom line, says Beaurain, is that wheel alignment gives outstanding profit margins. And after all, ‘do more of the jobs with the highest margins – it makes sense.’

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CONFERENCE.

AUTOSONSHOW

The company AUTOSONSHOW is no stranger to Car Dealer events. The team helped with judging at our Ewards ceremony last year and we awarded them a gong at our Car Dealer Power awards last July. The team’s online products for dealers range from AutoLive, which allow dealers to interact ��| CarDealerMag.co.uk

with customers in one-to-one live video demonstrations, to AutoReplace which inserts scenic backgrounds to videos and photos taken on a turntable. AutosOnShow’s products are used by clients including car supermarkets, dealer groups and auction houses.


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CONFERENCE 2013

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Video offers customers what they want when they want it W: autosonshow.tv T: 0800 644 6894

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ustomers are becoming increasingly demanding of ‘This is one of the key things that we advocate with regards dealers — not only in terms of what information to having video. It means that you’re giving customers the they’d like, but when. That was the key behind opportunity to find out information that they want, when AutosOnShow’s presentation by managing they want it, at 4am. Now obviously your sales guys aren’t director Adam Price and marketing director Rachel Price. going to be there but they can still go on to your website and The duo started off with a test — the presentation screen get all the information that they need. displayed ’ninety per cent’. ‘Ninety per cent — anyone have ‘Some of our clients have reported an uplift in sales of any ideas what that could be referring to?’ Rachel asked. After between 17 and 20 per cent since they embraced our video a few incorrect guesses, the answer was revealed: ‘Ninety per solution, so you can see video has a big impact on sales.’ cent of information absorbed by the brain is visual. And that In fact, so successful are these videos at bringing in is why we are here to talk to you about video, and why it’s potential customers that AutosOnShow has developed so important.’ additional products to help bring those leads into Adam talked about the theory behind the firm’s video showrooms. ‘AutoLive, enables the salesperson to do a live products. ‘So what makes us think that video is the way demonstration of the vehicle, and talk to the customer at forward? Well, we just look at what the same time — so it’s a dynamic sales everybody else is doing. If we look at TV — pitch even though the customer could be yes you probably rush home at 8pm on a 100 miles away,’ explains Rachel. ‘We also Friday to watch your favourite programme, have AutoDirect, with which it’s very easy but not everybody has that time availability. for your sales guys to create a video directly A while ago the TV channels picked up on n Videos work 24 for an individual customer, and within a the fact that people do things differently few minutes, the link is in their email inbox hours a day now: they want things when they want to ready for them to watch.’ see it. Which is why you then had iPlayer, The products have another benefit: they n Video has a big bring in visitors via search engines. NowTV and so on. impact on sales ‘Video is the way that everybody absorbs ‘Google loves video,’ Adam explained to information. This might be a different our delegates. ‘Google loves anything that industry to the likes of the BBC, but you’re you do, provided that you do it right. So if n Video raises targeting the same people. They need to buy you look at this search, this for a Ford Ka search clicks cars, so why not do things the way that they in Cardiff, what’s noticeable here is what’s want to see the product?’ called a merged result. That’s where you get Rachel showed their 360-degree ‘Freedom’ a picture along with some text, and if you video function. ‘This is a set 60-second get a picture on a page full of text, like most walk around the vehicle,’ she explained. ‘We have a full Google results pages, your eyes will head straight to that training programme that allows your sales people, your image. And then when you click through to that, that will valeters, whoever you would like to do the videoing, to have click through to your dealership, or the client’s dealership, a complete, consistent approach to videoing. So that when and shows the video live then and there. Now, it’s a very people come on to your website, all videos are exactly the simple thing to do, and it will demonstrate an uplift in same in style.’ Google searches for your site.’ One of the many benefits of the system is that snapshots Rachel summarised: ‘As dealers, you need to take on board are taken automatically from the video throughout, providing the way customer habits are changing, and ensure that you’re images to the dealer website as well as video. able to provide them with all that they need online. What ‘Images are automatically taken out of that 60-second we’ve tried to do is not only to have a solution that helps you video, and uploaded at the same time. So all our clients to enhance the vehicles online to help sell more of them, would be achieving a 60-second video, plus 10 still images, all but also enables you from an operations point of view to online within about two minutes.’ be able to take the images and any imagery much quicker. The pair talked about the reasoning behind the products: Videos take 60 seconds to shoot, and from there they can be customers want information out of office hours and don’t uploaded in two minutes, and are then available online to be want to wait. ‘Customers want their needs met at any time. viewed at any time. And it’s up to you as dealers to provide them with the ‘And this is what’s key, to provide customers with what information that they’re looking for. they want, when they want it.’

Speech in brief

CarDealerMag.co.uk | 81


CONFERENCE.

CONTACT ADVANTAGE

iPad solutions for salesmen are cheap and effective W: contact-advantage.com T: 08452 26 26 50

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n the motor trade the need to adapt with the model. ‘Argos recently published new figures: struggling. times and offer the latest technology isn’t M&S? Not particularly struggling but the biggest growth limited to manufacturers. Dealers need to be on factor for them was food. Jessops rolled out 30 stores for a the ball with developments if they are to keep bricks and clicks solution and we know how that ended.’ up with their customers’ expectations and the changing Before moving on to to discuss Contact Advantage’s way in which people buy their cars. latest iPad application, he stressed the need for dealers to Customer relationship management specialists Contact embrace all feedback, negative and positive, using Kia as Advantage have been providing a wealth of different CRM an example, which has moved to publishing all feedback products since its formation in 2001. Bob Feltham gave on its customer facing website. delegates a background to the brand and discussed its ‘It’s brave but it does give customers confidence. Our latest innovations. top tip is go for standout marketing — an over abundance He said the adoption of new products was key of lookalike car products leaves customers to do their own to increasing revenues but that the requirements of research and they tend to pick the winners from the alsotraining staff and integrating them into a business can rans. But differentiation gets them to pick what you want. be overwhelming. ‘Potential for new ‘We know from customers that they are products is immense. We also know they not only more switched on, but they are a can save us money, and often they aren’t lot sweeter with technology. too difficult to use. For one minute’s ‘If you go back three years, virtually application you can make a shedload of every showroom was built with six or cash. But for dealers, it’s a difficult grasp, seven desks, five cars and had a standard n Keep up with times are tight and they don’t necessarily format. These days with iPad we’re market changes know what the future looks like.’ starting to build showrooms with no Feltham discussed how, often, desks at all. n iPad systems changing consumer trends can be easy ‘And it doesn’t cost as much as fitting a are portable to spot but that it was vital to appeal to standard desk platform. You just need one customers as early as possible. iPad for every salesman.’ The use of the ‘Customers are researching at home,’ this intuitive platform also makes dealers n iPads remove he said. ‘That includes comparative much quicker to respond to customer training needs shopping. It’s no longer time or demands: environment bound — it’s not unusual for ‘The good news about an iPad is that someone to be shopping for a car at four the salesman can take it home, so if a in the morning. These needs can be easily lead comes in at 8pm, he can respond to it matched — those of you currently using live chat systems straight away. If the customer buys the car online, you can will realise that.’ email them all the stuff there and then.’ Citing a personal example regarding customer feedback, Feltham highlighted how Contact Advantage’s new Feltham explained he went to book his own car into a iPad application can automate the entire process of dealership, before discovering that the dealership had a customer relations, discussing how a five-point customer feedback rating of 3.9 out of 5. ‘What was my instinct?’ he walk-around of a vehicle could be wrapped up in one tidy asked. ‘I’ve chosen the wrong site,’ was the answer. package. With potential customers turning to tools such as ‘This comes down to making profits. What we know Google to conduct their research, such ratings become from showroom management systems is that they take critically important. ‘Buyers are changing how they search forever to teach and you guys don’t use them. Give a guy for solutions and referrals matter. We read a write-up an iPad and he knows how to use it in seconds — all the about a product from Amazon or Argos and the first thing training is removed. Manufacturers who are using iPad you do is look for 5/5. You’re not looking for scores that are applications through contact are selling more cars. More less than that these days.’ importantly the customers are doing most of the work Feltham compared the motor industry, which he themselves.’ Feltham said the use of the iPad application thought was not in the best place to cater for wellwould only generate greater leads through improved informed customers, to established retail outlets who have marketing but he promised a ‘better conversion rate and a struggled in their traditional bricks and clicks business better click-through’.

Speech in brief

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HELD in association with PRO-ALIGN

CONFERENCE 2013

IN ASSOCIATION WITH

The company The Contact Advantage Effect — a combination of increased sales and improved retention — is what Bob Feltham and the team at Contact Advantage have been delivering since 2001. Based in Glasgow, the company offers a range of customer relation and data management software for the automotive sector. Far from being one-size-fits-all, their software solutions can be highly customised to a particular application, so they’ll suit all dealers, from single outlet independents to larger groups.

CarDealerMag.co.uk | 83


CONFERENCE.

AUTOTRADE-MAIL

Sorting out the headache of constantly finding stock W: autotrade-mail.com T: 01243 523 000

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s dealers and traders can attest, acquiring good the trade-to-trade network itself, he enlightened delegates on a recent additional feature to the Autotrade-mail site. quality stock can be a headache. This is an ‘Now, we need to try to get 6,000 cars to our dealers on issue Jonathan Hermans, from Autotrade-mail hoped the company could put an end to, as he Auto Trader – Autotrade-Mail has about 5,000 cars at any one time. So as much as it’s working great and fantastic, explained the site’s features to our delegates. we haven’t got a big enough pot of vehicles to push ‘There are over 1.6 million less vehicles in the one to through to our dealerships. three-year-old car parc. Everyone’s talking about it, you ‘So we have to look a bit further, and see what else is can’t go through the trade press without seeing someone out there. Search aggregators have come into the market saying that there’s fewer used vehicles out there,’ over the last four to five years, and are really making said Hermans. things a hell of a lot easier — be it when you’re buying ‘About 6.8 million cars changed hands in 2012, and insurance, a holiday or whatever. a million of those were within the trade. Around three ‘And that’s what we’re doing now. We only launched million of those came through AutoTrader. An average about a month ago, and are working with partners dealer has 28 cars, and each car takes around 50 days within the auction and fleet remarketing to sell. So, we need to find AutoTrader businesses. dealers around 6,000 cars per day — that’s ‘They are now sending us their stock, a traffic jam nose to tail of about 18 miles we are cleaning that data and pushing it every day.’ through to Autotrade-mail.’ That collection of dealers has given Hermans performed a quick demo, Autotrade-mail great insights into what n Finding stock searching for a BMW 3 Series within the industry is experiencing — and what can be tricky certain age and mileage parameters. other dealers are saying. ‘From the search results I’ve got details ‘One dealer said: “I’m struggling to n Exchanging of the car, phone number, the VRM of the find vehicles between 18 to 60 months old.” Just to give you an example of that, car, it’s telling me whether it’s a buy-itdata helps 70 per cent of all the Hyundais that are now or auction vehicle, and I can even go on AutoTrader are under two years old. through to the seller. n Aggregators Between 18 to 60 months old, dealers are ‘From the seller it gives me even more make life easier really struggling to find that stock. information about who the seller is, notes ‘Another said: “I’ve got empty spaces on on the car, but most importantly the date, my forecourt that I wish I could fill.” Now time, location and lot number. From there that’s just a crazy situation to be in. A car I can make enquiries, make a phone call park space on your forecourt is going to cost around £25 and place a proxy bid on the car, or even bid online live per day in overheads. Empty spaces mean empty car sales when the car comes up. mean empty profits.’ ‘We’ll even show you the vehicle appraisals. It shows Hermans explained how Autotrade-mail was set up to you all the details of the car — any dings, scratches, dents help — established by a dealer, for other dealers, in order and so on.’ to trade vehicles within the network. The new service is clearly one that Autotrade-mail ‘Originally it was done by fax — he thought well if I’m is proud of — bringing additional cars to its members, doing it to three, and I up that to 30 that will give me and saving further time and money. ‘It’s going to be the better opportunities. If I up that to 300, that gives me even simplest way of searching for stock. There’s no need to better opportunities. log in to all these different sites — you simply log in to ‘If people are sourcing vehicles, if they can see it all Autotrade-mail and they’re there. in one spot from a trade-to-trade, that’s going to make it ‘The UK is not a big area. There shouldn’t be a reason easier as well. It’s all about keeping things as simple as why you’re limiting your sourcing to the area you are in. possible, showing it all in one solution. Look further afield, look into companies that you might ‘And it’s been working fantastically. We have at the not have even heard of before. What it might do is open moment about 5,000 cars on the site, and about 5,000 your eyes to all the stock out there.’ subscribing members, lots who have been there for many, Hermans finished with a sentiment with which surely many years.’ all dealers can agree: ‘Let’s hope we can fill those empty However, Hermans wasn’t only explaining the virtues of car parc spaces.’

