Tuesday, April 15, 2008
Cinderella stock can boost dealers’ profits
Older used cars are the Cinderella stock of the dealer’s forecourt.
They go unloved, unnoticed and often unsold, destined for a life being traded in the independent sector. But are franchised dealers missing a major profit opportunity? Pendragon chief executive Trevor Finn thinks so.
He recently announced that his group would be looking to older used cars as a steady source of income that offered a safer bet for profits compared to the price fluctuations currently hitting the nearly new market. He said: “We will be recycling more of our own second-hand cars. The bulk of them will now get retailed.” Finn is determined that better income will be earned from the used cars available and has estimated that an average of only £35 a car is necessary to lift group earnings by £10 million.
DATED: 15.04.08
FEED: AM
They go unloved, unnoticed and often unsold, destined for a life being traded in the independent sector. But are franchised dealers missing a major profit opportunity? Pendragon chief executive Trevor Finn thinks so.
He recently announced that his group would be looking to older used cars as a steady source of income that offered a safer bet for profits compared to the price fluctuations currently hitting the nearly new market. He said: “We will be recycling more of our own second-hand cars. The bulk of them will now get retailed.” Finn is determined that better income will be earned from the used cars available and has estimated that an average of only £35 a car is necessary to lift group earnings by £10 million.
DATED: 15.04.08
FEED: AM
