The Warranty Co

Happy New Year

noreply@blogger.com (The Warranty Co) — Fri, 02 Jan 2009 09:33:00 +0000

The Directors & Staff of The Warranty Co wish all our customers a Healthy, Happy & Wealthy New Year.

Warranties & Insurance are important weapons in every dealers' armoury

noreply@blogger.com (The Warranty Co) — Fri, 19 Dec 2008 11:14:00 +0000

Times are extremely tough at the moment, and there doesn’t seem to any light yet at the end of this particular tunnel. Certainly there are casualties in many sectors of the economy, including pay cuts and job losses. The impact on car dealers has been significant with reported sales and profit levels well down in many cases.

“Glimmers of hope”

There are, however, some glimmers of hope. Not everyone is completely skint, not everyone will lose their job. There is a general feeling that the media, newspapers and TV, are just too ready (and perhaps a little too happy) to keep bringing us the bad news. We know that people are still buying cars, and the car is still, and will continue to be, the preferred if not the only transport option for many of us.

“Take the ‘Do Nothing’ option at your peril”

So what can be done? There is no easy answer. Feedback from our dealer customers is uniform – times are tough, and there is no getting away from this. Now is the time then to seriously re-evaluate your business, making sure that you are taking full advantage of all the opportunities, whilst fully controlling costs. Will you be able to do enough to weather the economic storm, especially through the traditionally quieter month of December? Time will tell, but one thing is for certain – take the ‘Do Nothing’ option at your peril.

We have seen car prices for mid range and large prestige cars plummet over recent months. Conversely the small car has held its value, and once sold this stock is extremely hard to replace. There are used car forecourts full of Mondeos and other mid range family saloons that, although the prices have dropped dramatically, are not catching the attention of buyers. Both Car Tax and fuel prices play an important role in this. Car Tax is a particularly emotive issue, and many dealers have reported being unable to sell a car to an individual customer because of a £35 proposed annual change in Car Tax! We have heard reports that the current planned increases may be adjusted, but we are unable to confirm this at the time of writing. Private individuals are still selling cars, and dealers who actively look to buy vehicles directly from the public have reported a steady flow of opportunities.

“The appetite for sub-prime business has disappeared all but completely.”

The world of finance has changed beyond recognition. The appetite for sub-prime business has disappeared all but completely. However, finance is still an important tool in persuading the prime customer that now is the perfect time to change his car – prices have never been keener, nor dealers prepared to work harder! Ask your finance company about the costs associated with offering prime customers 50% of the purchase price at 0% over a two year period – paying the interest subsidy may just bring in additional customers, as interest free finance has always been a powerful and successful sales tool since first used by Lee Iacocca to uplift sales of the Ford Mustang in the 1960s.

“If You Don’t Ask, You Don’t Get...”

Warranties are also an important tool in the dealer armoury, and always work best when the customer understands the associated terms and conditions and contributes towards the overall costs. We have seen a definite move towards offering all customers a basic warranty and actively giving every customer the option of upgrading and/or extending the cover. Of course there are a number of customers out there who are putting every last penny (and more!) in to their purchase and have nothing left with which to buy cover – but the old adage rings true here: If You Don’t Ask, You Don’t Get...

“…small profits from part exchanges critical to meeting the overheads each week.”

Every £1 is important, and never more so than now. Our dealers report that they are working much harder than ever before, and that they are finding small profits from part exchanges critical to meeting the overheads each week. The advantage of a part exchange trade sale of course is the fact that generally it is the end of the transaction and associated responsibilities, whereas with a retail sale enough of a margin needs to be made to ensure that the customer can be looked after post-sale. This is necessary due to the customers’ enhanced legal rights when purchasing a used car, and also for the practical commercial reasons of maintaining dealer reputation.

“Valuation Gap Insurance”

Any product that can bring additional revenue must be considered. Several dealers have recently taken on Valuation Gap Insurance, either as FSA authorised in their own right, or as an Appointed Representative. This product insures back to the value at time of policy sale and is not tied to the sale of the vehicle. It is suggested that dealers can offer customers on their database this product, whilst also canvassing them about when they are likely to consider changing their vehicle – actions which will generate sales leads and will also present the opportunity to bring the customer forward in the buying cycle. Vehicle valuation is a topical subject in light of recent dramatic movements, and a ready audience is waiting to hear dealer opinion.

“Google reported recently that 32% of buyers only visit one dealer in the car purchase process.”

It is a fact that dealers are seeing many fewer customers than they used to. This is not only down to the present economic climate. Google reported recently that 32% of buyers only visit one dealer in the car purchase process. The days when families would spend the weekend visiting many dealers are changing – research now takes place at home via the Internet, which means in 32% of cases only one dealer got the chance to sell a car. Shopping on the Internet is great – most of us do it. A key advantage is being able to shop by price – great if you are a customer, but margin eroding if you are the seller; and therein lies the dichotomy: too expensive and no one will see you, too cheap and you make no money. Facilities such as finance, warranties, and other add-ons can help in differentiating your offer, and perhaps getting noticed through the crowd. The main car advertising channels on the Internet do not always make this differentiation easy – in fact they very much categorise everything making your offer the same as the next dealer’s. Other media may offer flexibility and opportunities – the local paper, for example, although our feedback is that this media has lost much of its traditional effectiveness.

