February 10, 2012

T-25, 3 into 1 will go!

bond bug

Every 10 years or so vital automotive innovations pave the way for the next 50 years. Right now a new, dynamic approach to car manufacturing is about to re-write the rules. It's called 'iStream' and it comes from the man who, with Ron Dennis came up with what some call the greatest supercar of all time; The McLaren F1. In fact iStream along with … [Read more...]

Credit where credit is due

Although showroom footfall is a little light for the time of year, some car dealers are still reporting brisk trade. Others are saying that they are fighting for every deal and many customers will just not commit and more of the ones that do either want a lot more for their old car or too much off the new one. There are also some wider parallels … [Read more...]

The goose that laid the golden egg stopped laying

Franchised car dealers are becoming increasingly concerned about how they make sure their aftersales business remains profitable. They are under pressure like never before from the likes of Nationwide and Kwik-Fit (although that may change after the recent report by the BBC’s Watchdog) and other independent service centres who appear to be … [Read more...]

There is still an alternative to marketing online

Is traditional media making a comeback? why are adverts always on at the same time? There is a feeling in the trade right now that we have to do something different, showroom footfall is down, cars are taking longer to build and customers have more alternatives than seemingly ever before. If dealers are sharp enough to get their presentation … [Read more...]

New car supply issues may lead to innovation

With the continuing issues around new car supply showing no signs of easing in the near future what are dealers likely to do to be able to combat this? It is not quite as simple as just fixing a single problem. The obvious reason for the lack of cars is the scrappage effect; car makers were clearly overwhelmed with the global success of the various … [Read more...]

No atmosphere at the auctions as decent cars become scarce

Standing at the auction yesterday I couldn’t help noticing how the hall seemed completely bereft of atmosphere. The usual suspects were all in attendance of course, milling about chomping on bacon rolls as usual, but the distinct lack of quality cars being entered meant I stayed only a short while. The tell tale signs were obvious; on the rare … [Read more...]

Brisk business at the car auctions down to short supply

Although the auctions are doing brisk business at present, there is a feeling that this is mainly down to short supply. There is expected to be a flood of cars later in the month as contract hire and lease cars are de-fleeted, meaning more choice and therefore a cooling of prices on the trade market. Since the end of scrappage the value of small … [Read more...]

Caution pays when buying a used car

During an economic downturn or periods of economic uncertainty it is more important than ever to ensure that any car you buy or service you pay for is legitimate. We in the trade always look a little more closely at part exchanges and all the supporting paperwork. For example when someone says their car has a “full service history” is that … [Read more...]

Driving green could take you into the red

Car makers and their franchised dealer networks are facing a dilemma; they want to sell “green” cars that help the planet and reduce co2 emissions but in reality are still failing to appeal successfully to the majority of the car buying public and are thus still some way from getting buyers to consider them in any great numbers. I … [Read more...]

Order takers stand aside – it’s time to get back to selling cars

As September approaches dealers are scratching their heads thinking about how to encourage sales, which have been affected by various events. Last year the scrappage scheme was in full flow and was being marketed very well by the government and for many dealers it basically led to a procession of what we in the trade call ‘hands up ‘ customers … [Read more...]

East meets west as Malaysia’s car industry takes off

Having just spent several weeks on holiday in Malaysia, I was fascinated to read an article on the current state of car sale figures in the country. Other than the government pitching Malaysia as the world’s number one holiday destination for 2011, my first stop-over in Kuala Lumpur showed that Malaysia really is on the rise, and I'm not just … [Read more...]

Diesel do nicely

With fuel prices spiralling out of control once more, car drivers are being hit where it hurts more than most. What with VAT set to rise and new car prices having already creeping upwards It makes the job of finding a car which will not cost the national debt to maintain that much harder. It seems it is either price hikes or cuts but no increase in … [Read more...]