Speech in brief

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HELD in association with PRO-ALIGN

CONFERENCE 2013

IN ASSOCIATION WITH

The company Established back in 1999, Autotrade-mail was set up to solve two problems: disposal, and acquisition of vehicles. Initially set up simply with a fax machine, the business quickly grew into a website, and was soon bringing in a network of dealers — before being snapped up by Trader Media in 2009. Fast forward to 2013, and the site has around 5,000 dealers on board — each trading their vehicles back and forth with ease. So well does the system work that the process remained largely unchanged over the years, the site only receiving its first full facelift earlier this year!

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BCA

An exciting new first for the remarketing industry W: bca.co.uk T: 0844 874 3480

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aking profit is the name of the game for BCA’s new showpieces Appraise, Value & Sell – on show at the Car Dealer Conference On the BCA stand in the Conference’s Expo, BCA’s dealer development executive Simon Doyle demonstrated the specialist Appraise, Value & Sell services, developed specifically for UK retail dealers by British Car Auctions (BCA). Rolled out in 2012, the service is a first for the remarketing industry and comprises three modular components that generate consistent and objective appraisals, accurate real time valuations using the UK’s largest used vehicle databank and a seamlessly linked ��| CarDealerMag.co.uk

remarketing process. Dealers can use just one, two or all three functions and as a web based toolset, the product can be used by any computer with an internet connection – from tablet to desktop. Doyle told us: ‘Appraise, Value & Sell is being used by some of the UK’s biggest and best known motor retail groups and the feedback is universally positive. ‘Dealers tell us that it helps them achieve a more efficient used car operation, by removing administration and providing a consistent process for appraisal and valuation on any number of vehicles. Incoming part-exchange vehicles can be processed fluidly, and allocated to retail or

trade as appropriate. The system can integrate with dealers’ existing processes, is auditable, transparent and doesn’t rely on subjectivity at any stage.’ The innovative ‘Appraise’ function enables dealers to accurately and consistently record a vehicle’s condition and automatically generates a condition grade. The process presents a bodyspecific Kipper View diagram with selectable damage and severity options and image upload facilities. The appraisal is immediately visible online within the dealer or group and details can be directly passed to a retail or trade sales route without any re-keying of data, reducing administration and time to sale, thereby


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Three steps to success Step 1: Appraise a vehicle n Utilise BCA’s new online appraisal tool n Accurately record damage area, type and severity n Automatically generates condition grade n Includes image upload to enhance presentation n Appraise a vehicle with BCA Appraise Pro Step : Value a vehicle n BCA value presented with every vehicle added n Values updated daily n User combination of 600,000 auction values and 2 million retail price observations n Adjusts for condition and other data added n Value a vehicle with BCA Market Price Step 3: Sell online n Directly add vehicles into BCA online sales. n Bid Now, Buy Now or e-Auction offered. n 24/7 sale opportunities. n Can be placed immediately in front of 20,000 buyers. n Can also be added to physical auction (no requirement for entry form). n Sell online with BCA Smart Sell improving profit. Appraisers are prompted to take pictures of specific damage which is incorporated into the final report as well as standard images to support onward sale. The ‘Value’ function uses BCA’s 600,000 annual auction results combined with over two million additional data points to derive a trade value – which is adjusted daily using a sophisticated logarithmic program developed in conjunction with Deltapoint, one the UK’s leading automotive intelligence providers. All vehicles stored on the system can automatically be re-valued at the touch of a button, giving dealers real time information on the value of their retail stock. The data adjusts automatically

to reflect any damage picked up in the appraisal. With the ‘Sell’ function, dealers can automatically send vehicle details including appraisal report and images to BCA for remarketing. The dealer can choose to place the vehicle in one of BCA’s regular online-only sales which include Bid Now, Buy Now and e-Auction, as well as entry into a physical auction. Automatic transfer of vehicle data to BCA saves dealer administration time by removing the need for vehicle entry forms. The dealer can even retain the vehicle on the forecourt by consigning it to an ‘offsite’ sale at BCA. The firm will remarket the vehicle online while the dealer retains the vehicle for

possible retail, avoiding unnecessary logistics costs and improving the time to sale. There are added efficiencies where a vehicle is entering the remarketing chain because all the administration has been done and a simple click consigns it for sale at BCA. Doyle told us: ‘As well as the undoubted value of having a consistent approach to handling appraisals and generating accurate market valuations, there is also opportunity to offer vehicles for sale through multiple channels. ‘By exposing vehicles to both potential retail buyers and wholesale online buyers in the remarketing arena, dealers can reduce the time to sale and minimise holding costs.’ CarDealerMag.co.uk | 87


CONFERENCE.

GARDX The company GardX manufacturer a range of vehicle protection products, ranging from paint and upholstery protection, to cleaners for air-conditioning systems, fuel and engine additives, rust protection and CARS insurance based protection. Their flagship paint protection system can save a car’s finish from corrosion and the dulling effects of a range of hazards, from acid rain and road salt, to tree sap and bird droppings. The company’s ‘nano technology’ ensures protection and a great finish, even on modern, environmentally friendly water based paints.

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HELD in association with PRO-ALIGN

CONFERENCE 2013

IN ASSOCIATION WITH

We deliver what we promise to do: Profit every time W: gardx.co.uk T: 01243 376 426

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s any dealer will tell you, generating profit account management team.’ through the sale of aftermarket products can To further convince the assembled dealer be something of a hit and miss affair. From representatives, Haskell further discussed how GardX ensuring that the items offered are of a high could increase profitability by guaranteeing 40 per cent quality, to earning sufficient income to justify the staff penetration for dealers not currently stocking GardX time invested in selling it, there are many aspects for a products, and further improvements in both sales and dealer to consider before representing a particular brand income for those who do. Established in 2003, GardX has quickly become a Haskell went on to break down exactly what GardX leading provider of vehicle paint and fabric protection offers: ‘One of the products is called the Vehicle Protection products. It has an international presence, trading across System. Covering both paint and interior upholstery, it Europe, as well as in Canada, India, Australia and has been around for a long time. The challenge for us was New Zealand. to create a vehicle protection system that was superior to GardX sales director Dillon Haskell joined us at the Car the competition – a lot of which are nothing more than Dealer Conference, to give a background on his company basic wax polishes – that protected modern water-based and explain how stocking its products paint, and which was powerful enough could greatly benefit a dealership’s to support our lifetime guarantee. Our bottom line: ‘When we first established two-stage protection system uses the this business there were three core latest technology and its performance far objectives we wanted to achieve. Number exceeds anything else available.’ one: We wanted to create products Introducing GardX’s second product – n GardX is a Cosmetic Accident Repair Solutions (CARS) superior to what was already available. global brand – Haskell said: ‘It’s an insurance-based ‘We wanted to use the latest policy which covers dents, scratches, chips technology and more importantly we n Suite of profit- and scuffs and is available for new and wanted to ensure our products had making products used vehicles. Twelve, 24 and 36 month distinctive USPs.’ terms are available and it’s complemented Secondly, Haskell explained the importance of giving customers products n Core goal: profit by a very simple and convenient claim and repair process. that were tangible and that had a high maximisation for ‘So why do people need this type of perceived value. GardX has achieved this dealers product? Eighty per cent of vehicles on the partly through its lifetime guarantee. road suffer some form of minor cosmetic ‘Number three,’ he continued. ‘Profit damage. Most is not repaired or is poorly for the dealer – we wanted our product fixed with DIY. Motor insurance policies do not cover to be easy to present. All of our products come fully this type of solution. If a customer were to claim on their supported with a presentation video and have been insurance policy they run the risk of losing their no claims specifically developed for the motor trade.’ discount, and professional body-shop repairs are often With that, Haskell underlined the key appeal of GardX perceived as too expensive. What’s more, customers aren’t to dealerships, namely that it was the simplest way for them to achieve an additional revenue stream and provide silly – they do recognise if their vehicle’s condition is poor and they know this will affect its value.’ extra incentive for sales teams, a key factor for any ‘We’ve got well over 150 technicians throughout the dealer outfit. UK. All of which are self-contained and feature the latest ‘We successfully deal with well over 2,000 dealers technology. Repairs can be carried out at the customer’s within the UK and internationally. We’re involved with convenience, at home, at work and all with the peace of everyone from franchised dealers to car superstores and mind of a lifetime guarantee.’ dot.com retailers.’ Concluding, Haskell added: ‘We are not just a paint However, with a vast range of paint protection products and interior protection company. What we are is a profit on the market, what makes GardX the one that dealers solutions provider. We have a full suite of profit generating should endorse? Haskell explained: ‘We deliver profit products and the growth which we have achieved far in excess of our competitors and that’s a fact. We do in the last 10 years has been meteoric. Why? Quite this with a disciplined sales process and by supporting simply, we deliver what we promise: profit every time.’ a national relationship with you through our national

Speech in brief

CarDealerMag.co.uk | 89


CONFERENCE.

ADP

Don’t manage the system — let it help run your business W: adpdsi.co.uk T: 01488 852060

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et your customers on the road to profit, said Phil ADP systems. ‘But managing all these contact points with the Stubbs, UK sales director for ADP Dealer Services. customer can be tricky.’ Using a dealer integrated system, such as those Stubbs said: ‘A joined-up process would be best. But what we supplied by ADP, means ‘More revenue, more profit,’ typically see, for various reasons, isn’t like that. What we get explained Stubbs. is third-party email tools sending those messages out into the He warned dealers to mind the gaps in their customer customer base, perhaps an external agency trying to lift sales. journey, guiding dealers through the potential pitfalls of having There is probably a third party dealer solution in place as well. separate systems to deal with customers. ‘There are two sales That means eventually, everything has to go back into the DMS. cycles, which explain how your customer is driven through your ‘So what we see is a lot of dealerships where this is the case, business — a vehicle sales cycle and an aftersales cycle. Clearly, and there are islands of information that are being managed by every opportunity you have to deal with a customer is an people trying to put it all together.’ opportunity to do well — or to do badly. Stubbs said time wasted wading through data, or putting ‘On the negative side, there are lots of risks with the process customer details into separate systems, was bad for the of guiding your customer through your business, because you business. ‘It means people are spending so long managing have lots of people involved in this process, in the data in their systems, that they are not lots of different departments. If you drop the managing the business and the customer ball somewhere, you’re going to have a problem journey. That leads to lost leads, lost sales, lost and your reputation will be damaged. revenue and, ultimately, lost profits. ‘So, dealers spend a lot of time managing ‘We spent a lot of time developing our DMS this process — either manually or with separate and pushing it into the next generation. n Data inputting ‘We deliver one, integrated CRM solution stand-alone systems. We’d argue that one, wastes time for all departments, so all those islands of uniform process is really important. information disappear into one land mass ‘If we look at the vehicle sales process, n An integrated that can be easily managed. We have activities typically what happens is outbound marketing solution is best that automatically trigger when customers gets the customer interested, while nurturing interact with us, so we don’t have to handle marketing campaigns reinforce the message of enquiries late at night because they can be done why to buy from you. Then, when the customer n Let the system automatically thanks to the rules of the system. enters the building and is ready, you need to be work for you ‘Our campaign manager can help drive qualified to help select the right vehicle, which awareness for outbound and nurturing needs to be made really, really simple. campaigns, as well as on-going engagement, ‘Of course, you need to present the partwithout the need to do it every day. exchange price at the right level for them and ‘You set the rules up and this thing can run time and time the right profit for you. The customer deal presentation needs again, for weeks, for months, for years if it has to, meaning you to be friendly, because if it’s not it won’t be transparent and what we’re trying to achieve is an easy ride through the process can contact your customers in a structured manner without human error. The showroom process is available on a desktop to a successful close.’ or on a tablet, so you can move that whole control selling Stubbs said, at this stage, feedback from the customer on process right into the front of the dealership where perhaps how well you’ve treated them, is important. ‘You’re trying to traditional DMS has not been.’ get that person in the pub on a Friday night to say, “You know Stubbs described the profit accelerators available in the what, I had a really good time at that dealership, they handled aftersales cycle. ‘The intuitive vehicle health check tool comes me really well and I think my car is fantastic.” That builds in multiple formats. For example winter checks, summer everything.’ checks, checks for particular types of vehicle — you can define The second sales process, which might be the first if you the individual formats you want by vehicle type, enabling you didn’t supply the vehicle, is aftersales. Stubbs explained how to up-sell to customers.’ the ADP systems can impact this. ‘Here, nurturing campaigns Stubbs said this was all integrated, so after the health-check will try to build that message of why to come back to your you could contact parts supplier or link to the professional call dealership. Outbound emails will generate aftersales work handling system, if you needed to contact your customers. at the right time — and is cheaper than putting a 60p stamp Stubbs finished: ‘Let the systems help you run your business on something stuffed into envelopes and sent out to all your — don’t manage the systems.’ customers.’ Aftersales services can be booked instantly using

Speech in brief

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CONFERENCE 2013

IN ASSOCIATION WITH

The company ADP creates dealer management systems which help you to form a relationship with customers at the beginning of the purchase cycle and to be with them all the way through; from the initial research of a car, negotiating the deal, and coming back for MoT, servicing and parts... and eventually, another vehicle and hopefully another. Its latest system, Autoline Drive, is designed to meet the evolving needs of a modern dealer. Dealers can also choose what ADP calls Business Accelerators to supplement the DMS, including a campaign manager, a call manager and a vehicle stock profiler.

