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Death Of A Dealership!!

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TaviaRs

I don't disagree with a lot of your post. Please don't think I am a supporter of manufacturer's imposing expensive showrooms etc on dealers just to satisfy their own egos. The investment many are having to make is not realistic based on the likely return. Interestingly this is a direct result of the removal of Block Exemption rules which was supposed to increase competition, not reduce the number of dealers!

My argument is that it is getting harder and harder for dealers to make any sort of money these days due to the customer so often wanting 'something for nothing' (and being educated to expect just that by so called consumer groups/magazines). Unfortunately when these dealers can no longer justify staying in business very often the very people who wanted to screw them to the floor on every deal/service are the ones who complain when they then lose thier friendly local dealer.

The bottom line is that you can't expect a dealer to sell you a car at cost and still expect him to be in business in the long term.

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Gasman,

I find your turn of phrase interesting:

and being educated

That seems to imply that previously customers have been naive and have been, to turn a phrase, screwed by their dealers. This was done to make up for the money lost through fleet sales.

Not many dealers do sell at cost and if its such a dreadful market to be in, why I people, even now, buying franchises? I'm sorry but I find it hard to believe that these big groups are paying out such large sums of money on potentially loss making businesses. If you know of any that are, could you let me know as I have some genuine moon cheese for sale :rolleyes:

However, I'll go along with you that there is no money in the metal, now its all about the finance agreements and the bit a lot of the new dealers are missing the point on, customer service and aftersales.

:ignore: :ignore: :ignore:

Has anyone actually established WHY they've closed yet :-

- Have they gone into voluntary liquidation ?

- Some othrr reason for ceasing trading?

Rob

My blurred 'vision' for 2006//7 Skoda dealers is:-

-

Hmm, Atoz RS anyone? :D

or a GM Daewoo with 4WD and a 240bhp turbo for when they change the rally regulations and GM decide to get back into motorsport with Daewoo. More chance of a Kia Sedona FQ330 I think...

Ah forgot the GM connection, Lotus Matiz? :D :D

Cant help but notice the irony of Skoda owners taking the mick out of other brands.................

Not so much taking the mick. Think back 3 or 4 years, a performance Skoda? That's what we're doing, looking forward 4 or 5 years as to where the next unlikely performance car is coming from.

I am always amazed by people who think that paying over the odds for goods on the high street is a good thing, as it helps keep businesses going. In truth you are lining the pockets of the rich, and keeping share holders happy, and why should cars and dealerships be any different.

People who don't shop around and willingly pay over the odds for any item are mugs! They don't call this country 'rip off Britain' for no reason.

Not so much taking the mick. Think back 3 or 4 years, a performance Skoda? That's what we're doing, looking forward 4 or 5 years as to where the next unlikely performance car is coming from.

Which set me thinking about 3 cars that I owned when a lot of people laughed at me... and then stopped:-

In 1988 - Mazda 323 4WD Turbo

"You've got a what?"

I really loved that car - which used to run rings round Golf GTis and Astra GTEs at the time. Great chassis, light to drive, strong brakes, good steering, debadged ;)

In 1994 - Subaru Legacy 4WD Turbo

"Don't farmers have them instead of Landrovers"

Still in my top 3 cars list - very laggy off boost but better than my later Imprezas were in some ways.

In 2003 - Skoda Octavia 4WD Turbo (OK I was a year late with this one!)

You know what they say!

So, not mickey taking - if Skoda continues to be pushed upmarket by VAG, someone will fill the gap.

In import quota times, the Japanese did, but times change, so my guess is that it will come from Korea in 3/4/5 years time.

The current Hyundai Coupe proves the engineering / styling skills are about there - just need the rally rules to change again to get them to bring out a hatch 4x4 turbo :)

Talking of dealers closing , I took my Octy back to the All-Electric garage in Birmingham and overheard one of the sales staff that they are losing Skoda to be replaced with Mitsubishi. There were already a bunch of new Mitsis outside and only three skodas (2 fab , 1 sup) in the showroom with no brochures at all.

Looks like I'll be going somewhere else for the next service which is a shame as this one was quite reasonably priced and they are convenient.

I'm totally friggin' gutted to hear about Forward Motors. I only left there a week ago with my car repaired. They said nothing to me then about it and Graham the service advisor, said to me see you in a months time for your 1st year service, so I presume he knew nothing at that time. They were all smashing people down there.

I blame Vauxhall and its dealerships for the demise of not only our local Skoda dealer of many years, but in the last year we have lost a local Mazda dealer and VW dealer also. But we have 3 Vauxhall dealers one the size of a "friggin' village" or should I say farm as that is where sheep (most Luton people) go to isn't it. Baa, Baa. I won't join them so I'll have to take a drive out to Ampthill or Stevenage I suppose.

