IRISH MOTOR - A year of challenges and opportunities ahead - THE SOCIETY OF THE IRISH MOTOR INDUSTRY - SIMI
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IRISH MOTOR CONFERENCE REVIEW EDITION
MANAGEMENT
THE SOCIETY OF THE IRISH MOTOR INDUSTRY
A year of challenges and
opportunities ahead
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W W W. S I M I . I E IRISH MOTOR MANAGEMENT EDITORIAL/CONTENTS
Looking ahead to 2017 with positivity
With the final days of 2016 fast approaching, cities that are working on measures to improve air quality. Although we
we can look back at a year of mixed emotions do not have the same problems as the cities involved, nevertheless, the
for our Industry. This year has seen the issue has opened a debate in Ireland that is likely to continue. In this we
highest levels of new vehicle registrations will continue to carry the message that the Motor Industry is part of the
since 2008, despite the challenges of Brexit solution in the environmental challenge, rather than part of the problem.
in mid-year and the subsequent slowing of New EU regulations and new testing procedures for vehicle emissions
the market during the last couple of months. will be implemented over the next few years, which will make a positive
Overall, though, it still has to be seen as a very environmental contribution. This will also require some adjustment to
good year for our Industry. As with other sectors in the VRT and road tax system which SIMI is working to ensure does not
the Irish economy Brexit became the focal point after the Referendum repeat the hugely damaging impact of the changes in 2008.
result in June and is likely be a major focus over the next few years. While 2017 brings with it many new challenges for our sector, it equally
We have seen imports of used cars from the UK increase in 2016, comes with many opportunities for our Industry. SIMI has held regional
particularly in the wake of Brexit and especially during periods when meetings in every province over the last few weeks to discuss the areas
sterling has been particularly weak against the Euro. The majority of that need to be watched carefully in the year ahead, but also highlighting
such imports have, to date, been older rather than nearly-new cars – the fact that there is a lot of business to be done next year. While this is a
50% are over five years old and 86% are over three years old. time to be careful and to avoid unwarranted risks, it is also a time where
Clearly, in the used car market and in the valuing of trade-ins, the it will be necessary to work to optimise the available business in order to
volume and cost levels of imported used cars may have an impact next deliver another good business year. We have reason to be positive about
year and it will be important for members to watch this marketplace the year ahead, and all economic indicators project registration numbers
particularly. Even with these new challenges, the outlook for business in the same region of as 2016. While this year marked a return to a more
next year remains strong, with all economic indicators suggesting that normal market in the Motor Industry, with a likely outturn above 146,000
sales next year should be at very similar levels to 2016. In a market with new registrations, we can look forward to a New Year in 2017 that
two million cars on the road, we would expect, in a normal, good year, to promises to consolidate this progress with another good year.
have a new car market in the region of 140,000 to 160,000 and that is I would like to take this opportunity to thank our Members for their
where current projections suggest we will be, albeit at the lower end of continued support during 2016 and to wish you and your family a very
this scale. Since 2009, our car population has aged significantly so that happy Christmas, and a healthy, prosperous New Year in 2017.
many consumers are at the point where changing their car is a necessity
rather than a luxury. Alan Nolan,
Other challenges which have come to the fore in recent months have Director General, SIMI
been an anti-diesel sentiment in densely populated and more polluted
4 SIMI Annual Conference of the Year 2017, why cars are no longer 30 Statistics
‘Certainty in Uncertain Times – Meeting central to car sales, digital drives sales at New car sales.
the Challenges’ was the theme of the SIMI Johnson & Perrott, new Toyota dealership
National Conference 2016. opens at Liffey Valley 32 Business
The taxman cometh: what is a Revenue
8 NEC meeting 20 Awards Preview audit and how does it work?
Photos from the SIMI National Executive The seventh Annual SIMI Irish Motor
Council meeting, which took place in the Industry Awards will take place in 36 Aftermarket
Killashee Hotel in Naas, Co Kildare, on February 2017. Details on how to enter, Oils and lubricants
December 6, 2016 plus an entry form. Wide range of oils and lubricants from
Maxol, Champion launches new oil for VW
9 VTN Annual Conference 24 SIMI 2016 Irish Motor 508 00 / 509 00 specification, Source
The Vehicle Testing Network (VTN) Factor of the Year LS Ltd appointed National Ambassador
Annual Conference and AGM took place in PartsforCars’ road to success leads to Distributor by Castrol, ‘revolutionary’ new
November, 2016. SIMI award win. motor oil range from Shell.
12 SIMI News 26 SIMI 2016 Commercial 41 New vehicles
Skillnets launches Statement of Strategy Vehicle Operation of the Year New models on the way to the Irish
2016-2019, SIMI issues third quarterly Truck Services goes extra mile for market.
report, 45th Sligo Annual BEN Ball an customers.
outstanding success. 42 Drivetime
28 Finance 21 Years of IMCTGA golf at Portmarnock
14 Industry News Budget 2017: what will it mean for you? Golf Links.
Mercedes-Benz E-Class crowned Irish Car
The Society of the Irish Motor Industry, 5 Upper Pembroke Street, Dublin 2. Tel: +353 1 676 1690 Fax: +353 1 661 9213 Email: info@simi.ie Web: www.simi.ie
President: Alan Greene, Origo. Deputy President: Gavin Hydes, Joe Duffy Motor Group. Honorary Treasurer: Gabriel Keane, Kia Liffey Valley. Director General: Alan Nolan.
Editor: Kennas Fitzsimons Advertising: Bryan Beasley Design: Niall O’Brien Production: Barry Sheehan, Ciaran Brougham, Martin Whelan, Michael Ryan
Accounts: Tricia Murtagh Administration & Subscriptions: Sue Nolan Photography: Dave Cullen Chief Executive: Rebecca Markey Publisher: David Markey
Publishers: IFP Media Limited Irish Motor Management, 31 Deansgrange Road, Blackrock, Co. Dublin. Tel: +353 1 289 3305 Fax: +353 1 289 6406 Email: kennas@ifpmedia.com
The views expressed in this magazine should not be interpreted as the official policy of the SIMI or of IFP Media Limited, nor does the publication of product information or any advertisements imply the
recommendation of the SIMI. Copyright IFP Media Limited 2016. No part of this publication may be reproduced in any material form without express written permission from the publishers.
