news from The UK’s coUrTesy car leasing experTs Brand new ... · leasing was naturally proud to...

news from The UK’s no.1 coUrTesy car leasing experTs

www.circleleasing.com issUe 32 jUly 2011for the accident repair indUstry

dynamic, fresh and easy-to-read – the new circle website

Brand new look for circle

new p02hyundai i20sophisticated technology and low running costs.

interview p07adam murrayQ&a with aviva’s motor Technical manager.

innovations p12in communicationsVideo streaming, Blogs and Tweets!

you will almost certainly have noticed by now that things are changing at Circle Leasing.

We have a brand new corporate identity, which we believe more than ever reflects our forward-thinking, dynamic approach to business and dovetails perfectly with our latest, exciting phase of growth.

in a constantly evolving commercial environment, one that has seen considerable change over the last ten years in particular, it is important not only to remain in step with but also endeavour to stay ahead of the latest trends and developments.

our new look underpins our commitment to innovation and enthusiastic progression, the swooping red arrow representative of a company that is forever seeking out new opportunities and ready to move at pace

aidan minogue, managing Director explains: “We are still the same company, with the same core values and business integrity for which we have become recognised, but with a new, more powerful and dynamic visual identity.

“The new image marks an important milestone in our history to reinforce what we represent. And that is to be the partner of choice

for the independent UK bodyshop sector through delivering outstanding customer service and applying technology and innovative thinking to the needs of our customers.”

Website speaks volumes in the interests of helping all

our customers to make informed decisions around the clock, our new-look website has been purposely designed to provide a wealth of useful information across a broad spectrum of pertinent business sectors.

you will find multiple, up-to-the-minute news from aBp club, access to Bodyshop magazine, BoDy and repairer TV, links to Thatcham, smmT and vehicle manufacturer sites, together with many more areas that are ‘essential viewing’ to the accident repair industry..

aidan minogue concludes, “We believe the re-designed site will offer visitors an unrivalled wealth of information to not only help them manage their fleets more efficiently but also keep them abreast of the latest developments in the provision of courtesy cars.

“We showed delegates the new website at the ABP Club B2B regional forums last month and feedback was

extremely positive. It not only looks great but the depth of content and information available make it a very valuable resource.” we hope you agree.

“...the depth of content and

information available make it a very valuable

resource”

WIN an iPod shuffle

on p12!

The new Hyundai i20 is an advanced supermini designed to take on the best from Europe and Japan. Great styling, sophisticated technology and low running costs make it an ideal courtesy car.

new hyundai i20modern lines, neat details

enhanced functionality from the intelligently configured cabin layout, higher levels of luxury, convenience and safety equipment make it the most competitive package in the supermini sector.

like the i30 and i10, the i20 has been designed and developed in europe to meet the high expectations of european drivers and will prove capable of delighting them with new technology and low running costs.

The i20’s modern lines are further strengthened by neat details. These include colour-co-ordinated bumpers, integrated door handles and 15- inch steel wheels.

VerdictDeveloped on european roads, the new i20 delivers an agile yet refined driving experience. it has a low co2 rating of just 124g/km (around 15g less than similarly-sized petrol engines from most rivals) and manages 54.3 mpg on the combined cycle. The i20 is a great car engineered to deliver greater performance, enhanced economy and lower emissions.

02 | jUly 2011 www.circleleasing.com

SpecificationThe i20 scores top marks for high spec and safety design and includes the following specifications, which put it head and shoulders above rivals.

• Air-conditioning• Remotecentrallocking• Switchablepassengerairbag• Electricfrontwindows• Radio/CDandMP3audiosystem

withintegrateddatadisplayscreen• Activeheadrestraints• 40:60splitrearbenchfoldsflat• Roomy95-litrebootspace.

Foldtheseatsflatandamassive1060litresisonoffer

• Adjustabledriverseat• Adjustablesteeringcolumn• Gloveboxcooling• Electricfoldingwingmirrors• ESP

“...the new i20 delivers an agile yet

refined driving experience”

www.circleleasing.com jUly 2011 | 03

new hyundai i20modern lines, neat details

Prompted by highly-publicised sharp increases in motor insurance premiums during 2010, which reached an average of almost 35%, the House of Commons Transport Committee announced last autumn that it would hold an inquiry into the cost of motor insurance.

