SM&CR is on the horizon, are you ready?
By the end of 2019, all solo regulated firms, including dealerships, will have to switch to and comply with the new Senior Managers & Certification Regime (SM&CR)for finance and its specific requirements. In a nutshell, SM&CR embodies the principles of good conduct and a culture that is set up to ‘do the right thing’ for customers. So, are you ready for SM&CR and the additional responsibility it will place on you?
Keep it Simple when Talking Turkey
Jargon and acronyms are rife in the automotive sector so it’s not surprising we end up talking our lingo to consumers who are unlikely to have a clue what we’re on about. It can be even worse when it comes to vehicle finance with consumers expected to fathom out a barrage of information.
Why used car sales are driving dealer profitability
Used car sales saw a solid performance in the UK in Q1 of 2019, with sales down by just -0.6% year on year, highlighting the stability of the industry with more than 2 million transactions. We’ve seen a 30% growth in demand for hybrid, plug-in hybrid and pure electric cars and we remain confident that the industry will continue to grow.
The future of commission models
Change in dealer F&I lies ahead with the Financial Conduct Authority currently consulting with the industry following its review of motor finance. Ahead of this change, we’ve considered the key areas that may change and what they may mean for dealers – first up is commission structures.
Creating a ‘Destination Dealership’ – it starts online
In an increasingly digital car retailing environment, dealers could benefit from a ‘destination’ ethos. The starting point is where the customer invariably starts their car buying journey and that is online.
The FCA Motor Finance Review: what should dealers be doing now?
In their recent report on motor finance, the FCA made clear that they would be consulting with the industry on long term changes to the market - and that further scrutiny should expected. The report was also clear on the FCA’s expectation that action should be taken now to improve compliance with current requirements and ensure fair treatment of customers.