Car Dealer Magazine: Issue 154

Issue 154 | January 2021 | CarDealerMag.co.uk | £6

SKODA

FIRST DRIVE

NEWS • NEW TOYOTA SUV • BMW’S FLAGSHIP EV • MARSHALL PROFIT FORECAST UP AGAIN • SMMT’S NO-DEAL FEARS • MITSUBISHI-SSANGYONG TALKS COLLAPSE • WELSH DEALERS TO CLOSE AGAIN • TRUSTFORD SELLS SITE

IS IT CZECH MATE FOR THE GOLF GTI?

PETER

SMYTH INTERVIEW: SWANSWAY BOSS ON FAMILY TIES, COVID – AND CAZOO

THE UK’S MOST PROFITABLE DEALERS REVEALED

USED CAR AWARDS: OUR NOMINEES LIST IN FULL – ARE YOU ON IT?

The UK’s Best Used Car Warranty

02 | CarDealerMag.co.uk

Blackball Media Units 1 - 2 Warrior Court 9-11 Mumby Road, Gosport, PO12 1BS T: (020) 8125 3880 W: CarDealerMag.co.uk

THE BOSS FOUNDER James Baggott

james@thebaize.com Twitter: @CarDealerEd

EDITORIAL CHIEF SUB-EDITOR John Bowman

john@blackballmedia.co.uk

HEAD OF CONTENT Jack Evans

jack@blackballmedia.co.uk Twitter: @jackrober

MULTIMEDIA MANAGER Jon Reay jon@blackballmedia.co.uk Twitter: @JonReay

HEAD OF DESIGN Graeme Windell

graeme@blackballmedia.co.uk Twitter: @graemewindell

CONTRIBUTORS James Batchelor, Darren Cassey, Rebecca Chaplin, Nigel Swan, Ted Welford, Oliver Young

FINANCE

FINANCE MANAGER Kate Gordon

kate@blackballmedia.co.uk

ADVERTISING SALES MANAGER Kevin Day

kev@blackballmedia.co.uk

ACCOUNT MANAGER Michelle Searle

michelle@blackballmedia.co.uk Twitter: @cardealermich

Distribution Car Dealer is distributed to a database of up to 12,000 franchised car dealers, independents, service and repair sites, car manufacturers and suppliers. Advertisers are supplied with a print certificate every month.

Awards

Winner of Best Business Publication, Headline Auto Awards 2012 & 2014

Company No: 6473855 VAT No: GB 343 7049 04 ISSN No: 1759-5444

Car Dealer is published by Blackball Media Ltd (company number 6473855). All rights reserved. Conditions of sale and supply include the fact Car Dealer shall not, without our consent, be lent, resold, hired out or otherwise disposed of in a mutilated way or in any unauthorised cover by way of trade or affixed to any part of a publication or advertising, literary or pictorial matter whatsoever.

Car Dealer is fully protected by copyright.

Nothing may be reproduced wholly or in part without permission.

WELCOME. I

f you’re in this business, no matter how much you love selling cars there’s one ultimate goal – making money. It’s the lifeblood of a company, and without profit things quickly keel over and die.

That’s why when we launched our Car Dealer Top 100 list, sponsored by GForces, we didn’t want to focus on the vanity of big revenue numbers. Yes, they might look good in the accounts and give people things to shout about – but they’re not a true reflection of how good a dealer group is.

That benchmark really has to be profit. Working with our partners at ASE Global and chairman Mike Jones, who helped compile our list, the order was driven by the groups’ EBITDA profit number. This was the fairest way to judge them and was adjusted for exceptional items presented on the face of the income statement.

Effectively, we’ve normalised the numbers and taken out the unusual costs – things such as FCA fines, for example...

Our thinking was this really needed to be about cash generation, and the industry standard of that is EBITDA. Jones explains it as ‘the amount of money generated by these dealers that they can then go and buy things with, invest or pay out to shareholders’.

Importantly, we also wanted to ensure all dealers were judged against each other. Let’s face it, splitting up franchised dealers and independents isn’t really fair, as everyone is selling cars, so our Car Dealer Top 100 list pitches all dealers against each other for the first time.

It gives a fascinating picture of just how big – and how finely tuned at making money – some of the big independent car dealers are. What is seriously impressive about these operators is the margin they’re able to tease out of sales. The winning independent on the Car Dealer Top 100 list recorded a frankly staggering 8.7 per cent return on sales – compared with our top franchised dealer’s 2.6 per cent.

We originally aimed to get it out in October, but when we got together back then it was clear many dealers had taken advantage of the extension from Companies House to submit accounts up to the end of the year. Even now, there are still some notable absentees, but we hope to reshuffle the list in the new year when some of the missing groups finally submit their numbers.

Highlights for me come from the independent sector. It’s amazing to see dealers such as Tom Hartley Jnr creeping into the top 30 and well above the likes of Perrys, Hartwell and Vospers. Remember, this is one man selling very expensive supercars and classics. An £8.5m profit from £109m turnover equates to a return on sales of 7.8 per cent, which isn’t bad at all.

I’m delighted we’ve been able to pull this list together and it was a pleasure interviewing the winning franchise and independent dealers for this magazine.

The interviews can be watched in full by following the links on the pages later on in this digital publication.

I’m delighted we’ve been able to pull this list together.

E

lsewhere in this issue we also chat to Swansway Garages director Peter Smyth, look at the future of auctions in a post-Covid world and take a deep dive into the world of tumbling supercar prices. Plus lots more.

That just leaves me to wish you a very merry Christmas and let’s hope the new year brings with it a sense of calm and some form of normality. Enjoy the issue.

JAMES BAGGOTT Founder, Car Dealer CarDealerMag.co.uk | 03

List your vehicles on Marketplace CONTACT A LISTING PARTNER TODAY

“

Without a doubt, Facebook Marketplace results in sales and additional leads. We love the simplicity of the platform.

- Stuart Harvey, Marketing Manager, 67 Degrees

“

More than 40% of our dealers are currently using Marketplace and nearly every new dealer we sign up is requesting it.

- Rob McQueen, Managing Director, Starkwood Media Group

Get started at fb.me/list-vehicles 04 | CarDealerMag.co.uk

IGNITION. ISSUE 154 | JANUARY 2021

36

40 8 11

19 67 INTERVIEW

‘We’re very like-minded. We’re all of a similar age. And we all bring different skill sets to the party.’

6

COMMENT

‘The Covid-19 pandemic was a Hubble telescope-carrying space explorer to the buttocks.’

25

FEATURE

‘When it comes to standing out from the crowd, this Conti stands well above the rest.’

52

CONTENTS

Interview: Peter Smyth Future of physical auctions Car Dealer Top 100 Investigation Used Car Awards Car news News digest Feedback Supplier news Gadgets for petrolheads Business news Car Dealer Live Finance

6 8 11 16 19 22 32 44 46 47 48 50 54

FORECOURT Skoda Octavia vRS Audi S3

38 40

FEATURES Porsche concept cars Pikes Peak Bentley

36 52

COMMENT James Baggott Big Mike James Litton

25 26 29

ADVICE Top tips for selling EVs Going electric

57 59

DATA FILE The Statistics LCV news Suppliers Guide Long-termers

62 64 65 67

LONG-TERMER

‘The premium music system is a joy to behold – the Ken Bruce Show on Radio 2 has never sounded better!’

67 CarDealerMag.co.uk | 05

INTERVIEW

A FAMILY AFFAIR! The Smyth brothers and their father have turned Swansway Garages into a £712m group that generated a profit of nearly £12m in 2019. Here, James Baggott chats to Peter Smyth.

SWANSWAY GARAGES Position: 2019 turnover: 2019 profit: ROS:

20th £712m £11.9m 0.6%

Car Dealer Top 100 list p11 06 | CarDealerMag.co.uk

F

Peter Smyth

or some people, there’s never any question as to whether they’ll go into the motor trade or not – often, it’s more a case of when, not if.

For Peter Smyth, 56, and his brothers, David, 58, and John, 54, following dad Michael into the car sales game was pretty much a given.

Michael has the motor trade running through his veins, so it was no surprise his sons caught the bug too.

If it wasn’t petrol stations that Michael, now 81, was buying, building up and selling to oil giants, it was car dealerships and associated businesses.

A serial entrepreneur, he founded a vehicle contracts business and EMaC, but his real love began in car sales, which started back in 1970 when he bought a Toyota business.

That single dealership was built up into RRG Group, which was sold to a Japanese investment group in 2003.

It wasn’t long, though, before the family plotted its next move.

Sitting around the kitchen table of the family home, following the sale of the RRG Group and other interests, the Smyths planned their new car dealership business, but it needed a name.

‘My father owned a house and it was called Swansway and we were sat around the kitchen table trying to think of a name. I can’t remember who said it, but they said, “Why don’t we just name it after our father’s house?” explained Peter in an exclusive Car Dealer Live video interview.

And the name stuck. Now Swansway represents 12 brands and has 23 locations across the north-west of England and Wales.

‘We weren’t forced down the motor trade route,’ explains Peter, but he says his dad taught them all values they hold dear today.

As schoolboys, the brothers would help out in the family’s petrol stations serving petrol and picking up litter.

‘My dad made it hard for us because he worked us hard and he gave us discipline,’ explained Peter. ‘There were things that we picked up and that were standards and retail principles that we hold dear to this very day.’

Michael is still very much calling the shots, with the day-to-day running of the business split between the three brothers – but does that ever get a bit fraught in the boardroom?

‘Between the three of us, it’s really quite simple,’ explains Peter. ‘We work on the basis that we have a vote ­– it’s either two against one or all agree. But we have a pact whereby the one who maybe doesn’t agree absolutely decides to get behind the decision and not try and spoil it.’

Swansway started with the acquisition of LC Charles Ltd, which ran a VW dealership in Crewe and the Charles Audi site.

‘We’ve grown, predominantly with the Volkswagen group, over the past 17 years,’ said Peter.

The group now has six Audi sites, three VW passenger car sites and four successful VW commercial vehicle sites, as well as partnerships with Jaguar Land Rover, Peugeot and Honda plus its Motor Match used car dealerships.

Peter explained that although the lockdown had been tough, Swansway has just enjoyed its best November. It has managed to continue doing business with a click-and-collect model and actually managed to deliver more cars this November than last year.

He added: ‘I think people massively underestimate our ability as retailers. I’m talking about some of the new entrants who have come in, and I’m talking about the OEMs. We’re a resilient lot and we’re used to working on fine margins.’

Peter says sales success can be attributed to a number of things, including people saving money by not going on holiday, others avoiding public transport, and helped at the top end with businesses taking government loans. He’s seen a number of directors of smaller businesses use Bounce Back Loans to buy new cars.

‘The controversial bit is I think it’s the loans people have got from the government and spent on cars – you do hear people in the showrooms speaking that way,’ said Peter.

Looking ahead to 2021, Swansway is positive about the prospects. Peter says the group is ‘quietly optimistic’ and said ‘whatever hand we are dealt with we we’ll deal with’.

He added: ‘Lockdown one was totally different to lockdown two. When it first came out that we were going to have to close, like other people who owned businesses, we were staring into an abyss, and then of course the government came out with the furlough scheme, which helped us.’

But it’s the likes of online used car dealer Cazoo that have really got his back up. Not holding back in his video interview, Peter said: ‘Mr Chesterman has done his best to agitate the trade.

‘He described the used car trade in Britain as broken. Well, I’ve seen used car operations all over the world, and in the UK it’s far from broken.

‘I believe it’s the most sophisticated used car market in the world, and that also includes America.

‘He also called us “sharp-elbowed salespeople”. I resent that statement. We are a family business. We live by our morals of caring, being honest and proud, and we live those values every day.’

But beyond that, the Smyths are working hard planning for next year, and Peter thanked his staff for the hard work that they’ve put in this year.

He added: ‘To all the people on the Swansway team, thanks ever so much for the efforts you’ve put in. It’s not been an easy ride.’

So is it less of a brothers ‘grimm’ and more a case of brothers win?

‘We’re very like-minded,’ Peter admits. ‘We’re all of a similar age. And we all bring different skill sets to the party – but we have the same shared sense of humour and think in the same way. That helps.’

Lockdown one was totally different to lockdown two. When it first came out that we were going to have to close, we were staring into an abyss.

Click here to watch the full Car Dealer Live video interview

‘We’re very like-minded. We’re all of a similar age.

And we all bring different skill sets to the party.

The Smyth family from left: Peter Smyth, David Smyth, Michael Smyth and John Smyth CarDealerMag.co.uk | 07

FEATURE

GOING, GOING…

GONE?

Could Covid signal the end of the physical car auction? After all, we’ve been getting used to buying online for more than six months.

W

hen asked in an interview with a US media outlet if his auction houses were to reopen soon, Sandy Schwartz, global CEO of Manheim Auctions owner Cox Automotive, replied: ‘I hope not.’

For the boss of such a huge auction company, that’s not necessarily the answer you’d be expecting to hear, but in a world that has already changed in ways we couldn’t possibly have imagined just 12 months ago, it’s not as big a surprise as you’d expect. After all, physical auctions were already in decline.

In 2019, before Covid-19, Manheim conducted almost half of its global business online.

For large dealer group buyers, it was already a more cost-effective way of doing business, as the potential ramifications of not inspecting vehicles on site were offset by much more detailed online descriptions, photos, videos and assured sale standards.

NAMA (National Association of Motor Auctions) gradings have become an industry standard, with condition reports rating cars from 1 to 5 and giving buyers a recognisable benchmark to help their purchasing decisions.

These are used by the big operators such as BCA and Manheim, as well as smaller independents like Shoreham Vehicle Auctions, Letchworth Motor Auctions and Anglia Car Auctions to name but a few, while there’s a similar level of grading for accident-damaged repairable cars sold by companies such as Copart. In a world of increasing confidence in online buying, it seems that the car auction may well be heading the way of the high street.

It’s a trend that is already reflected in direct-to-customer remarketing, with companies such as new start-up Carzam delivering inspected and warranted used cars straight to customers’ doors as consumer behaviour sees an increased trust in, and acceptance of, remote purchasing.

And it’s a trend that auction houses are relying on. Since the first UK-wide lockdown started to ease on June 1, when car showrooms were allowed to reopen in England, all of the major auction houses (and most independents) have relied on online-only sales to feed stock into a market that was hungry for it.

Meanwhile, BCA has hinted that physical sales may never return and that it has already entered into consultations with staff at auction halls across the country around a ‘proposed restructure’ of the group.

A BCA spokesperson told us: ‘BCA’s operating model continues to evolve in line with the ever-changing external environment and needs of our customers.

‘Currently, all BCA sales remain online only and – as we move into the winter months – we are keeping abreast of the fast-changing and evolving government guidance in order to protect our people, customers and suppliers.’

Meanwhile, Martin Forbes – international president for Cox Automotive and Manheim Auctions – is keen to see change develop.

‘As we sit here today, 100 per cent of our wholesale marketplace is sold online,’ he told Car Dealer. ‘That happened instantly at the point when we came out [of lockdown] and were able to operate. We’ve had record conversion rates, record values and residual values for the cars. In an ideal world, I would say we wouldn’t go back to physical auction halls.’

08 | CarDealerMag.co.uk

In an ideal world, I would say we wouldn’t go back to physical auction halls.

Martin Forbes

Currently, all BCA sales remain online only and we are keeping abreast of the fast-changing and evolving government guidance.

BCA spokesperson

A BCA sale takes place before the pandemic

A pre-Covid Manheim auction Aston Barclay saw England’s second lockdown in November 2020 as proof that customers were now content with the new remote auction buying process.

Martin Potter, managing director of Aston Barclay, said: ‘We were very positive about how November performed compared with the first lockdown.’ The remarketing company managed to sell 70 per cent of normal volumes despite its outlets being physically closed.

Away from the mainstream, it’s the digital-only companies that are really making the moves. The classic car market has seen values grow by as much as 30 per cent (depending on model) during 2020, thanks to investors looking for somewhere to put their money against a backdrop of record low interest rates, and with none of the big-name sales going ahead it’s the dotcom companies that are gathering pace.

Carandclassic.co.uk, which is owned by automotive data resource Cazana, began online auctions in June 2020 and has seen the number of transactions increase from three per week at the start to almost 15 cars per week by the year-end, with more than £1m-worth of classics changing hands in 2020 via a platform that charges no buyers’ fees and just five per cent sellers’ fees. Usually, the first time the buyer sees the car is when it arrives at their home on a trailer.

There may well be many months of general uncertainty ahead, but with auctions having thrived since going online, don’t expect a rush to reopen the hall doors anytime soon.

We were very positive about how November performed compared with the first lockdown.

Martin Potter

CarDealerMag.co.uk CarDealerMag.co.uk| 09 | 09

Gallagher Automotive Specialist Insurance for the Motor Trade Experience is key - and you need a specialist insurance broker who’ll take the time to understand the specific needs of your motor trade operation.

GST-236330647

The Gallagher Automotive Insurance Team has been helping to protect businesses across the UK for over 50 years - from independent repairers and small family firms to the largest franchise dealerships.

Arthur J. Gallagher Insurance Brokers Limited is authorised and regulated by the Financial Conduct Authority. Registered Office: Spectrum Building, 7th Floor, 55, Blythswood Street, Glasgow, G2 7AT. Registered in Scotland. Company Number: SC108909. FP1522–2020 Exp. 26/11/2021. ARTUK 1551 10 | CarDealerMag.co.uk

Get in touch to discover how we can help your business.

Would you like to talk?

T: +44 (0) 800 612 2284 E: automotive_enquiries@ajg.com www.ajg.com/uk

Notable omissions

TOP 100: THE FULL LIST

The number-crunching has been done for our inaugural league table of the UK’s most profitable dealers, ranking franchised and independents together.

T

he most profitable car dealers in the UK have finally been revealed as we pull the covers off our inaugural Top 100 list.

Topping the league table – which includes franchised and independent dealers for the first time – is automotive retail juggernaut Arnold Clark.

The Car Dealer Top 100, compiled in association with ASE Global and sponsored

by GForces, ranks dealers by EBITDA, with adjustments made for exceptional items.

In total, the car dealers in our Top 100 list made a combined profit of £1,166,359,116 in 2019, the latest figures available, and turned over a whopping £55,830,540,500.

Arnold Clark, the Scottish-based dealer group led by CEO Eddie Hawthorne, generated a £194.3m EBITDA profit from revenues of £4.46bn in 2019.

ASE Global’s Mike Jones, compiler of the Top 100, said pulling the list together had been ‘a challenge’ and explained EBITDA was used to rank the list as it was ‘the fairest way’.

Accounts up to the end of March this year were considered, but many dealer groups have used the extension until the end of 2020 to submit their numbers. Omissions will be included in a round-up in the new year.

‘It won’t surprise anyone who’s in the industry to know that Arnold Clark is the topranked profit generator,’ said Jones. ‘They’re the fourth largest in turnover terms in the industry but the largest generator of profit over the course of the 12-month period.’

He added that Arnold Clark ‘does a lot of things brilliantly’ with the ‘whole business focused around driving profit’.

Tim Smith, from headline sponsor GForces, said: ‘Arnold Clark retain customers, they sell services to those customers, they keep them within the organisation for a long time, and that’s a major win for them. And obviously the scale they do it at – that’s the reason they’re so profitable.’

Independents THE Car Dealer Top 100 list pitches independents against the franchised dealers – and the highestranked independent on our inaugural list was Trade Centre Group in seventh place.

The group turned over £256m and managed to make a staggering 8.3 per cent return on those sales, earning £25.2m EBITDA profit.

CEO Andy Coulthurst said: ‘I’m proud and the team will be proud, but to be honest with you we were a bit disappointed in that year because we were probably around 10 per cent off where we wanted to be.

‘But we’re never happy – we’re always striving to get that little bit more.’

ASE Global chairman Mike Jones said the group had ‘nailed it’, though, adding: ‘If you look back over time, we’ve always had some very profitable used car supermarkets and they’ve clearly expanded out of their original regional base and are making great returns.’

GForces’ Tim Smith said: ‘The dealers that do it right and started their operation a long time ago and have been finessing and finessing are the ones that get results, and you see Trade Centre wows it.’

SOME large dealer groups have been missed off this year’s list as they are yet to submit accounts.

Global ASE chairman Mike Jones said: ‘The Covid crisis has meant that not everybody has submitted. You would normally expect everyone to file their accounts within five months of the year end, but because of this year, Companies House have extended the deadline until December for December year-end last year, and as a result we’ve got some of the big players that haven’t filed.

‘I’ll be looking to update the list at the start of next year once the players are all there.’

Jones said he expected next year’s list to be fascinating as it would take into account the Covid year and he believes many dealers will have made a ‘significant profit’ in 2020.

He added: ‘There’s been a great return generated while people have been able to be open, and people have also pivoted into more personal things with the customer whether it’s click-andcollect or home delivery, etc, so the industry has changed and I’m expecting some strong profit numbers.’