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CONFERENCE.

GLASS’S

Find out what your customer really wants W: glassguide.co.uk/radar T: 01932 823 897

W

hether you’re new to the motor trade or a had four Audi Q7s retailing for around £27,000,’ he said. ‘He veteran car dealer, Glass’s Guide is likely had a branch in Chelmsford, and I showed him if he moved to have formed an integral part of your the vehicles from Wolverhampton to Chelmsford, he would daily business. Providing accurate vehicle have made £3,000 more per unit because those cars were valuations, the guide has long been used by traders to selling like hotcakes in that area. maximise their profit margins. ‘This is why Glass’s has developed spot pricing. Spot Vik Barodia, head of product management at Glass’s, pricing is about the right price for the vehicle in your area joined the Car Dealer Conference to discuss the issues today, based on the market in and around you. It differs currently facing the industry and how Glass’s latest product to guide pricing – our core business for 79 years – and is Radar could make dealers more profit. quickly becoming the defacto way of setting car prices.’ He started by outlining the difficulties facing car dealers Differing from Glass’s core business of guide pricing, today: ‘It’s fair to say that the market is suffering from a lack which follows month-to-month movements and follows a of used car stock,’ said Barodia. ‘And a lack of new car sales straightforward trajectory, spot pricing is more up-to-date in 2009-10 has led to a lack of stock cycling where leases and takes into account local market variables such as supply were made to go from two to three years, and demand issues to three to four years, so cars didn’t recycle ‘It’s influenced by stock and what’s in back into the market. the market today,’ explained Barodia. ‘It ‘Consequently margins are shrinking may show inconsistencies to what we all on a per-unit basis. We did a comparison expect. For instance, in a particular area, an of used car values 2013 vs 2010 and n Dealers need to automatic may sell for less than a manual. what we noticed was that the consumer The use for spot prices is really about price adapt to survive generally has an unwillingness to pay any setting and competitive positioning and it’s more today than they did four about short term, immediate accuracy n Exclusive launch right now.’ years ago.’ of new app Barodia then went on to draw parallels He went on to discuss how Glass’s could between selling cars and selling groceries, help dealers get a better understanding stating that most dealers operate like of their customers’ needs, explaining that n Embrace Glass’s greengrocers, with all their produce on customer considering buying a new car Radar spot pricing acan display and selling everything ‘two for take as long as six months and that a a pound’. valuation is a real indicator that they are When it comes to maximising their ready to proceed with the purchase. potential, they instead need to act like a ‘This is when they’ve made their mind large supermarket, rather than relying on gut instinct and up, made a valuation on their own car, know what car they changing prices at a whim, something that can lead to the want and may already have finance arranged. common occurrence of distress sales. ‘We’ve got Glass.co.uk where anyone can come and do a It’s all about changing mentality and really getting to valuation on their own car and we ask them every month: understand customers, as he explained: ‘Take Sainsbury’s How long was it before you transacted on the car you for instance: They have an optimised stock profile, they wanted to buy? Seventy per cent told us it was less than price to the local market so the price of a loaf of bread a month. And of that 70 per cent, 48 per cent said they differs from region to region, because they know who their transacted within two weeks. So what we know is that the customers are. valuation really signifies the decision to go out and buy.’ ‘Stock turnover is such a key thing for the supermarkets Glass’s has now integrated spot pricing into its new and it all comes down to being driven by data. They are product, Radar. Available on a web portal and also via tablet proactive and they pull customers to the right products at and smartphone app, it has never been easier for dealers to the right time, enforcing stock turnover. Dealers on the integrate it into their pricing process. other hand are reactive, push driven and they thrive ‘Really know who your customer is. Our data has helped on instinct.’ dealers to find customers and convert at three times the Emphasising the need for replacing a dealer’s instinct rate they were previously. Glass’s is changing the way it with accurate market knowledge, Barodia cited an example does business, spot pricing is very much the route we are he had recently come across: ‘A dealer in Wolverhampton going down.’

Speech in brief

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HELD in association with PRO-ALIGN

CONFERENCE 2013

IN ASSOCIATION WITH

The company Glass’s Guide has long been regarded as a leading valuation expert in the motor trade. Established in 1933, it has nigh on 80 years experience in providing accurate price data. Its monthly print guide is trusted by the vast majority of the industry, thanks to its comprehensive analysis of consumer trends, economic variations and valuations from auctions.

CarDealerMag.co.uk | 93


CONFERENCE.

autoffsets

The company AUTOFFSETS was founded in 2011 by its sister company Clear Horizon Carbon and specialises in supplying car manufacturers, taxi firms, dealerships and individuals with carbon consultancy services and carbon offsetting packages. By selling customers the opportunity to support carbon offsetting ��| CarDealerMag.co.uk

projects dealerships can create extra revenue. But the real story begins with projects such as the Biomass to Energy project in Novodvinsk, Russia, which reduces emissions by using bark and wood waste and wastewater sludge to generate energy – a project that saves over 200,000 tonnes of CO2 emissions per year.


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Profit margin for being green is 37.5 per cent W: autoffsets.com T: 0844 870 7031

H

ow can dealerships in the UK generate profit Once the customer puts in the order, Autoffsets from projects which lower carbon emissions supports projects around the world such as a large wind in places as far away as Brazil and India? The power project in India. Not only do they lower CO2 solution is simple and it can improve your emissions but they also create jobs in their local area. dealership’s green credentials. A project in Ghana sees a team going into rural villages As Matthew Bruton, a director at Autoffsets explained, to replace open fire pits for cooking with fuel-efficient it’s all about carbon offsetting. ‘Carbon offsetting is the stoves, cutting the carbon emissions of each household by process of reducing carbon emissions in one place, to about 50 per cent. This project in Ghana, and many more compensate for emissions produced elsewhere. So if like it, are solely funded by individuals paying to carbon you’ve got a customer driving 10,000 miles a year, they’re offset. going to put out x amount of tonnes of carbon and now ‘Once an order has been placed you don’t need to do they can support a project in another country that is anything else. Certificates are automatically sent out to reducing by the same number of tonnes to come out customers and it all carries your branding. You can sell with a net neutral result. We have a unique sales platform carbon-neutral driving to your customers in two key areas. that we are offering dealership networks, In the traditional aftersales market you where everyone can offer carbon-neutral can use it as you would any other product driving via carbon offsetting at all kinds — as a closing tool, for promotions, or as of points of sale.’ part of your portfolio which you offer to Autoffset is a carbon management and your customers at point of sale. offsetting firm whose main service is to ‘One of the more dynamic ways of n Be green and go into businesses to produce a carbon using it though is in servicing. There increase profits footprint report. The company has been is a far larger number of people you developing its online service which can potentially impact. You can use it n There are no allows individuals to log on to support to create a greater marketing tool for up-front costs eco projects worldwide — becoming the your company. You can implement an middle-man, as customers pay for the eco-plan or a green plan into your service service through your dealership. plan offering and it can really give you a n Service is The service goes further than being marketing edge.’ almost risk free simply another revenue stream. Bruton Autoffsets supplies full support to says: ‘There is a huge potential in dealerships. ‘We would work with you marketing and PR. The automotive to create tailored packages to suit your industry gets a lot of stick for its green business needs. To help with your cash credentials but many customers who are worried about flow you take all the cash up front and we only invoice their impact on the environment aren’t willing to go all you for what you sell,’ says Bruton. ‘We have made this as the way and buy electric vehicles as yet. risk-free as possible and the service has no up-front costs, ‘Offering them something like carbon neutral driving no subscription fees, and we provide you with marketing through offsetting can help increase your green image.’ material, sales brochures, posters — whatever is needed.’ Bruton pointed out there are more benefits than ‘It’s important to stay competitive and the motor solely building a greener image for your company. ‘The industry is moving towards being more environmentally key point for everyone is profit. For all sales through aware – Chevrolet and Jaguar Land Rover are already Autoffsets we offer up to a 37.5 per cent profit margin.’ participating in carbon offsetting.’ A typical family car covering around 10,000 miles a year Bruton is clearly passionate about the scheme to help may emit around three tonnes of CO2, and would have the planet, as well as making dealers more profit. an offset price of around £50, according to the Autoffsets ‘Carbon offsetting is an incredibly cost-effective website. ‘Autoffsets is offering a bespoke sales platform, way of lowering your impact on the environment. Far which can be customised or branded up for every more tonnes of carbon are saved per pound spent by dealership. It manages all the orders automatically and it supporting large infrastructure project like a wind farm or only takes around 30 seconds for the customer to put in a hydroelectric plant than you would do by trying to their details, the car they have, and how many miles they lower your impact directly by installing solar panels want to offset.’ on your home or business, for example.’

Speech in brief

CarDealerMag.co.uk | 95


CONFERENCE.

expo in pictures

Headline sponsors Pro-Align get ready to demonstrate the latest in wheel alignment technology

3M gets creative, wrapping a Nissan Leaf live

There were networking opportunities aplenty in the Expo hall, with delegates all getting stuck in

BCA’s stand gave insight into how to acquire and remarket stock

Dozens of fantastic companies were in position at our Expo – poised to give the event’s delegates the best information possible to make profit

Many of the stands were taking the opportunity to give dealers some hands on product demos ��| CarDealerMag.co.uk

Calls2Account were on hand to make sure our delegates were getting the most out of their customer communications


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CONFERENCE 2013

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Keytracker were on hand to advise dealers on the latest security measures

Glass’s launched their new iPhone app to our delegates

HPI were on hand to ensure our delegates were kept up to date about the latest in vehicle crime

In car tech firm Parrot were on hand to give live demos of their clever Bluetooth products

Car Dealer Club law firm Lawgistics were also in attendance – giving dealers on the spot legal advice

‘Earn extra profit’ was a bang-on message from Tracker

GardX were on site to help not only with protecting customers’ paintwork, but our delegates’ businesses too

Autoffsets gave dealers a different way of thinking about generating extra profit

CarDealerMag.co.uk | 97


CONFERENCE.

CAR DEALER CONFERENCE Q&A

Your questions answered I sell my cheap part exchanges on an online auction site. I make it clear that there is no warranty with them and that they are trade sales. Is this allowed? TM: If you are a dealer and you are selling vehicles then stating ‘trade sale, no warranty implied or offered’ is not really acceptable. Online auctions are sometimes confused with real life auctions, the likes of eBay are called ‘private auctions’ which means there is one person watching one screen with one click. It is not like a traditional auction where there is buyer beware. Calling them a trade sale wouldn’t be within the spirit of the Sale of Goods Act 1979 in relation to section 14 – the products being of satisfactory quality for purpose. The sort of thing we come across a lot is where a customer haggles down the price and the dealer is coerced into saying at that price it is going to be a trade sale only and that is not acceptable. I’ve been asked to sign an undertaking under the Enterprise Act 2002. What does this mean and should I sign it?

