News

In the first of this series, we talked about becoming a ‘destination retailer’ by providing a fantastic service-led ethos that customers can believe - now we're going to look at your online persona. Rather than take on the major manufacturer and retailer brands, independent dealers can compete in terms of personality and service, especially online. Yet all too often the first visit to a dealer, which will invariably for most customers will be online, can fall short in terms of; passion, authenticity and evidence. This is a big miss – to address this, it is time to start thinking about your online persona.

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.

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.

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.

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.

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.

The trends noted last year, including the sizeable 30% reduction in diesel car sales and robust 21% rise in demand for alternative-fuelled vehicles (AFVs), are set to continue and maybe intensify. Read about how this might affect you and your dealership.

Electric vehicles (EVs) are beginning to make their presence known in the used car market and with new EV sales up by around 20% last year and many manufacturers now working to introduce new EV vehicles, the market is set to expand rapidly.

MotoNovo Finance has become part of the Aldermore Group, following its successful integration with the UK specialist bank. Our CEO, Mark Standish, views the integration as the latest exciting step forward for the motor finance company...

Drive magazine is your quarterly deep dive into the world of motoring – this month, our CEO discuses the FCA review and the possible impact it could have on dealerships and our feature journalist, Debbie Kirlew, takes a look into the effect of electric vehicles on the used car market.

We’ve launched the second issue of Drive magazine with even more news and industry insights to keep you ticking over. MotoNovo’s CEO, Mark Standish, talks about ‘owning the future’ and the opportunities there are for dealers in 2019 and we hear from one of our dealer partners on how MotoNovo funding will be helping them take their dealership to the next level.

Changing appetites towards risk in unsecured lending look set to continue, opening up opportunities for used car dealers.