CAR DEALER TOP 100 TOP 5 Arnold Clark Sytner Pendragon Lookers Marshall

£194.3m £152.4m £78.9m £76.6m £43m

Interviews and the full Top 100 listings CarDealerMag.co.uk | 11

TOP 100: THE WINNERS FRANCHISED

ARNOLD CLARK

Stability has helped group stay on top

‘We got the result that we hopefully deserve’

A

rnold Clark boss Eddie Hawthorne might be in charge of the most profitable dealer group in the UK – but he isn’t giving up his secrets any time soon.

The CEO, who has been with the business since 1990 and in charge for more than 20 of those years, presides over the most successful dealer group in the UK by some margin.

Arnold Clark topped the inaugural Car Dealer Top 100, sponsored by GForces, registering an incredible £194.3m EBITDA profit from a turnover of £4.46bn.

Managing to eke out a return on sales of 2.6 per cent – twice that of second-placed Sytner Group – the art of squeezing every penny from a deal is something Hawthorne and his team have finely tuned.

In an exclusive Car Dealer Live interview, he said he was very proud of the numbers for 2019 and pinned the standout performance on the hard work of his staff. ‘We got the result that we hopefully deserve,’ he said.

Joking that if he revealed his secret to success he ‘wouldn’t win anything’, he said that ‘looking after the pennies every day’ was critical.

Hawthorne added: ‘We have a very strong used car business throughout our organisation, and we have just over 30 motor stores which concentrate on used cars.

‘One of the things we have done is spend a lot of money on digital – focusing on the digital journey with our customers and trying to make ourselves easy to do business with.

‘So one of the things we’ve fully embraced is that digital journey, and believe it or not giving the customer the power to decide what they want has maintained our margins, if not increased them.’

The Car Dealer Top 100, compiled with the help of ASE Global, has shown just how far ahead Arnold Clark is. Its £194.3m profit figure was nearly 2.5 times greater than thirdplaced Pendragon and £42m ahead of second-placed Sytner.

Hawthorne admitted that 2020 had been tough, and said the constant closures and reopenings of dealerships had been painful.

‘This has been the year of the Hokey Cokey. I’m in, I’m out, I’m open, I’m shut. It’s been a trying time to keep up with the regulations, but we’re all just trying to keep going. I’m pleased to say we came off the furlough scheme towards the end of October and we have no intention of going back on to it and we will show a reasonable profit for 2020.’

Looking ahead to the new year, Hawthorne said it ‘couldn’t get worse than 2020’ adding that the group was planning to sell more cars than in 2019.’

Click here to watch Eddie Hawthorne on Car Dealer Live

12 | CarDealerMag.co.uk

SUCCESSFUL car dealer groups excel when they have a stable management team – and Arnold Clark has just that. Eddie Hawthorne has been leading the business since 1998 and it’s his steady hand on the tiller that has helped guide the group to its incredible performance.

Hawthorne said: ‘One of the strengths of Arnold Clark is the communication, whether that’s communicating with an apprentice, an admin or an accountant. Everybody is encouraged to talk to the directors and me, and we’re very approachable. That allows for ideas to spread throughout the business and also means that the staff have an interest in making the business successful.

‘I think the secret was always working with an entrepreneur like Sir Arnold. He had a different perspective on business, which he was able to share with me and the senior managers, and I recognise it’s his train set and I’m merely driving it.’

ARNOLD CLARK Position: 2019 turnover: 2019 profit: ROS:

1st £4.5bn £194m 2.6%

INDEPENDENT

TRADE CENTRE GROUP

Marketing masters

‘I’m proud and the team will be proud’

T

he most profitable independent car dealer in the UK pins its success on a combination of driving customers into its physical showrooms and an all-out advertising strategy.

Trade Centre Group was the highest-placed independent car dealer in the Car Dealer Top 100 list, sponsored by GForces, generating EBITDA profit of £25.2m from revenues of £256m.

The figures for 2019, the latest numbers available, equate to an impressive return on sales of 8.3 per cent – the best margin out of our entire list.

The Car Dealer Top 100 was compiled with the help of ASE Global and used EBITDA as the ‘fairest’ measure of car dealers’ performance.

In an exclusive interview with Car Dealer Live, CEO Andy Coulthurst said: ‘I’m proud and the team will be proud, but to be honest with you we were a bit disappointed in that year because we were probably around 10 per cent off where we wanted to be.

‘But we’re never happy – we’re always striving to get that little bit more.’

The Trade Centre Group runs six used car supermarkets – three in Wales and three in England – and was set to open another in Rotherham this year, but the pandemic pushed its opening back to next year.

Coulthurst, who up until 2015 worked as boss of Motors.co.uk, says the group’s ‘massive marketing strategy’ completely excludes advertising its cars on the traditional classified websites. ‘We take every single station in our region from a radio perspective. We take as many spots in drivetime as we can possibly book.

‘We’re big on outdoor – you can see some of our digital format screens up and down the motorway. We do paper – traditional – even petrol pumps. Every petrol station in our region has our marketing on the pumps. We are big on digital and we spend a huge amount of money on marketing to drive a steady footfall through the doors that ultimately gives us that consistency we can count on every week.’

Trade Centre Group focused on getting customers into showrooms and doesn’t believe in online sales. That presented a challenge during the pandemic, but Coulthurst is confident this approach will continue to be the right path. And with the healthiest profits in the Top 100 list for non-franchised dealers, few could argue with him. In a final message of thanks to staff, he added: ‘They get told it time and time again but a big pat on the back, another good year and let’s try to put 2020 behind us and have a fantastic 2021.’

Click here to watch Andy Coulthurst on Car Dealer Live

ANDY Coulthurst admits he’s had one complaint about the used car supermarket’s unique silent TV adverts – from a customer who thought their TV was broken.

The dealer advertises its cars heavily on TV but has a silent soundtrack behind the images, which encourages people to look up and stop ignoring the TV during breaks. It clearly works.

Coulthurst said: ‘The thing we’re most famous for and you’ve heard it – well, you’ve not heard it – is the silent advert.

‘I’ve only had one complaint from someone who thought the television had broken!’

In our Car Dealer Live interview, Coulthurst explains how the group likes to ‘own’ the marketing space around its dealerships. ‘A lot of my time is spent on the marketing side of the business, so not only coming up with creative strategies, but also making sure that that money’s best spent,’ he said.

TRADE CENTRE GROUP Position: 2019 turnover: 2019 profit: ROS:

7th £256m £25m 8.3%

Top 100: the full list CarDealerMag.co.uk | 13

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50

4 1 3 2 6 5 45 14 20 13 7 16 22 21 9 8 27 23 38 18 33 34 36 19 10 49 37 71 25 26 44 24 59 17 28 46 85 48 31 30 15 42 40 39 50 11 29 41 74 35

Arnold Clark Automobiles Limited Sytner Group Limited Pendragon plc Lookers plc Marshall Motor Holdings plc Vertu Motors plc The Trade Centre Group plc (Bailey Family Investments) Stoneacre Super Group (Allen Ford) (SG International Holdings Limited) Motorpoint Group plc Jardine Motors Group UK Limited Eastern Holdings Helston Garages Group Cambria Automobiles plc Listers Group TrustFord (Ford Retail Limited) HR Owen plc Dick Lovett Group Big Motoring World (Bapchild Motoring World Kent Limited) Swansway Group Currie Motors (Currie Motors Limited) Porsche Retail Group McLean & Appleton Available Car Greenhous Group (Greenhous Group Holdings Limited) CEM Day City West Country Tom Hartley Jnr Harwoods (WJH Holdings Limited) Sinclair Motor Holdings Vospers Perrys Group Saxton 4x4 (Saxton Limited) Motorline (Motorline Holdings Limited) Williams Motor Co (Holdings) Hartwell plc (Oakhill Group Limited) Mike Brewer Motors (Evogo Limited) Motor Depot TG Holdcroft (Holdings) Glyn Hopkin Rybrook Holdings Drive Motor Retail (Drive Holdings 2015 Limited) Peoples Jemca WH Bowker PSA Retail UK (Peugeot Motor Company plc) Johnsons Cars Limited Lloyd Motors Chapel House Holdings Heritage Automotive

14 | CarDealerMag.co.uk

31/12/19 31/12/19 31/12/19 31/12/18 31/12/19 28/02/20 30/11/19 30/04/19 30/06/19 31/03/20 31/12/19 31/12/19 31/12/19 31/08/19 31/03/20 31/12/19 30/06/19 31/12/19 31/12/19 31/12/19 30/04/19 31/12/19 31/01/20 31/12/19 31/12/19 31/12/19 31/12/19 30/04/19 31/12/19 31/12/19 31/12/19 31/12/19 30/06/19 31/12/19 31/12/19 30/11/19 31/12/19 31/08/19 31/12/19 31/12/19 31/12/19 31/12/19 31/07/19 31/03/19 31/12/19 31/12/19 31/12/19 31/12/19 31/05/19 31/12/19

4,463,100,000 5,915,844,000 4,506,100,000 4,787,200,000 2,276,129,000 3,064,530,000 256,478,000 982,052,000 685,141,000 1,018,000,000 1,842,602,000 770,250,000 643,371,000 657,777,000 1,206,912,000 1,710,758,000 531,955,000 617,652,000 293,611,171 712,662,000 353,570,000 325,991,000 307,130,000 685,412,000 1,149,082,000 224,670,000 297,443,000 109,120,348 599,509,595 545,579,259 256,498,953 607,907,000 158,245,965 717,801,891 522,845,000 247,340,000 68,598,896 232,776,000 448,991,173 453,053,000 807,920,000 262,725,000 277,433,934 277,942,118 222,872,000 1,078,190,000 457,234,000 272,978,000 90,536,115 322,533,000

194,300,000 152,417,000 78,900,000 76,600,000 43,078,000 40,728,000 25,186,000 24,771,000 24,453,000 23,900,000 19,562,000 18,717,000 17,766,000 17,084,000 16,914,000 16,418,000 13,682,000 13,420,000 12,490,493 11,939,000 11,671,000 11,581,000 10,662,000 10,642,000 10,296,000 9,906,000 9,076,000 8,558,322 8,487,032 8,048,734 7,996,565 7,488,000 7,183,252 6,964,870 6,555,000 6,487,000 6,314,163 6,300,649 6,037,144 6,032,000 5,783,000 5,737,000 5,229,414 5,211,099 5,198,000 4,774,000 4,536,000 4,454,000 4,290,282 4,245,000

2.6% 1.3% -0.7% 0.1% 1.0% 0.6% 8.3% 1.8% 1.3% 1.8% 0.0% 1.5% 2.1% 1.9% 0.7% 0.3% 1.5% 1.3% 4.0% 0.6% 3.1% 3.1% 2.9% 1.3% 0.6% 2.3% 2.3% 7.8% 0.4% 0.8% 0.8% 0.2% 4.2% 0.4% 0.5% 1.2% -1.7% 2.2% 0.9% 0.7% 0.0% 1.0% 1.6% 1.3% 0.3% 0.0% 0.1% 0.6% 4.4% 0.1%

E on BIT sa DA les

S RO

EB ITD A

ve r Tu rn o

Ye ar en d

EB ITD A Tu rank rn ov er ra nk Co mp an y

TOP 100: THE FULL LIST 4.4% 2.6% 1.8% 1.6% 1.9% 1.3% 9.8% 2.5% 3.6% 2.3% 1.1% 2.4% 2.8% 2.6% 1.4% 1.0% 2.6% 2.2% 4.3% 1.7% 3.3% 3.6% 3.5% 1.6% 0.9% 4.4% 3.1% 7.8% 1.4% 1.5% 3.1% 1.2% 4.5% 1.0% 1.3% 2.6% 9.2% 2.7% 1.3% 1.3% 0.7% 2.2% 1.9% 1.9% 2.3% 0.4% 1.0% 1.6% 4.7% 1.3%

57 52 53 96 64 47 77 61 72 54 84 43 94 79 95 75 58 56 12 87 32 65 73 55 62 91 51 97 86 63 107 101 80 82 99 66 67 88 69 68 92 103 60 106 81 93 90 78 83 104

Riverside Motors Gates Group Caffyns plc HPL Motors Cathedral Motor Company Citygate Automotive (Citygate Holdings Limited) Hawkins Motor Group (Hawkins Holdings Limited) Fish Brothers Worcester Car Sales Brayley's Cars Cars 2 Sandown Motors (formerly Jacksons) Mitchell Group Gravells (JTG Holdings Limited) Rix Motor Company Cameron Group (Cameron Group (Perth) Limited) Parkway Derby Marsh Wall (Marsh Wall Property Holdings Limited) EMG Anglia (Portcrest Limited) DK Engineering (DK Engineering Holdings Limited) Snows Motor Group WR Davies Motor Group V12 Sports and Classics John Grose Group DM Keith Wellington Motors W Brindley Garages Right Car (Right Car Holdings UK Limited) Carco Group Howard Garages Portland of Bawtry Lawton Brook (Exemplary Group plc) Baylis (Gloucester) Trust Group UK Car Time Carbase (Brent Cars Limited) Pentagon Toyota (Burrows) Motor Outlet Limited t/a Motor Range Birchwood Motor Group (Sexton Holdings Limited) L&L Inc Hilton Garage Eddie Wright SG Petch ESP Cars (Canei International Ltd) Bells Motor Group Dace Motor Company FJ Chalke Romans International Ray Chapman Motors (Reliance Garage Ryedale Limited) CarWorld Car Supermarket

31/12/19 31/12/19 31/03/20 31/10/19 31/12/19 31/12/19 30/06/19 31/12/19 31/12/19 31/12/19 31/12/19 31/12/19 31/12/19 31/12/19 31/10/19 31/05/19 30/11/19 31/12/19 31/12/19 31/05/19 31/12/19 31/12/19 31/07/19 31/12/19 31/12/19 31/12/19 30/11/19 31/05/19 31/12/19 31/12/19 31/08/19 31/03/20 31/12/19 31/12/19 30/04/19 31/12/19 31/12/19 30/06/19 31/12/19 31/12/19 31/05/19 30/09/19 30/05/19 31/10/19 31/12/19 31/05/19 31/12/19 31/12/19 31/12/19 30/06/19

168,617,782 210,293,068 197,854,000 48,285,698 140,869,075 235,176,733 88,828,054 150,737,000 106,556,518 186,599,105 71,827,060 259,735,000 53,728,342 86,246,369 50,020,662 90,003,765 161,570,161 172,291,281 1,024,367,884 62,343,354 414,398,155 126,961,849 102,892,986 173,585,000 149,936,119 55,755,901 217,400,827 46,584,796 68,115,950 141,657,265 24,716,216 37,760,229 83,081,412 78,784,692 42,452,347 121,309,154 117,981,000 61,161,502 112,752,000 116,414,384 54,631,425 29,294,578 154,373,015 27,057,985 79,016,003 54,130,516 59,382,263 88,476,600 71,889,393 28,582,609

3,823,930 3,647,662 3,428,000 3,406,947 3,402,686 3,345,798 3,261,796 3,218,000 2,993,421 2,799,030 2,714,543 2,665,000 2,657,994 2,631,477 2,541,650 2,534,045 2,517,582 2,466,061 2,177,450 2,139,574 2,125,774 2,114,879 2,098,740 2,093,000 2,067,732 2,037,902 2,000,071 1,917,502 1,861,349 1,827,617 1,817,383 1,799,307 1,770,529 1,756,372 1,736,910 1,716,093 1,646,000 1,623,586 1,566,000 1,492,909 1,365,511 1,364,390 1,354,925 1,329,989 1,312,649 1,291,017 1,279,764 1,236,765 1,183,146 1,128,640

1.9% 0.4% 0.0% 6.9% 1.8% 0.7% 2.9% 1.6% 2.4% 1.0% 2.8% 0.2% 4.6% 2.4% 4.5% 2.0% 0.7% 0.8% 0.1% 2.3% 0.0% 0.9% 1.2% 0.7% 1.0% 3.2% 0.7% 3.7% 2.3% 0.8% 6.6% 1.8% 1.2% 1.3% 2.9% 0.4% 0.4% 0.7% 0.8% 0.9% 0.5% 4.2% 0.5% 4.7% 1.3% 2.0% 1.6% 1.1% 1.8% 3.6%

E on BIT sa DA les

S RO

EB ITD A

ve r Tu rn o

Ye ar en d

EB ITD A Tu rank rn ov er ra nk Co mp an y 51 52 53 54 55 56 57 58 59 60 61 62 63 64 65 66 67 68 69 70 71 72 73 74 75 76 77 78 79 80 81 82 83 84 85 86 87 88 89 90 91 92 93 94 95 96 97 98 99 100

2.3% 1.7% 1.7% 7.1% 2.4% 1.4% 3.7% 2.1% 2.8% 1.5% 3.8% 1.0% 4.9% 3.1% 5.1% 2.8% 1.6% 1.4% 0.2% 3.4% 0.5% 1.7% 2.0% 1.2% 1.4% 3.7% 0.9% 4.1% 2.7% 1.3% 7.4% 4.8% 2.1% 2.2% 4.1% 1.4% 1.4% 2.7% 1.4% 1.3% 2.5% 4.7% 0.9% 4.9% 1.7% 2.4% 2.2% 1.4% 1.6% 3.9%

CarDealerMag.co.uk | 15

INVESTIGATION

THE DRAMATIC DROP IN LUXURY USED CAR PRICES Specialist car dealers are reporting that the prices of some high-end models have fallen drastically. James Baggott finds out more.

F

errari, Lamborghini and Aston Martin prices have plummeted around 30 per cent in a year as a combination of desperate sellers and canny buyers pushes prices down.

Supercar dealers are reporting dramatic price drops on luxury models that previously were commanding premiums of tens of thousands of pounds.

Tom Hartley told Car Dealer that this year he’s ‘taken the biggest bath in 47 years’ on some of the cars he has in stock as prices continue to fall.

Sheikh Amari has also reported similar drops in prices as he’s been able to buy supercars at tens of thousands of pounds less than they sold for a year earlier.

And while the valuation experts say they haven’t seen quite the drops dealers have, online luxury car auctions are showing the real prices people are prepared to pay for luxury cars – and they’re down too.

Dealers believe prices are returning to ‘some sort of normality’ after years of ‘crazy rises’.

‘The prices of luxury cars have dropped around 30 per cent this year, which will make for very uncomfortable reading for some dealers,’ said Hartley.

‘I have taken the biggest bath in 47 years on some cars, but we are still buying. Prices have dropped and we are replacing stock now at far better prices.

‘It is a combination of Brexit, consumer confidence and the types of people buying these cars wanting to get a good deal.’

Hartley cited several vehicles that had dropped dramatically in price in the past 12 months, including a Ferrari Superamerica, Rolls-Royce Phantom, Lamborghini Aventador SVJ and a Ferrari 488 Pista (details on the right).

He also said that just a few weeks ago he bought an Aston Martin DB11 AMR that the customer paid £190k for earlier this year. ‘He had done just 3,000 miles and tried to sell it back to the dealer network but he didn’t get one offer for it,’ said Hartley.

‘I gave him £100k for it. That’s quite a drop.’

‘NEW NORMAL’ Sheikh Amari thinks this price adjustment is the ‘new normal’ and that they’ll never go back up to the highs they were at 12 to 18 months ago.

He explained how a year ago he sold a Ferrari 812 Superfast for £425k. He paid £60k over the list price for it then added a £40k premium on top of that – and still sold it.

‘That sort of premium will never come back,’ said Amari. ‘Today you can walk into a Ferrari dealership and get £10-20k off a Superfast.’

He said some 812 owners had seen their car’s value drop by as much as £200,000 compared with what they paid for them.

Amari thinks the market is being driven by rich people who have seen an opportunity to ‘nick’ stuff at good prices.

He said: ‘The people buying these cars are clever. They’re successful, rich, multimillionaire business people for a reason – they’re sharp buyers.

‘They’re out there buying watches, cars and houses right now, but they want to nick them. They are preying on the desperate sellers.’

16 | CarDealerMag.co.uk

ROLLS-ROYCE PHANTOM 12 months ago

£525k Now

£300k Today you can walk into a Ferrari dealership and get £10-20k off a Superfast.

Sheikh Amari

LAMBORGHINI AVENTADOR SVJ 12 months ago

£395k Now

£310k

LAMBORGHINI HURACAN 12 months ago

£150k Now

£107k Amari said that some buyers were so desperate to sell as they’d been hit by the pandemic and seen income drop that they were letting cars go very cheaply.

He explained how he recently bought a £175k Range Rover SV Autobiography that a customer had picked up the week before and driven for just 130 miles. He was forced to sell because of an emergency but not one Land Rover dealer would make him an offer.

‘I bought that car for £125k,’ said Amari. ‘Land Rover dealers told him they weren’t buying cars for stock, but I think it’s because they didn’t want to shock him with the drop it had made in a few days.’ Meanwhile, a Lamborghini Huracan that would have cost £150,000 a year ago at Amari’s showroom is now £107,000.

He added that classic car prices had dropped back nearly 15 years too with Ferraris particularly affected including the 328 and 308, while old 911s have also seen a drop.

Valuations experts at Cap HPI said their data didn’t suggest such significant falls across the board. Head of valuations Derren Martin said it had recorded a three per cent rise for luxury cars, such as Bentley and Rolls-Royce, this year. And large executive models – such as the Mercedes S-Class – had dropped the most this year, falling four per cent.

