Confidence key to sales
August 9th, 2010 by Richard Aucock
RMI director Sue Robinson says boosting car buyer confidence will be key to avoiding a sales plunge.
Latest figures for July show a decline of over 13 percent.
Retail sales have been a big factor in this decline, she said – reflecting the worries people have because of job uncertainty.
Government spending cuts are also causing cutbacks which mean some will choose to forego a new car.
What can be done? ‘In order for the market to strengthen, manufactures need to support dealers and consumers alike, with assurances that vehicle prices will remain competitive.’
She also said it was important to offer ‘attractive, enticing, sales incentives, and that availability of the popular consumer vehicles is optimised to ensure consumers aren’t deterred by long waits for their vehicles.’
Mind you, July is traditionally quiet anyway – it was the big effect of scrappage last year that has partly caused the disparity. Even so, Robinson said government had its part to play by reassuring customers.
‘With the right manufacturer incentives and assurance from Government, the market will strengthen again over the coming months, with the added desire by consumers to beat the VAT increase.’
Tags: confidence, rmi, sales