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AUTOMOTIVE MANAGEMENT June 2018 £8.00 AUTOMOTIVE MANAGEMENT www.am-online.com June 2018 £8.00 NEW MOT RULES / P6 Tougher test may boost workshop volumes SUBARU / P34 We have turned a corner, says MD Chris Graham DIGITAL DEALER / P41 Technology to help you in new sales, used sales and aftersales STEPHEN BRIGHTON – HEPWORTH MOTOR GROUP / P24 ‘WE WANT TO GROW, BUT NOT AT ANY COST’ adRocket Using the iConsent module, on average customers select the following marketing options: FP_AM_Advert1605id3486601.pdf 16.05.2018 15:56 EDITOR’S LETTER he label ‘Made in Germany’ has long been regarded as a stamp of quality, given the country’s reputation for engineering and attention to detail. However, it seems that ‘Decided by Germany’ is becoming a painful reality for some UK franchised dealers. BMW has received a public thrashing during an inquest into a fatal car crash in the early hours of Christmas Day, 2016. Woking Coroner’s Court heard that the crash occurred after Narayan Gurung, a former Gurkha in his 60s, swerved to avoid an unlit BMW, which had broken down on a major road. T It emerged at the inquest that BMW had known about an electrical fault that caused some cars to stall and lose their lights since 2011. It had recalled vehicles in some other countries, but not in the UK. Shamefully, it did not recall them until after Gurung’s death. Even then, it recalled 36,410 cars, fewer than 10% of the number the DVSA asked for. BMW UK was unable to explain the delay at the inquest, except to say that recall “decisions are made in Germany” and the fault was not considered “critical”. Wasn’t this first phrase something we heard at the height of the Volkswagen Group emissions scandal, too? At the time, I learned dealers and VW Group UK staff were warned of “career-limiting actions” in case they spoke out of turn and without the sign-off from HQ in Germany. After BMW’s bad press this month, its recall has just been extended by 312,000 UK cars aged seven to 11 years old. That’s up to 2,136 vehicles for every BMW workshop, in a network where many franchisees made little money in 2017. Let’s hope Germany properly supports our franchised dealers in clearing up another mess. MEET THE TEAM Tim Rose Tom Sharpe Stephen Briers Jeremy Bennett Editor News and Editor-in-chief Head of digital/ features editor associate editor am-online.com JUNE 2018 3 adRocket Grip ENHANCED BY GERMAN TECHNOLOGY Feel the thrill of perfect grip. Some of the world’s best runners and cyclists rely on our compound technologies to deliver perfect grip. They trust our car tyre technology for the ultimate performance on every road and every track. So if you’re on two feet, two or four wheels our compound technologies keep you moving safely and deliver the thrill of perfect grip. Follow us www.continental-tyres.co.uk FP_AM_20426Contiid3473972.pdf 03.05.2018 14:51 CONTENTS 34 Subaru UP FRONT INSIGHT 6 News insight 24 Face to face: 31 5 minutes with... 34 Brand values: 10 Hepworth Alistair Horsburgh Subaru News digest Motors Group 14 The chief executive of Better availability is helping Market intelligence MD Stephen Brighton CitNOW on the growth of to improve on 2017’s low 20 Opinions wants to grow, but not at video and imaging and why volumes and NFDA scores, the expense of his staff VR has been overplayed says MD Chris Graham TALENT SPOTLIGHT: THE DIGITAL DEALER 62 Replace or re-train 42 Digital tools for 45 Online benefits 49 Technology to staff for online skills? new car sales in aftersales drive used sales 63 People on the move The communication and Innovations that improve From valuations to vehicle F&I technology to help revenues and retention tracking, apps can boost 66 AM Digitech drive new car sales in the service department your pre-owned profits conference 70 Eight questions to... Phil Regan, head SHOWROOM of digital product marketing, Vertu 54 Mercedes-Benz A-Class 58 Long-term report am-online.com JUNE 2018 5 NEWS INSIGHT TOUGH NEW MOT RULES MAY BOOST WORKSHOP VOLUMES Severe penalties for vehicles ruled unsafe by new MOT may give franchised dealers greater retention and upsell opportunities as more motorists avail of pre-test vehicle health checks fear of MOT failures Any motorist found to have left a keep close tabs on their vehicle’s director of Brayley Cars, said under strict new test centre in their vehicle following health and legality. franchised dealers offering superior rules from the identification of such faults will face Martin Riddell, account director at service levels to independents could A Vehicle and Operator a £2,500 fine and six penalty points Coachworks Consulting, said: see them attract customers under Services Agency on their