‘I’m surprised by these reports,’ added Martin. ‘We’re not seeing it, but they are very niche models and would require a specialist valuation.’ Meanwhile, Rupert Pontin, director of insights for Cazana, another used car valuations firm, said: ‘Cazana reports retail prices and has seen them slightly increase for cars over £99k in price in the last year, but remember this does not reflect sold prices – that could be very different.’

AUCTIONS Collecting Cars founder Edward Lovett has sold 1,400 lots on his auction platform for luxury and classic cars this year. In November, the firm sold 209 cars versus 30 a month at the start of the year. He said the depreciation for some buyers who had paid list prices for luxury cars had been ‘very painful indeed’.

Lovett said: ‘The whole basis of our platform is that it is transparent so people can see where values are – we list sold values on the site. The market feels OK, but there is a lot of pain to be had for those who paid list price.’ He points to a Ferrari Pista that sold last month for £264k on the website – a model Tom Hartley was selling for around £360k a year ago.

‘If you bought an 812 Superfast when they were going over list a year ago you’ll be kicking yourself now as I’ve seen them for £220k – and the buyers aren’t out there for them,’ he said. Even new Ferrari models are struggling to hold their price. On the Collecting Cars website a Ferrari F8 Tributo with just 89 miles on the clock sold in November for £198,000 – it’s exactly the sort of model that would have previously commanded a premium. New, the car had a list price of £225,000. Hartley added: ‘Let’s be clear: the prices may have dropped but we’re still selling cars. We are buying cars now and are desperate to get our hands on them. We are doing lots of deals. There are buyers out there. But we’re not at the bottom of these prices yet – some are still falling and have a way to go yet.’

FERRARI 488 PISTA

12 months ago

£360k Now

£285k FERRARI SUPERAMERICA

12 months ago

£300k Now

£220k

CarDealerMag.co.uk | 17

Whatever’s next, let’s do it together When the world changes quickly, it can feel hard to know what your next move is. That’s why our Account Managers take the time to really understand your business. With their knowledge of customer service and innovative solutions, they can help you simplify finance and keep your business moving forward.

Get up-to-date business support at blackhorse.co.uk/dealer/resource-hub 18 | CarDealerMag.co.uk

USED CAR AWARDS

‘If you keep doing what you always do, you’ll perform very well indeed’

M

ore people and companies than ever put themselves forward for the Car Dealer Used Car Awards this year. And after whittling down all the submissions via a first round of judging, we’re delighted to reveal the nominations list. The initial round included assessing Google and Auto Trader reviews, other online feedback, the nomination citations as well as the views of the judges. The mystery shopping process has now begun, and the shortlist will be revealed on January 5.

Five names will make the shortlist, with a winner and two highly commended firms ultimately being chosen from it.

Awards host and judge Mike Brewer said: ‘I’ve thoroughly enjoyed looking through the lists. However, the real test starts now – our mystery shoppers are testing out the dealers on our nominations list, so make sure you’re on your A game.’

Car Dealer founder James Baggott added: ‘The number of entries this year, and the quality, has been incredible. It’s been a mission to work through them all and whittle them down to our nominations list. Congratulations to all those companies that made the first cut and good luck in the mystery shopping phase. If you keep doing what you always do – looking after your customers – you’ll perform very well indeed.’

If your name or company appears on the list, you’re entitled to use the Car Dealer Used Car Awards Nominee logo on social media, your website or marketing. Download the logo via this link – you’ll have to register or sign in with Car Dealer to do so. However, any firm that hasn’t been nominated and is found to be using the logo will be reported to Trading Standards. Good luck to all those nominated in the next stage of the judging process!

Our mystery shoppers are testing out the dealers on our nominations list, so make sure you’re on your A game.

Turn over page to see full list of nominees

KEY DATES JANUARY 5: Shortlist revealed.

FEBRUARY 5: Used Car Awards broadcast at 6pm.

STATE OF PLAY OUR mystery shopping judges are currently contacting dealerships in a variety of ways – by phone, email or in person – and scrutinising their sales process.

The speed of response, the way inquiries are dealt with and the information given will be carefully assessed.

Whittling down the submissions to get to the nominations list stage was a tough process and it’s likely the results will hinge on the performances in the mystery shopping phase.

SHORTLIST THE mystery shopping phase will eliminate five of the runners and the remainder will make our shortlist, which will be revealed on January 5.

One winner in each category will be picked and there will also be two highly commended places awarded.

They will all be revealed in a special online video, hosted by Wheeler Dealer Mike Brewer and Car Dealer’s James Baggott.

The awards video premiere will be on February 5 at 6pm.

CarDealerMag.co.uk | 19

USED CAR AWARDS AWARD CATEGORIES Dealers’ Dealer

Sponsored by Dealer Auction Daksh Gupta, Marshall Motor Group George Gehdu, GVE London Jamie Caple, Car Quay John O’Hanlon, Waylands Automotive Mazir Ali, Belle Vue Nathan Tomlinson, Devonshire Motors Peter Vardy, Peter Vardy Sean Kelly, Vines BMW Umesh Samani, Specialist Cars Stoke Will Blackshaw, Blackshaws

Social Media User

NOMINEES Future Star Award

Sponsored by Advantage Finance Anthony Foran, Marshall Volvo Welwyn Garden City Ben Goodwin, Big Motoring World Enfield Cavin Sewell, Marshall Mini Bournemouth Harry Pudney, Seat Braintree Jamie Burton, Croyland Car Megastore Megan Vladimirovs, Car Quay Rahul Chowdhry, Autopark UK Sophie Waldron, Snows Motor Park Isle of Wight Toby Harris, Otter Motors

Used Car Supermarket

Used Car Website

Sponsored by CarGurus Big Motoring World Carbase Cazoo Croyland Car Megastore Direct Car Sales, Kent George Kingsley, Colchester Hilton Garages, Derby Ron Hodgson Specialist Cars, Wigan Luscombe’s, Leeds Supreno Cars, Ashford

Sponsored by City Auction Group

Used Car Online Sales Experience

Marketing Delivery SocialStock Angus MacKinnon Ltd Car Sales Memes Car Quay Exclusive Automotive GVE London Marshall Motor Group Pilote Classics Ltd Premier GT, West Sussex Prestige Cars Kent SW Car Supermarket

Autopark UK Big Motoring World Carbase CarSupermarket.com Carshop Cargiant Hendy Car Store Motorpoint SW Car Supermarket The Car Group

Aston Barclay Carshop Cazoo Cargiant Hilton Garage Motorpoint Vertu Motors Snows Swansway Garages SW Car Supermarket Batchelors Motor Group

Use of Video

Sponsored

by Motorway Cambria Automobiles CCR Motor Company Hendy Group Marshall Motor Group Porsche Retail Group Snows TrustFord Vertu Motors Waylands Automotive Yeomans

Sponsored by

Sponsored by G3 Vehicle Auctions Beck Evans, Kent Cars Junction, London Clarus Motor Park, Bristol GVE London High Peak Autos, Stockport Premier GT, West Sussex Prestige Diesels & Sports Ltd, Portsmouth Romans International, Banstead Specialist Cars Stoke The Car Group, Bury

Specialist Used Car Dealership

Sponsored by Mann Island Finance BMW and Mini Direct, Worcester Broadoak Performance Cars, Canterbury First Class Cars FCC Ltd, Bury St Edmunds Otter Motors, Ottery St Mary Performance28, Chester-le-Street Premier GT, West Sussex Prestige Diesels & Sports Ltd, Portsmouth R Symons Ltd, New Milton Redline Specialist Cars, Knaresborough Supermini UK, Nottingham 20 | CarDealerMag.co.uk

Used Car Dealership Group

Used Car Product

Sponsored by Händler Protect Auto Trader Autoglym Lifeshine Cap HPI Dealer Auction Facebook Marketplace GardX B 2 See Heycar RAC Warranty Trade2Trade Motorway

Sponsored by

Used Car Dealer Principal

Sponsored by The WMS Group Ali Ekram, Welwyn Garden City Volvo Andrew Grundy, Seat Leicester Ben Goodwin, Big Motoring World Enfield Scott Brown, Big Motoring World Blue Bell Hill David Boyd, Roadside Garages Mark Woodhouse, Johnson VW Birmingham Neil Relph, Beck Evans Paul Bennett, Pilgrim Motorsports Richard Gough, Preston Mercedes Scott Shilcock, Prestige Diesels & Sports Portsmouth

Used Car Sales Team

Sponsored by CarGurus Autopark UK, Durham Big Motoring World, Various Browns Car Company, Maldon Devonshire Motors, Barnstaple ESP Cars, Long Eaton Hendy Ford, Fareham Kiteley Motors, Stansted Snows Motor Park, Isle of Wight Taggarts Jaguar, Glasgow White Dove Skoda, Cardiff

MANUFACTURER AWARDS Used Small Car

Used Car Dealership – Up To 50 Cars Sponsored by Black Horse Adams and Sons, Oakham Avanti Automotive, Bristol Car-Pod Ltd, Southampton Crompton Way Motors, Bolton Harvey Cooper Cars, Ripon Prestige Diesels & Sports, Portsmouth Redrose Cars, Burnley R Symons Ltd, New Milton Supermini UK, Nottingham The German Car Group, Ottery St Mary

Used Car Dealership – 51-100 Cars Sponsored by

Sponsored by City Auction Group Seat Ibiza (2017-) Ford Fiesta (2017-) Skoda Fabia (2015-) Audi A1 (2018-) Suzuki Swift (2017-) Honda Jazz (2015-2020) Renault Clio (2013-2019)

Used Mid-Sized Car

Sponsored by City Auction Group Honda Civic (2017-) Skoda Octavia (2013-2020) Kia Ceed (2018-) Mazda 3 (2019-) Mercedes A-Class (2018-) Ford Focus (2018-) Hyundai i30 (2017-)

Black Horse Angus MacKinnon, Uttoxeter Alyn Brewis, Ashington ASK Motors, Walsall Emerald House of Cars, Wednesbury Martin Brothers Motor Company, Hebburn Spencers Car Sales, Norwich Plympton Car Centre, Plymouth RS Car Sales, Sandbach SM Specialist Cars, Bedford The Professional Car Agents, Plymouth

Used Executive Car

Used Car Dealership – Over 100 Cars

Sponsored by City Auction Group Mazda MX-5 (2015-) Porsche Cayman (2016-) Audi TT (2014-) BMW M2 (2016-)

Sponsored by Black Horse Beck Evans, Sidcup Car Quay, Derby ESP Cars, Nottingham Luscombe’s, Leeds MB Motors, Ballymena MB Brent Park, London North West Autos, Blackburn Redgate Lodge, Newcastle Redline Specialist Cars, Knaresborough Roadside Garages, Coleraine

Service & Repair Outlet

Sponsored by Händler Protect Anderson Clark Motor Repairs, Inverness Avia Autos, Bridgend Chichester Cars, Chichester Harris Motor Company, Stoke Horsepower Motor Centre, Tonbridge Just Nice Clean Cars, Warwick Mark Lightfoot Ltd, Ikeston Martin Brothers Motor Company, Hebburn Mercedes-Benz, Bolton Renatec, Bristol

Sponsored by City Auction Group Alfa Romeo Giulia (2016-) Mercedes CLS (2018-) BMW 5 Series (2017-) Volkswagen Arteon (2017-) Skoda Superb (2015-) Audi A4 (2015-) Volvo S90 (2016-)

Used Sports Car

Used Car Customer Care

Sponsored by RAC Dealer Network 101 Specialist Cars, Manchester Affordable Cars of Sussex, Peacehaven East Devon Automotive, Sidmouth Motor Connect, Northwich Marshall Peugeot, St Neots Quest Motor Group, Various Redline Specialist Cars, Knaresborough Revento Motors, Plymouth Signature Car Specialists, Simonstone Westgrove Cars, Addlestone

Newcomer Dealership

Sponsored by Automotive Compliance Big Motoring World, Enfield Browns Car Company, Maldon

Toyota GT86 (2012-) Jaguar F-Type (2013-) Porsche 911 (2012-2019)

Used SUV

Sponsored by City Auction Group Seat Ateca (2016) Skoda Karoq (2017-) Audi Q7 (2015-) Volvo XC40 (2017-) Peugeot 5008 (2017-) Volkswagen Touareg (2018-) Mazda CX-5 (2012-)

Used AFV

Sponsored by City Auction Group Hyundai Ioniq (2016-) Nissan Leaf (2017-) Jaguar I-Pace (2018-) Kia Niro (2016-) Toyota Corolla (2019-) Volvo XC90 T8 (2016-) BMW i3 (2013-)

Used Car of the Year

Sponsored by City Auction Group Chosen by judges from our category winners

Manufacturer Used Car Scheme Sponsored by Warrantywise Audi BMW Ford Hyundai Jaguar Kia Mazda Tesla Volkswagen Volvo

Cars Under £3,000, Essex Cazoo D9 Specialist Cars, Wickham Bishops Motorswift, Weston-super-Mare NiceSpecCarShop.com, Ashby-de-la-Zouch Norwich Van Centre, Norwich Platinum Pre-Owned Cars, Standish The German Car Group, Ottery St Mary

Outstanding Achievement Sponsored by Trade To Trade Underwriting No nomination list revealed

Lifetime Achievement Sponsored by Lawgistics No nomination list revealed

CarDealerMag.co.uk | 21

DASHBOARD

CAR NEWS ROUND-UP Manufacturers have been busy refining existing models and producing new ones. We look at 10 of the results...

BMW

New iX arrives as firm’s flagship EV BMW has unveiled its new electric iX SUV that's set to take its place at the top of the firm’s range of EVs. Going on sale late next year, the iX sits on a bespoke electric platform and uses two electric motors driving all four wheels. In its most powerful form, it’ll deliver up to 500bhp.

It means the iX will be able to go from 0-60mph in under five seconds, yet should be able to return more than 300 miles from a single charge.

The iX will receive DC charging up to 200kW, taking the battery from 10 to 80 per cent in under 40 minutes.

CITROEN

NISSAN

Rip Curl bolsters Berlingo range

Micra updated with more tech

CITROEN has continued its partnership with Rip Curl via a special edition Berlingo model.

The Berlingo Rip Curl is the latest in a long line of models created through a joint venture between the well-known surf brand and Citroen, with the most recent being the C3 Aircross Rip Curl Edition launched in May. Priced from £24,345, this new model has versatility at its fore, thanks to three individual rear seats that can be folded into the floor, yielding up to 3,500 litres of storage space.

NISSAN has introduced a facelifted version of its popular Micra, bringing a more streamlined specifications list as well as a new, more efficient engine.

Priced from £13,995, the new Micra now benefits from a refined 1.0-litre turbocharged engine that is more fuelefficient than before.

It also complies with the latest Euro 6d emissions standards.

Cars in either N-Sport or Tekna grades benefit from LED headlights as standard, too.

22 | CarDealerMag.co.uk

JAGUAR

High-performance F-Pace SVR is revised JAGUAR has updated its powerful F-Pace SVR, bringing more rapid acceleration but with lower emissions and improved fuel economy.

It retains its predecessor’s 5.0-litre supercharged V8, bringing 542bhp and 700Nm of torque. This helps the SVR to deliver a 0-60mph time of 3.8 seconds – three-tenths quicker than the older car – and a top speed of 178mph.

Despite this, CO2 emissions are down to 275g/ km, while fuel economy stands at 23.1mpg.

TOYOTA

C-HR gains dynamic new GR Sport trim

TOYOTA has added to the C-HR’s trim levels with a GR Sport specification.

It brings additional styling touches such as a black finish for the headlight and fog light housings, as well as on the central bumper area and Toyota badge itself.

There are also black mouldings for the doors plus 19-inch alloy wheels with a contrast black and machined metal finish. A new underbumper trim piece and specific GR Sport badges feature at the rear.

MORGAN

DACIA

End of 3 Wheeler production is marked with limited-edition P101 MORGAN has announced the end of its 3 Wheeler line with a limited-edition model.

Called the P101, it marks the end of a model that's been around in its current form since 2011.

The name P101 refers to Project 101, which was the internal name used by Morgan when it launched a programme to revive the 3 Wheeler.

It’s limited to just 33 examples and features a variety of unique components and bespoke detailing. The 3 Wheeler will officially cease production in 2021. There will be a successor, but details are scarce for now.

CUPRA

Leon range expands with e-Hybrid variant CUPRA is introducing a plug-in variant to the Leon range.

Based on the latest fourth-generation Leon, the e-Hybrid – priced from £34,495 in hatch form and £35,525 for estate – combines a 1.4-litre petrol engine with an electric motor and 13kWh battery pack to produce 242bhp and 400Nm of torque.

It’s capable of driving on electric power alone for up to 37 miles, while returning up to 217.3mpg combined. Emissions stand at 30-31g/km.

MERCEDES-MAYBACH

Sandero’s exterior is freshened up

THE Sandero has retained its title as the UK′s cheapest car with the revised model hitting the market priced from £7,955.

Boasting a revised exterior design, the new Sandero is set to go on sale in the UK from February 1, 2021.

It can be ordered in advance via Dacia’s dedicated online portal, though, with build slots costing £99. Those ordering it this way will also benefit from three years of free servicing while also being the first to receive their car when deliveries start in April 2021.

TOYOTA

S-Class brought in as flagship saloon

Highlander heading for the UK’s shores

THE Mercedes-Maybach S-Class has arrived to take its place at the pinnacle of the firm’s range of luxury saloons.

Now featuring a wheelbase 18cm longer than the longest regular S-Class variant, the Mercedes-Maybach has been designed with a focus on comfort for those in the back.

The appearance of the car can also be changed via a new two-tone paint finish with a dividing line applied by hand.

Inside, up to five screens are available, with a 12.8-inch central display as standard.

TOYOTA has confirmed that its Highlander SUV is to go on sale in the UK for the first time.

Now into its fourth generation, the Highlander has previously only been available in North America and certain European markets.

The latest Highlander, however, will go on sale in the UK on January 1, bringing a sole petrol-electric hybrid powertrain with four-wheel drive. First deliveries are expected in March.

Priced from £50,595, it’ll be available with two trim levels.

CarDealerMag.co.uk | 23

The warranty experts

www.

WMSGroup.co.u

k

Does your current warranty product still suit your business and customer needs?

For over 15 years the WMS Group has been providing extended warranty cover and other motoring products to over 3,500 dealerships across the UK. Our warranty products are proven to help attract and retain customers, increase workshop revenue and maximise profitability.

Award-winning warranties

Our warranty products have been voted best in class by UK dealers

24/7 telephone support

Your customers can receive assistance any time of the day

24 hours claims settlement

All valid claims within 24 hours of receipt of invoice

Call us today to find out more about our range of warranty products

01844 293810 24 | CarDealerMag.co.uk

Sales@WMSGroup.co.uk

www.WMSGroup.co.uk

Different strokes for different folks but will online ultimately reign?

I

Customers were happy to part with tens of thousands of pounds and buy a used car purely online.

t’s a topic that I haven’t seen split opinion as fiercely since the Leave or Remain camps went head to head over Brexit. Don’t worry, this isn’t a deal or no-deal musing; instead, it’s about the topic that seems to see industry heavyweights fall into two very clear, opposing camps: digital car sales or physical car sales.

No one can deny that the coronavirus crisis has supercharged the industry’s digital transition like nothing else. If the car industry needed a rocket up its nether regions to get its act together online, the Covid-19 pandemic was a Hubble telescope-carrying space explorer to the buttocks.

Auto Trader recently reported that we’ve seen seven years of development in seven months from car dealers online, and it’s true most dealers didn’t let the crisis pass them by when it came to sharpening up their online offerings.

It helped that they were somewhat forced to. If you wanted to carry on selling cars during the lockdowns you had to have a fully transactional website for car sales and then offer home delivery, and latterly click-and-collect if you wanted to do any business at all.

Many dealers used this to such an advantage during the second lockdown that they managed to not only keep selling, but actually sold more than they did last November.

Several dealers have told me exactly that – Peter Smyth of Swansway Garages explains in this issue how click-and-collect enabled the dealer group to sell more cars this November than last. That’s quite an achievement, isn’t it?

If someone had told you back in February that by the end of the year some dealers would be selling all their cars online without customers seeing them first for a test drive, you’d have labelled them drunk and sent them home, wouldn’t you?

I find it interesting that some dealers remain unconvinced. I’ve spoken to lots of them over the past few weeks and months and the difference in opinion when it comes to the future of digital car sales is vast. Most admit that offering a reserve online function is critical and some, like Alex Jones of Carbase, told me this had seen their conversion rates sky-rocket. However, he didn’t believe customers wanted to complete the whole purchase online. And thinks they never will in great numbers.

Some might think it’s a used car thing. Daksh Gupta, of Marshall Motor Group, told me – after a recent trading update that showed used car sales for his business were down around 12 per cent in November – that was because customers hadn’t been able to testdrive them or see them in person.

