Car Dealer Magazine: Issue 82 by Blackball Media

INSIDE: howdy y’all... news FROM THE LA MOTOR SHOW

Business Publication of the Year

Issue 82 | January 2015 | CarDealerMag.co.uk | £3.50

PLUS: your guide to online and digital services

PLUS: WE TALK TO HYUNDAI BOSS TONY WHITEHORN

mini marvels why city cars are such a vital part of every dealership’s armoury

Elite Cars Audi A3 1.6 Technik SE Hatchback 3d 04/2010

Atlas Cars

£12,270 18 days advertised + £225 over priced

INCREASE Johnsons Motors Audi A3 1.6 Technik

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81 days advertised

+ £1,550 over priced

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IGNITION.

EDITORIAL EDITOR Colin Channon

colin@blackballmedia.co.uk Twitter: @colinchannon

PRODUCTION EDITOR Dave Brown

dave@blackballmedia.co.uk Twitter: @CarDealerDave

head of design Graeme Windell

graeme@blackballmedia.co.uk Twitter: @graemewindell

ADVERTISING ADVERTISING Manager Duncan Chappell

duncan@blackballmedia.co.uk Twitter: @CarDealerDunc

Advertising EXECUTIVE Cliff Culver

cliff@blackballmedia.co.uk Twitter: @CarDealerCliff

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 Tim Naylor, Nick King, Mike Jones, Jonathan Such, Ben Morley, Daljinder Nagra, Chris Lloyd, Becca Chaplin, Nigel Swan, Peter Spinney, Stephen Hall

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of all, can I say a big Welcome. First thank you to everyone for the welcome into your industry. As you know, I’m a newbie to it all. I used to have to work for a living, so it’s quite a change being able to sit around all day drinking coffee, chatting to all and sundry up and down the country, and driving some very nice cars as fast as possible… You’ve all been very patient while I’ve asked some pretty basic questions. One thing I have been struck by is how approachable people in the industry seem to be. I’ve met a few already, and they’re more than happy to chat to an old hack like me. The few hundred dealers and industry bigwigs at the Car Dealer Used Car Awards in London were also very keen to chat, but seeing as most of the ones I met had taken every advantage of the free bar and would talk to the table decorations if they could (and I did see one couple chatting animatedly to the huge decorative elephant hanging from the ceiling in the reception area) that doesn’t really count. I was bowled over by the awards. It was obviously my first experience of them. One thing I didn’t bank on was being asked to be here, there and everywhere all at once, so my dinner got cold. Sticky beef cheek with horse radish mash and a donkey carrot, seeing as you’re asking. (And if, like me, you had no idea what a donkey carrot was, I can now reveal it’s…. a carrot. Just it’s a great big one). That Mike Brewer’s a nice chap. I’ve met lots of people off the telly in my previous life in newspapers, and many of them think they’re so much better than the rest of us. But Brewer’s a normal type of bloke. I interviewed him for our awards coverage (his bit’s on pages 58 and 59) and he said I was the polar opposite of what he expected the new editor to be. He must have been expecting someone young and good-looking, then…

me less, but this job’s great. Already I’ve been off to Munich to drive a new Audi or two, Malaga to whiz about in the new Hyundai i20, and Paris (wish I’d gone to Marseille, it would have been some nice symmetry with everywhere beginning with M) with Citroen. Munich was brilliant. We went on a stretch of autobahn with no speed restriction. Boy, that was fun. The good thing about these press launches (apart, of course, from throwing some very, very nice, shiny cars around the place) is that journalists are treated as if we’re someone special. We get fed and watered every five minutes. When a flight was delayed by 20 minutes – yes, 20 minutes – we were plied with an extra bacon buttie and more tea, served in silver teapots. When I’m jetting off somewhere hot and sunny with the family this summer, and we get another long airport delay (four hours at Gatwick, sitting on the floor, last time we flew) I wonder if I tell them I’m editor of Car Dealer magazine, it’ll get me the same treatment... Oh, and I get to drive a different car almost every day. Yes, this job is HELL… GET IN TOUCH I need your help. Being new to this game, I need to know what you’d like to see in this magazine. What issues should we be investigating? What topics should we cover? Who should we be interviewing? Do you have a good story you’d like to share with 20,000 other car dealers up and down the country? Get in touch with your ideas. Email me at colin@blackballmedia.co.uk or, if you can fit stuff like that into 140 characters, tweet me @colinchannon Hope you enjoy the issue.

SO WHAT DOES AN EDITOR DO? Don’t tell Baggott, because he’ll use it as an excuse to pay

Colin Channon, editor

WINNER

CAR DEALER MAGAZINE Best Business Publication CarDealerMag.co.uk | 03

04 | CarDealerMag.co.uk

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INSIDE. ISSUE 82 I JANUARY 2015

Dashboard

Feedback

Car Dealer Club

LA Motor Show Big Mike

Used Car Awards

Baggott

Oh what a night! Mike Brewer was the host as we handed out gongs to the best performing used car dealers in the UK

Trading Up Real Deals

Forecourt Hyundai i20 Audi Q3

105

48 41 ‘‘

Your guide to online and digital services

We’re better at looking at things from a customer’s point of view these days, says Tony Whitehorn

MG Electric Vehicle Kia Soul Colin Channon puts the new Audi Q3 through its paces

Features

I would say every sales team has at least 50 per cent dead wood. James Litton

Audi A3 Sportback e-tron

124

Used Car Awards Micro Machines

Data File The Statistics Taking Stock Buyers’ Guide Auctions Trader Talk Market Insight Suppliers’ Guide with Litton Long-termers

CarDealer We take a look at some of the vehicles available in the city-car segment – and find out why they’re so crucial for dealersPOWER IN ASSOCIATION WITH

GEN-3 GLASSCOAT

OUR AWARDS...

The Car Dealer Used Car Awards, CarDealer sponsored by Black Horse, EWARDS celebrate the used car industry. 2013 Coverage of this year’s event begins on p56

WINNER

USED CARAWARDS IN ASSOCIATION WITH

CarDealer

46 48 51 52 55

56 98

116 118 119 120 122 123 124 126 127 130

SPONSORED BY

2013 WINNER ea arD le

As voted for by dealers, the Car Dealer Power Awards are unique in the industry. For awards back issues call (023) 9252 2434

2013 WINNER

Time Is Money

WHEELER DEALERS

Workshops

06 10 14 33 35 37 39

APPROVED CLUB

All suppliers to Car Dealer Club are approved by us. Learn more about the exclusive benefits of becoming a member by flicking to p10 for details. CarDealerMag.co.uk | 05

feedback. Your comments via email to colin@blackballmedia.co.uk

Our website at CarDealerMag.co.uk

So now I’m left with an Well, it couldn’t have happened at a worse time, but what follows is totally my fault. Will try to keep it short! Well-spoken man wishes to PX his sports car for an MPV I have had for a month or so, for his growing family. He is keen to do a deal and so am I. He brings the sports car over and it’s better than described, so we do the deal. Now, usually I HPI-check my part-exchanges before a customer arrives, but my laptop wasn’t working and, to be honest, I then just plain forgot. It’s pouring down with rain and this well-spoken man is keen to get the deal done, get home and miss the traffic. So it’s done. The next day, before I put it on AT, I do the check, and it comes up as having a bloody log book loan outstanding! I contact the company who have now folded but passed on the debt to a new place. They say a small loan was taken out in 2011, it was never paid and they want the car or £3,000. So I ring the well-spoken man, who admits he took a log book loan in 2011 but paid it off long ago. He says it’s not his problem and has stopped answering his phone. So where do I stand? I now have an unsaleable car. Wheelerdealer1 So does it show on HPI as an outstanding finance agreement? You can seemingly check to see if an amount is outstanding via the High Court (England) – it’s worth a check under the Bill of Sale! Did he hand in the V5C then? I thought the whole point of a logbook loan was the lender held the V5C until it was paid? Could it be the case it has been paid yet not updated because the old loan company went out of business? Did the customer sign anything with you agreeing to sell the car as the owner of the vehicle? jimreidvehicle Yes, I have all docs for the PX car including the full V5 in his name, three keys, the history, etc. You’re right, they do hold on to the V5 as collateral until the loan is paid, but I’ve found out online that many get a duplicate copy of the V5 to give to the loan company. It’s a strange one as this guy is not short of a bob or two, his address is a large farm. But his manner on the phone tells me was very aware of the loan on the car. The company holding the loan now are adamant it’s never been paid off. Wheelerdealer1 Hasn’t he sold a car that he knowingly has no right / not got good title to sell? I’m sure somewhere he has committed a criminal act. First thing I would do is call Lawgistics or take legal advice. If he lives at the address on the invoice at least you can chase him. Obtaining goods by deception, maybe? Gavin@Rousdon I spent 10 years in the industry advising and working with FinCos, courts etc. I won’t go over

the number-one rule about never buying before you HPI... So, to the issue. Firstly you need to verify this is a bill of sale agreement (the legal term for a log book loan). You are correct that there are differences in how these work, but despite what the BBC have suggested lately, these are just as likely to be registered with HPI as any other loan. Although the FinCo has more protection with a bill of sale, a recent government review has put them under pressure to work with dealers in situations like this. Sadly, they probably will have title to the car and if it was registered with HPI then we don’t have the option to take the route that it wasn’t registered. So, it’s all down to negotiating with the FinCo. They are entitled only to their original value, so it’s worth trying to negotiate this down. It may be they have added fees etc. which you can get taken from the balance to reduce the amount owed. The only glimmer of hope here is that you have been talking to the debtor and you can ask why they have not repossessed the car already if the debt had gone bad. It may be, of course, that the

debtor has moved. They are obliged to go after the debtor for this, but sadly, as you now have the vehicle and they know where you are, they will take the path of least resistance – you. My advice – store the car somewhere safe while you negotiate, otherwise they could, and probably will, just turn up and take it back... Legally, your customer did not have legal title to the vehicle to sell to you, so you can pursue him for wrongful conversion (the legal term). However, you could just be throwing money away. So in summary, try to get the FinCo to go after the debtor (give them his details). Negotiate with them on the value, tell them the car is stored somewhere and you are happy to go to court. This may encourage some negotiation, but if they play hardball, you are holding their property, however they will have to provide you with proof of their interest. Lastly, work out if your customer is worth pursuing. If you can get this sorted for £2k it’s probably just an expensive lesson, as legal fees would be significant in this. Drop me an email. I’d be happy to review any documentation and give you any help I can. Andy Entwistle, Car Dealer

Picture of the month The room’s ready and @CarDealerEd is too! With those words, and this rather good selfie, Mike Brewer announced the start of the Used Car Awards on Twitter. Behind him is @CarDealer Ed, James Baggott, who like the rest of the team at the magazine, was delighted by the success of the evening. And although we were working, so not drinking of course, you’ll forgive us if we admit to a shandy or two in our hotel after the event!

More and more of our readers are joining the debate – and it couldn’t be easier 06 | CarDealerMag.co.uk

On Twitter: Follow @CarDealerMag

Forum: CarDealerMagazine.co.uk/forum

unsaleable car . . . Top tweets from the Used Car Awards Good luck tonight to all the nominees at @CarDealerMag #UCAwards with @mikebrewer. Special shout to @perrysmotors and @twwhiteandsons @Calltracks

So #proud of @WrexhamVW who won Used Car Sales Team of the Year and Dealer Principal of the Year at the #UCAwards @CarDealerMag @swanswaygroup Thanks to @CarDealerEd @CarDealerMag @colinchannon @mikebrewer + ALL CAR DEALER team for an amazing event again #UCAwards #awesome @specialistcars1

Great night a #UCAwards with @Imperialcar @motorscouk @motonovofinance @spidersnetUK @VCARScouk @EquifaxUK @iVendiLtd This #superhero is not only incredibly proud but a touch overwhelmed too, living the dream @CarDealerMag #UCAwards @CaptainCaralot

It’s those happy twosome from @PrestigeDiesels being interviewed by @BlackballMedia video team #UCAwards @CarDealerMag

BUY & SELL

Announcing a fab new section on our ever-expanding forum... REGULAR visitors to the Car Dealer website will (well, we hope you will!) be familiar with the forum. It’s a place for dealers to get things off their chest, to ask advice, and to pitch story ideas to us nice people at Car Dealer (these posts usually start with the words ‘why are you useless lot not doing a story on (insert topic here)?? Call yourselves journalists???…’) but we prefer to use the phrase ‘pitching story ideas’… If you’ve not seen the forum, have a quick peek – the website address is cardealermagazine.co.uk/forum. Now there’s a new section – and it’s there because you asked us for it. Why can’t you useless lot, the request began, launch a buying and selling section? Dealers often have bits and pieces around the place that are no good to them any more, but could be just the thing someone else is looking for. So we’ve done it (see… we DO listen…). Click on the forum button, and then ‘Buy & Sell’. Already we have one dealer looking to sell handbooks and wallets for several makes and models, someone else seeking a Subaru carpet, and another wanting a gearknob for a Peugeot 205 GTI. So if you have something you’d like a little cash for, or are looking for something specific, take advantage. There are a few rules (there are ALWAYS a

Thank you to all the staff @CarDealerEd for all their hard work last night #UCAwards 2014. See you all in 2015 x @MrsMBrewer

There should be two keys, but my car arrived with just one... So... I was at a popular auction a few weeks ago and saw a nice car being driven through as preview stock. As I couldn’t attend the auction day, I used the online auction and bought the car, based on what I’d seen on the preview. What was delivered to me today was the lovely car... with a crappy, non-remote, non-genuine, newly-cut key. I know it had at least one remote as the driver jumped out and locked it with it. Also I know the dealership that took it in part-ex originally and they say it had two keys too! So I’ve made a call to the auction, they say someone will ring me to discuss. So, have I got much chance here? RandomJord I wouldn’t build your hopes up! Compared to some of the nightmares I’ve heard about buying online, I’d say you got away lightly! metcars

few rules…) but they’re all pretty reasonable. Such as this isn’t a place to sell services to dealers (if you want to promote your services, talk to us and we’ll tell you how you can do it), be nice and respectful to each other and remember it’s an open forum, so anyone has access. Take a look at the bottom post in the thread, ‘You asked, we delivered… but now a few rules’ for more. This area is designed as a swap shop. An area where you can list bits you might want to get rid of or swap. So give it a go. Hmmm… a website aimed at buying and selling. Don’t think anyone’s done that before. Wonder if that’s the germ of an idea that might take off and make us all millionaires….

I had a good experience once with a key. The auction catalogue said that there were two keys with a BMW 1 Series (obviously the expensive wedge keys) so this was a bonus for me as it wasn’t a cost I had to factor in. When the car was delivered, lo and behold, there was only one key. I contacted BCA at the earliest opportunity and they were more than happy to reimburse me the cost of a replacement key. jamslug Well, I got a response from the nameless auction house today the answer was basically MIDDLE FINGER! They’re insisting it was sent from the dealer with one rubbish key. Even though I have one of their detail sheets stating two... RandomJord

to get involved! Sign up to our forum at CarDealerMagazine.co.uk/forum CarDealerMag.co.uk | 07

DASHBOARD. ELECTRIC MOTORING

Renault-Nissan sales landmark THE Renault-Nissan Alliance has sold its 200,000th electric vehicle. The Alliance says it has a leading 58 per cent market share for zeroemission cars. Together, Renault and Nissan EVs have driven approximately four billion zero-emission kilometres – enough to circle the earth 100,000 times – and represents a saving of 200 million litres of fuel, enough to fill about 80 Olympicsized swimming pools. The Alliance sold its 200,000th EV at the start of December. Nissan LEAF remains the best-selling electric vehicle in history.

ACCOLADE

Second award for Swansway FAMILY-owned and run motor retailer, the Swansway Group, has scooped the South Cheshire Chamber of Commerce Employer of the Year Award for the second year running. The award recognises the employer whose initiatives give their workforce support in their chosen career path as well as keeping the whole team motivated and engaged.

News UK and Motors team up in a new advertising project Dealers will get access to a wider selection of automotive classified sites

otors.co.uk and News UK, owners of Sun Motors and Sunday Times Driving, have decided to work together to create a joint classified and display advertising network. In a move designed to combine their collective reach of UK car buyers, Motors.co.uk will increase exposure for its advertising dealers by adding the Sun Motors and Sunday Times Driving classified sites to its network. The partnership will boost overall stock volumes and create new ways for advertisers to target car-buying audiences. Motors. co.uk will be responsible for dealer classified advertising, adding both of News UK’s sites to its existing network of properties, which

TESLA

Pop-up store is open in Bristol ELECTRIC vehicle manufacturer Tesla has opened a new pop-up store and supercharger in Bristol – both at The Mall, Cribbs Causeway, just off the M5. The pop-up store joins Tesla’s four permanent locations in the South East and Midlands. Test drives are available and it will be open until mid-January. 08 | CarDealerMag.co.uk

Vantage Hyundai team get together with Santa Claus to raise funds bit.ly/santa-tour

by COLIN CHANNON @colinchannon includes Parkers, HonestJohn, Carsite, Autovillage, Desperate Seller, Drive24 and Carvillage. In return, News UK will have the ability to sell Motors.co.uk as part of its display network, creating targeted digital and print advertising that extends across their portfolio, including parent products The Sun, The Times and The Sunday Times. Both companies will also work together to build a unique new car advertising network, combining Motor’s smart search technology to provide shoppers with new and usedcar purchase options. Motors.co.uk, part of Manheim, confirmed it will incorporate its smart search classified platform on Sun Motors and Sunday Times Driving, enabling car buyers to explore options by lifestyle need or more directly on a make and model basis. Sun Motors and Sunday Times

Driving will continue to produce its breadth of motoring news, road tests and consumer advice from renowned motoring journalists like Jeremy Clarkson, pictured, of Top Gear fame, and Giles Smith. Sunday Times Driving, which launched in 2012, and Sun Motors, unveiled in early 2014, have quickly built strong levels of traffic, benefiting from cross-promotion across News UK’s packed stable of media titles and a platform powered by GForces’ NetDirector. SunMotors has been praised by dealers, and it was named used-car product of the year at the recent Car Dealer Used Car Awards. Andy Coulthurst, the managing director of Motors.co.uk, said: ‘The addition of these powerful brands to our network provides Motors.co.uk dealers with access to an even wider selection of automotive classified sites via a single commercial relationship. ‘We know consumers research multiple sites in their car search. The Motors.co.uk network seeks to give visibility throughout the process.’ Jim Murray-Jones, general manager of Sun Motors and Sunday Times Driving, added: ‘This is great news for the loyal readers of our worldfamous brands. ‘We are excited to join forces with Motors.co.uk and this partnership has the potential for us to develop further innovations to ease our customers through the purchase process, from early brand awareness to their final purchase.’

‘Very excited about adding two significant brands’ THE boss of Motors.co.uk has spoken of his delight following the news of the partnership with News UK, owners of Sun Motors and Sunday Times Driving. Car Dealer was the first media service to publish news of the partnership, a move which will enable Motors.co.uk to increase exposure for its advertising dealers by adding Sun Motors and Sunday Times Driving classified sites to its network. The partnership will boost overall

stock volumes and create new ways for advertisers to target car-buying audiences. Speaking exclusively to Car Dealer, Andy Coulthurst, the managing director of Motors.co.uk, said this was just one of several projects his team were working on to extend their reach. ‘The team here at Motors are very excited about adding the two significant brands into the network and the feedback we are getting from dealers on the move is very

encouraging,’ he said. ‘Ahead of this latest acquisition, Comscore verified our unique audience across the network as 44 per cent that of Auto Trader. Given we are less than a year into our plan, this is a great foundation from which to grow. ‘These are very early days in the roll-out of the Motors.co.uk plan, yet we continue to accelerate performance for our clients and the News UK partnership comes quickly on the back of our CarSite acquisition in July.’

Want to boost your business performance? From warranties to asset protection, our range of customer-friendly products will help you get more from every sale. Itâ&#x20AC;&#x2122;s why we help more dealers to jump start profitability than anyone else. Find out how easy it is to switch to us. Call 0844 573 7591 or visit carcareplan.co.uk Car Care Plan Limited is authorised and regulated by the Financial Conduct Authority.

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DASHBOARD.

Shock at north-south split in supercar finance levels Itâ&#x20AC;&#x2122;s not just house prices and wage levels that divide regions of the UK

here is more than twice the demand for supercars in the south of the UK compared with the north, according to research by luxury car funding firm Oracle Finance. The supercar finance company has delved into its deal history from the past 12 months and has found that 48 per cent of its buyers came from the affluent south of the UK, compared to just 20 per cent from the north. Oracle Finance â&#x20AC;&#x201C; which provides funding for supercars like the Ferrari 458 and McLaren 650S and luxury cars such as the Range Rover â&#x20AC;&#x201C; found people in the Midlands bought as many new cars as those in the north, with 20 per cent of the firmâ&#x20AC;&#x2122;s deals completed in that region. Buyers in Scotland bought six per

cent of the supercars funded by Oracle Finance, nearly four per cent headed to Wales, while less than one per cent went to Ireland. Managing director of Oracle Finance Peter Brook said: â&#x20AC;&#x2122;The north-south divide has been clearly demonstrated by our data on the supercar finance deals weâ&#x20AC;&#x2122;ve arranged. â&#x20AC;&#x2DC;For years there have been reports

of the difference in house prices and wages between the north and the south and now our figures demonstrate there is a distinct difference when it comes to luxury car purchases too. We were shocked at just how much of a difference there was, though.â&#x20AC;&#x2122; In the south, the top five areas for supercar sales were London, Surrey, Essex, Berkshire and Middlesex. In the north the most sales were in West Yorkshire, Lancashire, Cheshire, North and South Yorkshire. Brook added: â&#x20AC;&#x2DC;The good people of Yorkshire certainly like their supercars, but the finance packages we arranged there were nowhere near the numbers we arranged in the south.â&#x20AC;&#x2122;

APPOINTMENT

Paulâ&#x20AC;&#x2122;s new role with JCT600 PAUL WALTERS has been appointed sales director of JCT600 Contracts, the specialist leasing and fleet management division of independent Yorkshirebased motor firm JCT600. With more than 24 yearsâ&#x20AC;&#x2122; experience in the vehicle leasing industry, Paul joins from GE Capital EMEA, Fleet Services, where he has spent most of his career. In this new role, Paul will use his experience and knowledge of working within larger organisations to facilitate JCT600 Contractsâ&#x20AC;&#x2122; future strategy, adding more rigour and focus to the sales process. Andrew Mann, managing director of JCT600 Contracts, said: â&#x20AC;&#x2DC;Paul is a welcome addition to the team; he is vastly experienced and will bring a new dimension to the progress of our company.â&#x20AC;&#x2122;

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Glass’s clearly delighted at AutoTrader partnership Improved consumer experience will help vehicle retailers sell more cars

uto Trader and Glass’s have forged a new strategic partnership, which will enable the development of new ways to search and present vehicles. Their aim is to enable consumers to get more relevant search results and to find the car they are looking for more quickly. With this they hope the improved consumer experience will also help automotive retailers sell more cars. Managing director of Auto Trader Trevor Mather said: ‘Glass’s has a reputation for working closely with partners to innovate and add value beyond high-quality vehicle data. ‘Both CAP and Glass’s are excellent providers of vehicle data, but slightly different. After careful evaluation we

believe Glass’s is a better long-term partner for Auto Trader, providing a deeper level of data that will unlock new opportunities to the benefit of consumers and automotive retailers. Some of the most interesting opportunities lie within new search functionality and new valuation services to empower consumers and help retailers.’ Ed Hummel, managing director at Glass’s, right, added: ’We are thrilled to assist Auto Trader in enabling new products for car buyers and in generating more leads for dealers. We see the 10-year contract with Auto Trader as a further endorsement of our quality and appeal in the United Kingdom. We are committed to supporting the 13,000 contract customers who

currently use Auto Trader and the 4,500 dealers whose websites from now on will be powered by Glass’s.’ Auto Trader strives to lead the digital development of the automotive marketplace in the UK, with 44 million crossplatform visits a month from consumers, searching more than 500,000 vehicles. The car sales website has its own retail-focused valuation tools, that in addition to wholesale market data, take into account the retail price in real time.

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29/08/2014 09:25

FEATURE. LA motor show 2014

top 10 Showstoppers Motor shows may be home to their fair share of zany creations, but they also give an insight into the most exciting machines on the horizon. We’ve rounded up 10 of them...

Cars that look the real deal on both sides of the Atlantic by CHRIS LLOYD @christoferlloyd

he typical American car buyer may opt for a very different machine to your average European motorist, but a number of models at this year’s LA show should offer real appeal to those on both sides of the Atlantic. Mazda’s sharp-suited CX-3 crossover looks set for strong sales on both continents – thanks to its combination of bold styling and off-roader stance along with strong predicted economy. Meanwhile, the Volvo V60 Cross Country blends the comfort and practicality of the standard Swedish estate but adds a dose of extra off-road ability with the option of four-wheel drive, without the punitive fuel economy of many large SUVs. Also debuting was the Toyota Mirai – a hydrogen-powered machine that could do the same for the hydrogen car market as the Nissan Leaf did for electric cars. Just price and the availability of hydrogen filling stations could stop this car from achieving great things. Luxury cars were also well represented in LA with the S600 Maybach and Panamera Exclusive Series offering rear-seat passengers serious comfort. As for sports cars, the Audi R8 Competition and Golf R Estate bookend the performance car market in their intent. Take a look at the next few pages to see some of the most exciting metal from this year’s LA show. ��| CarDealerMag.co.uk

Mazda CX-3

Volvo V60 Cross Country

The latest model in Mazda’s renaissance, the CX-3, is a stylish compact off-roader that slots below the popular CX-5 in Mazda’s range. Unlike many crossovers, the car will actually be available with all-wheel drive, though this is still a road-focused machine. Engines include two 2.0-litre petrols and a 1.5-litre diesel – all of which boast Mazda’s fuel-saving Skyactiv tech. With chic looks inside and out, and the likelihood of strong economy, expect to see many CX-3s in the near future.

With off-roaders on ever more car buyers’ shopping lists, off-road estates are back on the agenda. Volvo’s latest foray into four-wheel drive estates is the V60 Cross Country, which features a significant 65mm hike in ride height, the addition of four-wheel drive in D4 AWD and unique body styling for a tougher look than the standard V60 estate. Two front-wheel drive and one four-wheel drive model will be available. Orders will open in the first quarter of 2015 with deliveries from June onwards.

Toyota Mirai It may look like a concept, but this hydrogenpowered machine is due to arrive on US roads in late 2015, with prices starting at $57,500 (£36,743). The Mirai is free from the range limitations and lengthy charging times that afflict electric vehicles; the Mirai can cover 300 miles per tank of hydrogen and refuelling takes just five minutes. With 151bhp and 335Nm on tap, the driving experience should compare positively with most electric cars, too.

Cadillac Escalade If the Power Wagon is that bit too brash for your customers, the Escalade could fit the bill. While American SUVs of yore were flubbery beasts, this sharp-suited machine is oddly fetching. This large Range Rover rival comes with a 414bhp 6.2-litre V8 and is available in even larger 5.7m longwheelbase form. It’s massive outside and massive inside, with enough space for eight adults, making it so big and flamboyant, it’s one luxury SUV destined to remain firmly on the LA side of the Atlantic.

Porsche Panamera Exclusive Series

Audi R8 Competition

Mercedes S600 Maybach

With many upmarket bespoke creations featuring on luxury car companies’ price lists, Porsche has decided to get in on the action, with its Panamera Exclusive Series – first in a line of Exclusive Series models. Helping to distinguish this Panamera from lesser models, rear seat passengers get angled footrests, screens in the front headrests and luxurious soft-leather upholstery. Just 100 of this special model will be sold worldwide, to ensure exclusivity.

The R8 may be on its last legs, but Audi is seeing it out in style in Competition form, which features liberal lashings of carbon fibre and a muscular 562bhp V10 motor. Thanks to lightweight additions, this 5.2-litre monster devours the 0-60mph sprint in just 3.2 seconds and should hit 199mph. They won’t be coming here, though. Just 60 of this diamond-quilted, leather-lined Competition model will be made, all ending up in the US.

Mercedes’ Maybach sub-brand may have died, but the name lives on in this top-spec S-Class. Living up to its upmarket billing, this luxury machine packs a twinturbocharged 6.0-litre V12 engine under the bonnet and a stretched wheelbase for a more luxurious rear-seat experience. Those in the plush individual rear seats can adjust their pews electronically to find the most comfortable position.

Volkswagen Golf R Estate The VW Golf GTi may be hailed as the consummate all-rounder, but the Golf R Estate offers more of everything. With the standard Golf R’s rorty 296bhp motor, unflappable four-wheel drive system and the Golf Estate’s hefty boot, there is no occasion to which the R Estate can’t rise. Surprisingly, the Golf Estate manages to pull off the R transformation visually as well. Despite the increase in weight over the hatchback, this Golf R can still sprint to 62mph in just 5.2 seconds and return 40.4mpg. Order books will open in spring with deliveries starting in summer.

Dodge Ram Power Wagon America is not famed for its subtlety and nor is the Power Wagon, complete with acres of chrome, red paint and side graphics that wouldn’t have been out of place in the 80s. Living up to the power part of its name, this huge truck is kitted out with a 6.4-litre V8 engine – petrol of course – which kicks out 404bhp. This pick-up also features nearly 40cm of ground clearance and the ability to ford more than 75cm of water. Perfect for the school run – if they sold it on this side of the pond, that is.

Ford Mustang Shelby GT350 This two-tone Mustang harks back to the classic Shelby Mustang GT350 with its paintwork but brings the recipe bang up to date with a suitably brutal 5.2-litre V8 motor under the bonnet. Pumping out no less than 500bhp, this Shelby is set to go on sale in limited numbers sometime in the second half of 2015. CarDealerMag.co.uk | 15

FEATURE. LA motor show 2014

attention grabbers

The good, the bad, and the quite simply outrageous – they were all on the stands and getting plenty of attention. Well, what did you expect? It is America, after all...

Toyota Sienna

The Black Pearl

VW Golf R 400

People carriers are often boring for drivers and young passengers alike. This Toyota, however, has put the emphasis firmly on entertaining children in the back – and comes complete with multi-coloured seats. Taking subterranean inspiration from SpongeBob Squarepants, this MPV boasts yellow and blue details – inside and out – and an oversized TV in the boot. The driver may struggle with the wheel, nabbed straight from a ship, which completely obscures the dials.

While Toyota and VW were putting forward cutting-edge machines, Rick Dore Kustoms have taken a step back in time – about 66 years, in fact – with their latest hand-built creation, which is based on a 1948 Jaguar frame and is reported to feature a 370bhp Ford V8 motor. Commissioned by Metallica frontman James Hetfield, this curvaceous black machine is intended to blend the best of American custom car flair with European coachbuilding.

Also appearing in the US for the first time was the Golf R 400, sandwiched between the Golf R Estate and the GTi roadster. This performance machine should up the R’s horsepower count from its turbocharged 2.0litre engine from 296bhp to around 400bhp, with four-wheel drive to keep the car in check. Acceleration should be vivid, should the R 400 make it to the road, with an anticipated 0-60mph time of less than four seconds.

Toyota FT-1 Toyota has whetted the appetite of driving enthusiasts with its lightweight GT86, but the FT-1 concept dramatically ups the ante, with its sleek lines, high-rise rear spoiler and 21-inch alloy wheels. Toyota claims that the FT-1 takes inspiration from the classic 200GT and the more modern Supra, Celica and GT86, though it hasn’t revealed many details about this show car. ��| CarDealerMag.co.uk

Audi Prologue

Lexus LF-C2

Bentley Grand Convertible

Audi designers have been accused of using the same template for all of their cars in the past, but this sleek beauty moves the game on. The large four-seater coupe is big, classy and plush. The pillarless windows reveal a stylish cabin and a chic, contoured dashboard. It may be a design exercise at the moment, but with a 597bhp 4.0litre turbocharged engine, this 5.10m-long Audi can launch to 62mph in a scant 3.7 seconds, partly aided by Quattro four-wheel drive.

Lexus has gone from designing staid American-friendly barges to sharp-suited Japanese technofests. And the latest creation from the company is the drop top LF-C2, which follows the company’s RC coupe. Debuting in LA in a lurid golden yellow, the LF-C2 successfully pulls off its transformation into a convertible, with sharp, wellproportioned lines and is likely to share a lot with the RC if it makes it into production.

Featuring two-tone blue and silver paintwork, bold 21-inch alloy wheels, ivory leather with blue stitching and powerboatstyle walnut decking, this certainly has presence; Bentley goes as far as to say it is ‘the most sophisticated open-top car’ it has ever created. Providing propulsion is the evergreen 6.75-litre V8 motor, this time boosted by two turbos and churning out a faintly ludicrous 530bhp.

