NFDA NEWS
21June 2013
/‘We represent, you benefit’ / Dear Colleague,
This week I attended the TSI Trading Standards Conference in Brighton. The NFDA has been working towards creating a new and used car standard, and the conference was a great opportunity for professionals and organisations to come together to discuss issues that impact consumers and businesses in the UK.
The NFDA Northern Ireland dealers also met this week in Belfast to discuss NFDA activity and have an overview on the latest lobbying and legal issues affecting the industry.
Today’s news contains the latest commercial vehicle auction report from our sister organisation NAMA.
Finally, the ‘Driving Digital’ - NFDA/Trusted Dealer Event is fast approaching so make sure you book your place.
The event will be held at two venues: The Radisson Blu at Manchester Airport on Tuesday 2 July and the Donnington Valley Hotel, Newbury on Friday 5 July. We hope to see you there. Full details in today’s newsletter.
Sue Robinson, Director
Tel: 0207 307 3422
Email:
Twitter: @NFDASueRobinson
IN THIS ISSUE: /
- NFDA AND TRUSTED DEALERS TO PROMOTE BENEFITS OF FRANCHISE AFTERSALES
- NFDA WELCOME MOVES ON WORKPLACE EQUALITY
- NAMA COMMERCIAL VEHICLE REPORT MAY 2013
DEPARTMENT FOR TRANSPORT: MOTOR SERVICES STRATEGY
- DVLA LOCAL OFFICE CLOSURE UPDATE
- PCS PROPOSED INDUSTRIAL ACTION
- MEETING DATES
- DRIVING DIGITAL
- NFDA AUTUMN BALL
NFDA AND TRUSTED DEALERS TO PROMOTE BENEFITS OF FRANCHISE AFTERSALES
Used Car Website Set To Launch New ‘Ten Points of Difference’ After Research Reveals Driver Misconceptions over Cost
Trusted Dealers ( the consumer facing used car website of the National Franchise Dealer Association (NFDA), is set to launch a national campaign promoting the value and benefits of main dealer servicing and maintenance.
The initiative has been prompted by NFDA research, conducted in conjunction with the SMMT, which asked 1,250 car buyers on their perceptions of servicing and repair. The findings revealed the majority of owners (57 per cent) would prefer to use franchise dealers if costs were equivalent to independents.
The campaign, which will see the used car website launch a new aftersales quality commitment programme under its ‘Ten Points of Difference’ banner, will aim to dispel many of the myths around pricing, whilst reinforcing the value of the franchise dealer aftersales proposition.
Developed in conjunction with the NFDA’s Aftersales Steering Group, the new ‘Ten Points of Difference’ are designed to make the value of franchise dealer servicing and maintenance more ‘robust and marketable’, communicating the benefits of using a qualified, brand specific franchised dealer for all servicing and repair needs.
With features including pricing, expertise, parts, guarantees and safety checks, the quality commitment guarantee dovetails with the NFDA’s proposed Aftersales Service Standards for members, set to be ratified in July.
A consumer mediation service will also be launched as part of the campaign. The first to be incorporated into a classified site, it will offer car owners help and advice on consumer rights when buying from a franchise dealer, as well as helping broker resolutions to customer problems.
Further details of the campaign are set to be revealed at the NFDA’s Driving Digital Conference ( in July. A nationwide consumer-facing media campaign targeting broadcast, print and online outlets will then be used to promote the benefits of franchise dealer aftersales to drivers, kicking off in August.
Trusted Dealers Managing Director, Neil Addley, said: “The Trusted Dealers Ten Points of Difference for Aftersales have been created by franchised dealers for franchised dealers, and are designed to tackle a lot of misconceptions about dealer servicing and repair, as well as condensing the benefits into a robust and marketable message.
“Trusted Dealers is promoted as the safest place for drivers to buy a used car and an obvious extension to this is to encompass aftersales under our quality commitment banner. This will in turn support the delivery of low cost, quality aftersales leads for our members.
Sue Robinson, Director of the National Franchised Dealers Association, said: “The new campaign is the latest development in our shift to position the NFDA as a more consumer facing body, communicating the influential buying messages which support our members.”