That might be true, but at the same time over on the internet Big Motoring World boss Peter Waddell and automotive investor John Bailey were busy taking the wraps off their purely online used car sales website Carzam, betting exactly the opposite. From what I understand, the Cazoo-rivalling website is already making impressive sales and within days customers were happy to part with tens of thousands of pounds and buy a used car purely online. Arnold Clark CEO Eddie Hawthorne, sitting atop the most profitable Car Dealer Top 100 list, said his firm had offered customers more ability to interact on its website and that by giving the customer the power to decide what they do online it had managed to increase its margins even further.

On the other hand, our top independent dealer Trade Centre Wales has resolutely decided that online sales is not the future and is spending millions elsewhere attempting to drive customers into its showrooms.

It’s fascinating to see how different areas of the industry are reacting to online sales.

Some love it and are convinced it’s the future, betting their houses on the fact it’ll overtake physical sales soon enough. Others remain unconvinced and are focusing on a blended approach. Which way the customers pivot remains to be seen. Perhaps there is no right or wrong answer – perhaps the used car market is simply big enough for everyone to carry on doing it their own way and still make a success of it. Which side are you betting on?

Speaking out

COMMENT

JAMES BAGGOTT

AGAINST OUR BETTER JUDGMENT, WE LET THE CEO HAVE HIS SAY EACH MONTH James Baggott founded Car Dealer Magazine and is the chief executive officer of parent company @BaizeGroup, an automotive services provider. He now spends most of his time on Twitter @CarDealerEd and annoying the rest of us.

CarDealerMag.co.uk | 25

Big Mike OUR MAN ON THE INSIDE SHARES HIS THOUGHTS ON THE CAR BUSINESS

Who is Big Mike?

Well, that would be telling. What we can say is he’s had more than 40 years in the car trade so has probably forgotten more about it than we’re likely to know.

26 | CarDealerMag.co.uk

COMMENT

2020 had its humorous moments – even if they did cost me a fair bit

I

think it’s fair to say that this year has been challenging even for the very best of us, both on a personal and a professional level.

But even in our darkest times there’s always a bit of light – so as we kick 2020 well and firmly into touch (and good riddance to the stinking thing) I’ve decided to use this column to take a look at some of its lighter moments, which generally revolve around me being a complete and utter plonker.

We’ll start with the Renault Laguna. Back in April, when things were looking grim for all of us, I took an additional kick in the dangly bits by acquiring a 2010 Renault Laguna dCi as part of a bulk underwriting deal I’d done with my local Kia franchise.

On the basis that the car was a) French, b) dirty diesel (remember the days when they flew off the forecourt?), c) a very boring spec and d) high mileage, it was a decade-old car that promised to be two decades old by the time I’d found a buyer for it, so like all good car traders I decided to use it myself for a while.

After all, I may have struggled to find it a new home just as much as a placement agency would with Dominic Cummings, but like all Renaults it was extremely comfortable. Almost as if they knew that any future owner would appreciate somewhere snuggly to sit while waiting for the recovery service on the hard shoulder.

The one that I had never broke down, but that’s because I never gave it the chance. I parked it in a visitors’ bay in my street one day, went to work in a Micra I had a socially distanced viewer coming to look at to go about their essential work in, and that was that.

The following day, after my toast, coffee and morning constitutional, I went out to work only to find – or not find – the keys to the flipping thing.

Cue an entire morning of going through the pockets of all my trousers, jackets and sheepskin coats, despite the fact that among them were items of clothing I’d probably not worn since the Renault trundled off the production line – I guess just in case I’d gone for a sleepwalk in something from the charity shop basket and taken my car keys with me.

Alas, no dice. So I got a taxi to work (a challenge in itself back in April, which required me to dress up like the Elephant Man and wear a snorkel just to get an Uber man to drive me) and I ransacked the office, works van, spares portable building and loo, along with every single car on the forecourt, despite the fact that I’d been shut for two weeks and hadn’t even opened any of them.

These pesky keys do have a mind of their own, and I know from past experience that they can – and often do – take themselves off to places you know you’ve never been. And if you’re a car dealer, so do you – don’t deny it. I know as well as you do that you have, at some stage, wasted hours of your life you’ll never get back looking for a car key that has been on the receiving end of an angry poltergeist.

This one, though, managed to evade me for 48 hours, which is both the maximum amount of patience I can dedicate to an old Renault and also the maximum amount of time my neighbours generally tolerate me leaving my stock in one of the shared visitor bays Resigned to a bill that would gobble up my profit margin, I got on the blower to the local auto locksmith, who immediately hung up when I mentioned the words ‘Renault’ and ‘Laguna’ in the same sentence. The second locksmith laughed down the phone, and the third sucked so much air through his teeth that the signal distorted. I did eventually get one quote back, which was for the total value of the car. So I cut my losses and scrapped it.

The following day, I got a knock on the door from the post lady, who presented me with a Special Delivery Jiffy Bag, inside which were the Laguna keys and a hand-written note from the bloke I sold the Micra to that read ‘I think you left these in my car’.

Hopefully that tale has made you leak a bit of tea from your mouth and over your mince pie, but while it’s my most expensive screw-up of the year, my most stupid one related to

After all, I may have struggled to find it a new home just as much as a placement agency would with Dominic Cummings, but like all Renaults it was extremely comfortable.

a Skoda Fabia that sat at the back of my lot throughout the first lockdown and completely discharged its battery.

Being a Skoda, and therefore as likely to start as a brawl in a pub in Small Heath, I wasn’t at all bothered about any kind of mechanical issues, but it was a bit annoying to find that once I’d connected up the booster pack, the Fabia had forgotten its radio code and that no amount of button pushing or knob-twiddling would tune me into any other station than ‘SAFE’. What’s more, rummaging through the service history (of which there was loads) failed to reveal to me those sacred four numbers, as the original and typically diligent Skoda owner had obviously taken note of the manufacturer’s advice to store the radio code in a safe place.

As a result, the Fabia came with every bill and service receipt from new, but the radio code was securely stashed in the drawer of a telephone table in Cannock, never to be seen again, and therefore as much use to me as a set of keys for a scrapped Renault Laguna.

Luckily, there are a number of sources of radio security codes lurking in the darker corners of the world wide web that can supply them for less than a fiver providing you’re in possession of the stereo’s serial number, so I spent a shifty half-hour or so trying to extract the head unit from the dashboard to do just that. With the radio removed, I almost jumped for joy for there, written on the radio casing, were the numbers 6086.

Assuming those to be the code, I hastily reinstalled the radio and jabbed away at the buttons until I worked out the code entry sequence. On the fourth attempt, I managed to get the numbers to display in the correct order and pressed the button that YouTube told me to in order to enter the code, only to be confronted by an electronic beep and the word ‘SAFE’ reappearing on the display.

So, apart came the dashboard again and out came the radio, because Daft B*st*rd here hadn’t thought to actually write down the serial number ‘just in case’ before reinstalling the radio. I scribbled the serial number down on the side of a fag packet and toddled off home to buy myself the code online, for which I invested the princely sum of £3.99.

The following day, the radio code arrived in my inbox. It was 9809.

Hopefully my luck will change for the better next year and I sincerely hope that yours will, too. It has been a horrible time for everyone in our industry, but we’ll get through this. Car dealers are made of tough stuff, and our humour, mates and ability to talk ourselves out of almost any mess will usually carry us through.

Hug your loved ones a little bit tighter this year (if you’re from the same household), and I’ll see you all on the other side. Merry Christmas – or if that’s not your thing, Happy End Of 2020. That’ll do for most of us, I expect.

I got on the blower to the local auto locksmith, who immediately hung up when I mentioned the words ‘Renault’ and ‘Laguna’ in the same sentence.

CarDealerMag.co.uk | 27

together Let’s do more

Part of the drive to reach your goals, we’re a partner to grow your business and help you thrive.

Finance

Compliance

Funding

Insight

Delivering finance solutions for your customers

Navigating regulation and compliance changes to keep you safe

Providing access to the funding you need

Sharing data and information to help you make decisions

Giving you more, so you can do more.

We’re stronger together. closemotorfinance.co.uk/together 28 | CarDealerMag.co.uk

Finance Compliance Funding Insight

Thought 2020 was hard?

2021 is set to be another year of seismic changes

I

Companies such as Cazoo are having an easyJetlike effect on the industry, meaning shoppers are searching on price as much as added value.

have never been a man for New Year resolutions. Why should one date in time herald a change in your life that perhaps should have been made some time before? However, I can see why people use the Christmas break as a period of reflection, and I should imagine that 2020 will give everyone a lot to think about.

I think most dealers and manufacturers would look back on 2020 and say we’ve dodged a bullet. There is no way that anyone could have foreseen the strength in the car market – used cars particularly – in March.

Boardrooms were gloomy places then, awash with doomsday projections that would have made stakeholders in even the most securely funded businesses nervous. Such has been the bounce, however, that many operators have experienced year-on-year growth in volume, turnover or profit.

The other inadvertent impact of Covid on the industry is the potential shift to ride-sharing that has been forecast. It might take a while for consumers to be happy about sharing enclosed spaces for a while, though, even with a vaccine.

But before we start slapping each other on the back for being so awesome, the motor trade has ridden the wave more by luck than judgement. It is true that some dealers will have been more successful than others in the past nine months, but there are still some fissures in the motor retail model that need repairing.

I have read many articles recently that speculate on the inevitable move to agency-model new car motor retail. This has long been a need, and as new car stock starts to reduce thanks to limited battery supply for a wider range of hybrid or electric cars, Brexit, reduced factory capacity and changing consumer demand, it looks more realistically achievable in 2021 and beyond.

The majority of dealers have complained about new car margins for decades and agency-model supply gives guaranteed handling fees – but be careful what you wish for. There will be less new car stock on the ground, meaning customers will have to wait longer and therefore have more opportunity to cancel. Entrepreneurial dealer groups with slick used or corporate departments have feasted on new car over-supply and those opportunities will dry up.

Agency selling also makes dealers more vulnerable to closure – if you’re unable to deliver a service or volume that supports a new car franchise, you’ll be converted to authorised repairer status before you know it.

If new car revenue becomes more challenging, the only salvation is used cars.

Many franchised networks aren’t structurally ready to increase used car volumes. It isn’t just a case of trying to fund more stock, there is simply not enough used cars to go round – especially at commercially attractive prices. It means dealers will need to engage in selling older cars and budgeting for preparation in a different way.

Manufacturers also need to play their part. Expecting retailers to pay premium prices for OEM parts when dealers compete with supermarkets using factor equivalents is not competitive. Neither is having onerous approved used car programmes that result in expensive warranties. Online disruptor companies such as Cazoo are having an easyJet-like effect on the industry, meaning shoppers are searching on price as much as added value.

Whatever happens in 2021 I don’t think it is going to be easy, and while I take no pleasure in being a prophet of doom, we seem set fair for another year of seismic changes that will have an impact on many people.

Trader Tales

COMMENT

JAMES LITTON

CASTING AN EXPERIENCED EYE ON THE WIDE AND CHALLENGING WORLD OF MOTOR SALES

James Litton is an automotive retail consultant who always has something to say about the industry he loves.

CarDealerMag.co.uk | 29

ADVERTISING FEATURE

EXCLUSIVE

Sneak preview of the all-new D-Max proves to be a massive hit Key prospects are among the guests as Isuzu looks to fill a dozen dealer slots

I

suzu dealers, key prospects and other special guests were given an exclusive sneak preview of the new D-Max that is coming to the UK in 2021. The Covid-secure events – held over four days at its UK HQ – proved hugely successful, with people being allowed to touch as well as see the new pick-up.

No other European distributor has been able to let dealers see the new model so far, and anyone who couldn’t make it along was offered live virtual walkrounds of the vehicle. Key journalists, influencers and fleet customers also came along, while a VIP day was held separately for the prospect dealers, with 11 taking part. This proved quite timely, as Isuzu has opportunities for dealers in a dozen towns and cities in England and Scotland.

UK managing director William Brown told Car Dealer: ‘We are so excited to receive this new model.

It is a big step forward for Isuzu and will be the most advanced pick-up on sale in the UK, setting new standards in the sector. Because it is a simple franchise to operate, it is very easy to integrate into a successful existing operation, whether it be cars, 4x4s or LCVs. ‘What we’re looking for in a new dealer is someone who is dedicated to our brand within their existing business. We can do all of the training. Most of the time, a pick-up is being bought to be used as a pickup and that’s why it’s an easy product to sell. That’s where we win.’

He emphasised how approachable Isuzu was, adding: ‘We’re not just interested in our dealers’ performance. For us, everything we do for our dealers has to be simple, fun and profitable. It’s all about making business as simple as possible, whether it be trading terms, campaigns or communications.’

The 12 towns and cities ripe for an Isuzu dealer Birmingham Brighton Bristol Canterbury Doncaster Forfar Newcastle Portsmouth Romford Southampton Swindon Weymouth

What did people think?

Dealer ‘Standout features – comfort, technology, a lot of new features that have really upped the game.’

Journalist ‘Really impressed. I’m struggling to think of something I don’t like!’

Influencers ‘The fact you have the latest safety equipment across the entire range is great to see.’ ​

Fleet customers ‘I can’t believe all this is standard. I like it a lot. I see huge benefits for me as fleet manager and, more importantly, for our drivers.’

For more details about becoming an Isuzu Pick-Up Professional, call Melissa Butcher on 0121 730 8073 or email mbutcher@isuzu.co.uk 30 | CarDealerMag.co.uk

Here for you.

Yesterday, today, tomorrow.

Since 2014, NextGear Capital has been helping dealers grow their businesses with flexible, straightforward and dependable funding. We like to roll up our sleeves, really get to know our customers and look towards the long term - and never before has this way of thinking been more important.

We know the journey ahead is hard to plan right now, but whatever your route, you can be sure we’ll be there right beside you all the way.

Contact us today to find out how NextGear Capital can help your dealership thrive.

Call us on 0330 107 5146 or visit nextgearcapital.co.uk/hereforyou Vehicle Solutions

Remarketing Solutions

Funding Solutions

CarDealerMag.co.uk | 31

Retail Solutions

DASHBOARD CAMBRIA

NEWS DIGEST HERE ARE TASTERS OF STORIES YOU MAY HAVE MISSED

Pandemic takes its toll on trading CAMBRIA Automobiles saw its annual pre-tax profit drop by 18.4 per cent to £10.2m as the pandemic took its toll on trading.

Releasing its results on November 25 for the year to August 31, the motor retailer reported a strong first half, but trading performance was overshadowed significantly in the second half by coronavirus and the first lockdown.

Revenue, meanwhile, fell by 20.3 per cent to £524m. See our interview with CEO Mark Lavery by clicking on the picture.

MOTORPOINT

BREXIT

SMMT warns of £55.4bn loss to UK auto industry by 2025 under World Trade Organisation tariffs WORLD Trade Organisation tariffs will cost the UK’s automotive sector £55.4bn by 2025.

That’s according to the SMMT, which said that trading under WTO rules will consistently keep annual vehicle production under one million units, meaning two million fewer vehicles over the next five years.

Some 1.3 million cars were built here in 2019. Goods traded between the UK and the EU aren’t subject to tariffs, but that will only last until the Brexit transition period expires on December 31. After then, trade could fall back on WTO rules involving tariffs and quotas if no agreement is reached, said the SMMT.

VOLVO

Six-month profit up despite lockdown LISTED used car supermarket group Motorpoint managed to increase profit during the six months to September – despite battling the lockdown.

Releasing its interim results to the stock market, the group said profit went up 3.2 per cent to £9.7m against the same period the year before. Revenue dropped by 27.4 per cent to £387.7m, but Motorpoint slashed costs and enjoyed government support to maintain its margin. It said nearly half of its sales during the six months were online.

32 | CarDealerMag.co.uk

Dealers reassured they have a future

VOLVO dealers have been spooked by a decision in Sweden to axe a relationship with one of its largest dealer partners.

Bilia’s franchises in Sweden and Norway are being terminated and several UK Volvo dealers called Car Dealer to express their fears it could happen here. Volvo UK told us: ‘Our retailer partners in the UK should be reassured that they have a crucial role to play in our business strategy for the foreseeable future.’

EVs

The difference in opinion when it comes to the future of digital car sales is vast.

James Baggott p25

ID.3 proves to be top of the electric pops

THE Volkswagen ID.3 became Europe’s best-selling electric car in October, the latest Jato Dynamics registrations data shows.

Just over 10,500 ID.3s were registered during the month, pushing the Renault Zoe to second (9,778) while the Hyundai Kona finished third with 5,261 units.

Jato said the ID.3’s success was mostly down to fleet and business orders. The top-selling car was the VW Golf at 27,530 units.

Priciest warranty claims revealed.

Supplier News: p46

‘The engine doesn’t burble or shout but gets the job done in a thoroughly understated fashion.’

Skoda’s Octavia vRS driven: p38

MARSHALL

Xxx: pXX

SSANGYONG

Profit forecast goes up for second time

MARSHALL Motor Group has revised its profit forecast up for the year for the second time in as many months.

In an unscheduled announcement, the firm said it now expected pre-tax profit for the year to be ‘not less than £19m’ – up from the £15m it predicted in October, which itself had been an upward revision from the half-year results, when it said it expected to break even.

Chief executive Daksh Gupta also vowed not to use the furlough scheme next year.

The price isn’t right for Mitsubishi UK

TALKS that would have seen SsangYong GB take over the UK Mitsubishi operation have failed.

A senior source close to the discussions told Car Dealer on December 15 there were ‘substantial’ differences in the price both parties wanted for the Colt Car Company. The failure of the takeover is likely to see Mitsubishi in the UK become a parts-only business from September 2021 – with the sales of cars being halted at the same time, it is believed.

END OF AN ERA

Powells Garage to close after 67 years

A DEALERSHIP in Cornwall is closing after 67 years in business.

Powells Garage in Redruth was opened in 1953 by brothers Reg and Raymond. The business sells used cars and provides servicing, repairs and MOTs from its workshop.

But latter-day directors Helen and Kenneth Powell are calling it a day and retiring after sons John and Tom elected not to take it over. It was due to shut on December 15.

Image: Google Street View

NEW LOCKDOWN

Dealerships in Wales forced to close again

DEALERSHIPS in Wales will be forced to shut again as the country moves into the highest Tier 4 coronavirus restrictions on Christmas Eve. All non-essential retail will close on the evening of Christmas Eve and all hospitality from 6pm on Christmas Day. Making the announcement, first minister Mark Drakeford said it would last for an initial three weeks before being reviewed.

Car dealerships will be forced to return to offering click-and-collect sales only.

SALE

While it’s my most expensive screw-up of the year, my most stupid one related to a Skoda Fabia.

Big Mike p26

Pendragon sheds last of US interests

PENDRAGON is selling its Jaguar Land Rover dealership in Santa Monica to Redwood Automotive for some £11.8m.

If approved by JLR, it will spell the end of Pendragon’s interests in the USA – a move it embarked upon in 2017 as part of a restructuring operation. CEO Bill Berman, who joined Pendragon in April 2019, told Car Dealer in May this year he would never have sold the US businesses if he’d been in charge.

BITE-SIZE

Ups and downs at dealer groups – and more...

GOING UP: Listed dealer group Caffyns’ profit rocketed in the six months to the end of September as pent-up demand and cost savings saw it outperform last year. Underlying pre-tax profit rose to £1.53m versus £165,000 in the same period in 2019.

LOSSES: Scottish dealer group Hawco lost more than £700,000 in the first half of 2020 through the pandemic. It said in its fullyear results for 2019 that Covid cost it £726,000. New car supply issues led to an operating loss of £643,000 in 201.

DELAY: Lookers has delayed another set of results and said its interim chief financial officer Jim Perrie has quit. The dealer group told the Stock Market the interim results it had promised to release in December will probably not appear this year.

IMPROVED: Inchcape is set to make more than £108m pre-tax profit for 2020 thanks to a better performance in November than expected. In an upbeat update, the global automotive group said November’s restrictions had had less of an impact than feared.

Turn over page to catch up on more stories CarDealerMag.co.uk | 33

DASHBOARD CONSOLIDATION

NEWS DIGEST HERE ARE TASTERS OF STORIES YOU MAY HAVE MISSED

TrustFord selling site for £35m TRUSTFORD is selling its Alperton dealership in north-west London for £35m as part of network-wide plans to consolidate the number of showrooms.

Speaking to Car Dealer, chief executive Stuart Foulds revealed that the TrustFord Car & Van Centre was being incorporated into its Edgware Road site. A new service and parts dealership is also being opened nearby. Ford announced earlier this year that it was cutting its network from around 400 dealers to some 210.

Image: Google Street View

SKODA

DEAL

Hendy Group is to buy Inchcape’s Jaguar Land Rover Southampton business for nearly £30m INCHCAPE UK is to sell its Jaguar Land Rover Southampton business to Hendy Group for nearly £30m.

