Bowkett Auto Consulting Background

Bowkett Auto Consulting
Background
2018

2 © 2018 Bowkett Auto Consulting Ltd. All rights reserved
 Dean Bowkett bio
 BAC philosophy
 How can BAC help you
 Project examples undertaken
 Further product and service examples
Contents

Dean Bowkett bio
 Some of the companies Dean has worked for or with:
https://uk.linkedin.com/in/dean-bowkett
Roles
MD 
Group CFO 
Group Operations 
Supervisory Board Member 
Group Remarketing 
Pan European Pricing 
Group Chief Editor 
Due Diligence 
Legal Expert Witness 
Industry Sectors
OEM 
Financial services 
Full-service leasing 
Wholesale & retail finance 
Retail dealership 
Automotive data & research 
Insurance 
Press & Media 
 Over 27 years’ of automotive
industry experience
 Fellow of the Association of
Chartered Certified Accountants
 Been responsible for up to 31
different financial services businesses
and operations in 25 countries across
Europe, Asia, America and Oceania

 Personal multinational experience
 BAC is also able to call upon a global consortium of consultants relating to most areas of
the automotive industry to support projects
International coverage
Direct
responsibility
Network
connections

Understanding the truth behind the spin enables informed decisions to be made
 By working with some of the biggest brands in the industry and collaborating with some of the most forward
thinking companies and individuals Bowkett Auto Consulting Ltd (BAC) can help you to review existing or new
projects, products and services to ensure you are keeping abreast of the latest automotive related changes and
are thus able to maximise your bottom line
 Having the wrong products at the wrong time can be a financial disaster this applies no matter whether you
are developing a vehicle for the future, buying and selling new and used vehicles, creating a new retail or
wholesale offer or trying to break the mould either in sales, financial services, insurance or more
 Failing to develop your sales approach to changing customer demands creates a downward spiral
 Not keeping up to date with the current and future demands of legislators can be a costly affair
 BAC is committed to helping you stay ahead of the game, including
‒ Spotting trends in consumer and fleet customer buying patterns
‒ Improving new and used sales strategies
‒ Developing new ways to take advantage of the decline in traditional car sales techniques and grab a slice of the growing e-
commerce market place
‒ Understanding the truth behind legislation and political rhetoric
 Profit has become a dirty word for some but at BAC we believe that delivering the best bottom line result can
be achieved whilst still meeting the legal, ethical and moral demands of the modern world
BAC philosophy

How can BAC help you?

 Group CFO including divestment of financial services business with in excess of $5 billion of assets. Role included staff retention, due
diligence work, financial reporting, commercial operations for 31 businesses across 25 countries
 Due diligence support for the acquisition of numerous full service leasing business including the world’s largest automotive leasing
company
 Go to market strategy development for a number of start-up companies including social media, automotive transport for electric
vehicles, online pan-European vehicle remarketing
 Product launch support for cars, financial services products, asset valuation tools. This included marketing and commercial pricing
 Product development including business intelligence and big data, new vehicles, vehicle remarketing platforms, leading edge
technology companies
 Tender support - including for a marketing company after a fuel card marketing contract covering several central European countries
 Multi-national (9 countries) review of OEM’s NSC’s end to end sales, marketing and financial services operations to identify areas for
improving performance
 Customer retention projects for several financial services businesses and OEMs
 Sales lead for a number of small and medium enterprises including multinational vehicle valuations, asset provenance, data and
technology
 PR & marketing activities to increase brand awareness, including published quarterly reports and customer centric reports and press
releases for a number of clients
 Delivering used car valuations in a profitable manner in Europe’s smallest car market
Projects and experience includes

Further products and services examples
Business Strategy
New market entry, M&A, Sales improvement
RVs, Remarketing, Technology
Legislation
Expert Witness, Legal
experts, Research
Market Developments
Connected car, Vehicle provenance,
Customer Retention and Conquest
Product development
OEM, Financial Services,
Supporting Industries
Asset Valuations
Used vehicles, properties,
boats
Market Research
P.R., Marketing, Report writing,
Journalism Trending, Market Analysis

Improving sales volumes and profit

Proposal
 To undertake a review of how OEM NSCs1 operating model impacts used car values
 To understand how the processes in other parts of the business impact RVs
Scope
 First phase to focus on key European countries to be defined by the OEM
 The country selection would normally be the top 10 European markets by the OEM’s new car sales volume
but for the purposes of this we have assumed the top 10 countries by total new car sales:
‒ Germany, UK, France, Italy, Spain, Belgium, Netherlands , Poland, Sweden and Switzerland
 All departments
Deliverables
1. For the OEM to better understand the operating rhythm of the business and its impact on used car values
2. Identify ways to improve RVs and TCO 2
3. Identify best practices and identify operating processes having a negative effect on used car values
RVO project
Product Marketing & PR
New vehicle
sales
(Fleet & Retail)
Used vehicle
sales (incl.
Remarketing)
After sales
Financial
Services
1. National Sales Companies
2. Total Cost of Ownership