The inquiry focused on four key areas, covering the reasons and consequences for the rises; their impact on young people; the influence of fraud, legal costs and uninsured drivers on premiums; and whether there are any implications on public policy as a result of the increases.

The committee invited written evidence from interested parties, and received a number of submissions including documents from the aBp club, enterprise rent-a-car and moneysupermarket.com, plus a number of insurers including rBs insurance, Zurich financial services, aviva and esure.

The committee also listened to oral evidence during two separate day-long hearings either side of christmas, interviewing senior individuals from organisations such as the aa, the aBi, the credit hire organisation, confused.com, the motor insurers’ Bureau and the motor accident solicitors society.

after hearing the second day of oral evidence on 11 january 2011, the committee began writing up its findings and considering its recommendations, which were launched in its formal report, issued on 11 march 2011.

The key findings of the report were:• Highpremiumscouldhave

significantimplicationsfortheGovernmentbyadverselyaffectingthemobilityofpeoplewhodependontheirvehiclestogettoandfromwork.

• Highpremiumscouldencouragepeopletodrivewithoutinsurancewhich,inturn,couldincreasetheinstancesoffraud.

• Premiumshaveincreasedprimarilyduetoariseinpersonalinjuryclaims.

• Referralfeesareamajorfeatureoftheinsuranceindustry,withfeesbeingpaidandreceivedbyinsurers,claimsmanagementcompaniesandsolicitors.

The committee’s recommendations: • Theinsuranceindustrymust

domoretotacklefraud,includingprovidingfundingforadedicatedpoliceunit.

• Referralfeesbeingpaidandreceivedshouldbemademoretransparenttoconsumersbypublishingthevalueandreasonsforthemoneachinsurer’swebsite.Ifinsurerscannotagreeonamethodofdoingthisbytheendof2012,thentheGovernmentshouldstepin.

• TheGovernment’sforthcomingroadsafetystrategyshouldfocusonbringingdownthecasualtyrateofyoungdrivers.

• Whenclaimsaremade,insurersshouldmakeitcleartoclaimantsthattheyneednotusethesolicitor,repairerorcredithirefirmwhichisrecommendedbytheinsurer.

in response to the report, both allianz insurance and groupama acted quickly to call for the outright abolition of referral fees, rather than making them transparent. nick starling of the aBi agreed, saying: “The Committee is also wrong to say that referral fees should be more transparent. They are a symptom of a dysfunctional compensation system, not the cause of it. This is why the industry wants to go further than the Committee recommends and ban them altogether.”

The aBi did, however, agree with the report’s recommendation that the government must do more to improve the training of young drivers, to reduce the number of accidents they are involved in.

from the repairer’s perspective, anything to arrest the increase in motor insurance costs has to be welcomed, as this money is not filtering down to bodyshop businesses where average repair costs remain flat and profitability is still very low.

high motor insurance premiums deter policyholders from claiming because of the likelihood of the impact on the following year’s premium; whilst in recent times drivers have also opted for higher excess payments to mitigate premium increases. anecdotal evidence from the industry suggests this is affecting a policyholder’s ability to actually afford to claim, a fact supported by ageas’ claims Director rob smale, who recently said: “We have in effect sold the customer a policy he can’t use”. lower premiums and controlled excesses just might help to pump some much needed repair volume back into our industry.

The committee’s recommendation that insurers must make it clear to policyholders that they do not have to use their approved repairer will no doubt please some repairers who are adept at capturing non-approved work, whilst others who rely heavily on insurance approvals may not appreciate this. however, as a recommendation only, it will be interesting to see how many insurers actually put this into practice, and the effect it has.

one thing’s for sure – with premiums continuing to increase, and motor insurance now firmly on the government’s agenda, this issue is likely to remain in the spotlight for the remainder of 2011.

motor insurance at a premiumThe house of commons enquiry into the rising cost of motor insurance

“...the industry wants to go further

than the Committee recommends and ban referral fees

altogether”

aBp club forums provide ‘valuable pointers’ ‘credit crunch’, VaT, keeping courtesy car costs down

In March, ABP Club B2B embarked upon a series of regional UK forums to share information and ideas across a diverse range of current topics of major significance to the bodyshop/courtesy car sector.

