Vauxhall boss confirms all dealer contracts to be terminated

Vauxhall boss confirms all dealer contracts to be terminated

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750turbo

Original Poster:

6,164 posts

225 months

Monday 16th April 2018
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Interesting times...

https://www.am-online.com/news/dealer-news/2018/04...

I suppose we should not be too surprised after the PSA buyout? Maybe the netword needed a shakeup.?

So, how will it pan out then I wonder?

Jimmy Recard

17,540 posts

180 months

Monday 16th April 2018
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Clickbait headline. It's just updating the franchise deals as far as the Telegraph reported

750turbo

Original Poster:

6,164 posts

225 months

Monday 16th April 2018
quotequote all
Jimmy Recard said:
Clickbait headline. It's just updating the franchise deals as far as the Telegraph reported
And binning a lot possibly? Maybe long overdue though.

https://www.telegraph.co.uk/business/2018/04/14/va...

zygalski

7,759 posts

146 months

Monday 16th April 2018
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First with the 'nothing to do with Brexit' post.
smile

corozin

2,680 posts

272 months

Monday 16th April 2018
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Many of them will end up selling PSA / Vauxhall combined I expect, at least until PSA runs down the Vauxhall brand to preserve jobs in France.

Jazzy Jag

3,432 posts

92 months

Monday 16th April 2018
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This has been brewing for over a decade (long before Brexit ), since GM had to be bailed out in the USA

GM Europe has been loosing money for years and the GM needed to unload it.
In 2011 GM Europe was supposed to break even. it lost £747 Million IIRC.
PSA bought it and change was inevitable.

This is not unprecedented.
In 1999 Mercedes- Benz UK gave all it's retailer notice of termination when they went through a massive restructure.

Sadly both the above cost me my job frown

As has been mentioned, French jobs will be protected.

It will be interesting to see what happens to Luton, where Vauxhall/Opel, Renault and Nissan vans are made. (or at least they were)




Sa Calobra

37,181 posts

212 months

Monday 16th April 2018
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All future production moved to France?

Butter Face

30,351 posts

161 months

Monday 16th April 2018
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Jazzy Jag said:
Renault and Nissan vans are made. (or at least they were)
Made in France. PSA have cut the Vauxhall ties with Renault and next generation Vivaro will be based on the PSA platform.

Renault UK axed almost 30% if it’s dealer network in 2011, was probably one of their smartest decisions. PSA/Vauxhall are doing the same. Cut the dead wood out.

Pintofbest

805 posts

111 months

Monday 16th April 2018
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Sa Calobra said:
All future production moved to France?
Apart from not being correct, what has that got to do with dealer contracts?

Bradgate

2,826 posts

148 months

Monday 16th April 2018
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It’s hard to see a long-term future for Vauxhall, sadly. It has become an anti-aspirational brand, bought mainly by fleets an hire companies at vast discounts. Nobody actually wants a Vauxhall, it’s a brand with negative equity. Most people would rather be seen driving a Skoda.

Ecosseven

1,985 posts

218 months

Monday 16th April 2018
quotequote all
Bradgate said:
It’s hard to see a long-term future for Vauxhall, sadly. It has become an anti-aspirational brand, bought mainly by fleets an hire companies at vast discounts. Nobody actually wants a Vauxhall, it’s a brand with negative equity. Most people would rather be seen driving a Skoda.
Whilst the above may well be true I think it's a shame as Vauxhall are producing some decent cars these days. I have always preferred Ford to Vauxhall, however If I was choosing between the brands now I would seriously consider going for an Astra or Insignia over a Focus / Mondeo.

Time will tell if the brand has a future in the UK. I hope it survives.

davepoth

29,395 posts

200 months

Monday 16th April 2018
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Bradgate said:
It’s hard to see a long-term future for Vauxhall, sadly. It has become an anti-aspirational brand, bought mainly by fleets an hire companies at vast discounts. Nobody actually wants a Vauxhall, it’s a brand with negative equity. Most people would rather be seen driving a Skoda.
So how about a swap?

