End of the 'main dealer'?
Discussion
piddy44 said:
I know this has been covered before, but I feel we're starting to see some manufacturer implementation.
I'm talking about Ford CEO Jim Farley's announcement a few days ago about the company evolving & consolidating on virtually every level, including dealerships. He sees a shift to online vehicle sales with non-negotiable prices and remote deliveries.
This has been coming for a long time and the remote selling during covid has only strengthened the case. Arnold Clark lost Honda a number of years ago for, I'm told, not meeting Honda's KPIs in relation to customer service & workmanship (only back with Honda due to the purchase of a single dealer in Hillington Glasgow). They're now losing Ford & Toyota. I'm sure more will undoubtedly follow.
In 10-15 years tops, main dealers will have gone the way of Fones4U and CarPhoneWarehouse. They're a hindrance to the customer experience that have lasted long past their sell-by-date & manufacturers can offer a better customer experience in-house. Manufacturers will offer their own owned showrooms for customers to browse the models for sale & to test drive. These will be in metropolitan areas. Customers will then order online in their own time. More reliable electric motors & reduced consumption of consumables will facilitate greater remote & mobile servicing/diagnostics/repairs. Manufacturers will have greater control over the sale of used stocks as well, particularly as they seem to be moving to a lease/PCP/subscription model.
Personally I'm excited to see how the industry develops in the coming years & I'm looking forward to seeing the absence of the sleazy, spivvy high-school drop-outs who know naff all about the product they're selling, from the supply chain.
Arnold Clark own all of their sites - the land, the buildings, the stock. Much of it's not prime retail or housing land. The bigger they are the harder they'll fall.
There are laws in the states that ban direct sales from manufacturers to consumers. It's why Tesla had so many problems in Texas.I'm talking about Ford CEO Jim Farley's announcement a few days ago about the company evolving & consolidating on virtually every level, including dealerships. He sees a shift to online vehicle sales with non-negotiable prices and remote deliveries.
This has been coming for a long time and the remote selling during covid has only strengthened the case. Arnold Clark lost Honda a number of years ago for, I'm told, not meeting Honda's KPIs in relation to customer service & workmanship (only back with Honda due to the purchase of a single dealer in Hillington Glasgow). They're now losing Ford & Toyota. I'm sure more will undoubtedly follow.
In 10-15 years tops, main dealers will have gone the way of Fones4U and CarPhoneWarehouse. They're a hindrance to the customer experience that have lasted long past their sell-by-date & manufacturers can offer a better customer experience in-house. Manufacturers will offer their own owned showrooms for customers to browse the models for sale & to test drive. These will be in metropolitan areas. Customers will then order online in their own time. More reliable electric motors & reduced consumption of consumables will facilitate greater remote & mobile servicing/diagnostics/repairs. Manufacturers will have greater control over the sale of used stocks as well, particularly as they seem to be moving to a lease/PCP/subscription model.
Personally I'm excited to see how the industry develops in the coming years & I'm looking forward to seeing the absence of the sleazy, spivvy high-school drop-outs who know naff all about the product they're selling, from the supply chain.
Arnold Clark own all of their sites - the land, the buildings, the stock. Much of it's not prime retail or housing land. The bigger they are the harder they'll fall.
There will always be a place for respected specialist used dealers - they can add a lot of value.
But a new Ford / BMW / VAGina group? Yeah I agree, the less pointless ‘shiny suit Vice-President-of-this-bit-of-the-showroom business managers’ the better. They are often a hindrance that get in between me and car car I’d like to buy.
If new I’ll order it myself as you often don’t even know what’s on your own website configurator.
If used, give me your best price. I’ll say yes or no. And be smart.. if the price isn’t grabbing a sale set interested parties up on a system and alert them if the price moves - first to click ‘buy me’ has bought it.
For finance, show your non-negotiable rate and you can easily pre-approve or decline when I register my interest. I don’t want to sit in your office for 90mins whilst 4 of you huddle around a computer like it’s the first time you ever switched it on (whilst discussing ways you’re going to try and “package the deal” aka how you think you’ll try and fleece me.
For the good ones out there, sorry, but you’re in an industry where the crap ones have ruined it for the majority I’m afraid
But a new Ford / BMW / VAGina group? Yeah I agree, the less pointless ‘shiny suit Vice-President-of-this-bit-of-the-showroom business managers’ the better. They are often a hindrance that get in between me and car car I’d like to buy.