It follows the announcement of the sale in principle to Vertu Motors of Inchcape’s BMW, Mini and Motorrad showrooms in Durham, Malton, Sunderland, Teesside and York, as well as its Used Car Centre in York. Inchcape bought the land in Wide Lane, in 2017 to build the Arch Concept dealership, and it was completed and opened in January 2019. Hendy Group chief executive Paul Hendy said: ‘JLR is a major partner of the company and we look forward to welcoming our new colleagues.’ Image: Google Street View

ARRIVAL

‘Blues and twos’ for Octavia VR5 SKODA’S newest Octavia vRS has been converted for use by police forces across the UK. Its 2.0-litre turbocharged petrol engine delivers 242bhp, letting it reach 60mph in 6.5 seconds. The conversion – the latest in a long line of Skoda vehicles specially adapted for blue-light fleets – includes LED signal lights in the front screen, grille, tailgate and number plate, plus a three-tone siren.

Meanwhile, key buttons have been made one-touch for easier use on the move.

34 | CarDealerMag.co.uk

Electric van firm to go public in the US

BRITISH electric van developer Arrival is to go public on the United States Nasdaq with a valuation of $5.4bn (£4bn) despite not yet building a production-ready vehicle.

Based in Bicester, it has research and development facilities in Reading and Banbury for its electric vans and buses. It has been loss-making since it was formed five years ago and won’t begin production until at least 2022. UPS says it will buy 10,000 of the vans.

888

The brake horsepower of the hybrid powertrain sitting under the bonnet of the 919 Street.

Porsche concept cars p36

DS AUTOMOBILES

Hands-off approach to be brought in

DS Automobiles is bringing a new type of technology to its cars – a system aimed at reducing the amount of time drivers need to take their eyes off the road.

They will be able to ‘press’ buttons without physically interacting with any of the controls.

Haptic feedback projected on to the hand will replicate the feeling of touching a button. The feature will premiere on the DS Aero Sport Lounge concept.

Top five tips for selling EVs. Advice: p57

‘When it comes to standing out from the crowd, this Conti stands well above the rest.’

The Full Conti: p52

VOW

I’ll keep on working despite diagnosis

A SALESWOMAN in Aberdeen has pledged to continue working for the business she loves, despite being diagnosed with terminal cancer.

Di Winstone, 47, is a sales executive at Porsche Centre Aberdeen, part of the Peter Vardy Group, and has received hundreds of messages of support on social media since revealing her tragic situation.

Three months ago, she was given the shattering news that it was likely she had just 12 to 18 months to live.

Click on the image for the full story

OFFER

AA investors to get 35p a share for firm

THE debt-ridden AA has received a formal offer for the business.

An announcement was made on November 25 via the London Stock Exchange to say investors would get 35p a share from TowerBrook Capital and Warburg Pincus.

It puts its value at £219m. The AA is understood to have some £2.65bn of debt. Chairman John Leach said the board would recommend the deal, which will see the motoring organisation leave the stock market.

LOOKERS

Before we start slapping each other on the back for being so awesome, the motor trade has ridden the wave more by luck than judgement.

James Litton p29

BRUNTINGTHORPE

Profits blow and expenses fraud

LOOKERS has finally released its 2019 accounts that show profit plummeting and an expenses fraud.

Adjusted profit in 2019 was just £4.2m on revenue of £4.78bn.

The 2018 number has also been adjusted down from £53.9m to £42.8m on revenue of £4.82bn.

But ‘a number of non-underlying credits and charges’ led to a statutory pre-tax loss of £45.5m for 2019 versus a 2018 profit of £41.9m.

An expenses fraud of £327,000 was also revealed.

OPPORTUNITIES

Charging centre can Grenadier set to be cater for 30 vehicles hydrogen powered

A 30-VEHICLE charging supercentre costing more than £100,000 has been built at Manheim’s Bruntingthorpe site.

The centre, created in partnership with Pod Point, comprises 7kW (single-phase) twin chargers as well as a 50kW velocity charger for rapid charging, with the software allowing RFID card and app-based access.

It means that more than 800 vehicles can be charged there each week.

INEOS’ Grenadier 4×4 is set to be powered by hydrogen thanks to a landmark deal with Hyundai.

Chemicals giant Ineos and Hyundai have signed a memorandum of understanding to ‘explore new opportunities’, including hydrogen fuel cell tech for the Land Rover Defender-rivalling 4×4. The Grenadier is expected to go on sale in 2022 – initially with BMW petrol and diesel engines, then a hydrogen version.

BITE-SIZE

Google sued, Stellantis gets nearer – and more...

WORLD: The Porsche Panamera has been named the world’s most hashtag-worthy used car on Instagram. The four-door Porsche with the hashtag ‘porschepanamera’ has been posted 334,000 times. Click on this panel for the top 15

MERGER: Groupe PSA and Fiat Chrysler Automobiles have taken a step closer to becoming Stellantis. The new company is registered in the Netherlands, and the country’s authority for financial markets has approved a shares prospectus.

ACTION: A used car dealer is suing Google over ‘fake reviews’ of his muscle car business.

Richard Boatwright, who runs David Boatwright Partnership in Braintree, said he felt ‘helpless’ after Google refused to remove comments about his company.

GOING GREEN: Audi plans to make all its production centres carbon-neutral by 2025.

Policies include the use of green electricity, with the firm’s Gyor plant in Hungary having the equivalent of 22 football pitches of solar panels on its roofs.

OPINION: Human rights experts say Carlos Ghosn was wrongly detained in Japan. The Working Group on Arbitrary Detention, which works with the UN, says he should get compensation and other reparations from the Japanese government.

CarDealerMag.co.uk | 35

FEATURE

The German manufacturer has taken the wraps off some concepts that went no further. Jack Evans looks at what might have been.

P

orsche is a manufacturer with a long history of creating striking and technologically advanced sports cars. Most of them make an impact on the public and are snapped up by buyers across the globe, but now it has revealed a series of cars that never saw the light of production day.

‘People all over the world love the timeless and innovative design of our sports cars,’ says Oliver Blume, chairman of the executive board at Porsche AG. ‘Visionary concept studies are the foundation of this success: they provide the pool of ideas for the Porsche design of tomorrow and combine our strong tradition with trailblazing future technologies.’

The concepts show a variety of directions that Porsche could have gone in – so let’s take a look at them.

36 | CarDealerMag.co.uk

PORSCHE VISION ‘RENNDIENST’ The Porsche Vision ‘Renndienst’ took a different tack to Porsche’s norm, arriving as a concept designed for families and incorporating space for up to six people.

The interior is modular and can be moved around, while the driver sits in a central seat. It’s also underpinned by an electric powertrain that frees up room inside for the passengers to enjoy.

PORSCHE 919 STREET

The clay model 919 Street was initially designed to be a road-going version of the firm’s 919 Hybrid race car. Striking in its design, it’s a car that utilised a hybrid powertrain producing a sizeable 888bhp.

Sadly, despite its well-rounded design and high-performance powertrain, it’s unlikely that the 919 Street will ever enter production.

PORSCHE VISION SPYDER

Porsche’s Spyder models are arguably some of the prettiest in existence, but this concept – which, according to Porsche, took inspiration from Spyder models of the 1950s – is a hardened, more focused affair.

It was also designed as a way of testing the waters for new technology systems to see if they could make production.

One such element was the ultra-modern rollbar.

CarDealerMag.co.uk | 37

FORECOURT

SKODA OCTAVIA vRS

Styling Skoda has once again nailed the understated look but still retained the purposeful appearance with widened wheel arches and large front grille.

Historically, the Octavia vRS has been an extremely useable performance model.

Jack Evans sees if the new one can achieve the same.

THE KNOWLEDGE Skoda Octavia vRS Estate

Price (as tested): £36,240 Engine: 2.0-litre turbocharged petrol Power: 242bhp Torque: 370Nm Max speed: 155mph O-60mph: 6.4 seconds MPG (combined): 40.4-35.3 Emissions: 159-181g/km CO2

WHAT IS IT? The performance-based vRS shares its powertrain with the latest Golf GTI but, in classic Skoda fashion, the Octavia has been designed to err on the side of value for money more than its Volkswagen Group cousin.

WHAT’S NEW? This Octavia sits atop a new platform, bringing more in the way of interior space and better levels of practicality. It also has a more angular look, gaining more presence.

The interior is new as well, with far more technology and connectivity features than you might have found on the previous-generation car.

WHAT’S UNDER THE BONNET? The Octavia vRS uses a 2.0-litre turbocharged petrol engine for drive, producing 242bhp and 370Nm. Power is sent to the front wheels through a seven-speed DSG automatic gearbox and Skoda quotes a 0-60mph time of 6.4 seconds and a top speed of 155mph.

Despite offering more than brisk performance, the vRS does well in the economy stakes as well – up to 40.4mpg, with CO2 emissions of between 159 and 181g/km, says Skoda.

This isn’t going to be the only engine on offer, either. A similarly powerful plug-in hybrid variant is due to be available, as well as a more conventional diesel. The former will certainly be a hit with business users, thanks to CO2 emissions as low as 26g/km.

WHAT’S IT LIKE TO DRIVE? The steering is lighter than we’ve come to expect, but it’s refreshingly easy to use. The gearbox, meanwhile, is smooth and responsive and, in truth, is best left to its own devices in fully automatic mode – although you can take control via the wheel-mounted paddles.

Then there’s the engine. It doesn’t crack, burble or shout, but gets the job done in a thoroughly understated fashion. The vRS isn’t razor-edged and the engine reflects this, providing brisk, muscular performance. Combined with excellent body control and pleasantly sharp brakes, it ensures the Octavia provides extra sparkle to a regular drive.

HOW DOES IT LOOK? It certainly has an elevated look over the regular Octavia, but it’s neither shouty nor inyour-face; just as a performance Skoda should be, in our opinion. The entire car just has

38 | CarDealerMag.co.uk

Inside Skoda has worked hard to make the whole cabin feel brighter and more spacious.

Quality The Octavia’s level of build quality is good enough to put many premium manufacturers to shame.

TARGET BUYERS:

Those who want pace as well as practicality.

THE RIVALS:

Volkswagen Golf GTI, Audi S3, Mercedes-AMG A35.

KEY SELLING POINTS:

Then there’s the engine.

It doesn’t crack, burble or shout, but gets the job done in a thoroughly understated fashion.

1. Excellent value for money.

2. High build quality.

3. Undercover looks.

DEAL CLINCHER:

If you’re after a performance car that can be used day in, day out, then the Octavia vRS is a great choice.

a wholeheartedly purposeful feeling to it, from the large front grille to the nicely widened arches. We’re quite sure it’ll be a hit with buyers who want a car that doesn’t scream about its performance credentials.

WHAT’S IT LIKE INSIDE? The new architecture means it’s got more space to offer. Even sitting up front, it’s clear to see how hard Skoda has worked to make the whole cabin feel brighter, while the level of build quality is good enough to put many premium manufacturers to shame. There are some lower-cost plastics used further down the cabin, but in contrast to that you have an Alcantara-lined dashboard and all manner of soft-press buttons. It’s a great place to be.

There’s a good amount of space for those in the back, too, while boot area is huge – 600 litres with the rear seats in place or 1,555 litres with them down.

WHAT’S THE SPEC LIKE? If there’s one thing Skoda knows how to do, it’s to make a car that offers impeccable value for money. Prices for the Octavia vRS start from £31,425, and even there you’re getting a wealth of standard equipment.

Our car chimed in at £36,240, with the bulk of the additional cost put down to only a handful of optional extras, such as a panoramic roof (£1,150) and Dynamic Chassis Control (£925). But realistically, there’s little need to trouble the options list when you’ve got features such as dual-zone climate control and a 10-inch infotainment system as standard.

WHAT DO THE PRESS THINK? Autocar said: ‘Given the calibre of the products in recent years, it is a damn sight easier now more than ever to dispense with misplaced brand snobbery when it comes to Skoda.’

WHAT DO WE THINK? It’s competitively priced, well finished both inside and out, and far more practical than rivals. Add on top of this that it’s excellent to drive quickly and refined at a cruise and you find yourself looking at a car that really does tick many boxes.

A plug-in hybrid variant also gives an option for business users, but this standard petrol version already makes a solid case for itself.

We reckon Skoda won’t be able to make them quick enough.

CarDealerMag.co.uk | 39

FORECOURT

AUDI S3

THE KNOWLEDGE Audi S3 saloon

Price (as tested): £41,475 Engine: 2.0-litre turbocharged petrol Power: 306bhp Torque: 400Nm Max speed: 155mph O-60mph: 4.6 seconds MPG (combined): 36.2 Emissions: 179g/km CO2

Power The 2.0-litre turbocharged petrol engine pumps out 306bhp and 400Nm of torque.

Audi has revamped its S3, bringing more power and tech than before – so Jack Evans discovers if it can still deliver a great experience.

WHAT IS IT? The Audi S3 is arguably one of the smash hits of practical performance cars in the UK. It’s immensely popular, owing to its everyday practicality and well-made interior, as well as its variety of the used market. But now there’s a new one. With an updated platform, more power and even greater technology than before, it’s certainly well equipped to make as many waves as its predecessor did.

WHAT’S NEW? We’re driving it in saloon specification – as opposed to the traditional hatchback (or Sportback, in Audi-lingo) – which means it looks a little longer and a little sleeker.

But the power across the S3 range has been beefed up, while the car’s ride has been revised to make it easier to live with on a daily basis.

WHAT’S UNDER THE BONNET? The Audi S3 is powered by a familiar 2.0-litre turbocharged petrol engine that has seen much use across the wider Volkswagen Group, as well as in the previous-generation car.

Power, however, has been stoked up to 306bhp while torque rests at 400Nm. Driven through a seven-speed automatic gearbox to all four wheels, it’s enough shove to send the S3 from 0-60mph in 4.6 seconds before settling at a top speed of 155mph.

WHAT’S IT LIKE TO DRIVE? In classic S3 fashion, this latest model is well judged for use on a day-to-day basis. The ride sits on the firm side and over broken surfaces translates a fair bit of jostle to the cabin.

The engine, meanwhile, sits below the radar when you’re pootling around town – there’s little murmur from the exhaust, while the gears slip along undetected. All in all, this is as easy to drive as a standard A3. Throw some pace into the mix and the S3 is very impressive.

There’s some lag initially as the turbo spools up, but once it’s up to speed, the 2.0-litre engine deals out some serious performance.

HOW DOES IT LOOK? Our car, in saloon layout, brings the classic Audi ‘less is more’ approach to performance-car styling. Yes, you’ve got those standout exhaust pipes and some mildly flared arches, but this is one understated package overall. We still think the hatchback body style

40 | CarDealerMag.co.uk

suits the S3 best, but those who prefer a sleeker, more coupe-style way of getting from A to B will likely find the saloon variant more appealing.

WHAT’S IT LIKE INSIDE? We’re not huge fans of the stubby gear selector but it means the central area of the car feels spacious and decluttered. This feeling continues up, where there’s minimal use of physical buttons. Most of the controls are centred around the main infotainment system.

The build quality is excellent, with wide use of tip-top materials that combine to create a well-balanced and high-quality-feeling interior.

WHAT’S THE SPEC LIKE? The S3 is a car that really does seem like excellent value when it comes to on-board technology, with the car’s sub-£40,000 starting price bringing a whole host of additions to keep even the keenest of tech fans happy.

The bulk of it is centred around the new infotainment display, which is now the main access point for many of the car’s key controls. It’s easy to use, while retaining the clear fonts that we’ve seen on other recent Audi models such as the A6 and e-tron.

Thankfully, the S3 has kept physical controls for the heating and ventilation, which makes them far easier to adjust than with a touchscreen-controlled set-up.

WHAT DO THE PRESS THINK? Autocar said: ‘Audi delivers an effective if somewhat unlovable hot hatch.’

WHAT DO WE THINK? The new S3 brings just what you’d want from this type of Audi: solid, secure performance wrapped up in a package that’s pleasing to the eye and well built throughout. However, the driving experience isn’t the most exciting or the most involving. It feels much like a go-faster A3 rather than a dedicated performance model. That said, as a car to bring a touch more zip to your daily drive then the S3 does remarkably well.

Inside The build is excellent, with the use of top-quality materials giving the cabin an upmarket feel.

Styling Audi brings the classic ‘less is more’ approach to performance-car styling.

TARGET BUYERS:

Those who want an Audi that doesn’t scream about its performance.

THE RIVALS:

Volkswagen Golf GTI, Mercedes-AMG A35, BMW M135i.

KEY SELLING POINTS:

1. Great looks.

2. High-quality cabin.

3. Invigorating performance.

Throw some pace into the mix and the S3 is very impressive.

DEAL CLINCHER:

The new S3 brings some much-needed fresh air to the model, thanks to a great new interior and sharper looks.

CarDealerMag.co.uk | 41

42 | CarDealerMag.co.uk

FOCUS ON Autoglym

lifeshine.com

How do I sell petrol and diesel cars following the 2030 announcement?

T

he government’s announcement that sales of new petrol and diesel cars will be banned from 2030 has whipped up a frenzy among car buyers clamouring to go electric. But for new and used car dealers alike, the core stock is still fossil-fuelled – so how do you convince your customers it’s still a good idea to buy one? Here are six reasons why:

5

Residual values WILL NOT collapse For everyone who wants to adopt electric straight away, there will be others who are sceptical, or who want to get their hands on a good petrol or diesel car that will last them a long time while they can still buy one. Indeed, industry experts are predicting a surge in demand for internal combustion cars from those reluctant to give them up. That’s a great opportunity for you to sell on vehicle protection products such as Autoglym LifeShine, as their investment will be more of a long-term commitment.

Diesel is best for them…

It’s all too easy to forget that there are still many drivers out there for whom diesel remains the best option. Not only do modern Euro 6 diesel engines have lower emissions than ever and are far cleaner than they’re given credit for, they’re also extremely economical, often more so than petrol-hybrid cars on a cost-per-mile basis. If someone regularly does journeys of more than 200 miles, diesel still makes a lot of sense. Plus, it will still be around well after 2030 when the ban comes in, as road transport is so reliant on diesel and will be for some time.

3

6

1

EV is not for everyone The government’s plans for an electric future may be well intentioned, but the fact remains that over a third of the population lives in flats, apartments or terraced houses where home charging is impossible.

Right now, for these people an electric car makes no sense at all until the infrastructure improves. Ask your customer what type of home they live in and advise them accordingly.

2

Petrol and diesel won’t disappear from the forecourts Even when the ban comes in, there will still be petrol and diesel available from the forecourt for a long time to come, as hybrid cars, road transport and the existing car parc aren’t going to disappear. It’s unlikely that the supply of these will disappear at any point, not least because of the impact this would have on the oil industry, which is one of the core parts of the global economy.

4

They have proven reliability If your customer wants the peace of mind of proven technology then tried and tested might be the better option for them. There’ll be many customers who feel pressured by society to move towards electric cars when, right now, there’s no direct need for them to spend the extra money on buying one.

As a salesperson, part of your job is to help them understand what’s best for them right now, so make time to talk to them about their driving habits and help them work out if EV or ICE is the best option for them at the moment. It’s a great opportunity to talk to them about how they plan to protect their investment as well.

The ban is still nearly a decade away If a customer is looking to buy on a PCP or follows a regular buying cycle of three to four years of ownership, there’s nothing in the legislation that will affect them if buying a petrol or diesel car today, as even when they come to replace it the car will still be an entirely viable sales prospect. It’s all too easy for the public to show a knee-jerk reaction to proposed legislation, but the reality is there’s nearly a decade of electric vehicle infrastructure and development ahead before the ban comes in, and the EVs on sale in 2030 will be a lot more advanced than the EVs on sale now, whereas a petrol or diesel car will be no more obsolete in 10 years’ time.

To find out more about LifeShine and how it can help benefit your business, visit lifeshine.com CarDealerMag.co.uk | 43

FEEDBACK TOP TWEETS Used Car Awards nominees took to Twitter this month…

Umesh Samani @specialistcars1

Truly humbled to be a nominee in TWO categories for the used car awards ‘Dealers Dealer’ to be in this list with some of the biggest and respected names in the industry is simply awesome.

And ‘best use of video’

Carbase @CarbaseUK

The judges at this year’s Used Car Dealer Awards have been hard at work whittling down the long list of nominees.. and we’re delighted to announce that Carbase is in the running for best ‘Used Car Supermarket’ and ‘Used Car Website’!

Marshall Motor Group @MarshallGroup

Marshall have achieved no less than 10 wonderful nominations in seven categories at the @CarDealerMag Used Car Awards 2020.

Your comments via email to editorial@blackballmedia.co.uk

Will Carzam be workable?

Carzam is now ‘open’! All the very best to Mr Waddell and his team. Having watched the Car Dealer videos during the last lockdown, I loved the way Mr Waddell came across (we are car dealers not bean counters) and his setup.

Some feedback to the website – just my opinion. Interiors of some cars are still showing damp on seats in photos. Love the service history view, but maybe a little more detail when Carzam does the final check with a link to the pre-purchase check? It might be my computer but the car goes round that fast on the turntable view I thought it was going to fly off!

Online is the future? I have to buy mine online, but my customers won’t buy off me online (every business is different). What’s not helping is police on the Tier 2 border stopping cars, making checks.

Have a word with the wife

Personally, I still think the majority of used car buyers will want to see, touch, feel and sit in [a car] before making a choice.