MPV demand stays strong as more holidays are taken in the UK

|The summer moves along at a pace and on my recent camping holiday (Roman Abramovich’s yacht was booked up unfortunately) I couldn’t help noticing how many “sensible” cars I saw parked next to the tents. It appears that with many of us deciding, for economic reasons, to holiday in the UK we are also snapping up MPV’s and estates … [Read more...]

Flexibility is the key to car sales these days

As we go into August the world of car sales has been yo-yoing, with some industry insiders saying business is brisk with plenty of buyer demand while others saying its tough out there and getting tougher. Certainly cars which really have unique selling points are still making a premium whereas run of the mill volume type examples are selling … [Read more...]

Latest predictions foresee tough times ahead for used car market

People in the motor trade love to make predictions and, of course they are not always. That said, I predict many more predictions by voices within the trade before the year is out. The latest batch come from car dealers, especially those in the franchised sector, who are predicting tough times ahead for the used car sector in the coming months. … [Read more...]

Just blame the weather

The school summer holidays are officially here and traditionally it can be a mixed bag for the trade. If the sun is shining customers head off to the sun in the UK, if not they head off abroad. We are great in the car business at talking the job down at any instance and the weather is perfect for this; too hot and we are all having barbecues, too … [Read more...]

If you always do what you have always done you will always get the same results

Someone once said 'if you always do what you have always done you will always get the same results' (it was American success coach Tony Robbins - ed) and this is probably more relevant in the motor trade than any other business. Despite numerous attempts to evolve and change, if you ask veterans in the trade many will still say “we have always … [Read more...]

We’re not doomed….

The auctions, like the proverbial rubber ball, always come bouncing back. After weeks of the oversupply of high mileage basic and distinctly uninspiring ex-fleet cars clogging up the sales, the word on the street is that buyers are getting their debit cards out and conversions are on the way back up. It appears that after the shock of the … [Read more...]

Car dealer finance still being overlooked

In conversation with a long established car dealer recently, he passed on to me his exasperation with the fact that many customers seem to be difficult to engage with about finance and monthly payments. He mentioned that statistically it is reckoned that 60% of car buyers believe car dealer finance to be more expensive than high street … [Read more...]

VAT’ll do nicely!

It is widely believed that the increase in VAT from January 11th will stimulate new car sales in the second half of 2010 and that the industry will welcome an increase in sales during the traditionally quieter periods. However some believe that car buyers will merely be bringing forward their purchase decision leaving a hole in the overall … [Read more...]

Buying cars in an economic downturn

Recession, double-dip recession, depression, global depression, fiscal deficit, higher taxes, spending cuts, job losses, fuel rises. That’s a rather unpleasant list of words which make most people feel uncomfortable. But Britain has experienced the worst recession since the 1930s and is facing the toughest squeeze in generations so there is no … [Read more...]

Drop tops and summer sales

The traditional convertible season has got into its usual busy stride with prices at a premium and our auction insiders telling of cars bucking the market and fetching way above guide values. Of course it still remains that examples of cars with high spec, good colour and low mileage are the real ‘halo’ cars in this sector. Buyers are doing … [Read more...]

VAT and the Phew! factor

The recent emergency budget certainly didn’t seem as bad as it could have been for the motor trade. The VAT rise will of course hurt when it arrives as it affects both buyer and seller. Profit from car sales is subject to VAT but a small crumb of comfort is that at least it gives dealers the opportunity to re-plan budget forecasts with plenty of … [Read more...]

Emergency budget may turn car buyers green

There is a growing feeling in the car retailing business that many more buyers will soon be looking to downgrade their cars into much more economical models. The long awaited lift off for eco-friendly, low emission cars could finally be about to gather pace. Many dealers are reporting an increase in customers looking to offload their gas … [Read more...]

Late plate ex-rentals can definitely be a wise choice

There was a time when car dealers used to try and conceal the fact that they sold ex-daily rental cars. They did this because there was a perception - sometimes real, often imagined - that these cars were somehow of a lower standard. It’s probably true that, given the choice, most car buyers would prefer that lower mileage 1 careful lady owner … [Read more...]