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SIMI National Conference looks to
challenges and opportunities in 2017
‘Certainty in Uncertain Times – Meeting the Challenges’ was the theme of the SIMI National
Conference 2016, which was held in the Killashee House Hotel in Naas, Co Kildare, on November
8, 2016. A strong line-up of speakers gave the large attendance at the event their insights and
advice on preparing for 2017
Gavin Hydes, Deputy President, SIMI, and Group Managing Director,
Joe Duffy Group; Robert Mulhall, Director of Retail and Business
Banking, AIB; Alan Greene, President, SIMI; and Trevor Jones,
Chairman, ASE Global UK. The discussion on Brexit and climate change.
Alan Nolan, Director General, SIMI, welcomed attendees to the Mr Power said imports from the UK have had a big impact on the
Conference, which was officially opened by SIMI President, Alan Motor Industry in Ireland, with used car imports from the UK up
Greene. The Conference Chairman, Gabriel Keane, Managing 36% to 55,796 from the period January to October 2016. He said
Director of Kia Liffey Valley, outlined the day’s agenda and that there had been significant deceleration in car sales here as
introduced the speakers. 2016 progressed. He estimated the market for new sales to be
around 150,000 per annum for the next few years. However, he
A View of the Economy qualified this by indicating that it is extremely difficult to predict
Economist Jim Power was the opening speaker and gave his the impact of Brexit, and said the one word to describe the
perspective on the broader international economic context. environment facing into 2017 was ‘uncertainty’.
Describing global politics as being in a ‘state of chassis’, he Nonetheless, despite Brexit concerns, key economic factors
highlighted what has been widely recognised as the biggest such as employment, disposable incomes and generally positive
economic issue facing Ireland: Brexit. He said that while the Irish GDP growth should continue to exert a positive influence, he
economy generally had a solid performance in 2016, consumer said.
confidence had started to soften recently, probably due to
Brexit. He pointed out that, since last November, Sterling had Panel on Brexit and climate change
lost 28% of its value against the Euro. On the question marks The theme of Brexit continued into a panel discussion. The panel
over whether Brexit will actually happen, he said that the members were Gavin Hydes, Deputy President, SIMI, and Group
Industry should operate on the assumption that it will, and that Managing Director, Joe Duffy Group; James McCarthy, Chief
it will be a hard Brexit, after which Sterling could fall by another Executive, Nissan Ireland; Robert Mulhall, Director of Retail and
10%. “Plan for Brexit, and if we get a better outcome, then great,” Business Banking, AIB; Trevor Jones, Chairman, ASE Global UK;
he said. and Alan Nolan, Director General, SIMI.
In addition to Brexit, Mr Power highlighted a number of other “In the short term, what we’re dealing with is a currency
clear challenges for the economy in Ireland: fluctuation issue,” Robert Mulhall said. “However, we have
• Housing; been here before. AIB is advising customers that they need
• Demand for more public services, despite fiscal limitations; to be strategic in terms of their supply chain management
• Growing pay pressures; perspective. The overall economic environment that we
• Regional balance of activity now a big focus; and find ourselves in is extremely positive. Population growth is
• Politics and policy making challenges, given the current predicted to be very high over the next decade – Dublin City will
Government situation. have a population of 2.2 million by 2030. Many of these people
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W W W. S I M I . I E IRISH MOTOR MANAGEMENT S I M I N AT I O N A L C O N F E R E N C E
Mick McHugh, Skillnet; Margaret O’Shea, SIMI; and Alan Greene, Paddy Magee, Liz O’Gorman and Lynne Boucher, all Renault Group
President, SIMI. Ireland.
Gabriel Keane, Conference Chairman; Alan Nolan, Director General,
SIMI; Kieran Marshall, Head of AIB Finance and Leasing; Alan Greene,
President, SIMI; and Jim Power, Economist. Economist, Jim Power.
need houses, cars, etc, which brings new opportunities to the must be faced by Government is that some time in the early
market. 2020s we are expected to achieve our carbon targets and, if we
“Another key focus is the chance for businesses to direct their don’t, Ireland could face a bill of up to €600m-plus per year in
attention to mainland Europe and form business ties there in fines from the EU.
terms of exports,” Robert added.
Giving a UK perspective, Trevor Jones, Chairman of ASE Global Used Car Profitability Workshop
UK, said he expected that anything imported into the UK (which Trevor Jones, Chairman of ASE Global UK, gave attendees a
are most cars) will see price rises, with car prices possibly
increasing by up to 20% in the UK. He said he expects that car TREVOR JONES’ 10 THINGS
sales will be more difficult and that pre-registrations, which are
currently running at 700,000 per year, could potentially reach
GREAT DEALERS DO:
one million.
1. Know the market;
Alan Nolan discussed how difficult it is to predict the market in 2. Plan the inventory – control the stock;
uncertain times, and expects a tough two and a half years – but 3. Buy a percentage of cars for cash – buy the right
with the Industry coming out stronger on the far side. cars;
The panel discussion then moved to climate change. The panel 4. Have an acceptable margin in each used car;
spoke about driving emissions and the challenges ahead, as well
5. Have the car available for sale within three days;
as how important it is to liaise with the relevant bodies to ensure
that measures such as the tax change back in 2008 are avoided.
6. Present them in the best possible way;
There are also anti-diesel and anti-car issues to be dealt with as 7. Market the cars in the most appropriate way;
cities across the world, including Paris, London and even Dublin, 8. Deliver the cars within two days;
encourage two-wheeled transport over four. There is a challenge 9. Retain used car customers for service, building
to ensure diesel cars remain attractive to buyers. loyalty;
Jim Power pointed out that, at a national level, the reality that
10. Control each and every one of the above nine.
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Alan Nolan, Director General, SIMI. Motivational speaker, Padraig O Ceidigh.
workshop on ‘The Journey from Good to Great in Used Car 185,000, and in January 2008 they were 47,000 for that one month
Retailing’, highlighting the importance of return on investment. alone. However, for the next 23 months we saw a 50% drop in car
One of the key pieces of information he identified is the sales. So what changed?
difference between being good and being great. You must ensure VRT changes, collapse in consumer confidence, collapse in finance
that you have the right stock, and focus on cash rather than cars, availability, collapse in Sterling and collapse in used car values
Trevor said. were among the main factors, Michael said.
