Second Motor Trader MHA Dealer Confidence Barometer shows a change in levels of optimism
Posted On October 15, 2014 By mhauk
MHA and Motor Trader’s second joint industry barometer survey shows that the optimism shown at the beginning of the year has certainly been eroded in the second half of the year, particularly in relation to margins and the delivery of profit levels
Steve Freeman, MHA Head of Motor Sector and Partner at MacIntyre Hudson comments “My dealer clients, whilst continuing to deliver strong volume growth and good profits, are now setting full year profit expectations more cautiously than anticipated in the first half of the year, principally due to the margin pressures from increased manufacturer targets.”
The survey also shows that whilst sourcing used cars clearly remains a challenge for many dealers, those who have excelled in this area and maximised the impact of their websites have generated very strong used car profits.
Finally, there is an interesting increase in the dealer numbers who think owner-drivers will be bringing forward their exit plans. This when combined with the very low proportion of dealers who feel they are fully prepared to maximise the post tax return on site disposals, their full business disposal or their retirement, really does stress the need for many dealers to think more proactively about their exit plans and their readiness.
The full report is now available.
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