The last few years in the used car industry have been tough for dealers to say the least. With footfall down, dealerships are turning their attention to giving their business a competitive advantage in order to attract customers, so with this in mind there has never been a better time to review their current warranty provider as the focus shifts to making the most of every profit opportunity.

In 2011, the introduction of the award-winning ‘Safe and Sound’ scheme (

www.SafeandSound.co.uk

) designed to install real peace of mind and value for buyers, changed the face of the used car sector and the network has continued to grow rapidly, with dealers recognising that it is bolstering their sales proposals and consumers acknowledging that they are making a sound investment when buying a used vehicle. Endorsed by motor racing legend Sir Stirling Moss OBE, the seven element scheme based on the company’s exceptional car warranty product, is today offered by a strong national network of dealerships that embrace the highest levels of customer care. The product which was developed to help dealers to attract and retain customers whilst adding tangible value to the buyer, actually became the brainchild of WMS Group business development director Eric Stone back in 2010.

Eric reports that the decision to create the scheme was heavily influenced by the company’s initial research into consumer buying behaviour. “There were recurrent concerns across the industry from buyers over the safety, value and provenance of their vehicles and consumer confidence was generally low, as there was little or no reassurance that they were buying from a reputable dealer or indeed making a wise investment. At that point it was a price war between dealers to entice buyers into their showrooms as the recession was hitting businesses hard, which certainly wasn’t helped by the lack of commercial opportunities available for dealers to protect and increase their profit margins,” he explains.

The introduction of the aptly entitled ‘Safe and Sound’scheme then ensued in early 2011, and was to include a wear-and-tear six month all mechanical and electrical warranty, sixty point vehicle inspection, six month comprehensive recovery package, provenance check, mileage verification, independent valuation and an exclusive dealer buy-back guarantee. Backed by a six figure investment, a national network of dedicated account managers, extensive marketing and public relation platforms, a plethora of point of sale materials and the WMS Group’s many years of experience in the warranty business, the scheme was first adopted by Harry Ross, Basingstoke; Newhall Cars, West Kirby; two Harratts dealers in Barnsley and Mertrux Cars, Derby, with many more to fly the ‘Safe and Sound’flags shortly afterwards.

With the scheme fully defined, the WMS Group were soon searching for a brand ambassador to endorse it. They wanted a figurehead in the motoring world who was well known but also most importantly encompassed their values of honesty and integrity. The obvious choice was to approach the iconic Sir Stirling Moss OBE, undoubtedly the greatest racing driver of all time and whose reputation precedes him.

Sir Stirling Moss

Eric talks about the decision to work with Sir Stirling Moss OBE: “Sir Stirling is respected worldwide not only for his racing career but for his trustworthy reputation. It was this that prompted us to contact him to personally endorse ‘Safe and Sound’as we wanted to work with someone who was instantly recognisable and credible. Most importantly we knew that Stirling would only agree to endorse those products that he has personally researched and believes in – he is not a man whose opinion is to be bought! We were therefore delighted when Sir Stirling agreed to work with us as he believed that we had a great product to offer the used car market.”

Sir Stirling Moss comments upon his endorsement: “I often get approached to put my name to products and services but when I was introduced to ‘Safe and Sound’I knew this was something that was valuable for the used car buyer and good for the motor industry. We all know buying a car is a big decision and this product brings with it peace of mind –removing those niggling doubts about safety, car history, real mileage and even if you’re paying a fair price. I am pleased to have my name associated with ‘Safe and Sound’; it’s a winning product for motorists in the UK and I feel confident that it will continue to be very successful.”

The WMS Group report that many dealers who have joined the ‘Safe and Sound’network within the twelve month timeframe are acknowledging that the package is perfect for giving them an alternative way to entice buyers into their showrooms, over and above entering a price war amidst these tough trading conditions. It has helped them to differentiate themselves from their competition, providing a compelling reason for customers to buy from their dealership whilst being able to deliver complete peace of mind. Lee Richards, Sales Manager of Mertrux Cars explains why his dealership chose to embrace the scheme: “As Mercedes-Benz Specialists, all our cars are premium quality and low mileage so it makes perfect sense to offer the ‘Safe and Sound’programme along with every car. It is a top quality package which reflects the quality of our marque and reaffirms to our customers the confidence we have in every car supplied by us”.

The WMS Group were delighted when the scheme was recognised last year, scooping a gong at the prestigious Car Dealer Power Awards for ‘Best Innovation’. ‘Safe and Sound’was voted for by car dealers who chose the scheme as the product that they thought had truly blown the competition away, having recognised the UK’s best dealerships whilst helping businesses to provide a truly exceptional service to their customers.

