3:25 pm, May 12, 2011
TESCO CARS claims it has achieved a ‘successful first month’ of trading with nearly 500,000 visitors to its website.
The supermarket says these visitors have resulted in strong sales figures with the site hitting its target, but it doesn’t reveal what that figure was.
Tesco also claims that the ‘positive response from consumers’ has been matched by ‘accelerated dialogue’ with fleets, manufacturers and dealer groups looking to harness the site as a sales channel.
‘The Tesco name is above the door and, with it, an even higher level of focus on delivering customer service and value, it is a business model rooted in the motor industry,’ explains Sir Trevor Chinn, chairman of Tesco Cars.
‘We have a unique opportunity thanks to the very loyal 16m customers of the brand. That opportunity is not only recognised by our historic partners but the new ones joining us all the time.’
Tesco Cars admit that, although the majority of used car buyers will still want to ‘kick the tyres’ and buy from a forecourt, its new channel is providing an alternative option for those happy to buy remotely and ‘buy rather than be sold to’.
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ANGER
Car Dealer Magazine was the first publication to break the news the supermarket was looking to target the motor trade – and it caused uproar when our story was published as dealers and car manufacturers slated the move.
There has also been talk that relationships between the supermarket and one of its main sources of cars, Motability, had gone sour, but both parties strongly deny that’s the case.
Sir Trevor Chinn added: ‘We’re realistic about sales, how competitive our pricing is, and we’re honest in delivering for both the consumer and our motor industry partners.
‘Our pricing is comparative with competitive dealers, and some models will offer bigger savings than others, but we’re not here to start a pricing war. This is more about choice and experience.
‘The response to date from both sides proves that no-risk selling and no-risk buying online works and is only set to grow.’