“Call to action”

We have a number of dealer customers utilising leaflet drops, where a leaflet is designed and printed with exciting cars and offers including finance and warranty. An important element in any marketing communication is the ‘call to action’, i.e. telling the customer what to do next. An attractive well designed flyer, with an inviting time bound offer, delivered to a few thousand local homes will generate interest, awareness, and some sales. A key advantage is that the dealer writes his own copy and includes his own offers, and has total flexibility in presentation – this is not the case if one is merely advertising using the templates provided by the online car advertising companies.

“…helping dealers to generate additional revenue,”

Other products such as Tyre and MOT Test Insurance also have their place in helping dealers to generate additional revenue, and also making interesting packages of products available, which can be sold or marketed and are additional opportunities to generate interest in their business.

“…up to date with all of the tools at our disposal”

Times are not going to be easy, and some things will never return to the way they were. We are all going to have to understand that the customer gets ever more educated and sophisticated, and to be successful we are going to have to be right up to date with all of the tools at our disposal.

AM Supplier Guide 2008

noreply@blogger.com (The Warranty Co) — Fri, 19 Dec 2008 11:07:00 +0000

The Warranty Co UK Ltd is proud to sponsor the December 2008 edition of The Essential Guide to Suppliers.

Managing Director Les McLaughlin says, “Like all companies our marketing budgets are under permanent review, and never more so than now. The opportunity to sponsor The Essential Suppliers Guide came along, and we saw straight away that this is a perfect fit with our philosophy of delivering products and services that are structured and implemented to meet individual dealer objectives – including those involving other suppliers.

“We pride ourselves on our experience and motor trade knowledge, and frequently help dealers in areas such as supplier choice and marketing.”

Please call Wendy on 0870 8034 707 to arrange an informal chat with one of our team.

Why it is better to be the boss

noreply@blogger.com (The Warranty Co) — Fri, 23 May 2008 18:01:00 +0000

Friday Fun
This made us laugh!

Any Questions?!!!!!

Catalytic Converter

noreply@blogger.com (The Warranty Co) — Wed, 23 Apr 2008 15:37:00 +0000

Catalytic Converter Thefts

A local news story today reports that Bedfordshire Police are warning motorists to be alert after the latest spate of metal thefts.

Thieves have been cutting the Catalytic Converter out of cars and trucks.
Catalytic Converters reduce omissions and each one contains approx. 1-2 grammes of platinum.

It is thought the rising cost of platinum is to blame.

A truck dealership in Bedfordshire has been targeted 3 times. In total they have had 15 Catalytic Converters stolen from their vehicles. The dealership estimates that as scrap the thieves get £30 - £40. It cost the dealership in excess of £900 to repair each vehicle.

Bedfordshire Police confirm that although these thefts are rare, thieves are targeting the retail industry. They urge retailers and private individuals to be vigilant.

Scumball rally - The Car

noreply@blogger.com (The Warranty Co) — Tue, 15 Apr 2008 13:46:00 +0000

Scumball Rally

The Warranty Co are delighted to sponsor a car in this years Scumball Rally.

Danny and Team Battle Cruiser have got the car ready, it looks great!

Good luck to the team and as soon as we get some feedback we'll let you know how they did!

Drive me crazy

noreply@blogger.com (The Warranty Co) — Wed, 05 Mar 2008 17:30:00 +0000

A wife was making a breakfast of fried eggs for her husband.

Suddenly, her husband burst into the kitchen.

"Careful," he said, "CAREFUL! Put in some more butter! Oh my GOD! You're cooking too many at once. TOO MANY! Turn them! TURN THEM NOW! We need more butter. Oh my GOD! WHERE are we going to get MORE BUTTER? They're going to STICK! Careful . CAREFUL! I said be CAREFUL! You NEVER listen to me when you're cooking! Never! Turn them! Hurry up! Are you CRAZY? Have you LOST your mind? Don't forget to salt them. You know you always forget to salt them. Use the salt. USE THE SALT! THE SALT!"

The wife stared at him. "What in the world is wrong with you? You think I don't know how to fry a couple of eggs?"

The husband calmly replied, "I just wanted to show you what it feels like when I'm driving."

Scumball Rally

noreply@blogger.com (The Warranty Co) — Wed, 05 Mar 2008 12:45:00 +0000

Scumball 3000

The Scumball rally takes place 18th April- 21st April 2008.

With an entry list of 80 vehicles (each vehicle worth no more than £500), starting and finishing in Calais, it looks like the ultimate four day rally.

The Warranty Co is sponsoring a vehicle. Pictures and updates to follow.