The one aspect of the market that is reliable at the moment, PCP success relies on the ability to assess accurately the future
he explained, was used cars. Throughout many of the problems value and then sell on the used car, he explained.
the Motor Industry has faced, used cars have always been the While we may not be in the same scenario as the nightmare of
fallback. He said that used cars are a hedge against the volatility 2008/2009, we need to be very aware of the parallels associated
of the new car market. with the collapse of this area, Michael said. Sterling has already
Trevor said that when planning their used car business, great seen a 23% drop in devaluation over the past seven months. So
dealers consider it as a separate business, plan investment levels the UK decision to leave the EU has resulted in a huge amount
and demand high results in terms of ROI. of speculation about the consequences and knock-on impact on
Trevor identified a number of essential ‘must knows’: Ireland.
• Measure and monitor trade-in results – by segment, by age, From an individual viewpoint, Michael advised dealers to:
by price, etc; • Maintain Guaranteed Minimum Future Value (GMFV) at a
• Define your right cars and wrong cars (stock profiles); manageable level for your business
• Focus on your pipeline supply position – ensure the sales • Ensure PCP is just one of a number of options on offer;
team is aware; • Maintain compliance and training; and
• Look at the ratios of weekly buying to weekly selling; and • Offer contract flexibility.
• Review stock profiles dynamically based upon results.
From an industry viewpoint, Michael recommended:
Your used car business is now at least as important as your new • Development of codes of conduct;
car business, Trevor told attendees, and it must be managed • Robust reviews of risks;
appropriately. • Development of an independent data warehouse; and
• Working closely with manufacturers to share risk.
The Growth of Personal Contract Plans
Michael McAteer, head of the advisory unit at Grant Thornton, Summary
gave attendees an overview of personal contract plans (PCPs). Following a popular motivational presentation from senator,
Grant Thornton is working on a report commissioned by the SIMI entrepreneur and founder of Aer Arann, Padraig O Ceidigh, SIMI
Franchise Committee to look at the growth of personal contract President Alan Greene rounded off the meeting with a summary
plans in the Irish market. of some of the main points from the day.
The PCP is a tremendously successful product that, when sold “Consumer confidence is consistently positive, although slowing
responsibly, benefits the dealer, the manufacturer, the finance slightly. The forecast for next year will be flat at around 147,000
provider and the consumer, Michael said. but we also know from the survey done with the distributors that
However, he sounded a note of caution that failure to identify their projections range from anything between 115,000 to 155,000.
risks or trends from the past could leave us vulnerable to repeat “No matter where you go, Brexit is going to be the focal point of
mistakes. In 2007, passenger car sales were at the highest ever at discussion.”
6 CONFERENCE REVIEW EDITION
IMM Conference Review Edition.indd 6 13/12/2016 12:28 Merced
Mercedes-Benz Vans. New Dealer Opportunities.
Due to the continued growth of Mercedes-Benz Vans we wish to appoint new Van Sales
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SIMI National Executive Council Meeting
Photos from the SIMI National Executive Council meeting, which took place in the Killashee Hotel
in Naas, Co Kildare, on December 6, 2016
Adrian O’Dwyer, AAA Mobile Windscreens, Naas, Co Kildare; Margaret
O’Shea, SIMI; Alan Greene, President, SIMI; and Gillian Fanning, SIMI Gabriel Keane, Honorary Treasurer, SIMI; and Martin Condon,
Wholesalers Committee Chairperson. Cavanaghs of Charleville, Cork.
Seamus McPhilips, Seamus McPhilips Motors, Monaghan, in
conversation with Seamus McCormack, SIMI. Tom Murphy, SIMI Past President, addressing the meeting.
Brian Murphy, SIMI Past President; and Nick Smith, Drogheda. Colin Sheridan, Peugeot Sales and Marketing Director, Gowan Motors.
John Donegan, Brand Director, Skoda Ireland; and Gabriel Keane,
Gerry Caffrey, SIMI Past President. Honorary Treasurer, SIMI.
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W W W. S I M I . I E IRISH MOTOR MANAGEMENT VTN CONFERENCE
Vehicle Testing Network
Annual Conference Report
The Vehicle Testing Network (VTN) Annual Conference and AGM took place on November 7, 2016,
at Killashee House Hotel, Naas, Co Kildare. This is an important day for SIMI’s testing sector
members and is always well attended and supported by the VTN Network of test centre operators
and managers. It is also attended by key Road Safety Authority (RSA) personnel who give a series
of presentations on topics of current interest. Irish Motor Management reports on the day’s
events.
Alan Greene, President,
SIMI, addressing the
VTN Conference.
Alan Greene, SIMI President, opened the day and said that SIMI VTN members, in conjunction with SIMI, have actively worked
would continue to work closely with the RSA in doing its part in with the RSA to build a positive relationship to achieve the
promoting road safety. “Though SIMI has nearly 1,200 members common goal of providing a professional testing service for
and can truly say that it represents all sectors of the Motor commercial vehicles that the public and stakeholders can have
Industry in Ireland, the commercial vehicle testing sector is a confidence and trust in.
key one and it was great to be able to say that delivery of this “Since the reform programme was initiated a couple of years
service has been retained in the Motor Industry for over 30 ago and full control of the system had passed from the county
years now,” Alan said. councils and local authorities to the RSA, they have continually
Willie O’Brien, VTN Chairperson, in his opening address flagged to us the importance going forward of attaining and
remarked that, since the PwC review almost a decade ago, the maintaining the highest standards of quality and consistency of
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Pictured at the VTN Annual Conference: Denise Barry, Road Safety Pictured at the VTN Annual Conference: Justin Martin, Road Safety
Authority; Willie O’Brien, Chairman, VTN Committee; and Liam Authority; Michael Nolan, Nolan Motors Ltd, Longford; and John
Duggan, Road Safety Authority. Murray, Automotive Service Centre Ltd.
testing. Much of the work that the VTN Committee and, indeed, gave a presentation that was, as usual, direct and to the point.
the members have done over recent years has been related The RSA carries out an ongoing programme of measuring test
to actively pursuing that goal,” Willie said. He mentioned that centre performance for quality and consistency of the testing
achieving real quality takes hard work and full-time commitment process and he gave tester members a full review of the past 12
from everybody involved in the business, all of the time, and he months. The RSA has carried out a pretty exhaustive analysis of
said the feeling was that very positive progress had been made testing issues and has recently issued management/supervision
by members in this regard throughout the country over the past guidelines to test centres to help in achieving the best quality
few years. standards. Liam Duggan’s message was that progress was being
made but in no way could or should anyone be complacent.