If new I’ll order it myself as you often don’t even know what’s on your own website configurator.
If used, give me your best price. I’ll say yes or no. And be smart.. if the price isn’t grabbing a sale set interested parties up on a system and alert them if the price moves - first to click ‘buy me’ has bought it.
For finance, show your non-negotiable rate and you can easily pre-approve or decline when I register my interest. I don’t want to sit in your office for 90mins whilst 4 of you huddle around a computer like it’s the first time you ever switched it on (whilst discussing ways you’re going to try and “package the deal” aka how you think you’ll try and fleece me.
For the good ones out there, sorry, but you’re in an industry where the crap ones have ruined it for the majority I’m afraid
As someone that's works in a ford main dealer under one of the largest dealer groups in the country I totally agree. However ford is a anomally as it currently has twice the number of dealers in the UK than the 2nd highest which is vauxhall. Ford has been cutting dealer numbers down since before covid.
The biggest threat to service side is evs that will end 50% of the work we see. Just simple oil changes which makes a lot of money for both sales and parts will be gone. Also another point people don't see declining numbers in the trade as techs there has been zero push to recruit and train new people.
All that is happening is same group of techs moving around different dealer either for more base pay or better bonuses etc.
Huge amount leaving very few joining. I'm 29 I'm one of the youngest techs in my current place and which has been repeated in the different places I've worked at.
One final.point the higher up management haven't got a clue about the industry the backwards thinking logic that goes on is staggering. I don't know how long I will stick it out for but every day just feels like tiny bit of your soul has been ripped out.
The biggest threat to service side is evs that will end 50% of the work we see. Just simple oil changes which makes a lot of money for both sales and parts will be gone. Also another point people don't see declining numbers in the trade as techs there has been zero push to recruit and train new people.
All that is happening is same group of techs moving around different dealer either for more base pay or better bonuses etc.
Huge amount leaving very few joining. I'm 29 I'm one of the youngest techs in my current place and which has been repeated in the different places I've worked at.
One final.point the higher up management haven't got a clue about the industry the backwards thinking logic that goes on is staggering. I don't know how long I will stick it out for but every day just feels like tiny bit of your soul has been ripped out.
The spinner of plates said:
There will always be a place for respected specialist used dealers - they can add a lot of value.
But a new Ford / BMW / VAGina group? Yeah I agree, the less pointless ‘shiny suit Vice-President-of-this-bit-of-the-showroom business managers’ the better. They are often a hindrance that get in between me and car car I’d like to buy.
This got me thinking. Over the past ten years my last seven or eight new cars, five of them were ordered without setting foot in a dealership (they were a mix of broker ordered purchases and lease deals). One car I did order from a dealership, as a lease after walking in. But in the cases were I did visit the showroom it was to clarify specs and options etc which I probably could have done by working harder on line. Access to a manufacturers 'experience/retail centre' would have done the same job.But a new Ford / BMW / VAGina group? Yeah I agree, the less pointless ‘shiny suit Vice-President-of-this-bit-of-the-showroom business managers’ the better. They are often a hindrance that get in between me and car car I’d like to buy.
Regarding test drives, I have not test driven any of the last ten cars I have run (in fact I have not even sat in LR Defender, let alone driven one! - although I do accept I am a bit 'unusual' in that aspect).
piddy44 said:
I know this has been covered before, but I feel we're starting to see some manufacturer implementation.
I'm talking about Ford CEO Jim Farley's announcement a few days ago about the company evolving & consolidating on virtually every level, including dealerships. He sees a shift to online vehicle sales with non-negotiable prices and remote deliveries.
This has been coming for a long time and the remote selling during covid has only strengthened the case. Arnold Clark lost Honda a number of years ago for, I'm told, not meeting Honda's KPIs in relation to customer service & workmanship (only back with Honda due to the purchase of a single dealer in Hillington Glasgow). They're now losing Ford & Toyota. I'm sure more will undoubtedly follow.
In 10-15 years tops, main dealers will have gone the way of Fones4U and CarPhoneWarehouse. They're a hindrance to the customer experience that have lasted long past their sell-by-date & manufacturers can offer a better customer experience in-house. Manufacturers will offer their own owned showrooms for customers to browse the models for sale & to test drive. These will be in metropolitan areas. Customers will then order online in their own time. More reliable electric motors & reduced consumption of consumables will facilitate greater remote & mobile servicing/diagnostics/repairs. Manufacturers will have greater control over the sale of used stocks as well, particularly as they seem to be moving to a lease/PCP/subscription model.