‘‘

What would be your top three tips to ensure my results for my stock are appearing as high as possible on Google? AR: My first tip would be to take a look at the SEO within your site, and the ways of

We come across this a lot, and it is not acceptable

Tim Milsom

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DC: It means that they have offended against one of the regulations under the Enterprise Act and have been asked by the Trading Standards to give an undertaking to say effectively that they won’t continue with that course of action. Should they sign it depends on what they are being accused of, but if they don’t sign it they should be aware that it is then open for the Trading Standards to take proceedings against them. If they do sign the undertaking it will stay with them for the rest of their life and will not expire after a few months or years. TM: The background of the Enterprise Act 2002 is for repeated offences – which in the terms of the legislation is affecting the collective interest of the consumers. DC: My advice is to ask for advice immediately, and that can be done through Car Dealer Club.

tagging and uploading content for whom there are excellent third-parties online who can give a better answer than I can. Next, get on top of your local listings through Google Plus Local, which is the information engine which drives search results on Google Maps and for something with a town name. Doing this is free of charge and it is what every dealer should be doing. Thirdly, the role of online video. There has been lots of examples of dealerships uploading videos on YouTube and then embedding it onto their websites, and for longer search terms such as ‘2012 Volkswagen Passat’ then they have appeared on the first page as a video result. Why has the sale of car finance grown significantly over the past few years? PH: There is a record low for the UK interest base rate, and in these conditions we have car finance currently accounting for 73 per cent of all consumer new car purchases. The reasons for this are that if you’re in secure employment with the low base rates, your life is actually pretty good. Your mortgage repayments


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CONFERENCE 2013

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are perhaps fairly low if you have a variable rate of interest, that means you have more disposable income. When you throw in the fact that inflation has been stable despite the doom and gloom in the newspapers, people are in a pretty good position. From the manufacturers’ point of view finance is now the way in order to sell cars and 60 per cent of new car finance deals are incentivised in some way. We sell cars between five-10 years old. Is it enough for us to say on the invoice ‘car sold as seen’ and does that dissolve us from our responsibilities in terms of Trading Standards? DC: Under the Sale of Good Act, if you say this vehicle is sold with a known fault the customer cannot then reject it or return it to claim on that particular fault. So you can put certain things on the invoice which specify where the fault is. But you cannot just generally put your hands up and say you’re having nothing further to do with it, so saying sold as seen is not appropriate. TM: My advice is to get a signature from the customer saying they have knowledge of that

fault at the time of the sale – as they are likely to forget you told them a few months down the line.

an older or perhaps more dated aligner then they could probably make use of Quick Check sooner, at about six to eight jobs per day. If their main aligner allows them to get good throughput already and is well positioned in the workshop, then they are probably needing 12 or more per day to warrant using the Quick Check system.

If the police came to us and said an HPIchecked car is stolen, can the police still impound it? PP: There are many different situations that may What are the time frames for the changes arise with regards to vehicle registration, but in financial regulation? And what can we the answer to your specific question is yes – the expect to see? police can confiscate the vehicle. Traders can PH: The newly formed FCA will be then, if they have undertaken formally taking on credit from April 1, the HPI check and we haven’t 2014 and that means very significant had that come up, make a changes will be made to how car finance claim on their warranty with will be sold within showrooms. Namely, HPI as we would then pay out PB: Paul Beaurain rather than the consumer credit act, which under the warranty. Pro-Align the Office of Fair Trading and Trading Standards currently enforce, it will be What numbers of PH: Paul Harrison Finance & Leasing formulated into a new Finance Authority alignment jobs per Association Rulebook. day would warrant However, the FLA does not believe this implementing your new AR: Alex Rose timeframe is possible – and that frankly Quick Check product? Google consumers would be harmed by laws PB: It partly depends on the TM: Tim Milsom being rushed through – so is lobbying the main aligner they are using in Trading Standards Government to delay until 2017. [CD] their workshop. If they have

Meet the panel

PP: Phil Peace HPI DC: David Combes Lawgistics

CarDealerMag.co.uk | 99


DATA FILE.

Thestatistics Amazing April sees car sales rocket 15 per cent n n

SMMT Sales Data Taking Stock

SMMT: April secured strongest new car sale growth in 14 months NEW car registrations jumped 14.8 per cent in April, according to the SMMT. A total of 163,357 units were registered in the month – securing the strongest growth in 14 months – aided by a strong increase in private registrations, up over 30 per cent on the same time last year. Registrations in the first four months of 2013 were also up – rising 8.9 per cent to 768,555 units – causing the SMMT to revise its full year market forecast, now up around 50,000 to 2.106 million units. In addition to private, fleet and business registrations saw rises – up 0.8 and 8.5 per cent respectively – and the UK continues to outperform other European markets. The figures mean that April 2013 has been the most fruitful since 2008 – a month when the scrappage scheme was still in full force. The SMMT puts the jump down to a number of March registrations being pushed into April thanks to high demand.

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‘The UK new car market continues to perform surprisingly strongly, with volumes again increasing in April. While the headline increase was up almost 15 per cent there were more sales days this year than last,’ said SMMT interim chief executive, Mike Baunton. ‘The UK continues to perform well ahead of the troubled Eurozone as consumer confidence, regular purchase cycles, attractive finance deals and wider market factors continue to make new car buying favourable for motorists.’ David Raistrick, UK manufacturing leader for Deloitte, says the UK

remains a ray of light in a gloomy European market. ‘As the European retail market struggles to reduce its contraction below double digits, the UK market continues to defy the expectation that a similar level of decline might be experienced here.’ ‘The UK is now the second largest market for new car sales in Europe, with sales 39 per cent ahead of France and 70 per cent ahead of Italy. With no automotive green shoots showing in continental Europe, it will be natural for OEMs to be looking closely at the UK market over the coming months.’ Barclays Bank also commented on the SMMT statistics, with its head of retail and wholesale Richard Lowe saying the UK was in stark contrast to Europe. ‘With an increasing number of cars on the road now over 10 years old,’ said Lowe, ‘we expect to see this preference for newer cars continue and sales will be encouraged by the variety of deals on offer.’

SMMT sales data Apr/year to date

5

Figures supplied by SMMT

Top

Most improved manufacturers in April

Mitsubishi +104% Lotus

+100%

Abarth

+68%

Suzuki

+62%

Aston Martin +50%

5

Bottom

Worst performing manufacturers in April Proton

-89%

Perodua

-40%

Chrysler

-37%

Maserati

-35%

Infiniti

-34%


SUZUKI +62.73%

CHRYSLER -36.87%

April 2013 April 2012 February Marque

Abarth Alfa Romeo Aston Martin Audi Bentley BMW Chevrolet Chrysler Citroen Dacia 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

2013

101 445 98 10,823 117 8,866 1,097 137 6,527 2,016 4,394 22,178 3,042 5,772 68 1,080 141 5,628 3,483 509 16 17 1,768 7,631 13 3,350 888 8,083 24 7,203 735 3 2,980 2 3,983 5,050 402 48 118 1,681 6,500 17,645 16,096 2,404 101 94 163,357

% market share

0.06 0.27 0.06 6.63 0.07 5.43 0.67 0.08 4.00 1.23 2.69 13.58 1.86 3.53 0.04 0.66 0.09 3.45 2.13 0.31 0.01 0.01 1.08 4.67 0.01 2.05 0.54 4.95 0.01 4.41 0.45 0.00 1.82 0.00 2.44 3.09 0.25 0.03 0.07 1.03

3.98 10.80 9.85 1.47 0.06 0.06

2012

Year to date (YTD)

% market share

2013 % Change

60 637 65 8,991 92 9,846 910 217 5,325 0 3,675 20,621 3,413 5,271 103 805 128 5,120 2,633 551 8 26 1,348 6,721 16 2,581 436 6,356 40 6,125 699 27 2,081 23 3,002 4,039 378 69 83 1,033 6,191 16,487 13,300 2,627 70 93 142,322

SMMT HAS REMOVED DAIHATSU AS THEY registered no new vehicles in 2012. A new entry for 2013 is dacia

0.04 0.45 0.05 6.32 0.06 6.92 0.64 0.15 3.74 0.00 2.58 14.49 2.40 3.70 0.07 0.57 0.09 3.60 1.85 0.39 0.01 0.02 0.95 4.72 0.01 1.81 0.31 4.47 0.03 4.30 0.49 0.02 1.46 0.02 2.11 2.84 0.27 0.05 0.06 0.73

4.35 11.58 9.35 1.85 0.05 0.07

68.33 -30.14 50.77 20.38 27.17 -9.95 20.55 -36.87 22.57 0.00 19.56 7.55 -10.87 9.50 -33.98 34.16 10.16 9.92 32.28 -7.62 100.00 -34.62 31.16 13.54 -18.75 29.79 103.67 27.17 -40.00 17.60 5.15 -88.89 43.20 -91.30 32.68 25.03 6.35 -30.43 42.17 62.73 4.99 7.02 21.02 -8.49 44.29 1.08 14.78

479 1,931 357 49,085 379 40,188 4,124 862 28,714 3,994 19,271 106,525 21,186 25,758 188 6,058 647 24,832 22,248 2,770 58 104 10,843 36,633 94 15,284 3,931 42,014 122 38,463 2,395 15 12,786 3 14,440 20,554 1,866 211 787 11,637 32,565 86,872 65,356 11,330 287 309 768,555

%market share

0.06 0.25 0.05 6.39 0.05 5.23 0.54 0.11 3.74 0.52 2.51 13.86 2.76 3.35 0.02 0.79 0.08 3.23 2.89 0.36 0.01 0.01 1.41 4.77 0.01 1.99 0.51 5.47 0.02 5.00 0.31 0.00 1.66 0.00 1.88 2.67 0.24 0.03 0.10 1.51

4.24 11.30 8.50 1.47 0.04 0.04

2012

%market share % Change

422 2,946 368 44,953 421 39,909 6,192 999 24,910 0 16,734 103,469 18,160 23,032 247 4,825 810 22,331 18,443 3,243 43 125 11,056 32,297 462 13,887 2,538 36,437 175 35,536 2,427 122 13,662 137 13,086 17,917 1,866 302 1,003 8,744 31,951 74,323 63,173 11,502 338 355 705,878

0.06 0.42 0.05 6.37 0.06 5.65 0.88 0.14 3.53 0.00 2.37 14.66 2.57 3.26 0.03 0.68 0.11 3.16 2.61 0.46 0.01 0.02 1.57 4.58 0.07 1.97 0.36 5.16 0.02 5.03 0.34 0.02 1.94 0.02 1.85 2.54 0.26 0.04 0.14 1.24

4.53 10.53 8.95 1.63 0.05 0.05

13.51 -34.45 -2.99 9.19 -9.98 0.70 -33.40 -13.71 15.27 0.00 15.16 2.95 16.66 11.84 -23.89 25.55 -20.12 11.20 20.63 -14.59 34.88 -16.80 -1.93 13.43 -79.65 10.06 54.89 15.31 -30.29 8.24 -1.32 -87.70 -6.41 -97.81 10.35 14.72 0.00 -30.13 -21.54 33.09 1.92 16.88 3.46 -1.50 -15.09 -12.96 8.88

CarDealerMag.co.uk | 101


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Feature.