RSA points to real improvements in standards Quality of testing was the priority, and the consistency and
and enforcement quality of testing needed to be improved in a systematic way.
Denise Barry, Director of Vehicle Standards and Enforcement, In order for the current delivery system of this service to move
RSA, then addressed members. In the past three years since forward with confidence and gain another 10-year authorisation
the RSA has taken over the system and started the reform in 2024, the RSA, at the very least, needed to be happy that
programme, over two-million tests have been carried out. quality was maintained at the right level. Liam reiterated that
The RSA is systematically working through all aspects of his message was a simple one but an important one – just do the
its roadworthiness programme in order to make sure that job right. He acknowledged the RSA’s collaboration and working
operators of commercial vehicles comply with regulations to relationship with SIMI and the VTN Committee and felt that
keep their vehicles roadworthy on a continual basis and, most things were heading on the right road – he will let us know when
importantly, present their vehicles for test on time. we get there!
Real improvements continue to be made in all areas. Whereas Marie Harris, also of the CVR Compliance and Authorisations
there were approximately 5,000 vehicles stopped for roadside Department, then spoke about supervision in test centres
inspection in 2012, this figure will have more than doubled to and encouraged test centre operators to make sure that the
over 12,000 vehicle inspections this year. This has resulted management plan in their test centres worked well. Marie spoke
in 3,859 major or dangerous defects in vehicles stopped at of the need to have proper management and supervision, and
roadside being uncovered. This highlights the importance of of the importance of staff awareness of the need to deliver
vehicle operators having adequate maintenance plans in place high-quality testing. She spoke of the ‘risk factors’ that the
for vehicles, Denise said. The RSA has, starting from a zero base, RSA looked at when reviewing test centre data, and the need
risen to carrying out 3,500 calls to operators’ premises to check to avoid costly errors. Marie also spoke of the concept of peer
on vehicle fleet maintenance plans in 2016. review and the opportunity it presented for testers to discuss
Denise went on to say that the RSA would continue with its plans with their colleagues the relative methods of testing and the
for targeted sectoral enforcement and cited the example of judgement calls that they might make in the course of a test.
school buses where the RSA has inspected literally hundreds She encouraged test centre operators to make sure everyone
of them over the past year. She asked the Network to embrace involved in the test centre was “on the same page” and had the
these multiple programmes as, ultimately, the bottom line was right attitude in relation to consistent testing.
road safety and saving lives, and obviously the testing sector Sean Breathnach, Senior Vehicle Inspector, and also attached
were key stakeholders as far as the RSA were concerned in to the CVR Compliance and Authorisations Department, then
achieving these aims and objectives. followed on with an explanation of the RSA investigations
process and how that worked when customers had a complaint
Progress – but no room for complacency and things didn’t work out as expected. It was interesting to note
Liam Duggan, Manager of CVR Compliance and Authorisations, that a significant number of complaints that reached the RSA
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Pictured at the VTN Annual Conference: Alan Greene, President,
SIMI; Ray Gregan, Dublin Tunnel Commercials; Tom Hendron, M50 Pictured at the VTN Annual Conference: Marie Harris, Road Safety
Truck and Van Centre; and Alan Nolan, Director General, SIMI. Authority; and Pat McDaid, Donegal Commercial Vehicles.
from the public just required clarifications and that a relatively the new RSA management supervision guidelines could be best
small number merited a full formal investigation. Sean felt that integrated into test centres’ existing ISO procedures and how
many complaints could be handled by test centres themselves the same ISO 9001: 2008 standard that test centres have will
and expressed the view that test centres should make every now need to upgrade to the 2015 version. More work and back to
effort to do this. Continuing the common theme of quality testing, reinforcing the quality message. Arthur in his own inimitable style
he pointed out the positive aspects of the investigations unit in made it all sound easy. This was the final presentation before
the RSA. Consistent testing ultimately lead to a level playing field lunch.
for all test centres.
Vehicle Test Operators’ AGM
Importance of customer service The afternoon session was, as is traditional at this stage, reserved
After a welcome coffee break which everyone needed, given for the Vehicle Test Operators’ AGM. Charlie Rogers led the way
the detail and nature of the topics under discussion, Justin on this and provided everyone with a review of the Motor Industry
Martin from the RSA spoke on a variety of topics including the economy in general and an assessment of where test centres sat
consistency of test equipment, the annual CoVIS IT system from a business perspective. While test centres had seen very
survey and a mystery shop exercise that had been conducted in healthy growth in testing over the 2014/2015 period due to new
the network. Members were delighted to hear that the network compliance measures introduced by the RSA in relation to test
received top scores in customer service – only to be expected, certs, the figures were now rapidly returning to low growth rates
with the personalised service it provides and the many hard- more in line with growth of the overall commercial vehicle parc.
working test centre administrative staff employed around the Indeed, SIMI was predicting little or no growth in actual testing
country who often get overlooked when it comes to praise for figures for the whole year of 2016. This was probably the best
their efforts. In total, 96% of mystery shoppers reported being outcome we could expect, given the significant gains of previous
quite or very satisfied with the testing service. years. We knew that the previous high growth levels were unlikely
This presentation was followed with a presentation from to be sustained as operators became more compliant.
