Stay ahead of the game with the help of European Customer Solutions

The latest industry figures show that new car sales in the UK rose 13.5% in May 2010, compared with the same month a year ago. In addition statistics from the RMI Dealer Attitude Survey (DAS) show increased confidence and rising profits across dealerships. With such great statistics it can be tempting to relax a little, but Allan Monteath from European Customer Solutions (ECS) warns dealers to remain vigilant and continue to improve processes in order to save on unnecessary costs. During the economic downturn manufacturers and dealers alike have been challenged, and surviving until this point is a great achievement in itself. But things are looking up. The recent figures from the Society of Motor Manufacturers and Traders (SMMT) show that new car sales in the UK rose 13.5% in May, compared with the same month a year ago. This is the eleventh successive monthly rise, with the number of new cars sold in the UK during the month at 153,095 compared with 134,858 in May last year.
		• Allan Monteath is managing director at European Customer Solutions, which works with motor manufacturers and dealers throughout Europe to improve efficiency and increase profitability.
In addition the recent Retail Motor Industry Dealer Attitude Survey (DAS) found that 78% of dealer networks are reporting a rise in their profit rating. As for the coming months, dealers seem more confident as regards profits with an increase to the all-dealer average score from 3.3 to 3.5. However, now that confidence is picking up again it is important that complacency is avoided and that the motor industry maintains a tight handle on costs and standards. Ensuring a quality standard for consumers and putting in place efficiency levels and guidelines is the best way to guarantee long term success. Allan (above) said, "At ECS we believe that having a benchmarked standard for processes will not only serve to maintain quality standards across all dealers, but help to lower their costs by achieving maximum efficiency throughout the business.		Having worked within the motor industry for many years, the team at ECS has defined two key areas which can help improve efficiency and increase profitability throughout the entire supply chain, from dealerships, to importers and distributors, through to the manufacturer". 1. Aftersales Management – look at all areas of aftersales activity as a way to improve dealer profitability; from the overall customer experience to best practice business improvements within the workshop, through to bodyshop and parts; there is a huge array of activity that can be put in place to boost profitability. 2. Warranty Management and Control – closely related to the first point; ensuring you have an effective warranty management system in place can ensure time and money is only spent where it is required and helps to build confidence and trust between manufacturers, distributors and dealers. Implementing warranty standards and undertaking training programmes to ensure everyone involved in the warranty process makes it run smoothly can result in significant business benefits and cost savings across the board.
"At ECS we work closely with our clients providing productivity and efficiency analysis, along with financial and business reporting and recommendations to ensure that all aftersales areas are working effectively. This has resulted in some fantastic savings but also increased customer satisfaction and customer loyalty – which in turn improves the long term stability of the business. "The next year is likely to remain tough for businesses, but if the motor industry can work as a whole to improve all areas of the business and make sure it is running as efficiently as possible then hopefully dealers will continue to feel optimistic and we’ll see another increase in sales and even better scores for the next Dealer Attitude Survey."