11:33 am, January 23, 2023
Volvo’s UK dealers could be given notice of a shift to agency sales this month with the move taking effect as soon as May.
That’s according to Autocar, which says the manufacturer is looking to speed up the transition plans.
The move was rumoured to be planned for this summer, but Autocar says it has discovered that notice could now be given as early as the end of January, with the aim of starting the new sales model just three months afterwards.
The UK would then test it ahead of it being adopted elsewhere by Volvo.
Autocar quoted a Volvo UK spokesperson as saying: ‘Volvo Cars always strives to offer our customers the best possible experience.
‘We want to meet and support our customers where they want, and expect, to meet us – whether they’re researching online, visiting a retailer location or coming into one of our showrooms.
‘To that end, we’re launching an omnichannel sales model, underpinned by strengthened digital capabilities, more price transparency and continuous engagement of our retailer network.
‘Our commercial transformation is well under way in the UK, where we have already begun rolling out the new omnichannel model.
‘The UK is on course to complete this transformation later this year, with more markets to follow in due course. Stay tuned.’
The agency process sees the manufacturer running its own online sales portal and looking after customer relationships, with vehicles sold at a fixed price. Dealers are then simply paid a fixed handover fee.
But agency sales have come in for criticism by some customers because it takes away haggling and forces prices up, says Autocar.
It adds that some dealers oppose it, too, because it removes their training and expertise from the sales process – some manufacturers such as Renault, Kia and Hyundai say they’re not planning to move to the agency model for that very reason.
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