Jenny Moran of M7 Vehicle Testing, who gave an interesting Charlie spoke about the quality theme that had been running
presentation entitled ‘All in a day’s work’ and, again, it further through the entire day and the need for everyone to take this
backed up what Justin Martin had to say about customer service. on board as the network needed and wanted to be able to look
Test centres go out of their way to please in what can be a tough forward and transition into further contracts beyond the next
business where half of the time you are delivering the news of a authorisation date as appropriate.
vehicle ‘failing’ the test, which occasionally some people may take Having gone through the formalities of the AGM and an open
as almost a personal insult! Most people, it is true to say, accept discussion session on the topics of the day, a new Committee was
that better ‘a stitch in time’ than have a potentially dangerous elected for 2017 with the election of new Committee members
vehicle on the road. Jenny gave an account of all of the factors Tara Jackson, Wicklow VTN, and Michael McCarthy, Priority
that go into running a test centre’s administration function Drilling. Charlie welcomed the new members and also paid tribute
properly and, no doubt, it requires certain attributes to carry out to the work that Alan O’Shaughnessy, Galway Truck Centre,
this specialised job. and Pat O’Brien, Truckcar Limerick, had carried out while on the
The next presentation was delivered by Laura Fannin, Associate Committee. He thanked VTN Chairman Willie O’Brien for his total
Solicitor from Hayes Solicitors, and dealt with data protection, commitment to the work of the Committee and the network and
a difficult subject to deliver on but one that it is necessary for he also wanted to mention Yvonne Sliney of SIMI who had once
business people to know about. Laura is very experienced in again put together the Test Operators’ Conference, a significant
this area and made it interesting and informative, which can be event for the testers every year.
difficult to do with a subject like data protection. Alan Nolan then formally closed the meeting and wished
Finally, to end the morning sessions, Arthur O’Sullivan, NMU everybody well. The VTN Committee will meet in early December
Auditing and Inspection Services, was tasked with explaining how to set out its agenda for the new year.
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SKILLNETS LAUNCHES STATEMENT OF STRATEGY 2016-2019
• Training effectiveness, impact and relevance will be
core to its activities. Skillnets will promote continuous
improvement in its learning experiences offered to SMEs
and be a model for training excellence in an enterprise
context;
• Supply of the specific skills and future skills that impact the
growth potential and competitiveness of Irish enterprise;
and
• Increased participation of employers in the Skillnets
proposition and lifelong learning. In doing so, Skillnets will
be a key enabler in sustaining national competitiveness
through the up-skilling of those in employment.
Margaret O’Shea, SIMI Skillnet; Jerry Meredith, CILT Skillnet; Paul
Healy, Skillnets; and Enda Hogan, Skillnets.
According to Paul Healy, Chief Executive, Skillnets: “Meeting the
skills needs of Irish SMEs and responding to the challenges and
Skillnets’ Statement of Strategy 2016-2019 was launched by opportunities of Brexit will be key priorities for Skillnets. Brexit
Minister for Education and Skills, Richard Bruton, recently. will undoubtedly present challenges to SME business owners
Meeting the future skills needs of Irish small and medium-sized within many sectors, but its impact can be moderated by specific
businesses and responding to the challenges and opportunities of training interventions that enhance productivity, develop specific
Brexit will be key priorities for Skillnets, the enterprise-led agency skills within teams and strengthen management competence
with responsibility for the promotion and facilitation of workplace overall to deal with these business challenges. By working on the
training and up-skilling, in the coming years, according to the ground with member companies, SIMI Skillnet is very well placed
agency’s Chairman, Brendan McGinty. to ensure its training offering for the Motor Industry is relevant
The strategy was developed following a thorough consultation and meets the needs of enterprise.”
process with key stakeholders and is closely aligned to the Minister for Education and Skills, Richard Bruton, said:
National Skills Strategy 2025 and other relevant policies, “Recognising that the war for talent is now one of the most
according to Skillnets. Over the next four years, Skillnets will important factors for job-creation, ambitious action to increase
be driven by three strategic goals that take into consideration our skills supply must be a priority. We must ensure that we
funding, national policy concerning the importance of developing continue to increase the skills supply, by offering upskilling and
skills and talent, the needs of enterprise, and the economic reskilling opportunities, which will be vital if we are to reach our
context. These are: target to create 200,000 additional new jobs by 2020.”
SIMI ISSUES THIRD QUARTERLY REPORT
SIMI recently issued its third Quarterly Motor Industry Review for 2016 in association with DoneDeal, at the SIMI National Retailers
Conference held in Killashee Hotel, Naas, Co Kildare. The SIMI/DoneDeal Report highlights the strong performance in the first half of
the year for the Industry followed by a slowing down of new car sales from August onwards.
Sales to the end of September 2016 were 143,190, up 18.4% on the first nine months of 2015. Based on this, the SIMI/DoneDeal report
forecasts final sales of 147,000 for 2016 with a similar outcome anticipated for new car sales in 2017.
Jim Power, economist and author of the report, said: “The auto industry is still performing strongly, but there have been clear signs of
deceleration in sales in recent months. Looking ahead to 2017, the outlook for car sales is extremely uncertain. New car sales in 2016
should be close to 147,000 and similar outturn for what is expected to be a very uncertain market due to Brexit effects.”
The Review also indicates the changes in the costs of motoring since last year. The cost of a new car has decreased by 3.5% since
September 2015, while the cost of petrol is down 5% and diesel is down 4.6% in those 12 months. However, the price of motor
insurance has increased 25.1% since September 2015 and is up 68.7% since September 2013.
Alan Nolan, Director General, SIMI, highlighted: “2016 has seen the highest levels in new vehicle registrations since 2008. While some
of these sales can be attributed to a catch-up in the market, overall it has been a good year for our Industry. New car sales, so far, have
contributed €1.25bn to the exchequer – 24% ahead of last year. With the peak selling months behind us, the Industry has now turned
its focus to the 171 registration period as can be seen and heard in current advertising campaigns. While 2017 brings with it an air of
uncertainty due to Brexit, we would still expect the Industry to continue to perform well, as economic indicators suggest increased
spending power in the Irish economy in 2017.”
Cathal Cremen, Commercial Manager of DoneDeal’s Motor Section, said: “2016 has been a very successful year for DoneDeal, with over
91,000 cars currently advertised on the site. In total, 259,365 motor adverts have been published on DoneDeal in the third quarter of
2016, with a total advertised value of €1.4bn. This represents a 17% increase in motor ads compared to the same period in 2015. The
volume of cars advertised for sale also reflects a rise in the number of dealers advertising on the site. Despite the uncertainty over
Brexit, the volume of car ads published with a value in excess €10,000 has increased by over 30% to 42,871 car ads in the third quarter
of 2016, compared to the same period in 2015. This very much mirrors the country’s improving general economic performance.”
