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Volkswagen Group Move to Sell Parts Direct

Car Parts

In 2007, Volkswagen Group broke the mould of how automotive trade parts were sold in the UK by moving from a retail to an agency model.
Trade Parts is one of the most profitable parts of any automotive manufacturer’s business and, with an annual turnover of over £114M, to make such a change to their already successful business model was a bold step. Cries of ‘it’s not broken so don’t fix it’ were heard. The changes required were many; the creation of 80 new agency businesses, the transfer of the entire Group’s UK retail parts from being owned by the retail network back to being owned by the Group, new systems, staffing, new contracts and then, perhaps one of the largest challenges of all, the cultural shift for the Group from being a parts supplier to a parts retailer.

Simon was engaged as the Programme Manager to support the business on this journey; a journey which was completed in October 2007 with the establishment of a network of new Trade Parts Specialists – with a launch rate of 5 per week being achieved. All completed over twelve months.

The business impact of the launch was immediate & the awards followed.