“Our research findings showed there was a real need to tackle many of the misconceptions over franchise dealer servicing. As a result the Trusted Dealers team have worked closely with our Aftersales Steering Group to ensure the Ten Points of Difference directly support the many benefits identified by dealers themselves.”
Last month the NDFA took a majority stake in used car portal Trusted Dealers in a move designed to promote the consumer benefits of buying from an approved franchised dealer, as well as driving opportunities to increase the Trusted Dealers member base.
Trusted Dealers has grown rapidly since its launch in January 2011 and now counts 886 of the UK’s largest franchised dealers as members. It has enjoyed record performance month on month during 2013, with customers seeing their stock profiled to a growing network audience of 1.2million monthly unique users.
NFDA WELCOME MOVES ON WORK PLACE EQUALITY
The National Franchised Dealers Association (NFDA), which represents franchised car and commercial vehicle retailers across the UK, welcomes any moves that encourage women into the motor retail industry.
In a Report published this week, the Business, Innovation and Skills Committee has called on Government to do more to tackle female under-representation in certain sectors of the economy.
Sue Robinson, NFDA Director commented “The NFDA are committed to securing the best skills for the industry and are keen to address any stereotyping within the automotive retail sector that may deter females from pursuing a career within it.
“Women are a powerful force in the car market and the industry has improved greatly over the years to ensure women are represented in the workplace.
“Retailers are working very hard toencourage more women into theindustry at all levels from senior management to technicians.”
NAMA COMMERCIAL VEHICLE REPORT MAY 2013
The National Association of Motor Auctions (NAMA) published its Light Commercial Vehicle (LCV) market report for May today.
The report shows that during May the average values of used LCV’s at auction across the board fell from £4,497 to £4,322, equivalent to a -4% decrease between April and May. With mileage and age also having risen over the month, it is testament to the underlying strength of the marketplace that demand held up as well as it did.
Despite volumes, age and mileage having all increased sharply over the past 12 months, conversion rates held steady at 74%, the same as this time last year. Days in stock fell and prices slipped by less than 8%.
Volume changes by age
Dec-12 / % Diff / Jan-13 / % Diff / Feb-13 / % Diff / Mar- 13 / % Diff / Apr-13 / % Diff / May-13 / % Diff<2 Years / 154 / 19% / 365 / 137% / 431 / 18% / 198 / -54% / 316 / 60% / 323 / 2%
2 - 4 Years / 1,061 / 3% / 1,685 / 59% / 1,625 / -4% / 2,058 / 27% / 1,502 / -27% / 2,083 / 39%
4.1 - 6 Years / 1,534 / -16% / 2,208 / 44% / 2,596 / 18% / 2,497 / -4% / 2,140 / -14% / 2,671 / 25%
Over 6 Years / 802 / -26% / 1,880 / 134% / 1,871 / -0.5% / 1,972 / 5% / 2,295 / 16% / 2,645 / 15%
Total / 3,551 / -13% / 6,138 / 73% / 6,523 / 6% / 6,725 / 3% / 6,253 / -7% / 7,722 / 23%
The graph shows a healthy increase of 39% and 25% in the numbers of 2–4 & 4–6 year old LCVs coming under the hammer in May. This placed a lot of pressure on the market’s ability to withstand such a surge. Fortunately, the trade buyer’s appetite for attractive used stock was sufficient to absorb the vast majority.
Sales Volumes All Ages
Dec-12 / Jan-13 / Feb-13 / Mar-13 / Apr-13 / May-12 / May-13 / Year on Year Diff3551 / 6138 / 6523 / 6725 / 6253 / 7115 / 7722 / 9%
Alex Wright, Chairman of NAMA Commercial Vehicle Group commented, “It is encouraging to see such a healthy demand for younger vehicles.
“The 9% rise in the year on year difference for all ages is a welcoming leap and we are delighted to see the market has really lapped it up this month and that prices are holding up well.
“With summer now upon us, the LCV marketplace is likely to slow down as the holiday season takes buyers away from the day job over the next few weeks. However, barring any unforeseen hiccups on the wider economic front that dampens demand for LCVs, it is to be hoped that autumn will deliver a strong performance across the auction scene, ensuring that 2013 closes strongly”.