VW GTi

Maserati Alfieri

VW may have been displaying a more sensible performance car in LA in the form of the Golf R Estate, but it was also showing off this stunning GTi roadster. Making its US debut, the roadster is mooted to have 500bhp, courtesy of a 3.0-litre twin-turbocharged V6 motor and be capable of 192mph. Best not to do that speed, mind. With that hacked-down windscreen, it would mean that any encounters with errant flies – even at motorway speeds – could be rather painful...

The other Italian supercar maker’s latest creation, first unveiled in Geneva, hints at the company’s next supercar. After introducing the sensible – well, for Maserati – Quattroporte and Ghibli saloons, it’s high time the GranTurismo, which dates back to 2007, received a thorough update. Sleek and stunning and named after one of the founding Maserati brothers, it’s got to be said the Alfieri looks like a fitting replacement to us.

Toyota Future Mobility This concept-cum-cockroach wowed crowds in LA with its opening roof, tilting body and ability to display adverts on its flanks, with several graphical displays. That’s all well and good, but what left onlookers most confused, though, was how you were supposed to drive the thing. It looks to us like you’d have to ride it like a horse, though one Toyota employee on the stand talked about standing up to drive it.

CarDealerMag.co.uk | 17

FEATURE. LA motor show 2014

The showrooms are starting to look as good as our cars! MAZDA: ‘We’ve tried to make it as easy and cost-effective as possible,’ says European chief

apanese manufacturer Mazda has been revamping its dealerships across Europe to match the sharp lines of its current model range. The manufacturer’s European president and CEO, Jeff Guyton, expects that by the end of 2015, around 80 per cent of European dealers will have adopted the new look and style of showroom. Key to the revamp is a more natural appearance, which features lots of wood and blends in a more technical exterior design to reflect Mazda’s history as an engineering company. While dealership updates may be an extra expense for retailers, Guyton says: ‘What we’ve tried to do is make it relatively easy and, we think, quite cost-effective.’ The response from the

by CHRIS LLOYD @christoferlloyd first pilot dealership shows an increased closing rate and better retained margins too, the Mazda boss adds. We’re told that changes to showrooms will include ‘a much greater focus on digital tools in the showroom in terms of demonstrating product features’. Also set to change is the customer experience. Guyton told us: ‘What we’re trying to do is give people a different feeling and be positively surprised by the passion of the network for the Mazda brand.’ The aim of this shift in culture is to focus on how customers feel: ‘The intention is to get our

dealers and our employees to think in reverse, which is to say: ‘‘What experience do I want this individual to have of my brand? Now how do I need to act to deliver that?’’ ’ Mazda, however, is not planning to be prescriptive Jeff Guyton about how this is achieved by telling dealers to offer every customer a coffee or to recharge their phone, for instance. ‘We’ll leave it up to the retailer to figure out what it is for that customer that makes it positively surprising and an engaging experience.’

PROFITS ARE INCREASING ‘Last in, best dressed.’ This is how Mazda’s European president and CEO, Jeff Guyton, describes the latest entrant to the small offroader market, the new Mazda CX-3. Along with the new 2 supermini, the CX-3 is set to be a big hit, claims Guyton, with dealers on the cusp of rapidly increasing sales: ‘Dealer profits clearly are increasing around Europe and we see in the year coming up quite a big opportunity to increase throughput in the UK with Mazda 2 and CX-3.’ With several new and updated models in the pipeline, what this means is that in a year’s time the recently-released Mazda 3 will be the oldest model in the range. ‘That gives a great opportunity to see better margins on renewed cars and also hopefully a lot of trade-in business that can make some money with the used cars as well,’ adds Guyton. However, with so many updates to the Mazda range on the cards, getting the training and marketing ready for these upcoming models is crucial to their success, he states. As to whether dealers can keep up with the pace of change, Guyton responds: ‘I think they can. We’re going to put quite an effort behind training and education this year. ‘There’s no doubt it will be a tough year in that respect to keep up with that change.’

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The CX-3 above, and Mazda 2, left

Mazda CX-3 in a class of its own handling, the option of four-wheel ‘We don’t do cartoon cars.’ These are the drive and a practical interior. words of Kevin Rice, design director of Mazda’s R&D centre, on the topic of the Also starring at the LA show was new CX-3. the new smaller MX-5, which has shed 100kg over its predecessor. While this compact off-roader could be seen to go head-to-head with the popular Explaining the weight loss, Rice says: and boldly-styled Juke, Rice vehemently ‘We said let’s go back to the initial denies that Mazda’s new creation competes inspiration, which was the 1960s sports cars – lightweight, with this small Nissan: ‘We don’t see it as a lightweight, lightweight. rival at all. The Juke has its own character Kevin Rice and I think the people we’re hopefully ‘We looked at every detail of the going to impress with the CX-3 have a completely design, and the engineering was put under scrutiny to find out where it could be reduced weight-wise different understanding of design. ‘We believe the CX-3 is going to start a new without compromising safety or performance. And segment. It has to be sophisticated, it has to handle that was a hell of a job.’ really, really well, it has to show that sporting Rice claims the new car needed to look handling and the design has to bring that across.’ tougher and more purposeful than the previous Rice goes as far as to describe Mazda’s new model, and maintain the classic roadster off-roader as a consummate all-rounder; a machine proportions of the original MX-5 with a long which blends sharp design with equally-sharp bonnet and a muscular design.

Mazda CX-3 off-roader makes global debut in LA

Following the success of compact crossovers such as the Nissan Juke, Mazda wants to get in on the action, with its new small off-roader, the CX-3, which it unveiled at a special preview event in Los Angeles. Slotting into the Mazda range below the popular CX-5 off-roader and based on the 2 supermini, this new Mazda enters one of the fastest-growing parts of the car industry and was on display at the Los Angeles motor show. In its armoury, the CX-3 will feature the sharp ‘Kodo’ lines that now characterise Mazda’s range, a stylish interior and the option of front and all-wheel drive. Three engines will be on offer – two 2.0-litre petrol units and a 1.5-litre diesel. All models feature six-speed gearboxes and a six-speed automatic will also join the range. The new model will be launched in spring 2015 and should boast an impressive blend of economy and performance, becoming the fifth Mazda to feature the company’s ‘SKYACTIV’ fuel-saving technologies. The car will also feature Mazda’s latest all-wheel-drive system, for added traction on slippery surfaces. The CX-3 will additionally benefit from a range of new ‘i-ACTIVSENSE’ safety kit, along with a lightweight yet stiff body construction. In-car entertainment will be taken care of with Mazda’s MZD-Connect in-car media system. Also on show at Mazda’s stand at the LA motor show were the new MX-5 roadster and updated versions of the 6 and CX-5 off-roader.

CarDealerMag.co.uk | 19

FEATURE. LA motor show 2014

New models mean growth potential for JLR dealers Jaguar land rover: Exciting plans are in the pipeline to underline their global appeal

aguar and Land Rover dealers have a year to look forward to, claims group sales director Andy Goss: ‘No matter where you are in the company, the story this year is one of growth. We’ve got huge momentum, we’ve got even bigger ambition and we’re very fortunate in that we’ve got a product range that has to be seen to be believed.’ Helping to explain the company’s dramatic growth is the investment of £3.5 billion every year, says Goss. And the good news spreads across both Jaguar and Land Rover, he adds. ‘We’ve got double-digit sales increases so far this year, the networks globally, certainly on Land Rover, are absolutely on fire. It’s the brand to have. Jaguar is a challenger brand. It’s coming up.’ As a result, Goss is confident dealers are really excited: ‘I think from a business performance, dealers are very happy. The challenge to retailers is probably the issue we’re dealing with at the moment – we’re trying to build a very consistent business that is recognisable the world over.’ Central to reaffirming Jaguar and Land Rover as global brands is standardising the way dealers do business, Goss adds. He likens the consistency across showrooms to how brands such as Apple and Starbucks operate, with firmly-established

Land Rover’s Discovery Sport, right, and the Jaguar XE

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by CHRIS LLOYD @christoferlloyd

practices. However, this doesn’t stand in the way of dealers finding their own ways to improve the customer experience: ‘What we’re not trying to do is knock the entrepreneurial spirit out of the retailers. On the contrary, we want them to excel in serving their customers. But we’re talking about a premium market and therefore there has to be a consistent approach.’ Another key element of the coming year for retailers is the arrival of the new Land Rover Discovery Sport and the Jaguar XE. Both models, Goss hopes, should bring a substantial number of new customers to the brands – just as the Range

Rover Evoque and Jaguar F-Type have done already – with both chalking up around 80 per cent conquest customers. Current statistics from Europe show around two-thirds of Discovery Sport orders so far are from customers who had no involvement with either Land Rover or Jaguar previously. ‘We know the pond we’re fishing in is a pond full of German OEMs, Lexus, Cadillac, Infiniti, and other brands like Porsche,’ says Goss.

Aftersales and used cars central to profitability Jaguar and Land Rover dealers have a huge opportunity in selling used models and in aftersales, says Jaguar Land Rover boss, Andy Goss. ‘We are on a massive mission with preowned, grounded in very detailed consumer research about what they want. Dealer profits are not just about new car sales, by any stretch of the Andy Goss imagination,’ he says. The importance of aftersales and used models follows the fact the vehicle parc is growing all the time – as is the complexity of products, says Goss. ‘There’s a whole residue of opportunity that comes out of the fact new-car volume is growing – preowned and aftersales and parts and so on. And we’re going into different

channels of the market. Corporate business is also very important, where historically we ignored that.’ Central to keeping customers with the brands are three core elements, claims Goss: customer relationships, the acquisition process and the ownership experience. Above all, dealers can play a big role in how they deal with customers. ‘People do not like surprises. And they want to know that we know them. People want to know we actually have a relationship with them. ‘It’s not just a transactional relationship. We have to try to get people as insiders in the brand. It’s how you interact with people and that they know they are important to you.’

Sophisticated tech and bespoke models in the pipeline Jaguar and Land Rover may be brands famed for tradition rather than cutting-edge technology, but the companies have been beavering away developing extremely sophisticated kit for their upcoming models. Terrain Response has been a fixture on Land Rovers for years, but the next generation has almost artificial intelligence, claims Andy Goss: ‘The next level of Terrain Response is a fantastic system where the car measures what the temperature is. If it’s minus-10 and the camera picks up something that’s white with a flat

Our M recipe is a tasty selection of real goodies BMW: Boss shrugging off criticism of adding those M-branded off-roaders Despite some performance-car fans slating BMW for adding M-branded off-roaders to its range, Carsten Priest, the head of BMW’s M Division, is unapologetic: ‘From a brand perspective, I think we are extremely stable in terms of our identity. ‘Even now, after more than 40 years of BMW Motorsport, we still produce cars that in a very particular way bring across the feeling you otherwise have only in racing.’ The M3, M4 and M5 may be the performance car brand’s bread and butter, but Priest has no concerns that the big and heavy X5 M and X6 M dilute the M recipe, saying the cars were primarily created for emerging markets, such as Russia: ‘We sold almost 20,000 cars shared between the two. ‘They did exactly the job we expected them to do in the markets we targeted – to establish BMW M as a performance brand.’ Also playing a part in the future of BMW M are more affordable M Performance models, which aim to attract younger customers. Priest says the current M135i and M235i models ‘are clearly exceeding our expectations and bringing people to the M brand’. As for the future, Priest wouldn’t reveal the next M models to arrive but did admit it would be lucrative to introduce new affordable M Performance models and lightweight driver-focused cars like the old M3 CSL. Additionally, creating an M2 ‘would be highly attractive in order to attract younger customers,’ he noted. [CD]

surface, then there’s a pretty good chance that’s ice the car’s about to hit. So even before you’re there, the car’s thinking for itself; all the diffs are preloaded to go, so the driver doesn’t need to do anything. We’ve had a perception in the past of not really being at the forefront of technology but for a company the size we are, we are punching way, way above our weight.’ As for what’s in the pipeline, Goss was being very tight-lipped. However, it looks likely that bespoke Range Rovers could be on the cards, ‘because that’s exactly what the clientele wants’.

CarDealerMag.co.uk | 21

DASHBOARD.

Harratts gets back on track with help of two new arrivals Craig Fraser and Wayne Bowser are contributing towards a turnaround

wo recent appointments by West Yorkshire-based car dealership Harratts are playing a key role in the firmâ&#x20AC;&#x2122;s revival in fortunes. The arrival of group operations director Craig Fraser, a chartered accountant, and the appointment of Wayne Bowser as non-executive director are contributing towards a turnaround after a challenging couple of years for the family-owned business. As a former semi-professional footballer, Craig knows all about teamwork and has an impressive CV encompassing more than 35 years in the motor industry, including an established track record in turning around dealerships that were struggling.

Craig, who hails originally from Ayrshire, explained: â&#x20AC;&#x2DC;A combination of well-appointed facilities in good locations and the family-owned nature of the business were the key reasons why I was attracted to this challenge. Communication is at the very core of everything Iâ&#x20AC;&#x2122;m doing here. All of the major issues have been addressed or are being addressed on

an ongoing basis and the initial signs are very positive.â&#x20AC;&#x2122; Wayne Bowser had a long and distinguished career at HSBC, establishing a reputation with many UK business leaders as a trusted and dynamic banking partner before branching out on his own. He said: â&#x20AC;&#x2DC;Fresh thinking, high-level corporate experience, sound investment advice and risk management are among the most important assets a modern business needs if it is to flourish.â&#x20AC;&#x2122; Harratts MD Shaun Harratt said: â&#x20AC;&#x2DC;Our initial restructure last year simply did not work and we had to go back to scratch. Since then weâ&#x20AC;&#x2122;ve made key appointments in Craig and Wayne whose input and experience of turnarounds is playing a critical part in getting the business back on track.â&#x20AC;&#x2122;

FLA

Record finance figures likely NEW figures released by the Finance & Leasing Association (FLA) show a 14 per cent growth in consumer new car finance volumes in October, compared with the same month last year. Consumer used car finance volumes grew by nine per cent over the same period. The percentage of private new car sales financed through dealerships by FLA members reached a new record high of 75.9 per cent in the 12 months to October. The FLAâ&#x20AC;&#x2122;s Geraldine Kilkelly said: â&#x20AC;&#x2DC;The consumer new and used car finance markets have reported new business growth in each month so far in 2014. Both markets are heading for record years, with almost two million cars likely to be bought by consumers on finance provided through dealerships in 2014 as a whole.â&#x20AC;&#x2122; Finance, p30

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Around the world Dealer news from somewhere other than here

GERMANy

THIEVES got away with an ultra-exclusive Audi R8 GT Spyder when they raided a German dealership. The criminals also stole a Porsche Carrera 4S and a Ferrari 458 when they targeted Pegasus Exclusive Cars in Monchengladbach. The specialedition Audi is one of only 333 made. Altogether, the thieves got away with more than £455,000-worth of metal.

USA

CAR dealers across the States have enjoyed their best November in years, with this year’s Black Friday proving particularly effective in attracting punters to their showrooms. The New York Times reported that manufacturers sold an estimated 1.3 million vehicles during the month. Alec Gutierrez, an analyst with automotive research firm Kelley Blue Book, said the market had been ‘very, very strong’.

BRAZIL

JAGUAR Land Rover has started building a new £186 million factory in Brazil. The new complex in Rio de Janeiro, where 400 people will be employed, will house a special education business partnership centre and will manufacture approximately 24,000 vehicles a year. Local companies will be used as suppliers in many cases.

CHINA

SOME BMW dealers in China are worried that the German automaker’s sales targets are too ambitious. Levels of car sales are rising more slowly than a year ago because of an economic slowdown and also an anticorruption crackdown on government officials. BMW has spent billions of dollars in China to increase its market share, reported the Wall Street Journal, but now, some of its dealers are seeking cash rebates because of the recent slowdown in trade. A BMW spokesman told the newspaper the company was ‘paying high attention’ to dealers’ concerns.

SINGAPORE

EXOTIC Motor thought it had won a legal battle against Ong Boon Lin when he was ordered to pay the Singaporean luxury car dealership the equivalent of £9,250 after a legal row – but the disgruntled customer delivered it all in coins soaked in fish juice. The cash had a combined weight of around 100kg and was dumped on the showroom floor.

CarDealerMag.co.uk | 23

DASHBOARD. ACQUISITION

CAP Automotive has a new owner CAP AUTOMOTIVE has been acquired by leading provider of risk and asset management software and services Solera Holdings Inc for £295m. US brand Solera provides software and services to the global property and casualty insurance industry. It is focused on risk and asset management of vehicles as well as property. It has a long-established presence in the UK, already owning HPI and Audatex, and it is active in more than 70 other countries.

ACCOLADE

Minerva Medal for Ian Callum IAN CALLUM, director of design for Jaguar, has been honoured by the Chartered Society of Designers with the prestigious Minerva Medal for his outstanding contribution to automotive design. The Minerva Medal is the highest accolade given by the society and was presented by the society’s patron, the Duke of Edinburgh, at the Minerva dinner in St James’s Palace.

£40m PLAN

Bentley reveals big investment BENTLEY has announced the latest phase in the biggest site development in the company’s history. A £40m investment will expand its headquarters in Crewe, with a new research and development centre, creating more than 300 jobs in the process. The new centre will include a dedicated styling studio, research and development offices and a technical workshop. Work on the new developments will begin early next year. ��| CarDealerMag.co.uk

Dacia selling more cars than ever in the UK bit.ly/dacia-up

Ford planning special stores DEDICATED Ford Stores are to be created to sell Mustangs and new upmarket Vignale models – but only 65 of the manufacturer’s 530 showrooms will get the treatment. A Ford spokesman said the brand was negotiating with dealers across the UK as to who will get the green light. ‘We are currently getting into the detail of the service element of the Vignale customer offer which will rely on the output of various studies which are still ongoing,’ the spokesman told Car Dealer Magazine.

Award for Car Dealer founder Baggott ‘the icing on the cake’ James wins recognition for his monthly column and regular features

ar Dealer Magazine’s founder James Baggott has been highly commended in the Guild of Motoring Writers annual awards. Baggott – who writes a monthly column for Car Dealer and contributes regular features to the magazine – was commended in the Prova PR Business Writer of the Year category at the event held at the RAC Club in London. His series of features and interviews about the rise in preregistrations, his monthly column and a feature about his trip to the largest Kia dealer in the world formed part of

by REBECCA CHAPLIN @BelieveBecca the work he was recognised for. Attending the event were HRH Prince Michael of Kent, Guild president Nick Mason and BRDC president Derek Warwick. The recognition for Baggott follows a hugely-successful year for Car Dealer. In September the magazine was named Best Business Publication at the Headline Auto Awards. This was the second time in three years Car Dealer has picked up the illustrious title beating off

competition from Motor Trader, Fleet News, BusinessCar and Professional Driver. AM was not nominated. ‘I am absolutely delighted to be recognised in the Guild of Motoring Writers awards,’ said Baggott. ‘This has been a truly fantastic year for Car Dealer. ‘We’ve held the largest-ever conference for the motor trade in the UK, our Used Car Awards were hugely popular and we’ve won Best Business Publication for the second time in three years – this latest recognition really is the icing on the cake.’ James Baggott’s column, p35

Seat invests in its dealer network after poor result SEAT is investing in its dealer network across the UK in a bid to turn around its poor results in consumer surveys. The Spanish brand’s UK director Neil Williamson has said he will be working with his dealers to give them a fresh look after securing investment from head office. Seat suffered a disastrous result in

Auto Express’s Driver Power owner survey when it finished last with readers voting the brand’s network the worst for workmanship, technical knowledge, cleanliness and atmosphere. ‘We spoke to dealers at a director forum in the summer and showed them the survey results,’ Williamson

told the weekly car magazine. ‘We need to address it and have started to. It’s never good news to get a bad survey result.’ A spokeswoman for Seat told Car Dealer the refresh has just started in the dealer network. It includes signage as well as interior and exterior improvements.

CarDealerMag.co.uk | 25

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DASHBOARD.

The spy who loves Aston Martin: James Bond’s new car revealed bit.ly/bond-car

NISSAN

West Way grabs a second gong

No need to panic! But what’s the point of a digital system if it doesn’t update instantly? After talking to the DVLA earlier this year, we ask more questions . . .

he DVLA has a message for dealers concerned about the time it takes for confirmation of a new car tax payment to appear online: Don’t worry. We received complaints from dealers on the ever-popular Car Dealer web forum about the newlyintroduced Electronic Vehicle Licensing (EVL) system. The major moan was the time it was taking. Moving everything online should mean everything is instant, right? Err… wrong. One dealer wrote: ‘I taxed a Mercedes first thing Saturday morning and it took until the following Tuesday to show.’ Another wrote: ‘What is the point of introducing a digital system if the data isn’t updated instantaneously? It’s not fit for purpose if it doesn’t immediately update. ‘You can rest assured that when someone gets stopped for driving an ‘‘untaxed’’ car, they will automatically be deemed guilty until proven innocent.’ And another said: ‘Most customers are not happy taking a car that shows up online as having no tax.’ But a DVLA spokesman said dealers

by COLIN CHANNON @colinchannon

had nothing to worry about. He said: ‘We have taxed more than 150 million vehicles online since EVL was launched. We have a record of the tax transaction the moment it occurs on EVL and receive an end-of-day file from the Post Office for transactions that have occurred during that day.’ Ah, we said. Does a car show up immediately on the APNR system as taxed the moment the online registration is complete? If a driver is stopped, is he deemed guilty, in the same way a driver is guilty of parking without a ticket even if he bought a ticket, but it slipped off the dashboard and out of sight on to the floor? Don’t worry, the DVLA assured us again. ‘The ANPR system doesn’t check the live record but reports potentially-untaxed vehicles to us for checking after the event. ‘Only the DVLA has the powers to issue a penalty for not having tax and we only do this after checking the vehicle hasn’t been taxed.’ So, we asked, as far as the DVLA is concerned, has the switchover

been a success? Did the publicity surrounding the change work? ‘Yes,’ came the response. ‘Insight has shown 87 per cent of customers knew about the changes before October 1. ‘We continue to include our marking message on V11s and V5C log books and expect to do so for at least 12 months.’ So there you have it. We did follow up on another question asked by a dealer on the forum, and asked the DVLA whether there had been an increase in cloned cars since the move online. The answer came back: ‘There is no evidence so far that the removal of the paper tax disc has had an impact on vehicle cloning. Any motorist who believes their vehicle has been cloned should contact the police. ‘If they receive fines or penalties when their vehicle has not been used, they should contact the issuing authority and provide appropriate evidence to confirm their vehicle was not in the area at the time. ‘A tax disc never formed part of this evidence as it did not show where a vehicle was used, only the registration number, tax class and rate of duty for the vehicle.’

A NISSAN dealership in Aldershot has won the manufacturer’s top global retail honour for the second year running. West Way Nissan in Windsor Way picked up its first prestigious Nissan Global Award – presented to a small number of the world’s best performing dealerships – at a ceremony in Los Angeles last year. And bosses at Nissan HQ in Japan recently took the unprecedented decision to present a second consecutive award.

TOP RANKING

London Morgan wins an award LONDON Morgan is proud to have been named Morgan Motor Company’s ‘Dealer of the Year’ just 18 months after opening its doors for the first time. London Morgan was ranked top of Morgan’s 16 appointed UK dealers, reflecting the diligent work of the London Morgan team. The ranking for the award was judged on customer satisfaction and vehicle sales performance.

APPS

We’re at work 24 hours a day! BUYING and selling cars is now a 24-hours-a-day business – and more dealers are using apps as a means of finding vehicles to add to their stock, research has shown. In the trade, usage of apps to sell and buy vehicles, especially exfleet, has increased by more than 50 per cent, according to research by epyx. The statistic is based on usage surrounding epyx’s 1link Disposal Network e-commerce platform. CarDealerMag.co.uk | 27

DASHBOARD.

Duke is staging a battle royale to be coast’s king of Kia Expansion plans have been dogged by red tape and bureaucracy. But as COLIN CHANNON reports, this Hampshire dealership has a never-say-die attitude when it comes to business – and that’s reaping big rewards...

howroom boss Brett Duke puts it rather neatly. His business is a David, up against the Goliaths of the industry. And, like the Biblical story, the little man comes out fighting... and wins. Duke is the general manager at Fine Cars, a firm with two Kia showrooms on the south coast. And when we say ‘on’ the south coast, that’s what we mean. The largest showroom is at Lee-onthe-Solent, a sleepy little place close to Portsmouth. Step out of the main doors and walk south for 100 yards, and you’ll be kneedeep in the Solent, opposite the Isle of Wight. The other showroom is in neighbouring Gosport. It’s close enough to the sea to hear the seagulls, smell the salty water, and hear the sewage being pumped into the briny… But the company fights above its weight. It sells the most approved used cars of any Kia dealer in the region. And it’s in third position so far this year out of all the volume car brands when it comes to new car market share. Not bad for a business with two small showrooms tucked away in residential areas, and a staff headcount of just 27. Duke’s father Howard started the business in 1982 after selling a filling station, and in the beginning it sold Yugos. It switched to Hyundai for the next 18 years, becoming a topfive performing dealer nationally, and 12 years ago partnered the Kia brand, winning a firstplace national sales volume award in 2009. But the success story goes deeper than that. Every time the dealership wanted to expand and keep up with manufacturer expectations, it came up against one of dealers’ biggest obstacles: local bureaucracy at work.

��| CarDealerMag.co.uk

It meant when Fine Cars wanted to develop above the showroom, and knock down a two-bedroom flat there to replace it with a storage facility, Brett and Howard did the work over a bank-holiday weekend – without the necessary council paperwork. ‘After a strucutural survey had been carried out, we got up there and knocked down the homes ourselves, and threw the rubble down into a row of skips,’ says Brett. Once the area was cleared – the permission for the work came retrospectively – another problem emerged. The council would not grant permission to build a ramp to get the cars up there and therefore would not issue a certificate of lawful use… ‘We got over that one by bringing in a crane,’ says Duke. ‘Every two weeks, we hired a big crane that lifted new cars into the roof space, and took down the cars we had sold and were required on the road. It was a bit daft, and it created a stir in the local press.’ But it worked. A legal expert who lived locally thought Fine Cars was being unfairly treated, so volunteered to work for nothing on Duke’s behalf. Permission was soon granted. And when it came to expanding the

workshop, guess what? ‘Permission was refused because the council was worried about the extra noise, even though we had commissioned experts to monitor it for us and provide an independent report which showed the levels would not rise. ‘In the end, at great expense, we had to bring in even more experts, who provided a report which went into such detail that it met World Health Organisation expectations. When I first received it I struggled to comprehend it as it was so detailed and technical, but the council liked it, so permission was granted.’ Don’t think for a minute that Duke is moaning. Far from it. Life and business is booming. He has exciting plans for the future, and is delighted with the Kia partnership. ‘We’re a father-and-son business and I hope one day my son will take over from me,’ he says. ‘My dad is still the managing director although he doesn’t get involved in the day-today running of the business any more. That’s left to me. When you’re a family business in a residential area, as we are, there are extra demands. You have to be very customer focused. Our company motto is ‘‘your

General manager of Fine Cars, Brett Duke

The dealership by the seafront

complete satisfaction is our minimum standard’‘. And we mean that. ‘We sell new Kias, and we have a thriving used-car business, selling mainly low-mileage, recent-model Kias. They all have a 12-month, 12,000-mile warranty. Our courtesy cars are free, and if we don’t have one available for a customer, we’ll give them a staff car for the day. We’re expanding the workshop, and it’s retail-only – no internal work is processed there. The labour rates for customers are about as low as you can find anywhere locally. And we have our own separate PDI facility in town. ‘Being a local business, it’s important we have the right people working for us. Some of our sales staff have been with us 15, 16, 17 years. They have customers who trust them to such an extent that if they come into the showroom and their favourite salesperson isn’t there, they’ll make an appointment and come back another time. Customer loyalty to our staff and company is excellent. ‘Kia have been very supportive. We have found them excellent to work

with, and in Paul Philpott, the president and CEO of Kia Motors UK, they have someone special. When he took over, he visited every Kia dealership. He came here and was very interested to learn how we worked and the demands facing us. What other person in his position in a major company would do that kind of thing? ‘Kia have been a very good fit. And I feel that, as a company, they’re only just starting out on the next stage of an exciting journey.’ [CD]

“

Our company motto is ‘your complete satisfaction is our minimum standard’. And we mean that.

CarDealerMag.co.uk | 29

FINANCE. IVENDI INITIATIVE

Lenders lend input to new online form A NEW online motor finance application form ‘couldn’t be more up to date’ for customers, says its creator. The form, produced by iVendi, is being rolled out to manufacturers, dealers and motor finance providers that use the company’s Quoteware motor finance quote generator and Car Finance Checker motor finance eligibility tools. iVendi director James Tew, above, said: ‘The form is responsive so will work extremely well with almost any tablet or smartphone as well as traditional PCs, and is designed very much with helping ensure FCA compliance. ‘It includes a number of FCA-related affordability questions for customers. ‘Really, it couldn’t be more up to date. This is a very ‘‘now’’ way of interacting with motor finance customers online.’ He added that a number of motor finance lenders had been involved with its design. ‘All of them have slightly different needs and diverging views about the way in which they want to ensure FCA compliance, so this has been accommodated within customised versions of the form.’

��| CarDealerMag.co.uk

Daimler’s finance provider celebrates record earnings Contracts worth £30 billion were set up in first 10 months of this year

aimler Financial Services is on track to set new records in 2014. The company is currently leasing or financing more passenger cars, vans, trucks and buses than ever before — a total of 3.3 million vehicles worth £75 billion. Klaus Entenmann, chairman of the Daimler Financial Services board of management, said: ‘We’re experiencing one of the best years in our company’s history. ‘We posted an EBIT [earnings before tax and interest] of nearly €1.1 billion (£870m) in the first three quarters of 2014. This represents an increase of 14 per cent compared to the same period of the prior year — and a new all-time record.’ In the first 10 months of the year, Daimler Financial Services initiated roughly 1.1 million new financing or leasing contracts worldwide with a total value of £30bn (+13 per cent). More and more car customers are now financing or leasing their vehicles, particularly in China. As a result, the number of new contracts in the east Asian sovereign state has more than doubled. The number of vehicle insurance policies brokered

by Daimler Financial Services around the world has also increased — by 10 per cent to roughly 1.1 million. Entenmann added: ‘We continue to strive for profitable growth.’ And that growth will be driven by factors such as the Mercedes-Benz model offensive,

as well as the rapidly-growing demand in countries such as China and India. Daimler Financial Services plans to attract larger numbers of younger customers by offering flexible terms. It will also step up online activities and offer more apps.

Warranty Group highlights difficulty of new FCA era DEALERS need to give careful thought about which products to offer customers in the new FCA era, says The Warranty Group. The difficulty is to identify those giving them good value and allowing dealerships to demonstrate compliance while maintaining a worthwhile level of profitability, explained Ian Simpson, sales and marketing director. He said: ‘The key, we believe, is to choose products such as GAP and motor finance that produce the best

outcome for the customer in the longer term, even if this doesn’t mean maximising short-term profits. ‘In truth, many or even most dealers already worked from this starting point, but the regulatory winds that are starting to blow from the FCA mean this must become standard practice across the entire industry. ‘The underlying principle must be that the customer is looked after and that an audit trail can be followed to prove this has happened. Dealers who have put profit first must rethink

their approach.’ However, Simpson said there was no suggestion the FCA wasn’t expecting dealers to make a profit from selling potentially important and useful add-ons, as long as they were reasonable. ‘For the majority of dealers, the principles will remain the same. If you have the right product in place, supported by well-trained staff, highquality marketing material, sensible incentives and easy but thorough processes for administration, you will see a high level of sales penetration.’

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DEALFINDER.

Garside

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Don’t be a data failure

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THE Lexus IS 300h has a LOT to offer if buyers are looking away from the traditional German marques for something different. This motor has, as the name would suggest, 300hp, but can still achieve 64.2mpg (combined).

Emissions of 103g/km mean no road tax is payable. In Executive Edition specification, the IS 300h is currently available for just £329 a month on a 42-month plan. This is based on a representative APR of 5.9 per cent. In this example, the IS is available with a £1,000 deposit contribution from Lexus along with the customer’s deposit of £7,253.14. This finance deposit allowance is available on the Lexus Connect PCP scheme, on retail plans spanning 42 months with a customer deposit between zero and 35 per cent. The optional final payment is £12,397.50, making the total customers will have to fork out £34,139.

BMW 3 SERIES THE BMW 3 Series is a popular choice for car buyers looking for practicality combined with performance. Despite its fiery credentials, this two-litre diesel will achieve fuel economy of 63mpg and C02 emissions of 118g/km. BMW are currently offering the 318d Sport Saloon to customers for a low deposit of £3,999. This is thanks to a £2,500 deposit contribution from the manufacturer, plus a further £1,750.40 added to the pile from the dealer. Combined, this gives the buyer a total of £8,249.40 to put down. Monthly payments are an affordable £295 a month on a 48-month plan, based

on 4.9 per cent APR representative. If the customer decides to buy, the optional purchase fee is just £1. Unfortunately the optional final payment is slightly more, at £9,450. The total amount payable? £31,565.

