ACCORDING TO THE SMMT, around 8%, or roughly 300, of the 3800 main dealers that it represents are what can be termed single-site franchise businesses. Many are those just described, with longterm brand relationships and deep connections with their local communities.
It sounds like automotive business utopia, but the much-trumpeted sales agency sales model, whereby the manufacturer sells cars directly to customers at fixed prices, could spell trouble.
It leaves dealers as kind of ‘experience centres’, fielding enquiries, handing over new cars, servicing customers’ cars and retailing used ones.
But Jim Saker, president of the Institute of the Motor Industry, believes the agency model could be the saviour of independent dealers.
He said: “It’s a bit of a win for them. It takes new car stock off their balance sheets,…