Used Car Business
2013
Date created: 2012-10-17MSS 2013 Operational Planning Guidelines_ Draft2, Issuer: kstubeli/enoren Security Class: Confidential 1
Volvo Remarketing – 2013 European Opportunity Management
Used Car Business
2013
Agenda
• Volvo positioning & business transformation
• Volvo Remarketing 2013 & beyond
• European Opportunity Management
2MSS 2013 Used Car Business , Issuer: Sebastian Fuchs Security Class: Confidential
Used Car Business
2013
EMT Onboarding II, Global Marketing, Richard Monturo, RMONTURO
Page 3Issue date: 2011-04-07, Security Class: Proprietary
3
Used Car Business
2013
4
“Luxury”
“Middle class/
mass market”
1. More premium!
2. G
row
!
3. Own way:
Smart & Nimble
Strategic Imperative – More Premium, Growth & Volvo Own Way
Used Car Business
2013
Strategic direction – Key change themes
Revitalize the Volvo brand with customer centricity throughout the value chain
Reinforce our product strengths based on focused innovation, smart architecture, and active collaboration
Capture global growth and sourcing potential, leveraging insider access in China
Secure robust profits and growth in traditional markets in Europe and North America
Build a global performance organization & culture
5MSS 2013 Used Car Business , Issuer: Sebastian Fuchs Security Class: Confidential
Used Car Business
2013
Our Strength - We understand people
“I would prefer a premium car
having me as the starting point
and not the car
and its technology"
6MSS 2013 Used Car Business , Issuer: Sebastian Fuchs Security Class: Confidential
Used Car Business
2013
The change is happening
7MSS 2013 Used Car Business , Issuer: Sebastian Fuchs Security Class: Confidential
Used Car Business
2013
Volvo Remarketing Overview• Volvo has a unique situation in
Europe with a significant share of vehicles coming from Sweden due to the home of Volvo
• Market specifications vary to great extend within Europe – e.g.: pre-heater is standard in Nordic regions
• Traditional Rental volume South – North split applies also to Volvo and poses another dimension of specification issues
8MSS 2013 Used Car Business , Issuer: Sebastian Fuchs Security Class: Confidential
Used Car Business
2013
9
Global Ambitions going forward
Global development of Volvo new car and used car salesin ‘000 units (draft)
440480
560600
640680
720760
800
520
2020
1.600
800
2017
2019
1.491
731
2018
1.382
662
1.274
594
2016
1.165
525
2015
1.056
456
2014
947
387
2013
839
319
2012
730
250
2011
621
181
New car sales
Used car sales
Source: NC/UC development according to MSS estimation based on Global Growth Plan
• Volvos ambition is to sell 800.000 units by 2020 – which will on a global scale drive the Used Car volumes sold via the network to 1.600.000 units
MSS 2013 Used Car Business , Issuer: Sebastian Fuchs Security Class: Confidential
Used Car Business
2013
10
Selekt
@4U @4U
CORECONTROL OF
BUSINESS
•Selekt Online systemS
•Embedded Remarketing
•Financial Reporting
•Rv / Tco Management
•UC Competence
RV- Mangement Selekt
Remark
eting•Choice of Product +Channel
•Global Governance
•Own competence
Volvo Used Car and Remarketing Strategy
MSS 2013 Used Car Business , Issuer: Sebastian Fuchs Security Class: Confidential
Used Car Business
2013
11
SiteManagement
Pricing
BuyerManagementReporting
Sales Sessions
DirectSales
ChannelManagement
Stock Management
Unique Systems as the Key to sussess
NSC
MSS 2013 Used Car Business , Issuer: Sebastian Fuchs Security Class: Confidential
Used Car Business
2013
12
Driver & AffinitySales
RefurbishmentManagement
Bid DebriefManagement
Retail Facing
Upstream / Coming Soon
LogisticsManagement
Damage RechargeManagementMulti-Lingual
Capability
Buyer Baskets
DashboardsMy Bids
Watch ListsPurchase / Bid
History
Saved Search
Credit Limits
Sales Channels
SearchQuick /Advanced
360 Degree Services
BUYER SUPPLIER
MSS 2013 Used Car Business , Issuer: Sebastian Fuchs Security Class: Confidential
Used Car Business
2013
13
V40
Model & Trim IT GER ES FRC30 D2 Kinetic 41,4% 44,0% 49,8% 51,8%C30 D2 Momentum 43,6% 44,4% 49,8% 52,1%C30 D2 RDesign 44,2% 45,1% 48,8% 50,4%C30 D2 Summum 44,5% 45,3% 49,6% 50,2%
V50 DPF D2 Kinetic 39%* 43,4% 44,2% 42,8%V50 DPF D2 Momentum 43,6% 44,2% 42,8%V50 DPF D2 RDesign 41,5% 43,2% 43,5% 42,8%V50 DPF D2 Summum 43,4% 44,2% 42,8%
S60 2.0 D3 Kinetic 41,6% 40,7% 50,7% 46,6%S60 2.0 D3 Momentum 44,4% 41,6% 51,0% 47,1%S60 2.0 D3 Summum 46,6% 40,4% 50,9% 48,5%
XC60 2.0 D4 (D3) Kinetic 47,1% 57,4% 55,4% 54,0%
XC60 2.0 D4 (D3) Momentum
48,1% 56,7% 55,4% 55,5%
XC60 2.0 D4 (D3) R-design 48,8% 57,1% 55,4% 57,3%
XC60 2.0 D4 (D3) Summum
48,1% 56,5% 55,4% 56,9%
Data As the Key to decision making
MSS 2013 Used Car Business , Issuer: Sebastian Fuchs Security Class: Confidential
Used Car Business
2013
14
CORE
Integrated Wholsale and Retail System
MSS 2013 Used Car Business , Issuer: Sebastian Fuchs Security Class: Confidential
Used Car Business
2013
Date created: 2012-10-17 15
Connecting Reality and web
MSS 2013 Used Car Business , Issuer: Sebastian Fuchs Security Class: Confidential
Used Car Business
2013
Date created: 2012-10-17 16
Summary• Driven by a system from
Wholesale through Retail gaining a competitive advantage
• Optimizing revenues by targeted Remarketing to high price countries with demand
• Decisions driven on consistent and coherent information from dealer to factory
• Excellence through process and data guided and recorded in one system
MSS 2013 Used Car Business , Issuer: Sebastian Fuchs Security Class: Confidential