indagine sul mercato italiano dei dealer automobilistici e motociclistici condotta all'interno del progetto DSDN http://www.new-distribution-skills.eu/

1. Report dealer analysis:
Italian speaking market
Authors: Baioni, Bartolini, Bizzarri, Carnevalini, Casagrande, Curreli, Ladislao, Merlonghi,
Nardini, Purgatori, Rocchetti, Santolini
Supervisor: Cardinali

2. Table of Contents
DESK RESEARCH
Motorcycle Industry
Automotive Industry
Management
Consumers buying behaviour
Key Findings

3. Motorcycle Industry
Second-hand
Supply Demand
market
Registrations Comparison to new
Production trend
registration
Average age
Second-hand market
share «who sells to
whom?»

4. Motorcycle Industry
Supply: Production Trend of Mopeds and Motorcycles
Source: ANCMA – Associazione Nazionale Ciclo e Motociclo Accessori
After 2000 change in the normative context.

5. Motorcycle Industry
Demand: Registrations by category
Motorcycle -48,3% Mopeds -41,0%
Source: ANCMA – Associazione Nazionale Ciclo e Motociclo Accessori

6. Motorcycle Industry
Demand: Registrations by Segment
%
30
27
25 24,8 25,2
23
21,6
20 20,4
17,6
16 16,7
15 15,4
14,2
12,3
12,2
10 9,8 10,2
9 8,7
30 7,6
5
% 23,6
25
20 0
20 16,8 Naked Supermotard Superbike
15,8
15 12 12
11,7
9,4
8,5 8,4
10 7,3 7
6,9 7
6,4 6,1
5,4
3,9 3,6
5 2 2,6
1,3 1,6
0
Travel Custom classic Enduro

7. Motorcycle Industry
Demand: Registrations by Seasonality
MOTORCYCLES MOPEDS
Source: ANCMA – Associazione Nazionale Ciclo e Motociclo Accessori

8. Motorcycle Industry
Demand: Registrations by Regions
MARKET SHARE MOTO-ORIENTED
Source: ACI – Automobile Club d’Italia

9. Motorcycle Industry
Second-hand Market
Who buy to whom?
New registrations
11%
2009 2010 diff. %
407.237 308.230 -24,3
Dto
Changes in ownership 89%
2009 2010 diff. %
571.259 581.932 +1,9
CtoC
Private (CtoC) Official or indipendent store (DtoC)
Vehicles’ averege life:
Consumer behavior:
1990 9 years
- price sensitive
2009 13 years - change often.
Source: ACI – Automobile Club d’Italia

10. Automotive Industry
Second-hand
Supply Demand
market
Market share
Comparison to
Production trend
new registration
Average age
Second-hand
market share
«who sells to
whom?»

11. Automotive Industry
Supply: Production Trends, 1992-2010
Conjuntural Conjuntural
Source: ACI – Associazione Nazionale Fra Industrie Automobilistiche +
Structural

12. Automotive Industry
Demdand: Registrations Trends, 2001-2010
ITALIAN VS FOREIGN
Source: UNRAE - Unione Nazionale Rappresentanti Autoveicoli Esteri
Foreign: Italian:
•Ford, Top three •Fiat,
•Volkswagen, •Lancia,
•Opel •Alfa Romeo

13. Automotive Industry
Second-hand market
CtoC
New registrations (auto)
DtoC
2009 2010 diff. %
2.177.601 1.972.070 -9.4 46%
54%
Changes in ownership
2009 2010 diff. %
4.506.072 4.598.961 +2.1
Source: ACI – Automobile Club d’Italia
Private (CtoC) Official or indipendent store (DtoC)
Vehicles’ averege life:
Generally 7,5 years
Petrols 9,4 years
Diesel 4,4 years

14. Management
Management
Financial sheet
Retail evolution
After-market services
Relationship dealer –
parent company

15. Management
Financial Sheet 2002-2010
AUTOMOTIVE
% Profitability Analysis, 2002-2010
20
15
10
5
0
2002 2003 2004 2005 2006 2007 2008 2009 2010
-5
ROI ROS ROE
Source: AIDA - Bureau Van Dijk

16. Management
Financial Sheet 2002-2010
MOTORCYCLE
Profitability Analysis, 2002-2010
% (ROI data availabile oly since 2004)
35
30
25
20
15
10
5
0
2002 2003 2004 2005 2006 2007 2008 2009 2010
ROI ROS ROE
Source: AIDA - Bureau Van Dijk

17. Management
Profitability by Business Areas
AFTER-SALES MARKET

18. Management
After-Sales Services
DEMAND SUPPLY
SOFISTICATION SOFISTICATION
To reach major level of
efficency and flexibility.
Customers’evolution: «Customers oriented»
•More engaged,
•Knowledge of the After-sales Don’t forget the dealer
products satisfaction.
•Interactive Services
•Multimedial
Post-Sales means greater margins

19. Customers buying behaviour
Customers buying behaviour
Affecting factors
E-commerce or info-commerce?
Hot topics online

20. Customers buying behaviour
Starting Point of Purchasing Process
70%
60%
50%
40%
30% 58%
50%
20%
26%
10% 16% 19% 20%
7% 5%
0%
Internet Referral from Family or Newspapers (printed or All other media (sources
Frinds online) combined*)
New Vehicle Buyers Used Vehicle Buyers
 28 millions of italian people surf the net at least once in a month, in average the16%
more than 2010.
 Among European countries Italy has a very high level of smart-phone users (about 15
million of people) and social networks registered profiles.

