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Margins boost to help Kia dealers fund upgrades

Kia is encouraging its retail network to undergo a makeover with the launch of the Volume Dealer Support Programme. The scheme will financially support dealers who wish to upgrade their showroom or build new facilities by raising the margins available on new car sales.

David Allington, Kia national business management manager, says the carmaker needs a strong retail network with premises that match customer expectations.

“The strategy is based on accelerating sales volume through additional support over and above the dealer's margin programme. The initiative targets dealership investment in urban locations with high overheads,” says Allington, who conceived the strategy. “We have not forgotten dealers who need to enhance capacity as the vehicle parc grows.”

Dealers who invest a minimum of £150,000 refurbishing or expanding their facilities are eligible for the scheme, which supports them over the first three years of investment.

Allington says: “We have three dealerships that have already benefited from the programme and four more in the pipeline. We believe the scheme is the most advantageous to the dealer network offered by any UK manufacturer or importer.”

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