We know every used car is a completely different beast, isn’t it? New cars may well go online as they are as near the same as can be. Used cars aren’t. I hear everyone talking about selling online, but in reality we are all like yourself buying online because we have no choice. Selling online to Joe Bloggs is a different entity altogether, though. We’ve had a few but it’s not entirely a remote sale as they ring, make appointments and arrive.

Even those few who have paid upfront over lockdown have gone over the car before leaving, and I would do the same.

I have talked to customers about buying online and have not met one who would dare spend any sort of money without seeing it on site. None wished to wait for it to arrive by lorry and that’s the stumbling block in my opinion for used cars, they have no idea what’s arriving. They are not car dealers, as he said, and are without doubt bean counters for as long as it Here’s a striking image of the effect the works. Can’t knock them for trying though. pandemic had on the London taxi trade David Horgan after demand collapsed. A fifth of black cabs have been taken off the roads since June as Hi David, how have you done whilst closed for the month? We drivers struggled to earn a living, according stock about 50 low-mileage bread-and-butter cars and sold to Transport for London data obtained by 10 during November on click-and-collect, etc. We were a bit the PA news agency, and many of them have disappointed with those figures but asking and looking round been languishing in fields such as this. similar dealers, this seems to be an average.

Peter..o

PICTURE OF THE MONTH

We run two sites, Peter. One for performance stock and one for bread-and-butter stock.

Small runabouts sell on click-and-collect...ish but they still want to see and feel the car, so it’s more like deposit, look, pay and take away – not click-and-collect. Sports stuff is very different for obvious reasons. Those customers want to see the car, hear it, sit in it, drive it, just as I would.

One set of customers want transport, the other type is interested in cars. Simple as.

November saw good sales on a wishy-washy click-and-collect system. No deliveries, though. We haven’t really had time and most expect free delivery, which won’t happen here. We stayed open though due to the workshop being allowed to open, so that helped as we were on site as normal.

I had two inquiries about delivery 200 miles away – free was their request. Both sold before the emails were completed regarding them travelling. They never learn – sitting there and expecting it to turn up free and us lose out. Makes me laugh.

If we all start delivering we will regret it next year when it’s busy and we haven’t got time or the costs get too high. I want them to collect it or I’ll sell it to someone else.

David Horgan

More and more of our readers are joining the debate – and it couldn’t be 44 | CarDealerMag.co.uk

Our website at CarDealerMag.co.uk

On Twitter: Follow @CarDealerMag

Forum: CarDealerMagazine.co.uk/forum

CUSTOMER INTEREST

Is everyone else finding it dead as disco in December?

It is so dead at the moment. I know we’ve had lockdown but I’ve gone from selling 30 a month to four. Anyone else quiet? Hope you are all fit and well!

Barclaywoodmotorco

We’ve teamed up with Car Sales Memes to bring you a few of their funniest captions and slogans each month. Enjoy!

In the lockdown, I was offering click-and-collect, and delivery. It was hard work and we’ve done three. We also do about 30 a month. Lockdown has been lifted and it’s been mental today. Had our first appointment at 9am. Done four today, saw 12 customers, and the phone hasn’t stopped ringing all day. Hopefully a few more tomorrow.

A&S I suspect December 25 is higher in many (although not all, thankfully) people’s priorities than cars.

BHM

I think there is a crash coming but I’m happy to be wrong. Certainly, the lumpy stuff has dropped a lot over the last month or two in terms of demand and prices.

Petrol head Of course there is. There’s a hard economic winter coming for sure. I’m praying they get a Brexit deal done. A no-deal Brexit with tariffs and a falling pound on top of Covid will just about totally ruin this country. No need for car dealers if half the population are out of work and can barely afford a pair of shoes!

Halfpenny

Why have I been left stuck with this car?

We have an E350 Coupe sport that doesn’t want to seem to shift! It isn’t one of our usual cars but seemed reasonable. We’ve had it for about two months. It seems reasonably priced, is in excellent condition, well looked after, FSH, etc. We just aren’t getting interest. I wonder if there is anything in the advert that may be going against us, or could it simply be engine size, tax, costs, etc?

LSP Vehicles It’s rather mileagey and a pre-facelift, which in my opinion is slightly dated. Centre caps look badly corroded and number plates look tired. £10 on eBay for a new set of centre caps, £15 for a new set of reg plates, then photograph again on a sunny day.

MarkTVS They’re always hard to sell unless they’ve something desirable like a pan roof and big wheels.

James01 I can’t stress enough that video sells cars and is the best selling tool. That car will look miles better with a video. Probably 75 per cent of the other cars you are up against won’t have a video, so you will automatically be better and you can show the various bits and pieces working.

Rory RSC

easier to get involved! Sign up to our forum at CarDealerMagazine.co.uk/forum

Search for Car Sales Memes on Facebook, Twitter or Instagram and give them a follow!

Car Dealer reserves the right to edit comments CarDealerMag.co.uk | 45

DASHBOARD

SUPPLIER NEWS

A ROUND-UP OF WHAT’S BEEN HAPPENING ACROSS THE COUNTRY RAC DEALER NETWORK

Priciest warranty claims revealed

THREE individual warranty claims on used cars sold by the RAC Dealer Network topped £6,000 each this year, new figures show.

A list of the priciest repairs paid

by Assurant, which partners with the RAC in the warranty sector, shows a claim for a first servo at £6,687, an oil pump at £6,504 and gear bearings at £6,270. A spokeswoman said many of the issues would have been undetectable during a major test drive or detailed inspection.

IVENDI

Digital activity soars as new lockdown starts CAR dealer digital activity rose by a third during the first 10 days of England’s second lockdown, says connected motor retail company iVendi.

The number of proposed digital deals sent to customers via its Transact product grew by 33 per cent versus the 10 days leading up to the first day of the lockdown. The number of customers opening the deals rose significantly too – up by 24 per cent. Chief executive James Tew said: ‘The more deals that dealers send, the more that customers open, it appears.’

CODEWEAVERS

Back to the UK from California for head role

CODEWEAVERS​has made Andrew Gill its head of lender products.

Gill, who has 12 years’ experience of the automotive sector in the UK and abroad, said: ‘Codeweavers has an exciting role to play in supporting the growing demand for e-commerce solutions and I’m delighted to be a part of that journey.’​ Most recently, he was in California as director of product management at digital platform provider AutoGravity Corporation.

46 | CarDealerMag.co.uk

COX AUTOMOTIVE

While I appreciate most of us will want to forget this year completely, I believe it’s time for reflection and awareness of what we’ve achieved.

Ben Garside p55

MOTORWAY PRO

Used car sales dip of 19.2 per cent forecast

Reserve prices on show gives boost to dealers

THE used car market is on course to reach nearly 6.5m transactions, new data forecasts.

In a mid-month review, Cox Automotive predicts 6.41m used car transactions will take place in 2020.

If true, it’ll mean the year could end 19.2 per cent down on 2019.

Insight and strategy director Philip Nothard said a supply dip plus the second round of restrictions had played their part, but added that a drop was normal at this time of year.

RESERVE prices are now being revealed by Motorway.co.uk on all vehicles that are on Motorway Pro. The marketplace for privately owned used cars says that’ll help make bidding in its daily auctions faster and more transparent.

The new feature was launched after a survey by Motorway across its 1,000-plus dealer network found many preferred to see the reserve rather than guide price to help them bid with greater confidence.

THE GIFTS TO BUY A PETROLHEAD Got a car enthusiast in your life but don’t know what to get them? We pick out some of this year’s best presents.

Lego Technic Ducati Panigale V4 R

£55 Argos

WE can’t forget about the two-wheeled contingent now, can we? And what better way to get up close and personal with one of the biggest names in the business – Ducati – than by building one of the firm’s Panigale V4 R superbikes in brick form?

Lego’s Technic range now includes this kit made up of 646 pieces that will measure 12 inches long when fully built.

It’ll be a hit on Christmas Day, that’s for sure!

McLaren Senna ‘Ride-on’

£375 McLaren

McLaren has turned its legendary attention to detail to a smaller-scale car with a ride-on version of its famous Senna. But this is far from just a plastic shell with wheels on, thanks to a full battery-powered powertrain, realistic engine noises and working brake lights. Aimed at those aged between three and six, the ride-on Senna even has dihedral doors just like the real thing, while an on-board speaker can be used to play music via a USB port.

Tile Mate

Morgan x Piston Gin

Amazon Echo Auto

Porsche 911 Speaker

Amazon

Morgan-motor.com

Halfords

Porsche

£19.99 KNOW someone who is forever losing their car keys?

The Tile Mate Bluetooth keyring must be a sure-fire winner then.

It’s a slim device that attaches to your keys then connects to your smartphone via an app.

If you lose your keys, you can use the app to get the tile to sound a ‘beep’, revealing where they are and saving you hours of searching.

£45

IT’S well known that Malvernbased sports car maker Morgan has used ash in the creation of its vehicles for decades. Nowadays, the wood is used to make the framework on which the vehicle’s body is placed, giving it that eyecatching design.

To celebrate this, Piston Distillery has created an ash wood-flavoured gin. The bottle design also includes a stainless-steel top, giving it a really old-school appearance.

£49.99

AMAZON’S Alexa has proved a hit with many, giving users a quick and easy way to control devices at home as well as get answers to all manner of questions. Now, with Echo Auto, you can bring that ability into the car.

Once it’s connected via an aux cord or your car’s Bluetooth, you can use it to make hands-free calls or even find out the price of fuel at stations nearby – all through voice control alone.

£400

THE 911 Speaker brings a small part of Porsche’s famous sports car into the house.

Manufactured from an original 911 GT3 tailpipe, this speaker packs a 24-hour battery to ensure that you’re able to keep the tunes going for a long time.

It also has quick Bluetooth connectivity so pairing your device to the speaker is as simple as can be. OK, so it’s a little pricey, but hey, it’s cheaper than an entire 911!

CarDealerMag.co.uk | 47

DASHBOARD

BUSINESS NEWS

A ROUND-UP OF WHAT’S BEEN HAPPENING AROUND THE UK ECONOMY

Growth stutters as Covid restrictions bite

THE UK economy’s growth slowed strongly in October as Covid-19 restrictions began to bite, latest official figures show.

The Office for National Statistics said gross domestic product rose 0.4 per cent month on month in October, marking the sixth month in a row of recovering output from April’s recession. But it slowed significantly from 1.1 per cent in September.

NEW SCHEME

£2.9bn Restart programme will help jobless A £2.9BN scheme to help nearly a million people who have been unemployed for more than a year find work is being launched by the Treasury.

Chancellor Rishi Sunak made the announcement about the Restart programme as he delivered his Spending Review to the House of Commons on November 25. It will run for three years.

Sunak also announced that the National Living Wage would go up by 2.2 per cent to £8.91 an hour as of April 2021. In addition, it will be extended to 23-year-olds and over.

JOB LOSSES

Redundancies hit new high of 370,000

DEBTS

Biggest fall yet for consumer credit borrowing CONSUMER credit borrowing fell by its steepest annual rate in October since figures began, according to latest data from the Bank of England.

Non-mortgage borrowing – including credit cards and personal loans – dropped by 5.6 per cent to its lowest since the Bank’s data started in 1994. Households have repaid £15.6bn of consumer credit since March. Samuel Tombs, chief UK economist at Pantheon Macroeconomics, said: ‘Households appear to be using the excess savings they have accumulated this year to pay off debt.’

48 | CarDealerMag.co.uk

RECORD numbers of redundancies took place between August and October, new official figures show.

The Office for National Statistics revealed on December 15 that redundancies reached a record high of 370,000 in the three-month runup to England’s second lockdown.

Unemployment rose from 4.8 to 4.9 per cent in October – still lower than the predicted 5.1 per cent.

INTEREST

Savings rates fall to their lowest level on record

TYPICAL savings rates have slumped to record lows across the board, according to analysis of the market.

Interest rates have dipped to their lowest level ever across the savings spectrum, research by Moneyfacts.co.uk, whose electronic records go back to 2007, found.

The average easy access rate fell to 0.19 per cent in December, which is less than a third of the rate of 0.60 per cent paid a year ago, it said.

Just acall e n o h p away!

TALK TO US TODAY. frfl.co.uk/car

RULING

Mastercard legal action is approved

0115 946 6260 enquiries@frfl.co.uk

THE UK’s Supreme Court has paved the way for a £14 billion damages claim to go ahead against Mastercard on behalf of millions of UK consumers.

Ex-financial ombudsman Walter Merricks is trying to bring an action against the card giant on behalf of some 46.2 million people. He says Mastercard’s breaches of competition law, found by the EC in 2007, have led to consumers paying higher prices on purchases from businesses that accepted the card.

Just acall phoneaway!

TALK TO US TODAY. frfl.co.uk/car 0115 946 6260 enquiries@frfl.co.uk CarDealerMag.co.uk | 49

DASHBOARD

INDUSTRY VIEWS NEWS AND THOUGHTS FROM SOME OF OUR CAR DEALER LIVE GUESTS CAPGEMINI INVENT

Move to agency sales model is inevitable

ARRY Balachandran, Capgemini Invent’s senior director for UK automotive and life sciences, spoke about the likely shift to agency sales.

‘It’s inevitable. A move towards an agency model or a spectrum of different models is going to happen.

‘I think the move to online is already happening, and if you look at what customers do when they’re purchasing vehicles, the amount of work they do online is increasing over what they do physically.’

AUTO TRADER

SWANSWAY GARAGES

The UK’s used car market is far from broken

SWANSWAY Garages director Peter Smyth gave his forthright opinion on new entrants to the automotive market including Cazoo and Cinch in an exclusive interview.

Not holding back, he said: ‘Mr Chesterman has done his best to agitate the trade.

‘He described the used car trade in Britain as broken. Well, I’ve seen used car operations all over the world, and in the UK it’s far from broken. I believe it’s the most sophisticated used car market in the world. He also called us “sharp-elbowed salespeople”. I resent that statement. We live by our morals of caring, being honest and proud, and we live those values every day.’

PILGRIM MOTORSPORTS

We’re not looking to sell straight to public

Popularity of kit car business has declined

AUTO Trader chief executive Nathan Coe said the advertising giant wouldn’t be selling cars directly to consumers any time soon.

‘I think we’re very clear that what we think we can do over the next few years is form a partnership to really transform automotive retail and digitise automotive retailing together.’ Coe said it was ‘foolish to ever rule out’ selling cars to consumers but added: ‘I can’t see it ever being our strategy.’

BOSS of Pilgrim Motorsports Paul Bennet talked about how the market had changed for its unique business in recent years.

He said: ‘The kit car business had gone from its heady days of selling five to 10 kits a week to decreasing in popularity. I’ve always had a passion for Mustangs, and my business partner and I decided to go to America, buy a load of Mustangs, Thunderbirds and Galaxies, and bring them back here.’

50 | CarDealerMag.co.uk

CAP HPI

In the next two years we will see major changes across the world, Europe and the UK.

Sebastian Tschodrich Capgemini Invent

Used car market is having a realignment

SPEAKING exclusively to Car Dealer, Derren Martin from Cap HPI said he believed the used car market was experiencing a ‘realignment’.

‘We’ve been moving values throughout November and we’ve seen trade values dropping – we saw this in October, too,’ he said.

‘It’s not just down to lockdown but due to the market having a bit of realignment.

‘It’s quite a positive picture despite a negative movement.’

The latest from our fleet.

Long-termers: p67

Watch our Car Dealer Live broadcasts as they go out or catch up on any that you’ve missed at: cardealermagazine.co.uk/live CAMBRIA

CODEWEAVERS

We all have to be ready More work needs to be in case of Lockdown 3 done on retail models

CAMBRIA CEO Mark Lavery spoke about how his business had fared through the lockdowns so far.

He said: ‘We’re typically very conservative at Cambria and we’re working on the basis there could be a Lockdown 3. We hope there isn’t and we hope we can get to the vaccine, but we have to be prepared for the worst. Don’t take it out of context, but hope wasn’t a good strategy last time I looked, so we have to be prepared and ready.’

CODEWEAVERS commercial director Shaun Harris said: ‘People should get the same experience whether they’re doing the whole sales process online, all in store, or part online and part in store. The process should be seamless, have the same level of experience and engagement, and the same outcome.’

He added there was ‘more work to be done’ on dealers’ retail models and moving towards pricing models that worked in both scenarios.

BLACKSHAWS

I’ve seen used car operations all over the world, and in the UK it’s far from broken.

I believe it’s the most sophisticated used car market in the world.

Peter Smyth Swansway Garages

Reviews can make all the difference

BLACKSHAWS MD Will Blackshaw talked about buying online, saying: ‘We’ve had to learn very quickly but it’s simple.

‘You’ve got to ask yourself: “How do I interact when buying online?”

‘Reviews are very important now, so when we redeveloped our website five years ago we pushed on our strengths, which are our reviews.

‘We dissect these down to make and model and the customer experience in dealing with us.’

CAPGEMINI INVENT

Big changes lie ahead in the next few years

COX AUTOMOTIVE

Government needs to provide more support COX Automotive president Martin Forbes believes the government will need to step in and provide further support to the car industry.

He says a cut in VAT or a scrappage scheme should be considered to incentivise sales as car dealers face a difficult W-shaped recession and further lockdowns.

‘My plea to the government would be to sit down with the various governing bodies of the automotive industry. Look at the contribution we bring to the UK economy itself. We know £22.5bn in revenue has been lost this year through Covid. We need to be wary that we will start to see a slowdown in activity from retail and a slowdown of activity in relation to wholesale.’

CAPGEMINI Invent vice-president for automotive Sebastian Tschodrich reckons big changes are ahead.

He said: ‘In the next two years we will see major changes across the world, Europe and the UK. ‘The sales models will operate in parallel, but within the next five to six years, with the arrival of electric and hybrid cars standing for the majority of all cars sold, we must believe that agency sales will take off and be established in the market.’

CarDealerMag.co.uk | 51

FULL CONTI! FEATURE

THE

After taking on one of the world’s toughest courses, a short drive through rural England should be a breeze, right? Jack Evans has a blast with a record-breaker.

52 | CarDealerMag.co.uk

T

he Pikes Peak International Hill Climb is one of the most gruelling events of its type. Known as ‘The Race To The Clouds’, the event sees cars of all sizes and shapes undertake a 12.42-mile sprint through 156 corners and 4,720 feet of climbing to the mountain summit in Colorado.

For many years, much of the route remained famously unpaved, although recent measures have ensured that, as of 2011, each mile is covered in asphalt. But by no means is it a softened version of what it once was, with the route’s blind crests, undulating surfaces and steep drops proving an immense challenge for driver and vehicle.

And while racing cars often take the challenge of trying to beat the overall quickest time to the top, Bentley turned its attention to the Time Attack 2 production record, which sees production cars with minimal modifications take on Pikes Peak.

As all cars entering for this segment require a proper VIN number – as well as a production run of at least 500 – Bentley worked on its Continental GT to produce the car that you see here.

Although fundamentally the same as a ‘regular’ GT, this car has had several modifications to enable it to fully exploit the mountain. The interior, for instance, is fully stripped out, with huge racing bucket seats fitted in place of the usually plush chairs you’d find in the Continental. There’s also a huge new exhaust system that gives the car a genuinely raucous sound.

And by some stroke of luck, we found ourselves behind the wheel of the record-breaking car. However, it wasn’t on the Rocky Mountainous ranges of Colorado, but rather the British countryside.

So what does a car such as this feel like pootling around sleepy villages? A little bit ostentatious, at first. When it comes to standing out from the crowd, this Conti stands well above the rest, with its racing livery and bellowing exhaust turning heads wherever it goes.

But remarkably, it’s just how easy it is to drive that shines through. Yes, there’s no air conditioning and yes, the brakes take a bit of getting used to, but largely it’s just as well

When it comes to standing out from the crowd, this Conti stands well above the rest.

Even a light roll on to the throttle brings incredible acceleration accompanied by one of the very best soundtracks you’re likely to hear from a car.

mannered on the road as the regular GT. Even the ride is quite comfortable. It’s more the noise in the cabin that showcases this as something different.

The lack of any sound deadening – as well as the racing exhaust – means it’s one noisy cabin to sit in, and although in the cooler temperatures of autumn the lack of air conditioning doesn’t feel like much of a problem, we could imagine that at the height of summer it might become a little less comfortable.

There’s performance in buckets, mind you, and even a light roll on to the throttle brings incredible acceleration accompanied by one of the very best soundtracks you’re likely to hear from a car.

The W12 engine under the bonnet, now free to be as vocal as possible, practically cackles at being given the opportunity to bellow at the top of its lungs. It’s a genuinely visceral experience and one that can be had even travelling at slower speeds.

Given its extremely rare nature, it’s understandable that we’re not let loose in the Continental for too long, and before we know it we’re returning to base with our ears ringing. As a little slice of motorsport history, the Continental GT is an astounding accomplishment and one that has just as much presence on the UK’s country roads as it does thundering up Pikes Peak.