21. Customers buying behaviour
E-commerce or info-commerce?
e-commerce: info-commerce:
low penetration for product in which ROPO: Research Online-Purchase
the relationship with the saler is Offline
needed and/or perceived as a value
That habit is changing dramatically the
purchasing process mainly in clothes,
electronics and automotive sector
On-line Reputation

22. Customers buying behaviour
Internet role for customers relationship
Global Public Relations by Text 100 & Statist :
“Automotive Buzz Index” 2011  BRAND PERFORMANCE IN SOCIAL MEDIA
Was developed to reach a better understanding about online automotive customers behavior.
217.000 conversation globally
On: Twitter, Facebook, YouTube and most important blog & forum talking about this industry
METODOLOGY:
• Where? Global (english speaking)
• What? Online conversation about Geneva, Frankfurt and Detroit Auto Shows
• When? June 1st t- September 2011
• Coverage? More than 170 million websites globally
• Question to answer?
- How are the biggest automotive brands discussed in Social Media for the show?
- How are the hot industry topics discussed in Social Media for the show?

23. Customers buying behaviour
Internet role for customers relationship
“BUZZ INDEX”:
• Dissatisfaction with the brand image online and offline (only BMW was considered able to
consistently manage this perception.
• Hot topic talked about the main motor show by people online

24. Key Findings
KEY FINDINGS
Changes are not only conjuntural but also structural
The change involves the business areas

25. Table of Contents
FIELD RESEARCH
Aim and Methodology
How is the market changing?
Projections about the future
Human Resource Management
Main Trends
Conclusions

26. Aim and Methodology
This presentation is aimed to show our findings concerning an important issue:
dealers needs and attitudes in facing the italian auto and motorcycle market. We
achieved findings by making direct interviews to a well-established dealers sample.
15 IN-DEEP: Direct contacts
• 9 auto EICMA Fair
• 6 moto MOTORSHOW Fair
SAMPLE:
56 dealer
41 CATI:
• 23 auto Contacts SKODA and
KTM’s list
• 18 moto

27. Aim and Methodology
Who our respondents are?
Number of franchisees interviewed Number of employees of dealers
Automobile Motorcycle
Multi Brand 15 10
Single Brand 3 12
Group Brand 14 2

28. How is the market changing?
A) External factors
Pressure from competitors
Seasonality or economic fluctuaction
Customer demand
B) Internal factors
Revenue
Cost Pressure
Profit
Turnover rate

29. How is the market changing?
External factors (average)
(Strongly decresed) (Strongly incresed)

30. How is the market changing?
External factors

31. How is the market changing?
External factors

32. How is the market changing?
Internal Factors (average)
(Strongly decresed) (Strongly incresed)

33. How is the market changing?
Internal Factors

34. How is the market changing?
Internal Factors

35. Projections about the future
Both Automobile and Motorcycle
(Least likely) (Most likely)

36. Projections about the future
About Automobile Segment

37. Projections about the future
About Motorcycle Segment

38. Projections about the future
About Services for Both Automobile and Motorcycle
(Least likely) (Most likely)

39. Projections about the future
About Services for Automobile

40. Projections about the future
About Services for Motorcycle

41. Future Development Plans
Product portfolio development
 Rent development
 Increase repair works
Improve financial service
 Store enlargment
 Move the store in new place
AUTOMOBILE MOTORCYCLE
16,67
28,13
71,88
83,33
Yes No Yes No

42. Human Resource Management
How do companies employ staff?
What the dealers look for?
How to increase sales personnel’s motivation?
How do dealers evaluate their sales personnel?
Issues in adopting softwares

43. Human Resource Management
How do companies employ staff?

44. Human Resource Management
What the dealers look for?
Not important Most important

45. Human Resource Management
What the dealers look for?

46. Human Resource Management
What the dealers look for?

47. Human Resource Management
How to increase sales personnel’s motivation?

48. Human Resource Management
How to increase sales personnel’s motivation?

49. Human Resource Management
How do dealers evaluate their sales personnel?
(Very low) (Very high)

50. Human Resource Management
How do automobile dealers evaluate their sales personnel?

51. Human Resource Management
How do motorcycle dealers evaluate their sales personnel?

52. Human Resource Management
Issues in adopting softwares
AUTOMOBILE
Purchased From Manufactures
3,13%
3,13% 9,38%
12,50% 0
21,88%
65,63%
84,38%
Never Rarely Sometimes Very often Never Rarely Sometimes Very often

53. Human Resource Management
Issues in adopting softwares
MOTORCYCLE
From Manufactures
Purchased
0%
13%
0%
8% 4%
13%
79%
83%
Never Rarely Sometimes Very often
Never Rarely Sometimes Very often

54. Main Trends
Most important successfull factors:
 TO HAVE A GOOD PRODUCT
 LOCAL BRAND
 MARKET VISION SHARED WITH HEADQUARTER
 FINANCIAL SOLIDITY
 SERVICES

55. Project and Contact Information
Thank you for your kind attention!
Silvio Cardinali / Università Politecnica delle Marche
s.cadinali@univpm.it
Valerio Temperini / Università Politecnica delle Marche
v.temperini@univpm.it
Andrea Perna / Università Politecnica delle Marche
a.perna@univpm.it
Visit the project website: www.new-distribution-skills.eu