no less than 624 delegates attended the forums, which circle leasing was naturally proud to support.

a number of key industry figures, including our very own aidan minogue, took to the stage to discuss the cause and effects of the ‘credit crunch’, the implications of new car sales on the repair sector and provide valuable pointers on how best to keep

courtesy car costs down to a minimum. “Don’t believe the too good to be

true £99 courtesy car offer, it doesn’t exist today,” said aidan. “Be careful of getting involved in contracts which put you in a residual position. If people are offering to buy the car back at the end, this is a hire purchase with a balloon, avoid it at all costs. It might look like a lease, but is it?”

lease purchase schemes too came into question. here the repairer recovers the VaT as part of the funding arrangement. The problem is that contrary to popular belief, the VaT is noT a funding win. in such a scheme, whilst the VaT is recovered on day one, under the rules the vehicle still qualifies for VaT upon sale, which the customer must hand over.

for example, if you buy a car at £8,250 and sell at £6,500, whilst you recover £1375 VaT on purchase, you must repay £1,083 VaT on sale.

looking to the future, during the forums circle leasing personnel were keen to let delegates in on a few priceless secrets regarding vehicle technology planned for 2015. we were also proud to introduce our new corporate identity and website, which we are delighted to say enjoyed a terrific reception.


‘on tour’ sharing business-efficient solutions

aidan presenting at rainham

B2B prize draw winnersAt the recent ABP Club B2B regional forums in England & Wales (at Newport, Rainham and Walsall) we ran a competition for a VIP Day out at the Palmer Sports Track Day at Bedford Autodrome.

ThedrawtookplaceonMonday21stMarchandtheluckywinnerofasevencardrivingexperiencewithfullhospitalityisBob mullinsfromAylesburyPanelcraft.

WeranaseparateprizedrawfortheStrathclydeforum.Theluckywinner,whowillenjoyamulti-coursediningexperiencefortwoattheAndrewFairlierestaurantatGleneagles,isKevin mcgeechanfromCentralGarage.

Congratulationstobothwinners.

aBp club forums provide ‘valuable pointers’ ‘credit crunch’, VaT, keeping courtesy car costs down


A new draft of the PAS125 standard was opened up for industry-wide consultation in early 2011, allowing bodyshops at long last to suggest changes to the framework.

just over four years since the Thatcham Bsi Kitemark (pas125) was officially launched at london’s Docklands, the number of accident repair businesses in the UK holding a Kitemark licence now stands at 816.

it hasn’t all been plain sailing over the four years. repairers have had their faith shaken as development of the standard seemingly ground to a halt during the well-reported legal case brought by sel imperial against Bsi, whilst the award of the same Kitemark standard to mobile repairers has angered some fixed-site operators. There are now two mobile operations – autorestore and nationwide mobile repair – that hold a Kitemark licence.

however, having settled the legal case in late 2010, on 14th february this year Bsi entered into an industry-wide consultation of the standard with a view to publishing an updated version of the pas125 framework in mid-2011. in the draft version of the new standard, almost every clause from the 2007 standard has been rewritten in an attempt to tighten-up the areas that have been open to misinterpretation or even litigation over the past four years.

During a six-week review period, the entire industry was invited to make comments on individual sections of the revised standard via Bsi’s Drafts website. in order to encourage the widest possible feedback from the industry, the aBp club circulated comments made by a selection of its member bodyshops to over 2,000 people, a move that almost certainly contributed significantly to the eventual 988 comments that were made on the Bsi website by the time the review

process closed on 31st march. This strength of feedback will

undoubtedly give the Bsi review steering group plenty of food for thought when they meet on three separate occasions to discuss all the comments in late april / early may. Bodyshops will hope that some of the frustrations they currently encounter when adhering to the standard will be cleared-up when the new standard is officially launched.

more positive news for Kitemark-accredited bodyshops was announced in march, during the aBp club B2B forums. Bsi stated that they would be marketing the benefits of using a Kitemark-accredited repairer to their 22,000 customers, many of whom run significant company-car and van fleets. This activity is likely to take place in the summer of 2011.