£50 eBay dismay for car CONTEST

Baggott and Brewer

Both James and Mike resort to an online auction for their cars... with mixed results

james’S story

R

ight eBay user ‘poppy. clouter’, it’s time for a good old bit of naming and shaming you time wasting, oxygen stealing, good for nothing keyboard jockey. People like you should be plucked from your mother’s back bedroom (where I can only assume you reside) and taken outside (for quite possibly the first time) and shown what happens when you bid on something and then decide you don’t actually want to buy it. Punishment may include keyboards and mice, and areas where the sun doesn’t shine. And then we’ll get the rest of your street – who probably hate you anyway – to bid on how many times we dunk your head in the nearest public toilet facility, possibly the local curry house as their public conveniences haven’t seen a Toilet Duck for, probably, decades. Can you tell I’m a little bit miffed? Ok, I say a bit, but what I really mean is monumentally pissed off. Let me explain. Last month I told you that I was going to get rid of the doom blue motor on eBay and cut my losses. I’d tired very hard to get the car through an MOT, but £140 down on parts and staring another £150 in the face to get it through the emissions forced my hand to sell it on. I wrote a suitably honest advert on eBay. Describing the paint as ‘deep sea blue’, and adding they were becoming a ‘rare sight on our roads’, I hinted at its

current tally

£1,325

classic potential, not that most had a habit of dissolving. After a week it had clocked up 74 watchers and two bidders fought it out to the end – the ‘winner’ being the loser that turned out to be poppy. clouter, bidding £311. We exchanged telephone numbers and then the messing about begun. First he asked me to ‘drop it off’ 150 miles away in Kent. I politely told him that wouldn’t be happening. Then he decided he was going to drive the not taxed or MOT’d motor back home. He arranged to come down and get it on three separate occasions, all of which he failed to show up. Not inconvenient in the slightest. The pillock. Three days of refusing to answer my calls or texts later I got the message that said he couldn’t now buy the car. No explanation as to why. Hopefully he’d caught a killer sexually transmitted disease. Anyway, I relisted it within minutes of getting the text. Another week of fielding stupid questions later and it had sold. This time for £249. At the time of writing I’m awaiting this buyer to show up and take the shed...classic...away. Fingers crossed.

MIKE’S story

O

h how I laughed. I chuckled for at least two hours when I heard of Baggott’s troubles flogging that rusty old Metro box. I laughed so much Mrs Brewer thought I’d split my sides. Right... The peppermint Corsa. Given that this was a cheapie, I decided to try my luck on a famous online auction site. Unfortunately my amazing literary sales skills left me short this time. I think the ‘different’ mint green colour put a lot of people off. I tried to sell this for £1,500 ONO but got absolutely no interest – that’s a real shame as the car drove well and was worth the money. In the end even Mr Wheeler Dealer had to cut his losses. I put it to auction with a starting price of £1,000… And that’s exactly what it sold for. Despite it having 20 watchers, there was only one bid. Naturally I ignored the chancers trying it on with a ‘would you accept £500 for a cash sale?’ Of course, sunshine – if I could buy these for £500 I’d have a park full of ‘em ! Strangely and frustratingly, the buyer paid by Paypal before even seeing the car. On the one hand that’s great as I had their cash, but on the other hand it meant I got hit with a three per cent transaction surcharge, increasing my loss even further! The couple that bought it came over from London. Nice they were; the pathetic fool was buying it for his girlfriend who had just passed her

current tally

£1,200

theory and wanted a small first car. They came and I put on the charm, they loved it and didn’t mind the colour at all. He even remarked that he would have to pay another £300 for a red or blue one. Cheeky sod. All was going well until the test drive. Our chum pulled out in front of a rapidly approaching car and I assumed he was going to floor it – which he did… up to 20mph. I spend the next 15 minutes pulling out on random people, forcing them to brake heavily before then topping out at 20mph, the clown. They loved the car. We shook hands, I signed a quick autograph and they headed back to Greenwich, happy with their buy. I’m glad to see the back of that car. In all honesty I was stitched up on this car. I bought it quickly without really thinking about it, and I was always on the back foot. You’ll remember the dealer I bought the Corsa from said he’d cough up £350 for the repairs I did on it. True to his word the dealer is very kindly helping me out. I’m coming after you Baggott. A Metro? Hahaha... [CD]

CarDealerMag.co.uk | 103


TAKING STOCK. This month Motors.co.uk and BCA return to give their views on what dealers should be paying attention to in the months ahead

‘Which is best? ‘Concentrate on Apple or the budget end Android?’ of the market’ Dermot Kelleher, Motors.co.uk’s head of business intelligence, explains

W

ith Google estimating that 35 per cent of all automotive web searches now come from mobile devices, having the right mobile strategy is vital for dealers. With regards to applications, it could be said that the rise in the use of mobile devices to view websites on the move is causing a ‘class’ divide within the used-car sector. After analysing usage of both Motors.co.uk Apple and Android mobile applications, it has become clear that there is something of a difference in the price of vehicles being searched for, on each platform. In fact, the Motors.co.uk data has identified that users of Apple devices are mainly interested in searching for high-end vehicles priced over £15,000, whereas vehicles being searched for by Android users tend to be at the lower end of the market, sometimes for sale at £3,000 or less. Although this research is not really a complete indicator of an economic divide amongst technology users, the results do make interesting reading and could have a real impact upon dealers and how they approach the

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marketing of their stock. So what does this actually mean for dealers? This research has identified that individual businesses need to be more targeted when developing mobile applications for marketing their stock and should not naturally follow the current sales trend for Android platforms. Although Android-based applications dominate the mobile marketplace, there are a great number of people utilising Apple products who need to be catered for. Dealers need to consider what mobile platform best suits their needs for targeting the right customer for the stock portfolio before they develop anything. According to the Motors. co.uk data, those dealers with higher value vehicles need to be considering Apple-based applications, while businesses with lower value cars are best placed to consider Android systems.

says Simon Henstock, BCA’s UK network operations director

O

ur latest Pulse report shows that the headline average monthly used car value declined by seven per cent in April compared to March (see p109 for more details). But, despite this, dealers are still demanding certain types of cars and there is a shortage of stock. Post-Easter, buyer demand has weakened and stock availability has improved with the inevitable result that there has been some pressure on values and conversion rates. However, there is still plenty of interest in well-presented retail quality vehicles and here values continue to outperform price guide expectations. The stronger demand at the budget end of the market continues, meanwhile, and values for dealer part-exchange vehicles continue to rise. Demand continues unabated at the budget end of the marketplace and average part-exchange values remained above £3,500 for the fifth month in a row.

Values improved by £30 (0.8 per cent) to £3,595 in April although CAP performance fell to 93.4 per cent from just under 95 per cent in March. However, year-on-year values were ahead by £783 – a significant 27.8 per cent up on April 2012 and the highest year-on-year uplift recorded in the dealer partexchange sector. The wider economic conditions are undoubtedly fuelling the rising prices at the cheaper end of the market. Many motorists will be on tight budgets and looking for reliable, yet cost-effective transport when they change their cars – ironically this demand is actually helping to push the prices of these cars up. The trends for average mileage and age to rise as businesses and motorists keep vehicles for longer continues to reverse. The average used car at BCA in April 2013 had covered 57,243 miles, up marginally compared to last month, but some 3,000 miles down on April 2012. The average car was also a month younger, year-on-year. Similar declines in age and mileage were also seen in the fleet/lease and dealer partexchange sectors.


Buyers’ guide

BMW X5

(E53) ’01-’06

..in association with Warrantywise

In the first of a new series, Warrantywise helps you choose the best stock for your forecourt. This month the BMW X5 is the model in the spotlight What is it? BMW’s first-ever SUV, the X5, appeared in 2001 and the car used ideas BMW had learnt from its acquisition of Rover. In many respects, the design of the X5 was influenced by the Range Rover; for example, the X5 got the two-piece tailgate straight from the Range Rover. Many parts and electronics were also taken directly from the E39 5 Series parts bin. In 2004 the X5 received its only face-lift, with new headlights, new exterior colours, a new four-wheel drive system and upgraded engines.

WHAT CAN GO WRONG? The X5 is a heavy car and it eats front suspension bushes. This fault will manifest itself as wandering handling and knocking and juddering noises under braking. Don’t assume that a brake judder is disks – lower arms are £300 a side. Gearboxes are sealedfor-life GM units, however general advice is to replace the fluid at around 100k miles. These boxes are not the most refined and even low mileage examples will thump down occasionally. Panoramic sunroof (where fitted) can stick open due to cables snapping. For this a full cartridge replacement is needed at over £1,500, however some specialists are now

UNDER THE BONNET

There’s only one real choice the 3.0-litre diesel, and they command a premium. Avoid 3.0-litre and 4.4-litre petrols as they will be slow sellers.

offering to replace components for a slightly more reasonable £500. The seat bolster on even the most cherished example will show signs of wear, and it’s rare to find one without some wear. Look carefully at the tyres – they’re over £250 a corner – while the rear lights are computer controlled. If a rear lamp isn’t working and it’s not a blown bulb, you could be looking at over £400 for a replacement unit.

Warrantywise’s top X5 facts 33 per cent of all BMW X5s since the beginning of 2012 have warranty repairs logged. X5 has fewer claims than its nearest rivals: Land Rover Discovery 40 per cent Porsche Cayenne 39 per cent Range Rover 37 per cent

WHAT’S THE PERFECT X5?

Popular repair issues: n Suspension n Parking sensors n Air conditioning

A car without a leather interior, sat-nav and Bluetooth won’t sell. Choose 19-inch alloys if you can while post2004 models are sought after by customers due to their tweaked looks and improved engines. Stock gunmetal grey and black with grey or tan leather interiors. The 3.0-litre diesel variant (badged 3.0d) commands the best price – the 3.0-litre petrol does not. Sport is the most popular spec; running boards are a desirable option.

Top repairs: n Multimedia monitor £1050 n Air con £770 n Injector £260 n Repair kit (motor) £320 n Front suspension arm £210 n Rear suspension arm £245

THE PERFECT SHADE

Like many premium cars, the X5 is very colour sensitive. Darker colours like gunmetal grey and black really suit the X5; silver dates badly.

KNOWN PROBLEMS

The X5 is a heavy car and all cars are very liable to chewing through suspension bushes. Wandering handling and knocking noises are symptoms.

THE RIGHT BUY

Post-2004 3.0d Sport Auto with 19-inch factory alloys, side running boards and sat-nav. In grey or black with a dark grey or tan leather interior. CarDealerMag.co.uk | 105


data file.

APRILSEARCHES

Percentage of total number of searches on TheVanWebsite.co.uk for the month Mercedes-Benz Sprinter

4.55%

CV market gets welcome boost as sales jump SMMT figures show CV sales rise almost 50 per cent in April

Ford Transit

5.45% Volkswagen Caddy

2.52%

Mercedes-Benz Vito

3.97% Volkswagen Transporter

4.07%

Citroen Berlingo

2.66% Vauxhall Vivaro

3.31% Ford Transit Connect

3.19% Mitsubishi L200

3.78% Fiat Ducato

2.87%

���| CarDealerMag.co.uk

S

ales of new vans jumped by almost 50 per cent in April, giving the CV sector a boost despite a drop in new truck registrations. According to SMMT data, sales for vans in April rose by 43 per cent compared to the same period last year, with 20,751 new registrations. That means 89,633 vans have been sold so far this year, a 17.6 per cent improvement on this stage last year. Nigel Base, commercial vehicle manager of the SMMT, said: ‘A lift in van demand is contributing to growth across the overall market, but truck registrations continue to decline.’ April’s strong van sales dragged the whole CV market up by 30.9 per cent compared to April 2012, despite truck registrations dropping by 12.1 per cent.

Base explained: ‘This could be symptomatic of operators holding-off on buying vehicles in anticipation of new Euro 6 legislation coming into play later this year as well as wider economic challenges impacting the road transport sector.’ The biggest market for vans remains the 2.5 to 3.5 tonne sector, with 12,056 sold. But the biggest growth occurred in the 2.0 to 2.5 tonne sector, with a 97.3 per cent increase over April last year. The under two-tonne sector only saw growth of 6.7 per cent. ‘It’s a mixed picture across the different vehicle types,’ added Base.

Businesses urged to consider van hire EUROPCAR is urging businesses to consider van hire after data from the Freight Transport Association showed that half of all vans on the roads over three years old are failing their first MOT. The FTA study found almost 50 per cent of three-year-old vans are unroadworthy, as van operators hold on to vans for longer during the economic squeeze.

‘This is a false economy for businesses at a time when costs are all important – as eventually the vans will either break down or fail their MOT,’ says Europcar UK group managing director Ken McCall. Europcar claim van hire is a cost-effective, flexible and most importantly, safe alternative to running a fleet of older vans.


..in association with

DEALFINDER.