Personally I'm excited to see how the industry develops in the coming years & I'm looking forward to seeing the absence of the sleazy, spivvy high-school drop-outs who know naff all about the product they're selling, from the supply chain.
Arnold Clark own all of their sites - the land, the buildings, the stock. Much of it's not prime retail or housing land. The bigger they are the harder they'll fall.
Be careful what you wish for. Unless you like the idea of all lightly used ‘good condition’ second hand cars going up year on year like they have recently. Unless someone buys a car outright (rare these days) then the only available pool of second hand cars will be via the manufacturer route one way or another.I'm talking about Ford CEO Jim Farley's announcement a few days ago about the company evolving & consolidating on virtually every level, including dealerships. He sees a shift to online vehicle sales with non-negotiable prices and remote deliveries.
This has been coming for a long time and the remote selling during covid has only strengthened the case. Arnold Clark lost Honda a number of years ago for, I'm told, not meeting Honda's KPIs in relation to customer service & workmanship (only back with Honda due to the purchase of a single dealer in Hillington Glasgow). They're now losing Ford & Toyota. I'm sure more will undoubtedly follow.
In 10-15 years tops, main dealers will have gone the way of Fones4U and CarPhoneWarehouse. They're a hindrance to the customer experience that have lasted long past their sell-by-date & manufacturers can offer a better customer experience in-house. Manufacturers will offer their own owned showrooms for customers to browse the models for sale & to test drive. These will be in metropolitan areas. Customers will then order online in their own time. More reliable electric motors & reduced consumption of consumables will facilitate greater remote & mobile servicing/diagnostics/repairs. Manufacturers will have greater control over the sale of used stocks as well, particularly as they seem to be moving to a lease/PCP/subscription model.
Personally I'm excited to see how the industry develops in the coming years & I'm looking forward to seeing the absence of the sleazy, spivvy high-school drop-outs who know naff all about the product they're selling, from the supply chain.
Arnold Clark own all of their sites - the land, the buildings, the stock. Much of it's not prime retail or housing land. The bigger they are the harder they'll fall.
Can we spell ‘monopoly’ yet children?
My uni dissertation a couple of years back was basically on the changes in business due to technology.
I done BMW and remember I had a quote from someone pretty high up and to summarise they clearly said they wanted to get rid of dealers and sell direct. They did plan to have service centres for maintenance and enabling subscription services.
I done BMW and remember I had a quote from someone pretty high up and to summarise they clearly said they wanted to get rid of dealers and sell direct. They did plan to have service centres for maintenance and enabling subscription services.
ICE cars and the long association with buying them - ie all the dealer experiences, haggling etc etc will die a death as EV's and online sales strengthen.
The next gen of buyer who's currently playing on the online games, investing in crypto and glued to social media won't entertain a dealer experience when they can pick a car, choose the colour, the tech spec, tick some subscriptions then pay online and take delivery on their leased vehicle.
The next gen of buyer who's currently playing on the online games, investing in crypto and glued to social media won't entertain a dealer experience when they can pick a car, choose the colour, the tech spec, tick some subscriptions then pay online and take delivery on their leased vehicle.
Edited by anonymous-user on Thursday 9th June 22:27
lord trumpton said:
The next gen of buyer who's currently playing on the online games, investing in crypto and glued to social media won't entertain a dealer experience when they can pick a car, choose the colour, the tech spec, tick some subscriptions then pay online and take delivery on their leased vehicle.
If they choose to drive at all...Having used our local BMW main agency for years we grew tired of:
Bring taken for granted.
Crap service.
Acting like them giving you their time was a gift bestowed.
Never being able to see the same sales person twice.
My wife leases via an online company.
I bought from an independent non-franchise dealer & am using a specialist for service.
If the main dealers all disappeared tomorrow I’d not shed a tear.
They ‘died’ a long time ago.
A zombie business model.
Bring taken for granted.
Crap service.
Acting like them giving you their time was a gift bestowed.
Never being able to see the same sales person twice.
My wife leases via an online company.
I bought from an independent non-franchise dealer & am using a specialist for service.
If the main dealers all disappeared tomorrow I’d not shed a tear.
They ‘died’ a long time ago.
A zombie business model.
We've had this before. Daewoo and servicing at Halfords. Disruptors and challengers such as Cazoo, Cinch, Carzam (now defunct) seems to be struggling.