The Group add that much of the current success of ‘Safe and Sound’is fuelled by the addition of franchised dealers to the network, particularly in those businesses that are struggling with new car sales or wish to keep ‘non-home brand’models separate from their new cars, and those that are simply recognising the sales opportunities in ‘used other makes’. Initially designed around the independent dealerships, the company report that ‘Safe and Sound’ has since exceeded expectations having been adopted by Proton for their non-home brand stock to boost footfall, with many other manufacturers and large dealer groups acknowledging that it is comparable if not better than their approved used programme. Kings Chrysler of Teeside reinforce this, stating: “As a ‘Safe and Sound’ dealership, we find the warranty cover to be equivalent to that of the manufacturers’ warranties, and the prices are very competitive too.”

Standing out over the competition

One dealer who can demonstrate the benefits of the scheme to their business model is Luigi Motor Services of Stockport. Sales Manager Nick Raimo comments: “We had a customer who was looking to purchase a Porsche Boxster. He had thoroughly researched the market and viewed this model at several used car dealerships in the area. The customer bought the car from us because he was so impressed with the ‘Safe and Sound’warranty scheme, including the coverage of wear and tear items not normally covered by other warranties.”

The icing on the cake is that a fantastic incentive is currently being offered by the company, in order to help their network to attract buyers. When buying their next car from an approved dealer, the customer would be automatically entered into a draw to win back the car’s purchase price, right up to £15,000 and Sir Stirling will be randomly drawing the winner from the ‘Safe and Sound’ database in September 2012.

Eric Stone adds: “The right warranty protection is actually the best profit and retention tool available to dealers, and if presented to customers correctly, will help to increase margins substantially by ensuring that customers come back time and time again. Of all the products available to your customers, a warranty not only ticks the box for profit at the point of sale, but also bears a phenomenal amount of opportunities where additional profit can be made, including service work required to ensure the warranty remains valid; repair work carried out under the terms of the product; extension plans available to your customers and resolicitation when the policy is due to expire. If a customer buys more than once, they are your customer – but if they only buy once they are someone else’s prospect! We all want customers for life, and what other product will do all of this? What’s more, we also have some fantastic opportunities for buyers to receive up to 50% warranty cover free of charge when buying a longer term.”

Since the launch of the scheme, the WMS Group have gone on to roll out a range of pay-monthly rolling Guaranteed Asset Protection products across their entire dealer network, branded as ‘Safe and Sound’and again backed with the endorsement of Sir Stirling Moss to aid take-up. In only one year from a standing start, ‘Safe and Sound’now boasts a national network in excess of 70 dealers including many of the top 50 dealer groups, determined by their turnover. The company also report that 2011 also saw a staggering 30% growth in turnover compared to 2010, much of which they attribute to the development of the ‘Safe and Sound’network.

It is clear that during these tough times, dealerships need to address the importance of going above and beyond the customer’s expectations, not only to generate new and repeat business but also to ensure that they make the most of every profit opportunity. Despite the economy, the WMS Group conclude that they have dealers achieving a 100% product penetration and a 60% uplift on warranty sales, and confirm that focusing on the customer care aspect of your dealership is a surefire way to guarantee a  profitable business.

With Per Gunnar Andersson claiming a dominant drive in the Satria Neo S2000, he finished more than three minutes clear of his nearest rival in Rally Sweden.

Andersson finished the 24 special stages three minutes 35 seconds ahead of Ford’s Craig Breen and 4 minutes 49 seconds in front of Skoda’s Pontus Tideman. He was also placed 12th overall ahead of some of the main World Rally Championship (WRC) competitors en route to clinching his third successive win at his Swedish home event.

Andersson and co-driver Emil Axelsson led the S-WRC class from start to finish, making the most of local knowledge, experience and a competitive package to steer the Satria Neo S2000 to victory in the snowy, icy and cold conditions of the Swedish countryside.

“What a phenomenal weekend it has been and a well deserved victory for PROTON after only two rounds of the S-WRC. We knew that we had a very competitive car at the very start of the season in Monte Carlo and we have proven just that in Sweden. The Satria Neo S2000 was dominant throughout the weekend,” said Andersson, who looks back on what could have possibly been two victories in two rounds (of the Championship) for PROTON had it not been for an engine fire three stages to the finish at the season-opening Monte Carlo Rally. Rally Sweden attracted the participation of 85 entries and covered a competitive distance of 360km over four days.

