Making a commercial difference

The strong performance of commercial vehicles has continued unabated throughout the first half of 2011 with low de-fleet numbers keeping prices correspondingly high. This has been accompanied by a distinct flight to quality, with the emphasis now firmly on condition and presentation over mileage.
“High quality, well presented vehicles have been out-performing book values significantly and we see no reason to believe that this won’t continue,” said grs Commercial Specialist David Fildes.
“Condition and preparation are two keys to achieving strong returns and are definitely more important than the distance a vehicle has covered. On the other hand, poorly presented or poor quality vehicles are consistently selling for a lower percentage of book value. Without doubt, today’s market is all about quality, more so than ever before”.
Car-derived and medium sized vans such as the Ford Transit and the Vauxhall Vivaro are proving particularly popular, and grs has noted another interesting trend in 2011 – a strong growth in demand for different colour and higher spec vehicles boasting features such as air conditioning and parking sensors.
While seasonality may account for the importance of features such as air conditioning as buyers look for additional comfort during the hot summer months, this doesn’t explain the growing demand for different colours.
Ben Harvey, Commercial Vehicle Team Leader explains: “At first sight, this may seem hard to explain. However, vans can be quite an emotional purchase and for a small business they can also be a valuable shop window. When money is tight businesses may not be spending so much money on traditional advertising, but they do appear to be investing in the appearance of their vehicles, which can say a lot about a business to potential customers, as well as acting as a permanent mobile advert.”
Continued Ben: “That’s why good presentation is so important in today’s market, along with anything that helps a vehicle to stand out from the crowd, such as a different colour and metallic paint too. Add to that some professional sign-writing and businesses have a really valuable opportunity to advertise their business on the move”.
With this in mind, commercial vehicles – especially those with some additional bells and whistles – should be borne in mind by retailers, to help make their forecourt stand out and to tempt customers through the door.
The number of commercial vehicles sold by grs has risen ten-fold over the past five years, with more than 2,000 sold last year alone. This year has started strongly too, as more and more retailers realise the opportunities they can present.
Retailers looking to dip a toe into this market can call on the expertise of the grs team who are always on hand to talk them through the process and provide advice on the most popular vehicles and specification at any given moment.
“The shortage of high quality, well presented commercial vehicles makes them a terrific profit opportunity. Retailers who haven’t traditionally focused on this area might want to consider putting one on the forecourt to test the market and wet the appetite of customers,” said Ben.
“Retailers can treat grs stock as their own, offering their own customers access to the entire grs database online, making it entirely risk-free for them. And we don’t charge retailers a penny for buying from us – the price they agree is the price they pay for the vehicle.
“We really do make buying trade vehicles as easy as possible”.  

Its a people thing - re:market talks to Chris Sargeant, Contract Manager

“It’s all about certainty,” says Chris Sargeant, Contract Manager at grs. “We’re able to give vendors certainty in terms of selling their vehicles and in terms of cashflow, both of which are incredibly important.”

With nearly 20 years experience of vehicle buying, Chris has been an important part of the grs team since 2005, and he has also experienced life on the other side of the fence having previously worked for several leading retailers.
Chris is passionate about the grs proposition and how it can benefit vendors. Turning his attention to outright purchase he continues: “There’s no risk to the vendor whatsoever and they have no exposure to changing market trends and the problems of vehicles not selling the first time at auction. We take away the risk and also take the vehicles off the vendor’s balance sheet straight away”
Payment is always quick – normally within two working days – and grs will arrange for the vehicles to be collected as soon as possible. This is particularly important for fleet operators working on a “key for key” basis who need their outgoing vehicles to be moved quickly, to make way for new arrivals.
Chris acknowledges that vendors will continue to send vehicles to auction but says that more and more are choosing to remarket a proportion of their fleet via grs as well. “We have the in-depth market knowledge and expertise that vendors need, across all manufacturers, models, specifications and vehicle ages, from nearly new up to five years’ old, so we can advise vendors on the value of their vehicles at any given moment.”
As you would expect, the market expertise of the grs team is supported by all the necessary infrastructure, systems and processes required to ensure vendors can sell their vehicles quickly and with the minimum of fuss. It’s the company’s network of franchised and independent retailers across the UK that really sets grs apart, as it provides an extensive market for vendors’ vehicles.
However, the scale of the operation should not deter smaller vendors from approaching grs, since they too can benefit from exactly the same level of expertise. “We will buy one vehicle, a hundred and one, or more,” explains Chris. “For example, a smaller rental company may not have the time nor the infrastructure in place to sell, say, four or five vehicles. We may well be able to buy them and take the problem away for them, while also helping to maximise their value”.
Yet it isn’t the market knowledge of the six-strong buying team, nor even the purpose-built logistics centre at Cold Meece which holds the key to success for grs, according to Chris Sargeant. In fact it’s something rather old-fashioned, which so many companies in today’s high-tech business world too often forget – relationships.
“Ultimately we’re a people business and it’s our people that really set us apart,” he explains. “We work extremely hard to build the trust of our customers who know they can buy from us with complete confidence