DEPARTMENT FOR TRANSPORT: MOTOR SERVICES STRATEGY
The Department for Transport has published aministerial statement on the DfT motor services strategy:
The Parliamentary Under Secretary of State for Transport (Stephen Hammond):
The Department for Transport is committed to delivering better quality and better value motoring services to the public and business. I am therefore pleased to announce today that a new single agency will bring together the testing and standards services that are currently provided by the Vehicle and Operator Services Agency (VOSA) and the Driving Standards Agency (DSA). These services will be delivered by the two agencies under a single Chief Executive and transitional board from July this year.
Bringing together the testing and standards services currently provided by VOSA and DSA will enable a single agency to deliver the same high quality service, but with greater efficiency, potentially allowing for the reduction of fees. It will be easier for customers to navigate the services offered, and will reduce the administrative burden for those individuals and businesses that currently have regular contact with both DSA and VOSA. The initial move will take place in July this year - a single Chief Executive and transitional board will oversee the two trading funds. The trading funds will continue in their current form for at least the next twelve months.By that time we expect the detail of the structural reorganisation to be complete.
This move will result in an improved service to the public. We will work to ensure that there is no detrimental effect on the high quality of customer service delivery during the transitional phase. We are also working closely with employees from the agencies to help support them through the changes.
This announcement follows the consultation on our Motoring Services Strategy which ran from 13 December 2012 to 7 March 2013. The strategy proposed rationalising the roles and numbers of agencies to provide an improved and more efficient delivery of motoring services to customers. Respondents to the consultation were generally supportive of this proposal, recognising the benefits that such a move would bring, but were keen to protect the quality of services.
I am also publishing the summary of responses to that consultation.Decisions on any other proposals detailed in the Motoring Services Strategy will be announced in due course.
Source: The Department for Transport
Please click here to view The Retail Motor Industry Federations (RMI) response to the Motor Strategy Update.
DVLA LOCAL OFFICE CLOSURE UPDATE
Over the past 18 months The National Franchised Dealers Association (NFDA), has been in talks with the DVLA on how the closure their 39 local offices will go ahead without damaging the business of Franchise Dealers.
Please find attached a document which details the transition of DVLA local office services for your information.
PROPOSED INDUSTRIAL ACTION
Please be advised that the Public and Commercial Services (PCS) Union is calling upon its members to take part in an all day strike on Thursday 27 June 2013. We will keep you informed of any further activity.
FORTHCOMING NFDA REGIONAL MEETING DATES
NFDA Southern – Hilton Cobham – Tuesday 25 June
NFDA Northern – De Vere Daresbury Park, Warrington – Thursday 27 June
For more information please contact
DRIVING DIGITAL
The National Franchised Dealers Association (NFDA) and used car website, Trusted Dealers ( have announced an exciting new conference event across two locations in July, organised jointly with Google & What Car?
Driving Digital, to be held on Tuesday 2July at Manchester Airport and Friday 5 July in Newbury, is intended to help franchised dealers make the most of their online presence and improve customer experience to gain increased sales and margin.
The event will feature presentations from industry leaders in digital marketing and top dealers groups. Consumer experts will also be on hand to offer advice on customer focus. A highly impressive line up includes: Google’s Alex Rose and Hugh Dickerson; founding Trusted Dealer members, Peter Jones of Lookers and Perrys’ Ken Savage; Trusted Dealers Managing Director, Neil Addley; NFDA Director, Sue Robinson; and What Car? Editor-in-Chief, Chas Hallett.
The conference will begin at 9.30am at both venues, followed by a buffet lunch at 1.00pm. Tickets are free and can be booked online at or call 01423 506272.
NFDA AUTUMN BALL – SAVE THE DATE – SATURDAY 5 OCTOBERTHE GROVE, CHANDLER’S CROSS
Enjoy good food, fine wine, great company, fun and entertainment!
Your compare: Mark Durden-Smith, Television presenter
Guest speaker: Jeremy Vine, Broadcaster and Journalist
Musical entertainment: The Chicago Blues Brothers