Haydn

Gutted also. I can't think of a better dealer to deal with.

Not sure where to go next but probably Ampthill - how come they are still going and Forward Motors with the big VAG-spec showroom etc aren't ? (Maybe I just answered my own question :o

Gutted also. I can't think of a better dealer to deal with.

Not sure where to go next but probably Ampthill - how come they are still going and Forward Motors with the big VAG-spec showroom etc aren't ? (Maybe I just answered my own question :o

Perhaps they are keen to go back to the seedy old petrol station sharing style of forecourt. One salesman, one mechanic/storeman and a dog, named Rover.

or should that be Skoda?.

still gutted!!

Haydn

There's an letter on this subject from a Skoda owner in the Honest John column of Saturday's Telegraph.

See http://motoring.telegraph.co.uk . You may have to register to read it.

This is the letter welliesorter mentioned along with the reply

Earlier this year I bought a Skoda Fabia diesel estate, which is fantastic. My small local dealership offers outstanding, personal service but is soon to lose its franchise after more than 30 years because the company can't justify the expense of moving to larger, more prominent premises of the kind Skoda now demands.

I believe many other agents are losing franchises for similar reasons. I wrote to Skoda UK for an explanation and it recommended an alternative dealership 25 miles away.

I find this appalling. It added that I could have my car serviced independently so long as genuine Skoda parts were used, but I can imagine legal nightmares occurring if I have to make any subsequent warranty claims.

I was intending to keep the car for many years but might cut my losses and sell. As a side issue, my wife was about to buy a Skoda Fabia but is now looking elsewhere.

P.B., Godalming

The only way to be sure of keeping the car within warranty is to have it serviced by Skoda franchises. It's a pity the VW Group hasn't organised itself so that any of its dealers (ie Audi, Seat, Skoda or VW) are properly licensed to service any car.

On a similar note , my dealer , Tweedmouth Service Station , recently lost the franchise coz of the cost of the work that Skoda expected to do to the showroom...as they have only been a Skoda agent since 1996 you may think that it wont be a big loss to the company (Skoda i mean) but if any of the 'suits' from MK paid Berwick a visit they would see for themsleves how many Skodas TSS has put on the road since '96! Funnily enough TSS have just had a slightly different message from Mitsubishi (whom they have been dealers of since 1978) , ie , since they have hit their yearly sales target of Mitsu's , Mitsu UK is GIVING the garage

Ref 'Skoda pulling the plug'

THIS IS NOT THE CASE. I am not even allowed to send out any letters to Forward customers at present advising them of other dealers in the area, as Forward are still formulating their 'official stance'. Rest assured when I get the ok to write to you, I will do so with as much information as I can give.

It's a fact that they have closed, but this is *nothing* to do with Skoda. The reaction to this in our office was utter shock and sadness. They were one of our very best dealerships, (without a doubt my personal favourite thanks to thje efforts of John, Graham et al) but apparently there have been difficulties for some time.

It can be a tough old world in business. I wish them all the very best in whatever they do next.

This is the letter welliesorter mentioned along with the reply

Due to the new block exemption rules brought in in September this year, you are completely free to have the car serviced at any outlet, be it Skoda, VW, Audi, Ford... whoever, with no effect on the warranty. We do ask thjat thjey use genuine Skoda parts, and also advise customers that if they **** up, it's down to them to put right. Just as if you took your car for repairs to Skoda garage A,and they screwed your electrics up, you couldn't expect Skoda garage B to fix the problem gratis.

The only thing they can't do is warranty work, (they have no means of claiming back the costs)

Ref 'Skoda pulling the plug'

It's a fact that they have closed' date=' but this is *nothing* to do with Skoda. The reaction to this in our office was utter shock and sadness. They were one of our very best dealerships, (without a doubt my personal favourite thanks to thje efforts of John, Graham et al) but apparently there have been difficulties for some time.

It can be a tough old world in business. I wish them all the very best in whatever they do next.[/quote']

..Particularly when you are 'pressurised' into spending millions in upgrading your premises to bring in line with company standards....

And we know this is the case with Forward, do we?

Some dealerships suffer from appalling hig-level (mis)management, let's leave it at that.

Nice to see you back, Niki. Some of us thought that Skoda might have pulled the plug on your PC while you weren't looking. :)

Welcome back, Niki. How did the house move go?

Ditto the Welcome Back Nikki !!

Thought you had been dragged off into the night by the VAG "Thought Control Police" !!!

:cheers:

Graham

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