If the language in this screenshot taken from the Google announcement is correct, they seem to be ending the current dealer network.
"Volvo aims to be a fully electric car company by 2030... all electric cars to be available online only"
The only other interpretation I can make of this is that all-electric cars will be the ones only available online, whereas hybrids of various types will be available through dealers.
I wouldn't have ended up in an XC40 if I'd not been able to test drive it. I certainly wouldn't invest £50-60,000 in an electric car I hadn't been able to drive first.
How does everyone else read the statement, and how do you feel about this distribution plan?
An end to dealerships
I would never buy a car without a substantial test drive first.
I've not seen how they propose to sell used cars from 2030, and even by then one would expect used petrol and PHEVs to be offered, so maybe the phrase "all electric cars" covers this.
By the way, maybe it's my age, but I dislike the downgrading of car sales to being like white goods or mobile phones. This includes those firms who have sprung up on TV adverts, one promoted by Rylan, the other featuring a bloke sinking in to a sofa while the car he has just clicked to buy arrives on a truck. Very lazy business models.
I've not seen how they propose to sell used cars from 2030, and even by then one would expect used petrol and PHEVs to be offered, so maybe the phrase "all electric cars" covers this.
By the way, maybe it's my age, but I dislike the downgrading of car sales to being like white goods or mobile phones. This includes those firms who have sprung up on TV adverts, one promoted by Rylan, the other featuring a bloke sinking in to a sofa while the car he has just clicked to buy arrives on a truck. Very lazy business models.
T4 Inscription FWD, Denim Blue, blonde interior. Winter pack and rear view camera.
Delivered 10/03/20.
Fun car, 2006 Mercedes SLK 350
Business car, 2007 Mercedes A180 CDi
Advanced driver since 1985.
Delivered 10/03/20.
Fun car, 2006 Mercedes SLK 350
Business car, 2007 Mercedes A180 CDi
Advanced driver since 1985.
I read this the same but this is already reality for many buyers.
I haven't visited a Volvo dealership ever yet I was able to get a 5 day test drive of the exact model XC40 I wanted before I placed my order via an online ordering portal. My new car was then delivered to my drive when ready. I never needed to leave my house.
This was a much better experience than going to a dealer where the test drive is normally a few minutes around the block.
So you will still be able to have a test drive. Indeed many other manufacturers already do this today as well. Plus looking at the attitude of some dealerships you end up getting a better service.
But the dealerships will still be needed as the cars still need servicing and of course there is also the second hand market.
I see my local Volvo dealer has just gone live with the "new Volvo service experience" where they aim to service your car in half the time (by having 2 guys working on it at the same time) and providing a workspace environment (much more than just free wifi and a coffee machine) so you can be in and out in no time at all.
For years, dealerships have complained they make very small margins on new car sales compared to servicing and used car sales so this should not be a loss to them.
I haven't visited a Volvo dealership ever yet I was able to get a 5 day test drive of the exact model XC40 I wanted before I placed my order via an online ordering portal. My new car was then delivered to my drive when ready. I never needed to leave my house.
This was a much better experience than going to a dealer where the test drive is normally a few minutes around the block.
So you will still be able to have a test drive. Indeed many other manufacturers already do this today as well. Plus looking at the attitude of some dealerships you end up getting a better service.
But the dealerships will still be needed as the cars still need servicing and of course there is also the second hand market.
I see my local Volvo dealer has just gone live with the "new Volvo service experience" where they aim to service your car in half the time (by having 2 guys working on it at the same time) and providing a workspace environment (much more than just free wifi and a coffee machine) so you can be in and out in no time at all.
For years, dealerships have complained they make very small margins on new car sales compared to servicing and used car sales so this should not be a loss to them.
Last edited by m@rk on Wed Mar 10, 2021 12:50 pm, edited 1 time in total.
XC40 T5 Recharge Inscription Pro - Denim & Blonde
There is no way I would buy a car without:
1. seeing it in the flesh;
2. test driving it.
I found this statement on The Guardian's website: "The Swedish carmaker also said it would sell its electric cars direct to consumers or via dealerships through the same simplified online portal, in a blow to the traditional model of selling vehicles via independent dealerships." And on the BBC website: "Its online push means customers will be able to order cars to their own specification online, but also through a dealership."
1. seeing it in the flesh;
2. test driving it.
I found this statement on The Guardian's website: "The Swedish carmaker also said it would sell its electric cars direct to consumers or via dealerships through the same simplified online portal, in a blow to the traditional model of selling vehicles via independent dealerships." And on the BBC website: "Its online push means customers will be able to order cars to their own specification online, but also through a dealership."
