New Report on manufacturer-franchised service operators in Europe

ICDP has recently undertaken a piece of research focusing on the role and evolution of vehicle manufacturer-franchised service operators, by which we mean 'any franchisee of the brand that is not a main dealer'. Before the implementation of the current Block Exemption, these operators were variously known as sub-dealers, agents or service providers. The splitting of sales and service in the regulation led vehicle manufacturers to different strategies regarding the management of their franchise service operators, and these have in turn given rise to different definitions, standards and contracts. In "Manufacturer-franchised service operators in Europe: network structure and role in car distribution", Thomas Chieux and Christophe Guillaneuf provide an in-depth categorisation and analysis of these service operators across France, Germany, Italy and Spain, and draws lessons related to their strategic role and likely future evolution.

New Report on Preparing for 2010: expectations for DG-Competition's Evaluation of the Block Exemption 1400/02

The process of replacing the current European Block Exemption governing franchise networks in the car industry, regulation 1400/02, moves up a gear very shortly with the publication of DG-Competition’s evaluation report into the success, or otherwise, of the package of rules which has been in place for the past 5½ years. As well as reviewing a closely fought and often controversial piece of legislation that has affected the lives of different types of player from right across the sector, the report will also give a strong indication of the paths that the regulators intend to follow in the next framework, which will come into force on 1st June 2010. In this Report, Andrew Tongue puts the evaluation report into context by looking at how it fits into the timetable for the expiry and replacement of 1400/02, at What lessons can be drawn from the last time the sector went through such an evaluation process, at the broader character of competition policy, and at the other influences that will be drawn together into the report. The report then goes on to provide ICDP’s assessment of its likely contents, and of what this means for the regulatory agenda over the coming months.

New Management Briefing on Towards larger retailers: evolution of Top50 dealers in Italy

This briefing represents a wide and concise analysis of the research carried out in 2007 by the ICDP team in Italy with the support of Quintegia, an associated Italian company which has created the Top50 Club, a network grouping the largest car dealers in Italy. The survey analyses the first 50 dealer groups of the Italian market (ranked by total turnover), and represents an update of studies carried out in 2002.

New Management Briefing on Pharmaceutical Distribution: Insights, Parallels and Lessons for Cars and Parts

From time to time, ICDP goes beyond purely automotive-based research to investigate the distribution and retailing strategies and operational characteristics of other industry supply chains, for lessons to be applied in the automotive sector. Peter Bailey has recently looked at pharmaceutical distribution, set in its global industry context. At first sight, parallels seem unlikely between these two different worlds. However, the investigation revealed useful insights and pointers for automotive relationships.

New Executive Briefing on life under the Block Exemption in Germany

Germany is perhaps the European market where life under the current Block Exemption has been most turbulent for both dealers and for those within manufacturer national sales companies and importers charged with franchise network management. Widespread network rationalisations around the time of the changeover from the previous Block Exemption 1475/95 in 2002/3 left behind them a legacy of ill-feeling, and the pressure of ongoing franchise requirements since then has caused continued tension in manufacturer-dealer relationships. In "Reviewing the Block Exemption 1400/02: life in Germany", Uwe Stratmann and Andrew Tongue recall some of the key events in the life of 1400/02 in Germany.