The Ben Book of Numbers Many thanks for purchasing the BEN Book of Numbers 2012, the definitive guide to what's happening in the automotive sector. Whether you are an industry executive, analyst, sales and marketing professional, researcher or student the BEN Book of Numbers provides you with a wide range of data for a comprehensive overview of the challenging automotive sector. It would not have been possible to produce this publication without the support of financial services Consultancy and Systems provider, White Clarke Group, and the agreement of the providers of data who are acknowledged throughout the report. The majority of the cover price is donated to BEN. BEN exists to provide care, support and advice to those in the automotive industries who need its help in times of hardship or distress. BEN provides a wide range of different types of support depending on your or your loved ones’ situation. This could mean helping with the cost of specialist disabled equipment for a child, giving emotional support through an illness or funding a respite break for you and your partner. BEN will help in whatever way it can. BEN also has four residential centres around the country offering a range of services from nursing to end of life care. In addition, it owns and runs the UK’s first workplace day care centre based in Coventry. Each of the centres provides high quality care so BEN can continue to look after older people in our communities. It costs approximately £11 million each year for BEN to continue its vital work within our industries, and it’s only thanks to the generosity of its supporters it is able to do so. If you need BEN's support; Telephone: 01344 876770 (9.00am to 5pm Monday-Friday) Text: 07781 472622 (texts only) Email: [email protected] Website: www.ben.org.uk If you would like more information on this report, please contact the Editor, Professor Peter N C Cooke of the Centre for Automotive Management at The University of Buckingham Business School – [email protected]. Ben Book of Numbers 2012 1 Contents 1 Global, European New Car Market 3 2 UK New Car Market 18 3 UK Used Car Market 35 4 European New LCV and HCV Markets 48 5 UK New LCV and HCV Markets 56 6 UK Fleet and Business Markets 63 7 UK Private New Car Market 68 8 European and UK Aftersales Markets 72 9 UK Car Finance Market 77 10 European and UK Retail Motor Industries 80 11 UK Motorcycle Market 89 This report is intended for information only. Neither BEN nor The University of Buckingham can accept any responsibility or liability for consequences arising from its interpretation or implementation. The number one vendor to auto finance lenders RetaiL | FLeeT | WhoLeSALe CALMS2 is the only end-to-end solution for banks, captives and independent finance companies, trusted by more than 100 customers in 27 countries. • Agile, end-to-end multi-channel technology platform • The complete lifecycle of leasing/financing contracts, from initial customer contact all the way through to contract renewal • Multi-country platform that provides cost and control benefits with local flexibility – multilingual, multi-currency, multicultural • Instant decisioning and instant take-on in an easy-to-use, seamless environment • Out-of-the-box functionality that is industry-proven and fast to implement – with complete tailorability whiteclarkegroup.com Call +44 (0)1908 576 699 or email: [email protected] ATLANTA | LoNDoN | MUNiCh | ShANGhAi | SYDNeY | ToRoNTo | VieNNA Global, European New Car Market 1.1 European motor industry; key figures 4 1.2 World car production; 2000 – 2011 6 1.3 World car production by region; 2007 – 2011 6 1.4 European car production; 2003 – 2011 7 1.5 European car production by country; 2007 – 2011 7 1.6 Origin of most EU Car imports (€Mn); 2007 – 2010 8 1.7 Origin of EU Car imports (Units); 2007 – 2010 8 1.8 Main destinations of EU car exports (€Mn); 2007 – 2010 9 1.9 Main destinations of EU car exports (Units); 2007 – 2010 9 1.10 European assembly and engine manufacturing plants; 2011 10 1.11 New car registrations major global markets; 2010 10 1.12 New car registrations global markets by region; 2010 11 1.13 European (EU27/EFTA) new car registrations; 2003 – 2011 11 1.14 European (EU27/EFTA) new car registrations by country; 2007 – 2011 12 1.15 European (EU27/ EFTA) new car registrations by marque; 2007 – 2011 13 1.16 Western European (EU15) new car diesel market share; 2000 – 2011 14 1.17 Western European (EU15) new car diesel by country; 2007 – 2011 14 1.18 Western European (EU15) new car registrations by segment; 2000 - 2011 15 1.19 Western Europe (EU15) cars in use (car parc); 2000 – 2008 15 1.20 Western Europe (EU15) cars in use (car parc) by country; 2004 – 2008 16 1.21 European car density per 1,000 population by country; 