AM Online

Car dealer group "devastated" at being cut by Toyota

The end of 39 years selling Toyota new cars, as the Japanese brand restructures its retail network, has left staff at Scottish car dealer group Struans "devastated and very disappointed".

Struans, which has dealerships in Dundee and Perth, was terminated by Toyota in its network reorganisation and will no longer retail new Toyota cars from November.

Toyota GB has granted the Toyota and Lexus franchises for Dundee and Perth to Eastern Western Motor Group, which already has Toyota dealerships in Edinburgh, Stirling and Dunfermline in the East of Scotland. In the West of Scotland, Toyota has appointed Vertu's Macklin Motors division.

A letter to its customers from Struans' bosses, John and Struan Robertson, states: "The decision came as a huge shock. We are all extremely disappointed that our 39-year partnership with the Toyota brand has ended this way."

The family-run business still has sales and service franchises with Mazda and Peugeot, a motorhome dealership, and an all-makes repair workshop in Perth, and its letter told customers that it now has "new opportunities to better serve you".

It will remain a repairer, with Toyota trained technicians and OEM parts.

John Robertson told Dundee's The Courier newspaper the termination came out of the blue, adding "There was no warning or discussion".

Robertson told the newspaper: "We were consistent over the years as a top performer. We never thought that would happen."

He said it would not impact the long-term future of Struans, thanks to its other dealerships and its strong financial position.

Companies House records show Struans has been solidly profitable - it made a 3.2% return on sales from £57 million revenues in its financial year ending March 31, 2022.

Robertson said: “Our customers have been with us a long time and we’ve been successful. I think this has been a difficult decision for Toyota.”

Automotive Management Live 2024

The UK's leading event for motor retailers - Wednesday November 13, 2024.

‚ÄčAutomotive Management Live 2024 welcomes motor retail managers from across the UK to discover business improvements, to understand best practice and to network with fellow dealers and suppliers.

Topics this year will include agency business models, the brands now entering the UK new car market, used car stock management and more. It's free to attend, but you'll need to register.

Venue: NEC, Birmingham

REGISTER YOUR INTEREST



If you are not a registered user your comment will go to AM for approval before publishing. To avoid this requirement please register or login.

Login to comment

Comments

No comments have been made yet.