after a couple of very frustrating years for the industry, it is good to see the pas125 standard firmly back on the agenda and moving forward, although with what will undoubtedly be conflicting feedback on the draft from vested parties across the industry, there will be a lot of work to do before the 2011 standard is launched in a format that satisfies the whole industry!

improving the standard

1. stand out from the crowd

Don’ttellprospectiveclientsabouthowmanysprayboothsandcourtesycarsyouhave,orthatyou’reaqualityrepairer.Intoday’smarket,theseare‘givens’,sobeinnovativeasyoutellthemthetangiblebenefitsyouwillbringtotheirbusinessiftheyworkwithyou,andnotyourcompetitor.Focusonthingssuchashowquicklyyoucanrepairtheircars,howyoucanhelpthemcontrolthewholecostoftheclaim,andhowyou’lllookaftertheirpolicyholdersforthem.

2. give them what they want

Someinsurersarepresentlyfocusedonimplementingnetpromoterscoring(ameasureofcustomersatisfaction,whichcalculateshowlikelyyourcustomersaretorecommendyourcompanytoafriendorcolleague)andreducingcycletimes(thelengthoftimeaclaimisopen).Makesureyoudoyourhomeworkonwhatthesemeanandthatyourbodyshopcandeliverthelevelsinsurersarelookingfor.Rememberthatrepaircostisonlyasmallpieceoftheoverallclaimscostpie:whatcanyoudotohelpyourcustomerssavemoney?

3. don’t be confrontational

Thedaysofheatedtelephoneconversationsandengineersbeingejectedfrombodyshoppremisesarelong-gone.Insurersarelookingforminimalhassleandconfrontation,somakesureyourapproachtoinsuranceclaimsstaff–approvedandnon-approved–isco-operativeandcollaborative.

4. leave no stone unturned

TheABPClubIndustryYearbooklists40companieswithaGrossWrittenMotorPremiuminexcessof£1m,manyofwhomhavegrownonthebackofcomparisonwebsites.Thinkbeyondtheobviousnamesandapproachsomeofthesmallerinsurerswithwhomyoucangrowtogether.

5. the long game

Don’texpecttowinaninsureroverquickly.Manyhaveestablishednetworksandareloyaltothem,butsomemayhavespaceontheirnetworkiftheirexistingapprovedrepairercannotcopewiththevolume,orisunderperformingagainstexpectedservicelevels.So,don’tbeafraidtocommunicatewiththemonaregularbasistokeepyourself‘front-of-mind’,makingthemawareofwhoyouareandwhatyoucandoforthemforwhenthey’rereadytochange.

5 top tips togeneratemoreinsurancework

steve wright of Bsi


Solve colour mis-match problems in minutesit’s every refinisher’s nightmare. when the car is demasked, there is a slight colour mis-match. instead of costly rework, colour corrector from smart express can rectify colour matching problems and imperfect blends in minutes. even difficult silvers can be put right.

costing around just £5 per job, colour corrector comprises shade cards to identify the correct hue, i.e. slightly darker or lighter. a panel cleaner and a range of special aerosols that correspond to the shade cards. The product can also be used in a spraygun, if preferred.

To see a video showing how smart express colour corrector works, visit www.smartexpress.co.uk.

Something rivetingwith bonding and riveting a growing trend in automotive design, stanners equipment have introduced a heavy-duty riveting tool. The TKr riVeTer pnp90-Un 2.0 is a pneumatic/hydraulic tool for riveting and pressing out self-piercing and flow-form rivets in thin sheet metal, aluminium and steel composite structures.

leading manufacturers such as mercedes-Benz UK and Bmw UK already approve this equipment. it’s a universal tool with interchangeable heads to replicate the needs of

specific manufacturer requirements, therefore eliminating the need to buy separate tools. stanners are also the authorised repair and warranty service centre for the TKr riveting tool for Bmw UK.

A powerful polisher farécla have launched a heavy duty, electric rotating polishing tool that enables technicians to achieve consistent, quality results even when in use for long periods of time.

The hamach rh50 electric polisher operates with an optimum speed range of 700-3150 rpm and has a digital speed regulator and a two-position handgrip. in addition, it features a top handle for extra grip and comfort. The speed can be adjusted at any time during the polishing process.

