The 23rd Annual NADA Dealer Satisfaction Index (DSI) awards evening took place this past week. Senior management from manufacturers and importers, dealer principals and management from dealer groups, as well as financial institutions, gathered to network as well as receive their awards.
Over the years, the results of the survey have been used by dealer councils and manufacturers as an effective management tool to address areas of concern and thereby improve service delivery throughout the entire value chain to the ultimate benefit of the consumer.
The speakers shared a number of thought-provoking insights of the retail automotive industry. Additionally, all three speakers shared similar thoughts on the “disruptors” the industry faces.
Paul de Vantier, Managing Director, Lightstone Consumer, noted that when it comes to online marketing and dealing, this industry has seen a growing number of people who will transact the whole deal online, from start to finish, with the dealer simply being a delivery and service point. This isn’t something that’s coming, he said, it’s something that’s already happening. And he is convinced that this trend will grow.
De Vantier also made note of South Africa’s ageing car parc. In 2015 it was 9.6 years, but now it has aged to 9.9 years. He attributes this to rising vehicle prices, affordability and general consumer confidence. “Consumers either can’t afford to replace their vehicles or lack the confidence to commit to long term financing deals,” stated De Vantier.
NADA (constituent association of the Retail Motor Industry Organisation), which represents franchised passenger and commercial vehicle dealers in South Africa, engages the services of Lightstone Consumer to conduct the survey annually. Views of franchised dealers about their on-going relationship with their respective manufacturers or importer are expressed in the survey. The results show the general health of the dealer/manufacturer relationship, indicate potential difficulties and highlights