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45TH SLIGO ANNUAL BEN BALL AN OUTSTANDING SUCCESS
Sligo Park Hotel once again played host to the Sligo Centre BEN Ball, now in its 45th year. Almost 200 guests attended on November
18 for what was a truly enjoyable celebration with a gala dinner followed by music and dancing till the early hours. This event is certainly
a credit to all involved in the Sligo Centre, who must be congratulated on their continued enthusiasm and determination in keeping the
event alive. Members attended from throughout Sligo and further afield. SIMI President, Alan Greene, in thanking the Sligo Centre,
acknowledged the work behind the scenes carried out by the hard-working Art Nicholson and Mary O’Dwyer. Both have been instrumental
in keeping this event on the Sligo calendar for many years now. Master of Ceremonies on the evening, Enda McCarrick, ensured the
evening ran smoothly and without a hitch. Now that the dust has settled, plans are already afoot for next year and, no doubt, Art, Mary and
the team will provide another outstanding Sligo Ball.
SIMI Sligo Centre and guests at the BEN Ball.
Mary O’Dwyer and Art Nicholson.
Frank and Marian Byrnes, Oranmore, Galway.
Barbara
and Enda
McCarrick,
Sligo.
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DIGITAL DRIVES SALES AT JOHNSON & PERROTT
Johnson & Perrott Motor Dealerships
won a ‘Best use of Facebook’ award at
the Cork Digital Marketing Awards 2016
at Fota Island Resort.
Karen Dillon, Marketing Manager of
Johnson & Perrott Motor Dealerships,
told Irish Motor Management that the
company aims to keep up with as many
social media platforms as possible.
“We manage and update two main
dealership sites, which form part of
the overall Johnson & Perrott Motor
Group website,” Karen said, “and we
implement a comprehensive search
engine optimisation (SEO) programme to
maximise our online presence to ensure
we are as visible online as we are in the
showroom. Pictured at the awards ceremony are Aoife Dunne, Cork Chamber Business School Manager,
with Niamh Rana, Marketing Executive, and Karen Dillon, Marketing Manager of Johnson &
“We maintain a strong presence across Perrott Motor Dealerships, along with Jenny Bryan of the Cork Chamber Business School.
channels such as Facebook, Twitter,
LinkedIn and Google Business, and able to review the reach and engagement Johnson & Perrott retail and service
supplement our efforts with adword of each post means we can see first-hand seven leading car brands from two
campaigns and paid advertising, including which posts worked and which failed to locations, at Douglas and Mahonpoint.
banner ads and featured dealer listings interest our followers.” Digital media has clearly had a major
on motor retail consumer sites.” Why should motor dealerships have a impact on the Motor Industry, Karen
Karen said that when it comes to digital strong social media presence? What are confirms.
marketing, Johnson & Perrott relies the benefits? “The vast majority of customers are
heavily on emails to communicate with Consumer behaviour is changing, Karen doing their research online at home and
contacts as well as SMS text campaigns says, with the digital environment ever- will typically visit two dealerships, and
for aftersales notifications. expanding. possibly test drive just one car, before
What strengths and opportunities do the “With a sea of statistics constantly making their decision to purchase. In
various social media platforms afford put forward from various sources, the essence, that means a sale is yours to be
motor dealerships, in Karen’s opinion? general consensus is that upward of lost once someone walks through your
“Our Senior Executives and Brand 80% of Irish online adults use social showroom door.
Managers use LinkedIn quite a lot media of some form each day. That’s a “If you’re not active and engaging online,
although we find generally it’s more huge percentage of our target market you fall out of consideration very early on
valuable through individual pages as communicating and interacting online, in the process and your dealership could
opposed to corporate – people like to and motor dealerships need to be in the become your own ‘best kept secret’ over
connect with a person as opposed to a discussion.” time!”
company.
“Twitter is very useful in keeping up
to date with some of our sponsorship
AWARD SUCCESS FOR WEXFORD CAR CENTRE KIA
partners, particularly sports clubs and
charity organisations, and also as a
source of content for our own social
media activity. Wexford Car Centre
Kia has been named
“Facebook is one of the key channels Kia Motors Car-3
we use to reach and engage with our dealer of the year 2016
target audience. The ability to target recently for excellence
in customer service.
our message to a specific demographic “We are very proud
means our ad campaigns are optimised of this achievement
and the scheduling facility allows us to and would like to
thank all our loyal Kia
pace the release of our ads to ensure we customers for their
reach as many of our target audience as support this past year,”
possible at key browsing times. Being a Wexford Car Centre
Kia spokesperson said.
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MERCEDES-BENZ E-CLASS CROWNED IRISH CAR OF THE YEAR 2017
The Irish Car of the Year (ICOTY) Awards in association with • Peugeot 2008 – Irish Small SUV of the Year 2017;
Continental Tyres took place recently at the Powerscourt Hotel, • Hyundai Tucson – Irish Medium SUV of the Year 2017;
Enniskerry. • Ford Edge – Irish Large SUV of the Year 2017; and
Journalists from print, online and broadcasting hosted a • Ford Mustang – Irish Performance/Sports Car of the Year
gala black-tie event attended by Ireland’s leading car brands, 2017.
importers, distributors and other motoring dignitaries.
Mercedes-Benz took the top award with its E-Class and also a
category win with the C-Class Coupé, crowned Irish Medium Car
of the Year 2017.
ICOTY committee member Michael Sheridan said the “E Class
has set the bar to new heights”, while fellow committee member
John Galvin said: “We’ve had 40 years of Irish Car of the Year
and the E-Class is an exceptional winner.”
Tom Dennigan, of Continental Tyres, said about the awards:
“Continental is delighted to be associated with Irish Car of the
Year, an event that continues to be the highlight of the motoring
year.”
