, for example - and others are holding off and waiting to see. At the end of the day, it’s what the customer wants. It will be something along the lines of a direct model enabled online but with a localised facility for that face-to-face interaction.”
Goodman, Whitehorn and the seminar’s third speaker, Lookers COO Duncan McPhee, said the agency model – in which a car has a fixed price and a customer places an order directly with a car maker , which then provides a fixed commission to the relevant local retailer – is a positive move for customers in terms of pricing.
McPhee said: “The agency model keeps everybody honest and on their toes and customers will massively benefit from that. It’s good for customers, rather than bad for customers.”
At least in the US, if dealers continue simply marking cars up 10-25% and adding no value, don't count on it. It will soon become impossible politically to defend this level of price gouging.
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