driving licence. “Dealers should have already the new rules. (VOSA) may deliver more motorists Among the faults that trigger an started to communicate with their He said: “We carry out a visual into franchised dealers’ workshops. instant fail are a faulty or missing customers to make them aware of inspection of every vehicle that Under the new legislation, intro- diesel particulate filter and the the changes and why they are better comes in for an MOT and our duced on May 20, vehicle faults installation of high-discharge qualified than anyone else to technicians are manufacturer- categorised as ‘major’ or ‘dangerous’ headlight bulbs. undertake the work and make any trained to spot anything that might in a new three-tier test will make it The threat of such severe penalties subsequent repairs on vehicles with be wearing or not quite right. illegal for a motorist to drive away in may lead to more motorists taking ‘dangerous’ or ‘major’ fails under the “Should a customer want any their vehicle – even if it has time to advantage of vehicle health checks new system.” remedial work carried out, they run on its existing MOT certificate. (VHC) from franchised dealers, to Paul Brayley, the managing know that we can bring it right up to 6 JUNE 2018 am-online.com SEND US YOUR NEWS If you have any news stories you’d like to let us know about email us at [email protected] TREATED DVSA INQUIRY & MANUFACTURER RECALLS RIGHT, THE The Driver and Vehicle that concluded certain models MOT IS A VERY Standards Agency (DVSA) has could stall without warning. begun an investigation into BMW 1 Series, the 3 Series, GOOD RETENTION TOOL Vauxhall’s handling of fires in the Z4 and its X1 petrol and its Zafira B people-carriers in a diesel models made between AND IT’S SOMETHING month that also saw BMW March 2007 and August 2011 and Volkswagen announce are affected by the recall, which MORE FRANCHISED safety recalls. follows the recall of 36,410 Reports suggest more than petrol cars last year. RETAILERS SHOULD BE 300 Zafira cars have caught fire An investigation by the BBC’s WORKING TO PROMOTE in recent years and the DVSA Watchdog programme said has confirmed to the House of BMW had now recognised there PAUL BRAYLEY, BRAYLEY CARS Commons transport select may have been similar committee that it is working problems in cars not covered on the case with Trading by the first recall, which came standard with manufacturer- However, he added: “Dealers have Standards officers in Luton. after the death of Narayan approved parts, something that to be very careful that they don’t A report by the committee Gurung, who was travelling could hold even greater value under use them as overt upselling found Vauxhall was slow to with his wife on Christmas Day the new rules. opportunities. begin a full investigation into in 2016 when their Ford Fiesta “Treated right, the MOT is a very “The Department for Transport the fires and acted prematurely crashed into a tree to avoid a good retention tool and it’s certainly does not allow dealers to conduct by attributing them to improper broken-down BMW in something that more franchised vehicle health checks during an repairs by third parties. Guildford, Surrey. retailers should be working hard MOT test because it should not be Andy Rice, the DVSA’s In the same week as BMW’s to promote.” used as a selling tool. Those caught head of counter-fraud and recall, The Volkswagen Group doing so can be penalised with investigations, told the Press urged motorists to not use the The MOT as retention tool points added to their MOT licence. Association: “We have made it rear-left seatbelt on the Polo The results of the National “However, VHCs can be conducted clear to manufacturers that to and on two Seat vehicles after Franchised Dealers Association before or after an MOT test. If protect consumers, they should Finnish magazine Tekniikan (NFDA) Spring 2018 Consumer dealers adhere to this, then they swiftly rectify problems and Maailma found they could Attitude Survey illustrate that have a valuable opportunity to sell meet their obligations under unexpectedly unfasten. consumers trust franchised dealers red and amber work. Dealers do the code of practice.” The manufacturer has issued more with their cars, but price have a duty of care to customers to Days after the DVSA’s a recall for 12,000 new perception remains an issue. perform VHCs on all cars on their announcement, BMW issued a Volkswagen Polo, Seat Arona The survey of 1,000 consumers, ramps, but we advise them to recall for 312,000 cars in the and Seat Ibiza models, carried out by Public Knowledge, adhere by the rules.” UK, following an investigation according to The Mirror.
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