 1 percentage Point RV improvement saves around
‒ €50m p.a. on a 1.4% market share
‒ €250m p.a. on a 6.9% market share
 against subsidies and discounts
Why are Residual Values so strategic?
13.7
13.6
13.8
11.5
12.2
12.2
13.0
13.6
14.6
15.3
15.0
15.1
14.6
15.3
15.5
15.5
15.8
16.0
14.7
14.5
13.8
13.6
12.5
12.3
13.0
14.2
15.4
16.2
16.5
16.5
16.3
15.8
10
11
12
13
14
15
16
17
Millions
New Passenger Car Sales EU28* & EFTA3

Making vehicle provenance socially available

Providing instant access for drivers to suppliers

Timelines
10 Oct
2016
2 Dec
8 Dec
Q1 2017
6 Jul
22 Jul
25 Jul
5 Sep
Germany expresses interest in exclusively
selling new electric vehicles by 2030
Paris, Madrid, Athens and Mexico City announce
plans to ban the most polluting diesel vehicles by 2025
European Council adopted a new
directive to reduce air pollution
Netherlands announce plans to only allow electric
vehicles from 2035French Ecology minister declared an end
to the sale of “new gas and diesel-
powered cars” within the country by 2040
EU Commissioner for industry, Elzbieta Bienkowska,
warns against car diesel ban in citiesUK Secretary of State for Environment,
Food and Rural Affairs, Michael Gove,
states intended sales ban of new “fossil
fuel-powered vehicles” by 2040
German Chancellor, Angela Merkel, to the German
parliament “We will use all our power to prevent such
bans,” referring to diesel car bans in cities

2017HY1*
New diesel car sales
10%
Petrol
-4%
Diesel
35%
Alt.
Diesel (%) 2000 2006 2011 2012 2013 2014 2015 2016 1 yr
variance
5 yr
variance
10 yr
variance
Century
start
variance
GERMANY 30.3 44.2 47.1 48.1 47.4 47.8 47.7 45.8 (4%) (3%) 4% 51%
UNITED KINGDOM 14.1 38.3 50.6 50.8 49.8 50.1 48.4 47.7 (1%) (6%) 25% 239%
FRANCE 49.0 71.4 72.4 72.9 67.0 63.9 57.2 52.1 (9%) (28%) (27%) 6%
ITALY 33.6 58.2 55.2 53.1 53.9 54.9 55.2 57.0 3% 3% (2%) 70%
SPAIN 53.1 68.2 70.3 68.9 66.3 64.9 62.7 56.9 (9%) (19%) (17%) 7%
NETHERLANDS 22.5 27.0 28.3 28.2 24.8 27.1 28.9 18.9 (34%) (33%) (30%) (16%)
EUROPEAN UNION (15) 32.8 51.2 56.1 55.6 53.8 53.6 52.1 49.9 (4%) (11%) (3%) 52%
NORWAY 9.0 48.7 75.7 64.2 52.5 48.7 40.8 30.8 (25%) (59%) (37%) 242%
WEST. EUROPE 32.1 50.8 55.7 55.2 53.3 53.1 51.6 49.5 (4%) (11%) (3%) 54%
Source: Association Auxiliaire de l'Automobile (AAA)
* Source: ACEA.be

 Legislation and media influence demand
‒ In 1999 diesel represented just 10.9% of sales
before overtaking petrol in 2009
‒ But demand is now falling
 Hybrids, Plug-In Hybrids and pure EVs are
currently following similar early adoption
sales patterns
‒ 12 years after Prius was launched hybrids
represented 0.6% of total car sales
‒ Pure EVs are at an earlier stage in the adoption
cycle but 8 years post Roadster launch they
have a 0.4% share in 2016
 Market penetration low but gathering
momentum
‒ Still less than 1% of the total car parc
‒ But currently 3.7% of new car sales in 2017
0.0%
0.5%
1.0%
1.5%
2.0%
2.5%
3.0%
3.5%
0.0%
10.0%
20.0%
30.0%
40.0%
50.0%
60.0%
70.0%
80.0%
2011 2012 2013 2014 2015 2016 2017
%shareoftotalcarsales
(Dashedlines)
%shareoftotalcarsales
(Solidlines)
New car sales by fuel type – Ireland*
Diesel Petrol Hybrid Electric Other fuel types
New car sales – case study 2011-2017 Ireland
*Source: Cartell.ie

 INFRASTRUCTURE
 ENVIRONMENT
The end of ICE by 2040? – Delivery and energy utilisation
*European Nuclear Society
** Amprion, *** National Grid
?