Latest finance deals on COMMERCIALS

TDCi engine, then we have a deal here that puts it at £13,990 before VAT and road tax. This model comes with special wheel trims and leather upholstery, along with a CD player and a ‘Sport Pack’. More importantly perhaps, the combined fuel consumption is rated at 42.2mpg, and it has a maximum rear payload of 883kg. Type bit.ly/TransitDealJune into a web browser for details.

MERCEDES-BENZ SPRINTER THE Three-Pointed Star has an enviable reputation in the LCV sector, especially with the Sprinter. Famed for reliability as well as holding value well, the Sprinter adds a little bit of class to any business. The 3.5-tonne high roof van we found has a 2.2 diesel rated at 129bhp, and is yours for a £1,848 deposit and 48 monthly payments of £308, not including VAT and subject to a mileage limit of 10,000 miles

per year. With a maximum loading weight of 1250kgs, this van is great for businesses with large or bulky items to transport around – especially with fuel consumption rated at 33.6mpg on the combined cycle. Luxury isn’t abandoned however, with a leather steering wheel, a 10 speaker sound system and natty touches like the dashboardmounted sunglasses holder. Type bit.ly/ SprinterDealerJune into a web browser for more details

FORD RANGER THE pick-up market grew by more than 70 per cent over last April this month, and with their blend of practicality and – whisper it – downright desirability, it’s easy to see why. A good double cab, such as the Ford Ranger, can have a tonne of rubble sat on the rear deck, but can still be used on the school run if needed. The Ford Ranger is one such pick-up, with rugged but attractive looks and a four-wheel drive

COOL CONVERSIONS

Gearing up for change

FORD TRANSIT THE Ford Transit has been the backbone of British businesses for nearly 50 years, and the latest model continues the success for Ford thanks to its blend of reliability and practicality. There are a myriad of combinations to specify your Transit in too – too many to count! But if buyers are in the market for a Ford Transit Custom, low roof van with the 98bhp 2.2

Lawton

section that can keep you moving on even the slipperiest surfaces. The 2.2TDCi Ranger comes with 374Nm of torque – so a trip to Tesco won’t be a problem. One deal on the Ford Ranger Double Cab XLT 2.2 TDCi 150 4WD puts the brand new pick-up at £264 (before VAT) a month for four years, after a £1,586 deposit – with a final payment of £7,177. Type bit.ly/RangerJuneDeal into a web browser for more details.

L

egislation that is four years old does not seem like anything to worry about — if it hasn’t already had an impact why worry? But April 29 this year saw an important landmark in the enforcement of Whole Vehicle Type Approval (WVTA or ECWVTA) legislation. Under ECWVTA all new N1 type vehicles (commercial vehicles up to 3.5 tonnes) come under these regulations. A product of membership of the EU, the legislation aims to ensure all goods and passenger vehicles are safer and greener without inspecting and testing every one across Europe. Manufacturers and companies involved in the production process will be issued with a certificate of conformity which confirms EC type approval. The fly in the ointment for the commercial vehicle industry is the key definitions of the legislation which call for complete vehicles, incomplete vehicles, and completed vehicles each to be approved — relatively straightforward if you’re manufacturing Nissan Jukes in their thousands but more complicated for chassis cabs and minibuses et al. This may mean that approval for vehicles built in several stages or which are bespoke could take longer and be more costly. These additional costs are likely to mean higher prices on some light commercial vehicles. However, the government has said that ECWVTA will not apply to commercial vehicles which are produced in the UK for the UK. Instead a UK-only scheme, NSSTA (national small series type approval) is cheaper, although it limits the number of vehicles which can be sold each year — for vehicle type N1 this is a maximum of 500 units per year. The message to the industry is to ensure that the whole supply chain is geared up for the change, while customers should be forewarned about potentially longer lead times and higher costs.

‘Fly in the ointment is the key definitions under the legislation.’

Who is Richard Lawton?

Richard is marketing manager for Really Good Domains and on the team at TheVanWebsite. co.uk and ContractHireAndLeasing.com. Contact: richardl@reallygooddomains.com

CarDealerMag.co.uk | 107


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auctions.

Part-ex selling prices drop ‘across the board’ bit.ly/partexsdrop

BCA report: Average values fall in April A

seen in December last year – now £3,595, and still significantly higher than April 2012’s figure of £2,812. ‘Post-Easter, buyer demand has weakened and stock availability has improved with the inevitable result that there has been some pressure on values and conversion rates,’ said BCA’s UK operations director, Simon Henstock. ‘That said, we are still seeing plenty of interest in well-presented retail quality vehicles and here values continue to outperform price guide expectations. The stronger demand at the budget end of the market continues and values for dealer part-exchange vehicles continue to rise.’

Manheim appoints new group director MANHEIM has appointed former ALD Automotive boss Nigel Fletcher as its group development director. The former deputy MD and operations director will take responsibility for strategic business planning, product and services strategy, digital development and new business acquisitions. Fletcher joins Manheim after 14

auction stations

Taking the broad view

S

Auction firm sees prices drop seven per cent compared to March verage values of vehicles sold across BCA’s auction rooms fell slightly in April, according to the group’s Pulse Report. Values last month averaged £6,502 – a drop of £498, or around seven per cent compared to March this year. The drop, says BCA, can be attributed to both a change in model mix and a rise of volumes within the marketplace – with buyer demand dropping slightly. Year-on-year values remained strong, however – up 16 per cent on the same period in 2012, demonstrating that a shortage of supply is still an issue. Nearly new vehicles saw the most significant change on last month, with average values dropping from £21,075 in March to £19,663 in April. Similarly though, values remained strong against last year’s figure – up from £17,917. Part exchange values, on the other hand, have stayed strong since the initial jump

Henstock

years with ALD Automotive. Manheim’s UK and Europe chief executive, John Bailey, said: ‘We’re very pleased to have Nigel on board as part of our senior management team. With 35 years’ experience in the automotive industry and his particular insight into the requirements of our customers, he will play a pivotal role in enhancing Manheim’s proposition.’

ometimes we can be so busy with the day job that we don’t look at the broader picture. If we did we would discover that the used car marketplace is changing. Not only is the market short of stock but it is one in which motorists are being squeezed and every sale is a hard-fought victory. Increased online and social network accessibility affects the way consumers research and purchase vehicles. The Broad View, a BCA report by Professor Peter Cooke, outlines strategies used car dealers might employ when the UK recovers from the downturn. It examines the UK and European outlook, new car sales, used supply and the retail car buyer’s perspective, while teasing out implications and actions for dealers. The report highlights the importance of the wider economy on supply and demand in the car markets — the lower volume of new car sales will continue to define the used car sector. Prof Cooke says: ‘It is likely new car sales will have been depressed for seven years before there is any sort of meaningful upturn.’ The Broad View highlights strategic issues used car retailers should consider — not only balancing supply issues with constantly changing levels of demand but ensuring their business is well placed to flourish when economic recovery begins. A critical factor for dealers is ensuring adequate used vehicle supply to meet local market needs, while matching the mix of brand, age, condition and price point that buyers find acceptable. It is important to review the developing market in their trading territory regularly.

Who is Simon Henstock?

Simon is UK network operations director for BCA. Visit british-car-auctions.co.uk or call 0845 600 6644.

CarDealerMag.co.uk | 109


TRADER TALK

..in association with AutoTrader

Programme pilot sees car sales rocket Using the right market data in the right way sees three times as many deals sealed

I

n recent months I encouraged you to review the way you run your used car operation. I emphasised the need for you to have a retail focus; to understand the changes in consumer behaviour; to have a strong online and mobile presence; to use market data; to consider the relevant metrics for success; to take care when dealing with part exchange vehicles and to review your sourcing and pricing strategy. The market is constantly evolving and to meet this challenge you need to start thinking of yourselves more as retailers. You need to study local retail demand to understand which cars to buy and need to know the retail price to determine how much to pay for these cars. Using the right market data in the right way will enable you to identify what’s hot and what’s not at any given point in any month. The data include metrics to track consumer supply and demand, measure stock turn and identify the potential gross profit margin. I have been contacted by many dealers asking for evidence to support my recommendations and am more than happy to share this. Reminding you of those facts and stats will demonstrate how you can make significant

‘Software transformed dealers’ thinking about their used car operations’ improvements. More than 100 dealers undertook a pilot scheme to substantiate the benefits of unique software that had transformed the way those dealers were thinking about their used car operations. It did so by taking the uncertainty out of used car retailing. The results were impressive. Sales performance of the pilot dealers was three times that of the market average for dealers with 25-plus used vehicles on the forecourt, at 86 cars sold per dealer compared with just 29 over a similar period. Perhaps more importantly, over-age stock was sold at the rate of 14 cars per pilot dealer, compared with the market average of nine. Pilot dealers also conducted pre-purchase appraisals on more than 200 cars each and 84 per cent were rejected because there was

no demand locally. If a car is not desirable it will not sell. Interestingly, nearly 1,000 of these undesirable cars were still sitting on the forecourts of local competitors and were likely to do so for some time. Of the remainder that were appraised as desirable, more than 40 per cent were sold in an average of 21 days after they were first advertised. During the 21 days they were reappraised on average on two occasions to ensure optimum pricing. The pilot dealers used a software that recommends what stock to buy, where to find it, how much to pay for it and how much to sell it for. It also improves dealers’ stock turn and gross profit potential by offering a dynamic online pricing tool that suggests price movements of dealer stock, aligned to real-time local market demand and required margin levels. It worked for them and it could be working for you.

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

YOU. ARE. NOT. A. RO. BOT

Manage your pricing quickly and easily It’s not always easy to know what to pay or charge for stock. And with so many sources to consult, it can be difficult to stay on top of prices. Our Intelligence Packages are run by clever robots that quickly provide you all the answers you need to know. Including Profit Indicator and Market Tracker, you can check what’s profitable before you buy and stay competitively priced before you sell. So, why not give the Ro. Bots. A. Try. To find out more about our Intelligence Packages, just call us on 08433 088 875 or visit www.dealerportal.co.uk ���| CarDealerMag.co.uk


ON TRACK.

..in association with TRACKER

Kent moves up table of vehicle theft Thieves are casting their net wider in their search for high value targets

O

ur recovery figures show that 2012 was not only a year of celebration and sporting success but also a bumper year for car thieves. In 2012 TRACKER recovered a total of nearly 500 cars worth over £12.5 million. That’s a lot of money that is not in the thieves’ pockets, and goes to show the power that TRACKER has in combating car theft and reuniting owners with their vehicles If we look at our top 10 most-stolen and recovered cars in 2012, BMWs are obviously the marque of choice for the car thieves with the X5 taking the top spot, and the M3, 3 Series, M5 and 6 all included in the top 10. In total TRACKER recovered 177 BMWs worth over £4.7million in 2012 alone. Mercedes-Benz is another must-have for the criminal fraternity; TRACKER recovered over £2 million worth of Mercedes vehicles in 2012, with the £30k SLK coming out as the favourite model for thieves to steal, showing just how popular they are. The hotspots for thieves to draw from are also evolving as they cast their net wider. While Greater London has remained the number-one spot for stolen and recovered vehicles in the past four years, we have seen the West Midlands rise dramatically to be the second most likely place that a vehicle with a Tracker will be stolen in 2012. In addition, Kent has gone from being outside the top 10 in 2009, to being number five in 2012

‘The West Midlands rises dramatically to be the second most likely place for a car to be stolen.’ — showing how thieves are looking to new areas to exploit in their pursuit of high-value targets. These figures demonstrate the dangers facing car owners today and how dealers offering an SVR unit can provide peace of mind when selling a vehicle. Car owners will often have more than one vehicle, or a caravan or motorbike — offering dealers further opportunities for revenue generation. Vehicle theft has become much more sophisticated and in some cases can be particularly distressing for an owner. We recently saw a case where a Jaguar XK was stolen by thieves in Manchester. TRACKER recovered this vehicle but the thieves had held on to the keys and came back a week later to steal the vehicle again.

Yet again, TRACKER recovered the vehicle, this time within an hour using our award-winning Mesh Network system, which utilises other TRACKER units on passing vehicles to listen out for a stolen car. Tracker is the only stolen vehicle recovery system that is used by all the police forces in the UK. Installing a Tracker significantly increases the chances of a vehicle stolen from one of your customers being recovered. Over 90 per cent of cars fitted with a Tracker device are successfully located and returned to their owners, usually within 24 hours.