MERCEDES-BENZ C-CLASS THE Mercedes-Benz C-Class is luxury and performance rolled into one. The diesel BlueTEC engine which features in this C220 pulls fantastically and is far sportier than you would expect. As with any

Mercedes, the C-Class is refined and has the option of a ‘Sport’ button. Buyers will need to supply a deposit of £4,250 to get their hands on the latest C220 BlueTEC Sport, and Mercedes dealers are currently offering to add a further £2,785 to the pot. The monthly payment is £339, over a 36month plan. Representative APR is 4.9 per cent. The optional purchase price is higher than the two models above, at £15,400. This puts the total amount payable at £34,914.23. This specification of C220 also includes metallic paint and is based on a manual-gearbox model.

time is money

recently received a really good-looking and well-produced communication through the post addressed to ‘Benjemin Garfide’. The quality was great but my name was spelt incorrectly, and as a result they had already failed in their attempt to capture me as a customer. Annoyed by the fact they had got my name wrong, my first step was to call them and get my details removed from their database. My second step was to put the communication through my shredder. The element that concerned me the most, though, was that the communication was from a finance company for a credit card, so my first thought was if they couldn’t get my name correct then what would they do with my finances? Data is one of the most important tools in business and utilising it via a Customer Relationship Management (CRM) system has been one of the best methods for acquiring new customers and business in many of my roles. It is also great for retaining past customers. However, I have also seen it fail on many occasions, just like that scenario I recently went through. Over the years, I have visited motor dealers with a varying degree of data size and quality, but the quality is more important. You will already be collecting data on your customers but it is what you do with it that is important. Make sure you have checks in place to verify its accuracy, even if the customer has provided it, and make sure you are targeting the right customers with the right products at the right time. Two key rules: Don’t offend or annoy your target customers with incorrect targeting or data, and make sure you send them a communication they will want to read, not shred!

‘Make sure you have checks in place to verify its accuracy.’

Who is Ben Garside?

Ben is marketing manager for First Response Finance. Call him on 07817 518739 or email ben.garside@frfl.co.uk

CarDealerMag.co.uk | 31

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big mike.

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

’Tis the season to look out for those who may be preyed upon I

t’s a cautionary tale from me this month, I’m afraid. And a timely one, too, because hardened traders such as I know the festive season should really be rechristened the ‘silly season’ for ridiculous buyers coming out of the woodwork. Honestly, though, I thought I’d seen it all… but I hadn’t. Regular readers of this column will know I’m a sucker for something a bit different. Last month, that something was a 1991 Volvo 240 saloon in battleship grey, which came with a full service history and had covered around 55,000 miles from new. It was original, right down to the headlight wipers and those lovely Chesterfield-style buttoned leather seats, which made driving the leaf-sprung Volvo akin to bouncing down the high street on your living room sofa. The car had had just two owners from new, and was traded in against a Ford Fiesta, its elderly female keeper deciding she really needed something a little smaller and easier to park as she entered her more mature years. ‘Ooh,’ I thought. ‘This’ll do quite well on that well-known internet auction site.’ So, I stuck it on that well-known internet auction site and waited for the bids to roll in. Sure enough, they did. Within 24 hours, the Volvo had leapt from its £350 starting bid (and, dare I say, stand-in value) to four figures, the virtual hammer finally falling a week later, just shy of £1,400. A clear grand’s profit is good for any car, let alone a cheap part-exer, so needless to say, I was quite happy with that. What made me distinctly unhappy, though, was my subsequent experience with the ‘buyer’. After emailing me to ask if he could collect the car at 8pm on a Monday (which was fine, as it was at my house), I waited in for said purchaser to arrive. 8pm came. Then 9pm. He finally turned up on my doorstep at 10pm, except there wasn’t just him. The winning bidder, a small chap, was flanked by a pair of heavies, a fourth man lurking just out of sight behind him, hands thrust in pockets. They then proceeded to try to beat me down on price to £300 (without even looking the car over, I hasten to add), telling me I was ‘taking the p*ss’ to expect £1,380 for it despite that being the winning bid. He then went on to tell me he’d driven 90 miles to come and collect the car and he wasn’t happy with my price, and that I owed it to him for wasting his time to let him have it for what he

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

valued it at instead. Naturally, I told him and his hideous henchmen to Foxtrot Oscar, because I’m big enough and ugly enough to look after myself and I had forgotten to feed Fluffy, my beloved Rottweiler, who was happily taking a well-earned pee against the wheel of their BMW 7-Series. It didn’t stop them trying to get me to cough up their petrol money ‘back to Slough’, though – as if I had wasted so much of their time that they deserved it. I found the whole experience utterly perplexing, until I thought about it later. Why would four young-ish blokes in a recent model BMW 7-Series want to buy an ancient Volvo 240, and why would they adopt such a determinedly threatening approach without even looking the car over or taking it for a test drive? The answer is simple – and actually quite

‘I told him and his hideous henchmen to Foxtrot Oscar’ frightening. Who, normally, would be the typical owner of a 55,000-mile-from-new Volvo 240? The answer is exactly the type of person who traded it in to me. She was a lady in her early 70s called Rosemary, who could barely see over the steering wheel and filled the car’s ashtray with lily of the valley pot pourri. Or in other words, the kind of person who would not just be unlikely to stand her ground, but would be so utterly (and understandably) terrified by the whole ordeal that she’d probably allow herself to be bullied into letting them have the car for next to nothing, just to get rid of them. Alas, this appears to be a scam that’s doing the rounds. A fellow trader had a similar experience when he tried to sell a 24,000-mile Honda Accord the other week, while another guy I know took a Renault Clio on sale or return for a recently-widowed neighbour the other week as she was, simply, too scared to sell it based on stories she’d heard from her own social groups. It disgusts me, because I hate bullies. And that’s why I wanted to share it here – it might be the season to be jolly, but let’s not forget that it’s also the season to respect one another and look out for those around us who may be more vulnerable than ourselves. Merry Christmas!

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 terrific tales along the way. CarDealerMag.co.uk | 33

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bAGGOTT.

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Let’s give it up for BoJo and his scrappage scheme for diesel cars T

he floppy-haired, bike-riding Mayor of London Boris ‘I’ll Say Anything To Get My Name In The Papers’ Johnson has come out with some cracking quotes in his 50 years on this planet. In fact, researching a few for this column caused me to spit a freshly-made coffee all over my iMac as I laughed out loud. That will annoy the cleaners, but then I’ve made that an Olympic sport at Car Dealer HQ. Anyway, I digress. Boris, as you’ll well know, doesn’t seem to have much control over his mouth. If it’s not gurning uncontrollably it’s blurting out quotes like this, one of my all-time personal favourites: ‘Voting Tory will cause your wife to have bigger breasts and increase your chances of owning a BMW M3.’ Who said politicians lied to get votes? Oh, and there’s always this one: ‘My speaking style was criticised by no less an authority than Arnold Schwarzenegger. It was a low moment, my friends, to have my rhetorical skills denounced by a monosyllabic Austrian cyborg.’ Bitchy Boris, I like it. Or how about the former Etonian’s take on drugs: ‘I think I was given cocaine once but I sneezed so it didn’t go up my nose. In fact, it may have been icing sugar.’ I could go on, and on, and on. In fact, if you want a laugh, head to Google and search for his top 50 quotes. I could have filled this page with just those, but with a new editor in the chair that might not have gone down well. So I’ll get to my point. Among the large-breasts-andcocaine chatter that has escaped from Boris’s face, there has recently been one golden nugget: His plan to introduce a new scrappage scheme for diesel cars. For bumbling BoJo this was a gem. Angered by air pollution figures that revealed Oxford Street has the highest levels of nitrogen dioxide in the country, the mayor’s plan was to offer diesel car drivers who’d been ‘conned’ into buying one (his words not mine) when it really didn’t suit their needs into swapping for something less polluting. Boris believes that diesels over 12 months old should be eligible for a scrappage grant of £1,000-2,000. He fails to mention killing off billowing buses or HGVs, but I’ll ignore that because the car idea I can buy into. How many times have you been driving down the road behind a car emitting more smoke than an Amsterdam café and wanted to ram them off the road? Or is that just me and founding members of the Green Party? I was following a smoker on the M3 the other week and every time the driver put his foot down it was like a NASA space launch had been initiated.

In fact, it was a surprise I didn’t choke on the thick, poisonous fog that was streaming out of the back. I’m sure the driver of the battered old Peugeot 406 would have loved to swap his bonfire car for a lovely new efficient model, though, especially if he was in line for a £2,000 discount in the process. Let’s not forget the last scrappage scheme actually MADE the government money. Yes, it seemed pretty generous offering £2,000 for old bangers (sadly, as we’ve reported recently, not all of them were, but again for the purposes of this column I’ll ignore that), but when you factored in the VAT receipts that HMRC collected from the sale of those new cars, it ended UP on the whole deal. Nice bit of business if you ask me. I’m not in total agreement with Floppy Head. There need to be some parameters to determine exactly what gets scrapped. For a start, anything that has failed an emissions MOT test, that gets the cash. Anything over 10 years old and

James Baggott ‘Every time the driver EDITOR’S NOTE: before you know it YOU’LL BE flying the flag for him TO BEcome PRIME MINISTER

put his foot down it was like a NASA launch’

diesel-powered, well, that gets the cash too. And anything with a Vauxhall badge on it absolutely gets the cash. As long as the money is spent on something that hasn’t got a Vauxhall badge on the front. OK, maybe not that last one… So, the detail. What would these scrappers have to buy? Well, I spoke to the SMMT, which told me that current NO2 emissions from diesels – compared with 2000 – are down 64 per cent. Particulates are down 90 per cent and carbon monoxide levels have been cut by 22 per cent. What’s more, the particulate filters fitted to all new diesels that comply with Euro 5 now capture 99 per cent of particulates. ‘Current diesels are the cleanest they ever have been,’ said a spokesman. So in answer to the question, they can buy anything they like. What’s not to love? Old polluting diesel cars get taken off the road. Car dealers sell a nice new car that’s better for the environment, keeping people in jobs, and fewer poisonous gases are emitted into the atmosphere. Oh, and the government makes its money back and more, thanks to the VAT receipts these new car sales generate. So it’s a selffunding, good-for-the-environment policy that boosts the economy – just the sort of thing an embattled government needs to win over millions of defecting voters. Might keep this one to myself then…

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 | 35

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��| CarDealerMag.co.uk

Coming �oon...

trading up.

Scooby and scrappy too Fundraiser ANDY ENTWISTLE experiences an expensive problem with a cracked cylinder head

e started with £2,000 at the start of the year and through our contacts we are trying to trade up, via profits on cars sold, to a supercar, with the funds going to Great Ormond Street Hospital. Following my request last month we’ve had a few bits of metal offered our way – thanks very much for that, and please keep them coming. As a result, this month has been all about buying rather than selling. My good friend Dan Dulieu dropped me a line and said that because of a new addition to the family he was having to offload his Subaru Impreza and get something a bit more sensible. I had a look at the car, and after a brief bit of negotiating we now have a 1999 Impreza for less than £1,500! Although needing a little cosmetic work, this is a rare UK car and has a fantastic service history, serviced every 7,500 miles at a main dealer or

specialist, and she’s just had all her belts and bits done! Outwardly, she is pretty much standard. Being a very late Mk1 she has the full STI styling and, unusually, no rot on the rear arches. She’s had a bit of life breathed into her. comprising an upgraded Prodrive intercooler and a dustbin for an exhaust. Now, given that at Car Dealer Magazine we have all sorts of very nice metal coming through for review, I haven’t seen a car get as much attention as this. When I turned up, there was a queue waiting to take her for lunch… Anyway, Baggott muttered something about doing a twin test with the new WRX, promising to return the keys soon... Now on to the bad news. Living in the countryside, having an old 4x4 is no bad thing, so after writing last month’s Buyers’ Guide I decided a Disco Mk2 would be perfect for our needs. I picked up a very nice one-owner 2002 TD5, top spec, right

colour, good miles, and followed my advice to the T… that is, until we decided to do an oil change and 12 litres of very thin oil came out – I had a cracked cylinder head. Luckily, while pulling together the Buyers’ Guide, the name Turner Engineering in Lingfield came up in more than one forum. These guys can supply an aftermarket replacement head upgraded from the original, which addresses the issues with cracked injector towers. They were good enough to let me have one at trade price, and although this is no cheap fix (we’re well into four figures with labour), my view is this addresses the car’s big weakness and should give us years of good service, even though many people would think a 2002 TD5 is no more than scrap when this happens. Hopefully next month I’ll have some news about the Scooby and the Rover, and if I can get them listed for Boxing Day, with any luck it will be a very happy Christmas for Trading Up!

STORY SO FAR... Suzuki Vitara Paid: £1,500 Spent: £300 Sold: £1,950

Toyota Rav4 Paid: £2,000 Spent: £200 Sold: £3,000

Mazda MX5 Paid: £1,500 Spent: £200 Sold: £1,900

Jaguar XJS Paid: £2,200 Spent: £0 Sold: £2,600

Audi A6 Allroad Paid: £2,250 Spent: £500 Sold: £2,650

Ford Fiesta XR2 Paid: £1900 Spent: £250 Sold: £2650

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REAL DEALS.

I thought I was a bit of a Porsche snob, but I’ve fallen for a 996! ANDY ENTWISTLE bags himself an example of a car that has suffered from an undeserved reputation

he Porsche 996 model 911 was not exactly released to acclaim. So-called ‘purists’ were up in arms that it no longer had the air-cooled engine of its predecessor, and the front-end styling came in for criticism for not looking like a Porsche with the ‘fried-egg’ headlamps. Despite modern convention believing it was the Boxster that saved Porsche, it was actually the 996. And, despite many looking at the 993 with misty eyes (and a large wallet these days), by 1996 it was simply too out-dated when pitted against rivals from Mercedes, BMW and Aston Martin. (In fact, over a similar lifespan, the 996 actually sold double that of the 993.) Early technical gremlins, such as failed IMS bearings, scored cylinder walls and leaking RMS trashing engines didn’t help the 996 win favour with the Porsche old guard. However (and I speak as a Porschephile), the 996 did not deserve this reputation. It was a better car in every way than the one it replaced and, while the IMS and cylinder stories are not without some foundation, having spoken to Hartech who know Porsches inside out, this

is not as widespread as trawling the internet would lead you to believe. It’s actually relatively rare. So, when searching the web for stock, be it personal or for Trading Up, I always scan the Porsche ads. That’s how I came across this car, being sold by Ian at Moorelands in Basingstoke. Ian knows how to spot a good car, with some lovely stock including a fabulous 1974 Morgan. In fact, Ian acquired this around six months ago and has been enjoying it himself until, reluctantly, trading it on now as the bad weather sets in. Now, I have owned many Porsche models and the 911 is without doubt my favourite car, but the only 996 I’ve owned was a very late facelift. I’d always found the early lights and somewhat bright colours on the inside a little much in comparison. However, something about this car caught my eye. Initially, it was the price. At £8,000 it is certainly at the cheaper end of the spectrum. But reading further we discovered that this car has had over £5,000 spent on it in the past year on having the engine out, a new IMS bearing fitted and a few extra updates done. It may not be a guarantee of trouble-free motoring, but it’s certainly a good sign. Digging a little more, I

discovered it was a very early car – quite possibly one of the earliest survivors, in fact. The spec is strong with full electrics, heated seats a dim-dip mirror, air conditioning, cruise control and a tilt slide sunroof (so 90s!). Although she has covered a tad over 100k, she has had only three owners, who have clearly cherished her. So how good is this car? Well, I bought it! A 911 with all the toys that a modern car should have, a cabin in as-new condition and not a knock or squeak from anywhere – I would have been mad not to. I drove her home, and you know what, I think she drove better than ones I have bought that have cost five times as much. The price might have helped but I’ve fallen for this car already and, like a lot of the Porsche snobs out there, I never thought I’d say that.

This 996 that Andy bought drives better than a lot of cars with a heftier price tag! CarDealerMag.co.uk | 39

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DASHBOARD. interview: tony whitehorn

‘PCP isn’t about buying a car, it’s about retaining a customer’ Hyundai boss Tony Whitehorn tells Colin Channon the industry needs to abandon its old-school sales techniques

“

The industry has actually realised what the customer wants, and we have been poor at that.

car showroom has always been the perfect place for a bit of haggling. The salesman wants to get the best possible price for a car. The customer wants to feel as if he’s getting a bargain. But times they are a-changing. And one of the most influential men in the industry feels it’s only a matter of time before haggling disappears altogether from the new-car showroom. Tony Whitehorn is the CEO and president of Hyundai Motor UK – and, early in his career, was a salesman in a showroom in Birmingham. He says PCP has revolutionised the way people buy their cars, although the industry has been slow on the uptake. In an exclusive interview with Car Dealer, sipping his orange juice and lemonade in a bar in Malaga during the international launch of the i20, he said: ‘I was always brought up to think a car was the second-most expensive thing you ever bought. It isn’t any more. ‘PCP has changed our environment. It has been incredible for the industry. We as an industry are getting there, but we are not consistent enough about advertising monthly payments. ‘Okay, I get it that the FCA rules makes it difficult, there’s the APR payment rules, and you have to put a table on your adverts. It’s all complicated, and I have sympathy with that. ‘But we as an industry feel it’s too complicated and it inhibits us. ‘We are getting there. If you look through the adverts now, I would say 80 per cent of them use monthly payments. If you CarDealerMag.co.uk | 41

DASHBOARD. interview: tony whitehorn

There’s more loyalty in style stakes Hyundai is planning big changes to its range of models over the next few years. It plans to increase the spec on its models to make them more attractive to buyers, and to encourage families into its B-segment i20 (see page 46). And it also intends changing each model every three years or so to help dealers sell more cars. Tony Whitehorn says: ‘For the average customer, Premium models used to be “Oh! I can never get that”. But we are changing that. ‘In the i20, we have a panoramic roof that opens and tilts. We are bringing those things that previously we didn’t have into a customer’s budget. That to me is true value for money. ‘In the past, value for money meant making it cheap. Of our old i10, about 35 per cent sold were the entry model. With the new i10, it’s five per cent of the entire sales. ‘From a dealer’s point of view, that’s fantastic. He works on a margin, so if we can sell up the range, he makes more money. ‘It’s good for us as well, as a manufacturer, as we make more money as we go up the range, so everyone wins. That’s what we are trying to do. We want to make the middle range of the car the best value for money in the range, as it’s much easier to sell. ‘Someone goes into the showroom and the dealer says: “Mr Customer, for £100 a month you can have this car, or for £105 a month you can have this car with fog lights, alloy wheels, electric rear windows... well, it’s a no-brainer. That’s how it works now. ‘If you’re a manufacturer, what you have to do is have a lifecycle for a model that is relatively short. If you have too long a lifecycle, you go to your customer after three years and say, “I’m glad you like your car, how would you like to change it? We can give you the same again, for

were to look at adverts a year ago, half of them were. Two years ago, 20 per cent were. ‘So we have moved away from saying “save £1,000 – the car was £15,000, now it’s £14,000...” We are better at looking at things from a customer’s point of view and saying that everything you buy is on a monthly payment. ‘The industry has actually realised what the customer wants, and we have been poor at that. ‘We have been very entrenched in “this is what we have, this is what you are going to take”. We have to be much more flexible in thinking, “if I were a customer, how would I want to buy a car?” That would be with monthly payments. So how can we start advertising that? ‘In a year’s time, I don’t think people will be talking about the list price of a car half as much ��| CarDealerMag.co.uk

the same amount a month. And we can offer you a different colour.” ‘Take the i20, which is a good example. It was facelifted two-and-a-bit years ago. So if someone bought that on a PCP, now, with a new i20, there’s a reason for him to change. ‘We can say to a customer, you’ve had your car for two-and-a-half years, I know it’s a three-year agreement, but how would you like a brand-new i20 for £5 a month more? ‘He’ll say, “can I really have that kind of car for just £5 more? Not only a brand-new car, but a brand-new model?” ‘If a car has too long a lifecycle, it’s much more difficult to do that. The way we are looking at it, we need to tweak a car every twoand-a-half years, and bringing out a new model every five years. That’s very general. ‘The old i20 came out in the middle of 2009. We have a new model now, and we gave it a facelift in the middle. ‘There are opportunities to go back to a customer with a reason to change it. ‘In 2017, we’ll be looking to do something again to the new i20. That’s the kind of lifecycle, it must have a defined period. ‘There are a number of manufacturers who have the same product they had nine years ago. That’s incredibly difficult to sell. ‘People will say, ‘‘I’ve had the red one, and I’ve had the green one...’’ ’ Is a tweak of a design enough to attract a buyer to take a new version of a car? ‘It is more difficult, of course, if you’ve made a subtle tweak,’ says Whitehorn. ‘The i20 is a fundamental step change to the previous car. Before, people bought it purely on price. Now that i20 has gone, and they’ll buy the new one primarily on style. ‘When you buy a car on price, you don’t

as they will be talking about monthly payments. So they’ll look at the list price of a car, say £10,695, and think that’s a great price, but what’s more important is what’s the monthly payment. ‘To be honest, I don’t know many people who have £10,695 in their back pocket to buy a car. To them, what’s more important is how much is the deposit, and how much are the monthly repayments. ‘That’s the reality from the customer’s point of view, and we as an industry have not got to ignore the list price, as it’s indicative, of course it is, but we have to concentrate on what the customer wants, and that is ‘‘what will it cost each month?’’ And be consistent about it. ‘What it does for the industry is to take some of the haggle away from it. Personally, I think

“

The i20 is a fundamental step change from the previous car. Before, people bought it purely on price.

foster any loyalty. I look around, I buy a car from a manufacturer because it’s a cheap car, and when I come to change it, I’ll look around to see what is a cheap car, and it may or may not be the same manufacturer. There’s no loyalty buying on price. When you buy it on style, it’s an emotional purchase. When it’s an emotional purchase, it’s enough to foster loyalty. ‘Now we have established our cars on style, our loyalty is incredibly strong.’

Genesis model The new Genesis model will be available in just six showrooms. Those showrooms will be in Coventry, Edinburgh, Guildford, east London, Nottingham and Manchester. The sales teams in those centres will receive specific training on the Genesis, although for customers who are attracted to the high-end car, repairs and servicing will be undertaken at any Hyundai dealership.

‘WE eveN GOT CONGRATULATED BY DEALERS ON PRICING!’ ‘I WAS with a lot of dealers the other day and they told me we had done a great job with the pricing,’ Tony Whitehorn told Car Dealer. ‘I told them I was amazed. We never get congratulated by dealers on pricing. ‘The price and the specification of that car is where it needs to be. It was interesting to hear what the dealers had to say. If you can’t get the dealers on your side, you will not get the sale. ‘Getting the dealer network on board before the car is launched in incredibly important. ‘They were sceptical about the new i10. Just

imagine if you’re a dealer. In 2013, your best-selling car was the i10, and you’re selling it for £6,995. Then we tell them we’re giving you a new proposition, a new i10, and it’s going to be more expensive. You’re thinking, this is going to be the death of my dealership. ‘But this year we are going to sell more i10s than we have ever sold before, the transaction price has gone up – not quite into four figures, but almost – well, all that’s quite good. ‘We have increased the volume and increased the transaction price.’ it’s a better customer experience. People are now saying, ‘‘can I afford £100 a month?’’ And a salesman can say, ‘‘for another £5 a month, you can have the alloy wheels, the rear electric windows, the fog lamps.’’ ‘The question dealers should be asking now when a customer walks into a showroom is ‘‘tell me, how much do you want to spend a month?’’ ‘Traditionally, a customer has come into the showroom and said he has always had one of this car or that car, and that he wants more of the same, and we have chatted about that. ‘But if the customer says he can afford £130 a month and a £3,000 deposit, we need to say, ‘‘right, with that, you could have a car like you’ve always had, or you could have an SUV.’’ And he’ll say, ‘‘really, I CarDealerMag.co.uk | 43

DASHBOARD. interview: tony whitehorn

‘What I want now is a bit of excitement’ Hyundai says its biggest problem isn’t the look of its cars, or the price of its cars. It’s raising its awareness in the marketplace. If someone is thinking of changing his car, he immediately thinks Ford, Vauxhall, Mazda, Toyota…. Hyundai is well down the pecking order. The manufacturer intends doing something about that by introducing a new coupe in March – a striking-looking car. But it has ruled out filling a gap in its profile and producing a sports car or a convertible. Tony Whitehorn admits: ‘Our biggest problem

never thought I could afford one like that.’’ If I want a fridge, I buy the one I can afford. I want a list of the fridges I can afford, and I’ll choose one that I like the look of and that suits my needs. ‘We need to do the same, and ask what the customer’s budget is on a monthly basis, and work from there. ‘I find the whole thing fascinating. I was brought up on sitting the customer down with a steaming cup of coffee and then asking what they were looking for. ��| CarDealerMag.co.uk

as a manufacturer is awareness. When you put a car on your drive, you want to look at it and think: “That’s a nice-looking car.” You want a neighbour to look at it and say “that’s a nice car”. You can get away with it more when you have a stronger brand - “Oooo, you’ve got an Audi, you’ve got a TT, nice car”… it’s got a kudos about it. ‘The way you can get there is through design and style. If we can make our cars more attractive, people will say, ‘‘ah, it’s a Hyundai, they make nice cars”.’

‘Now we’re starting the conversation with “what kind of budget are you looking at?” The good salesmen are already doing that. They’re talking about monthly payments, rather than ‘‘we can give you £1,000 off that car’’. The customer, to be honest, doesn’t know whether £1,000 off is a good deal or a bad deal. He’s just interested in

So what about introducing something sexy – a sports car, maybe a convertible? Whitehorn says: ‘The trouble with a convertible is that they are very, very difficult to make money from. ‘With the pure coupe market, sure, it has the sex appeal, but the problem is you’re not going to get very much volume out of it, and therefore you are going to lose your shirt. It’s incredibly expensive because there’s not much volume. ‘VW have gone a great job with the GTI. ‘They took the standard Golf and sexed it up,

what he can afford, not what saving he’s getting. That’s quite a big change for the industry, and it starts to reduce the haggling. It’s starting to say to the customer, “I’m here to look after you, I’m here to ask what you can afford, and then look at the cars available.” ‘These days, a car is as easy to buy as a phone. I can buy a mobile phone for £100 a month. I can also buy a car for £100 a month. ‘That fundamentally changes people’s idea of buying a car. ‘It’s a real shame it’s called a PCP. People hear that and think “what the heck’s a PCP?” Why can’t we just say it’s a finance agreement? And a finance agreement means you put down

whitehorn on the competiTion

and that added kudos to the VW brand. That’s something we’re doing with the i20 and the WRC. We’re taking something to the WRC, then putting it into a proper roadworthy car, with some similarities, which then cascades into the i20. ‘Look what Ford did with the XR3i. Everyone wanted the XR3i. It looked amazing. It was a fantastic-looking car. ‘Most people couldn’t afford the XR3i so they bought the XR3. Clever. Very clever. And some people could afford the XR3, so they bought the Escort. And people thought Ford, yes, good cars. ‘When you analyse it, it’s a classic way of doing it. It wasn’t a costly way of doing it, because they had the chassis already on the XR3. It’s a clever way financially of doing it,

rather than saying ‘‘let’s make a standout car’’. ‘Mazda did it the other way with the MX-5 but that’s an iconic car. That’s been going on for ever. They’ve developed it and they have done very well, to be honest. It still has some of the old MX-5 but it has been brought into the 21st century. From their point of view it’s less of a risk because they have heritage. ‘If you have heritage, it’s much easier. For us to go out and do a full coupe, whether a cabriolet or whatever, it’s much, much more tricky. ‘It would raise awareness, yes, it would do that for us, and I’m not saying it’s impossible, but it’s much more risky doing it that way. And although we’re a business that doesn’t mind taking risks, if we can limit those risks, it’s much easier. ‘We’re always talking about things, but it’s not on the drawing board at the moment. It’s much more about the existing models we have got and putting better engines, and more performance engines, into them. That has got to be the vision we are going for. ‘People who used to buy our brand based purely on price are now buying it on style and comfort, but what I want now is a bit of excitement.’

Audi TT It’s got a kudos about it

VW Golf GTi VW have gone a great job

Mazda MX-5 That’s an iconic car

175

Hyundai have about 160 dealers around the country. Next year, that figure should rise to 165, and 12 months after that it should reach between 170 and 175. The company is still looking for outlets in London, Crawley and Wigan.

£150 as a deposit and then £150 a month. People will think, “I can afford that”. That’s what a customer understands. ‘From a dealer’s point of view, what a PCP means to me isn’t just a means of someone

buying a car. It’s a way of retaining a customer. ‘You can say to a customer that for £150 a month you can have a PCP or you can have a five-year finance deal. There’s no difference to the customer how much they’re paying each month. But from a dealer’s point of view, with a PCP they have to go back to the customer in three years – and probably a bit earlier. With five-year finance, they need never to talk to the customer again.

‘Using a PCP is not about buying a car, it’s about retaining a customer, and this industry now needs to focus on retention. That’s the biggest thing we need to focus on. Historically, all we’ve been worried about is that we must sell a particular customer a car – we must sell him this car, we must sell him that car. And then he’s gone. ‘Today we need to sell him a car on a PCP and at the same time give him a fixed-price service plan. That way, he’s not just a customer, he’s a client. A client is a long-term relationship.’ [CD] i20 review, p46 CarDealerMag.co.uk | 45

forecourt.

Hyundai i20 New model is redefining the way dealers look at cars. This isn’t a vehicle for couples or empty-nesters – this is very much a car for the whole family...

yundai aims to revolutionise the way dealers look at cars as it embarks on a campaign to redesign its range of vehicles. Forget all the talk of A-segment cars and B-segment cars – Hyundai has no intention of allowing its new models to fit neatly into a single category. The old i20 was, according to Hyundai’s UK chief Tony Whitehorn, aimed at ‘couples, empty-nesters and very much a family’s second car’. The all-new i20, though, busts that idea out of the water. It is being marketed as a family car, pure and simple. It’s not a B-segment car. Think of it as a B-plus vehicle… Whitehorn told Car Dealer: ‘Traditionally, B-segment cars are for couples, empty-nesters – people who have retired – and as a second car. ‘The difference with this i20 is it could cross into being an alternative to a C-segment car, which turns it into a family car. If you sit in the back of the i20, you’ll think “I can get four people into this”, and that’s unusual for a B-segment car. You wouldn’t say a Fiesta is a family car. A friend of mine has a Fiesta and now he has a little kid he’s thinking of buying a Focus. Why? Because a Focus is more of a family car. A Fiesta is not a family car. ‘The i20 could come into being a

family car. That’s why the car is very interesting. It’s a B-plus car, if you like. ‘The i10 is the same. It’s an A-plus car. We wanted to make it a bit bigger, put a bit more equipment in it, to almost come out of the A segment and straddle the two segments. ‘That way, you’ll suck people into it who wanted a B-segment car. ‘With the i20, we’ll do the same with people who wanted a C-segment car. It’s an interesting dynamic. A customer doesn’t think, “this is a C-segment car”. He doesn’t understand any of that. All he thinks is whether he could get his family into it. And yes, he can.’ So if that’s Hyundai’s thinking, will it straddle all segments, and produce C-plus and D-plus cars? ‘It’s a lot easier in the A and B segments,’ says Whitehorn. ‘Once you start trying to do a C-plus, that becomes a bit tricky. I can’t see the C segment becoming a lot bigger. ‘As for the i20, I think this car will still attract the couples, the empty-nesters and those looking for a second car. But in addition, because it has the capability of doing it, it will pull people in from the other segment. ‘We are starting to challenge our industry. Our industry is very traditional and wants to put cars into a little box. Why do we need to do that?’

on test

So how does it compare with other family cars? Colin Channon takes it for a spin at its What is it? An all-new version of the popular i20 hatchback. It has been designed, engineered and built in Europe and will be available in showrooms from January. It is wider and longer than the previous model, making it large enough to seat four adults comfortably, meaning Hyundai will be targeting the family market with this model. The new design is very elegant, and the interior is roomy. The high-end Premium SE model includes posh kit such as a panoramic glass sunroof.

What’s under the bonnet? There are 83bhp 1.2-litre and 99bhp 1.4litre petrol engines, and 1.1-litre and 1.4litre diesel versions developing 74bhp and ��| CarDealerMag.co.uk

89bhp respectively. The 1.2-litre petrol engine is surprisingly sprightly. It is likely the 1.4-litre will be the big seller, though. It won’t pull up any trees in the acceleration stakes, with 0-60mph taking around 13 seconds, but for a family car which will be doing most of its motoring around town,

that’s more than enough. What is more important with a car like this is economy, and it will deliver around 55mpg with the 1.2-litre petrol engine, and a whopping 88mpg with the 1.1-litre diesel.

