Factors urged to raise their game

November 06, 2012
Factors urged to raise their game
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With the economic situation showing little sign of improvement, Jim Mazza, Managing Director of GROUPAUTO UK & Ireland Ltd, has urged the independent motor trade to rise to the challenges of a highly competitive aftermarket. Jim has urged both factors and independent garages to raise their game and be more proactive in developing business.


Jim says, “The franchised sector is actively trying to secure more aftermarket business, but it is sad to see that rather than galvanising the independents and stirring them into action, the threat seems to be dulling their wits.” He adds, “Some factors are still pointing workshops in the direction of the franchised dealer for parts that are freely available to the independent sector. Although this may not be a totally new phenomenon and the products weren’t the most everyday of items, it is at best foolish to suggest that a potential customer source their products from a competitor, but when that competitor is intent in putting you out of business, this attitude is simply suicidal.”

Jim was referencing a recent UK research survey that found that in many instances factors were unaware of certain parts availability in the aftermarket and were strongly suggesting that they were available from a franchised dealer only.

Jim also points to research at the motorist level that has found that cost is not the vital factor that the market seems to obsessively believe it is. He commented “Research among motorists shows cost is not the main driver for them, but still the market is obsessed by the price and has a ‘lemming-like’ attitude to drive prices to rock bottom.”

Jim concluded,  “For the good of the industry and for the motorist, irrespective of whether an individual factor is a member of GROUPAUTO, another group or none, the independent sector needs to raise its game to be able survive in the current climate and to benefit when the economy improves.” He added, “This requires suppliers and distributors to work together and follow sound business practice; to share information, develop management training and adopt sustainable pricing structures.”

GROUPAUTO is an independent motor factor trading organisation and campaigning body. For more information visit: www.groupauto.co.uk
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