Who is David Wilson? David is sales and service director for TRACKER. Read his column here every month.

CarDealerMag.co.uk | 111


MOTOR MOUTH.

..in association with Motors.co.uk

Don’t ignore that ringing telephone Research data shows that internet browsing has not made calls irrelevant

D

ealers who ignore the phone are missing out on sales, says Mark Hampson, commercial director at Complete Automotive Solutions (CAS), part of the Manheim Group. The rise of the internet has resulted in a marked change to the process of buying cars, with consumers spending a great deal of time researching online, on local dealer websites and classified sites such as Motors.co.uk, before picking up the phone. However, while some might say that the day of the telephone is almost over, this couldn’t be further from the truth. According to data released by CAS, the majority (58 per cent) of consumers only pick the phone up when they are ready to make a purchase. These calls are not usually time wasters, with 75 per cent of buyers only enquiring about four or fewer vehicles, when sourcing their next car. Therefore, these calls are important, especially as the research reports that more than 60 per cent of unanswered callers never ring dealers back. But picking up the telephone is just part of the customer interaction process. The data from CAS reveal that only 34 per cent of dealer sales executives were able to answer basic enquiries from customers regarding stock availability and vehicle specification. In an age when shoppers increasingly expect excellent service, unanswered calls or poor customer experiences can not only lose dealers

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‘Unanswered calls or poor customer experiences can not only lose dealers a sale but affect their reputation.’ a sale but also affect their reputation within the marketplace. As part of a ‘connected’ society, consumers are becoming increasingly demanding and if they don’t get the desired response straight away, they will look elsewhere. This means that some dealers could be handing sales to their competitors by failing to get right the basics of good salesmanship. Consumers use the internet to build their product knowledge and expect sales representatives to be more informed and know their products inside out. Therefore it is crucial that sales staff have a good knowledge of their stock portfolio and are quick to respond to customer enquiries. Customer service remains hugely important to a dealer’s reputation, which can be wiped out online in an instant by a negative review. CAS has developed a number of new features in its leading customer relationship management

software package to help dealers combat these problems. These solutions include Voicesafe — an advanced call-recording solution that has been tailored to the motor trade; Reception Manager — a digital version of a manual telephone enquiry log, it provides instant staff availability and real-time viewing of sales enquiries and task log; and Ad Optimiser — a transparent management system for dealer market activities, providing information and statistics on marketing spends via tracking responses to individual advertisements. The CAS packages are all designed to minimise missed revenue and ensure enquiries are dealt with quickly and efficiently by the correct member of staff.

Who is Andy Coulthurst? Andy is managing director of Motors.co.uk. Read his thoughts here every month.


MARKET INSIGHT.

..in association with ASE-global.com

Lost profit opportunities are costly when they occur daily Rigorous monitoring can IN DETAIL ensure that what you Average profit (loss) per site want to happen is actually happening every day £500,000

A

s accountants and business advisers to the wonderful world of the motor trade, we work with the broadest spectrum of clients: they are located all over the UK and Europe; they represent a plethora of different brands; and they vary in size from a single-site rural dealer to a 100 site plc motor group. Most importantly perhaps, and certainly to us accountants, is that they all vary dramatically in the levels of success and profitability that they enjoy. Take the 2012 year as an example and the difference between the top and bottom performers in terms of profits and losses is clear. It is surprising that there is a £660,000 difference in profits between the top and bottom performers. Over the years we have repeatedly spent time investigating why this level of variance occurs and it can be attributed to several factors: n The relative success of the brand and its product life cycle is a big influencer. n A well-funded, mature business has the capability of delivering higher profits as interest costs, rent etc are lower. n A business with very strong controls over its day-to-day operations and finances will always generate significantly higher levels of profit. While all three factors drive profitability, it is the third that warrants the greatest focus in the short term, with the brand and funding typically only able to be influenced by a much longer-term strategy, if at all. So what differences in levels of control do we see? How this happens is worth exploring, but firstly let’s define the three types of control that exist within a business. Specific controls — designed to control elements of a process at key points where they

£400,000 £300,000 £200,000 £100,000

Bottom 10%

£0 -£100,000

Top 10%

Average

-£200,000

‘Strong operating controls are absolutely essential for satisfactory profitability.’ might fail. For example: completion of a vehicle health check document for upsell follow-up by the service adviser. Monitoring and pervasive controls — designed to provide reassurance that the specific controls are operating effectively. For example: an exception report, reviewed by the service manager, of all bookings in the day when a health check has not been performed. The majority of businesses, including those that lose money, will have specific controls. The top 10 per cent of businesses will also have rigorous daily monitoring controls in place to ensure that what they want to happen is actually happening on a day-to-day basis. This is backed up time and time again by our work at failing

dealers which reveals management explaining one process to us, whilst ‘at the coal face’ a different or sporadic process is in operation. As a manager or owner of a complex motor business can you say for sure that the processes you designed are operating effectively every day without exception? Is this based on wishful thinking or hard facts and evidence? Interestingly, we find little correlation between the size of the business and the overall quality of the financial and operating controls. Indeed, larger businesses can be more difficult to control due to their complexity and the fact that the business owner is more remote from the day-to-day activity. Increasingly, we are seeing these larger businesses recognise that there is a need for additional monitoring of the control environment — both to reduce the business risk as well as enhancing profit and returns. In conclusion, the narrow margins and high transaction values in the motor trade mean that strong operating controls are absolutely essential to achieving satisfactory profitability. While an operator can guarantee that their systems are well designed in theory, can they say with certainty that they are operating well in practice? All too often the answer is ‘yes’ to the theory and ‘no’ to the reality with the result that thousands of pounds of profit opportunity are slipping through the fingers of motor retailers on a daily basis.

Who is Steve Freeman? He’s managing partner of ASE Professional Services. If you want to talk to him about his column call 01908 847 025 CarDealerMag.co.uk | 113


data file.

James Litton TRADER TALES

Showrooming’s not new

S

howrooming. Not some dodgy practice employed in your local secluded layby, but the practice of customers physically shopping for a product, testing the features and examining the quality, only to find the best deal online. Whilst I know of the practice, the fact that I read about the concept on the BBC website scares me. Citing recent research from the research agency Foolproof, it claims 24 per cent of ALL customers showroomed in the run-up to Christmas 2012, with a staggering 40 per cent of these customers (roughly one in 10 of all UK shoppers) buying cheaper online. Another interesting point was the disparity between age groups. Thirty-nine per cent of all 18-39 year olds said that they actively engaged in showrooming, compared to a figure of just 18 per cent for over 40 year olds. Used car sales departments have seen active showrooming for over 10 years, so the phenomenon is nothing new to us. I would guess something like 35 per cent of our used car customers are out of territory, and am not naïve to our ‘leakage’ figure being something similar. Using our enquiry analysis stats, more than 70 per cent of all of our customers found their car online. The more concerning aspect is that of new cars. The BBC article claims that one Australian retailer has taken to charging a browsing fee. Is that realistic for us? I have written recently about the need to make the motor retail experience more valuable. At our latest Mercedes-Benz conference, the message was about the need to add ‘input’ to the sales process, using desire to overcome pricing obstacles. But will the next generation of customers look for ‘input’ in a traditional sense? These grunting, multi-screening technophiles feel more at home using web based reviews and images, than their parents ever did…

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.

���| CarDealerMag.co.uk

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Trader directory

W: hpi.co.uk T: 0845 301 1843 E: thehpiteam@hpi.co.uk Info: Get the exact options that were factory fitted to an individual vehicle to help you identify and retail the best stock.

W: keytracker.com T: 0121 559 9000 E: sales@keytracker.com Info: No more lost keys. Best prices complete systems from just 10p per key! Seals, pegs & hangers from stock.

Alfa Romeo

Fiat

Sturgess Alfa Romeo

Sturgess Fiat

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

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


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

W: ivendi.com T: 0845 226 0503 E: info@ivendi.com Info: Award winning motor finance calculators and highly qualified lead generation. See why over 600 dealers now work with us.

Recruitment Motor Industry Recruitment

W: mirec.co.uk T: 0845 257 9224 E: info@mirec.co.uk Info: An award-winning, specialist Motor Recruitment Consultancy who will not headhunt from you or resolicit candidates they place with you.

To have your details included here call (023) 9252 2434 and ask for Suppliers Guide listings Prices for 12-month listings: £29 per month. Single months are £49 per month Prices exclude VAT. Adverts are invoiced after they have been included in the magazine. 12-month bookings are payable up-front.

mini test: AUDI a3

WMS

Car dealer says HHHHH AUDI has endured a few jibes because the new Audi A3 looks rather similar to its predecessor. But go beyond the outward appearance and there is no shortage of progress under the surface. Confidence is high at Audi at the monent and this latest A3 will only serve to drive the marque forwards both

Warranties

in the UK and elsewhere. Overall, the new A3 is an impressive package. Price: £29,225, tested in Issue 55

W: wmsgroupuk.com T: 0844 477 4909 E: sales@wmsgroupuk.com Info: Experience, expertise, leadership and innovation. The nation’s favourite. The dealer’s preferred partner.

Online trading

Remarketing

Autotrade-mail.com

Carcom

Paint protection

Remarketing

Vehicle checking

Warranties

These Listings Work

Supagard

AutoProtect (MBI) Limited

More Sales For You

W: Autotrade-mail.com T: 01243 523000 E: sales@autotrade-mail.com Info: UK’s leading online real time used-car trading network. The original and the best. Call for your free two-week trial.

W: carcom.co.uk T: 0800 019 1299 E: enquiries@carcom.co.uk Info: Carcom is the UK’s new dealer-dedicated online vehicle remarketing service which links buyers and sellers of used vehicles across the UK.

W: supagard.co.uk T: 0141 633 5933 E: info@supagard.co.uk Info: Still the UK’s number one after 24 years and the preferred choice of the AM Top 100 and major vehicle manufacturers.

GlobalOASys

W: globaloasys.com T: 0203 322 2090 E: sales@globaloasys.com Info: The best and most automated stock sourcing solution that dealers can get - with hundreds of vehicles available right now.

HPI Check

Paint protection

Valeting services

Video

GEN-3 Glasscoat

National Car Cleaning Company AutosOnShow.TV

W: www.g-3glasscoat.com T: 01753 215 311 E: enquiries@g-3glasscoat.com Info: Existing paint protection products cannot compete with G-3 Glasscoat. It gives your car a ceramic-hardened glass finish.

Hyundai Sturgess Hyundai

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

W: nationalcarclean.co.uk T: 01268 565050 E: sales@nationalcarclean.co.uk Info: With 30 years of excellence in vehicle valeting, we have an unparalleled reputation for quality on-site vehicle preparation.

W: hpi.co.uk T: 0845 301 1812 E: thehpiteam@hpi.co.uk Info: We are the UK’s leading provenance check provider with 75 years experience. Get peace of mind with HPI Check.

W: www.autosonshow.tv T: 0800 644 6894 E: info@autosonshow.tv Info: Sell more cars with our multi-award-winning video solution. On-demand video, plus live video streaming of your stock.

Web design GForces

W: gforces.co.uk T: 0845 658 9290 E: info@gforces.co.uk Info: Multi award winning car dealer website design and digital marketing. Find out why we keep winning awards.

W: autoprotect.net T: 0871 384 1167 E: sales@autoprotect.net Info: Providers of warranty, GAP and other sources of additional dealer income. Backed by dedicated support teams and IT systems.

Warranties Car Care Plan

W: Your website address T: 023 9252 2434 (that’s us!) E: adverts@cardealermag.co.uk Info: The Suppliers Guide helps dealers find the companies they need to help them improve their business. Make sure you’re here.

Wholesales Carfleet Wholesale Ltd

W: carcareplan.co.uk T: 0844 573 7591 E: salesinfo@carcareplan.co.uk Info: Choose the market leading supplier of vehicle warranty and GAP insurance – 1m customers every year can’t be wrong!

W: carfleetwholesale.co.uk T: 0151 356 1200 E: sales@carfleetwholesale.co.uk Info: We are the number one supplier to the trade, providing the cheapest nearly new vehicles in the country.

Jaguar

Land Rover

Nissan

Volvo

Sturgess Jaguar

Sturgess Land Rover

Nissan

Sturgess Volvo

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

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

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

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

CarDealerMag.co.uk | 115


the fleet.

