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You are here: Home1 / News2 / UK News3 / NFDA survey reveals post-lockdown automotive retail

NFDA survey reveals post-lockdown automotive retail

Date: 15th July 2020 Author: Andrew Bogie Comments: 0

The National Franchised Dealers Association (NFDA), which represents franchised car and commercial vehicle retailers in the UK, has run a survey of dealers of all sizes to understand the implications of the COVID-19 lockdown on the automotive retail sector.

The survey asked dealers questions about their return to work including the percentage of dealerships that reopened, current online activity, and levels of customer booking as well as phone enquiries.

The survey was conducted twice to find industry insights and monitor trends. The first issue of the survey ran between 15 and 19 June, while the second one was conducted from 29 June to 2 July.

Key findings

  • Dealership opening: the vast majority of dealers (75.2 per cent) reopened all dealerships on 1 June. Dealers are gradually bringing more people back to work in response to the levels of customer demand
  • Online: during the first two weeks, most dealers saw an increase in online sales enquiries (80.2 per cent), as well as online sales (66.7 per cent). Interestingly, two weeks later, fewer dealers reported a rise in new car online enquiries (55.6 per cent) as well as new car online sales with only one in four saying they have sold more cars online. However, in the used sector, 83.2 per cent of dealers saw a larger volume of online enquiries and 55.45 per cent saw an increase in online used car sales.
  • Phone enquiries: more than half of dealers saw a surge in phone enquiries from potential customers prior to visiting dealerships. Slightly more dealers saw a moderate or considerable increase in phone enquiries at the end of June (65 per cent) compared with earlier in the month (60 per cent).
  • Appointments: nearly three in four dealers said more customers are booking appointments prior to visiting.
  • Test drives: according to 8 in 10 dealers, customers have shown interest in taking unaccompanied test-drives.
  • Government support: 98 per cent of dealers who responded to the survey used the Government’s Coronavirus Job Retention Scheme.

Sue Robinson, NFDA Director, said “Despite the significant challenges caused by over two months of lockdown, dealers showed encouraging signs from the first trading weeks since dealers reopened in the UK, including an increase in online enquiries and sales.

“Positively, the majority of dealers reopened as soon as they could and reported that all customers are accepting the changes to the standard operational procedures allowing retailers to continue to do business safely and smoothly.

“NFDA will continue to ask for retailers’ feedback over the coming weeks as it is vital that we monitor the health of our sector to ensure it receives the support it needs going forward”.

Related news:

  1. Still room for car dealership haggling, argues NFDA
  2. Satisfaction with manufacturers low in NFDA Dealer Attitude Survey
  3. NFDA Winter 2017 Dealer Attitude Survey shows little change
  4. Latest Dealer Attitude survey shows ‘degree of optimism’
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Related Tags

Car dealerships, Coronavirus, NFDA, Sue Robinson, survey

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