Reversing mid-range product decline

Our client, a leading vehicle manufacturer, identified that its mid-range model was suffering a reduction in market share due to a number of new product entries in the sector. Perception amongst its dealers was that, unlike the rest of the manufacturers model range, this particular model was not the class leader, and sales people had almost started to talk themselves out of sales.

Challenging volume and sector share objectives meant that the performance of this particular model was key to the overall picture. Added to this, accountability and the ability to attribute any performance improvements to any sales improvement programme were prerequisites as new purchasing and financial controls had recently been implemented.

We developed a pilot programme for a group of dealers which utilised our Protocol 2000, keyRING and Insight products, combined with regular motivational and coaching visits from our consultants and involved the field team, dealer principals, sales managers and sales people in the target-setting process.

Against a control group of non-programme dealers, the pilot dealers have shown sales growth of 12%. The manufacturer has since extended the programme to more dealers (identified by their field team) and covering its whole range of premium vehicles.

Using an assumption that only a proportion of the sales improvement can be attributed to the programme, our client calculates that the return on their investment is of the order of 300%.