2009 16 1.22 European demand for cars <120gCO2/km; 2000 – 2010 17 1.23 European CO2 emissions share of new car market; 1995 – 2010 17 Global, European New Car Market European and World New Car Market Europe has a population of some 500 million and a car parc of around 236 million passenger cars, 199 million of them in Western European countries. It also has the world's highest car density of 466 cars per 1,000 inhabitants, compared with 454 in Japan and 444 in the United States. Europe's motor industries employ 2.3 million people in vehicle manufacturing and a further 10.3 million in the component supply chain, distribution and sale and maintenance of vehicles. Europe is the largest producer of motor vehicles in the world, with an output of some 17 million passenger cars, light and heavy commercial vehicles and buses per year. Its automobile industries have an annual turnover of €536 billion and are the leading export sector with a net trade balance of €57 billion per annum – see Figure 1.1. 1.1 European motor industry; key figures Production Motor Vehicles (Worldwide) 2010 77.6 Mn units Motor Vehicles (EU27) 2010 16.9 Mn units 22% of worldwide production Passenger Cars (Worldwide) 2010 58.3 Mn units Passenger Cars (EU27) 2010 15.1 Mn units 26% of worldwide PC production Production Value 2007 756 Bn euro New Registrations MV (Worldwide) 2010 70.0 Mn units MV (EU27) 2010 15.1 Mn units 22% of worldwide MV registrations Passenger Cars (Worldwide) 2010 56.1 Mn units Passenger Cars (EU27) 2010 13.4 Mn units 24% of worldwide PC registrations Diesel (Western Europe) 2010 52% Share Employment Manf. Motor Vehicles (EU27) 2007 2.3 Mn people 7% of EU manufacturing industry Total (incl. indirect, EU25) 2007 12.6 Mn people 6% of EU employed population Turnover ACEA members 2008 536 Bn euro R&D Investment ACEA members 2008 26 Bn euro 5% of turnover Value Added EU27 2007 155.4 Bn euro 9% of manufacturing sector Exports Extra-EU27 2010 83.3 Bn euro Imports Extra-EU27 2010 26.2 Bn euro Trade Balance 2010 57.1 Bn euro Car Parc (EU27) Total Motor Vehicles 2009 270.8 Mn units Passenger Cars 2009 236.1 Mn units Motorisation rate (cars) 2009 466 per 1,000 inhabitants. Source: European Automobile Manufacturers Association (ACEA)) Ben Book of Numbers 2012 4 Global, European New Car Market Car production World passenger car production fell during the economic downturn from 58 million in 2008, to 47.8 million units the following year (Figure 1.2) – recovering to 58.2 million in 2010 and 59.9 million in 2011. Output was strongest in China which saw its car production rise from 10.4 million units in 2009 to 14.5 million in 2011. Also, in Europe, overall, where car production rose by three million units in the two year period, from 15.3 million in 2009 to 18.3 million in 2011 (Figure 1.3). While EU27 car production improved to 15.7 million in 2011 from 14 million units two years earlier, this is some way short of the all-time high output of 17.1 million cars reached in 2007. New car registrations Europe's (EU27) new car registrations, which reached a record 16 million units in 2007, dropped to 14.5 million in 2009 at the height of recession, even with the support of new car scrappage incentive schemes in 13 EU countries (Figure 1.13). EU new car volumes continued to slide in 2010 and 2011 to 13.8 million and 13.6 million units respectively – as many economies struggled to recover and the Eurozone crisis caused wide-spread uncertainty. European new car sales remain fragile in 2012; down nearly half a million units (6.9%) to 6.49 million for January to June, compared with the same period the previous year. Indeed, sales of new cars in Europe have settled over two million units lower than the average for the five years prior to the 2008/2009 economic downturn. European states configuration EU15 Austria, Belgium, Denmark, Finland, France, Greece, Germany, Ireland, Italy, Luxembourg, the Netherlands, Portugal, Spain, Sweden, the UK EU25 EU15 plus the Czech Republic, Estonia, Hungary, Latvia, Lithuania, Poland, Slovakia, Slovenia EU27 EU25 plus Bulgaria, Romania EFTA3 Iceland, Norway, Switzerland Western Europe EU15 plus EFTA3 Ben Book of Numbers 2012 5 Global, European New Car Market 1.2 World car production; 2000 – 2011 59.9 60.0 58.2 53.2 53.0 49.9 50.0 46.8 47.8 44.6 41.2 41.4 42.0 39.8 40.0 30.0 Million cars 20.0 10.0 0.0 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 1.3 World car production by region 2007 – 2011 1,000 units 2007 2008 2009 2010 2011 Europe 19,331 18,381 15,247 17,271 18,272 of which EU27 17,104 15,955 13,989 15,289 15,702 of which EU15 14,216 12,849 11,038 12,139 12,451 of which EU new members 2,887 3,106 2,951 3,150 3,251 of which Russia 1,289 1,469 599 1,208 1,738 of which Turkey 635 622 511 603