What’s the spec like? This is where Hyundai really expects to score. The bestseller is likely to be the i20 SE, which includes electric windows front and back, remote central locking, tinted windows, USB connectivity, manual air conditioning, intelligent stop and go, voice-activated Bluetooth, cruise control, front fog lights, a lane departure warning system, and reversing sensors. The next level, the Premium, includes a smartphone docking station on the dashboard which enables

LOOKS

INSIDE

A new sleek design, which is longer, wider and lower than the old model. It’s quite an eye-catching combination...

It’s neat and tidy with plenty of leg room – and a fair few gadgets to play with. It’s a big improvement on the old i20

ENGINES

the knowledge

Three petrol engines and two diesels are on offer now – but later this year a new 1-litre turbocharged number joins the ranks, which should offer a bit more oomph

launch in Spain – and avoids getting lost with its tiny sat nav... a phone to be used as the sat nav – feedback from customers suggested they didn’t want to have to buy a separate sat nav when that technology is available on their phone. The phone charges while in the docking station. One drawback with this? It’s currently only compatible with Samsung Galaxy and iPhone 5 and 6 models. The display is also incredibly small compared to most dedicated sat navs on the market, and takes some getting used to.

What’s it like to drive? Very impressive. The new-look interior is a pleasure to spend time in, and the car drives very well. It’s very responsive and visibility is good. The petrol engines are incredibly quiet, as well as delivering impressive mileage.

What DO THE PRESS THINK? Parkers wrote: ‘It lacks the taut responses and upper-level of feedback offered by the Ford. But that’s not what buyers in this segment most often desire, and the i20 is a comfortable, relaxing car to drive. As a value proposition, it’s hard to beat.’

what do we think For a model that would previously be aimed at couples, this is a bold initiative by Hyundai. And it delivers. There are a lot of toys and gadgets to play with that come as standard, and the car will look very smart parked outside the house. And it offers a very pleasant ride, even if you’re a speed addict and it doesn’t knock your socks off. It’s easy to see parents attracted to the i20 as their family car.

Model: Hyundai i20 SE Price: £12,725 Engine: 1.2-litre, four-cylinder, petrol Power: 83bhp 122Nm Max speed: 105mph 0-60mph: 13.1s MPG (comb’d): 55.4 Emissions: 119g/km Residual values (three years): tbc

target buyers: Families – although it’ll still be seen as a good second car...

the rivals: The Focus and the Astra

Key Selling Points: 1. All the toys and gizmos 2. Sleek new look 3. Loads of space inside

Deal Clincher:

Hyundai’s legendary five-year unlimited-mileage warranty CarDealerMag.co.uk | 47

forecourt.

Audi Q3 We take a trip to Munich to test the new Q3, which will be available in the Audi showrooms in the spring. Colin Channon is quite impressed by it all... So this version of the Q3 is more a tweak than a fully-fledged upgrade, right? Yes, that’s right. If you had a picture of the old Q3 and put it alongside the new Q3, you’d have to be an Audi aficionado to really tell the difference. Are Audi resting on their laurels, then? No, not a bit of it. I got the opportunity to speak to a few of Audi’s designers and engineers, and they’re loving what the future holds. Like what? Well, it was really interesting. It takes about four years for the men in the white coats to come up with a design to the time the car is launched and journalists get a chance to slide behind the wheel and take it for a drive. So although this Q3 was new to us, to the boffins, it’s old technology. They’re already working on new things. Err... to repeat myself, like what? Well, they’re very aware that customers are becoming more demanding. What was an optional extra a little while ago now needs to come as standard. For example, Xenon lights were something special only a few years ago – real cutting-edge technology. Now they’re standard on the Q3 range. And the engineers told me they’re now looking at laser lights. Give it a few years, and they’ll be standard, too...

They also said things like parking assist will, in time, become standard, too, along with decent sat-nav systems – they’re extras that drivers are coming to expect in their cars. Which sounds good to me. I’m fed up with driving cars with no parking assist – and, even more frustratingly, cars which manufacturers fit with rear assist, but nothing at the front. Why not? You try squeezing a car into some of the spaces allocated in today’s multi-storeys... Okay, calm down. Get back to the subject in hand. What else did Audi say? Well, they were very proud of the new TT. A review of it appeared in Car Dealer a couple of months ago, and it went down a storm with us. And the boffins like it, too. They said it looked ‘more masculine’ – although, as an owner of the second-generation TT, I did tell them I took exception to the suggestion my car is in any way feminine... They said it was a gutsier, more dynamic drive that was just much more fun than the old one – and that it looked better. Are they building on the TT range, then? Oh yes. A new RS version will be on its way. Unfortunately, they remained very tight-lipped about what it will include – and I tried, really I tried – but they smiled when they told me it would be very exciting. So unfortunately it’s a case of wait and see. They did say they had been bowled over by the new TT’s success in Germany, and expected the same level of

contentment from customers in the UK. Can we get back to the Q3 launch? Anything else impress you? Yes, how well the Audi executives spoke English. They gave the news conference in German and we all wore headphones while someone translated, but afterwards when we spoke to the engineers and project managers, their English was better than mine... To be honest, I really meant the car. Well, the lane assist was quite impressive – cameras detect the lane markings, and if you veer to much to one side without indicating, the steering automatically takes over and eases you back into the correct position. Cameras also detect traffic signs so the speed limit for each road is displayed on the driver info display. It also works for no-overtaking signs. And the indicators were pretty novel. They don’t just blink on and off – they scroll, from the inside out in the direction the car is turning. Of course, that’s really clever – but pretty useless. If I’m behind the steering wheel I’m not going to see them, am I? Why should I pay for technology that I’m never going to be able to see for myself? I’d rather the money had gone on parking assist for the front of the car. Have I mentioned before how I struggle to get a car into the teeny-weeny multi-storey parking spaces?

on test

So what does the new Q3 drive like? And is the new super-quick RS version as good as What is it? The long-awaited revamp of the Q3 range. It’s more of a tweak with the cosmetics – a new radiator grille, new-look bumpers and different alloy wheels. It’s a very nice-looking compact SUV and will catch the eye as it becomes available in the showrooms. It’s available to order now, with the first deliveries expected in the spring.

What’s under the bonnet? New to the Q3 range is a 1.4 litre TFSI petrol engine with the Cylinder on Demand technology available previously in only the A1 and A3 ranges. This offers 0-60mph in less than nine seconds, plenty ��| CarDealerMag.co.uk

for a car like this, and more than 50mpg. There’s a 2-litre version too. There are two diesel four-cylinder TDI offerings. The 2-litre offers 7mpg more than the previous version, up to 61mpg. The real fun element of the range is the RS Q3,

which offers a 2.5-litre five-cylinder 340PS engine, giving 0-60mph in 4.8 seconds and almost 33mpg. Plenty of enjoyment to be had.

What’s the spec like? There are three trim levels – the SE, S line and S line Plus. Xenon headlamps, previously an optional extra, are now standard on the entry range, and LED lamps are fitted in the other models. Fitted as standard across the range are Bluetooth, iPod connection, a 6.5 inch retractable display screen, dual climate control, and light and rain sensors. Audi drive select – previously an extra – is now a standard feature, which allows drivers to influence engine characteristics

INSIDE

ENGINES

Comfy sports seats, a retractable display screen (shame it’s manual and doesn’t pop up automatically, but is that nit-picking?) but lots of toys. And it looks good.

Audi’s clever Cylinder on Demand system shuts down two cylinders when you’re cruising, bringing them smoothly online when you accelerate. Saves fuel without you noticing. Cool!

the knowledge

LOOKS

New radiator, new bumpers, new wheels – and a new steering wheel. It’s a tweak compared to the old Q3.

it looks? We take to the roads of Germany to find out... and toggle between settings such as Comfort, Auto, Dynamic, Efficiency and an Individual setting to experiment with. Hours and hours of fun here, finding out what the different characteristics mean to the drive.

What’s it like to drive? Nice. Seriously nice. The Q3 was already pretty popular, and the new models offer extra power, better economy and CO2 reductions – a winner all round. It’s responsive, visibility is good, it’s roomy, and there are plenty of gizmos as standard. The RS is a serious funmobile – quick (very quick) with nice interior looks, yet still with space for the whole family to sit in comfort. It shot along the roads surrounding the airport

Model: Audi Q3 2.0 TDI SE Price: £26,880 Engine: 1968cc four cylider Power: 148bhp Max speed: 126mph 0-60mph: 9.6s MPG (comb’d): 61.4 Emissions: 119g/km Residual values (three years): tbc

at Munich for its internationl lanch – so much so that one journalist was pulled over by the local constabulary for going way too fast. It’s easy to see why – it rockets along.

target buyers:

What do the press think?

Range Rover Evoque, BMW X1

Bit of a mixed bag. Auto Express liked the RS – and said: ‘It’s not the last word in precision but for those who want the kudos of an RS badge but love the practicalities so inherent to the Q3, the car is appealing in a strange sort of way. It’s an expensive oddball but it’s easy to see the appeal.’ Top Gear says: ‘It’s very easy to see its appeal. Audi expects it to sell best with the optional seven-speed paddleshift S tronic gearbox, and thus equipped, it’s an exceedingly effortless car to drive.’

Families who want a bit of oomph and class

the rivals:

Key Selling Points: 1. Plenty of space for the family 2. Great fun to drive 3. Lots of toys now come a standard

Deal Clincher:

Even better mpg to match its good looks CarDealerMag.co.uk | 49

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Search for ‘Car Dealer Magazine’ in the iTunes store ��| CarDealerMag.co.uk

forecourt. INSIDE

Minimalistic, but some nice lighting effects that give it a fuzzy, soft feel. Surprisingly roomy – in the front, anyhow

LOOKS

Very striking. The paint job looked nice, although it’s shaped like most other superminis

THE RANGE

The biggest disappointment. Fifty miles isn’t much – although a 30-minute rapid charge, which restores 80 per cent of the power, isn’t bad

MG Electric Vehicle

MG is poking its toe into the electric car market. Colin Channon takes a ride – and kills a defenceless seagull in the process... What is it? First of all, let’s get one thing straight – it’s a concept car, so no-one can buy it yet. MG has produced it to test the water, and to see what could be achievable. If all goes well, this could make it into the showrooms – but there’s no timescale yet or a price.

What’s under the bonnet? Not under the bonnet – under the seats. A great big battery pack. Enough, at any rate, to deliver about 50 miles on a full charge (although MG says that’s a realistic figure with lights on, wipers going, and radio blaring out, which all drain the battery). And as this is only a concept car, I wasn’t too worried when, beetling around town, two lights were extinguished on the charging display. But if the battery has the same amount of oomph as an AA you’d find on a market stall, it’d be a concern. But technology being technology, that can be sorted. And MG will be very aware that rival

electric cars deliver about 100 miles between charges.

What’s the spec like? Surprisingly good. Okay, all things are relative, and there’s no idea of a price yet. But the interior was very comfy, there’s room for four people (two in the front in plenty of comfort, the two in the back need to have very flexible legs or still to celebrate their tenth birthdays). And forget taking all four people to the shops. The boot is tiny – it might just about have room for the bags containing takeaways for four people, but not a lot else. The touch-screen info panel was a bit fiddly and not the most responsive, but it did its job.

What’s it like to drive? The million-dollar question. And the million-dollar answer? Very nice. It’s a very sweet supermini that could cruise merrily about town all day – or until the battery runs out of juice. The acceleration from a standing

start is good – the MG bumph says 0-30mph takes 5.3 seconds, It drove nicely, cornered well, and was easy to park. The only warning? It’s so quiet. Backing the car off my drive, I almost ran over a pedestrian who didn’t hear it. And I felt for the seagull which is now squashed on the road, as it was pecking at roadkill, didn’t hear me coming, and disappeared under the wheels….

What do the press think? Not a lot to go on, as it’s still in the concept stage. But AutoCar reckons if it is priced correctly, it could be ‘MG’s greatest product’. Auto Express took the same line, saying if the price is right, it could have a ‘bright future’.

What do we think? It’s very sound. It drove nicely, was very nippy, and for people with a small commute or who want a runaround for town, it’s ideal. And it looks very smart. But that battery life may need a tweak.

the knowledge Model: MG EV concept Price: TBC Engine: Permanent magnet synchronous motor Power: Power: 70bhp at 8000rpm Max speed: 81mph 0-60mph: 14.6s Range (miles): 50 Residual values (three years): tbc

target buyers:

The ‘I like to beetle around town’ types and MG enthusiasts

the rivals:

VW e-up! and Nissan Leaf, the market leader.

Key Selling Points:

1. Its looks 2. If the rumours are true, it’ll seriously under-cut the rivals, so the price will be a big plus 3. If you love peace and quiet – and hate seagulls...

Deal Clincher: It’s going to be the price. If it’s pitched right, it could go down a storm CarDealerMag.co.uk | 51

forecourt.

Kia Soul EV INSIDE

White trim detailing gives a futuristic air to an otherwise standard Soul cabin

the knowledge

Model: Kia Soul EV Price: £29,995 (before £5,000 government grant) Engine: Electric motor Power: 81bhp, 285Nm Max speed: 90mph 0-60mph: 10.8s Range: 132 miles Emissions: 0g/km Residual values (three years): tbc

target buyers: Young professionals and urban families looking to reduce their carbon footprint

the rivals: Nissan Leaf, BMW i3, Volkswagen e-Golf

Key Selling Points: 1. Nippiness makes it a boon in town 2. Funky styling will get you noticed 3. Same seven-year warranty as all other Kias

Deal Clincher:

The greatest claimed range of any affordable electric car currently available ��| CarDealerMag.co.uk

ENGINE

looks

Little visual difference over the standard Soul, meaning trendy styling and a chunky stance are the order of the day

109bhp electric motor gives a decent turn of speed and has a range of 132 miles

on test

Christofer Lloyd takes a trip down Electric Avenue with What is it? The Soul EV is an electric version of Kia’s striking Soul medium car. In place of a petrol or diesel engine this machine has an 81bhp electric motor and a bank of lithium-ion polymer batteries, which should give a real-world range of over 100 miles. Just one model will be available – a well-specified top-line version that includes sat-nav, a reversing camera, digital radio, heated seats, a heated steering wheel and standard metallic paint. Unlike many other cars where buyers can choose from dozens of paint shades, stickers and a long list of optional equipment, just two colour choices will be available – two-tone blue and white and silver. Kia makes big claims about the efficiency of its new motor, batteries and auxiliary electrical

systems. The batteries offer class-leading energy density, meaning they can power the car further for their weight than rivals. Helping to make the most of the car’s range, it offers driver-only air conditioning, where just the vents directed at the driver are used, thus cutting energy consumption.

What’s under the bonnet? Just an electric motor. The batteries are located underneath the cabin, meaning the rear seats are slightly higher than in the standard Soul, reducing interior space marginally. Charging the car on a typical domestic power supply takes around 10 to 13 hours, though charging the batteries from flat to 80 per cent on a rapid charger takes just 33 minutes.

David Labrosse, head of product planning for Hyundai Motor Europe, explains why the Kia Soul EV is as close as possible to a ‘normal’ car The official claimed range for this car stands at 132 miles. How close will it get to that in the real world? In mild weather conditions, I’m not afraid to say 200km (124 miles). Your range will decrease by driving at night, or going below zero degrees and over 25 degrees and when you need to switch on the climate control. Then your range will clearly reduce. If you are driving on the motorway or at over 50mph, 56mph, and 62mph, the range will decrease the faster you go. But in normal city driving, I’m not afraid of saying we’ll be able to match that figure. I’m looking forward to feedback from the press when they check this, but it will be close. It’s very realistic and really it depends on the weather and the external conditions. Our idea was really to make this car as close as possible to a normal car. We don’t see the use of setting up regenerative braking, as there are so many people a little bit afraid of driving an electric car, we don’t want to break through in another direction. We don’t want a revolution, we want a customisation of the powertrain. Who is the target buyer for the Soul EV? Early adopters, and also older people who really want to experience something new. And that’s why we decided the

Soul would be the right Kia because we believe people want to innovate and they maybe want to show it. And the Soul is also a very iconic design. And this person is urban and is characterised by a normal house, workplace and community – our priority was to target people who have a home where they can park their car in front. We also believe there is an opportunity for fleet business. How do you see the typical Soul EV owner charging their car? The typical way will be one you have at home and charge with the wallbox and you are able normally to go to work and come back within one charge. This is probably the most conventional set-up. Kia is going down the electric car route. Sister company Hyundai is developing hydrogen-powered cars. How is the sharing of technology going to work? You should see mobility as a vision far beyond pure electric cars. The share of technology is within electrical motor and battery technology. Those are your common points. But another

common point is energy flow management, battery technology, the electrical motor and mechanical components. This can all be 100 per cent shared with hybrid vehicles, and plugin vehicles. The difference is charging from an electric point of view and fuel-cell from a hydrogen point of view. There will be 13 UK Kia dealers who specialise in electric cars. How will they be different to other dealers? For sure we need dedicated people who are able to have a wider range of knowhow about the vehicle, because they will have to answer questions they’ve never thought about before. When you buy a conventional powertrain you don’t need to think about these things – just fill up the car and drive. With electric cars there are many more questions about durability, about repairing the car: ‘is it dangerous’, ‘can I get an electric shock?’ Also the customers as early adopters are also probably more technically oriented. They are making a clear decision that they don’t want to drive a petrol or diesel car, and for sure their knowhow is not as good as with a conventional car and they want to know more. And they know when they drive such a vehicle they are going to have some questions. Dealers are going to receive a flow of questions that you never get when buying a conventional car.

Kia’s new offering WHat’s the spec like? Generous. As standard, the Soul EV includes a touchscreen sat-nav system, digital radio, parking sensors and a reversing camera. Also included is climate control along with heated front seats and a heated steering wheel.

As a medium-sized electric car the Soul EV lines up alongside the popular Nissan Leaf and the more upmarket BMW i3. The Soul beats both for claimed range, though performance lags behind the BMW somewhat.

and quiet at city speeds. The only noise disturbing the silence is a virtual engine hum that is created under 13mph to alert pedestrians. The electric motor provides instant power, which makes for quick progress away from traffic lights, though the BMW i3 is substantially perkier. The ride is smooth, though a little firm, while the steering and controls are light and easy to handle. However, the brake pedal does need a fair amount of pressure to bring the car to a quick halt.

What’s it like to drive?

What do the press think?

Any rivals?

As an electric car the Soul EV is supremely smooth

Autocar said: ‘While the Soul EV delivers the

typically compelling electric car dynamic of smooth and torquey performance and a quiet cabin, the whole package feels somewhat dated. ‘That’s not to say the Soul EV has nothing going for it; quite the opposite, in fact.’

What do we think? The Kia Soul EV is an appealing electric car that drives well, offers a spacious interior and a huge list of standard equipment. It’s not the most upmarket, fastest or cheapest electric car on the market, but it offers a strong mix of qualities that should make it appeal to many car buyers who don’t often need to go on longer journeys. CarDealerMag.co.uk | 53

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forecourt. INSIDE

Interior boasts the same high level of quality as the standard A3 Sportback

under the bonnet

A3 can travel at up to 80mph running on electric power alone

Audi A3 Sportback e-tron

LOOKS

There’s little to differentiate A3 e-tron’s styling from petrol and diesel models

It’s much more expensive than a standard A3 – so is this new hybrid worth its premium price tag? Chris Lloyd reports What is it? The A3 Sportback e-tron is a fivedoor, five-seater plug-in hybrid, which offers 30 miles of electric-only driving and claimed fuel economy of 176.6mpg. With an electric motor, the car offers emission-free driving around town, provided the battery is charged – which can either be achieved by plugging the car into the mains, or using the petrol engine to add extra charge. This well-equipped model is based on the standard A3 Sport and gains a few extras, such as sat-nav. Prices start at £34,950 – though this drops down to £29,950 after the government’s £5,000 plug-in car grant. However, this figure is still nearly £6,000 more than the list price for a turbocharged 1.4-litre petrol A3 with an automatic gearbox.

What’s under the bonnet? The e-tron has a 148bhp petrol motor under the bonnet, along with an electric motor hidden underneath

the rear seats. Together they produce 201bhp – enough to launch the e-tron to 62mph in 7.6 seconds, with the addition of an electric motor nearly trebling fuel economy over the standard 1.4-litre petrol equivalent.

rougher roads and the A3 e-tron’s ride is firm, with the car thrown around by ruts in the road, and lots of road and tyre noise making its way into the cabin – even on the standard 17-inch alloy wheels.

What’s the spec like?

What do the press think?

This hybrid A3 receives all the same equipment as Sport and a few extras, meaning most of the kit you could want comes as standard. Featured on all e-trons are sat-nav, LED headlights, rear parking sensors, automatic headlights and wipers and 17-inch alloy wheels.

What’s it like to drive? The A3 e-tron’s on-road performance is a story of two halves: when driven gently on smooth roads the car is quiet, comfortable and economical, with around 70mpg showing up on the trip computer relatively easily – though this is still drastically short of the car’s official economy figure. Up the speed, however, or take to

Autocar said: ‘There is nothing particularly groundbreaking here, but the detail refinements Audi has applied to the plug-in hybrid formula have created an extremely convincing proposition.’

What do we think? The e-tron makes sense for drivers who cover longer journeys and cruise at lower speeds, where they can get relatively close to the car’s impressive 176.6mpg claimed economy figure. It has many strengths as a car, but this model’s high price, slightly bumpy ride and uninspiring handling around bends mean the standard 1.4-litre petrol car makes a more sensible – and better-value –

the knowledge Model: Audi A3 Sportback e-tron 150PS S tronic Price: £29,950 Engine: Turbocharged 1.4-litre, four-cylinder, electric motor Power: 201bhp Max speed: 137mph 0-60mph: 7.6s MPG (comb’d): 176.6mpg Emissions: 37g/km Residual values (three years): tbc

target buyers:

Those who cover many miles and can recoup the £6,000 premium over the standard A3 1.4 TFSI 150

the rivals:

Toyota Prius Plug-in, Vauxhall Ampera, Volvo V60 Plug-in Hybrid

Key Selling Points:

1. Ability to run on electric power alone 2. Impressive claimed fuel consumption 3. Stronger acceleration than equivalent petrol A3

Deal Clincher: Offers zero-emission journeys if you can charge at home and travel fewer than 30 miles CarDealerMag.co.uk | 55

Used Car Awards 2014

A night to celebrate this great industry... ��| CarDealerMag.co.uk

well, what a night that was! More than 400 of us packed into The Brewery in central London to celebrate everything that is good about the used-car industry. It was the third time Car Dealer had brought together so many people from the industry into the same room – and this was the biggest and the best celebration so far. Of course, it goes without saying we couldn’t have done it without the help and support of our headline sponsors, Black Horse, and the other

sponsors who backed the 21 awards we gave out on the night. Our heartfelt thanks to each and every one of you – without your backing, we simply would not be able to make it such a memorable occasion. It was a night of celebration and of fun – the pre-Christmas frivolities oiled by the free bar. But it’s worth being serious for a moment to reflect on how important the used-car industry is to UK plc. According to the BCA Used Car Market Report – and what a great piece of work that is – the

value of used cars changing hands in 2013 topped £42.7 billion pounds. Yes, that’s £42.7 billion! More than 7.4 million cars changed hands that year, for the first time returning to pre-recession levels. And there are more new cars on the road now than ever before, with an extra 400,000 on the previous year – the first significant rise in eight years. So there was much to celebrate. And it was good to get so many important people in the industry into The Brewery banqueting room and

to honour the very best the automotive world has to offer. It was a heart-warming night, full of stories of showroom successes, extraordinary dedication and sheer hard work. I hope you enjoy reading all about it on the following pages.

Colin Channon, Editor CarDealerMag.co.uk | 57

Brewer on the awards So, Mike, how did all this begin? Well, it wasn’t my idea – it was my wife Michelle who started it. About four years ago, after I’d been to several new-car ceremonies and awards, she asked why no-one ever did anything for the used-car industry, and that maybe we should create something. We knew we needed a partner to go along with, and there was no-one better than James Baggott and the marvellous Car Dealer magazine team. Car Dealer speaks my language, and it speaks the language of the people who really matter. It speaks the language of the people we wanted to reward – the best sales manager, the best dealer principal, the best used car group, the people important to the used-car trade. Why was the used-car industry neglected in this way? For the love of me, I don’t know. Used cars last year were worth £42.7 billion to the UK economy and contributed massively. I think we are given a hard time – even today online I was referred to as a ‘scumbag’ because I’m associated with used cars and used-car dealers. I just don’t know why we get such a bad rap. The used-car industry has never been a cleaner, tidier place than it is today. How much has it changed in, say, the past ten years? Immeasurably. That’s due in part to social media and in part to reviews and in part to the internet. When people go and buy a car they are already savvy. And after they have bought a car, they go back online and review the site they bought it from, and they write something about them. It meant car dealers had to tidy up their act. So there’s no place any more for the Arthur Daleys? There are some still out there, but the usedcar industry in the whole of the UK has never looked so shiny. It’s so glossy now it’s almost the same as new. You can’t really tell the difference these days. I know that almost every new-car manufacturer has a huge used-car arm and its focus for the next few years will be used cars. That’s where the profit is. When you started the awards, did you envisage nights like this, a venue like The Brewery teeming with people and the tables sold out? I always knew that between us, Car Dealer and I had a huge reach, and I was hoping we could reach out to the dealers who really wanted to be part of these awards ceremony. The first year was a big success, and once you have created that success, in the second year people were ��| CarDealerMag.co.uk

wondering why they weren’t there in the first year, and they wanted to be nominated, they wanted to buy their seats to be sure they were here and in with a chance of winning an award. Now in the third year, we have sold out, we have grown, and we’re to expand the event next year. People have realised it’s good having something to show their customers to show they are the very best at what they do, and more than that, they have something to show their staff. The sales managers and group directors will go back to their sales staff with a trophy, put it on the desk and say it’s all down to you. Their staff know they are doing things absolutely right. I know, as an old car dealer, that you should work for your company before you work for yourself.

I know that things like this translate to money in the pocket. Simple as that. The more popular the awards become, the tougher they are to win, though… This year was harder than ever. We don’t just sit down and pull names out of a hat. We really take this seriously, and we are audited in the way we go about judging them. We received lots of nominations, through Car Dealer magazine and through people I know in the industry, and we then start to check every single entry. We check websites, their social media, we

Brewer on Brewer Mike Brewer is a lifelong fan of cars. My dad was a car customiser. He got a lot of attention and I remember as a young lad, hanging out with my dad and seeing him having his picture taken with some cars. I thought that’s cool, my dad’s a cool guy. As I grew up I helped him in the workshop, polishing his spanners and passing him the odd wrench. At the age of 16, rather than get a car, I jumped on a scooter. But when I was 17, I realised there’s not much you can do with a girl on a scooter, and that I needed some wheels. I bought myself a Mini and I was so proud of it. I loved it, but my sister’s neighbour crashed into it. It was only a small dent but it was written off, so I bought it back from the insurance company for £25 after they had paid out, and my dad and I repaired it. We fixed the car up at the same time, and made it better than it had been originally. I sold it for £800. I thought that’s easy, I had made some good money out of a good car. So I did it again, and since the age of 17 I have been trading up. These days, Mike Brewer is a very busy workaholic, a 50-year-old who lives on both sides of the Atlantic, and a devoted husband and father. And of course, a huge, huge car nut. That’s me.

cold-call them, we chat to their sales staff, and in many instances, when it becomes really, really tight to choose a winner, we conduct mystery shops at their car sites. This year we have really done some donkey work, covering thousands of miles, spending thousands of hours poring over nominations to find not only the highly-commendeds – and those people who received a highlycommended certificate are winners – but the outright trophy winners too. For us, though, what makes this event really serious is that we are doing the right thing. And

we know we are doing the right thing when we get the likes of Black Horse who want to sponsor the awards, and the likes of GardX and HPI and Evolution Funding want to be involved – these are big names in the automotive industry. We know we are doing the right thing. Can the awards get any bigger? Of course they can. Next year we’re looking to get even more tables in the venue. Right now, I know we could pick up this event and take it to Grosvenor House, and we could sell out there. There’s something unique about these awards.

They’re held in the run-up to Christmas so they become the office party, and it has a really good atmosphere – they are used-car dealers in the room. They’re not captains of industry, they’re people who started off with a broom and worked their way up to the top of their ladder. The Brewery creates a great atmosphere and I think it would be hard to replicate that anywhere else. But of course it’s going to get bigger, it’s going to get more popular, and we are going to receive more and more nominations, and somehow we are going to have to work harder to sift out the winners. CarDealerMag.co.uk | 59

Sponsor’s message Black Horse underlined its commitment to the automotive industry by sponsoring the Used Car Awards for the second time. And managing director Chris Sutton used the occasion to underline the importance of the implementation of the new FCA framework. He said some have called it ‘the biggest change to hit the industry for more than 40 years’. But he insisted the changes would allow dealers and manufacturers to strengthen one of their biggest assets: their determination to put customers’ needs first. Sutton (pictured right) said: ‘We are really proud to be sponsoring these awards for a second year. The used-car market is a key indicator of the motor trade and the economy overall. 2014 has been a year of challenge and opportunity and these awards give us the chance to reflect on the successes of manufacturers

“

and dealers alike. As the economy continues its recovery, we have seen rising sales and confidence in the sector. We have also seen the implementation of the new FCA framework. ‘The new regulatory framework has been described as the biggest change to hit the industry for more than 40 years. The biggest take away for the regulations for me is that the dealers can be fair, open and honest with their transactions with customers, they’ll build trust and advocacy which will help their business in the future. ‘As we go forward to 2015, we’ll concentrate on what the industry does best: that’s understanding our customers’ needs and giving them a great deal, combined with excellent customer service. ‘That’s why Black Horse is so

We are really proud to be sponsoring these awards for a second year

��| CarDealerMag.co.uk

proud to support these awards. The used-car industry is a vital part of the economy and as the leading motor finance provider, we are proud to be associated with successful businesses.’ Black Horse is a leading provider of motor finance. Tim Smith, the company’s head of motor finance in the north, said: ‘Black Horse has a heritage of supporting the motor finance industry for over 90 years. We are therefore in a position to leverage our experience and heritage in providing competitive motor finance offers and are here to support the motor industry going forward. ‘We help around 275,000 customers every year to finance new and used cars, caravans, motorhomes or motorbikes through our network of over 5,000 dealers.

‘We offer a wide variety of affordable vehicle finance to the car, motorcycle and leisure sectors through our extensive dealer network and support UK and international motor manufacturers.’ Sutton says Black Horse provides good support for dealers. ‘What do we offer that other finance companies don’t? Our extensive dealer network, our insight into the motor industry and our ability to offer affordable finance. ‘On top of this we appreciate dealers and consumers need swift responses on finance applications and all our activity is electronic, which means the vast majority of finance applications receive immediate decisions with dealers receiving payments on the same day, if applications can be concluded by 2pm on any afternoon. Our operations are open seven days a week to meet customer and dealer demand.’

Chris Sutton on the FCA regulations This year has witnessed a major change in the regulations associated with point-of-sale finance, prompted by the change of regulator to the Financial Conduct Authority (FCA). Their new framework governs the provision of finance and, in essence, means finance providers must put customer well-being at the heart of every transaction and must provide agreements which are affordable, sustainable and transparent. The new framework has been far-reaching and has had a significant impact on the whole financial sector. This has meant PoS finance dealers will now need to do more to help finance providers robustly determine whether a customer has the means to repay a finance agreement. However, it is important customers themselves also take responsibility and are engaged with the process. Finance providers, with the dealer’s assistance, may make the judgment call based upon stated incomes, outgoings and employment security, but it is important for customers to also calculate the affordability of an agreement.

CarDealerMag.co.uk | 61

RAC VIP reception Guests are given a red-carpet welcome FIFTY dealers received red-carpet treatment at the awards thanks to the RAC. The motoring organisation hosted a VIP reception for selected guests, offering them an early start to the celebrations at The Brewery, and serving up glasses of bubbly before host Mike Brewer popped in to say a few words. The RAC’s Mario Dolcezza said he was keen to celebrate with the very best dealers in the UK, and that the awards gave them the perfect opportunity. Brewer said: ‘It was lovely to be able to pop in and relax before the proceedings got under way. It was the first time a reception like this was held, and it was so successful I certainly hope it won’t be the last.’

��| CarDealerMag.co.uk

CarDealerMag.co.uk | 63

We’ve developed the Black Horse Roadmap to help you navigate the changes the industry is facing and use them as a catalyst to grow your business. The steps we take today will help build a sustainable platform for point of sale automotive finance. Let’s navigate the future together.