Playing for two winning sides, the secret life of Chris Venables

To many retailers, especially those in the North West, the name Chris Venables may well be familiar.

A member of the successful grs sales team for nearly five years, Chris spends his evenings and weekends as part of another successful team – Welsh Premier League side Llanelli.
“I always wanted to play football, from a very young age,” says centre midfielder Chris, whose superb 15-yard shot into the far corner of the Bangor goal sealed his side’s 4-1 victory in the Welsh Cup in May – a result which also earned Llanelli a place in the Europa League for the second year in succession.
After securing his place on a soccer scholarship scheme in Shrewsbury, where he is based with grs, Chris first played for Welsh Premier League side Caersws before joining Llanelli. In addition to the Cup win, Llanelli finished in fourth place in the league and Chris has recently signed up for a third season.
And if that’s not enough, he will have the chance to play against the top stars of Manchester United in a pre-season friendly in August – an opportunity he is relishing. “I can’t wait for that. They’ve already sold 5,500 tickets so we’ll be playing in front of a big crowd,” he says.
Playing for two leading teams is demanding for Chris, who has to plan his life with military precision around both his day job and passion for football. Working out in the gym three times a week, he also trains with a local team and meets up with his own team-mates once a week for training, as well as playing most weekends throughout the season.
“It can be hard to juggle commitments to work and club, but grs are great – they’re really flexible and do all they can to help,” says Chris. And while his work colleagues are quick to congratulate him on Llanelli’s successes, they keep their thoughts to themselves when the team loses. “They don’t say too much. They know how seriously I take it!” he says.

The rise of stealth charges and how to avoid them

Most of us will be familiar with the term ‘stealth taxes’, and have probably felt the impact of them in our pockets over the past few years.

Danny Hartshorne

The term has perhaps not traditionally been associated with the car-buying market,   yet today increasing numbers of retailers are noting the unwelcome introduction of stealth charges being levied by some of the auction houses and other re-marketing companies alike.
“The market has changed and many sellers are looking to recoup revenue being lost in other areas by imposing additional fees on buyers – and that’s unwelcome in today’s challenging times,’” says Danny Hartshorne, Sales Director at grs.
Danny draws a parallel with the budget airlines which have gained an unwanted reputation for making numerous additional charges, making the final amount paid much higher than the price of the original ticket. “Buying a vehicle is no longer always as straightforward as it should be, as retailers find that on top of the vehicle price, they are being charged additionally for having documents or spare keys sent out to them, while fees are being levied based on the vehicle’s price or even its engine size.”
Not so at grs, which has a very clear policy – absolutely no additional fees or charges whatsoever. “The price of the vehicle is the price that retailers pay – it’s as simple as that,” says Danny.
He continued: “We pride ourselves on working in partnership with retailers, as we want to help them build their businesses and maximise every opportunity for profit. After all, if they’re successful then so are we, and if retailers are happy with our service, they’ll come back to us to buy more vehicles, and everyone benefits”.
In addition to its promise of no fees, grs offers retailers a range of added value services to make their lives easier, including consultancy from expert account managers and online access to the entire grs stock, which they can make their own once a customer is in the showroom – at absolutely no risk to themselves.
“We offer a tailored buying service for retailers. If they only want red Clios, that’s what we will source for them, though we will also advise them as to whether red Clios are selling strongly at the moment and will recommend something different if appropriate. We don’t charge additionally for that consultancy – it’s just part of our partnership approach.”
So what’s the secret of success for grs? “There really is no secret at all,” laughs Danny. “In fact, it’s about deliberately not having any secrets, especially when comes to additional charges!
“We have 15 years’ experience in the market, employ the best people in the business and have invested heavily in our Cold Meece logistics centre, which is the operational heart of our business. That all adds up to a service that retailers can trust and rely on to deliver, every time. It’s as simple as that”.