Ireland's car dealers are saying that their premises are the safest possible retail spaces to re-open to the public, and want to try and re-instate 'click-and-collect services from April onwards.
75 per cent say they'd feel safe shopping for a car
According to research by the Society of the Irish Motor Industry (SIMI, which represents Ireland's dealers and importers), 75 per cent of people would feel safe in visiting a car dealer. In a national survey conducted by Behaviour & Attitudes, car dealerships and garages were ranked first out of eight non-essential retailer categories as the most comfortable to visit.
While there is much pessimism in the air, not least at NPHET headquarters, because of the apparent plateauing of COVID cases, and the continued sluggishness of the vaccine roll-out, SIMI says that car dealers are in a unique position to be amongst the safest possible retail areas to re-open, thanks to both the nature of car sales, and the physical space afforded by dealerships.
More reliant on private cars
Gillian Fanning, President of SIMI and director of Serfac Ltd said: "Our industry, as essential retailers, has been open for servicing throughout most of the lockdown. We have shown we can operate very safely for service and repair, ensuring the continuation of our supply chain and our vehicles are safe. The fact that people are now more reliant on private cars from a personal safety perspective, we request from the government that we can open our sales operations from the 5th of April, even if this is on a click and collect basis. The reopening of our sales operations is of critical importance to our industry and its related sectors. We believe that we can make a positive impact on the economy for the rest of 2021."
Brian Cooke, SIMI Director General, said: "Like the Government, the health and safety of the Motor Industry's customers and employees continues to remain our top priority. We have provided essential services since the start of the pandemic and will continue to do so. Car Retailers have invested heavily to minimise the risk of COVID spreading, and the large showrooms and low transaction levels allow for social distancing well beyond the two-metre recommendation. With the improving weather and longer days, car sales can be transacted entirely in an outdoor setting, further reducing the already low risk environment. Balanced action by Cabinet is required to protect the future of our Industry, prevent further job losses and diminishing exchequer contributions. With over 40,000 people employed in the sector, it is crucial to the economy as our Industry has already been heavily impacted by the pandemic, with the impact on new car sales last year added to the 2021 shortfall coming in at over €1bn, of which €400 million is lost in exchequer funding. Our members are ready to re-open their showrooms once conditions allow, but an interim move to a click and collect basis is of vital importance to local businesses and employment."
Urgent government support
Gavin Hydes, CEO Joe Duffy Motor Group and Chairperson of SIMI Franchise Committee said: "Car retailers, as essential retail, have demonstrated their ability to manage the service and repair of customers vehicles safely. The additional sales customers visiting our dealerships under click and collect would only be a minimal ten per cent on existing showroom visits, representing on average of six customers per retailer over the course of a day. A significant number of our customers will not conclude the sale until they can view the car physically in person and take an unaccompanied test drive, given the product's large financial outlay. I urgently request that the government support our Industry by announcing modifications to the restrictions this week and reinstate Click & Collect and unaccompanied test drives. As the industry waits with bated breath for the Cabinet's update this week, we believe that the government's failure to act on this will inevitably result in further job losses as motor retailers will be unable to retain all of their people."
Paddy Magee, Country Operations Director, Renault Group and Chairperson of SIMI Distributors Committee said: "Retailers around the country have, from the start of the Pandemic, invested heavily in measures to prevent the spread of COVID-19 adhering to HSE and HSA Guidelines. Showrooms are a very low risk environment for our staff and customers due to the size of premises and the ability to work by appointment only. We really hope that restrictions will ease next month and that the motor business can return to more normal levels once the health situation allows so that we can protect long term employment and local businesses."
SIMI has also pointed out that the drop in car sales because of COVID (although how much is down to restrictions and how much to people not wanting to commit to big spending is up for debate) has cost the car industry in Ireland €1.25 billion in sales, and has cost the national exchequer €425 million in tax receipts.