Never waste a Good Crisis



With many economists predicting a Coronavirus driven Recession, there is no better time to use the current business climate to get your Motor Vehicle Business in the most efficient profitable shape possible.

There are many headwinds facing the Motor Vehicle industry at present including:

          Upcoming Recession Concerns

          NZ Dollar depreciation against the Yen

          Tough buying conditions in Japan

          Discounting in the market from struggling Dealerships

          Weak consumer confidence

With these challenges facing the Motor Vehicle Industry, now is the perfect time to get your business in the strongest most profitable state possible.

If we head into a recession, there will undoubtedly be a group of Motor Vehicle Dealers that fail. Smart proactive business can use these potentially volatile times to make their businesses stronger and more profitable before the tough times arrive.

Some practical steps we would recommend to Motor Vehicle Dealerships to best position your business for the upcoming period:

          Ensure you are getting accurate monthly reporting of financial results.

          Make buying decisions on vehicles that are generating best margins.

          Ensure your Stock System is integrated to your Accounting System and that you have accurate stock information.

          Do a cost review to identify the lowest level that the business can reduce costs to in case of a long period of recessionary trading.

          Automate as many of your processes as possible.

Undertaking these types of initiatives will make your business stronger and give you an advantage over your competitors.

There may be several future economic events that we have little control over in the upcoming trading period, but it is important that we manage the areas of our business that we can control and getting it as efficient and profitable as possible.

If you want any advice on how best to position your Motor Vehicle Business for the upcoming period Contact Us and one of our Motor Vehicle Dealership experts will give you a call.

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