YOUR FUTURE. OUR ROADMAP. Find out more about our Roadmap for point of sale finance at blackhorse.co.uk/dealerportal or contact your Account Manager. ��| CarDealerMag.co.uk

Used Car Dealership of the Year – Under 50 Cars Sponsored by Black Horse Presented by Paul McGill, Head of Motor Finance South, Black Horse

Scott Shilcock and Alexis Cassey with Paul McGill, left, and Mike Brewer

Winner: Prestige Diesels, Portsmouth Highly commended: Alexanders Prestige and Rybrook Volvo, Chester Scott Shilcock and Alexis Cassey of Prestige Diesels Portsmouth have a simple philosophy when it comes to choosing cars for their showroom. Each one has to be good enough that they’d be happy buying it for themselves. They were delighted with the award. ‘We can’t believe it. We’re shocked. We’re over the moon,’ Alexis said. ‘We never thought our small business would grow to the extent that we’d be picking up an award at a night like this. We are very proud.’ Alexis couldn’t stop hugging the award. ‘We are a small business with no aspirations to grow any bigger, as we don’t want anything to get in the way of providing our customers with a

bespoke, very personal service. We couldn’t offer that to 100 customers at a time. We just want to continue to be the best at what we do. ‘This attention to detail has seen customers visit us again and again, creating a reputation of exceptional cars with an exceptional service. We pride ourselves on being different and our five-star reviews support this. ‘This is a great result for us. There are a lot of good dealers here, so to win is amazing.’ In a highly-competitive category, judges carried out ‘mystery shopper’ visits to the showrooms, and Rybrook Volvo and Alexanders Prestige both stood out with their levels of service.

Alexanders Prestige

Rybrook Volvo, Chester

Brewer’s verdict: Prestige Diesels really stood out. They even told us about known issues on a BMW 530d we enquired about, giving us confidence in their honesty and knowledge. CarDealerMag.co.uk | 65

Used Car Dealership of the Year – 50 to 100 Cars Sponsored by Black Horse Presented by Paul McGill, Head of Motor Finance South, Black Horse

Ross and Howard Quirk with Paul McGill and Mike Brewer

Winner: Quirks Car Company Highly commended: Burton Kia and Jim Reid Vehicle Sales competition in this category was as keen as it gets – one look at the shortlist underlines that. But Quirks Car Company knew what they needed to do to improve on their highlycommended placing a year ago, and went out and achieved it. Ross Quirk said: ‘We are on cloud nine. We were runners-up last year and hoped we’d win this time, but we weren’t over-confident. There’s a lot of fierce competition in this category. ‘We have been very selective with the cars we have been buying, and we have been very competitive with our pricing. This year has been all about the price. You’ve got to have the right cars, the right spec, the right colours – but most

importantly, the right price.’ His father Howard says his staff have Burton Kia pick up their highly commended award improved in the past 12 months – ‘We have worked very, very hard to win this award,’ he says – and the firm has concentrated much more on social media and the internet. Ross added: ‘People want to make enquiries at 10pm – we have to have people available ...how much the for that. Lamborghini Aventador ‘We’re delighted to win. And we’ll come back LP 700-4 has next year bigger and stronger.’ depreciated in the past Last year’s winners Jim Reid Vehicle Sales three years – more again impressed to take a highly-commended than any other place, and Burton Kia made a big impression car with our mystery shoppers.

£128,320

Brewer’s verdict: Quirks responded almost immediately to our sales enquiry, and enjoy stacks of positive feedback from customers online. Highly commended last year, they’ve polished their skills. ��| CarDealerMag.co.uk

Used Car Dealership of the Year – Over 100 Cars Sponsored by Black Horse Presented by Paul McGill, Head of Motor Finance South, Black Horse

Nick Donald and Captain Caralot with Paul McGill and Mike Brewer

Winner: Caralot Highly commended: Cargiant and McCarthy Cars from franchised dealer groups to car supermarkets and large independents, the battlefield in this category was a patchwork of quite different dealerships. In the end, it hinged on the mystery shopping experience – and that’s where Caralot excelled. Jamie Capel, their creative director, and Nick Donald, a director, were delighted. ‘We are living the dream,’ they said. ‘We’ve got there through hard work, dedication, passion and commitment. We started with nothing and we’ve turned it into something special through nothing but blood, sweat, tears, hard work, grit and determination. We are incredibly proud to win this award, not just for us but for our team,

our customers, our family and our friends, and our social media followers. We are thrilled. ‘When Mike Brewer said the winners started with seven cars in 2010, and we realised he was talking about us, our legs started to wobble under the table. When we won we had a little cry. This is validation of all we have done. To the people who doubted us for setting up a business in the recession – this has shown them. And we are still growing. We want to take over the world.’ Highly commended are McCarthy Cars, whose dedication to their customers is to be applauded, and Cargiant, who impressed our mystery shoppers.

Highly commended: McCarthy Cars

37,000 ...the number of vehicles sold in 2013 by one of our shortlisted dealers

Brewer’s verdict: Caralot use strong branding, clever marketing and a truly brilliant service to win new customers, and can boast a huge, loyal following of fans on social media. A worthy winner. CarDealerMag.co.uk | 67

Used Car Dealership Group of the Year Sponsored by Black Horse Presented by Paul McGill, Head of Motor Finance South, Black Horse

Perrys’ Lee Manning with Paul McGill and Mike Brewer

Winner: Perrys Highly commended: CarShop and H R Owen used-car sales can make or break the large multi-franchise dealer groups, especially when new-car sales margins are being squeezed ever more tightly. By putting as much effort into the sales generated by the used-car department as those shiny new models on the front of the forecourt, healthy profit margins can be secured. To choose our winner, we mystery-shopped more than one of the groups’ outlets to ensure the level of service was consistent. We also analysed the quality of their adverts. Perrys performed excellently when we mysteryshopped three of its outlets around the UK. All provided the same top-quality service. Its

website is packed with positive customer testimonials and its performance on social media websites – which, as we all know, is growing ever more important – is second to none. Perrys managing director Ray Sommerville said: ‘We pride ourselves on the professional approach we take to used-car retailing, which complements our new-car departments. ‘This award is great recognition for the hard work our team has put into building a great used-car business.’ The judges were also very impressed with the service offered by CarShop and HR Owen in this closely-fought category.

CarShop with their highly commended award

80,000 ...the number of automotive-related videos uploaded to YouTube every day

Brewer’s verdict: Selling cars is a people business. People buy from people, and Perrys proved they are at the absolute top of their game in this field. As judges, we were very impressed with them. ��| CarDealerMag.co.uk

EVOLVE TODAY. PROSPER TOMORROW. Introducing our new Product Guide eBook As part of our new Roadmap weâ&#x20AC;&#x2122;ve launched our Product Guide eBook, available to download today from the Black Horse Dealer Portal. This innovative tool is designed to help your customers understand our range of finance products in a clear and transparent way, so they can make an informed product choice that is suitable to their needs.

Download our new Product Guide eBook at:

blackhorse.co.uk/dealerportal CarDealerMag.co.uk | 69

Upsales and F&I Performance of the Year Sponsored by Car Dealer Magazine Presented by Colin Channon, Editor, Car Dealer Magazine

Sam Knight and Nick Collins with Colin Channon and Mike Brewer

Winner: Sam Knight & Nick Collins Watford Audi Highly commended: Adam Smith – Quirks Car Company and Phil Buchan – Jim Reid Vehicle Sales THERE are many areas that can generate profit in a used-car dealership – it doesn’t just have to be the metal on the forecourt. With warranties, paint protection and insurance products all up for grabs, a good sales person will ensure all the options are presented clearly and the benefits of each demonstrated, to enable the maximum amount of profit to be made from each sale. It’s these little add-ons that can make a big difference to a dealer’s bottom line, but without a talented salesperson or team behind them, the marketing material will never see the light of day, let alone grace a customer’s lap. Sam Knight and Nick Collins of Watford Audi

proved to be a great double act, working more like a married couple than colleagues. Each knows what the other is thinking, and they have perfected a system called ‘first face’, where they meet every used-car customer during the initial qualification stage to really get to know their customers. And it’s a system that works! Again, this was a tough category where the judges were hugely impressed by the quality of the nominations. It was no mean feat to get on to the shortlist, so congratulations go to Adam Smith of Quirks Car Company and Phil Buchan of Jim Reid Vehicle Sales for picking up highlycommended certificates. More than ever before, this was a notable achievement.

Adam Smith of Quirks collects the company’s highly-commended certificate

Brewer’s verdict: This was one of the toughest to judge – the quality was so high. Sam and Nick proved to be doing a top job – they had to be to finish top of the pile against tough opposition. ��| CarDealerMag.co.uk

Used Car Product of the Year Sponsored by Lawgistics Presented by Joel Combes, Sales and Marketing Director, Lawgistics

Jim Murray Jones of Sun Motors with Joel Combes and Mike Brewer

Winner: Sun Motors Highly commended: Car Finance Checker and Glass’s We were looking for a product that had made a real difference to used-car dealers across the UK. Dealers large and small use a variety of suppliers to help them go about their business – every copy of this magazine highlights many brilliant companies offering services to the motor trade. The judges analysed the nominations and crunched data – but in the end, the dealers themselves chose the winner. They had nothing but praise for Sun Motors and the service and results they offer. Jim Murray Jones from Sun Motors said: ‘We launched in February and we have gone from strength to strength. From a standing start we

now have 100,000 vehicles, which is pretty good going. We have tried to fuse together a functional search process with informative writing, and writing that is full of personality. ‘The fact dealers like us is a tremendous accolade. For a long time The Sun has been championing the automotive industry and it’s great to have a reciprocal accolade. ‘Winning was a big surprise as we’re so new to the sector, but it’s a fantastic testament to the effort my guys have put in.’ Highly commended were two impressive firms who have worked so hard to launch innovative solutions for the motor trade – Glass’s and Car Finance Checker.

Glass’s collect their highly-commended award

...the number of companies nominated this year in this competitive category

Brewer’s verdict: Nominations for this award came in thick and fast all year long, but Sun Motors entered a hugely-competitive market and worked hard to establish a brand name we all recognise. CarDealerMag.co.uk | 71

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Used Car Sales Team of the Year Sponsored by The Car Finance Company Presented by Lorna Rossi, Sales Director, The Car Finance Company

The Wrexham Volkswagen team with Lorna Rossi and Mike Brewer

Winner: Wrexham Volkswagen Highly commended: Quirks Car Company and SMC Ford, Sittingbourne A USED-car dealership is only as good as the team it has serving within its showroom walls. A good one can make – and a bad one can break – even the strongest dealership. This industry is all about the talent and passion of the people working within it, and nowhere is that demonstrated as strongly as in the sales team. By working together to achieve a single goal, a brilliant sales force can pick up each others’ spirits when times are tough, and help celebrate when the going is good. Our judges sorted through the nominations and investigated each of them, and then mystery-shopped the shortlisted companies to see if they were as good as they said they were.

Wrexham Volkswagen did not disappoint. The 11-strong sales force has bags of experience – 51 years between them of dealing with customers – and in 2013 every one of them sold more than 200 cars. One sold 300. And 78 per cent of the team’s total was used cars. It’s not only sales where they excelled – customer satisfaction ratings were high, too. Dealership principal Jane Hargreaves said: ‘I am so proud of them. They are a really strong team – some of them have been with us for a long time, and they are superb. They are very committed and they really deserve this award.’ Also impressing the judges were the teams at SMC Ford and Quirks Car Company.

Highly commended: Quirks Car Company

850

...the number of used cars our winner is on target to sell from its dealership in 2014

Brewer’s verdict: When we investigated the nominations, some dealerships didn’t live up to their promises. The winner and those on the shortlist were exemplary – the good ones were very good. CarDealerMag.co.uk | 73

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Dealer Used Car Website of the Year Sponsored by Autoguard Warranties Presented by Rob Dockerill, CEO, Autoguard Warranties

Neal Garrard of Nicholas Mee with Rob Dockerill and Mike Brewer

Winner: Nicholas Mee & Company Ltd Highly commended: Cargiant and CarShop A car dealer’s website is their shop window to the world. As more used-car buyers than ever before shop online for their next purchase, a brilliant website has never been more important. Research by Google shows that ten years ago, people would visit an average of four dealerships before buying a car. Today, that number is down to one, as more people carry out online research before heading out. The landscape is changing quickly – and it’s up to dealers to keep pace. Judges looked at a wide range of criteria, such as rankings on search engines, usability, search, responsive design, social media and the use of video.

Nicholas Mee and Company Ltd scored highly in all categories. Managing director Nicholas Mee was delighted by the verdict. He said: ‘We are simply bowled over with the award, coming as it does from such an influential trade magazine. ‘What we do is relatively simple – but we like to think we do it well, and this award reinforces that. For a television presenter such as Mike Brewer to compliment us on the videos in particular is praise indeed.’ CarShop’s website impressed the judges with a smart design and lots of calls to action, and Cargiant’s site was so impressive that it almost pipped Nicholas Mee for top spot.

CarShop won a highly commended award

56%

...the percentage of current used-car buyers who would consider buying their next car online

Brewer’s verdict: Nicholas Mee has a brilliant website that uses stunning videos and amazing pictures to help sell some very exotic cars. It’s easy to navigate and is beautifully designed. CarDealerMag.co.uk | 75

'ULYH \RXU FDUHHU IRUZDUG ZLWK WKH 8.şV IDVWHVW JURZLQJ PRWRU ILQDQFH EURNHU With consistent and profitable growth since launching, Evolution Funding has become one of the largest point-of-sale motor finance intermediaries in the country and is, without a doubt, the fastest growing. During 2014, we will process over £600 million in proposal advances, financing more than 15,500 vehicles from over 1000 dealership sites. 450+ dealers enjoy an accept rate above 85% with 76% of all payouts completed in less than four hours. Our highly efficient, technology-driven approach to motor finance has seen Evolution Funding grow, prosper and develop, with an impressive 350% increase in net assets in just three years.

Could our future success be down to you? Our teams and the individuals within them are key to delivering our unique service. Their vision and values, their passion and innovation and their huge levels of commitment have created a company that boasts a ‘best in class’ team. Our unprecedented growth means we’re now looking for talented individuals to join our established teams. Evolution Funding has UK-wide opportunities available in customer-focused sales roles:

Our training and development is class-leading in our industry and you’ll enjoy a supportive and rewarding environment that recognises individuals but rewards high performing teams. We’re constantly investing in our marketleading products and systems and with lots of development plans throughout 2014, you could be part of something exciting.

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Social Media User of the Year Sponsored by Evolution Funding Presented by Chris Coverdale, Sales Director, Evolution Funding

Perrys’ Lee Manning, centre, with Chris Coverdale and Mike Brewer

Winner: Perrys Highly commended: Imperial Car Supermarket and Prestige Diesels, Portsmouth no-one can doubt the power and importance social media plays in the industry. It’s now a common story that dealers have not only found customers using Facebook and Twitter, but have sold cars on there, too. Our judges analysed the quality of dealers’ output, the frequency of updates on all social media platforms, and their placing on Car Dealer’s Top 100 list. We also took into account the size of each operation and their interaction with others. Perrys proved to be a consistent performer. They consistently post engaging tweets, their Facebook pages are well cared for and relevant, and their video output is second to none.

Perrys’ digital marketing manager Lee Manning said: ‘This is a fantastic achievement for the group. Our dealerships have completely taken to social media, and it’s great for them to receive this prestigious award for their hard work and enthusiasm. ‘Facebook, Twitter and YouTube have been a huge part of our digital marketing strategy for over a year now. Using these channels we’ve made huge strides in showcasing the culture of Perrys and adding value to the user’s journey in a hugely personal way.’ Prestige Diesels Portsmouth and Imperial Car Supermarket also impressed with their interaction on all social media platforms.

Highly commended: Prestige Diesels

33,000 ...the number of followers that one of our shortlisted dealerships could boast

Brewer’s verdict: It’s no good just posting tweets or writing on Facebook. Dealers must interact – after all, it’s called SOCIAL media for a reason. Perrys has proved to be an expert in this field. CarDealerMag.co.uk | 77

Manufacturer Used Car Website of the Year Sponsored by The Auto Network Presented by Anton Hanley, Managing Director, The Auto Network

The Citroen team with Anton Hanley and Mike Brewer

78%

Winner: Citroen Highly commended: Kia and Volkswagen WITH more buyers than ever before using the internet to research their next used-car purchase, a brilliant website is crucial to sales. Without an easy-to-use website which clearly displays not only the used cars on sale across the UK but the benefits of buying a car from that manufacturer scheme, consumers will simply click away and visit someone else. Buyers online are fickle. Google research reveals that a worrying 40 per cent change the manufacturer they planned to buy from during the process – and what’s more, they are time poor and impatient, too, so if a manufacturer’s website doesn’t give them what they need when they need it, they’re likely to click away.

We took into account a huge number of factors when picking our winner. And Citroen nudged ahead in the scoring ranks thanks to a brilliant easy-to-use structure, a sleek design and some clever features that made the usedcar buying process a pleasurable experience. That’s not to say they’re the only ones who seem to have cracked it. There were some heated discussions in the judging room, as we all had our favourites. Kia and Volkswagen both have websites they can be proud of, and they both had their supporters among the judges. But in the end, there can be only one winner. This category is going to be even tougher to judge in the future, that’s for sure.

...the percentage of buyers who will watch a video before buying their next car, says YouTube

60%

...the percentage of buyers Auto Trader says will consider more than three brands before buying their next car

Brewer’s verdict: Of all the categories in this year’s awards, his one created the most heated debate in the judging room. There are some good sites – and Citroen deserved our ultimate accolade. ��| CarDealerMag.co.uk

Manufacturer Used Car Scheme of the Year Sponsored by BEN Presented by Kelly Neal, Events Manager, BEN

Ian Plummer from Volkswagen with Kelly Neal and Mike Brewer

Winner: Volkswagen Highly commended: Kia and Citroen As the recession bit, manufacturers focused more of their time and effort on used-car operations – and that legacy has seen huge improvements in terms of the service and overall offering in the years that have followed. We’re often told by manufacturer bosses just how important their used-car schemes are to the profitability of their dealer networks, and it was clear during our judging that a lot of thought has gone into creating the most rounded offer for their customers. Our panel looked closely at the nominated schemes and marked them in a huge number of ways. They looked at everything from the number of points checked to the warranty and

exchange policies, all the way down to the quality of the search and email enquiry procedures. Volkswagen picked up the top award thanks to a comprehensive used-car package. With its Das WeltAuto scheme, it offers one of the most thorough used-car checks in the business, has a brilliantly-simple online search facility and a great selection of models to choose from. But it has to be said, this was a hotly-contested category and in the final reckoning, only a few marks separated the top three. Highly commended were Citroen for their Select scheme, and Kia for their Approved used-car scheme.

Citroen were highly commended

53%

of used car buyers visit a dealer only when they are READY to buy their next car, according to Google

Brewer’s verdict: The judges found this difficult. In the end, only a few marks meant the difference between picking up the main award or a highly-commended certificate. A tough, tough category. CarDealerMag.co.uk | 79

��| CarDealerMag.co.uk

Apprentice of the Year Sponsored by GardX Presented by Mike Brewer, Wheeler Dealers supremo

Jack Waddell with Mike Brewer

Winner: Jack Waddell Big Motoring World THIS is the first time apprentices have featured in the awards – and it was so popular it has got us all at Car Dealer thinking they could have a ceremony of their own. So watch this space... Apprentices play a vital role in the industry. The join at the bottom rung of the ladder, and then work their way up to the boardroom. There are many dealer bosses now running their own sites who started this way. Our winner is an inspiration. Jack Waddell is the son of Big Motoring World boss Peter, and was learning from his dad in the showroom when he was just seven years old. He has spent his spare time restoring a non-running BMW E30 – and already shows signs of becoming an astute businessman, as he has sold on eBay all the parts he took off the car to help fund the beautification project. He says he was delighted to pick up the

award – although slightly embarrassed at having to make his way to the stage, and in front of an arena packed with car dealers. He says: ‘I love cars, and have done for as long as I can remember. ‘I was really young when my dad let me go along to the business with him. I just love cars, and working on them. ‘The awards means a lot to me. My plan is to join my dad in the business and learn the ropes and how to sell cars and manage the business. He is already teaching me the value of money and to work for what I have got, and wanted me to sell items on eBay to pay for the new parts for my car. ‘I hope this award is just the start, and in the future I’m one of the big bosses. ‘I’m so excited – this award is going straight up on a shelf on my bedroom wall.’

£100,000 ...how much more apprentices earn, on average, throughout their lifetime than other employees

...is how old anyone living in England needs to be – and not in full-time education – to apply to become an apprentice

Brewer’s verdict: A good apprentice will listen and take on board what they’re told, and use their enthusiasm and passion to their advantage. It’s clear to us that Jack has that enthusiasm in spades! CarDealerMag.co.uk | 81

“The IGA has been a strong voice for lobbying Government in UK and Europe, which has been essential for the industry. They successfully resisted the introduction of MOT testing at two yearly intervals which, as we in the industry know, would have severely compromised safety on our roads. I recommend membership of the IGA to any garage owner who is serious about being successful in an increasingly competitive world.” Paul Kirby, owner of Lambsdon’s Motor Services, Warwick and a proud IGA member.

WE GO THE EXTRA MILE FOR INDEPENDENT GARAGES We Lobby at Parliamentary level on your behalf, give you access to the latest Technical Training, provide Business Support and Advice, offer the IGA Car Repair Plan and much more. Here are some of the other benefits of IGA membership: Access to the latest Technical Training Technical Support and Forums MOT Quality Control Scheme Trust My Garage Consumer Reassurance Scheme

IGA Car Repair Plan Health and Safety Support Business Support and Advice

Help your business thrive. Become an IGA member today and discover all the benefits. We have a friendly team available to take your call on 0845 305 4230 or email us on enquiries@rmif.co.uk www.rmif.co.uk/associations/iga/contact-us/join-us The IGA is an independent voice for the independent garage sector. We have no hidden agendas, no commercial influence, no political affiliations - no catch. ��| CarDealerMag.co.uk

Service and Repair Outlet of the Year Sponsored by Independent Garage Association Presented by Stuart James, Director, Independent Garage Association

Graham Clark from Anderson Clark with Stuart James and Mike Brewer

Winner: Anderson Clark Motors Repairs Highly commended: Newtownabbey Autos and Crescent Motoring Services, Burton upon Trent THESE awards were not all about sales – we delved into the complicated area of used-car repairs and servicing, too. Most garages will see their customers far more often for work like servicing and MoTs than they will for used-car sales – and for those dealers with a garage attached, their best salesmen can often be found in their servicing department. For this award, garages up and down the country submitted impressive nomination packs filled with glowing customer testimonials. But we didn’t take their word for it – we scoured the web for reports, both good and bad, checked their websites for ease of use and online

booking, and assessed feedback on the IGA’s Trust My Garage and Motor Codes. Our panel of judges mystery-shopped all our shortlisted garages, too, and asked a variety of questions to assess their knowledge and customer services. Anderson Clark Motor Repairs were deserved winners thanks to an impressive website, great online reviews and incredibly-positive feedback from nearly 2,000 customers. Congratulations are due to the two highlycommended winners, Newtownabbey Autos and Crescent Motoring Services, who both impressed with their level of service and came within a whisker of taking top spot.

£40

... the average labour rate per hour for an independent garage

Highly commended: Crescent Motoring Services

Brewer’s verdict: I was one of those judges tasked with calling those on the shortlist to find out their level of knowledge, and whether their customer service skills were up to it. I was impressed! CarDealerMag.co.uk | 83

Used Car Sales Manager of the Year Sponsored by Car Dealer Magazine Presented by Duncan Chappell, Sales Manager, Car Dealer Magazine

Andy Crick with Duncan Chappell and Mike Brewer

Winner: Andy Crick Jack Barclay Highly commended: T W White and Sons and Phil McCaffery – Rybrook Volvo, Chester there are few sales managers around with a record like that of Andy Crick. Turn the clock back three years, and Jack Barclay – the world’s oldest and most famous Bentley dealership – didn’t believe in used cars. In that time, he has single-handedly changed all that. This year, he is on course to sell 200 cars – the same as the London dealership’s new tally – which is an 11 per cent increase on last year’s total. It’s no wonder he was the unanimous choice of the judges to pick up this award. There are all types of sales managers in this industry of ours. When you’ve worked for bosses who would make a North Korean

dictator look a pushover, the really good ones stand out – and make us appreciate the brilliant ones all the more, and the difference they can make to the business. The judges paid special attention to the nominations that came in not just from the bosses, but from those further down the chain of command. When the sales team members think their manager is a winner, we sat up and took notice. Phil McCaffery seriously impressed – he has helped used-car sales at Rybrook Volvo rise 25 per cent – and Philip Diacono of TW White and Sons was excellent in our judges’ mystery-shopping expedition.

... the number of weeks in the average carbuying journey – from initial research online to doing the deal

Highly commended: Phil McCaffery of Rybrook Volvo, Chester

Brewer’s verdict: Some sales managers think they’re the funniest man since David Brent – and are useless at their job. The good ones – like Andy – can make a huge difference in their dealership. ��| CarDealerMag.co.uk

Dealers’ Dealer of the Year Sponsored by Evolution Funding Presented by Paul Hibbert, Key Account Director, Evolution Funding

Mark Holland with Paul Hibbert and Mike Brewer

Winner: John Holland Sales Ltd This award honours the dealer who has been a credit to the industry – someone who trades with colleagues with respect and honesty, and who looks out for his customers. This year, the decision was unanimous among the judges. Several nominations were received, and all were investigated thoroughly. But one man stood head and shoulders above his peers. The way he deals with people in the business is exemplary and heart-warming to witness. John Holland is a worthy winner. His professionalism stands out when he deals with other used-car dealers. One described him as a ‘true gent’, another said he ‘always goes above and beyond the call of duty’ when it comes to doing business, and nominations stressed his vehicles were always well presented, and his adverts and pictures ‘truly excellent’.

The dealership was delighted to pick up the award. Mark Holland – the son of John, who started John Holland Sales Ltd in the 1970s – said: ‘We are extremely proud and delighted to have won such a prestigious national accolade. ‘This is even more special as there is nothing like recognition from your peers in any industry. ‘We are proud of our reputation for supplying the highest quality sports and prestige vehicles for sale worldwide, and being acknowledged as the nation’s Dealer of the Year is a great way to top off what has been a wonderful year of business for the company. ‘I’d like to thank everyone from the industry who nominated us but also each of our dedicated staff members for their continued hard work and commitment to John Holland Sales.’

150

... the number of prestige cars bought by our winner’s team of buyers every month

... the number of years our winner, a family business, has been trading for

Brewer’s verdict: I’ve always tried to treat my contacts in the trade with absolute respect, in the hope they’d do the same for me. John Holland is the same. He is a man of the utmost integrity. CarDealerMag.co.uk | 85

The new trade HPI Check App. With you, wherever you go.

Our new FREE to download app is packed with all the features you’ve come to know and rely on: HPI and ID Checks CAP Live, Glass’s and Market Values valuations HPI Spec Check and NMR check Additional SMMT Data and e-certs Recent HPI Check history

Download the app from the Apple App Store today ��| CarDealerMag.co.uk

Whether you’re out on the forecourt or off-site, you’ll have the full power of HPI in your hand, whenever you might need it. Just download the app, log in using your existing account details and you’re ready to go. It’s that easy.

Used Car Dealer Principal of the Year Sponsored by HPI Presented by Neil Hodson, Managing Director, HPI

Jane Hargreaves with Neil Hodson and Mike Brewer

Winner: Jane Hargreaves Wrexham Volkswagen Highly commended: Maxine Croft – Just Citroen and David Peachey – Fownhope Mitsubishi Without a good leader, a car dealership can turn into a rudderless ship. But the person in charge not only needs to walk the walk when it comes to leading their troops, they need to talk the talk when it comes to chalking up those all-important sales. They need to be able to cope with the pressures from owners, and the demands of their staff. Jane Hargreaves, though, was quick to point out her award was the result of good teamwork throughout her Wrexham Volkswagen dealership. ‘I was very proud to win the award, but it’s not about an individual – I would never have won it without having a really good team around me. This is a team award,’ she said.

‘What makes a good principal? I think they have to be prepared to work very hard – this can be a 24/7 job if you let it – and to listen to the people around you.’ Her dealership was placed the top site out of 220 for the used-car business, it turns over the site’s used-car stock twice a month – and Jane can boast to never having lost a salesperson. She is proof of the old adage that a good leader can turn a good dealership into a great dealership. Highly-commended in this category were Maxine Croft of Just Citroen Keighley and David Peachey of Fownhope Mitsubishi, both of whom should be very proud.

Highly commended: David Peachey, above, and Maxine Croft

Brewer’s verdict: The job of principal is tough – there are a lot of demands to take into consideration. Jane proved she’s on top of all of them – she’s a really impressive individual. CarDealerMag.co.uk | 87

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Best Used Car Customer Care Sponsored by First Response Presented by Dave Brown, production editor of Car Dealer, on behalf of First Response

Jonathan McCarthy with Dave Brown and Mike Brewer

Winner: McCarthy Cars Highly commended: T W White and Sons and Umesh Samani – Specialist Cars Reputation is everything in the used-car business and if you nurture yourself a good one, you’ll reap the benefits of repeat custom and word-of-mouth recommendations for years to come. Fail at it and sully your name in the local area and the chances are you won’t be around in business very long. Our judges looked closely at reviews and online feedback of the nominated companies, before carefully digesting the information in their submission forms. We also mysteryshopped them. And there could be only one winner. McCarthy Cars excel at customer service. This is the third year on the trot they’ve picked

up this award, and they just keep on getting better and better. They have a huge swathe of positive feedback, both online and written. And it’s not just our judges who have been bowled over – in the past, McCarthy’s have been named Croydon’s best-loved business, and the UK’s most-loved dealership. It’s an impressive track record. Picking up a highly-commended award were two others who showed tremendous customer care – Specialist Cars of Stoke, who have a significant amount of positive feedback on review sites, and TW White and Sons, who offer a highly-regarded three-year servicing, parts and MoT deal.

65,486

... the number of used Ford Focus models which changed hands in 2013, according to data recorded by CAP

Highly commended: Umesh Samani of Specialist Cars

Brewer’s verdict: McCarthy’s might have to claim squatting rights at The Brewery, they’ve been there so many times to pick up our awards. They’re seriously good at looking after their customers. CarDealerMag.co.uk | 89

Best Performing Used Car of the Year Sponsored by Glass’s Presented by Steve Worrell, Sales Director, Glass’s

John Johnson picks up the award from Steve Worrell and Mike Brewer

Winner: Range Rover Evoque Highly commended: Audi A3 and Land Rover Freelander FOR this award, we turned to the experts at the trade price guides and the leading classified advertising websites to help us find the best-performing used car. We looked at three-year-old cars at 36,000 miles and took a combination of depreciation performance, desirability within the trade – in terms of the number of days they take to sell, according to Glass’s – as well as their popularity with consumers thanks to web searches online. Before the judges made their decisions, we also took into account comments from press reviews and searched online for feedback from owners. We favoured high-volume selling cars as opposed to ultra-exclusive sports models.

The Range Rover Evoque was a worthy winner. It has impressed ever since its glitzy launch. Dealers can’t get enough of them thanks to their popularity with customers, and we’ve heard of speculative phone calls to existing owners from some dealers purely to get their hands on used stock. Its residual value over three years has been seriously impressive at a staggering 80.67 per cent and thanks to the fact it takes on average just 30 days to sell, it picks up top honours here. The Audi A3 has always had premium feel and look about it and has been popular with consumers, while the Land Rover Freelander simply oozes class.

16.3%

... the retention of the value of new electric cars in the past three years – the lowest of any sector

46.4%

... the retention of the value of new SUVs in the past three years – the highest of any sector

Brewer’s verdict: When we hear of dealers having to make phone calls to existing owners just to try to get their hands on some used stock, you know you have a winner on your hands. ��| CarDealerMag.co.uk

Used Car of the Year Sponsored by GardX Presented by Victor Coutin, Managing Director, GardX

David McCluskey picks up the award from Victor Coutin and Mike Brewer

Winner: Kia Sportage Highly commended: Citroen DS3 and Volkswagen Golf take a bow, Kia – the Sportage isn’t just our used car of the year, it’s the dealers’ car of the year! To get past even the first stage of the judging process, cars had to clock up a fair number of votes from our readers. Only then did we let the judges loose. The panel then looked at the popularity of each car in the trade, residual values from the experts and searches on classified websites, as well as press reviews. Unlike previous awards, this wasn’t down purely to performance – the judges placed more emphasis on nominations, to truly make it the dealers’ choice. The Kia Sportage was an outright winner. It has impressed ever since the fresh design

arrived on the scene. It followed what can only be described as a drab, boring predecessor and has radically overhauled not only the model line, but the manufacturer as a whole. Three years on and it is still performing incredibly well in the showrooms, which has meant used-car performances have been equally impressive. Add to that strong residual values and excellent press reviews, and it’s easy to see why dealers rate it so highly. The Citroen DS3 has been a good seller and popular with consumers ever since its launch in 2010, while the Volkswagen Golf has been a success story for years, as it has always been such fun to drive.

