For some years now, customers seem more ready for online purchase than OEMs and dealers are for online sales, but the gap is near to being closed.

The last week has seen a number of conversations with ICDP members and other contacts about the prospects for agency to replace the traditional franchise system in dealer contracts. 

My blog is a day late this week as I had to spend some time ‘spannering’ my classic rally car to get it ready for its MOT test today. 

Many owners of loss-making mobility ventures have chosen the crisis to permanently close the door.

My blog two weeks ago on the need to rethink new vehicle supply strategies seems to have struck a chord – frankly to my surprise, as I thought even the supply chain diehards had either accepted defeat or retired. 

As those dealerships that were closed reopen across Europe, we are starting to get a feel for the level of customer demand that will – or will not – help pull the industry, and our broader economies, out of the slump caused by the pandemic. 

A core element of ICDP’s work over more than two decades has been seeking to improve how new vehicle supply systems are planned and operated. 

Since mid-March, the COVID-19 crisis has badly affected the whole automotive industry including aftersales.

Whilst the most important question on business agendas at the moment is undoubtedly how business will develop in the coming months, it seems fairly certain that the recovery will not be immediate. 

We now seem to be on a path out of the full lockdown in most European markets, with dealerships either open or due to reopen in weeks, and most manufacturing plants running, or due to restart in the next month.

Here in the UK, it feels almost a lifetime ago that the evening TV news would feature little other than wall-to-wall coverage of Brexit, such are the extraordinary times we are currently living through.

As dealerships reopen or prepare to do so in the coming days across Europe, it is too early to determine how volumes will develop, and any significant change in consumer buying behaviour will also take some time to become evident. 

As hospital admissions and death rates fall around Europe, the conversation is now around the return to work, rather than the lockdown.  But what faces us as individuals and companies when we do get back? 

As some level of activity returns to the car market in Europe, with some manufacturers beginning production, dealerships reopening in some markets and online sales with home deliveries being introduced in others, the biggest question over the shape of a post-Covid recovery is around consumer confidence. 

In the face of a global health pandemic, the globalisation world adage 'Think global, act local', raises a concern that players  - commercial and institutions - have been and still are focused rather too much on lowering piece cost (from the simplest to most complex items and sub assemblies in going to global supply actors in faraway places with extended and unpredictable lead times both in terms of production and importantly delivery).

It might seem a bit inappropriate to be thinking about selling cars when Covid-19 is still on a rising trend in many markets, but it is already a topic of discussion during the lockdowns in a number of markets both from the perspective of what is appropriate now, and what might happen when dealerships reopen. 

Now that hopefully everyone has made the adjustments necessary to cope with the immediate effects of Covid shutdowns in terms of working arrangements, provisions for furloughed employees and continuation of services for essential workers, it is fair to think about the next stage – a return to work at some point in late Spring or early Summer

Over the last couple weeks I’ve participated in and listened to a few webcasts discussing how players in the automotive sector are dealing with the effects of the lockdown, and what they anticipate will happen on the return to work whenever that happens.

Firstly, I hope that you are all well and safe – many of us now have family, friends or colleagues who have suspected or confirmed cases of Coronavirus, so it’s beginning to become more personal and real for all of us. 

In order to slow down the spread of the COVID-19 virus in Germany, several legislative actions have been put in place since 23rd March that have had a direct impact on the German economy and public life.