Click here to watch the Bentley Continental GT Pikes Peak record run CarDealerMag.co.uk | 53

DASHBOARD

FINANCE NEWS GUIDANCE

FCA confirms enhanced help for struggling customers

by John Bowman john@blackballmedia.co.uk

E

nhanced support for people having problems paying their motor finance because of Covid-19 has been made official by the FCA. The conduct regulator has confirmed that the updated guidance to firms, which it set out at the beginning of November, should be available to consumer credit customers affected financially.

It came into effect on November 25 but the FCA said firms that were able to start giving the enhanced support sooner should do so.

As well as motor finance, the guidance covers people with personal loans, credit cards, store cards, catalogue credit, rent to own, buy now pay later, pawnbroking, plus high-cost short-term credit. The FCA also emphasised that people should keep up payments on their loans or credit products if they could afford it, and should only ask for a deferral if it was really necessary. The guidance says: •Those who haven’t yet had a deferral can apply for them for up to six months •Those who currently have a deferral can apply for another one if the total length doesn’t exceed six months •Those who previously had a deferral of less than six months can also apply for another deferral so long as they don’t exceed six months •Firms can assess that a deferral isn’t in a customer’s interest – if that happens, tailored support appropriate to the customer’s circumstances should be provided instead •People who’ve had six months of deferrals or are in arrears or receiving tailored support won’t be eligible for another deferral but firms will provide appropriate tailored support, which could include an option to defer further payments •High-cost short-term credit consumers, such as those with payday loans, will be eligible for a payment deferral of one month.

People have until March 31, 2021 to apply for a first or further deferral. After then, they’ll be able to extend existing deferrals to July 31, 2021 subject to certain conditions.

54 | CarDealerMag.co.uk

CONSUMERS

Credit borrowing sees biggest fall since data began CONSUMER credit borrowing fell in October at the sharpest annual rate since figures started in 1994, according to latest data from the Bank of England.

Non-mortgage borrowing – including credit cards, overdrafts and personal loans – fell by 5.6 per cent annually in October, marking a new low since the Bank’s data started in 1994.

Since the start of March, households have repaid a total of £15.6bn of consumer credit.

The Bank said that nonmortgage lending to consumers remained weak in October, with households making net repayments of £590m.

The weakness was driven by a net repayment on credit cards, the Bank said.

Some £449m was repaid on credit cards in October.

Samuel Tombs, chief UK economist at Pantheon Macroeconomics, said: ‘Households appear to be using the excess savings that they have accumulated this year to pay off debt, when loans come to be refinanced.’

He added that banks had also been restricting access to consumer credit.

IN ASSOCIATION WITH

TIME IS MONEY BEN GARSIDE

A MONTHLY LOOK AT THE WORLD OF AUTOMOTIVE FINANCE AND MARKETING

Remember the positives in a year most want to forget

H

Ben Garside is marketing manager for First Response.

Call him on 07817 518739 or email ben.garside@frfl.co.uk

Just acall phoneaway!

ere we are again: the end of one year and the start of another. While I appreciate most of us will want to forget this year completely, I believe it’s time for reflection and awareness of what we’ve achieved throughout this year and what we can achieve together in 2021!

We have received such positive feedback from our dealer partners, thanking us for the continued support we provided them with throughout this pandemic – in their words, we ‘didn’t go missing for months’. This led to us reclaiming the Car Dealer Sub-Prime Provider of the Year Award for the sixth time after a year’s hiatus – an achievement we are thoroughly proud of.

We were fortunate enough that as a business we were able to pivot, uniting as a company with an objective of assisting other departments, handling increased customer demand and also being able to utilise the downtime to work on projects, including production of help and guidance for you all. Thankfully, this meant that as a business we didn’t have to furlough any employees.

Unfortunately, for most businesses this hasn’t been a possibility, and many of us have either had to go through furlough or redundancies, or we have witnessed this up close and personal with a friend or family member.

Alongside the above external factors, we had an awareness that the pandemic was challenging for many. This led us to focus internally on our mental and physical wellbeing.

Our leadership teams had previously taken specific mental health training and, as such, have been advocating that employees make time to get outside and exercise or take time out and do things such as yoga, etc. It’s been great to see many employees get involved across the business and we hope to see it continue into 2021. Get in touch if you want to know more, as it is important to look after yourself and your employees as best you can.

Although business levels slowed at the start of the pandemic, we never stopped. We continued supporting keyworkers and then focused on our core customer base, returning to normality as quickly as possible. This was well received, and customer feedback based on this and our handling of forbearance led to increased positive reviews.

We have continued to provide ongoing fundraising and financial support for our chosen charity SANE, whose vision is ‘to raise public awareness, excite research, and bring more effective professional treatment and compassionate care to everyone affected by mental illness’. We were determined for this support to continue, especially during the pandemic.

2020 has not been easy but let us focus on the positives.

To all our dealer partners, we want to say thank you for your continued business relationships throughout this year and we wish you a happy and prosperous 2021.

It is important to look after yourself and your employees as best you can.

TALK TO US TODAY. frfl.co.uk/car 0115 946 6260 enquiries@frfl.co.uk CarDealerMag.co.uk | 55

56 | CarDealerMag.co.uk

ADVICE

GETTING AHEAD

Here are the top five tips for selling EVs

T

he government has announced that sales of new petrol and diesel cars will come to an end as of 2030.

Already this year the electric vehicle market share has increased to five per cent from 1.4 per cent at the same point in 2019.

And more electric cars were sold in the past year than in the previous 10.

What does this mean for car dealers, though? Well, a lot more green car sales for a start – and potential problems for those who have never sold an EV before.

EV buyers are somewhat different, so to find out some top selling points for EVs, Car Dealer spoke to the electric car and charging experts at Zap-Map.

Why do people want an electric car?

Research has shown that people who want to buy a pure-electric vehicle have very different intentions to people looking for a hybrid or internal combustion engine vehicle.

Their main motivation for buying one is primarily about reducing their carbon footprint, followed by reducing running costs and access to new technology, according to Zap-Map’s research.

What do buyers want from an EV driving experience?

Buyers want engaging and low-stress driving. This is particularly applicable for first-time EV drivers.

Zap-Map notes that most buyers are immediately taken by how engaging the driving experience is, thanks to the instantly available torque.

It recommends explaining how much fun EVs are to drive, how the regenerative braking system works, the almost silent driving, and how this all makes for an extremely low-stress driving experience.

Should sales people focus on anything else?

A great selling point for EV buyers is the fact that there are zero tailpipe emissions. Explain that this has a direct impact not just on climate change but also on air quality.

According a Pod-Point report, EVs are4/4/18 also 85-90 per centPage energy-efficient compared Car dealertonew strip ad Revised 12:01 1 with petrol and diesel cars, which are 17-21 per cent efficient.

What about range anxiety fears?

With 20,000 charge point devices at 12,700 locations, the UK charging infrastructure has grown significantly over the past few years.

Show potential buyers how to find chargers using apps such as Zap-Map, which has the benefit of user data about those not in use, or in their vehicle’s own sat nav. It’s a great reassurance to inform customers about where locally they can charge their vehicle.

Excellent variety of weekly stock from premium sources

The Fleet Auction Group

Fixed cost buyers premium User friendly website & stock locator. On-line bidding

Professional Vehicle Auctions for Professional Vendors & Buyers

www.fleetauctiongroup.com

Should sales staff highlight the running costs?

Yes. Those zero emissions also mean low running costs.

Currently, that means vehicle excise duty is zero and so is benefit-in-kind, although it will increase to one per cent in 2021. Zap-Map adds that with most charging done at home, the average EV mile costs around 3p.

Fleet Car Sales every Tuesday at 1pm & Thursday at 10am Van sales every Wednesday at 10:30am Wheelchair Accessible Vehicles fortnightly, Wednesdays at 10am Truck, Trailer & Plant fortnightly, Wednesdays at 12noon Collection of vehicles 24 hours a day, 7 days a week Purpose built 15 acre auction complex Enclosed and heated auction halls and viewing area Vehicle refurbishment facility The UK’s finest auction restaurant Central UK location (Leicestershire) NAMA Vehicle Grading

Call 01530 833535 or go online for account application CarDealerMag.co.uk | 57

Wishing a very Merry Christmas to all in the motor trade, especially our valued members.

Whatever’s coming in 2021, Cartotrade will be here for you.

• Proper cars • Proper dealers • No contracts • No price increases

• Buy & sell quickly • No buying or selling fees • Real time dealing • Only £40 per month

Run by experts with over 20 years of online trading experience 58 | CarDealerMag.co.uk

ADVICE

GOING ELECTRIC

What does the 2030 ban for petrol and diesel cars mean?

T

the government’s plan to ban petrol and diesel cars by 2030 wasn’t much of a secret, so when the confirmation came on November 18 it won’t have been a surprise to many in the motor trade.

Boris Johnson brought forward the deadline – originally planned for 2040 – saying it was vital if the UK was to meet its commitment to reach net-zero carbon emissions by 2050.

Hybrids, meanwhile, will be allowed to remain on sale until 2035. But what does it all mean for car buyers and dealers?

What will replace the banned cars?

Bringing the ban forward by 10 years will speed up the development of electric vehicles, which are the most common type of alternatively fuelled vehicle. There are already huge numbers available to buy and they’re growing every month, but this will supercharge the brands’ investment.

Will every car manufacturer survive the 2030 ban?

Probably not. The investment needed to design and make electric cars is astronomical and there will be a number of them that simply won’t have the funds. Expect more consolidation and withdrawals from the UK over the coming years, much like Mitsubishi’s.

How popular are electric cars?

SMMT figures show battery-electric vehicles (BEVs) had a 5.8 per cent share of the new car market in the first 11 months of 2020 – up from 1.5 per cent over the same period in 2019. In November, BEV registrations went up to 10,345 from 4,652 for the same month in 2019.

Will electric car buyers get a discount?

Buyers get £3,000 off at the moment, thanks to government support. It isn’t clear how long that will continue for, but the PM did say that £582m in grants will be made available for those buying zero-emission or ultra-low emission vehicles. How that translates into a discount at the point of sale, though, isn’t yet known.

How many chargers are there in the UK?

The number of charging stations in the UK has grown massively in recent years.

According to ZapMap, there are 35,308 connectors across the country at 20,217 charge points in 12,733 locations.

More than 1,200 charging devices for public use were installed in the UK between July and September, according to the Department for Transport.

In terms of how they’re spread out across the country, 26 per cent are in central London, with 13.5 per cent in the south-east and 12.3 per cent in Scotland.

This figure is only set to rise, too, as government funding looks to make fast chargers more widespread across the country. The PM has stated in his ‘Ten-Point Plan For A Green Industrial Revolution’ that an extra £1.3bn in investment will be rolled out to improve the country’s charging structure and make charging easier.

It’s certainly something that needs addressing – one of the main things that has been putting buyers off is the fact there aren’t as many chargers as needed yet, and many of the public charging points are often broken or busy when drivers get to them.

Can the grid cope with all those cars charging?

Graeme Cooper, National Grid’s project director for transport decarbonisation, said: ‘The most demand for electricity we’ve had in recent years in the UK was for 62GW in 2002.

‘Since then, due to improved energy efficiency the nation’s peak demand has fallen by roughly 16 per cent.

‘Even if the impossible happened and we all switched to EVs overnight, we think demand would only increase by around 10 per cent. So we’d still be using less power as a nation than we did in 2002 and this is well within the range of manageable load fluctuation.’

What impact will the 2030 ban have on electric cars?

The policy is likely to reduce the cost of owning and running electric vehicles as they become more widespread.

Is it cheaper to run an electric car?

The initial upfront cost for an EV is often more than an equivalent internal combustionengined car. However, as the technology progresses, this is becoming less common.

It’s charging where the cost savings really come into play, and when it comes to charging at home, that really depends on the energy tariff. But for an average EV with around 200 miles of range and a 60kWh battery, buyers will be looking at about £8.40 for a full charge.

Are there any other hurdles to overcome for car dealers?

Education is the biggest one.

Buying an electric car is more complicated than a traditionally powered vehicle.

Dealers’ jobs will be even more intense, as customers will be looking to have their hands held throughout the process.

CarDealerMag.co.uk | 59

EXTRA COVER RISK AVOIDANCE

Protecting your business against theft in transit Daniel Little details good habits to get into that could save reputations and money when delivering vehicles to dealerships.

T

ransporting vehicles to dealerships can lead to opportunistic vehicle theft if security processes fail. In this article, we explore the issue and look at ways that drivers can reduce risk.

We have seen a general upsurge of vehicle thefts in the UK in recent years, and many of the methods used by car thieves today are high tech as digitally savvy criminals try to outsmart modern car security systems. However, the old-fashioned, opportunistic method of stealing unattended vehicles is still very much alive.

Over the past six months or so, we have been made aware of a spate of vehicle thefts that have happened during the transportation process, or in the minutes directly after a vehicle has been delivered to a dealership. These have included vehicles with trade plates en route to delivery, and theft of a vehicle from a parked car transporter. We have also heard of opportunist thieves waiting outside car dealerships for their moment to jump into an unattended vehicle and drive it away.

Low chance of vehicle recovery Fewer than half of all cars stolen over the past 10 years in the UK were recovered by police .

When you think about the theft of new cars in transportation, it is perhaps even less likely that the vehicle will be found. Even if a stolen car is traced by the police, it doesn’t always result in a favourable outcome. One of our customers recently had to make a claim due to a high-end vehicle being stolen from a dealership forecourt that went on to be written off in a high-speed chase by the police. Therefore, we can conclude that the most likely outcome of a vehicle theft will unfortunately be an insurance claim.

This article does not purport to be comprehensive or to give legal advice. While every effort has been made to ensure accuracy, Arthur J. Gallagher Insurance Brokers Limited cannot be held liable for any errors, omissions or inaccuracies contained within the document. Readers should not act upon (or refrain from acting upon) information in this document without first taking further specialist or professional advice. Arthur J. Gallagher Insurance Brokers Limited is authorised and regulated by the Financial Conduct Authority. Registered Office: Spectrum Building, 7th Floor, 55 Blythswood Street, Glasgow, G2 7AT. Registered in Scotland. Company Number: SC108909. FP1317-2020

60 | CarDealerMag.co.uk

For more information and risk support, please contact The Gallagher Automotive Insurance Team.

T: 0800 612 2284 E: automotive_enquiries@ajg.com W: www.ajg.com/uk/automotive/

...in association with Gallagher A question of process Vehicle thefts during or directly after transportation tend to happen due to thieves taking advantage of flaws in the delivery process. Drivers are not always keeping the vehicles secure, and it only takes a momentary lapse of concentration from a driver to give a criminal their window of opportunity. Leaving the vehicle unsecured while paying for petrol or stopping quickly to pop into a shop can lead to theft in the blink of an eye.

l Double-check the vehicle is locked: Don’t rely solely on the car’s key fob – check the

Founded by Arthur J. Gallagher in Chicago in 1927, Gallagher has grown to become one of the leading insurance brokerage, risk management, and human capital consultancy firms in the world.

With a truly global reach, our organisation employs over 33,000 people and our international network provides services in more than 150 countries. Our values are core to our culture. Passionate Service, Strategic Innovation, and Ethical Behaviour form the basis of how we do business.

l Clip the key fob to a lanyard: One way to ensure the key fob is always with you when

Arthur J. Gallagher Insurance Brokers Limited is authorised and regulated by the Financial Conduct Authority.

Registered Office: Spectrum Building, 7th Floor, 55 Blythswood Street, Glasgow, G2 7AT. Registered in Scotland.

Company Number: SC108909. FP9532020

A rise in claims has a direct impact on the cost of premiums, so it pays to ensure a smart and secure delivery process.

The theft of new vehicles in transportation isn’t just a problem for dealerships and car manufacturers, it can also have an impact on the transportation company involved in a number of ways.

The most obvious issue is a financial one – the knock-on effect of a rise in insurance premiums after making a claim. But it’s also worth remembering that the reputation of the company can be adversely affected, which may have a negative impact on business, and it can also harm the reputation of the driver who allowed a theft to happen on their watch.

Given the recent spike of thefts of vehicles in transit, delivery drivers need to be more security conscious. Here are some good habits to get into:

About Gallagher

vehicle is locked before you walk away. Some thieves use remote control ‘jammers’ to intercept and block the radio frequency for the ‘lock’ command from the fob to the car, leaving the vehicle unlocked. Therefore it’s important to lock the vehicle as soon as you’ve stepped out and closed the doors, then double-check the vehicle is secured.

You should also ensure that all windows are closed before leaving the vehicle.

not in the ignition is to clip it to a lanyard around your neck. Get into the habit of doing this so that feeling the physical presence of the keys when you walk away from the vehicle becomes second nature. l Think of the vehicle as your own: A simple concept maybe, but each time you have to

leave a vehicle unattended, even for a moment, consider if you would do this if the vehicle was yours, or if it contained something or someone extremely valuable to you.

It’s a small change of mindset that could prevent an opportunistic theft from under your nose.

Vehicle theft during transportation is largely avoidable if drivers remain vigilant and follow stringent processes from pick-up to delivery.

As always, we are happy to discuss your insurance requirements with you and remain committed to providing you with adequate cover for your business.

Daniel Little is an account executive of the automotive practice at commercial insurance broker and risk management specialist Gallagher.

CarDealerMag.co.uk | 61

DATA FILE

STATISTICS

THE LATEST REGISTRATION FIGURES

SMMT

SALES DATA

NOVEMBER/YEAR TO DATE

TOP

NOVEMBER 2020

Trade falls to a low not seen since the recession of 2008

THE CARS SOLD IN NOVEMBER 2020

by John Bowman john@blackballmedia.co.uk

N

ew car sales dropped by nearly a third in November as the lockdown in England made its impact felt, according to the SMMT. Registrations were down by 27.4 per cent to 113,781 year-on-year. The trade body said that had taken trade back to levels last seen during the 2008 recession.

The decline wasn’t as severe as during the first lockdown – which was UK-wide – when sales sank by a record 97.3 per cent in April, while May saw them fall by 89 per cent. The SMMT said that this time retailers and manufacturers were better prepared to fulfil orders via delivery or click-and-collect.

Nevertheless, private demand still fell by 32.2 per cent, while registrations by large fleets were down by 22.1 per cent.

The market share for battery-electric vehicles and plug-in hybrids continued to grow significantly – up 122.4 per cent and 76.9 per cent respectively.

BEVs enjoyed their third-highest monthly share of registrations at 9.1 per cent, while PHEV share increased to 6.8 per cent – a combined total of more than 18,000 new zeroemission-capable cars on the roads.

SMMT chief executive Mike Hawes said: ‘Compared with the spring lockdown, manufacturers, dealers and consumers were all better prepared to adjust to constrained trading conditions.

‘But with £1.3bn-worth of new car revenue lost in November alone, the importance of showroom trading to the UK economy is evident and we must ensure they remain open in any future Covid restrictions. More positively, with a vaccine now approved, the business and consumer confidence on which this sector depends can only improve, giving the industry more optimism for the turn of the year.’

All told, the pandemic-related closures have cost the sector 663,761 units to date this year, said the SMMT. It added that meant some 31,000 cars would have to be registered every working day in December to achieve the level expected at the start of 2020.

Model

Regs

Vauxhall Corsa

3,718

Volkswagen Golf

3,625

Mercedes-Benz A-Class

3,243

Nissan Qashqai

3,073

Ford Focus

2,922

Mini

2,860

Ford Puma

2,552

Ford Fiesta

2,526

Volvo XC40

2,526

Audi A3

2,493

WINNERS AND LOSERS

Smart and Porsche were the only manufacturers to enjoy rises in sales FORD was the top-selling manufacturer for November, shifting 10,569 vehicles during the month and giving it a 9.3 per cent market share, said the SMMT. Unsurprisingly, that was down on 2019’s figure – a whopping 35 per cent decrease on the 16,238 that the Blue Oval sold in November 2019.

Hot on its heels was Volkswagen at 10,096 units 62 | CarDealerMag.co.uk

– down 34 per cent on November 2019’s 15,311 but still seizing an 8.9 per cent slice of the market.

Discounting Chevrolet and Infiniti – which both had zero sales according to the SMMT – Alpine suffered the most, selling just nine vehicles, which was down 30.8 per cent on November 2019’s 13 units.

Next among the worst-performing

manufacturers was Maserati – down 10.2 per cent from 49 to 44.

Smart, meanwhile, enjoyed a 141.5 per cent rise from 41 to 99 vehicles sold.

It was joined by Porsche as the only other manufacturer registering a positive result – up 16.7 per cent from 1,899 in November 2019 to 2,216 in November 2019.

