Motor industry
The Power of Hindsight: Lessons from the 2008 Financial Crisis and How to Improve Funder-Dealer Communication
For those in the automotive funding industry, the lessons from the 2008 financial crisis serve as a reminder of the importance of being prepared for any eventualities in the economy. The recession highlighted the need for better communication and collaboration between funders and dealers in order to navigate an uncertain financial landscape. In this article,…
Read MoreWhat’s a Vehicle Identification Number? How to Decode the World Manufacturer Identifier
Did you know that every car has a unique Vehicle Identification Number? A Vehicle Identification Number is a code used to identify and track vehicles worldwide. The first three positions of the Vehicle Identification Number, or VIN, make up the World Manufacturer Identifier, or WMI. These three positions reflect the manufacturer and the country of…
Read MoreWhat Can Be Done by Automotive Retailers to Reduce Carbon Emissions?
The automotive industry has been a central focus of the debate around reducing greenhouse gases as the growing pressure to act on climate change is building in intensity. Many countries have committed to reducing greenhouse gas emissions to net-zero. Net-zero is the point at which the country is removing the same amount of these climate-changing…
Read MoreBoosting Growth Through Digitisation
Dealers are acutely aware of the challenges that these market movements bring and are, on the whole, ready and willing to invest in digitisation to ensure their businesses have ongoing relevance. For funders, some of which will have seen significant digitisation in other sectors within their portfolios, there exists an excellent opportunity to deepen relationships…
Read MoreGrowth Through Digitisation of the Auto Finance Sector
Consumers, newly comfortable with the notion of researching and making significant purchase decisions online, have been at the forefront of driving digitisation in dealerships, but this isn’t the only pressure being brought to bear to accelerate the rate of digital change. Forward-looking dealer businesses are also identifying the significant opportunities to enhance the efficiency of…
Read MoreCreating Your Stock Audit Plan: What to Check Before You Start
Deciding to create a new stock audit procedure is not an easy one. Even if you’re upgrading an old framework, numerous options may influence the quality of your future audits. As a result, careful planning may save you time and money in the long run by streamlining and improving the efficiency and accuracy of your…
Read MoreStock Control as a Strategic Issue: Flexible Funding
Gone are the days when dealers relied on their own capital or regular bank lending to stock their forecourts. As competition has increased, business owners have looked for more flexible ways in which to fund a larger number of vehicles, in order to attract more customers. In today’s environment, with rapid stock turnover and huge…
Read MoreStock as a Strategic Issue: Rocketing Values
During the last 18 months the word ‘unprecedented’ has become ubiquitous and, arguably, overused in many contexts. There are, however, good reasons why its application to the car industry, both globally and locally, is well justified. The pandemic has had a tumultuous impact on both the supply and demand side of the industry and throughout…
Read MoreStock Control as a Strategic Issue: A Need for Agility
The industry has discovered its Achilles heel – vehicles so heavily reliant on processing power that they are literally immobilised by the scarcity of semi-conductor chips, causing a huge impact on the new vehicle supply chain. At the same time, increasing consumer confidence and unexpected access to cash from savings during lockdowns have combined with…
Read MoreDealer Floor Plan Financing Explained
In the automotive industry, the terms floor planning, stock finance, and floor plan financing are frequently used. Floor plan finance is a form of funding used by organisations such as franchised and independent motor dealers, agricultural equipment vendors, materials handling equipment dealers, and similar. This form of funding is a way of using revolving credit…
Read More