What the manufacturers will do, is not renew franchises and.... set up sales and servicing centres.... which are in effect Nelson Mandelas!
What the manufacturers will do, is not renew franchises and.... set up sales and servicing centres.... which are in effect Nelson Mandelas!
The spinner of plates said:
There will always be a place for respected specialist used dealers - they can add a lot of value.
But a new Ford / BMW / VAGina group? Yeah I agree, the less pointless ‘shiny suit Vice-President-of-this-bit-of-the-showroom business managers’ the better. They are often a hindrance that get in between me and car car I’d like to buy.
If new I’ll order it myself as you often don’t even know what’s on your own website configurator.
If used, give me your best price. I’ll say yes or no. And be smart.. if the price isn’t grabbing a sale set interested parties up on a system and alert them if the price moves - first to click ‘buy me’ has bought it.
For finance, show your non-negotiable rate and you can easily pre-approve or decline when I register my interest. I don’t want to sit in your office for 90mins whilst 4 of you huddle around a computer like it’s the first time you ever switched it on (whilst discussing ways you’re going to try and “package the deal” aka how you think you’ll try and fleece me.
For the good ones out there, sorry, but you’re in an industry where the crap ones have ruined it for the majority I’m afraid
Well said. But a new Ford / BMW / VAGina group? Yeah I agree, the less pointless ‘shiny suit Vice-President-of-this-bit-of-the-showroom business managers’ the better. They are often a hindrance that get in between me and car car I’d like to buy.
If new I’ll order it myself as you often don’t even know what’s on your own website configurator.
If used, give me your best price. I’ll say yes or no. And be smart.. if the price isn’t grabbing a sale set interested parties up on a system and alert them if the price moves - first to click ‘buy me’ has bought it.
For finance, show your non-negotiable rate and you can easily pre-approve or decline when I register my interest. I don’t want to sit in your office for 90mins whilst 4 of you huddle around a computer like it’s the first time you ever switched it on (whilst discussing ways you’re going to try and “package the deal” aka how you think you’ll try and fleece me.
For the good ones out there, sorry, but you’re in an industry where the crap ones have ruined it for the majority I’m afraid
piddy44 said:
Arnold Clark lost Honda a number of years ago for, I'm told, not meeting Honda's KPIs in relation to customer service & workmanship (only back with Honda due to the purchase of a single dealer in Hillington Glasgow).
They lost Honda a number of years ago because they didn't want to conform to the manufacturer's increasingly onerous standards around showrooms and used car presentation. piddy44 said:
They're now losing Ford & Toyota. I'm sure more will undoubtedly follow.
Ford were cutting dealership numbers well before Covid to move to a majority manufacturer-owned model. For Toyota, see Honda above.piddy44 said:
In 10-15 years tops, main dealers will have gone the way of Fones4U and CarPhoneWarehouse. They're a hindrance to the customer experience that have lasted long past their sell-by-date & manufacturers can offer a better customer experience in-house. Manufacturers will offer their own owned showrooms for customers to browse the models for sale & to test drive. These will be in metropolitan areas. Customers will then order online in their own time. More reliable electric motors & reduced consumption of consumables will facilitate greater remote & mobile servicing/diagnostics/repairs. Manufacturers will have greater control over the sale of used stocks as well, particularly as they seem to be moving to a lease/PCP/subscription model.
Personally I'm excited to see how the industry develops in the coming years & I'm looking forward to seeing the absence of the sleazy, spivvy high-school drop-outs who know naff all about the product they're selling, from the supply chain.
This has been mooted for over a decade now and is yet to materialise seriously. Only Tesla have come close, because most manufacturers want people in showrooms for servicing etc to be able to sell them something Personally I'm excited to see how the industry develops in the coming years & I'm looking forward to seeing the absence of the sleazy, spivvy high-school drop-outs who know naff all about the product they're selling, from the supply chain.
piddy44 said:
Arnold Clark own all of their sites - the land, the buildings, the stock. Much of it's not prime retail or housing land. The bigger they are the harder they'll fall.
And AC probably make more money from land/construction transactions than they do shifting metalGeneral Price said:
Look at Arnold Clarks turnover and profit,I don't think they are worried about manufacturers.Car supermarkets are the way forward,multiple makes and no manufacturers aggravation.
We have relatives in Edinburgh and visit often. Whatever you think of Arnold Clark, my word, do they know how to sell cars!Gassing Station | Car Buying | Top of Page | What's New | My Stuff