The category winners were:
• Suzuki Baleno – Irish Small Car of the Year 2017;
• Mercedes-Benz C-Class Coupé – Irish Medium Car of the Michael Sheridan and John Galvin of the Irish Car of the Year
committee; Ciaran Allen and Stephen Byrne of Mercedes-Benz; and
Year 2017;
Tom Dennigan, Continental Tyres Ireland, with the overall winner of
• Mercedes-Benz E-Class – Irish Large Car of the Year 2017; the Irish Car of the Year 2017, Mercedes-Benz E-Class
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WHY HAPPY CUSTOMERS ARE KEY TO YOUR SUCCESS
In automotive retail today, it could be said that there keep the customers they have happy. Maintaining their
are no bad cars, only bad experiences. The standard satisfaction is vital for building long-term loyalty and
of modern cars means customers can, more often increasing their lifetime value, John says.
than not, get the exact specification, quality and There are business models created by experts in
reliability they require at every price point. So, are customer loyalty that suggest a 5% increase in
traditional purchase differentiators dwindling in customer loyalty could double the average profit
their significance? per customer, as loyal customers cost less to market
That’s the question being asked by John McManus, to and are happy to spend more. As no two customers are
Ireland Country Manager for CDK Global. the same, a personalised approach to customer interaction is
“Cars are ultimately becoming less significant in customers’ key to transforming an ordinary customer into a loyal one.
decision-making – and indeed where they buy them – meaning However, defined dealership processes, driven by an
that customer service is set to become the single biggest integrated dealer management system, can help deliver
differentiator between brands and dealerships. Neglecting this personalisation and the consistent, high-level brand
customer service, therefore, could be seriously detrimental to experience customers expect, John says. While customers
a dealer’s long-term business ambitions. have to be dealt with individually, there are actions within
“To capitalise on this changing trend, vehicle manufacturers, car ownership cycles that are generally similar – servicing
dealer groups and individual sites should look to work together intervals, maintenance requirements and next car purchases
to better understand their customers. A joined-up approach are all potential contact points. With the right customer
to supporting a customer through the sales cycle can help service processes in place and the right data captured and
form a single view of their interactions and allow all parties to stored for future use, they can be marketed to at the right time
provide a personalised, more engaged service, whether online and through channels suited to them.
or offline – face to face or on the phone.” “In 10 years’ time consumers will be digital natives and the
John points to findings from research and advisory firm retail network will have evolved,” John explains. “Cars will
Forrester which show that attracting a new customer can require less servicing and sales processes will increasingly
cost five times more than keeping an existing one. So, as the take place on digital platforms. Customers will spend less
significance of customer service rises, it becomes increasingly and less time in dealerships – making it vital that solid
vital that dealerships employ loyalty-focused processes to relationships are formed at all points of contact.”
MICHAEL LYNG MOTORS’ 20TH ANNIVERSARY
Michael Lyng Motors Ford showroom in
Kilkenny.
Director and Dealer Principal in Kilkenny
and Neil Lyng acting as Dealer Principal
in Carlow. With a strong and committed
staff with many years of experience, they
are capable of satisfying all customers’
needs, the company says.
Michael Lyng Motors celebrated its 20th from state-of-the-art premises at Hebron In 2013 the company was awarded the
anniversary last month. Road, Kilkenny, and Sleaty Road, Carlow. Hyundai European Excellence Award
It was in November 1996 that Michael Since 2012, Michael Lyng Motors on for Excellence in Customer Satisfaction
and Mary Lyng established Michael Lyng the Hebron Road is the main dealer for Management.
Motors Ltd and secured the Mitsubishi Ford in Kilkenny. It offers car, van, 4x4 It was awarded the 2014 Ford of Europe
franchise. The Hyundai franchise was sales and servicing plus all the back-up Chairman’s Award.
secured in March 1998. services expected of a top line Ford To mark its 20th anniversary, Michael
In the intervening years, Michael Lyng dealership. Lyng Motors has teamed up with Marble
Motors has grown and currently operates The company is 100% family owned and City Travel to send one customer on a
its Ford and Hyundai main dealerships run, with Michael acting as Managing fantastic trip for two to New York.
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NEW TOYOTA DEALERSHIP OPENS AT LIFFEY VALLEY
Dealer Principal Tom Staunton has opened a new, state-of- Tom Staunton,
the-art showroom, Toyota Liffey Valley. Tom has over 30 years’ Dealer Principal;
experience both within the automotive industry and with Toyota. Ann Staunton;
and Steve Tormey,
The latest Toyota dealership in Dublin is located at the Liffey Chief Executive,
Valley exit from the N4 beside the shopping centre. Toyota Ireland.
“Toyota Liffey Valley will create 40 new jobs within sales,
aftersales and administrative roles,” a spokesperson said. “The
11-car showroom will facilitate Toyota’s 2017 range including the
new Toyota C-HR and Toyota’s full range of hybrid models, as well
as its new Proace and Hilux commercial vehicles.
“A new concept for a Toyota dealership, Liffey Valley integrates
the sales and service business by wrapping the service workshop
around the showroom. Encompassing 3,000 square metres over showcase Toyota’s extensive range of hybrid vehicles as well as
two floors, the new showroom features Toyota’s Retail Concept the entire Toyota passenger and commercial vehicle line-up.”
offering customers an immersive experience, encompassing a Steve Tormey, Chief Executive at Toyota Ireland, commented: “I
combination of physical, human and digital touch points which will am delighted to welcome Tom Staunton and his team at Liffey
guide the customer through the showroom.” Valley to the Toyota Dealer Network which will showcase the
Dealer Principal Tom Staunton said: “I am truly excited about exceptional quality of Toyota. Located at the Liffey Valley motor
opening this state-of-the-art showroom and look forward to mall, the dealership combines the latest Toyota automotive
welcoming many new and existing Toyota customers to Toyota technology, such as our range of hybrid vehicles, with an
Liffey Valley with exceptional new models such as the C-HR. I unrivalled customer experience. On behalf of Toyota Ireland, we
believe that Toyota Liffey Valley is the perfect representation to wish Tom and his team every success.”
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LYNN MOTORS DUNDALK WINS NATIONAL PEUGEOT DEALER AWARD
headed by Mark Lynn and fellow director and business partner,
Don Lynn. Appointed main Peugeot dealers in 1993, the business
grew to new heights in 2013 when a newly refurbished showroom
was unveiled on the existing site on the Newry Road, Dundalk.
“We are simply delighted to be bringing the Peugeot Dealer of
the Year award home to Co Louth,” Mark said.
“It is so gratifying to know that our team’s continued efforts are
recognised by the distributor. But we can’t accept the award
without acknowledging our very valued customers. We thank
them sincerely for all their support throughout the years and
we very much look forward to seeing everyone in 2017 at Lynn
Colin Sheridan, Sales and Marketing Director, Gowan Distributors Motors.”
