JLR Unveil new ‘refined’ franchise model
Jaguar Land Rover has unveiled a new “refined” franchised model with “key adaptions”. The decision is a departure from JLR’s former stated intention to move to pure play agency this year.
Following the reveal, dealers embraced the fact that their views had been acknowledged and said the franchised model was “robust” and provided “stability” for all concerned.
Robert Forrester, CEO, Vertu Motors, said: “The news that the franchise model will be retained is a decision that was made in consultation with the investor community and provides the stability to progress with delivering innovative services to our clients without distraction. On this basis, we welcome the news.”
Gareth Williams, managing director, Hatfield’s said: “JLR has taken the positive approach of engaging with a number of investors before finalising its retail plan to deliver Reimagine, and during that collaboration we all agreed that the franchise model provides a robust route for delivering those client outcomes considering the current sales climate. The decision to prioritise the pursuit of an enhanced customer experience whilst retaining an established route to market is absolutely the right thing for our brands.”
Darren Edwards, CEO, Sytner Group, said: “JLR is to be applauded for adapting to the rapidly changing dynamics we have witnessed in the UK new car market. The franchise model is a tried and trusted model, which can be intelligently flexed to suit the needs of all stakeholders involved in a new car transaction, i.e., clients, retailers and manufacturers. Sytner Group is convinced that the model JLR has created will provide a genuine modern luxury experience for our clients and look forward to many years of continued mutual success.”
Patrick McGillycuddy, managing director JLR (UK), said: “We are proud of what we have achieved with our partners to deliver the perfect experience for our clients. Taking into consideration the internal and external challenges afoot, and the scale of change required to maintain a sustainable, profitable business, our retail strategy offers a unique and exciting opportunity for JLR and our partners.
He went on to add: “Our commitment to the Reimagine strategy and bringing that to life in the UK remains unchanged, what we have developed in with our partners is significant. Together, we will deliver benchmark experiences for the luxury sector and our clients will be at the heart of that.”
Jaguar Land Rover aims to be carbon net zero across its supply chain, products, and operations by 2039. Before the end of the decade its Range Rover, Discovery and Defender ranges will each have a BEV while Jaguar will be entirely electric.