Automotive retail is a competitive industry, but it might probably profit from collaboration to tackle a number of the structural issues equivalent to consumer trust and workplace inclusivity, argues Aimee Gethin, chief operating officer at Zuto.
It was industrial carmaker Henry Ford who said: “If everyone seems to be moving forward together, then success takes care of itself”. Nevertheless it’s only in recent times that the second-hand automotive market has begun to embrace this spirit of collaboration.
Previously couple of a long time the industry has modified dramatically. Technology is changing the best way people buy cars, in addition to the cars they buy. Newer entrants to the market – fintechs and marketplaces like ourselves – are introducing latest ways of doing things. Dealerships and lenders which were established for a long time are having to adapt to the digital world, and we’re seeing a whole lot of collaboration to enhance the best way all of us work together.
Nevertheless it’s not nearly tech: much of the disruption we’re currently experiencing is about improving our industry. Trade associations and regulatory bodies are making everyone consider more responsible working practices. While competition and profit have at all times been motivating forces in our businesses, we should always see this as an industry wide challenge, one which we are able to tackle together to make our ecosystem fairer and more transparent for the shopper and produce more equality to the workplace.
Putting the shopper first
It’s now over thirty years since Vauxhall began one in all the earliest manufacturer approved used automotive schemes, guaranteeing the standard of some its second-hand models. This approach was soon adopted by other manufacturers, including Ford, as the rise in consumer confidence was seen to translate right into a boost in sales.
Despite this and other positive actions, the used vehicle and automotive finance sectors have historically been suffering from reports of bad practice and unfair lending rates.
Thankfully the fashionable used automotive and finance sectors at the moment are a really different place and this goal is shared by lots of our peers and partners. It has been placed firmly on the agenda for all finance providers with the introduction of the Consumer Duty by the Financial Conduct Authority (FCA), tasking businesses to make sure that good outcomes for the shopper are at the guts of all the things they do.
Measures equivalent to these rely on the co-operation of all involved. A hugely essential role is played by trade associations, equivalent to the Society of Motor Manufacturers and Traders (SMMT) and the Finance and Leasing Association (FLA).
What’s more, these associations don’t simply foster collaboration between competing organisations – in addition they help to drive the entire industry forward.
Collaboration breeds success
This shared goal of putting the shopper first is at the guts of the movement towards collaboration. It’s in everyone’s interest for the shopper experience to be as smooth as possible after they are on the lookout for cars and finance online. Clarity and the standard and speed of response are key – and technology may also help to facilitate that. Nevertheless, it’s essential to not lose the human touch. Providing the choice of talking to a trained human operative ensures that every one customers can have the extent and variety of service and communication they need.
While putting customers first, our industry also has an obligation of care towards employees. Automotive retail is a big UK employer, providing many wide and varied profession opportunities, however it shouldn’t be known for being probably the most diverse – we would all prefer to see a more inclusive, diverse working environment across the industry. Becoming an employer of alternative helps an organisation to stay competitive, however it’s essential to bring everyone along on this journey of self-improvement.
Don’t get me improper – I’m not suggesting that competition doesn’t exist, nor that it’s a foul thing. The used automotive market is currently doing well. SMMT figures show that it’s currently hitting a five yr high by way of sales. But we are able to’t take this without any consideration.
For all of us to thrive, we’d like to be certain that we share common goals and a mutual desire to make ours an industry that’s recognised as being transparent, fair and responsible. This may help us to grasp Henry Ford’s vision, and success will maintain itself.
Aimee Gethin, chief operating officer, Zuto
This Article First Appeared At www.am-online.com