“Andersson drove a dominant rally to make an impactful introduction for PROTON in Sweden and the World Rally Championship circuit, underlining both the team and brand’s commitment to excel,” said John D. Chacko, PROTON’s Director of Group Marketing, Branding and Motorsports.

Victory in Sweden promotes PROTON to officially joining not only the ranks of rally’s elite, but is its first in the European hemisphere since the Satria Neo S2000 made its competition debut in the Intercontinental Rally Challenge (IRC) in 2009.

PROTON’s best finish up until now had been second place at the 2009 IRC Rally of Scotland, although the Satria Neo S2000 did go on to dominate and win the 2011 Asia Pacific Rally Championship (APRC) driver’s and manufacturer’s titles.

“It has been an incredible journey to get here (victory for PROTON). As we celebrate this moment, I assure you that development work continues to ensure that the Satria Neo S2000 enhances its competitiveness throughout the season. It is still too early in the season and there is still plenty to be done to if Andersson is to make a strong bid for this year’s S-WRC title,” said Datuk Abdul Razak Dawood, the Head of PROTON Motorsports.

With Monte Carlo and Sweden now over, PROTON is due to compete in another three of the seven S-WRC rounds in 2012.

18 January 2012: Proton has extended a three years free servicing offer on all new vehicles in its range when purchased and registered up until 31st March 2012*.

Helping motorists to relax and feel safe in the knowledge that they are covered by expert service protection for three years, Proton has a car to suit a range of budgets, with the current line-up including the fun and spacious 5-door Savvy city car, the sporty Lotus inspired 3-door Satria Neo and new Satria Neo Sport, the 5-door GEN-2 family hatchback and the 4-door GEN-2 saloon and LPG dual fuel GEN-2 ecoLogic range.

Giving real value for money, Proton is also offering a free leather upgrade, worth £1,000, on the 1.6 GSX ecoLogic and the GEN-2 1.6 GSX.

Offering a new and flexible approach to finance for customers looking for a great deal across the 70-strong dealer network in the UK, Proton has also just partnered with Close Motor Finance, one of the fastest growing independent point-of-sale finance providers in the UK.

Talking about the latest offers, Simon Park, General Manager Sales and Marketing for Proton Cars (UK) Ltd, said: “We like to add value to our customers, and by extending our free three years servicing offer and introducing free leather upgrade for selected cars, we hope they really feel the benefit. It’s great to help people’s money stretch that little bit further, and be safe on the road.”

Commenting on the new partnership with Close, Simon added: “With the launch of five new products planned to roll out over the next two years, Proton is moving into an exciting period of growth and we therefore took the decision to enter into a joint venture with Close to help us provide continued excellent support to our 70 dealerships which are based across the UK.”

This new relationship will enable Close to bring its unique proposition to the 70 Proton dealerships located across the UK via an extensive branch network committed to local, hands on support.

Chris Reid, Manufacturer Development Director said: 

“We’re really pleased to be able to work with a company that has similar ambitions for continued and sustainable growth over the next few years. This new relationship with Proton demonstrates our desire to become a key player in the manufacturer market, with both the appetite to lend and infrastructure in place to manage large volumes and develop strategic partnerships with other manufacturers going forward.” 

Simon Park, General Manager, Sales and Marketing, for Proton added: 

“With the launch of five new products planned to roll out over the next two years, Proton is moving into an exciting period of growth and we therefore took the decision to enter into a joint venture with Close to help us provide continued excellent support to our 70 dealerships which are based across the UK.” 

Close Motor Finance will provide the Proton UK Cars dealers with a flexible approach to finance and the close and personal business values to which its 7,000 strong dealer partners have come accustomed to. Although in its infancy, the Manufacturer Division at Close Motor Finance will help the company continue with the extensive growth plans it has for the future. 

Close Motor Finance is perceived to be one of the fastest growing independent point-of-sale finance providers in the UK with over 70 experienced account managers spread across the country.

2 December 2011: As the long winter draws on in, now is the time to plan for difficult driving conditions which is why Proton Cars are offering customers a free winter check at its 75 dealerships across the UK.

The winter check offer, which is available between 1 December 2011 and 29 February 2012, includes checking the antifreeze content and coolant level, tyre condition, tread depth and pressures, engine oil level, brake fluid and performance, power steering fluid level, washer bottle contents and level, washer jet operation, wiper arms and blades condition and operation, operation of all external lights and the battery condition.  It also includes a visual check for coolant leaks.

Motorists booking a winter check will also be entered into a prize draw to win £200 worth of John Lewis vouchers.

