Plexus Online, the internet-based accident management company, goes live in September with two unnamed clients and a 300-strong bodyshop network. It aims to maximise repairer and insurer profits on every job while raising customer satisfaction.
Dealer Car Manager has teamed up with insurance giant CGU to offer dealers an opportunity to profit from courtesy cars, while minimising the expense of demonstrators and company vehicles. The service is designed to address the problems of ensuring adequate insurance cover is in force and minimise administration for dealership staff.
The booming local business market offers dealers an ideal opportunity to replace income lost as the private buyers 'strike' continues, according to Pawan Pandya, Paragon Car Finance managing director.
Investment demanded by manufacturers to represent their corporate image at franchised dealerships is reasonable according to two in three of the retailers questioned. Around one in 10 agreed with the suggestion that a distinctive manufacturer image helped to sell at a franchised outlet.
Only a little over a quarter of the franchised dealers questioned for the survey expect profits from used cars to grow over the coming 12 months. Answers to this and other questions show how confidence has taken a pounding, and many blame manufacturers for subsidising new car sales.
Franchised dealers are worried about the trend to longer intervals between routine services and few believe manufacturers are concerned about the effect on profits. Asked whether they were concerned about the longer gaps, 76% replied 'yes'.
General Guarantee Finance is to wind down over the next three years after Great Universal Stores failed to find a buyer for its subsidiary. The move will mean the loss of 600 jobs and the closure of the company's branch offices around the country.
New Volvo boss Hans-Olov Olsson wants his dealers to change their attitude to women customers and the internet as part of a 'revolvolution'. Speaking at the launch of the S60 sports saloon, Mr Olsson said: “Women are treated badly by the motor trade and Volvo dealers should treat them as customers, not women."
Aston Martin, which like Volvo is a Ford Premier Automotive Group carmaker, is to develop a third model and raise annual production from 1,000 to 2,500 units. A production plant and research and development centre will be built at Gaydon, the former Rover facility acquired by Ford in the Land Rover deal.
Nick Lancaster was sent down from the dealers' sons' engineering apprenticeship scheme run by Vauxhall because his boredom showed.
There is disagreement among dealers over whether prospective retail customers who challenge showroom staff about cheap prices quoted by import specialists believe the replies. Executives questioned during the preparation of the latest dealer opinion survey were also split over whether internet sales leads needed to be followed-up in a different way to traditional leads.
The Society of Motor Manufacturers and Traders, reflecting rising confidence in the industry, has raised its forecast for full-year registrations by 25,000 units to 2.225m. That was despite July registrations being down 6.4% to 156,588, though the year-to-date market is still slightly up, at 1,373,033. The SMMT maintained the new car market was healthy.
With manufacturers largely rolling their promotion programmes over for another two months while they decide their pricing strategies, this month's finance analysis table has a familiar look.
Allianz Cornhill plans to expand its approved repairer network to cope with rising business after an increase in policyholders.
Colin Haig, business recovery national director at accountants and business recovery specialists. Baker Tilly, urges bosses of smaller dealership groups to rethink their business strategies.
DaimlerChrysler Finance has launched a flexible personal and corporate finance scheme which allows Mercedes-Benz customers unrivalled control over their loan account. Dealers say the innovative scheme, called Advance, is proving a winner but is not yet widely used in the network.
The direct lenders, high street banks and former building societies are all gearing up to take a bigger slice of motor finance business this September. The past few weeks have seen increased marketing activity in consumer motoring magazines from big direct loan players, such as Alliance & Leicester.
GE Capital Woodchester has created a range of bespoke marketing materials which will allow small and medium sized dealerships to create their own promotional campaigns. The Business Builder pack has been trialled at seven dealerships around the country and dealers can order posters, window slashes, flyers and newspaper advertisements branded with their own name and logo.
Auto Indemnity believes only companies that show a willingness to work with, rather than against, insurers will survive. The company is one of the five founding members of the National Association of Credit Hire Operators, together with Car Crash Line, Motor Claims Direct, Drive Direct and Colegate Vehicle Hire.
The Motor Vehicle Repairers Association has warned insurers that repairers will be unable to cover the cost of courtesy cars this winter. The warning comes as the association plans to launch an in-house courtesy car programme, which replaces the scheme operated with Advanced Vehicle Management.
The UK motor industry has spent more than £1.4bn financing demonstrator cars over the past 12 months. Many of these will have been short-term preregistered cars, on the books to boost manufacturer market share or achieve dealer sales targets.
Forthright Finance is to undertake a month-long trial in centralised finance and insurance selling for a major dealer group in order to try to boost finance penetration. During the month the dealer group will pass on details of any customer who did not take finance or insurance at the point of sale to a Forthright Finance telemarketing team.
Toyota has sparked a fresh round of pressure on the Government to join the euro by forcing its UK suppliers to stop pricing in sterling. Shoichiro Toyoda, honorary chairman and former chief executive of Toyota, called earlier this year for a clear UK commitment to the single currency.
Next month's two-day Automotive Management Autumn Digital Dealer IT Fair 2000 will be “an absolute must”, said Mark Johnson, marketing executive at financial systems specialist Apak Systems, one of the exhibitors. The IT Fair, AM's second this year, will be staged in association with Cyber Car at the National Motorcycle Museum, Birmingham, on September 13-14. ##ITFair--none##
Valeting and preparation firm Autoclenz has launched a smart repair service. AC Smart can be supplied to dealers as a standalone service or a value-added supplement to Autoclenz's valeting service. The scheme has been launched in the Midlands and will be rolled out nationwide by 2001.
Trade and Industry Secretary Stephen Byers' new car pricing order is intended to create more competitive trading rather than specifically force price cuts, according to a DTI spokesman. The spokesman dismissed media reports that said Mr Byers' was demanding carmakers cut prices by 10%, leading to average savings of £1,100.
Dixon Motors outperformed its profit expectations in the first half of the year, while rivals Perry Group and Lex Service - which sold its dealerships in March - struggled in the face of the retail buyers' strike. Chief executive Paul Dixon said: “We have started the current financial year ahead of our forecasts and we have yet to benefit from Jamjar.com or our distribution facility."
Inchcape is expected to buy more UK dealerships now it has its low borrowings and £42.1 coming from the sale of its 49% stake back to Toyota GB. The group announced pre-tax first-half profits of £30m (down from £40.9m) and its UK retailing division's operating profit rose 40% to £5.6m.