Real World Emissions – EU5 & 6
Rating
Lower
bound
Upper
bound
External reference point
A+ 0 0.06 Meets Euro 5/6 limit for petrols
A 0.06 0.08 Meets Euro 6 limit for diesels, meets Euro
4 limit for petrols
B 0.08 0.12 Meets 1.5 Conformity Factor under Euro
6 Real Driving Emissions regulation
C 0.12 0.18 Meets Euro 5 limit for diesels (and similar
to 2.1 Conformity Factor under Euro 6
Real Driving Emissions regulation)
D 0.18 0.25 Meets Euro 4 limit for diesels
E 0.25 0.5 Meets Euro 3 limit for diesels
F 0.5 0.75 No comparable Euro standard: roughly
equal to 6-8 times Euro 6 limit
G 0.75 1 No comparable Euro standard: roughly
equal to 8-12 times Euro 6 limit
H 1 None No comparable Euro standard: roughly
equal to 12+ times Euro 6 limit
A+, 35%
A, 4%
B, 5%
C, 6%
D, 5%
E, 17%
F, 12%
G, 7%
H, 9%
EU5 & EU6
663 vehicles (2009-2018MY)
Source: Emissions Analytics
A+ A B C D
Rank All % 35.4% 3.8% 4.5% 5.6% 5.0%
1 Suzuki 66.7% - 11.1% - -
2 Toyota 60.0% 5.0% - - -
3 Infiniti 60.0% - - - -
4 Seat 57.1% 4.8% - - -
5 Fiat 53.8% - 7.7% - -
6 Mini 52.6% 15.8% - 15.8% 5.3%
7 Volkswagen 51.7% 6.9% 5.2% 5.2% -
8 Dacia 50.0% - - - -
9 Vauxhall 47.8% 4.3% - - -
10 Mazda 47.8% - - - 21.7%

NewCarEye – A multi layered solution underpinned by our unique approach
Country/Region economic and
automotive background
Model, competitor and
segment review
RV,
SMR, TCO &
Rental results
Score per function
(1.0 to 5.0)
Blended
Score
Pricing,
Spec,
Incentives
Sales
Channel
Volumes
Qualitative
Assessment
Quantitative
Assessment
Done for model and
basket
The overall
average
Based on data provided by
the OEM
Based on
Specialist opinions
Based on Leasing
Company research

Asset valuations and revaluations
 Available across countries as
diverse as Malta, Bulgaria,
Ireland and many more
 Revaluations of fleet for due
diligence and financial
accounting
 Available by vehicle registration
mark (where available) or drill
down
 Values supported by real world
market data
 Used values and forecast RVs
Value at
typical
mileage
Value at
actual
mileage
Depreciation
trend
Market
data

CPG-Live is a unique set of valuation tools produced from the outset to meet the needs of the automotive industry
 CPG-Value:Used car values based upon the most effective data set possible, a complete reading of all
on-line used car adverts available which can be enhanced by a client’s own used car sales data
 CPG- Forecast: Predictive residual values for use in lease and contract hire rate setting, as well as a
guide to potential buyers
 CPG-VIN: Determine to a high level the technical identity of a car, including make, model, power output
and trim level. Capable of identifying individual cars or validating complete fleets
 CPG-ABI: Linking the powerful UK ABI codes for use in assessing the insurance risk posed by a vehicle
across other countries
CPG-Live: Uniquely effective valuation tools

 CPG-Live! however uses advanced tools to
describe the market in terms of its rolling 12,
24 and 36 month experience
 Replacing master and slave modelling with
differential modelling, CPG describes
mathematically the observed differences in
advertised prices between for example
‒ BMW 3 2.0 SE saloon and the equivalent estate
‒ A 2006 car and the 2007 version
 All values are normalised for mileage and
‘outliers’ for example cars on sale for in
excess of a set period are excluded
 When a value is requested the system
generates a current and future value by
assessing the cars on sale in terms of this
model
November
October
September
August
July
June
May
Apr
CPG-Live: Advanced valuation modelling

• Bulgaria
• Ireland
• Portugal
• Germany
• UK
• Malta
• India
• Turkey
• Greece
• Cyprus
• UAE
CPG valuation countries already in scope
 Already live
 Under review

Market reports and trending

Market Data

Client Data

BAC Data

 Please note the project and product examples shown in this presentation
are only a small percentage of the work undertaken by BAC and Dean
Bowkett
 The skills obtained in over 27 years of executive management within the
automotive and other related industries means we know the value of not
always knowing the answer but at least knowing the right questions and
who to turn to in order to achieve the best results
 Staying at the forefront of technological advances has helped us support
clients in taking even existing products into totally new markets
Contact details for further information about this report:
email: dean@bowkettautoconsulting.com
Phone: +44 (0)7962 176198

Bowkett Auto Consulting Background

Recommended

Recommended

More Related Content

What's hot

What's hot (20)

Similar to Bowkett Auto Consulting Background

Similar to Bowkett Auto Consulting Background (20)

Recently uploaded

Recently uploaded (20)

Bowkett Auto Consulting Background