Van registrations LCV news: p64

-66%

+17%

DS

PORSCHE

Figures supplied by SMMT

Marque

November 2020

November 2019

2020

2019

% market share

% market share

Year-to-date % change

2020

% market share

2019

% market share

% change

Abarth

109

0.10

155

0.10

-29.68

2,187

0.15

3,283

0.15

-33.38

Alfa Romeo

147

0.13

196

0.13

-25.00

1,822

0.12

3,211

0.15

-43.26

Alpine Audi Bentley BMW Chevrolet

9

0.01

13

0.01

-30.77

98

0.01

162

0.01

-39.51

8,519

7.49

9,392

6.00

-9.30

100,407

6.70

130,223

6.02

-22.90

69

0.06

74

0.05

-6.76

1,193

0.08

1,409

0.07

-15.33

9,733

8.55

11,642

7.43

-16.40

105,171

7.02

155,636

7.20

-32.43

0

0.00

0

0.00

0.00

0

0.00

62

0.00

0.00

1,905

1.67

2,874

1.84

-33.72

26,342

1.76

47,905

2.22

-45.01

Cupra

55

0.05

0

0.00

0.00

55

0.00

0

0.00

0.00

Dacia

869

0.76

1,963

1.25

-55.73

18,555

1.24

28,594

1.32

-35.11

Citroen

DS

173

0.15

512

0.33

-66.21

2,136

0.14

3,623

0.17

-41.04

Fiat

990

0.87

1,605

1.02

-38.32

18,351

1.22

28,057

1.30

-34.59

Ford

10,569

9.29

16,238

10.37

-34.91

141,298

9.43

221,107

10.23

-36.10

Honda

1,341

1.18

2,712

1.73

-50.55

25,906

1.73

41,117

1.90

-36.99

Hyundai

2,243

1.97

5,276

3.37

-57.49

44,141

2.95

79,483

3.68

-44.46

Infiniti

0

0.00

0

0.00

0.00

0

0.00

292

0.01

0.00

Jaguar

1,964

1.73

2,434

1.55

-19.31

22,127

1.48

34,214

1.58

-35.33

299

0.26

531

0.34

-43.69

4,105

0.27

5,820

0.27

-29.47

Kia

3,703

3.25

5,998

3.83

-38.26

66,948

4.47

92,343

4.27

-27.50

Land Rover

4,362

3.83

5,765

3.68

-24.34

53,957

3.60

72,230

3.34

-25.30

681

0.60

1,044

0.67

-34.77

12,978

0.87

14,968

0.69

-13.30

44

0.04

49

0.03

-10.20

526

0.04

881

0.04

-40.30

Mazda

1,123

0.99

2,505

1.60

-55.17

21,467

1.43

37,821

1.75

-43.24

Mercedes-Benz

7,822

6.87

10,397

6.64

-24.77

103,403

6.90

162,200

7.50

-36.25

Jeep

Lexus Maserati

MG Mini Mitsubishi

866

0.76

1,186

0.76

-26.98

16,994

1.13

11,373

0.53

49.42

3,972

3.49

4,651

2.97

-14.60

42,008

2.80

58,761

2.72

-28.51

556

0.49

1,109

0.71

-49.86

8,545

0.57

15,406

0.71

-44.53

Nissan

5,598

4.92

5,839

3.73

-4.13

64,808

4.33

87,063

4.03

-25.56

Peugeot

4,614

4.06

5,504

3.51

-16.17

51,800

3.46

75,132

3.47

-31.05

Polestar

149

0.13

0

0.00

0.00

608

0.04

0

0.00

0.00

Porsche

2,216

1.95

1,899

1.21

16.69

12,104

0.81

13,517

0.63

-10.45

Renault

2,722

2.39

3,503

2.24

-22.30

40,941

2.73

54,431

2.52

-24.78

Seat

2,701

2.37

5,466

3.49

-50.59

41,243

2.75

65,105

3.01

-36.65

Skoda

4,391

3.86

5,651

3.61

-22.30

53,812

3.59

69,254

3.20

-22.30

Smart

99

0.09

41

0.03

141.46

1,288

0.09

3,984

0.18

-67.67

SsangYong

48

0.04

120

0.08

-60.00

1,423

0.09

1,858

0.09

-23.41

Subaru

52

0.05

157

0.10

-66.88

823

0.05

2,289

0.11

-64.05

Suzuki

804

0.71

1,348

0.86

-40.36

18,559

1.24

32,298

1.49

-42.54

Toyota

5,071

4.46

6,244

3.99

-18.79

86,082

5.74

100,466

4.65

-14.32

Vauxhall

7,832

6.88

10,382

6.63

-24.56

88,161

5.88

153,618

7.10

-42.61

10,096

8.87

15,311

9.78

-34.06

132,703

8.86

186,084

8.61

-28.69

4,018

3.53

4,198

2.68

-4.29

41,867

2.79

52,267

2.42

-19.90

Other British

139

0.12

232

0.15

-40.09

1,754

0.12

2,834

0.13

-38.11

Other imports

1,108

0.97

2,405

1.54

-53.93

19,686

1.31

11,762

0.54

67.37

-27.35

1,498,382

Volkswagen Volvo

Total

113,781

156,621

2,162,143

-30.71

CarDealerMag.co.uk | 63

DATA FILE

MORE GROWTH

LCV NEWS

Scaling up of online deliveries boosts demand

by John Bowman john@blackballmedia.co.uk THE LCV market enjoyed its third consecutive month of growth in November with registrations rising by 8.8 per cent to 28,541 vehicles on 2019’s figure.

The SMMT said that despite prolonged uncertainty, the sector responded to increasing demand as businesses scaled up their online delivery operations.

Demand for battery-electric and plug-in hybrid LCVs continued to grow – up 79.7 per cent versus November last year and doubling their market share to 1.9 per cent of all LCV registrations in the year to date. But although rising e-commerce had helped demand grow, the SMMT said year-to-date performance was still behind last year – down 21.5 per cent or almost 73,000 units less than for the first 11 months of 2019.

REGISTRATIONS OF NEW COMMERCIAL VEHICLES LESS THAN 3.5 TONNES Marque

Figures supplied by SMMT

November 2020

2019

2020

Year-to-date

Ford

8,597

% market share 30.12

Vauxhall Mercedes

3,461 3,378

12.13 11.84

Volkswagen

2,965

10.39

3,131

11.93

-5.30

28,921

10.90

38,160

11.28

-24.21

2,473 2,414 1,442 759 712 547 489 328 252 203 173 141 103 31 30 24 18 1 0 28,541

8.66 8.46 5.05 2.66 2.49 1.92 1.71 1.15 0.88 0.71 0.61 0.49 0.36 0.11 0.11 0.08 0.06 0.00 0.00 100.00

1,915 1,135 781 428 378 1,233 836 134 292 83 314 142 80 50 16 18 0 0 5 26,238

7.30 4.33 2.98 1.63 1.44 4.70 3.19 0.51 1.11 0.32 1.20 0.54 0.30 0.19 0.06 0.07 0.00 0.00 0.02 100.00

29.14 112.69 84.64 77.34 88.36 -55.64 -41.51 144.78 -13.70 144.58 -44.90 -0.70 28.75 -38.00 87.50 33.33 0.00 0.00 0.00 8.78

23,498 20,598 10,260 7,193 5,241 8,595 7,517 2,334 2,183 1,313 2,966 1,211 904 783 209 383 75 14 0 265,374

8.85 7.76 3.87 2.71 1.97 3.24 2.83 0.88 0.82 0.49 1.12 0.46 0.34 0.30 0.08 0.14 0.03 0.01 0.00 100.00

29,922 25,906 16,394 8,131 9,805 12,010 7,869 1,479 2,512 1,286 4,261 1,427 799 636 179 554 0 0 86 338,227

8.85 7.66 4.85 2.40 2.90 3.55 2.33 0.44 0.74 0.38 1.26 0.42 0.24 0.19 0.05 0.16 0.00 0.00 0.03 100.00

-21.47 -20.49 -37.42 -11.54 -46.55 -28.43 -4.47 57.81 -13.10 2.10 -30.39 -15.14 13.14 23.11 16.76 -30.87 0.00 0.00 0.00 -21.54

Peugeot Citroen Renault Fiat Mitsubishi Nissan Toyota MAN Iveco Renault Trucks Isuzu Land Rover Isuzu Trucks LDV Fuso SsangYong Maxus LEVC Hyundai Total light CV

2020

November 2019

% change

8,277

% market share 31.55

3.87

84,518

% market share 31.85

4,002 2,988

15.25 11.39

-13.52 13.05

28,279 28,379

10.66 10.69

2019

% change

109,720

% market share 32.44

32,721 34,370

9.67 10.16

-13.58 -17.43

REGISTRATIONS OF NEW COMMERCIAL VEHICLES 3.5 TONNES TO 6.0 TONNES Marque

Peugeot Mercedes Fiat Ford Volkswagen Iveco MAN Citroen Isuzu Trucks Vauxhall Other imports Renault Trucks Renault Nissan Total heavy CV

November 2020 2020

191 171 119 82 25 17 15 14 10 7 4 4 0 0 659

64 | CarDealerMag.co.uk

% market share

28.98 25.95 18.06 12.44 3.79 2.58 2.28 2.12 1.52 1.06 0.61 0.61 0.00 0.00 100.00

November 2019

2019

198 138 115 209 21 51 4 26 5 1 0 0 0 0 768

% market share

% change

25.78 17.97 14.97 27.21 2.73 6.64 0.52 3.39 0.65 0.13 0.00 0.00 0.00 0.00 100.00

-3.54 23.91 3.48 -60.77 19.05 -66.67 275.00 -46.15 100.00 600.00 0.00 0.00 0.00 0.00 -14.19

2020

1,515 1,376 1,302 1,165 181 205 68 122 16 19 159 5 8 0 6,141

Figures supplied by SMMT

Year-to-date

% market share

24.67 22.41 21.20 18.97 2.95 3.34 1.11 1.99 0.26 0.31 2.59 0.08 0.13 0.00 100.00

-22.97

2019

2,295 1,622 1,693 987 100 461 68 239 18 124 0 5 53 2 7,667

% market share

% change

29.93 21.16 22.08 12.87 1.30 6.01 0.89 3.12 0.23 1.62 0.00 0.07 0.69 0.03 100.00

-33.99 -15.17 -23.10 18.03 81.00 -55.53 0.00 -48.95 -11.11 -84.68 0.00 0.00 -84.91 0.00 -19.90

Figures supplied by SMMT

DATA FILE

SUPPLIERS GUIDE

LOOKING FOR A MOTOR TRADE SUPPLIER? YOU CAN FIND THE DETAILS OF SELECTED COMPANIES HERE Auctions & Trade-To-Trade Sales

Finance

Lead Management

Trade Bodies

Warranty Providers

BCA

Forza Finance

iVendi

Ben

Momentum Warranties

Automotive Ecommerce

HR & People Management

Legal & Compliance

Vehicle Photography

Warranty Providers

GForces

HR Manager

Lawgistics

Dealer 360

Warranty Administration Services

W: bca.co.uk T: 0344 875 3480 E: customerservices@bca.com Info: BCA’s remarketing programmes deliver volume, choice and availability for buyers, and speed, efficiency and market-leading returns for sellers.

W: gforces.co.uk T: 01622 391904 Info: GForces delivers class-leading ecommerce solutions. We work with global vehicle manufacturers, the world’s largest dealer groups and independent retailers around the planet.

W: forzafinance.co.uk T: 01245 245678 Info: Benefit from Forza Finance’s expertise, choice of products and lenders. Their personal approach will help you achieve higher levels of finance penetration and, ultimately, sell more cars.

W: hrmanager.co.uk T: 01480 455500 E: info@hrmanager.co.uk Info: HR Manager is Lawgistics’ new digital compliance portal designed to assist employers in managing their legal obligations, responsibilities and duties.

W: ivendi.com T: 0330 229 0028 E: tellmemore@ivendi.com Info: iVendi delivers a fully connected platform that engages consumers, converts buyers and manages transactions of vehicles online and in the showroom.

W: lawgistics.co.uk T: 01480 455500 E: sales@lawgistics.co.uk Info: The legal experts for the motor trade, giving advice and support to our industry for over 15 years. Not anti-consumer, just pro-trader.

W: ben.org.uk T: 0808 131 1333 Info: Ben is a not-for-profit organisation that partners with the automotive industry to provide support for life to its people and their families.

W: dealer360.co.uk T: 01270 780855 E: nicky.spratt@ukturntables.com Info: UK makers of photo booths incorporating our turntables for car, van and motorcycle dealers. Our software controls turntable and cameras – a onestop solution.

W: momentumwarranties.co.uk T: 0330 445 0059 E: support@momentumwarranties.co.uk Info: How long does your warranty company make you wait? We pay claims into your bank within 45 minutes. The most advanced warranty programme in the UK.

W: warrantyadmin.co.uk T: 01522 515600 E: tellmemore@warrantyadmin.co.uk Info: Unlock new profit and aftersales flexibility with Crystal Clear Warranty.

Ideal for franchised dealers, groups and independents.

Data

Insurance

Marketing, PR & Video

Vehicle Tracking

Warranty Providers

Real World Analytics

Tradesure

OnCue Communications

Meta Trak

Warrantywise

Finance

Key Control

Marketing, PR & Video

Warranty Providers

Warranty Providers

Blue Motor Finance

Keytracker

Marketing Delivery

Autoprotect

WMS

W: realworldanalytics.com T: 0808 1890 617 E: auto@realworldanalytics.com Info: We are a SaaS-based data analytics solution provider for multisite dealers. Our business intelligence tools help customers make faster and better decisions.

W: blue.co.uk T: 020 3005 9331 E: dealersupport@blue.co.uk Info: Blue is transforming the car finance market, making car ownership simple and flexible and providing motor traders with access to essential finance.

W: tradesureinsurance.co.uk T: 0121 248 9313 Info: A friendly team in a family-run business, we provide motor trade insurance to full- and part-time motor traders in all areas of the UK.

W: keytracker.com T: 0121 559 9000 E: sales@keytracker.com Info: Established in 1996 and based in the UK, Keytracker Ltd provide an extensive range of key and asset management systems for a wide range of businesses.

W: oncuecomms.com T: 020 8125 3880 Info: We are a leading provider of PR, video and events services to the automotive industry. The PR team has a proven track record of securing high-value, big-impact media coverage.

W: marketingdelivery.co.uk/ T: 01892 599911 E: get.in.touch@marketingdelivery.co.uk Info: Our SocialStock helps target prospects with tailored stock remarketing and social media advertising tools, and automated lead capture for Facebook.

W: metatrak.co.uk T: 020 8867 2340 E: enquiries@metatrak.co.uk Info: Total vehicle security. Clever tracking technology, advanced immobilisation, 24/7 monitoring and an easy-to-use app. Security. Connectivity.

Peace of mind.

W: autoprotect.co.uk

T: 01279 406888 E: sales@autoprotect.net Info: AutoProtect offers a full portfolio of award-winning protection products, including GAP. We lead the market with an ‘Excellent’ rating on Trustpilot.

W: warrantywise.co.uk/dealer T: 0800 001 4551 E: dealers@warrantywise.co.uk Info: Warrantywise sells over 100,000 warranties per year.

Quentin Willson personally designed Warrantywise to be the UK’s best used car warranty.

W: wmsgroup.co.uk T: 01844 293810 E: sales@wmsgroup.co.uk Info: Open 24/7, we offer award-winning warranty products for FCA- and non-FCA-registered dealerships.

Finance

Key Control

Oil & Lubricants

Warranty Providers

Website Design & Digital Marketing

Close Brothers Motor Finance

Traka

Mobil™

Car Care Plan

Bluesky Interactive

W: closemotorfinance.co.uk/ Info: Close Brothers Motor Finance are a specialist finance provider, working with over 8,000 dealer partners to offer flexible finance solutions for car, motorcycle and LCV customers.

W: traka-automotive.com T: 0333 355 3726 E: automotive@traka.com Info: Bespoke software and electronic key management cabinets to deliver the most effective solution to dealerships to manage their keys and vehicles.

Finance

Lead Management

Recruitment

Warranty Providers

Website Design & Digital Marketing

First Response

GardX AD-Vantage

WeRecruit Auto

Händler Protect

Haswent

W: firstresponsefinance.co.uk T: 0115 946 6317 E: marketing@frfl.co.uk Info: First Response is an awardwinning UK finance company providing simple financial solutions.

Get in touch and let us help increase your profits.

W: gardx.co.uk/gardx-ad-vantage T: 01243 376426 E: goforaspin@gardx.co.uk Info: The award-winning 360 service offers an engaging display of the vehicle while additionally presenting profitable F&I products to a consumer.

W: mobil.co.uk T: 0800 0857 420 Info: Whether using Mobil 1™ or Mobil Super™, Mobil™ engine oils meet or exceed the latest standards of the oil industry and vehicle manufacturers.

W: werecruitauto.co.uk T: 01603 550041 Info: Permanent recruitment – here to assist businesses within the automotive sector find the best fit for their company in terms of skillset, experience and culture.

W: carcareplan.com T: 0344 573 8000 Info: Car Care Plan is a leading provider of motor protection products, trusted around the world to deliver quality protection with integrity and a customer-oriented outlook.

W: handlerprotect.com T: 0800 088 7889 E: sales@handlerprotect.com Info: Händler Protect is an exclusive dealer warranty provider. Proud to partner and represent more than 1,000-plus ‘active’ independent motor dealers across the UK each month.

W: blueskyinteractive.co.uk T: 01926 651000 Info: Bluesky Interactive drive dealer websites and digital marketing forward thanks to game-changing innovation, the latest technology and our exceptional relationships with our clients.

W: haswent.com T: 020 3920 6164 E: hello@haswent.com Info: Composer is a next-gen automotive platform. You have extensive stock management options, and you’ll gain a brilliantly responsive new website.

To have your details included email sales@blackballmedia.co.uk and ask for Suppliers Guide listings CarDealerMag.co.uk | 65

Changes in FCA regulation don’t have to be scary, let’s go on the journey

together We’re your partner to support you through this new regulation. Together, we’ll make the complex simple, we’ll minimise disruption and we’ll enhance customer experience, allowing you to focus on what you do best.

Let’s do more together.

66 | closemotorfinance.co.uk/fca-changes CarDealerMag.co.uk

Finance Compliance Funding Insight

LONG-TERMERS

THE KNOWLEDGE

NISSAN LEAF A pre-lockdown family visit proved EVs can be used for longer journeys – but some adaptations must be made for peace of mind. Dave Brown reports.

A

quick thank you to my mum before I get stuck into this month’s report about the allelectric long-term Nissan Leaf we currently have on our fleet.

Let me explain...

Door to door, the journey from our house to hers is 115 miles – in other words, a 230-mile round trip that we tend to do in a day.

The distance OY19 XMG can travel on a single charge is 239 miles, which doesn’t really leave much leeway if there are hold-ups, diversions or whatever.

I’ve explained this a couple of times to Mum in recent weeks – and shortly before the current lockdown, she kindly had an additional socket fitted in her garage that would enable me to replenish the car’s battery while visiting.

A couple of days after hearing the news, I jumped into the Leaf and headed off to see her.

This was the first journey of any significant length I’d tackled since taking possession of the car, what with Covid, working from home and so on, and it certainly didn’t disappoint.

It’s comfortable and spacious and the two hours flew by as I headed along the motorway then tackled the A and B roads that lead to her place. It feels assured and composed on major highways and doesn’t put a foot wrong on slower roads either.

It’s fair to say that most people who see the car are impressed with the way our Leaf looks. Helping to enhance its appearance are 17-inch alloy wheels, a gloss-black B-pillar, chrome door handles and body-coloured door mirrors.

The longer trip gave me plenty of opportunity to explore and enjoy some of the audio and technology features of the car. Its Bose premium music system is a joy to behold – the Ken Bruce Show on Radio 2 has never sounded better!

One of my other favourite features is Intelligent Around View Monitor – just brilliant. For the uninitiated, it’s a very clever piece of kit that helps drivers park more easily by better understanding the vehicle’s surroundings through a virtual bird’s-eye view.

The driver can visually confirm the car’s position relative to the lines around parking spaces and adjacent objects, letting them manoeuvre into parking spots more easily.

One thing I’ve noticed in writing these reports is that I tend to talk less and less about the fact the car is electric. It’s just a fact of life to me now; it’s an enjoyable car to drive, and charging is no hassle.

Pulling up at our local Tesco the other day enabled me to give it an hour or so of juice; other than that, it’s just a question of using the correct lead to attach it to a normal threepin socket at home while I work.

A couple of news-based items to finish with, connected to the bigger picture around electric vehicles... You may have seen in the papers that ‘green number plates’ are on their way – number plates with a lime-green flash down one side that could lead to local authorities incentivising EV ownership. And of course, the government has said that sales of new petrol and diesel cars will have been phased out by 2030 – so cars such as the Nissan Leaf are the way forward for all of us, even Mum!

Nissan Leaf e+ 3.ZERO Price (as tested): £37,320 Engine: 62kWh electric motor Power: 214bhp Torque: 340Nm 0-60mph: 6.7 seconds Max speed: 98mph Emissions: 0g/km CO2 Range: 239 miles Mileage: 11,206

This month’s highlight: The Ken Bruce Show delivered via the premium Bose music system.

OTHER CARS WE’RE DRIVING

SsangYong Musso LWB Mileage: 2,478 We’ve spent the month putting the pick-up to work carrying builders’ bags and mountain bikes.

Ford S-Max Vignale Mileage: 10,053

It’s been a rather eventful month, with a puncture and a non-fault scrape with an HGV. CarDealerMag.co.uk | 67