Car Dealership franchise opportunities

Car dealership franchises are in pole position to reach business success in the coming years, as the British passion for their vehicles shows no signs of reducing.

New car registration showed a healthy increase in 2016, though that trend did reverse slightly in summer 2017. However, according to research by Automotive technology firm enquiryMAX, there is no cause for concern for car dealerships. Though new car sales may have dropped off, transactions involving used cars grew by 39% in July 2017 (an increase of 43% over the same month in 2016).

Starting up a car dealership as a franchise operation makes a great deal of sense, as you are buying into a existing partnership between the parent company and manufacturers. This means vehicle supply chains are easier to set up, but you can also secure technological support for what is an increasingly IT driven industry. Increasingly the British have been turning to the internet for reviews and leads on buying new and used cars. It is why the main websites in this sector attracted around 26 million visitors over the past year.

Taking on a car dealership franchise could mean cashing on your parent company’s existing online presence, making it easier for you to pull in customers. Parent franchisers will also have existing ties with finance providers. According to global financial firm Morgan Stanley, 82% of new cars are being bought in the UK using Personal Contract Purchase loans, so there is no better time to become part of a franchise.

There are plenty of choices available, depending on the territory you hope to cover. This could be a traditional dealership tied to one or more manufacturer; Ford, Suzuki and Subaru are among the big names currently hunting for new franchise partners. Or, you could consider a franchise package from the new breed of car warehouse businesses, such as Motor Republic, which sells various makes and models.

Car Dealership

There are also new franchise opportunities emerging, such as C4C, a virtual car dealership that carries out its entire business operations online.

To get the wheels turning on a successful car dealership franchise, contact us today to find out more.

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