Vauxhall And Opel Are Terminating Every European Dealer Franchise
Vauxhall and Opel are to ‘terminate’ every single dealer franchise across Europe, in a huge and unprecedented upheaval of the brand’s operation.
Around 1600 dealers across Europe will apparently be given two years’ notice from 30 April that their right to sell Vauxhall or Opel cars will be taken away. Some will eventually be invited to reapply for what is now a PSA-controlled franchise, but many will simply have the business removed, according to reports.
Crashing Vauxhall sales last year are partly behind the cost-saving move. In the UK, Vauxhall’s 326 dealers will be slimmed down to around 200; a similar number to what Volkswagen has. Many of those franchises could be awarded to existing Citroen and Peugeot dealers.
Around 12,000 Vauxhall dealership employees are now placed in the awkward position of not knowing whether or not they should be looking for other work. Stephen Norman, Vauxhall’s UK managing director, has optimistically claimed that no one’s job will be lost “as a direct consequence” of the move, and that staff at closing sites will simply be able to find work in other dealerships.
The move is hoped to drive profitability for the brand by trimming the metaphorical fat, which is to say those dealerships that don’t make enough money or don’t rank highly enough for sales figures, aftersales profits or customer satisfaction.
The decision is not related to the UK’s decision to leave the EU, Mr Norman added, and PSA has already decided to raise van production rates at the company’s Luton factory. That said, the Ellesmere Port facility, where the decreasingly popular Astra is built, is in jeopardy.
Sources: The Telegraph, Autocar
Comments
Its a shame that they need to do this but I cant say im suprised. I drive a Vauxhall van for work which is just utter crap. There seems to be a new problem with it every month. The dealer we use isnt great either. Its a lease van so all work needs to be done by a main dealer or the lease company will have a stroke. We had it in for 3 new bulbs and it took them almost 2 hours to fit. The coffee machine was broke, the person on reception was hunover and the waiting area was just big enough for 2 people. Other times we have had the van in I have taken a courtesy vehicle which we were told would be like for like. So i give them a van and they give me one to use in return. So far they have given me 2 vivas a corsa an adam and a crossland which brokedown. I dont think its bad financial choices by bosses that are ruining thr company. Its the dealer employees and the unrelilable and dull vehicles they produce.
disagree, comes down to the dealer itself. Have the nicest dealer in the town available, even the newly rebuild BMW one can’t reach it
Sad state of affairs. Vauxhall have lost their mojo. Their latest models are uninspiring and I reckon their reputation has also taken a hit since ownership was transferred to the French.
A new model designed to compete with the Fiat 124 Spider might provide the kind of visibility that Vauxhall needs but I don’t see it happening.
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I know people will disagree with me… but I’m glad they are going, I never really liked Opel/Vauxhall, probably as much as Clarkson. Not only do I not like their designs, I would be lying if I said I didn’t like the Astra OPC/VXR, but beside that, there’s not 1 (EU sold) Opel/Vauxhall that I like. And as bonus: every person I know that has been run over by a car was run over by a 2nd or 3rd gen Opel Corsa, I know this is probably because of the people who drive it (either Yobbos, foreigners (my mate nearly got run over by a Swiss 2nd gen Corsa) or the elderly). But still… it is marked in my memory, and now, everytime I see a 2nd or 3rd gen Corsa I take a lot a precautions to prevent a collision.
Even though this is a really extreme step, I can see why this might be mandatory.
In the area where I live there are already multiple Opel dealerships within 10km and just one (the one where I bought my Adam S) is a good one. The other ones are either rude to their customers, don’t know what they are selling or are a repair shop with one or two cars for sale.
If the bad ones loose their partnership and only the good one will regain it the brand image will become better over time.
I just hope that the theory holds up to reality in the end.
Three words: This. Is. Stupid.
chavs resigned
Bad news, boyz.
Can someone briefly explain opel to me bc I don’t care about vauxhall
Vauxhall and opel XD they are 1 car company just named differently
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