Their world is changing, but dealers will adapt
YOU CAN’T HELP BUT WONDER what the future of mobility will look like in our not-too-distant future.
Touring auto shows and checking out the latest offerings from OEMs provide a startling glimpse into where the future is headed.
From Google’s driverless cars that have already logged more than one-million accident free kilometres on public roads to the battle between the Apple and Android operating systems to see who will own the in-vehicle infotainment system, a brave new world awaits.
Throw in the emergence of fuel cell vehicles from companies such as Hyundai and Toyota, ride share programs where people no longer own vehicles but just treat them as a disposable convenience experience, and the incredible safety technologies being built into next generation vehicles, and it’s clear that we are about to witness even more extraordinary change.
It must create some uncertainty among dealers, who gaze out across their lot of 2015 models and wonder what their product mix will look like in five or 10 years and who will be well equipped enough to sell and service them in such a rapidly changing world.
And if the product mix and new technologies aren’t enough to master, there’s the threat of a new online purchasing model being introduced by companies like AutoNation that could disrupt the traditional role of the auto retailer, and change it entirely in the purchasing process.
All in all, it’s a great time to write and report on the auto retail industry!
But through all of this, I’m confident Canadian auto dealers will adapt. I’ve met with some of the best and brightest in our industry and they don’t lose sleep over change — they embrace it and exploit it.
Even driverless cars need owners — and someone to sell them and maintain them.
The explosion in vehicle technology, and in the complexity that will be required to maintain and service them down the road, might be building a sustainable business for dealers. That is if they continue to invest in the skills and training of their teams.
Building a powerful, highly-skilled and responsive team is really the only sustainable advantage you can create in a world of transparent pricing, and with no control over the vehicles that your manufacturer provides you to sell.
But the dealership customer experience, and the reputation of your service team in particular, will be the key to having your service bays filled in the future – regardless if the vehicles that arrive are gasoline, diesel, hybrids, electric, fuel cell or some combination of all of them.
Maybe it’s time to invest in that electric vehicle charging station and a hydrogen refuelling station to send the message to your customers that you will be ready for them.