Limited, Peugeot importers in Ireland; Don and Mark Lynn, Lynn Des Cannon, Managing Director at Gowan Distributors Limited,
Motors; and Des Cannon, Managing Director, Gowan Distributors
Limited. Peugeot importers in Ireland, said: “With excellent year-on-year
sales growth, a tremendous county market share performance
Lynn Motors, main Peugeot dealer in Dundalk, has been crowned and significant investment in their immaculate showroom, Lynn
Peugeot Dealer of the Year 2016. Mark Lynn, Dealer Principal, Motors are worthy winners of the Peugeot Dealer of the Year
was presented with the award at the annual Peugeot Dealer award this year. We work closely with our Dealer partners, hand
Conference, held at Clontarf Castle, Dublin, in October. in hand, and it is wonderful to see the Lynn family’s dedication
Lynn Motors is a family-run business, employing nine people, and hard work continue to reap rewards.”
GEORGE CORBETT MOTORS IN WATERFORD BECOMES IRELAND’S
NEWEST ŠKODA DEALER
Škoda Ireland has announced that
George Corbett Motors is the newly
appointed sales and aftersales dealer
for Škoda in Waterford.
Based on the Cork Road in Waterford,
George Corbett’s purpose-built facility
was redeveloped in the past number
of months to accommodate the arrival
of the ever-expanding range of Škoda
vehicles. The expansion, combined
with the arrival of Škoda, will facilitate
up to 10 new jobs over the next 12
months across sales, aftersales and
administration, according to the
company.
Raymond Leddy, Head of Marketing,
Škoda Ireland, said: “With the
establishment of George Corbett
Motors in Waterford, we have a valued
partner to provide quality Škoda
vehicles, aftersales services and Pictured are Ray Leddy, Head of Marketing, Škoda, and George Corbett, Dealer Principal,
George Corbett Motors.
financial products to the people of
Waterford. I wish George and his team
the very best with their new venture. We offers across the range, most notably Kodiaq, that will be here in March.”
are looking forward to Škoda becoming 0% finance and scrappage of up to George Corbett Motors is widely
one of the top-selling brands in Co €4,000 on new orders for 2017. We have known in the Waterford community and
Waterford over the next few years.” excellent new service facilities with particularly in sporting circles from
George Corbett added: “We welcome easy parking and comfortable customer previous and current associations with
Škoda customers, both old and new, facilities. All of us here are very excited Ballygunner, Waterpark Rugby Club and
to come and view the new range of about the arrival of Škoda and the with Bohemians soccer academy, the
Škoda vehicles. We have some excellent exciting models, including the new company said.
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NEW AXONE NEMO DIAGNOSTIC TABLET FROM TEXA
The Axone Nemo is the latest diagnostic tablet to be added to
Texa’s extensive range of products. As with all Texa products, the
Axone Nemo is built with the workshop environment in mind.
“It has been manufactured to withstand heavy use in challenging
conditions, with a user-friendly interface and the ability to
move around the vehicle with ease, thanks to its cable-free
communication with the TXTs vehicle communication interface
(VCI),” a Texa spokesperson said.
“Texa’s Axone Nemo is the first diagnostic tablet to have a
robust magnesium body which is extremely strong and reduces
the weight. This has allowed Texa to install the fastest micro-
processors thanks to its excellent heat dispersal. The Axone
Nemo is built to the Military Standard 810G, is water resistant
and even floats, thanks to Texa’s internationally patented New Axone Nemo from Texa.
technology.”
The manufacturer advises that the Axone Nemo features the • New IDC5 operating system; and
following technology: • Unrivalled coverage.
• An ultra-wide 12-inch screen and Gorilla glass; “Vehicle diagnostics is Texa’s core business,” the spokesperson
• A quad-core processor; added. “To keep ahead of the competition, Texa is committed
• Wi-Fi and Bluetooth connectivity; to developing and offering its customers the best possible
• 2 x 5 megapixel cameras; coverage of vehicles in circulation.”
CITROËN AND DS IRELAND HOSTS AVIVA STADIUM DAY OUT
Citroën and DS Ireland hosted a hospitality day out to the Aviva
Stadium for the recent Ireland vs New Zealand rugby match for
its Network Aftersales Managers.
Joseph Greene, Aftersales Manager, Citroën and DS Ireland,
said: “We were delighted to host this great day out for our
Aftersales Managers. The result of the match may not have
gone Ireland’s way on this occasion but everyone really enjoyed
the fantastic atmosphere and we were delighted to have this
opportunity to thank our Aftersales Network for all the hard
work they put in throughout the year.”
Back row: Paul Norton, Gowan Navan Road; and David Healy and Derry
Collins, Denis and Mary Ryan Car Sales; Middle row: Mick O’Loughlin,
Kilkenny Vehicle Centre; Gary Kidney, Hugo Loonam Motors; James
Mahon, Citroën Dublin; MJ Croke, Cashel Motor Works; Mark
Fitzgerald, Keenan Bauer; Darren Fitzsimons, Kevin Barry Motors;
Sarah Bermingham, Citroën and DS Ireland; and Conor Duffy, PG Duffy
and Sons. Front row: Louise Cunningham, Citroën and DS Ireland;
Vinny Brunton, Citroën Dublin; Joe Greene, Citroën and DS Ireland;
Damian O’Connell, Clareview Car Sales; and Maxime Simoncini, Citroën
and DS Ireland.
SMART CITY PARKING SOLUTION FROM SEAT
SEAT has unveiled a future concept of the SEAT Ateca with ‘Smart City Connectivity’, called Ateca
Smart City Car, which is able to collect information from its surroundings using tracking sensors
and share it with other users to find available parking using the SEAT Parkfinder app. Through
an agreement reached with the Barcelona Council and Cellnex Telecom, this pioneering project
enables the SEAT Ateca Smart City Car to transmit information on available parking spaces to
the city of Barcelona’s iCity platform. At the same time, this server distributes the information
to the Parkfinder app and displays their location to urban drivers on a map. SEAT presented this
concept at the Smart City Expo World Congress in Barcelona in November.
CONFERENCE REVIEW EDITION 19
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