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Iveco outlines reshaping of dealer network

17 January 2008

While the 2007 registration figures show that Iveco still has some way to go before it reaches a 15% heavy truck market share, managing director Henk van Leuven is still insistent that the target is achievable. And at the company's 'State of the Nation' press conference last week, van Leuven unveiled the next step in his strategy - a radical reshaping of the dealer network.

In an in-depth review of the process, van  Leuven explained how the company will ensure customers are supported by Iveco dealers in the future, raising the number of Iveco service points from 106 to 125. "Our sales improvement will mean that by 2011 we will have 25,000 trucks in the UK vehicle parc," up from 12,000, he said - adding that this will give Iveco dealers a bigger opportunity for profitability in the future.

"In the truck sector we need 18 main dealers to sell the heavy truck range," he explained, "supported by a further 32 full range service points, ensuring an operator is never more than 40 miles from a truck service dealer. The Daily will be supported by an additional 75 sales and service points. This gives us a total network of 125 points, owned ideally by 18 partners."

Van Leuven expects the majority of the existing network partners to sign up to the new regime, although there could be the opportunity for others to join the network. "We're not interested in becoming a dealer ourselves," he said, adding  that if it were a choice between having to own a dealer in a territory or not have a presence there, then he would prefer the latter. "We aren't dealers and don't have the culture of risk within the company that a dealer requires to be successful," he concluded.





Andy Salter
Email at andy.salter@rbi.co.uk
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