2018 has seen sales of new cars fall consistently month-on-month. So why then are we seeing more people take up the mantle within the motor trade?
How the Market has developed
The market has been growing in regards to garages, mobile mechanics and other areas – so it isn’t just car sales that is considered within the motor trade industry. With more people owning and operating their own motor trade business, competition is high – but there’s more than enough work to go around, if you have the right strategy.
It’s well known that most work for people within the motor trade comes from “word of mouth,” but this number is decreasing year to year. With the increase in traffic available, there has been a huge increase in “recommendations” from local pages on Facebook. For example – there are more requests from users into their network of “does someone know a good mechanic?” on Facebook now than there were 10 years ago.
This has opened the marketplace more than ever. With online being a huge area of opportunity, there are multiple franchises moving into areas across the UK such as “In and Out” and “Kwik Fit” who continue to invest and modernise their existing centres.
The increase in competition from recognised brands, however, has seen an explosion in the number of independent motor traders. Whether you’re operating from your home, as a vehicle collection and recovery operator, or as part of a bigger dealership – there are now more motor traders than ever before. This is great news for the public; the market is competitive and no longer sewn with the distrust and negativity seen previously. As mentioned before, there are more “digital savvy” garages and traders who have Facebook pages and websites which opens the potential for criticism. However, in most cases, this can be addressed and even turned into a positive; if someone feels they have received poor service, there’s the opportunity to turn that around into a positive by responding favourably in the public light.
So, new car sales may be falling compared to previous years, but there are plenty of reasons to be excited. Falling new car sales means that used cars are more likely to be wanted, and now is the perfect time to get involved. The more cars that people are using means there are more opportunities for repairing, recovering and modifying the cars. There are more ways than ever of reaching potential clients, from having a prominent website through to being active on social media channels. There are car detailers and reviewers on Instagram and YouTube who have millions of viewers that you can engage with. If you’re a performance car dealership, there are hundreds of people that will review your cars and share the information to their users, increasing your online exposure as well as potentially driving sales.
ChoiceQuote provide motor trade insurances to the types of businesses listed above. For more information, get in touch on 01625 885046.