Fleets Increasingly Switching to Non-Franchised Servicing
With a new report rating customer care at franchised dealers at just 6.3 out of 10; it is no surprise that 39 per cent of companies are switching to non-franchised dealers for routine servicing.
The 2007 Business Car Perceptions Report by business and management consultants BearingPoint suggests that the traditional franchised dealer network, which car manufacturers depend on as their key channel to market, is under strain as a result of a growing fall-off in aftersales business. reveals that fleet servicing business, which provides an important source of revenues for car manufacturers and franchised dealers alike, is being lost to non-franchised dealers.
The research, which was conducted by Professor Peter Cooke, the recently appointed Professor of Automotive Management at the University of Buckingham, in association with BearingPoint, shows that almost two-fifths (39 per cent) of companies already use non-franchised dealers for routine servicing. This number is set to grow, as nearly a fifth (18 per cent) of those respondents still using franchised dealers expect to switch to non-franchised dealers in the future.