Despite its power, it has a very low vibration level, just < 2.5 m/s². it comes with an extra long, 5m cable.

new developmentsNew developments in bodyshop tools and technology can help you repair vehicles to an even higher standard

we all love claims!

Following up on last year’s highly successful event, the second annual I Love Claims conference is being held at the Barcelo hotel in Daventry on 8th June 2011. Recognising the event’s unique ability to bring the worlds of body repair and motor insurance together, we at Circle have decided to exhibit at the conference, and are really looking forward to seeing our customers there.

with a theme titled ‘Don’t look Back in anger’, the conference has a star-studded line up of speakers from the motor claims sector, including rob smale (ageas), ian Thompson (rsa), mike Brockman (insure the Box) and philip Brailey (allianz). over 250 delegates including leading bodyshops, insurance claims professionals, accident management companies and credit hire organisations are already confirmed to attend. The the event is sure to be both informative and great for networking.

chris ashworth, managing Director of crashworth who hosts the i love claims conference said: “I am absolutely delighted by the progress we have made over the last 12 months since the launch of I Love Claims. The line up of speakers is something we are particularly proud of and I am sure their presentations will make for an insightful and enjoyable day for all delegates.”

chris continued: “It’s great to have Circle Leasing on board and looking to promote their brand beyond their traditional customer base, although with the vast majority of the UK’s leading repairers attending, I am sure there will be great opportunity to network with existing customers too. We are well on track to achieve our goal of making this year’s conference the biggest event in the motor claims calendar, and we hope to see you there on the day.”

chris ashworth, md of crashworth

describe briefly your role at aviva? my role as motor Technical manager has responsibility for design, implementation and measurement of technical standards, compliance, training and industry. it also involves developing technical standards that deliver the promise that the customer purchased when they took out insurance with the company. The compliance and training assists the company to measure where we are against our planned activity and assists us to close any gaps. The industry element involves representing aviva as a technical spokesperson on industry forums, steering groups and working parties.

what are some of the key qualities that you look for in your repair network? aviva have a very diverse and complex book of business, which includes motorcycles, caravans, light and heavy commercial vehicles and cars. The qualities that aviva look for from a repairer include essentially the ability to deliver against our criteria, which centres around cost, service and quality with a key emphasis on ‘most recommended’ resulting from our net promoter scoring.

what is your opinion of affinity groups? do they appeal to the UK’s biggest motor insurer? it is an interesting concept and if you had asked me to design a programme that was so diverse and get repairers to sign up to it five years ago, people would have thought i was mad, but it’s testimony to the progression and change in mood within the repairer communities that these groups have developed and are operating effectively across the UK. i am yet to be totally convinced that all of these groups can deliver all that they claim to be able to deliver. i welcome any who feel they can prove me wrong to contact me.

do you think referral fees should be banned? This is the question of the moment as it has now reached the level where our government are looking carefully at this

area. i have no personal view on whether they should be banned, but i am aware that we need to change the current model, which is normal in an ever-evolving industry such as ours.

do you think that repairers have a role to play in helping reduce personal injury claims fraud? personally, i believe society will make a difference and start to show more interest in this subject. everyone has a part to play in helping to eradicate fraud. it is an area of serious concern that we have established gangs of people making a living out of staging accidents, creating false claims for personal injury without realising the impact this aspect has on the price of motor insurance. if we all started to work together including motor insurers, vehicle repairers, independent engineers and mobility providers, i am sure there is a lot more that we could do to turn the heat up on these people to drive them out of business.

how does the provision of a courtesy car impact on the customer’s overall experience of having a car repaired? i remember many years ago, working in a repair centre when courtesy vehicles first came into play – the writing was on the wall then that this was going to be one of the most exploited free service offerings to impact on repairers and insurers. more customers complain about the courtesy car than complain about their vehicle when it is repaired.

finally, if you could change one thing in the industry, what would it be? if i had the ability to change one thing about our industry it would be our reputation. it is disappointing that despite all the work that has gone on in recent years to raise the standards within body repair, our industry is still looked on as an industry with limited or no standards. it frustrates me that career advisers don’t promote the industry to students to assist with attracting the right candidates who will one day lead this industry.

interviewadam murray, motor Technical manager, aviva


Quick fire questionswhat is your most treasured possession? my family.

what’s the most expensive thing you’ve bought recently? a kitchen.

what music do you like playing in your car? currently, i’m listening to adele, but i like rod stewart, motown and hall & oates.

what’s your idea of a perfect day? lying on a beach, dreaming of how to make my next million or taking part in a dog show at westminster or crufts.

