iVendi: Rising car prices should prompt more effective motor finance promotion

A rise in car prices due to the weakness of the pound should spur dealers and manufacturers to promote their finance options iVendia said.

iVendi: Rising car prices should prompt more effective motor finance promotion

James Tew, chief executive officer of iVendi, said that motor retailers should ensure that potential customers were not deterred by rises in the headline price of the vehicles, and argued that in most cases new cars remained affordable.

Tew said: “The SMMT has already said that it expects to see increases of 2-3% in the first few months of the year and if, as seems not unlikely, the pound weakens further against the dollar and the euro, there will be pressure for further rises.

“This has the potential to put off customers who were thinking of buying a new car but the solution is to ensure that the affordability of the vehicle through your motor finance offering is stressed wherever possible, but especially online.”

Tew stated that web features such as a motor finance offer with finance calculator and eligibility checker available whenever a car appeared, was key to conveying the message.

He also stressed the importance of mobile functionality, saying: “it is essential that customers can easily see the finance offer when using a smaller screen on the move.”