Renault launches Fluence ZE to dealers

In 2011 Benfield Motor Group sought to become the motor retailer equivalent of John Lewis, offering the same level of customer experience expectations, through a new brand identity called ‘Enjoy the Journey’ and backed by TV marketing and social media activity.

The group has also adopted the Net Promoter system (also used by Allianz, American Express and eBay) and is also working on publicising online star ratings and verbatim customer comments on its dealerships sales and aftersales performance.

In the same year the group also received a new award as the top-privately owned business in the North East.

Established in 1957 and based in Newcastle, Benfield is a family owned business and has 30 dealerships throughout the north-east of England, Teesside, Yorkshire, Cumbria and west of Scotland. Its franchises include Nissan, Volkswagen, Toyota, Ford, Alfa Romeo, Renault, Honda, Lexus, Hyundai, Kia and Skoda.

Benfield has ‘preferred partner status’ for Renault and Nissan in Tyneside, Cumbria and Northumberland and represents the largest Volkswagen territory in the UK with six dealerships and three dedicated Volkswagen Commercial Vehicle Centres in Newcastle, Teesside and Carlisle.

Benfield's largest dealership in the North East opened in July 2004, the twin Renault/Nissan dealership on the Felling Bypass.

Benfield has its own corporate division, a dedicated facility for the business customer, to cater for fleets. Benfield Corporate supply new and used vehicles for purchase or with bespoke leasing and hire purchase plans.

Benfield employs 1,100 staff and also appears in Britain’s Profit Track 100 league table.

In October 2011 Benfield bought Audi franchisee Colebrook and Burgess in deal which added £140m to its turnover and introduced the German marque to its brand portfolio after an eight year absence. Benfield chief executive Mark Squires called Colebrook and Burgess a "natural fit". Colebrook is now a wholly-owned subsidiary of Benfield.

The company saw turnover rise from £380m in 2010 to £415.5m in 2011. Pre-tax profit was down from £6m to £3.6m.

Chief executive Squires said: “Our operating profits are down 31% from the year before, but if you compare that with our competitors, we’re actually in a very strong position.

“The previous two years have provided us with a tail wind, carrying us along with the scrappage scheme, low interest rates and none of the tax hikes we have now. All this, coupled with the rise in inflation, resulted in the pinch we started to feel last year.

“Turnover grew substantially due to the acquisition of the Jennings Ford franchise in Sunderland and an Audi dealership last year. We wouldn’t have made such significant investments if we didn’t have faith in the market going forward.

“If planning is approved we will start work on a brand new showroom at Jennings Ford at the beginning of next year which will cost us in the region of £5m.”

The acquisitions also boosted the number of employees in the group, which has dealerships in the North East, Cumbria, Yorkshire and South West Scotland. The 2011 period saw it increase its workforce from 1,181 to 1,500. Squires said the company will be creating more jobs in Sunderland once the Ford dealership is operating at full throttle.

He said: “As that business beds in we will undoubtedly begin to grow our workforce. We’ll be looking to grow our sales team and add further technicians to our books.”

Renault Retail Group is a national network of over 20 automotive dealerships and sells one in every four Renaults in the UK.

It is 100%-owned by Renault and was formed in 1996. To-date the group has sold over 350,000 vehicles in the UK.

Annual turnover in 2010 was £513 million with full-time staff numbering more than 1,000.

In 2010 the group appointed Stuart Walker as managing director from the post of deputy MD, succeeding Ian Plummer who was promoted to Renault UK’s director of commercial operations. Walker also heads up the group’s Nissan operations and its used car franchise Autoworld.

The group suffered particularly during the 2008 recession, with sites closing or undergoing restructuring as it sought to streamline the business wherever possible.

Plans to redevelop its flagship London West site at a cost of £9 million were also shelved.

RRG is also a member of online used car sales website trusteddealers.co.uk established by Perrys, Vertu Motors and Lookers bosses Ken Savage, Robert Forrester and Peter Jones.

Renault Retail Group is a national network of over 20 automotive dealerships and sells one in every four Renaults in the UK.

It is 100%-owned by Renault and was formed in 1996. To-date the group has sold over 350,000 vehicles in the UK.

Annual turnover in 2010 was £513 million with full-time staff numbering more than 1,000.

In 2010 the group appointed Stuart Walker as managing director from the post of deputy MD, succeeding Ian Plummer who was promoted to Renault UK’s director of commercial operations. Walker also heads up the group’s Nissan operations and its used car franchise Autoworld.

The group suffered particularly during the 2008 recession, with sites closing or undergoing restructuring as it sought to streamline the business wherever possible.

Plans to redevelop its flagship London West site at a cost of £9 million were also shelved.

RRG is also a member of online used car sales website trusteddealers.co.uk established by Perrys, Vertu Motors and Lookers bosses Ken Savage, Robert Forrester and Peter Jones.