14 November 2011

We’ve been running seminars and workshops for Auto Retail Network members for over seven years now and I’m always intrigued at how a common theme usually emerges, even though the presenters are speaking on apparently widely differing subjects.

Last Friday around 75 senior auto retail executives gathered at the PwC Conference Centre at East Midlands airport for our Aftersales Profit Seminar. On the face of it, this could have been a pretty gloomy topic – the car parc is down, vehicles are more reliable than ever, motorists perceive franchised workshops as more expensive.

But, as so often happens at Auto Retail Network events, the discussion was lively and positive. Delegates and speakers were eager to share good ideas that work in the real world.

Yes, we looked at ways to add revenue, but the underlying theme that struck me was: don’t give it away. And this could be both passive and active.

For instance, why is it that many dealerships are not getting a proper return on their retail workshop sales? Probably because they’re giving hours away through poor management.

Why is it that many dealerships are not making a proper return on their trade parts sales? Probably because they’re giving margin away in discount.

Why is it that most dealerships are not running a full tyre programme? Probably because they’ve given the business away to the local fast fit.

And so it went on; even extending to the presentations on customer loyalty and retention. Why are we giving so many customers away, simply by not following up on every sale – new and used?

Yes, 2012 is going to be tough. But the message that I took away from the seminar was a simple one: before you start going out to look for new business, take a close look at how much business you might be giving away and take action to recover it.

It sounds simple, but I wonder how many of us are actually doing it.

Rupert Saunders

Remember, if you have a story for us – or just want to comment – contact me at rupert@auto-retail.com

Tags: Auto Retail Network, Eat Midlands airport, events, PwC conference centre, Seminar, servicing, tyre programme, views