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NFDA SUMMER 2014 DEALER ATTITUDE SURVEY RESULTS REVEALEDBack

Survey1The National Franchised Dealers Association (NFDA) summer 2014 Dealer Attitude Survey has received an all-time record response, with over 40% of dealers from 29 participating dealer networks taking part.

We have undertaken a full review of the Dealer Attitude Survey and the survey has a number of new questions and a standardised question format using a response scale of 1 to 10.

The NFDA Summer 2014 Dealer Attitude Survey, published today (Monday 1 September 2014), shows an average recorded score of 6.6 in the overall value of the franchise.

• This is the lowest score for this question since the summer of 2012 and was 0.6 points down on both last winter 2013 and summer 2013 surveys.
• Land Rover, Mercedes, Kia Audi and Suzuki were recorded as the top 5 franchises.
• The least valued franchises by respondents are Skoda, Seat, Toyota, Volvo and Honda.

The downward trend towards dealer/manufacturer relationships, highlighted in the summer 2014 Dealer Attitude Survey, continued.
• When dealers were asked about their ability to do business with their manufacturer on a day to day basis the all dealer average decreased from 7.6 to 7.1.

Profit and profitability ratings also saw a decline. The results suggest dealers are less optimistic about future profit returns than they were previously.
• When rating the profit return by representing their franchise, a score of 6.5 was recorded. The score was down on the winter survey by 0.7 points and 0.5 points down on last summer’s.
• When asked about the future profitability of their business the all dealer average declined from 7.2 to 6.5.

Some of our new survey questions are focused around the digital side of the franchise.
• When dealers were asked how satisfied are you with the social media proposition, an average score of 6.8 was recorded.
• When asked how satisfied are you with the future proofing of their digital marketing, an average score of 7.0 was recorded.

Sue Robinson, director of the National Franchised Dealers Association, commented:

“The survey has been running since 1989 and it is extremely positive to see so many dealer networks taking part. This is in part due to the recent updating of the survey questionnaire, carried out in conjunction with comments and feedback from dealers.

“Dealers have found that there has been a slight decline in the overall franchise value in this year’s survey results with the average score down from 7.2 to 6.6.

“Land Rover remained the top performing franchise in this question with a score of 8.8. However, the score is 0.8 points lower than for the survey last winter and the lowest score in the past 2 years. Honda was the lowest scoring brand with a score of 4.6. This is a whole point lower than for the winter 2013 survey and suggest dealers have some significant concerns with their manufacturer in this network.

“With the declines in scores for certain key questions, there is still scope with certain manufacturers to develop their relationships with their dealer networks as some still fall well below average in many areas of the survey.

Posted by Sue Robinson on 05/09/2014