“If I had the ability to change

one thing about our industry it would be

our reputation.”

Every month there are approximately 60,000 searches done on Google by UK internet users around the terms “Car Body Repairs” and “Accident Repair”, a figure which grows significantly when you start to throw in other terms related to our industry.

and, if you look in more detail by including a location alongside the search term, you can clearly see that members of the public are looking for services from a bodyshop in your area.

The simplest, almost instantly effective way to grab this traffic is to work on your listing in google places – google’s very own directory of businesses.

if you enter a search for a service in a location in google (e.g. “car Body repairs in Bury”), you should see a map pop up on the right hand side of the search results, containing red markers that correspond to search results in the centre of the page. These are the businesses from the google places directory that google believes are the most relevant for the business type that the user has searched for.

The great thing about google places is that it’s compleTely free to set up and manage your entry. it takes about 15 minutes to set up, and you get a google place page, so even if you don’t have a website, you can have a web presence on google.

To set up your Google Places entry, simply follow these six steps:1. go to www.google.co.uk/maps and

enter your business name to find your basic entry.

2. click on the ‘more info’ link to see your google places page.

3. click the ‘Business owner?’ link

4. sign-in (if you have a google account) or sign-up free of charge.

5. click on edit Business Details – to edit your basic business information, move your position marker on google maps (if it is wrong), enter a business description, choose the area you cover, list the

services you offer, and enter pictures, logos and videos to enhance the appearance.

6. click verify – here it will ask you to validate your listing, with the recommended method being via pin. enter this number and then you’re done!

driving more traffic to your bodyshop website


average monthly google searches performed by UK users

Broad search phrases used

Body shop 301,000 searches

car Body repair 8,100 searches

car Body repairs 22,200 searches

accident repair 27,100 searches

accident repair centre 12,100 searches

car Body repair estimates 590 searches

car scratch repair 6,600 searches

Dent removal 14,800 searches

car respray 9,900 searches

alloy wheel repair 18,100 searches

localised search phrases used

car Body repairs coventry 170 searches

car Body repairs manchester 210 searches

car Body repairs Derby 170 searches

car Body repairs nottingham 170 searches

car Body repairs Bristol 260 searches

car Body repairs london 390 searches

car Body repairs swindon 170 searches

car Body repairs Birmingham 260 searches

alloy wheel repair Birmingham 210 searches

car respray Birmingham 110 searches

accident repair Birmingham 210 searches

source: google adwords data – http://adwords.google.com/select/KeywordToolexternal

Chartwell in Derby is a stunning 30,000 sq ft bodyshop that specialises in repairing luxury vehicles and performance cars. They’ve won numerous industry awards and were ranked 12th in the Sunday Times best companies to work for in 2010. Here we quiz Chris Brightmore, Chartwell’s CEO, about changing technology, specialist services, investment in training and work volumes.

what is your work mix? we cover 11 manufacturers including mercedes, Bmw, maserati, Bentley, lamborghini and jaguar. audi cover 50% of our turnover, the rest is high end, sports and exotic.

are cycle times important when you are working on luxury, complex vehicles? we generally only get our cycle times measured when credit hire is involved. however, we measure it internally as it’s important we keep our cycle time down due to the large repairs we carry out and the cash flow required to repair high end vehicles.

what training is required for technicians working on marques like ferrari? at the upper end we are generally expected to allow five to seven man days training a year, per technician. apart from aston martin, porsche and mclaren, training will normally be abroad.

what are some of the specialist services you have invested in? we have been involved in carbon fibre for around six years but we have just increased our training and tooling to tackle more complex diagnosis of damage and to further extend our ability to repair carbon fibre. we have been involved with aluminium slightly longer and cover all brands for aluminium at a structural level. we continue to invest in all new material technology.

what changes have you seen in panel in the last few years? panel has become very challenging due to the complex material types and the mixture of these materials. we are bonding more and more, which is making the repair process very different from the old panel

beating trade. our jigs are utilised more for fitting of panels than straightening and we are finding that technical knowledge is a far greater requirement than hand eye skills.

