Vauxhall contracts will revise standards and bonus structures and increase focus on digital retail

AM reported last month that a third of the current Vauxhall dealer network was likely to disappear. Many franchisees are barely making money and the brand’s new car market share has been in steady decline, from 12.2% in 2010 to 9.3% in 2016. Following its acquisition by France’s PSA Group in March 2017, its share has dropped to below 8%.

Before this issue went to press, Stephen Norman, Vauxhall’s managing director, called AM to confirm that its dealer network would indeed be reshaped and that all current contracts were being cancelled. He denied reports that about 100 sales points were to go, the number given to AM by dealer sources, calling talk of such a large reduction “pure speculation”.

However, Norman refused to  specify exactly how many dealerships he would shed in the restructuring,  despite some dealers telling AM that they were already aware if they were getting the new contract.