Cheers,
Ron
XC40 B3 Plus Automatic
Fjord Blue
Ron
XC40 B3 Plus Automatic
Fjord Blue
This is a selective quote that doesn't reflect the reality of the plans:
From 2030, Volvo’s UK dealer network will ‘effectively’ operate an agency sales model as customers transact with the manufacturer while the dealer will handle the customer service.
Volvo UK’s network and business development director, Mark Cox told Car Dealer "he relationship changes, but crucially the role of the retailer is now more important than it ever has been.
‘We are looking to grow our volumes overall and while we are talking about direct online sales, we are allowing customers to interact in ways they choose to.There will be many customers who still choose to come to one of our fantastic retailers and transact in much the same way as they do so today – speak to product experts and drive the car. There will also be others who want to sit at home or at work with a cup of coffee and do the entire transaction online and have the car delivered to them. Crucially, the retailer is involved right the way through as all of that is fulfilled through the network. While the transaction is direct with Volvo, the retailer is there supporting the customer."
...
"This isn’t end of the Volvo retailer as we know it" said Kristian Elvefors, Volvo UK MD. ‘We will see a lot of change in the network. We are absolutely convinced we will grow the brand in the UK and grow our new and used car sales.’ Elvefors hinted Volvo will be adding more dealers to the current 95-strong UK network, but the dealers have to be ‘entrepreneurial’ and the company has to make sure there are profits for both sides.
Full article: https://cardealermagazine.co.uk/publish ... ure/218291
From 2030, Volvo’s UK dealer network will ‘effectively’ operate an agency sales model as customers transact with the manufacturer while the dealer will handle the customer service.
Volvo UK’s network and business development director, Mark Cox told Car Dealer "he relationship changes, but crucially the role of the retailer is now more important than it ever has been.
‘We are looking to grow our volumes overall and while we are talking about direct online sales, we are allowing customers to interact in ways they choose to.There will be many customers who still choose to come to one of our fantastic retailers and transact in much the same way as they do so today – speak to product experts and drive the car. There will also be others who want to sit at home or at work with a cup of coffee and do the entire transaction online and have the car delivered to them. Crucially, the retailer is involved right the way through as all of that is fulfilled through the network. While the transaction is direct with Volvo, the retailer is there supporting the customer."
...
"This isn’t end of the Volvo retailer as we know it" said Kristian Elvefors, Volvo UK MD. ‘We will see a lot of change in the network. We are absolutely convinced we will grow the brand in the UK and grow our new and used car sales.’ Elvefors hinted Volvo will be adding more dealers to the current 95-strong UK network, but the dealers have to be ‘entrepreneurial’ and the company has to make sure there are profits for both sides.
Full article: https://cardealermagazine.co.uk/publish ... ure/218291
T3 Momentum Pro Auto MY20 - Thunder Grey - Intellisafe Surround - Winter Plus - 360 Camera - Tinted Windows - City Map inlays - Spare Wheel
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Atlantic Lipsalve
- Posts: 5
- Joined: Wed Mar 10, 2021 12:53 pm
I've bought new cars online since 2003; it's not a new thing.
You can test drive to your heart's content. Then go online, order your car and it arrives. The last one was delivered using a low-loader direct to my door. All the usual things happen.
You can test drive to your heart's content. Then go online, order your car and it arrives. The last one was delivered using a low-loader direct to my door. All the usual things happen.
Hi
So you get your test drive, settle on options that you want, decide on a colour and decide to buy a car. If I understand correctly you then order direct from Volvo uk , a financial transaction online.
I have purchased my last 4 cars using Carwow and the dealer I purchased from even matched a cheaper dealer quote nearer to my address, this is competition that resulted in me saving almost 3k on my T3 R design
Will Volvo uk do this ? Me thinks not.
So you get your test drive, settle on options that you want, decide on a colour and decide to buy a car. If I understand correctly you then order direct from Volvo uk , a financial transaction online.
I have purchased my last 4 cars using Carwow and the dealer I purchased from even matched a cheaper dealer quote nearer to my address, this is competition that resulted in me saving almost 3k on my T3 R design
Will Volvo uk do this ? Me thinks not.
T4 recharge, plus spec, 23my
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Salmonfisher
- Posts: 152
- Joined: Sat Jan 05, 2019 4:58 pm
That's the rub. I've no problem with ordering on line if I have seen and test driven the car. What I really object to is a Tesla/Polestar approach where there are set prices and no discounts and no negotiation even on part exchange. I can see why Volvo want to do it - no discounts equals bigger profits but don't think I will be going there. Some people will like it as it takes away the need to negotiate or shop around and won't mind the higher prices.
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Deleted User 3359
It's one of the advertising lines of Cazoo and Cinch, the two used car things on the TV at the moment... The thing is no two used cars are the same....
