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Will scrappage scramble save UK car dealers’ Q3?

September’s plate change may be more aggressive than usual due to manufacturers scrambling to drive sales with scrappage schemes.

Some of these offers can be stacked atop existing retail deals and it will be interesting to see what sort of effect they will have. September 2016’s private registrations were down 1.7% year-on-year.

Mike Jones, ASE chairman, said the impact of these offers on dealers will depend on whether money has been reallocated from existing offers.

He said: “Where brands are requiring a contribution from dealers, this will be a profit-and-loss hit, but again this may just replace money they were giving away already.”

The trade-off for dealers could be that higher volumes from this activity will result in them hitting Q3 volume targets, and the bonus money to see them through to the end of this year.

Vauxhall, BMW and Ford were some of the first out of the gate with scrappage deals, but most other manufacturers jumped on the bandwagon. Some manufacturers even told AM that they had no

intention of following Ford after it launched its scrappage scheme on August 22. This position changed days later.

Will the September figures show these manufacturers ahead of competitors due to that early lead?

Vauxhall has been combining its £2,000 scrappage offer with PCP and deposit contributions. This would mean a Vauxhall customer could get up to £4,400 in support towards a new Mokka X, which is available for £279 a month. Vauxhall has already boosted sales by 20,000 across its two scrappage promotions, with a 5,500-unit boost this year.

Vauxhall dealers will have to register more than 8,579 units to beat 2016 figures.

Ford’s offers in September look particularly aggressive when you factor in monthly payments of below £300 on all cars, 0% deals on the majority of its cars and discounts of between £2,000 and £7,000 through scrappage. If the September figures show registrations below last year’s 11,703 units for Ford, it will be a massive indicator that consumer confidence levels are badly damaged.

Audi had a better September than both BMW and Mercedes-Benz last year, but BMW was the first German premium manufacturer to launch its £2,000 scrappage offer, on August 9.

BMW has a good mix of deals for Q3, with 0% offers on 6 and 7 Series, 1.3% APR on its i-model range and 2.9% deals on core models such as the 3 Series.

 

