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BLOG Just how viable is the car subscription business model?

I have long been enthusiastic for an automotive business model based on usage rather than ownership, primarily coming from the viewpoint of the potential to maximise the profits derived from a car over its lifetime. The traditional model which I nicknamed ‘sell and forget’ maybe an over-simplification off the importance financially of aftersales to both manufacturers and dealers, but it ...

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BLOG Who’s footing the bill? Lithia, Vertu, Constellation and Cazoo

As expected the deal was finalised last week for the acquisition of UK based dealer group Jardine Motors by Lithia of the US. It is anticipated that the coming months will see more activity by Lithia as they seek to expand their UK footprint from the upper premium focus that Jardine currently has. Although not published, it appears that the ...

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A new focus on aftersales to service older cars

Demand for public transport, which plummeted during the lockdown, has not fully recovered. Falling demand for buses has seen bus networks shrink. At the same time, consumer confidence in trains continues to come under strain due to regular rail strikes, over-crowding and unreliability. The net result is that in an environment where worker flexibility and the emergence of working from ...

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BLOG Pricing – a blunt instrument to influence demand?

Before Christmas we saw headlines from around the world as Tesla cut prices dramatically in order to stimulate sales before the year end. This achieved the desired result for Tesla of getting close to their previously declared shipment target for the quarter, but also attracted negative headlines from customers who had recently purchased at the original price and from those ...

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BLOG: Snows Group managers on why the motor trade is no longer just a man’s world

It may be a well-worn cliche – but the car sales business is still sometimes seen as ‘a man’s world’. However, with International Women’s Day just around the corner on March 8, Snows Motor Group is keen to demonstrate that doesn’t have to be the case. Snows Motor Group, based in Southampton, Hampshire, operates more than 50 franchised car and ...

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BLOG: Brace yourself for Chinese cars!

The title of my blog is not intended to suggest that there is anything about Chinese cars that you need to brace yourself for in terms of the driving or ownership experience. On the contrary the quality and general competitiveness of cars coming from the major Chinese manufacturers now appear to be on a par with European volume brands. Many ...

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