Position Opel as a premium brand in the UK, and Vauxhall as a premium brand in Europe. People are probably dumb enough to go for it. biggrin

Murph7355

37,761 posts

257 months

Monday 16th April 2018
quotequote all
Ecosseven said:
Bradgate said:
It’s hard to see a long-term future for Vauxhall, sadly. It has become an anti-aspirational brand, bought mainly by fleets an hire companies at vast discounts. Nobody actually wants a Vauxhall, it’s a brand with negative equity. Most people would rather be seen driving a Skoda.
Whilst the above may well be true I think it's a shame as Vauxhall are producing some decent cars these days. I have always preferred Ford to Vauxhall, however If I was choosing between the brands now I would seriously consider going for an Astra or Insignia over a Focus / Mondeo.

Time will tell if the brand has a future in the UK. I hope it survives.
The Corsa I hired recently was utter st. If the rest of the range are even 1% as st then the dealer network is not the only thing that will disappear quickly. And we shouldn't mourn the loss either.

Their product people need to up their game massively. But I suspect that's too late.

Sa Calobra

37,181 posts

212 months

Monday 16th April 2018
quotequote all
Pintofbest said:
Sa Calobra said:
All future production moved to France?
Apart from not being correct, what has that got to do with dealer contracts?
Posting on a train of thought.

For PSA to make money first they have to make massive savings. Massive savings. If you work within purchasing you'll know they'll be looking at shared production lines, rationalising and low cost Country strategy.

I can't see many (any) plants being retained unless the government subsidises

Nickbrapp

5,277 posts

131 months

Tuesday 17th April 2018
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corozin said:
Many of them will end up selling PSA / Vauxhall combined I expect, at least until PSA runs down the Vauxhall brand to preserve jobs in France.
The Vauxhall dealer that I have to use has already converted its car warehouse dealer (used cars) into a Peugeot dealer.

I saw they plan to keep around 200 but have to terminate all the contracts to keep it fair

andy43

9,732 posts

255 months

Tuesday 17th April 2018
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Anti aspirational?
I’d love to know how many crossland Xs they have shifted.
https://m.youtube.com/watch?v=uDeZV5NiKnk

HTP99

22,599 posts

141 months

Tuesday 17th April 2018
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andy43 said:
Anti aspirational?
I’d love to know how many crossland Xs they have shifted.
https://m.youtube.com/watch?v=uDeZV5NiKnk
Funny enough myself and my colleagues were talking about this ad a few days ago when we're were discussing Vauxhall (I'm in the motortrade), it is a truly awful awful advert and can't have done Vauxhalls image any good and just reinforces the image that Vauxhall has in this country.

Butter Face

30,351 posts

161 months

Tuesday 17th April 2018
quotequote all
HTP99 said:
andy43 said:
Anti aspirational?
I’d love to know how many crossland Xs they have shifted.
https://m.youtube.com/watch?v=uDeZV5NiKnk
Funny enough myself and my colleagues were talking about this ad a few days ago when we're were discussing Vauxhall (I'm in the motortrade), it is a truly awful awful advert and can't have done Vauxhalls image any good and just reinforces the image that Vauxhall has in this country.
I think that’s why they have dropped the adverts and now do the whole ‘British brand since blah blah’ to steady the ship!

We’ve literally (beginning of March) opened a brand new multi-million pound Vauxhall showroom in group so our directors see a future for the brand in the UK.

Things will carry on as normal but with a reduced range, less dealers and smaller market share I reckon.

IanJ9375

1,468 posts

217 months

Tuesday 17th April 2018
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Jazzy Jag said:
It will be interesting to see what happens to Luton, where Vauxhall/Opel, Renault and Nissan vans are made. (or at least they were)
Guess you missed this then - https://uk.reuters.com/article/us-psa-vauxhall/peu...