Model Finance type Deposit Term Monthly payment Final payment APR Offer ends
BMW
118d Sport 5-door PCP £4,570.55 48 £199 £8,694.08 4.90% 30/09/2017
216d Sport Gran Tourer PCP £4,769.21 48 £279 £9,818.88 4.90% 30/09/2017
216d Sport Active Tourer PCP £4,715.15 48 £289 £9,225.03 4.90% 30/09/2017
218d M Sport Coupe PCP £4,823.21 48 £289 £11,078.73 4.90% 30/09/2017
218d M Sport Convertible PCP £5,333.75 48 £329 £12,069.40 4.90% 30/09/2017
320d M Sport Saloon PCP £6,211.26 48 £239 £10,998.25 2.90% 30/09/2017
320d M Sport Touring PCP £6,105.46 48 £289 £11,295.18 2.90% 30/09/2017
420d M Sport Coupe PCP £6,262 48 £319 £12,366.33 2.90% 30/09/2017
520d M Sport Saloon PCP £6,823.09 48 £359 £15,633.43 3.90% 30/09/2017
520d M Sport Touring PCP £7,377.57 48 £379 £16,406.73 3.90% 30/09/2017
640d M Sport Gran Coupe PCP £11,101.07 48 £499 £18,278.93 0.00% 30/09/2017
730d M Sport Saloon PCP £9,574.40 48 £499 £26,336.60 0.00% 30/09/2017
730Ld M Sport Saloon PCP £9,706.05 48 £499 £27,799.95 0% 30/09/2017
X3 xDrive20d M Sport PCP £6,827.23 48 £319 £16,847.95 5.90% 30/09/2017
X1 sDrive18d Sport PCP £5,020.81 48 £339 £12,330.25 5.90% 30/09/2017
X4 xDrive20d M Sport PCP £7,761.14 48 £399 £18,063.40 5.90% 30/09/2017
X6 xDrive30d M Sport PCP £9,969.73 48 £569 £24,021.33 5.90% 30/09/2017
X5 xDrive30d M Sport PCP £8,983.34 48 £629 £24,147.13 5.90% 30/09/2017
X5 M PCP £14,527.15 48 £849 £31,518.45 2.90% 30/09/2017
X6 M PCP £14,672.49 48 £879 £30,708.15 2.90% 30/09/2017
M3 Saloon PCP £10,047.26 48 £689 £22,446.05 5.90% 30/09/2017
M4 Coupe PCP £9,203.98 48 £709 £23,058.40 5.90% 30/09/2017
M6 Coupe PCP £13,263.34 48 £799 £25,290.43 2.90% 30/09/2017
Ford
Fiesta Zetec 1.0 EcoBoost 100PS 3 Door PCP £3,814.69 36 £160 £5,955 2.90% 30/09/2017
Fiesta Zetec 1.0 EcoBoost 100PS 3 Door PCP £3,840 36 £160 N/A N/A 30/09/2017
Fiesta Titanium 1.0 EcoBost 100PS 5 Door PCP £3,814.02 36 £205 £6,820 2.90% 30/09/2017
B-MAX Titanium Navigator 1.0 EcoBoost 100PS PCP £5,733 36 £169 £5,423 0.00% 30/09/2017
EcoSport Titanium S 1.0 EcoBoost 125PS PCP £4,738 36 £169 £7,118 0.00% 30/09/2017
Focus Titanium 1.0 EcoBoost 100PS PCP £4,774 36 £199 £6,6722 0.00% 30/09/2017
Focus ST-3 2.0 EcoBoost 250PS Petrol PCP £6,958 36 £229 £11,788 0.00% 30/09/2017
C-MAX Zetec 1.5 TDCi 120PS PCP £6,911 36 £199 £6,974 0.00% 30/09/2017
Grand C-MAX Zetec 1.0 EcoBoost 125PS Petrol PCP £6,940 36 £209 £7,155 0.00% 30/09/2017
Tourneo Connect Zetec 1.5 TDCi 100PS PCP £6,161 36 £179 £5,700 0.00% 30/09/2017
Kuga Titanium 2.0 TDCi 150PS FWD PCP £8,209 36 £219 £10,246 0.00% 30/09/2017
Mondeo Titanium 2.0 TDCi 150PS PCP £7,878 36 £209 £8,538 0.00% 30/09/2017
S-MAX Titanium 2.0 TDCi 150PS PCP £8,076 36 £219 £11,435 0% 30/09/2017
Galaxy Titanium X 2.0 TDCi 150PS PCP £11,471 36 £229 £13,125 0.00% 30/09/2017
Vauxhall
New Crossland X SE 1.2 (81 PS) in Summit White PCP £2,999 36 £245 £6,295 4.2% 2/10/2017
New Mokka X Active 1.4i Turbo (140PS) Start/Stop FWD in Amber Orange PCP £2,199 36 £279 £6,969 4.2% 2/10/2017
Adam Energised 1.2i (70PS) in Mint my Mind PCP £2,099 36 £199 £4,524 4.2% 2/10/2017
Corsa 3-door Limited Edition 1.4i (75PS) ecoFLEX in Lava Red PCP £1,999 36 £225 £4,242 5.5% 2/10/2017
Corsa 5-door Limited Edition 1.4i (75PS) ecoFLEX in Summit White PCP £1,999 36 £235 £4,396 5.40% 2/10/2017
Astra SRi 1.4i Turbo (150PS) in Lava Red PCP £2,999 36 £238 £6,836 4.2% 2/10/2017
Astra Sports Tourer SRi 1.4i (100PS) in Lava Red PCP £2,999 36 £249 £6,756 4.2% 2/10/2017
New Insignia Grand Sport Design 1.5 (165PS) Turbo in Lava Red PCP £4,099 36 £199 £7,519 4.2% 2/10/2017
New Insignia Sports Tourer SRi NAV 1.5 (165PS) Turbo in Summit White PCP £4,299 36 £289 £8,239 4.2% 2/10/2017
Zafira Tourer SRi 1.4i Turbo (140PS) in Summit White PCP £4,499 36 £325 £6,532 4.2% 2/10/2017
Cascada SE 1.4i Turbo (140PS) S/S in Summit White PCP £3,999 36 £399 £6,816 4.2% 2/10/2017
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