2010

... the year when our winning car first went on sale in the UK – and it’s been a success ever since

55,000 ... the number of extra homes which will have our winning car parked outside in the past three years

Brewer’s verdict: We wanted this to be the dealers’ choice. The car performs very well in the used-car market and since is relaunch it has helped revolutionise the whole Kia brand. CarDealerMag.co.uk | 91

Congratulations from...

“

This was our biggest and our best awards yet. And we have big plans to make it even better.

“

I was bowled over by the quality of the shortlists, and the achievements of the winners. What a night!

James Baggott Managing director

Colin Channon Car Dealer editor

“

The used-car industry needs a ceremony like this to highlight its achievements. We have a lot to celebrate. Andy Entwistle Operations director

A big thank you A massive Car Dealer thank-you to Anton Hanley and his team at The Auto Network. They generously offered to double the total raised by our raffle on the night, meaning a fantastic £5,800 will now be winging its way to Great Ormond Street Hospital. It was a wonderful gesture by Hanley – and the children at the hospital will benefit hugely from his generosity. Our heartfelt thanks. ��| CarDealerMag.co.uk

Outstanding Achievement of the Year Sponsored by Sun Motors Presented by David Hawksworth, Sun Motors

Paul Barkshire and Chris Jary from Lings pick up the award from David Hawksworth and Mike Brewer

Winner: Lings EVERY now and again, things can conspire against a dealership to make trading truly tough. It could be a quiet sales patch, a difficult customer, a problem car – or something far worse. In the case of Lings, it was something far, far worse... It was just over a year ago when rain of Biblical proportions lashed the UK. The Thames burst its banks, and rivers up and down the country couldn’t cope with the deluge and deposited water several feet deep into towns and villages. East Anglia was hit badly. At Lings, with showrooms in an idyllic spot close to the river in Lowestoft, 170 cars had to be written off as a tidal surge swamped the dealership. Water more than 3ft deep caused damage estimated at £2.5m.

But the staff sprang into action. Within hours of the water breaching the walls, all the employees had arrived armed with brooms, buckets, mops and anything else they could find at home that would help with the clean-up operation. They tried desperately to move vehicles to higher ground as they saw new and used stock being destroyed. Yet they did it. Through the chaos and devastation, order was restored. Forty-eight hours later, the dealership was up and running again. It was testament to the hard work, dedication and passion of the staff that anything could be salvaged from such a potentially-devastating position. Twelve months on, and the dealership is flourishing. They’ve even added a new-car franchise to their portfolio and business is once again booming.

£426m the amount of damage caused by the storms in December 2013 across the country

174,000 the number of claims dealt with by insurers as a result of those devastating floods

Brewer’s verdict: We always say a dealership is only as good as the people they employ. And Lings obviously employ the right kind of people – what an effort. They really deserve this award. CarDealerMag.co.uk | 93

Northridge Rising to every challenge Weâ&#x20AC;&#x2122;re unstoppable, driven by energy and ambition, Northridge has rapidly become a major name in motor Ã&#x2122;QDQFH DQG QRZ ZHpUH UHDG\ WR UHDFK WKH WRS ,I \RXpUH DPELWLRXV ZHpUH WKH SDUWQHU \RX ZDQW RQVLGH bringing the strength and commitment of a contender XS IRU DQ\ FKDOOHQJH Weâ&#x20AC;&#x2122;ve listened; investing in our systems, expertise DQG oSHRSOH Ã&#x2122;UVW DSSURDFKp WR KHOS \RX DFFHOHUDWH GHFLVLRQV ERRVW HIÃ&#x2122;FLHQF\ ZLGHQ WKH FOLHQW EDVH DQG GR PRUH EXVLQHVV 2XU QHZHVW LQQRYDWLRQV ZLOO PDNH LW HDVLHU WR HOLPLQDWH SDSHUZRUN PHHW UHJXODWLRQV DVVXUH JRRG FRQGXFW DQG KHOS \RX EH FRPSHWLWLYH )HHO FRQÃ&#x2122;GHQW relying on our unique combination of VWUHQJWK FRQVLVWHQF\ DQG DJLOLW\ $V SDUW RI %DQN RI ,UHODQG *URXS ZH GUDZ XSRQ VROLG IRXQGDWLRQV DQG FHQWXULHV RI H[SHUWLVH :HpYH ULVHQ WR WKH FKDOOHQJHV QRZ ZHpUH VHW WR VFDOH WKH VXPPLW Want to share our vision and our journey? Talk to us.

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Lifetime Achievement of the Year Sponsored by Northridge Finance Presented by Alan Carson, Sales Director, Northridge Finance

Afzal Kahn with Alan Carson and Mike Brewer

Winner: Afzal Kahn AFZAL KAHN is a true Great British success story. He not only owns a successful usedcar business, which deals with some of the most desirable cars in the world, but he can count a flourishing design arm, a modified car programme and a new-car sales firm among his achievements. He started his business in the late 1980s when he set up a small factory in Bradford building glass-fibre components, and by the time he was 19 he already had 30 members of staff working for him. He started modifying Range Rovers with unique body kits and after-market performance upgrades designed and manufactured by his own team, and his designs became popular with the rich and famous. His used-car dealership specialises in luxurious vehicles – he has sold

countless Ferraris and Rolls-Royces, Bugatti Veyrons and a gold Aston Martin Cygnet – and he sells 500 new cars a year. And he owns a Veyron with the number plate F1, rumoured to be worth £10m. He said: ‘Every day for me is fun. Cars are a hobby for me. The brand has come a long, long way, and we’re now getting into designing and manufacturing our own cars – by the end of next year we hope to have two new models – an off-road vehicle and a sports car. We have lot of plans for the future. ‘I am so excited and so flattered to win an award like this. When I started out in the business, I never expected anything like this. I never expected to reach these goals. I am very blessed. This trophy is going straight into my showroom on the Kings Road in Chelsea.’

...the number of nominations received for the Lifetime Achievement award for 2014

...the age our winner started in business, the first step to building a car empire

Brewer’s verdict: In my book, anyone with a slogan ‘the road is my catwalk’, and who has a car collection that includes that Veyron with the F1 number plate worth £10m, deserves recognition. CarDealerMag.co.uk | 95

Awards in pictures

��| CarDealerMag.co.uk

CarDealerMag.co.uk | 97

FEATURE. CITY CARS MEGA TEST

micro machines Small really can be beautiful. Colin Channon looks at some of the vehicles on offer in the city-car segment – and finds out why they’re so important for dealers and manufacturers

Suzuki Alto

NNN What we liked: Cheap to own and run, good visibility, reliable What we disliked: Feels old, plastics inside are too cheap

Fiat Panda

NNNN What we liked: Great fun to drive, roomy and practical, nice design touches What we disliked: Lost some of its cheeky utilitarian style, build quality a bit below par

ritain loves a cheap motor. While the supermini, lower medium, upper medium, executive, dual purpose and MPV segments all attract more customers, the mini sector registered more than 80,000 cars last year. That’s a lot, you can’t disagree, and it looks set to continue rising. Even though Britain is steadily accelerating from its recession days, mini – or ‘city cars’ – are growing in appeal because of ever-improving models. Manufacturers and dealers realise the importance of the city car. For many young drivers, struggling with the cost of a set of wheels and, more crucially, insurance payments, the cheaper, smaller cars are the entry point into a world of motoring. Catch these youngsters young, ��| CarDealerMag.co.uk

and there’s a chance they’ll be hooked on a manufacturer for life. We’ve all seen the stories of the people who bought a Ford, a VW or a Fiat when they were young, and they’ve never owned anything else. Even in this issue of Car Dealer, we have evidence of that – we’ve interviewed Fine Cars in Hampshire, and during the chat over a rather nice cup of coffee, boss Brett Duke said he has customers on their tenth new Kia. That’s about 25 years of people driving the same badge, but trading up to newer, posher models as their spending power increases. There’s more and more choice these days, too. And not all of them are hoping their popularity will be based purely on price.

Tony Whitehorn, Hyundai’s chief in the UK, makes a good point. People who buy cars on price alone will never remain loyal to a badge. When they decide they want to change their car, they’ll look around for the cheapest option again. Much better, says Whitehorn, to persuade drivers to choose a car because they love the look of it, they like the feel of driving it, and they delight in the toys that come with it. Much better all round if people buy a car for emotive reasons, rather than financial ones. Skoda sees these cars as a means of showcasing everything the brand has to offer, including the after-sales services. Rory Lumsdon, their product affairs manager, tells us city-car buyers often fall into two divergent camps – young people and

PICTURES: dave smith

Skoda Citigo

NNNNN What we liked: Fun to drive, great build quality, cute looks What we disliked: Auto gearbox is dreadfully pricey

Dacia Sandero

NNN What we liked: Makes a statement, roomy, largest car on test What we disliked: Poor build quality, not fun to drive

Hyundai i10

NNNNN What we liked: Five-year warranty, good-quality interior, fun to drive What we disliked: Still looks a bit dumpy, prices have gone up, only two engine choices

Renault Twizy

NNN What we liked: Good fun, easy to park and charge, simple to use What we disliked: It’s electric! Not practical, small EV range

young families, and older customers who are often downsizing. Their days of needing a family taxi to ferry their children all over the place are gone; they’re now alone in their home, and require a car only for the two of them. So they want something smaller, but something with quality. Lumsdon adds: ‘For our Skoda retailers, any purchase brings with it the opportunity to develop brand loyalty, through the vehicle itself and any servicing, parts and accessories.’ Citigo accounts for about 12 per cent of Skoda’s UK sales, putting it behind the Octavia (hatch and estate combined sales are 28 per cent), the Fabia (22 per cent hatch and estate combined) and the Yeti (17 per cent).

“

Much better all round if people buy a car for emotive reasons, rather than financial ones

The frugal, low-emission Citigo enhanced its reputation further recently by winning the Green Apple Award for environmental best practice. Judges said the Citigo offered a ‘a great drive, is thoroughly practical and has low fuel

consumption’ and was ‘the perfect demonstration of how a car can be economical, inexpensive, beautifully-built and a pleasure to drive.’ Like Skoda, more dealers these days see customers as long-term clients. And city cars play a huge role in that. Get a customer through the showroom door, and the sales process involves much more than just a set of wheels and glossy bodywork – PCP deals mean within a couple of years the dealer can return to the client to offer another vehicle. Get the customer experience right, with servicing at a reasonable fixed price, car niggles sorted quickly and efficiently, and offering real value for money, and there’s every chance they’ll return… again and again. CarDealerMag.co.uk | 99

FEATURE. CITY CARS MEGA TEST With all that attention being paid to the city cars, it’s no wonder they’re selling so well. In the past 13 years, this segment of the industry has doubled in size, from around 130,000 registrations a year in 2001 to about 234,000 as 2014 drew to a close. In the early noughties, the segment was dominated by two key models: the Ford Ka and the Peugeot 106. These two vehicles alone made up 62 per cent of registrations in this segment. The remaining vehicles were primarily made up of Korean manufacturer model ranges such as the Daewoo Matiz and Hyundai Amica. Fast forward those 13 years and the mix of vehicles is now very different. Nearly all manufacturers now produce small city cars, often sharing platforms to help minimise costs. While the Ford Ka remains one of the segment’s top sellers – about 18,000 registrations – new challengers have entered the market. The retro Fiat 500 (about 38,000 registrations) keeps buyers interested with an ever-changing array of bespoke colours and features, while the Volkwagen Up! (around 20,000 registrations) brings a new level of refinement to a segment that has been primarily driven by cheap list prices. But how has this changing mix of vehicles affected the residual values in this segment? Overall in 2014, the average RV for a one-year-old city car with 12,000 miles stands at 63.1 per cent, and three-year-olds with 36,000 miles at 45.7 per cent. This is not too dissimilar to 2001, where a one-year-old with 12,000 miles stood at 65.3 per cent and a three-year-old with 36,000 miles fetched 44.5 per cent. So with so much choice these days, what are the best? We’ve brought together five of Britain’s cheapest cars currently on sale; we’ll take a look at which ones are best and stretch their legs on Rockingham’s 1.94-mile International Super Sportscar Circuit – all in the name of research, you understand. From Romania there’s the Dacia Sandero in its most basic specification at just £5,995. For Suzuki there’s the basic-spec Alto SZ which, at the time of printing, had undergone a massive discount from around £7k to a Sandero-rivalling £5,995. No test would be complete without a little Italian number – or animal in this case. Fiat’s fielding its Panda 1.2 Easy which comes in at a heavyweight £9,895 (but prices do kick off at £9,095). Is it just a bit too pricey to take the spoils at Rockingham? We couldn’t ignore your favourite, could we? The Hyundai i10 was voted Car of the Year at the Car Dealer Power awards this year, so it had to appear. The Korean firm sold a very healthy 22,955 units in 2013 – so healthy, in fact, it topped the sector and took a 28.6 per cent share. Like the Fiat, it’s at the pricier end of the spectrum – our SE (the most basic Hyundai could lend us) weighs in at £9,295 but Hyundai dealers do sell the i10 S at £8,595. Another Car Dealer favourite is here too – the Skoda Citigo. But the Czech brand didn’t have a boggo spec car available for this feature, so we’ve got the posh Elegance model at a heart-stopping ��| CarDealerMag.co.uk

“

For customers who don’t have a lot of spare cash to spend, it’s not all doom and gloom

£10,695 – but prices do start at £8,210. And to show that there is so much variety for the city dweller these days, we’ve also got the all-electric Renault Twizy which gets going at £6,895. Let’s see which crosses the chequered flag first

and is Britain’s best cheap car. This selection of cars shows that for customers who don’t have a lot of spare cash to spend on some wheels, it’s not all doom and gloom. Taking the last spot in our survey is the Dacia Sandero. As a concept, the Sandero wins a lot of brownie points – it uses tried and tested Renault mechanicals wrapped up in a large and spacious body. But living with it would be very different… and miserable. It’s just a bit too basic in our eyes – and, it would seem, customers’ eyes too as Dacia sells far more mid-spec Sanderos than this basic Access version, unsurprisingly. Next is the Alto. It’s a great little car and UK buyers must obviously think the same, but it is getting a bit too long in the tooth. We’re

looking forward to the next version. The Alto line-up offers good spec and high efficiency at an extremely affordable price for new-car buyers. Alto has a highly-efficient engine with CO2 emissions of 99g/km, meaning zero VED charges, and economy up to 65mpg providing running cost benefits over any other new car available at Alto’s transaction price. Alto’s affordability has also attracted potential used buyers, thanks again to low running costs as well as the well-known benefits of Suzuki’s strong reliability. Japan has a very proud history of producing small cars that date back decades. The Alto first appeared in 1979 and has gone on to become a bit of a default choice for those wanting reliable

“

Design attitudes in the city-car class have changed quite a lot in five years

and value-for-money city car transport. Not every Alto generation has been sold in the UK but the current generation – arguably the best all-rounder of the lot – appeared in 2009. Suzuki says that for this sixth-generation car,

a large part of the styling was completed in Paris and Milan through design clinics. It has made the sixth-gen Alto the most desirable among European buyers because it fits more with their tastes and requirements. While the Alto – which, for part of its life, had a brother in the shape of the Nissan Pixo – may have been on sale for only the past five years, it’s clear to see time has not been kind to it. While there’s not a huge amount wrong with the way it looks – the gaping grille and swaged wheel arches look stylish – this group test has revealed that design attitudes in the city-car class have changed quite a lot in those five years. Still, it’s a cinch to park thanks to it being just 3,500mm long and with it CarDealerMag.co.uk | 101

FEATURE. CITY CARS MEGA TEST

“

Fiat has a knack of building dinky cars that are fun to drive with clever design touches

having five doors, it’s practical – even if the boot has a high lip. Inside is where the Alto really falls down, though. Suzuki describes the design as ‘casuallooking’ but we’d call it dated. In this entry-level SZ model, there are some very hard and scratchy plastics in some very obvious places, but Suzuki has tried to lift the interior with flashes of silver here and there, and the use of grey and black plastics. On the whole, it’s perfectly acceptable for £7,199 (or £5,999 at time of test). The UK seems to love the Alto. We Brits lapped up 13,000 units last year – that’s 2,500 more than the svelte Swift managed. Guy Foster, dealer principal of Newmans Suzuki, said: ‘Alto is a huge success for us as it ��| CarDealerMag.co.uk

offers customers a great opportunity to buy a new car from a long-established, individually run and local business rather than a large group. Alto does exactly what is says on the tin, offering great value to someone who may previously have been looking for a used city car between £5,000£7,000. With Alto they can drive away in a fullywarranted brand-new car with strong reliability and no road tax to pay either.’ Taking a surprise fourth is the Renault Twizy. Why is it better than the cheaper and far more practical Alto? Well, it’s simple. The Twizy trades on simple good fun and a for lot of city dwellers who don’t do high mileages, the little Renault could be a quirky choice. Fiat’s Panda takes third – it’s a great package

and one that, in our minds, is still a better offering than the retro 500. Much like the Japanese, the Italians know how to build a small car. Right from the Fiat 500 of 1957, the Italian company seems to know what makes European city car customers tick. Fiat seems to have a knack of building dinky cars that are fun to drive, cheap to own and have some clever design touches to aid practicality. And the Panda is no exception. The first-generation Panda is an icon in the world of small cars. Much like the original 500, the Panda is masterclass in how to build a small car. So you can imagine the trepidation felt by Fiat, its customers and the media when the Italian company launched the second-generation car in 2003. Fiat’s designers had clearly been

looking closely at the small MPV market because the ‘nuovo’ Panda went against the grain of contemporary city cars – such as the Ford Ka – and instead had boxy, people-carrier looks. The second-gen Panda was also one of few cars which actually looked good in whatever specification buyers chose – whether that be boggo trim with push-on hubcaps or the posh version with roof rails. And Fiat offered the Panda in a large spectrum of trims, too – who could forget the spicy 100HP, tough 4x4 or the brightlycoloured Alessi special edition? With all of that, the third-generation car had a tough act to follow. It would be reasonable to think that with the launch of the new Fiat 500, the third-gen Panda would have space to return to

“

Hyundai i10... a great warranty for peace of mind and the quality really is there

its utilitarian roots of the 1970s. But no – Fiat has visions to push upmarket and the Panda is part of that. It’s larger and plusher, too – the boxy looks have even been softened. But it has lost none of the quirky design features – look closely at the

door cards, and you’ll even find ‘Panda’ etched into the plastic. With all of that extra pizzazz, prices have gone up too. Our 1.2 Easy tested here costs £9,895 – a healthy chunk over some of the other cars we looked at. But Fiat would argue it’s a step up from some of the cars here and has bags of charm. And we can’t disagree with that. But it can’t beat the Citigo. Along with its Seat Mii and VW Up! brothers, the Citigo is a well thought-out and built city car. However, taking the victory is the Hyundai i10. Yes, it is rather pricey, but it comes with a great warranty for peace of mind and the quality really is there. It ticks all the right boxes and is fun to drive. [CD] CarDealerMag.co.uk | 103

THERE’S NEVER BEEN A BETTER TIME TO ADVERTISE ON MOTORS.CO.UK Record level of response for current dealers in July and August 14

Huge additional reach through Motors.co.uk network including Parkers, Carsite and Honest John

On TV and Radio every month of 2014 and beyond

For any more information on how you can reach 2.3 million* car buyers each month please: • Call 0845 265 6001 • Email sales@motors.co.uk • Visit media.motors.co.uk

WINNER

*comScore, July 2014

FIND CARS WITHOUT THE CARFUFFLE ��| CarDealerMag.co.uk

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Digital and online services

Welcome I

t’s easier than ever to communicate with one another these days. Phone calls (of course), texts, emails, and social media notifications all have their part to play in keeping us up to date with the world around us as well as the movements of our nearest and dearest. At work, too, there has been a huge sea-change in the way we talk to people. Telephone conversations are still hugely important, of course, and then there are online channels to consider too – we can buy and sell stock via the internet, arrange finance deals for our customers, and even send cars to auction at the click of a button. And let’s not forget – our own websites need to keep up to date so our marketing material stands out and gets noticed when it matters most. It’s all exceptionally clever stuff. But how do we choose which suppliers to work with and which services to take advantage of? Over the next few pages, we’ll be providing some answers to those questions, thanks to the companies listed on the right. So with their advice and guidance, you can move into 2015 confident you’re using the internet to its best advantage – both to promote your own business, and help it run more smoothly and profitably.

Coming up.. BDM Voice

P106

The way phone inquiries are handled can play a big part in your success.

iVendi

P107

Why transparency is key when it comes to your online presence.

DSG Finance

P108

E-Sign is on the way to make life more compliant, convenient and secure.

22PointSix

P109

Find a competitive edge in the aftersales and online parts sector.

Manheim

P110

Streamline the sales process with Seller Advance.

Dealer Auction

P113

An easy-to-use site, whether selling or buying.. and ‘disposal’ is a dirty word!

Dave Brown (@CarDealerDave) Production Editor

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Making more appointments BDM Voice

W: bdm-voice.co.uk T: 08433 080 686

anufacturers spend billions of pounds in product development and similarly dealers and dealer groups spend millions of pounds on impressive showrooms, marketing and dealer management. All of this investment, effort and infrastructure is underpinned by the quality of customer contact and very often this is as simple as how the telephone is answered. In many respects, the telephone is the most under-managed part of the sales process. Mike Surridge, managing director at BDM Voice, explained that in many cases as little as 15 per cent of inbound sales enquiries result in an appointment or a sale. Often this is due to a lack of clarity in the process expected, or in the regular measurement of the application of the process. BDM provide call recording and analytics across the automotive industry through a number of

cutting-edge solutions. They work with clients to improve the success of the business through providing a third-party record of just how efficient the business is, in many cases raising the inbound appointment-setting efficiency to as much as 60 per cent, thatâ&#x20AC;&#x2122;s a 45 per cent increase. â&#x20AC;&#x2DC;There is no magical digital programme to deal with the interaction with customers, just good oldfashioned people management,â&#x20AC;&#x2122; he said. â&#x20AC;&#x2DC;I think of our analytics as real-life mystery shopping. Sales people can sniff out a mystery shopper at 100 paces these days, so that particular exercise lacks credibility now. â&#x20AC;&#x2DC;We set out by asking the principals of a business what their expectation is when a member of their staff picks up the phone. In other words, what process they would expect to be followed to secure an appointment. Very often, the person at the top

leads

sales

XXX CEN WPJDF DP VL ďż˝ďż˝ďż˝| CarDealerMag.co.uk

isnâ&#x20AC;&#x2122;t sure what the process should be â&#x20AC;&#x201C; so in such cases, inevitably, there is a lack of clarity throughout the entire organisation.â&#x20AC;&#x2122; Mike went on to explain that BDM Voice works with their clients to help them develop effective processes that can be measured both qualitatively and quantitatively. â&#x20AC;&#x2DC;Weâ&#x20AC;&#x2122;re talking about influencing the behaviour of sales people, not catching them out,â&#x20AC;&#x2122; he stressed. â&#x20AC;&#x2DC;In a nutshell, we support dealers of all shapes and sizes across Europe.â&#x20AC;&#x2122; Developing further business from the existing enquiries into the business has been absolutely key to BDMâ&#x20AC;&#x2122;s successful support of the sector. Through their business contact centre in Burgess Hill, West Sussex, significant numbers of meaningful appointments for sales and service have and continue to be generated on a daily basis. by Dave Brown (@CarDealerDave)

Stop missing opportunities! ivendi

W: ivendi.com T: 0845 226 0503

ustomers’ changing behaviour when it comes to sourcing their new vehicles is revolutionising the way dealers sell cars. And because of this, iVendi director James Tew believes dealers need to think carefully about their online and digital presence to make the most of the current trading environment. Tew is the head of a company that develops e-commerce solutions which make vehicle selling easier for dealers, vehicle buying easier for consumers and vehicle finance easier for all – so he’s certainly a man worth listening to. And his key point when it comes to website functionality is simple: Transparency is key. He told us: ‘When you see a website that’s transparent with information, your customers start to trust that website. It becomes more engaging, they spend more time on it and eventually they’re prepared to give more data. And that data is incredibly valuable at the start of the sales process.’ If you have a fantastic showroom, though, does your online presence really matter? The answer? It most certainly does, because this is where your customers are taking their first steps towards buying their next car. ‘People use the internet as part of the sales journey and therefore a presence online is imperative. That’s obviously a minimum standard. If you don’t appear online, you should probably shut up shop,’ Tew told us. ‘Dealers’ presence online is so important because it’s their shop window. It’s the digital forecourt. When we look at the amount of research that is carried out by car buyers online, I think it’s almost 90 per cent. We’re nearly at saturation point these days.’ Unfortunately, many potential leads become missed opportunities, says Tew – and this is where iVendi can help. ‘Once you’ve got a presence online, it’s what you do about it,’ he said. ‘Whatever services you have on there to engage the user, once you’ve offered those, you’ve got to convert them – and to do that, you have to find out who they are.

There are millions and millions of unique visitors on dealership websites every month. Unfortunately, only a very small percentage convert to identified prospects. ‘So we need tools to help the conversion process. And once you know who they are – and our platform can provide you with that information – you need the tools to convert them from online and into a sale.’ iVendi justifiably has a reputation for delivering pioneering solutions which produce measurable results. Its platform is easy to use for all parties and supports the car sales process from search, to financing, to sale. Tew smiled: ‘Our system is very easy to use – unfortunately it hasn’t been so easy to build! There’s been a lot of complexity behind the scenes to make it easy for dealers to use and we’ve got a new version of Car Finance Checker coming out in the next few weeks, which will be even more straightforward for consumers too.’ He added: ‘It’s our connectivity and distribution that sets us apart. We are unique in that our own platform is connected across thousands of dealer websites. We probably have access to 85 to 90

per cent of all automotive websites and therefore their online customers, with all the major players in the industry involved.’ And crucially, with the iVendi platform, customers can explore their finance options as well as look for their dream car. Tew explained: ‘A customer might find their ideal car and think ‘‘how am I going to fund this vehicle?’’ They might arrive on our platform having come through a car portal or dealer website. We can gather information from them, we can help the dealer present their products to that consumer and we can manage that process all the way through to the showroom and through to the lender. ‘Our platform does a lot of the conversion work. It takes an unidentified website visitor and helps convert them into a fully-qualified prospect. ‘It does that by ultimately giving the consumer the opportunity to view all the finance options available from the dealer and compare all of those different options – in terms of product type or risk type as well – and it will then assess the likelihood of the customer actually getting that finance deal. ‘So if a buyer had a few blips in their credit history in the past, we’ll be able to assess that and say ‘‘right, these are all the finance options, and although this might be the cheapest one in terms of interest rates, this one down here which costs a little bit more is the one you could get based on your profile.’’ ’ To date, this personal approach is proving successful for car buyers and therefore dealers. ‘One of the greatest benefits of online is about price and comparison, but there’s also discretion,’ adds Tew. ‘The ability to be discreet online is one of the key advantages we offer. Many customers want to buy a car but aren’t 100 per cent certain, or want to check their credit history or want to see the options available to them. ‘Our systems let them do that – while gathering that all-important data to help turn browsers into buyers.’ So if you want to turn your website browsers into buyers, why not give iVendi a call? by Becca Chaplin (@BelieveBecca)

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Perfectly paperless DSG finance

W: dsgfs.com T: 0844 880 0660

emember a few years back when all the talk was of a paperless office and the many benefits it would bring? Never quite happened, did it? Until now. Because, thanks to the team at DSG Finance, the world of automotive finance is about to go completely digital, making life easier, more convenient and more secure for car dealers and buyers alike. And if you’re reading this with a slight feeling of trepidation, thinking, ‘oh no, not more technology to get to grips with,’ you can relax. The innovation on the way from DSG Finance is so straightforward and simple to manage, you’ll be wondering how you ever lived without it. The company is already a leading player in the world of automotive finance of course, combining compliant, class-leading service with bang up-todate technology to deliver its innovative products. And with its new E-Sign system, being introduced early next year, it will enhance its reputation even further as the market leader in broker technology. Car Dealer recently chatted to Richard Hoggart, managing director of DSG Finance and he told us the company’s QST system (Quote, Screen, Transact) already provided dealers with a largely electronic solution for their finance applications, aggregating all the products the company offers from its lender partners so dealers can quote their customers in a real-time environment. But he told us: ‘Where this lovely electronic solution falls down is in the area of documentation. The vast majority of finance documentation is paper-based. So although there might be a PDF to start with, at some point it has to be printed off so the customer can sign it. It turns into a bit of a messy process.’ Hoggart explained this led the company to think about E-Sign solutions and that his firm worked with the leading provider in this area, IOCS Systems, to build the platform that will be introduced early in 2015. And an advantage for dealers there is that many will be familiar with the technology as IOCS platforms are already widely used for E-Sign ��| CarDealerMag.co.uk

functionality. Hoggart explained: ‘One area where dealers will benefit is compliance. Dealer managers have told us that if we can eliminate their staff from the sign-up process – which we have done with E-Sign – that’s great for them. ‘Not only does it save their resource and speed the process up but it removes a potential area for their staff to breach compliance. ‘E-Sign enables a finance customer to review, complete and sign the documentation without having to go and visit a dealer. ‘He can apply for finance, go home, and review the documents in the comfort of his own home and sign the documents there. It’s a dramatic improvement in the whole process for the customer because they avoid having to do that in the dealership, where they might feel, even unwittingly, pressurised into doing things quickly because everyone’s so busy.’ So far so good, but how can a customer actually ‘sign’ something that’s on a computer screen? The answer is contained in the phrase ‘knowledge-based authentication’. Hoggart explained: ‘Before a customer gets to review the document, he has to go through an electronic validation system, and be asked a series of questions that only he will know the answer to. That data will have been gathered from his credit search. ‘Applicants will also have to enter their driver number from their licence. Also, without the

customer being aware, E-Sign carries out various money-laundering checks and bank account referencing. The whole process is a thorough electronic validation check and eliminates the need for paper-based proof of identity. ‘It’s a completely paperless process, it’s fantastic. It’s much more secure. And once the process is completed, the customer is presented with the documents to review. ‘The documents will show him where he needs to sign, and he can do this simply by going through them, clicking when instructed to do so. ‘He can download a copy of the PDF of the agreement there and then, and what happens from the lender’s perspective is that a copy of that documentation gets embedded with a report of the ID validation, and also gets embedded with a recording of the process that the customer went through. ‘The beauty there is that if the customer was ever to raise a complaint, we would be able to demonstrate the exact process a customer went through if we needed to legally enforce the agreement. ‘This evidentiary report would only ever be reviewed in the event of a complaint. ‘And because it is held in a third-party storage system, it keeps all its integrity and no party with a vested interest has access to it or would be able to tamper with it in any way. It’s a system that’s been well held up in court over the years, and many major lenders are using it.’ As well as the benefits of security, compliance and convenience outlined already, Hoggart is convinced E-Sign will help dealers do more business. ‘The customer can have applied for finance, gone home, and doesn’t have to go back for the sign-up. That in itself can present a problem as so many people have work and family commitments,’ he said. For us, it’s a statement of intent as to where we see ourselves in the marketplace: the compliance leader and the technology leader in our smaller, independent sector of finance companies.’ So with E-Sign, the finance arm of your business will run a lot more smoothly. Convenient, compliant, quick and secure. What’s not to like? by Dave Brown (@CarDealerDave)

Innovative and pro-active 22PointSix Technology W: 22pointsix.co.uk T: 08436 588 277

anufacturers, dealers and dealer groups spend the vast majority of their marketing budgets on new and used vehicle sales, with typically no more than 10 per cent dedicated to aftersales and online parts. Yet this currently bucks the trend of consumer search patterns with Google reporting 11 per cent more online searches for aftersales and parts than used vehicles. This means the online user experience does not meet the current high demand or compare favourably with other more established online retail industries. Antony Weeks, director of 22PointSix, explained that with customer retention a key focus for many automotive dealers and manufacturers, many of these customers will be won or lost online. A lack of a responsive, transactional service and

parts facility will see many more customers adding to the already high independent market share – already in excess of 50 per cent. With this in mind, 22PointSix have created the opportunity to build a more sophisticated online retail solution, specifically for aftersales and online parts using their infiniteCart automotive e-commerce platform. ‘Our solutions are extremely flexible and understand that every dealer, group or manufacturer is different, and that their online customer experiences need to reflect that. ‘All our client sites are bespoke, not only in terms of design (we don’t build template websites), but also functionality. Our starting point is focused on the needs of the business.’ He added: ‘Our content management platforms are very streamlined, giving complete control back

to the dealer group, and they can be integrated into our MotorsCMS automotive web platform’. There are more advantages to working with 22PointSix. Weeks explained: ‘Unlike most of our competitors, we continually develop and upgrade our platforms and automatically roll out all updates to our clients. Our aim is to build long-term relationships and partnerships with our clients, not engage in short, fixed-term and potentially unfriendly deals.’ It’s hardly surprising that all the products from 22PointSix are fully responsive, and able to be viewed on desktop, tablet and mobile devices – essentially future-proofing your website. If you are interested in finding a competitive edge in the aftersales and online parts sector, you’d be wise to capitalise on 22PointSix’s innovative and pro-active solutions, starting with infiniteCart.