WELCOME TO THE FLEET... Fourth report:

Fourth report:

This month the 208’s keys are handed to Nicholas Prangnell

Leon Poultney takes the mighty B-Max to the beach for a date

Peugeot208 G

ood looks? Check. Fuel efficient? Check. Well, that’s pretty much all it takes to make a good small car, isn’t it? Well, yes and no. Helping out Car Dealer magazine for a few weeks meant some tedious train journeys, so I was happy to be handed the keys to one of the longterm fleet. I was even happier when I realised it would be the Peugeot 208 – a car I have been dying to drive since its release last year. The Peugeot 208 is good looking and effortlessly youthful – with a funky image too. Not many small hatchbacks look good in five-door form either – and I carried on being impressed as I blipped the key fob and the motorised wing mirrors electronically folded out. Very smart, I thought. However after driving it around a bit, I have mixed feelings. On the plus side, the engine is so smooth on the motorway that I didn’t realise it was a three-cylinder until

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someone told me. And it sounds sporty too, once you’ve turned down the powerful sound-system via the good looking touchscreen controls. But then again, the combination of a jumpy clutch and an unpredictable throttle response means driving away from junctions makes me feel like I am 17 years old again, as I lurch away like a learner driver. The gearbox feels about 17 years old too, and I can’t figure out a way to have a comfortable driving position and see the dials at the same time. These niggles aside, once you have the little Peugeot up and running, it is a very nice car to spend time in. Almost perfect for a young chap just out of university then – and certainly better than sitting on a train for hours on end…

the knowledge Model: Peugeot 208 Active Vti 1.2 Price: £14,550 (as tested) Engine: 1.2-litre, petrol Power: 82bhp, 118Nm Max speed: 109mph 0-60mph: 13.8s MPG: 65.7 (combined)

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FordB-MAX urfing in the UK is torture. The sea is bitterly cold. But more importantly, the surf is so poor and infrequent, one needs to drop everything, pack up the car and drive to the appropriate beach (there aren’t many) as soon as there is a whiff of swell. I will admit to being one of the aforementioned victims who enjoys riding pathetic waves on a glorified ironing board and so require a vehicle that can be loaded up in an instant and driven to the most south westerly points of England at the drop of a hat. I can happily report that the B-Max ticks all of the above boxes. Not only is that little EcoBoost engine adept at motorway cruising speeds it is also remarkably comfortable and refined. Secondly, it can swallow all of the kit a surfer could possibly need. The sliding doors mean a 6’2” long surfboard can slip into the passenger’s side and more

importantly, the front seats folds forward and flat, meaning the cumbersome surfing implement is hardly noticeable from the driver’s seat. Granted, passenger space is limited when boards are loaded but the fairly sizeable boot takes care of towels, lunch and a tent. There is also a handy stowage compartment that has ‘sopping wetsuit’ written all over it. And Ford, if you’re reading, I did line it with a bin bag first! Above all else, I was impressed with how easy the B-Max is to maintain. The seats wipe down with a damp cloth! So in conclusion, forget a VW Camper Van, the coolest thing you can park at Fistral Beach this summer is a Ford B-Max.

the knowledge Emissions: 104g/km Mileage this month: 398 Costs this month: £0 This month’s highlight The Peugeot 208 is better than spending four hours on a train. That is a compliment...

Model: Ford B-Max Titanium Price: £18,720 (as tested) Engine: 1.0-litre EcoBoost, three cylinder Power: 117bhp, 200Nm Max speed: 117mph 0-60mph: 11.2s

Emissions: 139g/km Mileage this month: 563 Costs this month: £0 This month’s highlight The seats can be wiped down with a damp cloth. We don’t like dirty cars, let alone seats.


longtermers Arriving next month

Final report:

MitsubishiOutlander

Renault Twizy

Dave Brown waves a very sad goodbye to a Car Dealer favourite – our long-term Outlander

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ou’re joking! It was the only response I could think of after my wife had explained our itinerary for a particularly busy Thursday last month. She had just informed me we’d be driving from the sunny South Coast to pick up my uni student daughter in Bristol, before collecting my inlaws in Newport, trekking to Cardiff, making another couple of stops on the way ... not an enticing prospect. The occasion? The 70th birthday of a distant aunt whom neither of us had seen for at least 10 years. Not to mention the prospect of making small talk with assorted cousins, in-laws, hangers-on and other random relatives of whom I had only the sketchiest recollections from family ‘dos’ back in the day. ‘Can’t I feign illness?’ I whined. ‘Nope,’ she replied. ‘You’re coming with me and what’s more, you’ll enjoy it.’ So it was that my good lady wife and I boarded Car Dealer’s longtermer, the impressive Mitsubishi Outlander, on this particular Thursday and headed west.

My wife (readers, meet Rachel; Rachel, meet the readers) hadn’t spent much time in the Outlander up until this point and although she thinks our mighty Mazda 6 is more than adequate for our requirements (which it is by the way), the all-new Outlander has definitely impressed

her. I like it too. Very much. In fact writing these reports about the car is always tricky because I tend to be so fulsome in my praise of the capable, comfortable seven-seater, I have to remind myself that I’m not penning the press pack for the vehicle! In some ways, and I know I’m

the knowledge Model: Mitsubishi Outlander GX4 Price: £29,999 (as tested) Engine: 2.2-litre, turbo diesel Power: 147bhp, 380Nm Max speed: 118mph MPG: (comb’d): 48.7 0-60mph: 11.5

Emissions: 153g/km Mileage this month: 437 Costs this month: £0 This month’s highlight The Outlander got the thumbs up from Dave Brown’s wife’s family. Confused?

not alone in this, I did prefer its predecessor, with its distinctive jet fighter-style grille (still a feature of the smaller ASX) – but you can’t argue with the fact that the design tweaks Mitsubishi have made mean new Outlander represents a big step forward for the car. Once we’d arrived in South Wales, the car won many admiring glances from my wife’s clan, who are actually a lovely bunch and totally undeserving of the moaning and groaning you read 200 words ago. I even forgave Rachel’s cousin ‘little David’ – now a strapping six-footer with a kid and another on the way – when he said, ‘so you work for a car magazine now? Do they know about that brown Vauxhall Nova saloon you bought back in the 80s?’ Cheeky bugger - but he did have a point. I have owned some minging motors over the years. One thing’s for sure, this stunning Outlander certainly does not fall into that category. The only pity really is that the trip to Wales was my last long-distance drive in it before it returned to Mitsubishi. It’ll be missed. [CD]

CarDealerMag.co.uk | 117


workshops.

Classics exempt as MOT laws change Relaxation of MOT laws for classic cars in Northern Ireland is met with approval

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ars manufactured before 1960 in Northern Ireland will be exempt from an MOT test from September this year. The law brings Northern Ireland in line with the rest of the UK, which has had such a law in place from November 2012. The decision follows a period of public consultation between November 29, 2011 and February 21, 2012, which showed large scale support for the move. In order for the cars to be exempt, they must not have undergone any substantial changes, and legally they owners must ensure their cars are in a

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roadworthy condition. If owners still wish to have a voluntary MOT test they can, thanks to an agreement with the DVA. Environmental minister Alex Attwood praised the way classic car owners maintained their vehicles. ‘I do not believe there will be any lessening of safety on our roads as a result of this’ he said. ‘Historic car enthusiasts are well-known for keeping their vehicles in pristine and roadworthy condition. There are very few historic cars in Northern Ireland and they are for the most part used infrequently.’

Pre -1960 vehicles account for less than 0.14 per cent of vehicles in Northern Ireland, so of the 898,874 cars and motorbikes registered in Northern Ireland, only 1220 are pre -1960. Classic car owners in Northern Ireland were pleased with the announcement. Speaking to the Belfast Telegraph, Philip McLean from the Mid Ulster Vintage Vehicles Club said: ‘I think it is a good idea as vintage cars never have much mileage in a year. It’s hardly worthwhile putting them through the MOT because they’re so rarely out.’


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

Lincoln car technician wins UK accolade Darren Quibell wins Skoda’s Master Technician of the Year title

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arren Quibell, 28, at Horton Skoda has we deal effectively and efficiently with a wide range beaten off national competition to win of jobs – from servicing and MOT work to more the Skoda UK ‘Master Technician of the complex diagnostic tasks. To be recognised in this Year’ title. way is fantastic.’ The accolade, hotly contested by more than 150 Skoda’s Service Challenge is designed to develop Master Technicians at Skoda retailers up and down the skills of talented technicians; testing their the country, recognises Darren as the very best in advanced vehicle knowledge, and rewarding them the UK. with the highest qualification a vehicle technician Quibell said: I’m incredibly proud to be named can achieve. Master Technician of the Year, especially when the Two tough selection rounds offered Quibell the competition is so strong. We set ourselves very high opportunity to show off his skills. First, an online standards at our Horton Skoda Service Centre and aptitude test put his knowledge of the entire Skoda 

range under scrutiny but his excellent performance won him a place in the final ten. The ten UK finalists then battled it out at the Skoda Service Challenge, an assessment day held at the National Learning Centre. On the day, candidates faced competency-based assessment and mystery shoppers – all captured on film for added pressure. Quibell has since gone on to compete at an international level during a four day event in Prague, where he came eighth out of the 39 top Master Technicians across the manufacturer’s global network.

Only need apply! Marshall Motor Group is part of a unique family owned group of companies with a turnover approaching £1bn (35% growth), with interests also in the aerospace and ground systems sectors. We celebrated our Centenary in 2009 and we are still growing in size. At Marshall, wherever we work, we all play a big part in ensuring that our sales and profit targets are met, not least by providing our customers with a fantastic level of service which means identifying their needs, and responding to them quickly.

marshallweb.co.uk

With our strong customer centric and people focus it is not surprising that we have received some enviable accolades including "Dealer Group of the Year" and being shortlisted for "Employer of the Year" and we are committed to building on our achievements to date. We are looking for talented automotive professionals to join our team. If this is you and you share our passion for being the best then you can look forward to a great benefits package, the chance to build on your skills and experience with ongoing training, plus all the encouragement and support you need to develop a rewarding, long-term career with us. Please go to

www.marshallcareers.co.uk

to find out more about the Group and see our current vacancies.

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data fiLe.

Working together through the bad times makes us stronger

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ur planet is approximately 4,500 million years old and offers evidence that life existed 3,500 million years ago! Some people hold the scientific view that the world and its creatures have evolved, while others believe a creationist theory. One thing is certain, a lot of history has led to the position we are in today. This year has seen significant stories reported in our world news which have caused substantial concerns about the wellbeing and continuity of peace within the different human populations and cultures across the globe. The North and South Korea situation, with numerous potential allies siding with one country or the other; the bombing of the 117th annual Boston marathon in which many innocent people were injured; and the Canadian terror plot arrests following a long period of surveillance which revealed a potential threat. It all seems pretty scary, and I have not mentioned the eurozone, the UK economy or the annual International Monetary Fund’s consultation with the UK government. I would like you to consider if the current news headlines (whatever the year in history) have ever been any different in terms of bringing a feeling of doom, gloom and anxiety amongst most of the people? Looking back at a couple of noticeable encounters; the Battle of Hastings in 1066 and the Battle of Trafalgar in 1805, and a couple of tragic events; the Great Fire of

Jonathan

Such TIME IS MONEY

London in 1666 and the 9/11 atrocity, are evidence that bad things have been happening throughout history on our planet. You may ask where I am going with this; other than a brief history session, and that’s simple — sometimes it takes something bad to happen to bring a group of people closer together. People, teams and communities come together when times are difficult and, no matter how hard a situation may seem, find a way through it together so that when they reach the other side they are in a better position than when the event presented itself. Nobody wishes for a tragic event to take place or for a change of fortunes in their personal or working life but

‘If you are prospering you will have overcome many challenges already.’ we have to accept that unfortunately these things do happen and it’s how we adapt to changing circumstances that determine how well we come through. If you are having a prosperous year so far, I would guess that you have overcome many challenges already and not remained stationary in any negative situations. On the other hand things may seem tough but so long so you know this won’t be the first, or last, challenge to come your way and stay strong things will be okay.

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

Next month: Ewards launch report Driven: New Lexus IS

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