Thursday, October 23, 2008
Experts predict UK will have fewer car dealers
There will be significantly fewer car retailers operating in the UK in the years to come, as a result of vehicle manufacturers tightening control over dealership standards, according to analysts PricewaterhouseCoopers.
Chris Kent, a director in the automotive team at PricewaterhouseCoopers, will be presenting at the forthcoming EurotaxGlass's conference entitled 'Driving Business - opportunities for profit and growth in an uncertain market'. Speaking ahead of the event, he said that many more dealers are expected to follow those that have already closed their doors this year. The theme will be explored in greater detail at the event, being staged on 13 November at the National Motorcycle Museum in Birmingham.
"Manufacturers have introduced ever-stricter standards for those who hold franchise agreements, in an effort to exercise closer control over their brand's corporate identity," said Kent. "Such restrictions will cause some dealers to resign the franchise while others will be forced out, leading to a smaller pool of businesses representing each marque. Competition for sales will remain fierce, however, with a broader range of car brands chasing what may well be a dwindling number of prospective buyers.
"With current economic conditions already a serious threat to the viability of some dealerships, further closures seem inevitable."
Kent will speak at the conference alongside representatives from some of the biggest companies in the world, including Google and YouTube.
"Input from PricewaterhouseCoopers will give our conference a real sense of relevance, at a time when dealers are under greater pressure than ever," said David Burdett, Managing Director at EurotaxGlass's.
"The demands of consumers, manufacturers and legislators all shape a dealer's business, but the wider economy is possibly the greatest influence at present. Delegates will receive constructive advice on maximising profitability during these challenging times."
DATED: 23.10.08
FEED: AW