08436 588 277

www.ttp6.com DIGITA

L MAR

KETING

SPECIA

LISTS

support@22pointsix.co.uk

WEB

MOBILE

SEO

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Streamline the sales process MANHEIM

W: manheim.co.uk/selleradvance T: 0117 300 4410

here’s plenty to think about when you’re putting a deal together. As we all know, it’s a bit of a balancing act – trying to get that signature on the dotted line from the customer, while ensuring the agreement makes good sense from a business perspective. Anything that can achieve some extra income for your dealership, or just help the whole process run a bit more smoothly, has got to be a good thing, right? The guys at Manheim Remarketing certainly think so – hence the development a few years ago of an innovative and award-winning product called Seller Advance. In a nutshell, Seller Advance is a clever yet easy-to-operate online system that streamlines your entire sales process. It enables you to receive accurate valuations for part-exchange vehicles once you or a member of your team has appraised them. And in doing so, it helps make the distinction between those cars that are best sent to auction, and those which are pretty close to retail-ready, enabling vehicles in better condition to be displayed on your forecourt, leading to a bit more money in the bank for your business. Car Dealer recently caught up with Daren Wiseman, general manager – valuation services, and Stephen Barlow, national operations manager for Seller Advance. Wiseman told us: ‘The system provides fully adjusted and appraised valuations that are specific to individual vehicles. Car values are generated by taking into account key factors such as damage, adjustments for service history and adjustments for the number of owners. ‘Our database contains over 160 thousand trillion variable prices because of all these variables. And although it might sound like a paradox, that complexity drives simplicity. ‘Many of the dealers we are working with have a lot of comfort around Seller Advance. ‘They can let relatively inexperienced members of staff follow our online appraisal process. If those people can understand what a dent looks like, and understand what an engine management system light is, they can go into our system and create a realistic value.’ Barlow added: ‘Dealers have commented that Seller Advance has increased their retail activity. ��| CarDealerMag.co.uk

The general feedback is that because of the speed and the accuracy of the valuations generated, that gives them the confidence to value cars that are outside of their franchise network. ‘This means they can be a little bit braver when negotiating deals that traditionally may have been missed due to being over-cautious. As a consequence, they’re more likely to do a deal with a customer.’ For anyone yet to be convinced of the value of Seller Advance, the figures speak for themselves. Wiseman told us: ‘Our first full year of trading was 2010 and the growth we have experienced since then has been tremendous. ‘We sold 3,000 cars through the system in 2010 and this year we’re on target to sell 65,000 units. Seller Advance accounts for a large proportion of Manheim’s dealer business.’ Part of the reason so many dealerships are currently using Seller Advance – the number is heading rapidly to the 500 mark – is the accuracy of the valuations generated by the system.

‘‘

Our database contains over 160 thousand trillion variable prices. Stephen Barlow explained a bit more about the process. ‘Of course, the accuracy of our valuations is key,’ he confirmed. ‘And the way we generate these valuations is unique. ‘We research upwards of 30 routes to market every week, be they physical auctions; online routes to market; and we research other areas of the business – including our sister Manheim companies – to find out what resale margins are. ‘All this intelligence gets fed back into the valuations system once a week by our valuations specialists. This means our system is bang up-todate, while traditional systems can be anywhere

DEAL MAKER it might be five years since the launch of Seller Advance but the team behind the system have not been resting on their laurels. Recently introduced has been an element called Deal Maker. Stephen Barlow told us: ‘Deal Maker brings with it another level of access for group buyers. It’s primarily developed for large dealer groups that have multiple franchises within their network and enables an ISV or internal specialist the ability to create profiles of cars they are seeking as prime retail stock. ‘So if you’ve got an Audi buyer who’s looking for Audi products, and a customer goes into a BMW site with an Audi car within the same dealer group, the BMW site is less likely to give the true value of that car, whereas an Audi buyer would see the true value. ‘If the car matches the buyer’s pre-set profile, an automated email is generated, delivering all the information they require including damage lines, images and service history information. ‘They can then overwrite the Seller Advance valuation and offer a little bit more. Because this all happens in real time, the buyer can actually influence retail activity, generating more sold cars for the dealer. The two major benefits for a dealer using Deal Maker are increased retail activity through visibility of all potential partexchange opportunities across their business, which historically they wouldn’t have seen. ‘The other big benefit of course is that they get to bring in good-quality used car stock without having to go to the open market for it. Obviously, cars that dealers bring in through part-exchange are their biggest opportunity for profit – even more so than new car sales.’

up to four to six weeks out of date. In a rapidlychanging marketplace, Seller Advance provides the solution to dealers so they can avoid big losses when the market changes suddenly.’ For valuation requests submitted online, the response is more or less instant. But what if a car rocks up on your forecourt one Sunday afternoon that’s so unusual it requires special attention? Stephen Barlow said: ‘On average, 95 per cent of the valuations generated by the system are automated – but our specialists provide bespoke support for the other five per cent – and that

might include commercial vehicles, specialist vehicles such as Porsches or Aston Martins, and imports.’ In those instances, Seller Advance guarantees a valuation within 15 minutes during dealership hours. Very useful, and far better than leaving a voicemail on your local friendly trader’s mobile and waiting for him to call you back. Once the valuation has been obtained, there’s another handy bit of functionality within Seller Advance. And this can make life easier for you and improve cash flow too. ‘Cars can electronically be pushed to auction because they are on our system,’ explained Barlow. ‘Dealers really like this because it’s so quick and easy. When the cars get to auction, we provide an appraisal and audit facility, during which we compare the dealer’s appraisal of the car with the actual vehicle. ‘We then report back on misdescriptions and send that information back to a dealer. This audit facility is of high value to dealers and helps

them sharpen up their appraisal processes. ‘If the car is described correctly, we’ll fund that full valuation upfront, which highlights our confidence in our valuations. The money will be transferred into the selling dealer’s bank account by BACS the next working day. If it hasn’t been correctly appraised, we revalue the car and fund accordingly. During a six-month period in 2014, Manheim advanced more than £30 million into the dealer network. ‘The benefit for dealers is that we’re immediately making working capital available to them. For example, if a dealer has 30 cars offered at auction once a week with an average sale price of £4,000, that is a large sum of money doing nothing during this period and naturally that money is more use to them in their bank account, rather than tied up in unwanted stock.’ With Seller Advance on your side, you’re guaranteed one less headache in the sales process. And that’s got to be a good thing. by Dave Brown (@CarDealerDave) CarDealerMag.co.uk | 111

Trade-to-Trade Remarketer of the Year

SOME DEALERS DISPOSE

SMART DEALERS SELL One in three franchise dealerships sell their trade part exchange stock at Dealer-Auction.com

• • • •

Take control of sales the quick and easy way Get exclusive access to motor trade buyers Sell cars online to the highest bidder, 24-7 No Sale – No Fee

Online on www.Dealer-Auction.com or email kieran@Dealer-Auction.com

��| CarDealerMag.co.uk

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Digital and online services

Simple and straightforward dealer auction

nyone involved in the world of car dealerships will be familiar with the word ‘disposal’ – it’s often used when it comes to the handling of part-exchange vehicles and moving them on in the hope of getting some money in the bank. But ‘disposal’ is not part of the vocabulary for the team at Dealer-Auction.com, the service which specialises in selling part-exchange vehicles for franchise dealers. Car Dealer recently chatted to Kieran TeeBoon, operations director at Dealer-Auction.com, and he told us: ‘To us, disposal is a dirty word. We don’t dispose of anything, we sell it. We sell vehicles for one in three franchised dealers in the UK to carefully-vetted, full-time motor traders. This gives the franchise network confidence as to the kind of people who are bidding on and buying their cars.’ Dealer-Auction.com has come a long way in the five years since its formation and is now a respected and award-winning company that is relied upon by hundreds of dealers of all shapes and sizes. TeeBoon said: ‘How the system works, quite simply, is that a franchise dealer registers and then we offer training at the dealership, including how to upload and list vehicles on our online auction. ‘The dealer chooses the length of time a vehicle will run on the auction. Once a car has been fired into the auction environment, which is running 24/7, there are thousands of vetted buyers who are logging on, day and night, to view the vehicles.’ So what’s life like for a buyer who uses DealerAuction.com to get hold of some good-quality stock for his or her site? He explained: ‘When somebody registers to the site, they have to be a full-time trader or motor dealer, non-franchise, to gain access. ‘First of all, we check they are not just a member of the public who dabbles in the odd car from home; we will then take references and ask for proof of motor-trade activity. After that, as long as we have found everything is in order, we will speak to them by telephone and get them going. ‘A buyer on the site receives a 25-minute telephone training session on using the site to its best advantage. We then give them 30 days’ free access to the site and at the end of 30 days we ring them to make sure they are happy with our system. ‘We then charge them £99 plus VAT for a year’s subscription. We also charge a buyer £25 plus VAT for each car DealDispbought on the system with a hammer price of £1,000 or more. ‘We have no buyer’s fee for any vehicle under

W: Dealer-Auction.com T: 0116 2301444 £1,000. Our pricing is simple and transparent for all, and represents terrific value for money. ‘A really important thing about DealerAuction.com is that it was designed by industry professionals for likeminded people. Ease of use for selling cars; ease of use for buying cars. And our pricing strategy is just as simple.’ There are several great features of the site, once buyers get involved with Dealer-Auction.com. Using an intelligent bidding system, buyers can place their maximum bid on a listed vehicle and the system will bid up to this on their behalf. This gives a buyer the opportunity to buy a vehicle without the need to constantly monitor the auction. Bidding increments are a minimum of £100 until the last 12 hours when buyers can then bid in increments of £50. A dashboard allows buyers to keep track of all vehicles they are currently watching, bidding on or have purchased. All vehicle listings detail the selling dealer’s location, enabling buyers to take travel and collection into consideration. At the end of an auction, if you are the successful bidder, you will be sent the contact details of the selling dealer to make arrangements for payment and collection. If a vehicle’s reserve is not reached, a team of negotiators spring into action, to quickly reach a satisfactory conclusion with both parties to get the car sold. Throughout the whole process, and during your relationship with Dealer-Auction.com, you can be assured you’ll be working with industry professionals, all of whom have extensive experience in the world of automotive. Said TeeBoon: ‘The whole team are from motor trade backgrounds. We understand the language of our customers when we’re talking to them. The reason people use us is because we’re good to do

FACELIFT PLANNED The Dealer-Auction.com website will be undergoing a major facelift in the first quarter of 2015. Said Kieran TeeBoon: ‘The new site will lead to a marked improvement for our customers without losing any of the ease of use and functionality they currently enjoy. We’re simply going to give them more. Sellers and buyers will find the website quicker, crisper and better. ‘We have a fantastic Trade to Sale app that you can use on an iPad or an iPhone which makes the loading of a car take just a few minutes and, with the introduction of the new website next year, will work on Android too.’ business with. We get buyers into businesses that they would never usually manage to get. We open a garage to a national audience. We don’t ‘‘dispose’’ of anything, we sell to carefully vetted people – people who would never cross a dealership’s threshold if it wasn’t for us. The benefit to the buyer? He can buy cars from locations all over the country.’ It sounds like the ultimate win-win situation to us. by Dave Brown (@CarDealerDave) [CD]

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Supagard

Supagard have it covered SUPAGARD

W: supagard.co.uk T: 0141 633 5933

hen Supagard was named Best Paint Protection Provider at this year’s Car Dealer Power Awards, it was a proud moment for the company – and one that was richly deserved. For as regular readers of this magazine will be aware, the awards, presented annually, are decided by car dealers themselves. There’s no judging panel, no mystery shopping … the votes come in from dealers and are totted up by the adjudicators at Car Dealer Towers. Simples. And there couldn’t be a better vote of confidence for any motor trade supplier than to receive a Car Dealer Power Award. Among the comments received was that the firm ‘has excellent training and support teams’ and the products ‘consistently deliver impressive results’. ‘We were absolutely delighted to take home the award,’ Supagard head of brand David Paterson told us recently. ‘To know we’re supplying products our customers love, and to discover they think we’re a worthwhile business partner to have, certainly gave us a nice boost. ‘But we’re not a company to rest on our laurels and although we were founded 26 years ago, we are always looking to innovate and improve as we move forward.’ Supagard is the leading supplier of paint and fabric protection to franchised dealers, supplying over half

‘‘

of the top 100 groups in the UK. Of course, the company has come a long way since its formation in the late 1980s. Over the years, it has expanded to occupy an increasing amount of space in the vicinity of its headquarters in Glasgow. And continuing improvements and enhancements to the team’s working environment have meant the whole setup is very much fit for purpose. Paterson told us: ‘It’s only fitting that as market leaders in our field, we should have premises that reflect that – and our modern, state-of-the-art offices certainly fit the bill. Anyone visiting our head office these days couldn’t fail to be impressed.’ Of course, this is all very well, but dealers would probably be happy if Supagard was operating out of a portable building in a scrapyard – as long as they could continue to be supplied with the class-leading paint and fabric protection products for which the company has become famous, and which can help dealers boost their bottom line.

We’re not a company to rest on our laurels and although we were founded 26 years ago, we are always looking to innovate and improve as we move forward. ��| CarDealerMag.co.uk

All the products and services offered by Supagard come with impeccable credentials. For example, the company’s paint protection products have been tested and verified by the Independent Paint Research Association for the past 20 years. And this year, the company launched the first leather preserver on the market. The product, already being very well received in the industry, guarantees protection for a leather interior against a range of everyday stains, such as marks caused by clothing (think that new pair of jeans), food (think that late-night curry), and various liquids (think that careless Costa lover in the back seat). What’s more, it comes with a three-year guarantee – and is sure to boost your profits.

Marketing and general manager James Smyth said: ‘We all know leather interiors have become more and more commonplace over the past few years. They come as standard if you buy a car from a premium brand; or they might be options from volume manufacturers. ‘And whereas we’ve offered a very popular leather cleaning product for many years now, we decided it was high time a leather preservation product was added.’ The Leather Protector joined Supagard’s more established offerings including paintwork protection, of course, as well as products to care for your car’s vinyl and fabric elements. The company’s vinyl protection system creates a non-glossy, anti-static finish on all vinyl and plastic surfaces; while Supagard InteriorGard coats each fibre of fabric with a resin-based

formula which won’t wash out. And let’s not forget the valuable work Supagard does in the security sphere. There’s Key Finder – which reunites 90 per cent of keys lost with their owners – and Security Etching, a simple yet effective system which significantly reduces the chances of your vehicle being stolen. As we’ve already mentioned, Supagard is not a company to let the grass grow under its feet. The company has plenty of exciting plans for 2015 too, and will be expanding its product portfolio in the year ahead with typical innovation and clear-thinking. Although not too many details are available just yet, you can bet Supagard will be building on its reputation for delivering industry-leading technology in the fields of interior and exterior protection. And these new products will adopt the very latest technologies within the vehicle protection sector in the UK market.

‘We’re very excited indeed about what’s on the cards for 2015,’ David Paterson told us. It’s very much a case of ‘‘watch this space’’ and we’re sure we’ll have some news in the new year that will make the industry sit up and take notice.’ Looking back to June this year, it was perhaps hardly surprising that Supagard picked up a Car Dealer Power Award. And the company has been recognised for its achievements elsewhere too, being recommended by the readers of a certain other motor trade title for three years running. What’s more, 17 manufacturers in the UK have endorsed its products and the company has also become supplier partner to the Vehicle Builders’ and Repairers’ Association. As well as delivering top-dollar paint and fabric protection products, the company always takes care to ensure its point-of-sale material is fresh and engaging and that its website is easy to use and attractive to look at. So with all this in mind, don’t be surprised if the team at Supagard find themselves picking up another Car Dealer Power award when next year’s ceremony comes around. Looking for a paint and fabric protection provider for 2015? Supagard have it covered. [CD]

Supagard’s Mark Montgomery, left, picks up the company’s Car Dealer Power award from former editor James Batchelor CarDealerMag.co.uk | 115

DATA FILE.

Thestatistics n

SMMT Sales Data

Taking Stock

Market marches on – but will it level off in the new year? Seasonal slowdown follows an 8pc rise in registrations for November

ew car registration figures rose by eight per cent during November, the latest SMMT figures revealed. A total of 172,327 units were registered during the month, taking the total for the first 11 months of 2014 to 2,310,237. That figure represents a 9.4 per cent increase on where we were at the same stage last year – and exceeds the fullyear total for 2013. The market continues to exceed expectations amid still-rising consumer confidence, said the SMMT. Mike Hawes, chief executive of the organisation, said: ‘Six months after the record was broken for consecutive monthly growth in new car registrations, the market continues to march on. ‘Today’s figures are an indication of the continuing economic confidence that is driving the new car market, with business, fleet and private registrations all showing strong rises. We expect a more stable market in 2015.

‘Demand for ultra-low-emission vehicles is growing strongly, and we welcome the Chancellor’s commitment to support the chargepoint network for electric vehicles, as well as ULEV research and development in the UK.’ Best-seller during November was the Ford Fiesta with 7,660 examples registered. Second and third places went to the Volkswagen Golf (5,440) and the Vauxhall Corsa (4,832) respectively. The rest of the top 10 was as follows: fourth, Ford Focus (4,813); fifth, Volkswagen Polo (4,075); sixth, Nissan Qashqai (3,947); seventh, Vauxhall Astra (3,710); eighth, Nissan Juke (3,557); ninth, Audi A3 (3,451); tenth, Mercedes-Benz C-Class (3,336). In releasing the November figures, the SMMT highlighted two trends in the UK new car market – firstly, that the market for small cars in the mini and supermini segments has grown considerably, supported by lower running costs and advances in comfort and safety levels. And secondly, it drew attention to

the growth in demand for dual-purpose (4x4s and crossovers) and multipurpose vehicles as buyers seek extra space, style and versatility. Commenting on the figures, Richard Lowe, head of retail and wholesale at Barclays, said: ‘Consumers’ enthusiasm for new vehicles continues, although we are seeing a degree of seasonal slowdown in demand. ‘This is adding to the pressure on dealers to keep stock moving, so there are likely to be some great deals to be had in the run-up to Christmas.’ Chris Sutton, managing director of Black Horse, one of the UK’s leading motor finance providers and part of Lloyds Banking Group said: ‘Car manufacturers and dealers alike will be pleased to see sales have continued to perform well with yet another month of good figures as the final quarter of 2014 draws to a close. ‘Clearly, cheap and affordable finance continues to play a positive role in the purchase of new cars, in particular the use of PCPs.’

VW group landmark as Nathan collects his keys SEAT is proudly celebrating the handover of an Ibiza as the 500,000th Volkswagen Group UK car to be sold in 2014. With sales up 19 per cent overall compared to last year, including a 24 per cent gain in retail alone, the sporty Spanish brand has performed exceptionally well and is the fastest-growing marque of the Group. The occasion took place at Bristol Street Motors Seat Birmingham, where Nathan ��| CarDealerMag.co.uk

Thomas-Robinson, 23, arrived to collect the keys to his first new car. No stranger to the brand, up until then he’d been cruising around in an older Ibiza, before accompanying his girlfriend to window shop at the Star City dealership. She splashed out on a nearlynew Ibiza SE in white, while a few days later he returned to order the high-selling supermini in SC FR 1.2 TSI 105PS guise.

SMMT sales data Nov/year to date

Top

Most-improved manufacturers in November

Mitsubishi +251% MG

+126%

Maserati

+118%

Ssangyong +103% Lexus

+84%

Bottom

Worst-performing manufacturers in November Chevrolet

-100%

Smart

-60%

Chrysler

-42%

Perodua

-33%

Aston Martin -28%

TOYOTA +25.46

SMART -60.49 Figures supplied by SMMT

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 Mia Mini Mitsubishi Nissan Perodua Peugeot Porsche Proton Renault Saab Seat Skoda Smart SsangYong Subaru Suzuki Toyota Vauxhall Volkswagen Volvo Other British Other imports Total

Nov 2014

2014

113 374 41 11,594 73 12,355 0 52 5,925 1,729 4,739 19,159 2,954 5,952 23 1,291 347 5,099 3,370 1,138 42 70 2,360 8,808 170 0 4,643 1,497 10,752 2 6,772 916 0 5,686 0 3,559 5,409 130 124 208 2,167 6,037 16,653 16,196 3,613 50 135 172,327

% market share 0.07 0.22 0.02 6.73 0.04 7.17 0.00 0.03 3.44 1.00 2.75 11.12 1.71 3.45 0.01 0.75 0.20 2.96 1.96 0.66 0.02 0.04 1.37 5.11 0.10 0.00 2.69 0.87 6.24 0.00 3.93 0.53 0.00 3.30 0.00 2.07 3.14 0.08 0.07 0.12 1.26 3.50 9.66 9.40 2.10 0.03 0.08

Nov 2013

2013

84 462 57 9,617 100 10,307 599 90 5,499 2,026 4,455 21,027 3,157 5,442 20 1,017 239 4,893 3,806 616 24 32 1,980 7,867 75 0 3,754 426 8,040 3 6,318 747 0 4,720 0 3,335 5,578 329 61 199 2,262 4,812 19,669 13,230 2,515 57 35 159,581

% market share 0.05 0.29 0.04 6.03 0.06 6.46 0.38 0.06 3.45 1.27 2.79 13.18 1.98 3.41 0.01 0.64 0.15 3.07 2.38 0.39 0.02 0.02 1.24 4.93 0.05 0.00 2.35 0.27 5.04 0.00 3.96 0.47 0.00 2.96 0.00 2.09 3.50 0.21 0.04 0.12 1.42 3.02 12.33 8.29 1.58 0.04 0.02

% change 34.52 -19.05 -28.07 20.56 -27.00 19.87 -100.00 -42.22 7.75 -14.66 6.37 -8.88 -6.43 9.37 15.00 26.94 45.19 4.21 -11.46 84.74 75.00 118.75 19.19 11.96 126.67 0.00 23.68 251.41 33.73 -33.33 7.19 22.62 0.00 20.47 0.00 6.72 -3.03 -60.49 103.28 4.52 -4.20 25.46 -15.33 22.42 43.66 -12.28 285.71 7.99

2014 1,516 5,194 791 150,974 1,364 136,433 2,774 1,833 78,215 22,359 63,166 306,134 50,084 77,408 667 17,045 3,589 73,618 52,548 10,863 230 1,088 36,069 116,645 2,198 5 46,489 14,443 129,576 29 98,057 8,347 1 61,172 3 49,620 70,873 4,329 1,466 2,564 35,342 88,325 246,015 200,353 38,343 738 1,342 2,310,237

Year-to-date (YTD) % market share 0.07 0.22 0.03 6.54 0.06 5.91 0.12 0.08 3.39 0.97 2.73 13.25 2.17 3.35 0.03 0.74 0.16 3.19 2.27 0.47 0.01 0.05 1.56 5.05 0.10 0.00 2.01 0.63 5.61 0.00 4.24 0.36 0.00 2.65 0.00 2.15 3.07 0.19 0.06 0.11 1.53 3.82 10.65 8.67 1.66 0.03 0.06

2013

1,298 5,374 848 134,598 1,156 124,113 11,281 2,466 74,483 15,099 56,138 291,369 52,292 72,161 365 15,217 2,039 68,303 51,687 8,385 193 303 29,786 102,837 384 5 47,922 8,281 110,927 205 99,196 7,483 20 40,801 3 41,706 60,795 5,010 628 2,061 30,818 83,606 238,142 180,360 30,138 735 802 2,111,819

% market share 0.06 0.25 0.04 6.37 0.05 5.88 0.53 0.12 3.53 0.71 2.66 13.80 2.48 3.42 0.02 0.72 0.10 3.23 2.45 0.40 0.01 0.01 1.41 4.87 0.02 0.00 2.27 0.39 5.25 0.01 4.70 0.35 0.00 1.93 0.00 1.97 2.88 0.24 0.03 0.10 1.46 3.96 11.28 8.54 1.43 0.03 0.04

% change 16.80 -3.35 -6.72 12.17 17.99 9.93 -75.41 -25.67 5.01 48.08 12.52 5.07 -4.22 7.27 82.74 12.01 76.02 7.78 1.67 29.55 19.17 259.08 21.09 13.43 472.40 0.00 -2.99 74.41 16.81 -85.85 -1.15 11.55 -95.00 49.93 0.00 18.98 16.58 -13.59 133.44 24.41 14.68 5.64 3.31 11.09 27.22 0.41 67.33 9.40

CarDealerMag.co.uk | 117

TAKING STOCK. Remarketing specialist BCA gives its thoughts on matters that are important to dealers for the months ahead . . .

Still a lack of retail-quality stock, but buyers are finding they’re offered more choice says Simon Henstock, BCA’s UK network operations director

verage used-car values climbed in October to reach the second-highest point on record. The headline average value of a used car increased by £319 (4.2 per cent) to £7,748, with performance against CAP Clean averaging 95.6 per cent. Year-on-year values remained ahead by £574, equivalent to an eight per cent uplift, with both average age and mileage falling over the period. CAP Clean performance was down by a point, year-on-year. Fleet and lease cars averaged £9,533 in October, a rise of £88 (0.9 per cent) compared to September, while average dealer part-exchange values improved for the second month running. Nearly-new values declined for the second month running. Used-car volumes rose more slowly than expected in the wake of the plate change and this allowed the market to absorb the increase without impacting unduly on price performance through October. However, with dealers anecdotally saying that retail activity

‘Best-presented cars in attractive colours continue to make good value.’ has slowed somewhat in recent weeks, we are starting to see some pressure on conversions in the wholesale market and rising stock levels as a result of this. With more choice for buyers, this may impact on average values between now and the end of the year, particularly for less desirable, lower-specced vehicles in the marketplace. The shortage of retail-quality stock continues, however, and the best-presented cars in attractive colours continue to make good values for sellers. We were expecting to see that trend to continue into December as stock from corporate sources tends to be thinner on the ground and

professional buyers compete for vehicles for their retail forecourts. As we’ve said, fleet and lease cars averaged £9,533 in October, a rise of £88 compared to September, with CAP Clean performance falling by two points to 95.2 per cent on average over the month. Year-on-year values were ahead by £395, equivalent to a 4.3 per cent uplift. The retained value against original MRP (Manufacturer’s Retail Price) fell slightly at 42.04 per cent when compared to September and was down half a point, year-on-year. The rise in average dealer part-exchange values saw them rise to £4,136 – the highest monthly average on record for P/X cars. Year-on-year values were ahead by £296 (7.7 per cent) with average age continuing to rise and mileage falling over the year. CAP Clean performance fell slightly compared to a year ago. The decline in nearly-new values was £300 (1.3 per cent) although model mix has a significant effect in this low-volume sector. CAP Clean performance fell slightly to 99.3 per cent.

BCA dashboard Value month-on-month All cars vs Sept 2014

Part-Ex

£7,748

vs Sept 2014

£4,136

4.2%

1.8% Variance year-on-year All cars vs Oct 2013

£574 8%

��| CarDealerMag.co.uk

Age/month

Fleet/Lease

60.07

£9,533

All cars vs Sept 14

2.06

vs Sept 2014

0.9%

Mileage

All cars vs Sept 2014

55,895

914 Fleet/Lease

Nearly new

42.04%

£21,168

MRP vs Sept 2014

0.38%

vs Sept 2014

1.3%

Buyers’ guide

Mini R56 We help you choose the best stock for your forecourt. This month, we check out a truly individual car . . .

hen the R53 Mini arrived it was a revelation – a truly individual car. Its residuals were rock solid year-on-year, and although it wasn’t up to the build quality expected when buying a BMW, its design made up for this. The R56 introduced in 2007 continued this trend. Offered in hatch, convertible and estate (Clubman) guise, the R56 hasn’t been individualised to quite the same extent as its predecessor. However, it is still a popular car, particularly with younger drivers. Although BMW won’t admit this, Mini buyers fall into very clearly defined segments. The convertible is mostly bought by females, whereas the Cooper S hatch is primarily the reserve of male drivers. Younger drivers tend to buy the One as its smaller engine is more insurance friendly. However, the ability to add numerous ‘packs’ to the model at the factory mean it’s quite normal for a One to be specified with a Chilli pack at build, benefiting from the extra options and making it look like a Cooper while retaining low running costs. One of the biggest challenges in buying Minis is ensuring you’re getting the correct car. Chilli, Salt and Pepper packs were all offered at build and the options that

OIL LEVELS

these gave varied depending on what base model they were applied to. These options make a big difference when selling but many can be retro-fitted, and the only way of knowing if it was factory-fitted is by checking the build sheet, speaking to BMW or carrying out a spec check when HPI-ing the car. Mechanically, the R56 had all-new engines that delivered better economy and performance than the previous model, the main change being the fitting of a turbo rather than a supercharger in the Cooper S. Generally, they are proving to be reliable cars, more so than the predecessor. However, timing chain tensioner problems are the most widespread mechanical fault reported. BMW doesn’t accept this as a ‘known’ issue, so there is no official recall. There are more than just a few stories of this problem, though. It can be identified early on in what has become known as the ‘death rattle’ by owners, and at this stage can be resolved by fitting upgraded parts. However, if left they can fail, which will result in a very expensive repair. Check this carefully when under the bonnet. Electrical gremlins can manifest themselves

These cars are renowned for using oil, and while this isn’t a sign of any issues it’s still worth checking the oil level to make sure it hasn’t been run low.

with window issues, micro switches or chafed wiring case issues, leading to windows not closing properly. This isn’t an expensive job but it does require the door to be stripped down. There was a recall for potential rear anti-roll bar detachment on early cars, and the JCW model has had a number of recalls covering brakes and engine issues, so it’s worth making sure these have been addressed. You’ll need to make sure you buy the right model. Any base-spec model will be hard to shift, particularly if it has steel wheels, so avoid these or try to retro-fit some genuine Mini alloy wheels (plenty are available on eBay). Mini buyers are generally younger buyers, so spec is key. A dowdy base model will find a only home at the right price, which to you will be the wrong price. Look for well-specced Mini Ones with Bluetooth, alloys and fog lamps in bright colours, These will find homes with young drivers who will want something that looks the part. If buying a Cooper S, look for slightly more sober colours. These should be very well-specced, with upgraded alloys and leather seats to make sure you get the right price. Bright colours work less well on Cooper S, so avoid yellow. Also steer clear of anything with small wheels or low spec. Convertibles are popular, but ideally they should come with leather interior and air-con to get the best price. By Andy Entwistle (@CarDealerAndy)

FUEL PUMP

A hesitation or holding back on acceleration is likely to be a result of a failing fuel pump. Turbos have been known to fail, but this is no more common than on any other turbo car. CarDealerMag.co.uk | 119

auctions.

White Van Man is still alive and kicking bit.ly/van-man

Steady growth shown for values in October 4x4 sales are expected to take off as winter weather finally kicks in

of £86 (or 2.6 per cent) from September. Both age and mileage have fallen since September, by two months and 899 miles (or -1.2 per cent). Daren Wiseman, valuation services manager at Manheim, said: ‘We usually expect to see the 4x4 market spring into life in the early autumn months, as retailers look to stock their forecourts for the British winter. ‘However, with the unseasonably warm conditions throughout September and October, the 4x4 markets have taken a little longer to come to life. ‘With the first frost for Bonfire Night and an influx of wet and windy weather, we expect 4x4 sales to really explode!’ The continued upward trend in the wholesale market follows September’s record-breaking plate change.