Simon Park, General Manager Sales and Marketing for Proton Cars (UK) Ltd. said:  “The safety of our customers is paramount year in, year out, but it’s particularly important to ensure cars are winter-ready – especially given the hard winters we’ve had in the last couple of years. We would encourage all Proton owners to take advantage of the free winter check, so we can help them feel confident that their car is suitable for driving in wintery conditions.”

The fourth victory of the six-round season, Proton’s Satria Neo S2000 was driven into pole position by Alister McRae, who won the driver’s title.  Meanwhile, team mate Chris Atkinson finished third to make it a Proton 1-2 in the APRC driver’s championship.

Dominating the course, the Satria Neo S2000 showcased both power and tenacity – Proton cemented the coveted APRC manufacturer’s championship having beaten off competition from Mitsubishi and Subaru.

Talking about the prestigious results from the team in China, Simon Park, Proton UK’s General Manager, Sales and Marketing for Proton Cars, commented:  “We extend our congratulations to the Proton rally team in this fantastic achievement – it is testament not only to the team’s skill, but also demonstrates the company’s ongoing commitment to investing in the latest technology and design of our vehicles.”

UK rally fans of the Proton R2 Malaysia Rally team can get their hands on a piece of the action first-hand with the Lotus inspired Satria Neo and Satria Neo Sport.

With its sporty exterior coupled with its Lotus ride and handling, the Satria Neo delivers both excitement and economy in one car with a thrilling CamPro 16v engine; plus 16” alloy wheels (GSX models), electric windows, reverse parking sensors and rear spoiler all as standard and topped off with prominent wheel arches, a centre mounted exhaust and race-inspired bucket seats.

Retailing from £8,495 OTR, the Satria Neo has been tuned for precise steering response, and also comes with ABS, EBD and twin airbags as standard.

Proton, which has a franchise portfolio of 75 dealerships throughout the UK, stole the show for the second year running with the ‘Best Overall Extended Range’ category and also won the ‘Most Energy Efficient Multi-Purpose’ category with its Proton Exora Range Extended Electric Vehicle (REEV).

More than 65 low-emission vehicles – some not seen on the UK roads before – battled for pole position in the three different entrants classes and seven vehicle categories – from small passenger classes to light commercial vehicles.

The 60-mile route challenged competing cars from the world’s most recognised car manufacturers to use the least amount of energy on their journey.  As well as low-emission conventional (internal combustion) engine cars, the entry list included electric vehicles, hybrid models and cars powered by hydrogen fuel cells.

Simon Park, General Manager for Sales and Marketing for Proton in the UK commented:  “This year, Proton entered three cars into the Brighton to London RAC Future Car Challenge – the Exora REEV, the Saga EV and the Persona Elegance REEV.  We are absolutely delighted with how the Exora REEV faired and its success clearly demonstrates our commitment to the development of export markets and investment in a new range of conventional hybrid and electric vehicles to meet growing demand.

“With petrol and diesel prices showing no signs of decreasing, the future of motor cars must lie in finding a fuel that is not only cost effective, efficient and more environmentally friendly.  Our LPG car, the EcoLogic, has already proved a popular choice for customers – and we think our new range of eco-friendly cars will also be popular for the future.”

Proton’s entry into the Future Car Challenge was a joint collaboration with one of its technology partners, Frazer-Nash Research Limited.

Minimalist is the rule of its interior design; the Satria Neo cuts a stylish, sporty image. Furnished with bold textures and shades, giving it a touch of luxury. Whilst compact, it boasts an ample seating capacity with newly designed gadgets. The air-conditioning dials have gone through a “redefinition of style”. The steering wheel has an integrated radio control function and many more nifty additions.

Don’t be deceived. Underneath its compact exterior lies a powerful beast waiting to be unleashed. With a formidable CamPro 16V DOHC engine developed in collaboration with Lotus, this mean machine is capable of going really fast. You’ll be begging for more.

Inspired by Lotus handling dynamics, the Satria Neo is tuned for precise steering response and maneuverability unlike you’ve ever experienced before. Attention to aerodynamics profile offers excellent balance. Be prepared for amazing high speed tracking stability and vehicle control.

It is built with the use of High-tensile Steel to provide optimum structural rigidity and crashworthiness, maximizing driver/passenger protection. Reinforced side doors and built-in crumple zones also add to the Satria Neo’s remarkably strong and safe cabin. Its durability has gone through stringent tests in extreme conditions to ensure reliability against unforeseen incidents.

The Satria Neo has gone through rigorous tests to ensure protection. Its impeccable strength starts at the framework. With precision engineering, impact absorption is drawn throughout the body structure to give maximum protection to driver and passengers. All these make the Satria Neo’s safety features compliant with international standards.