Funny Pictures

noreply@blogger.com (The Warranty Co) — Fri, 15 Feb 2008 09:00:00 +0000

Friday fun

A couple of funny pictures that made us all laugh this week!!

Volkswagen T2 Bay Window Camper

noreply@blogger.com (The Warranty Co) — Tue, 12 Feb 2008 13:24:00 +0000

One of our team is selling this camper van - thought we'd show you a couple of the pictures. What a lovely example of the type.

Office signs

noreply@blogger.com (The Warranty Co) — Fri, 08 Feb 2008 09:34:00 +0000

Friday Fun

Sign on office wall:
Everyone brings joy to this office . . .Some when they enter and others when they leave!

Women car dealers 'more trusted' than men

noreply@blogger.com (The Warranty Co) — Sun, 03 Feb 2008 20:04:00 +0000

A new survey has revealed that women are considered more trustworthy than men when it comes to selling second-hand vehicles.

The survey which was conducted by the AA Personal Loans asked 1500 motorists to vote for the celebrity they would be most likey to buy a car from.

Lorraine Kelly topped the poll with 17 percent of the vote. Surprisingly only one male, 'Newsnight' anchor Jeremy Paxman made the top 5 with 16 percent - but most agreed they would rather buy from a woman, with six females making the top ten.

The top ten: 1. Lorraine Kelly 17%, 2. Jeremy Paxman 16%, 3. Paula Radcliffe 10%, 4. Carol Thatcher 5%, 5. Jo Brand 5%, 6. Sharon Osbourne 4%, 7. Katie Price 2%, 8. Mr Bean 1%, 8. Del Boy Trotter 1%, 10. Alan Partridge 0.5%.

I'm still waiting.........

noreply@blogger.com (The Warranty Co) — Fri, 01 Feb 2008 10:00:00 +0000

Friday Fun

I'm still waiting.........

I did what you told me... I sent the email to 10 people like you said.

I'm still waiting for that miracle to happen.

Now send this to everybody who sends you all
those "pass this along or else" messages!!!!!

Which warranty?

noreply@blogger.com (The Warranty Co) — Tue, 29 Jan 2008 11:03:00 +0000

Which warranty?

At The Warranty Co.com we provide simple solutions to dealers who wish to offer quality new and used car warranties to their customers.

Whether you are FSA registered or not, The Warranty Co.com will have the right warranty product for your business.

Call us on 0870 8034 707 and find out which warranty package is right for you.

A Corporate Lesson

noreply@blogger.com (The Warranty Co) — Mon, 28 Jan 2008 11:14:00 +0000

Belated 'Friday Fun'

A Corporate Lesson
A sales rep, an administration clerk and the manager are walking to lunch when they find an antique oil lamp.
They rub it and a Genie comes out in a puff of smoke.
The Genie says, "I usually only grant three wishes, so I'll give one to each of you.
"Me first! Me first!" says the clerk. "I want to be in the Bahamas, driving a speedboat, without a care in the world."Poof! She's gone.
The astonished sales rep says, "Me next! Me next! I want to be in Hawaii, relaxing on the beach with my personal masseuse, an endless supply of pina coladas and the love of my life."Poof! He's gone.
"OK, you're up," the Genie says to the manager.
The manager says, "I want those two back in the office after lunch."

Moral of the story: Always let your boss have the first say.

The Bathtub Test

noreply@blogger.com (The Warranty Co) — Fri, 18 Jan 2008 09:40:00 +0000

Every week we will post the joke email that made us laugh most in the office.

Here's the first 'Friday Fun'

During a visit to the mental asylum, a visitor asked the Director
'How do you determine whether or not a patient should be institutionalised?'

'Well,' said the Director, 'we fill up a bathtub, then we offer a teaspoon, a teacup and a bucket to the patient and ask him or her to empty the bathtub.'

'Oh, I understand,' said the visitor. ' A normal person would use the bucket because it's bigger than the spoon or the teacup.'

'No.' said the Director, 'A normal person would pull the plug. Do you want a bed near the window?'

Automotive Industry Charity BEN

noreply@blogger.com (The Warranty Co) — Fri, 18 Jan 2008 09:22:00 +0000

This is Les McLaughlin our Managing Director with Mary Herdman, a volunteer for the Automotive Industry Charity BEN. This was taken at one of our golf charity days. We continue to raise funds for the charity via contributions.

Useful Numbers

noreply@blogger.com (The Warranty Co) — Wed, 16 Jan 2008 09:39:00 +0000

Claims Department
If you need to make a claim or have a claims enquiry contact us on
0870 803 4708

Sales & General Enquiries
For general enquiries or to speak with our Sales Team contact us on
0870 803 4707

Office opening times
Monday to Friday 9.00am - 5.00pm (excluding Bank Holidays)

Welcome

noreply@blogger.com (The Warranty Co) — Tue, 01 Jan 2008 15:00:00 +0000

Welcome to the News pages for The WarrantyCo.com.