New remarketing centre is a racing certainty CITY Auction Group and Rockingham Motor Speedway have teamed up to launch a specialist automotive remarketing centre early next year. The race circuit, at Corby in Northamptonshire, will stage corporate auction events on behalf of major contract hire and leasing companies, financial institutions, daily rental companies and manufacturers. Car cowboy ads 28/8/13 Thedealer new venture will be supported

auction stations

A fascinating insight

ctober was another steady month of growth in values across exdealer stock, according to figures released by Manheim. All 10 of the segments recorded in Manheim’s Market Analysis for October demonstrated increased selling prices year-on-year, with 4x4, coupe and executive models showing the largest increases. Those were as follows: £1,270 or 21.4 per cent; £1,174 or 22.9 per cent, and £1,468 or 28.4 per cent respectively. At £3,390, the average selling price across all segments was £492 (or 17 per cent) higher in comparison with data from the equivalent month in 2013. This is the highest selling price recorded for ex-dealer stock since October 2013, and is in line with a consistent average age of 99 months and a small increase in mileage from 75,328 to 75,405 miles (or 0.1 per cent). Indeed, vehicles in October 2014 were at their youngest since November 2013, as well as having the lowest average mileage since October 2013. Looking at the figures month-on-month, there was an increase

Henstock

by defleet facilities including vehicle storage, handover pods, plus refurbishment and inspection areas. Michael Tomalin, managing director of City Auction Group, said: ‘The potential opportunity is immense, with more than 100 acres of hardstanding ground at a world-class, high-profile motor-racing venue, offering tailor-made facilities. We look forward to an exciting future at 15:49 1 dynamic venues.’ one of thePage UK’s most

No cowboys. Just Just trade trade professionals. professionals.

he annual publication of the BCA Used Car Market report unleashes a wealth of information on used cars and motorists, with some interesting glimpses into how used car buyers intend behaving over the next 12 months. Based on a bespoke consumer survey carried out by TNS/BMRB, 4,000 motorists are quizzed annually for BCA’s report, generating a robust dataset of opinions and perceptions. Despite much brighter economic prospects, rising employment, higher house prices and low inflation, the number of car owners indicating they would ‘certainly’ or ‘quite likely’ buy a car in the next year was flat at 14 per cent in this year’s survey. When it comes to buying that next used car, the number of motorists looking to do business with a ‘franchised dealer’ rose one point to 49 per cent this year, with nearly half hoping to trade in their current vehicle. When choosing a used car retailer, the ‘right car at the right price’ was the most important factor (39 per cent). Meanwhile, 16 per cent say they intend buying from an ‘independent used car retailer’ and nine per cent from an ‘internet trader’. A significant number of used car buyers – 30 per cent – still intend to deal ‘privately’ or with a ‘family member or friend’, with men much more likely to buy privately than women. But what sort of used cars will dealers be selling in the years ahead? This year’s report asked motorists ‘how they thought technology might affect motoring over the next five years’. Around half felt ‘cars will become more fuel-efficient with better fuel consumption’ and ‘electric cars will become more commonplace’. A third of respondents believe ‘safety will improve because of automatic braking systems and other driving aids’.

‘Men are much more likely to buy privately than women.’

Who is Simon Henstock?

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

Strictly Trade only (VAT No. and verified bank details reqd). Purpose built 12 acre auction complex . Enclosed and heated auction halls. Fleet Car Sales every Monday & Thursday. Excellent variety of weekly stock from premium sources. Collection of vehicles 24 hours a day. Fixed cost buyer’s premium. Excellent on-site restaurant. Call now for account applications. Brindley Road, Stephenson Industrial Estate, Coalville, Leicestershire LE67 3HG T: 01530 833535 email: info@fleetauctiongroup.com www.fleetauctiongroup.com

��| CarDealerMag.co.uk

Auction is still the best disposal route but

Keep It Simple

Does this sound familiar from your current auction suplier? We are actioning a multichannel, upstreaming disposal network to facilitate an advantageous remarketing platform via optimum geographic spread and synergise multi faceted dual stream options with superlative demographics built upon a framework of up-selling options throughout the remarketing lifespan coupled with increased services from our newly acquired subsidiaries.

At Aston Barclay, we like to say it how it is...

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We are going to sell your cars in the best way, in good locations with great auction centres, to the strongest buyers, for the highest returns, with sensible fees and with no hidden costs for you or our buyers. Oh, and by the way... We are an impartial operator with no ownership of online car buying sites that deprive you of quality used PX stock for re-sale, GHFUHDVH ORFDO IRRWIDOO WR \RXU GHDOHUVKLS DQG GDPDJH 3; SUR¿ W RSSRUWXQLWLHV

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Email: info@astonbarclay.net Web: www.astonbarclay.net CarDealerMag.co.uk | 121

TRADER TALK.

..in association with AutoTrader

Sharpen your focus to cash in on online rush New TV advertisement on Boxing Day brings a message of cheer for dealers, says Nick King

ecember presents an opportunity for dealers to prepare for one of the busiest times of the year, with one of the most important tasks: stocking the right cars for the January rush. The January illusion Of course, customers are not always flocking to a physical forecourt in the first month of the year. Indeed, it may seem to many like a quiet time. However, that’s an illusion to be looked past. In the digital world, the car-buying journey takes place primarily online and January reveals a hectic period for search activity. In January 2014 for example, 196.3 million Auto Trader searches took place. That was 38 per cent more than average search volumes in each month of the preceding year. This continued into February and March, adding significantly to volumes that see quarter one traffic consistently higher than during other periods of the year. More people may be in market in January, but evidence suggests that around a third don’t buy because they can’t find what they were looking for. Filling that gap should therefore be a new year resolution of every dealer now. 35 per cent of stock fails desirability test Today, intelligent stock selection must go further than experience, drilling down beyond gut feeling and an understanding

Who is Nick King?

700 600 500

434

400

391

417

490 483 468 380

538 526 512 434

483

300 200 100 0 Q1 11

Q2 Q3 Q4 11 11 11

Q1 12

Q2 Q3 Q4 12 12 12

Q1 13

Q2 Q3 Q4 13 13 13

Q1 14

Q2 14

Auto Trader searches in millions by quarter 2011 - 2014

of seasonal trends that shape wider market demand. The focus must be sharper because stock that sold well last January or even last month won’t necessarily still be desirable or in demand come the new year. A large proportion of cars for sale fail the desirability test. According to latest Auto Trader figures, 35 per cent of models listed on Auto Trader fall into this trap, taking longer to sell and returning less profit for their seller. And every dealer knows that space is money. Data holds the key to smart stocking Today there is a wealth of available data to help find the most desirable stock. Millions of daily searches

on Auto Trader, as well as information derived from auction houses and dealers’ forecourts, leave data trails that can be turned into meaningful intelligence to ensure every buying decision is supported by hard facts. Metrics that include current demand, historic speed of sale, supply of similar vehicles in the area and the potential to make a good margin build a compelling picture. And intelligence-led tools such as Auto Trader’s i-Control collate these instantly into something usable, displaying a simple desirability scale running from one to five. So it’s immediately clear whether or not a potential purchase is likely to sell quickly. Furthermore, i-Control supports users by recommending the right price to buy as well as the price to sell, to ensure rapid stock turn and thereby increase profits. Some of the most advanced i-Control users have seen days in stock reduce from 48 to 28 days, while even new users report a significant improvement in stock turn. Investment to drive traffic Auto Trader is committed to driving even more traffic to dealers, to help deliver a strong January and to kick-start a successful quarter one. As part of that commitment, a new TV advertisement will debut on Boxing Day, as part of a significant marketing investment across all channels with a clear message for dealers: The search is on. Now prepare to be found.

Nick is market research director of Auto Trader, the UK’s number one digital market place for new and used cars. Visit autotrader.co.uk ��| CarDealerMag.co.uk

588 550

MARKET INSIGHT.

..in association with ASE-global.com

Strong trading announcements made as share prices continue to outperform the FTSE 100 Strong growth year on year, but replicating the 2013 gains has been difficult, says Mike Jones

relatively quiet month on the announcement front, with Pendragon’s interim management statement showing operating profit up 28.8 per cent and gross profits from aftersales and used vehicles up approximately three per cent. Vertu’s acquisition trail continued with the £11m purchase of the Gordons Ford dealerships in the north-west and the acquisition of Paisley-based The Taxi Centre. Share price performance November share prices continued to outperform the FTSE 100 Index in the main, with Inchcape in particular seeing strong trading and ending the month on a 52-week high at 718.5p – potentially buoyed by the continuing share buy-back programme. The sector continues to enjoy strong growth year on year, with average share prices trading at between 16 per cent (Pendragon) and 77 per cent (Caffyns) higher during 2014 than the same period in 2013. This compares with an average rise in the FTSE 100 Index of only four per cent. The share prices have been relatively stable during the year, with the gains made during 2013 being difficult to replicate this year. Given the strong results announced across the board in recent months, it may be considered disappointing that more positive share price movements were not forthcoming. It was interesting to see the recent launch on to AIM of Haversham Holdings plc with a £30m raise to provide due diligence and operating capital before subsequent acquisitions. Automotive is one of the sectors quoted as being considered for investment in businesses with an enterprise value of between £250 million

and £1 billion. Backed by serious institutional investors, it will be interesting to see what impact this may have on the sector into 2015. Financial performance Pendragon announced a strong performance in the quarter to October 30 and expects results to be ahead of expectations for the full year. Gross profits in both used vehicles and aftersales were up by approximately three per cent, benefiting from the increasing vehicle parc and the young (less than three years old) parc in particular. Activity through the Stratstone.com, EvansHalshaw.com and Quicks.co.uk websites grew by 16.8 per cent, evidencing the importance of the online offering to the broader growth strategy. The ‘Sell Your Car’ proposition was launched in August 2014 with the opening of 29 outlets, with a further 10 planned for quarter four. This provides a direct source of used cars from consumers and is further competition for webuyanycar.com. Transactional activity Vertu announced two acquisitions in the month, taking its number of outlets to 114 with the trade and asset purchase of the Gordons Ford dealerships in Bolton and Wigan and two smaller satellite sites. The cash price was estimated at

Share price movement from January 1 to October 30, 2014

Share price movement from January 1 to November 26, 2014

Pendragon

89.78%

88.32%

Vertu

99.16%

100%

Lookers

107.13%

111%

Inchcape

111.07%

115.62%

Cambria

94%

97%

Caffyns

97.22%

106.48%

£11m with no goodwill, and the acquisition is expected to be earnings-enhancing from March 2016 onwards. Earlier in the month, the acquisition of The Taxi Centre was announced for £0.7m. The consideration will be settled by the issue of 343,053 shares in the Group, with the remaining £0.5m in cash. The Taxi Centre is located in Paisley, Scotland, and sources vehicles for private operators in the taxi sector throughout the UK. Board composition and activity/ directors’ holdings Inchcape continued its £100m share buyback programme, with daily share purchases being made. As stated above, Vertu announced the issue of 343,053 shares in connection with the acquisition of the Taxi Centre.

Vertu Motors has added additional Ford dealerships to its portfolio of businesses

Who is Mike Jones? He’s the chairman of dealer profitability specialist ASE plc. You can read ASE’s column here every month CarDealerMag.co.uk | 123

data file.

James Litton Trader tales

Are you an old salt or a whippersnapper?

wrote last month about the staffing revolution within the premium sector, and how in my opinion we are doing a great job of reinventing the wheel by changing titles and modifying roles. This is further evidenced by the type of candidates we look for and our lack of creativity in seeking out people with a fresh approach or background. In recent times I was tasked with bringing a new corporate manager into the team to move away from broker business and seek out proper fleet opportunities that existed within the local area. I asked a specialist recruiter to send me candidates who had a proven track record in B2B sales but came from outside our industry. I met some excellent individuals and reached the point of offering the position until a high-level executive heard about the plan and scuttled it. While the eventual successful person had great motor trade credentials and references, a token effort was made to create change and the department experienced average growth. There are three distinct groups of car sales person: The old salt. Been around the trade for decades, brings great knowledge around the process and understanding customer needs, but also the same old bad habits and prejudice which blight many customer experiences. The young whippersnapper. Keen to get on, will work the hours akin to those of an A&E doctor and generally very successful. However, prone to collateral damage and can burn out very quickly. Lastly, and most prominently, the dead wood. Invariably dead wood comes from the failing individuals from both categories named above. I would say every sales team has at least 50 per cent dead wood. The real issue is these people are consistently inconsistent, making management difficult and performance a challenge. The rampant fear throughout the industry is that good customer service does not equal sales. What we seek are people who sell first and deliver customer service as a secondary consideration, and often not successfully. Many of the product specialists, genies, gurus who are coming into the trade do deliver a compelling customer experience, but the customer continuity is under threat with a handover to a sales executive, retail managers or transaction managers – whatever you title them. One last time. Just do the job. Be friendly, set the sales agenda, manage expectations and phone people back.

‘The fear in the industry is that good customer service does not equal sales.’

Who is James Litton?

James is sales manager at Mercedes-Benz of Taunton. He always has something to say about the industry he loves. ��| CarDealerMag.co.uk

Suppliers’ If you’re looking for a motor trade supplier you can find App development

Auctions

Finance

AppCreatives

Newark Motor Auctions

Carfinance247

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BCA

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Think Insurance

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Auctions Manheim Remarketing

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CAR DEALER CLUB gives dealers of all sizes access to free legal advice worth £195 from our motor trade lawyers – all for a paltry £39.99 annual subscription! This offer is only available to new subscribers, so if you haven’t renewed your subscription then you need to do so to gain access to this very special

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guide

Confessions

your real stories

the details of selected companies here Insurance

Paint protection

Vehicle logistics

Spectrum

GEN-3 Glasscoat

Movex Logistics

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Insurance

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Video

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Key control

Remarketing

Warranties

Keytracker Ltd

GlobalOASys

Car Care Plan

Unicom

AutosOnShow.TV

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Online marketing

Training

Warranties

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AutoProtect (MBI) Limited

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.

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Online trading

Valeting services

Web design

Autotrade-mail.com

National Car Cleaning Company

GForces

A seasonal rhyme for Christmas time

was the night before Christmas, when all through the site, Nothing was selling, there wasn’t a bite. The price boards were hung on the cars with due care In the hope that a customer soon would be there. The salesmen were nestled all snug at their desks, While visions of upselling danced in their heads. And the boss in his seasonal tie and I in my shiny shoes, All we wanted was to pack up and get on the booze. When in my head arose a clever idea, I sprang from my desk and shouted loud and clear... Away to the office I flew like a flash: ‘Boss, we need to do something – I can smell gas!’ The phone to my ear with my made-up gas leak I pretended to call 999 and began to speak: ‘We have a big problem, what should we do mate? ‘They said, we must leave, before it’s too late!’ With my gullible boss, so stupid and thick I knew in a moment I had to think quick I told him we simply had ‘no time to check Just get out – and pronto – you must save your neck!’ ‘Now Dave! Now Stuart! Now Steve and Andy! On, Sarah! On, Nigel, on Chloe and Mandy! To the pub all of you, this place is about to blow! Now dash away! Dash away! We all have to go!’ Make no mistake, I knew exactly what to do. ‘Don’t worry,’ I said. ‘I’ll wait for the gas man, I’m right behind you.’ Off they all walked to the pub through the snow, As I waited for the imaginary gas man to show.

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

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I gave it 20 cold minutes before I went on my way, Telling my boss, ‘We shouldn’t go back for the rest of the day. ‘It will take him that long to fix it with his gear.’ The boss thanked me for the heads-up and bought me a beer.

Paint protection

Vehicle checking

Wholesales

Supagard

HPI Check

Carfleet Wholesale Ltd

The boss said: ‘We’re here now, so might as well stay.’ So we remained in the pub for the rest of the day. Drinking and laughing like it was Christmas Day already – After my seventh pint I got to my feet, a little unsteady.

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Burping and swaying from the ‘Christmas spirit’ I made a toast to all that could hear it. ‘Right, I’m going back to lock up the site. Happy Christmas to all, and to all a good night!’ CarDealerMag.co.uk | 125

workshops.

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

Garages are warned over taking diesel filters off cars Specialist outfit says customers are being misled about savings – and the illegal removal of device could prove to be costly for both sides

arages illegally removing diesel particulate filters (DPFs) to try to cut costs are not only misleading customers but aren’t actually saving them as much money as they may think. That’s the message from motor parts reconditioning specialist DPF Clean Team, following a recent BBC investigation that found one in 10 UK believe the number of garages removing garages were illegally removing DPFs to DPFs may be higher than one in 10, it save customers money, because the cost is also warning garages that the illegal of replacing one is far higher. measure isn’t saving as much money as Garages have also been known to the legal option of DPF cleaning. remove the actual filter and leave the Cameron Bryce, director of DPF DPF casing in place, in the hope of Clean Team, said: ‘Prior to a change bypassing the system. in legislation, cars were MOT-tested Not only does DPF Clean Team on emissions levels and not whether 

Only

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. 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.

marshallweb.co.uk

RAC poised to compare prices THE RAC is launching a price comparison website for car servicing. It will be asking more than 10,000 garages to join the site, which will rank car servicing, repairs and MOTs. RAC Garage Compare. co.uk is the result of a partnership between the RAC and The Motorists Organisation – the company behind TootCompare. It will, says the RAC, ‘provide motorists with absolute transparency when they compare prices and service standards from independent and franchised garages all around the UK.’ Users will enter their postcode and registration number, plus details for the kind of services they require, and then book online. They will also be encouraged to rate the garage after use.

Reach new heights... need apply!

��| CarDealerMag.co.uk

their DPF was attached. Garages have a responsibility to inform their customers of this change, and those removing the filter in the hope of bypassing the system are not providing great customer service. It is far more expensive to remove and remap the DPF than clean the filter. Cleaning the filter really is a cost-effective solution and can be done for just a few hundred pounds, rather than the thousands of pounds a new DPF is likely to cost, protecting customers against both expenses and the risk of prosecution. ‘You may think you are saving money by removing DPFs but the cost to your customers of being found without a DPF is far higher.’

SERVICING

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

...with a career at Vertu Motors

Welcome to Vertu Motors PLC, the largest growing motor retailer in the UK Whether you’re starting your career or changing jobs, it is important that you apply to join a company that is right for you, one that shares your values, will appreciate your work ethic and reward your achievements. It is not that different from buying a car. Get it right and you’ll feel good every time you make a journey. Get it wrong, however, and you’ll never feel satisfied. Choosing an employer is similar but, considering how much time we spend at work, it is far more important to get that choice right. After all, this is a decision that will literally change the course of your life. You need to know, however, that we are equally choosey when deciding who will make this journey with us. You would expect no less.

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

To apply or to explore all our exciting career opportunities, visit...

www.vertucareers.com

the fleet.

LATEST FROM THE FLEET... Second report:

VolvoV40 For a long drive, this is a car that takes some beating... and it’s as close to autonomous motoring as our new editor wants to get...

hose clever people at Volvo certainly know their stuff. This car is impressive when it comes to pootling along on the motorway – seriously impressive. I needed to be in Nottingham for the weekend, and the V40 was available. Boy, how happy was I with the choice. The early start was no problem, snuggling into the nice heated leather seats. The DAB radio on and the sat nav set (and how nice that the sat nav was pretty easy to fathom, without having to leaf through pages and pages of the manual to find out how to set a postcode) I was ready for the off. It’s a very comfy ride. It’s a bit of a throwback to the old Volvo 440 I had when I was much younger. It feels very, very solid and very safe, and the handling is a bit heavier than most cars on the market today. That makes it a bit cumbersome around town, but on the motorway it’s no problem. And the adaptive cruise control was a dream. Again, lots of manufacturers like to add their own tweaks. And I’m a man – I don’t want to read up how to use it first. I just want to twiddle and push a few buttons and work it out for myself, and have that little smile of satisfaction when it all works out. This one was very intuitive and simple to operate. It was easy to set the speed, and to increase it, and being a clever Swedish version, very smoothly increased the speed as soon as the indicator was operated to ease past the slower-moving vehicle in front. It made motorway driving a real pleasure

– and, for the long stretches of the M1 which seem to have never-ending road-widening schemes and the accompanying average-speed cameras, a godsend. No letter from the local constabulary coming my way! Best bit of all, though, was seeing how frugal it was. A trip from Car Dealer HQ on the south coast to Nottingham and back, and it used just £40 of diesel. Now that’s a result, and will delight the miserly bean counters in the office who during the festive season made

the knowledge Model: Volvo V40 Cross Country D4 Price: £36,045 (as tested) Engine: 1969cc, 4 cylinder, turbo-charged Power: 190bhp, 1750Nm Max speed: 130mph 0-60mph: 7.1s Emissions: 104g/km Mileage this month: 866 This month’s highlight Motorway driving is a delight. The adaptive cruise control is as close to driverless driving as I ever want to get...

Scrooge look like some kind of happy-go-lucky generous benefactor... So what are the drawbacks? Well, washing the thing for one. You can’t put it through a normal car wash, as the roof spoiler juts out so much the brushes don’t get under it, leaving the dirt in place at the top of the rear window. Bit annoying, that. If I wanted to wash it by hand, that’s what I would have done in the first place. And switching radio stations is a little fiddly. The interior is roomy and looks really hi-tech, but the telephone-pad style for the radio controls is fussy. Speeding along at 70mph and wanting to change the station because the DAB reception keeps cutting out can be a bit on the scary side. I’m sure in time it’ll become second nature and I’m probably being a bit picky. For a long drive, this car really does take some beating. It is very comfortable, has plenty of luggage space, and has enough toys and bits and pieces to keep you happy for ages. Only around town does it feel a bit lardy. Colin Channon (@colinchannon)

CarDealerMag.co.uk | 127

the fleet.

LATEST FROM THE FLEET... Second report:

Third report:

Fourth report:

Mazda6

MitsubishiASX

DaciaDuster

You really don’t have to be an adventure junkie to enjoy this

Car Dealer Dave heads off with his wife and daughter in tow

I PUT it down to jealousy. It had to be that. I can’t think of any other reason a small-minded yob (other than their small mind) would think our Mazda 6 deserved a scar across its driver’s door. I took the family up to Milton Keynes to get the wife acclimatised to life strapped to a piece of wood while she threw herself down a mountain. Preparation for Christmas in the cold stuff, you see. While she was trying not to bruise her knees, our long-termer was in the car park. I didn’t spot it at first, it was too dark, but the next morning there was the scratch, deep and ridged, blotting the beautiful lines of the Tourer. To say I was furious is putting it mildly. I simply can’t understand why someone would do that. Neither could the Mazda. It had a little rant. If you missed it, check out its anger by typing bit.ly/ YobLetter into a browser. I’m now on the hunt for a good SMART repairer so if you know of one let me know by tweeting @CarDealerEd. In related Twitter news I had contact from a helpful dealer about the things I moaned about last month. I’m yet to make contact with them (it’s been one of those months with the Used Car Awards), but I will do and report back. I’ve also been particularly impressed by the fact our 6 has a two-speed rear wiper. I never knew I needed one until now. I’m easily pleased. The brilliant engine is still impressing too, even if I have come to the conclusion it is the work of fairies and pixies… James Baggott (@CarDealerEd)

‘Adventure Advanced’ is the tagline of Mitsubishi’s new advertising campaign for the ASX. Unfortunately I’m not really one for extreme sports. Or normal sports for that matter. You’re much more likely to see this ASX parked outside a pub than next to a mountain with a bike on the back. Unless there’s a pub at the bottom of the mountain and I’m planning to cycle home. But while I might not be living up to the advertiser’s idea of an action-packed life, I’ve still kept the ASX pretty busy. A trip up to Scotland ensured we’ve had plenty of time together and familiarity has bred nothing but admiration. The new advertising campaign is part of a big push from Mitsubishi on the ASX and there are plenty of reasons why they should be selling more in this growing segment of the market. It’s competitively priced and this model comes with loads of extras, including a DAB radio which I now see as an essential in car, not a luxury. The fuel consumption is good and the ASX proved a comfortable drive, bombing along the motorways and winding through the picturesque scenery along Scotland’s A74(M). My one minor gripe would be the lack of an interior light in the back. Ok, so you’ve got those pretty LEDs around the panoramic roof but when it comes to trying to strap a wriggly one-year-old into her car seat in the dark, they don’t cut it. Gareth Bethell (@garethbethell)

CELEBRITY car reviews sometimes cause a bit of a kerfuffle. I’ve mentioned before that Chris Evans hated the new version of the Aygo that Toyota launched last year. Naturally that didn’t go down too well at the company’s UK HQ, but shedloads have been sold since its arrival so I’m guessing he’s been forgiven. The Dacia Duster we have on loan at Car Dealer Towers is a car Mr Evans does like. And with good reason. His recent review in The Mail on Sunday summed it up neatly: ‘Dacia may not do finesse, but it does do brilliant grass-roots bang-for-yourbuck value.’ And in his own entertaining style (if his broadcasting career ever went belly-up, he could always apply for a job at Car Dealer), he goes on to mention the car’s rather feeble demister and enormous fuel filler cap. But he concludes: ‘I absolutely love this car.’ I must admit, I’m beginning to feel the same way about NJ14PFD, and she seemed even more appealing after a thorough wash and brush-up ready for a fresh photoshoot. (The first of the new pics is above – thanks, Jonny Reay.) This month, she was experienced for the first time by daughter No1, who was a back-seat passenger for a rare long-distance trek with her parents. Her verdict? Very comfortable. The only thing she didn’t like was the fact that her mum and I were listening to Radio 2 – and Chris Evans. Dave Brown (@CarDealerDave)

the knowledge Model: Mazda 6 2.2D 175s Sport Nav Tourer Price: £27,955 (as tested) Engine: 2.2-litre diesel Power: 173bhp, 420Nm Max speed: 137mph 0-60mph: 7.8s Emissions: 121g/km Mileage this month: 1,896 This month’s highlight Thinking of the many ways to hurt a yob who has a key in his hand with red paint on it... ��| CarDealerMag.co.uk

the knowledge Model: Mitsubishi ASX 4 Manual Price: £23,249 (as tested) Engine: 1.8-litre diesel Power: 114bhp, 300Nm Max speed: 115mph 0-60mph: 10.6s Emissions: 136g/km Mileage this month: 5,487 This month’s highlight Stopping for a coffee in Biggar on my way to Edinburgh. Couldn’t believe the size of it.

the knowledge Model: Dacia Duster Laureate dCi 110 4x4 Price: £16,380 (as tested) Engine: 1.5-litre, turbocharged diesel Power: 109bhp, 240Nm Max speed: 104mph 0-60mph: 12.3s Emissions: 137g/km Mileage this month: 851 This month’s highlighTS Taking the Duster for some much-deserved TLC – and that positive verdict from Mr Evans.

longtermers

Fourth report:

Fifth report:

A fond farewell:

NissanQashqai

AudiA3

KiaCarens

If I have to get up at 5am, this isn’t a bad way to start work

Oh, that sat nav. And then it never rains but it pours...

We’ve lived in this car – and been very happy and warm

I, like many ‘car people’, am a sucker for a gadget and it has to be said that the Qashqai Tekna has got those in spades. Nissan aren’t exactly shy when it comes to speccing-up their cars, with many neat toys coming as standard on mid-range models. But as the Tekna is the range topper, it is literally full to the brim with the sort of features that, not so long ago, were reserved for the highest of high-end luxury barges. We’re talking traffic sign recognition (a technology that still baffles me), lane departure warning, forward emergency braking, parking sensors, blind-spot warning, moving object detection, around view monitor (or, what I like to call Grand Theft Auto mode), heated leather seats, cruise control, sat nav, panoramic roof, big alloy wheels, auto lights, auto wipers, auto-pilot… the list goes on. Albeit perhaps not with auto-pilot. My point is, with the massive step forward that Nissan have made with the quality of their interiors, the Qashqai Tekna is a very nice place to be. It’s also hugely satisfying for those of us who like a toy or two attached to their car. I mean, it even likes to tell me when I want a cup of coffee! Mind you, it has only been right on once – the other times I actually wanted a cup of tea! If I had to gripe, the heated seats can be a bit all or nothing. But getting up at 5am on a winter’s day, any amount of heat is a saving grace. Ben Morley (ben@blackballmedia.co.uk)

the knowledge Model: Nissan Qashqai Tekna Price: £23,670 (as tested) Engine: 1.2-litre turbocharged petrol Power: 115bhp, 190Nm Max speed: 115mph 0-60mph: 10.9s Emissions: 129g/km Mileage this month: 2,250 This month’s highlight Sitting back and enjoying the impressive spec of the Tekna

NO, no, no – in the words of Victor Meldrew, I just don’t belieeeeve it… I love Audi. From the time I first slipped into one of their lovely comfy leather seats behind that flat-bottomed steering wheel, I was hooked. Nothing they could do could upset me. Until…. I know my colleagues Andy and DJ have had a bit of a pop about the sat nav in the past. But they had to be wrong. It’s an Audi, after all. But they were right. It drove me mad. I couldn’t get the thing to let me put in a postcode. Every time I neared the end of it, it jumped to the address it thought I wanted. That was very nice of it. But it kept getting it wrong. And I couldn’t work out how to put it right. In the end, I gave up, followed directions to the postcode it would give me (a couple of miles away from my destination) and then, feeling like a dinosaur, followed the road signs to get where I needed to be. Who uses road signs these days? And, horror of horrors, I found another worrying thing. It was tipping down outside, and had been for most of the journey. When I opened the tailgate, water poured down on to the parcel shelf and on to my luggage in the boot. What’s gone wrong? The drive? Lovely. It’s lively, eats up the miles, and is great fun to drive. But that’s a given, as it’s an Audi, right? Colin Channon (colin@blackballmedia.co.uk)

the knowledge Model: Audi A3 Sportback S line 2.0 TDI Price: £31,130 (as tested) Engine: 2.0-litre turbocharged diesel Power: 182bhp, 380Nm Max speed: 145mph 0-60mph: 7.2s Emissions: 110g/km Mileage this month: 852 This month’s highlight Motorway driving. This is a compact car that thinks it’s a saloon…

THERE was a time when Kia was a byword for cheap and cheerful. It was very capable, but really a budget option. Times have changed, though, and the Carens is living proof that Kia means business when it comes to taking on more established competition, like the Vauxhall Zafira or VW Touran. Not only has the Carens got a more grownup exterior look, but inside its premium feel is appreciated, But as 2014 draws to an end, so approaches our long-term test with the Carens. And with days getting more miserable and colder, the Kia is proving just as capable at keeping its occupants happy and comfortable. Granted, we were perhaps a little eager when it came to ticking the options box when we ordered it, but some of those extras which seemed a bit extravagant several months ago are really proving worthwhile. The heated seats, which until now were used only to play jokes on the passenger or driver, are really coming into their own. The climate control system is also pretty impressive. However, being part of the video team, we spend most of our time getting in and out of cars on shoots, so changing from hot cabin to the cold outdoors isn’t doing me any favours, and highly likely to lead to a dose of man flu. *cough Nigel Swan (nigel@backballmedia.co.uk)

the knowledge Model: Kia Carens ‘3’ 1.7 CRDi Price: £23,895 (as tested) Engine: 1.7-litre, turbocharged diesel Power: 134bhp, 330Nm Max speed: 119mph 0-60mph: 10s Emissions: 132g/km Mileage this month: 421 This month’s highlight The heated steering wheel. Wow, with this weather, that has been really useful lately... CarDealerMag.co.uk | 129

data fiLe.

Err on side of caution when choosing your business partners

he late-2000s global financial crisis left many of us with memories I doubt will disappear for a good few years to come. And it’s little wonder when we remind ourselves of the events that took place right before our eyes, most of which left us flabbergasted at their pure severity, and leaving us to question if it was really happening. Who can forget the first bank run in more than 150 years? The same news was on countless TV channels and in the press, with reports about frantic customers rushing to queue up to remove their cash out of fear that the bank might not have any money left because every other customer was doing the same. And who would have thought that a 150-year-old US investment bank (which was the fourth largest at the time) would be declaring for bankruptcy, with the consequences resulting in an ever-increasing volatile financial market and the domino effect rippling down to markets and businesses that impacted on our very own marketplace. You may have remembered receiving the telephone call from your finance company account manager to advise you that the finance company they worked for was retreating from the marketplace, as either they were not in a position to obtain any new funding arrangements from investors or their business was ceasing to exist after a small exit period of processing pipeline business. At the same time you may recall how, following the news that some of your lenders were no longer going to be present, you quickly assessed what was left and searched for new providers in an attempt to continue to cater for a

Jonathan

Such TIME IS MONEY

wide range of customers and ultimately keep your sales at the previous levels. What we have witnessed over the past 12 months – and particularly more so over recent months – is the reintroduction into the dealer market of some finance companies that previously resided there, combined with some new entrants, along with various comments and press releases on how many million pounds they are expected to pour into the market. In the short term you may think this is good news, and to some degree it is to you as a business, as you will have more options available to you and your customers, which

‘Make sure you put your eggs in the basket that has the most stability’ should see you selling more cars to your customers. However, I believe you should be erring on the side of caution and choosing your business partners extremely carefully, as there are lots of other external factors that make our marketplace a little bit more turbulent than how it seems on the surface. As 2015 starts to gain more momentum, make sure you put your eggs in the basket that has the most stability, treats your customers correctly, and is likely to have longevity and be here tomorrow to support you. I think I might just be able to recommend the right one to you...

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

Coming next month

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

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We’ll be talking to leading industry figures to discover what 2015 has in store

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