Lexus takes top spot in NFDA poll as used car margins score high

Lexus takes top spot in NFDA poll as used car margins score high

Lexus tops the NFDA Dealer Attitude Survey with 9.2 points out of 10, followed by Mercedes (8.4) and Kia (8.4).

At the bottom of the table were Fiat (3.7), Abarth (4.4) and Alfa Romeo (4.7).

“Despite the unprecedented challenges facing the automotive retail industry, it is optimistic to see that our research has revealed only marginal differences in manufacturers’ ratings. Franchise dealers demonstrate high levels of satisfaction in key business areas, especially in used vehicle margins and performance metrics,” said Sue Robinson, chief executive of the NFDA.

The survey received a response rate of 66%, with a total of 2,561 responses from 32 manufacturers.

As with the previous edition six months ago, the survey’s highest average score (7.4 out of 10) was dealers’ satisfaction with their return on investment for used cars, as demand for used vehicles remains strong.

Improvements in average scores can be seen in three key business areas. Objectives, day-to-day working relationships, standards and performance.

The survey found that relationships with the manufacturer’s management team improved by 6.2 out of 10, an increase of 0.2. Performance measures established by manufacturers that are fair and reasonable are increased by 0.1. and dealers’ satisfaction with their ability to work with their manufacturer on a daily basis was rated 6.7 out of 10, similar to the previous survey 6 months ago.

Robinson added: “The Dealer Attitude Survey is an important industry benchmark report, providing a multifaceted and comprehensive overview of the automotive retail sector, providing a better understanding of the relationships between manufacturers and their franchise dealer networks.

“OEMs and retailers continue to operate efficiently in increasingly difficult situations and demanding environments, with semiconductor shortages and international conflict as the main causes of supply problems. The Dealer Attitude Survey examines this business relationship and highlights significant improvements in some franchise networks from six months ago.

“The NFDA is delighted with a response rate of 66%, just 1% lower than last year’s record response, and is proof that the DAS continues to be a crucial barometer for the UK car industry. It is essential that manufacturers and dealers work in a mutually beneficial way that meets consumer needs, and explore how to improve business areas that are below average.”

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