Monday, January 28, 2008

Importance of dealer councils

Twenty-seven of the 33 main carmakers in the UK have a dealer council. According to the NFDA dealer attitude survey, they range from the effective – Jaguar, Toyota – to the ineffective – Volvo, Saab. Most are ranked between 2.5 and 3.0 out of five; in other words 50-60%, a ‘C’ grade at best.
Of the six carmakers without a dealer council, Mercedes-Benz has a European council with UK representation, Skoda has a regional business development group and Suzuki is planning to introduce one. Mazda and Seat have a less formal Dealer Forum, while Daihatsu has no official body.
Dealer councils have an important role to play in the interface between manufacturer and retailer. They gather views from the network to put to senior management and they develop ideas to improve the performance of both network and carmaker.
Good examples come from Ford, with its attention to the Project 50 cost savings/profits programme, Honda with its focus groups and Citroen with its three working groups. Each is listening to what the dealers are saying.

DATED: 28.01.08

FEED: AM





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