what changes have you seen in paint in the last few years? paint has become more difficult for a number of reasons. The biggest issue is manufacturing use the minimum amount of material required and generally powder coat the clear coat leaving as little as 90 microns total material on the car. This is hard to replicate as a finish and also makes refinish hard in terms of colour blending due to the transparency of some of the colours. we also have matt finishes, ceramic clear coats, and 3-stage pearls to deal with more and more across all brands.

you were one of the first shops to get into smart repair. why did you decide to get out two years ago? The market became flooded with the man in the van doing it on a forecourt for a wage, this made it very unprofitable. it also conflicted our brand and our core values at the time. i feel it has a place but only as long as legislation allows it and if the repair doesn’t need to be 100% or require longevity. we do still offer smarT repairs but we sub-contract wheels and we carry out robust smarT repairs not the ‘flick some colour on it’ type of repair.

how do you measure customer satisfaction? we contact every customer and produce a service nps (net promoter score) and a recommended nps score. The technicians and front of house are all rewarded on the result. we manage our whole customer experience, tracking buying patterns and communication very closely. we also run a very closely monitored crm (customer relationship management) system to fully manage our database and customers’ experience.

what advice would you give to repairers on managing a courtesy car fleet? ensure you have a full support package from your supplier with well communicated management of fleet changes. look after the

vehicles, check them in and out, and invest in a robust process to ensure they are utilised. and remember they are a cost and need to make a return, they are certainly not free.

have you been hit by lower volumes? we have been hit with a reduction in smaller repairs but compensated by a growth in larger structural repairs. This has made our business operate differently and we have had to alter our staffing to meet these changes. we now have more panel, meT technicians due to this.

what new equipment have you bought recently? Body jig, aluminium dent puller, jig brackets, data server and new iT infrastructure.

what’s next in chartwell’s plans? To develop our specialist material/paint Division. we will also develop our other services and extend our market offerings. other plans include establishing our mclaren reputation in the industry and further developing our marketing function so we can take on work from outside the industry. we also have extended ourselves into another market, which isn’t related to motor vehicles in any way, but we are not ready to announce what that is yet. Busy, busy!

chartwell profile prestige vehicles, high-performance repairs


chris Brightmore, ceo

“We manage our whole customer experience... very

closely.”

perhaps the first serious group to emerge was fix auto, a canadian franchise concept which first entered the UK market in 2005. fix auto operates differently to other groups with members sharing a common management system and branding, whilst operating under a legally binding franchise agreement with the support of head office infrastructure.

after seeing rapid growth in terms of numbers of franchisees in the past 12 months – now 64, including some high profile bodyshops – fix auto announced the appointment of ian pugh as managing Director in january this year.

around circle caught up with ian to find out a little more about his vision for the future of the fix auto UK network.

What prompted you to leave Audatex and join Fix Auto?The opportunity to take on greater responsibility and the challenge of the role.

What do you want to achieve in your first 100 days in the job?To shape the fix auto proposition in readiness for promoting to the insurer, fleet and accident management markets.

How does Fix Auto differentiate itself from other bodyshop networks?Being a fully branded legally binding franchised entity is the key differentiator. it means that customers can deal with fix auto UK as a single point of contact knowing that the network is being constantly monitored through Kpi and net promoter score csi measurement. furthermore, a full time operations team managing Kpi’s, identifying training needs and integrating into performance in estimating training, coupled with financial analysis of our

bodyshops to create a sustainable model. i’d say that’s unique in the UK market!

How many members do you have? What is your upper ceiling?currently 64 with an upper limit of 150 - possibly more depending on customer needs.

How do you provide group-level management information?we require franchisees to use the autoflow bodyshop management system. performance and Kpi data is then collated, compared and contrasted on fix auto’s own bespoke Dashboard system using cloud technology.

Which geographical areas are Fix Auto looking to expand into during 2011?london, scotland, east anglia, south east and central south.

What has been the response from insurers and accident managers to your rapid growth during 2010 and early 2011?considerable interest and an appetite to understand the single point of contact proposition, best practice and UK scale.

How does Fix Auto approach manufacturer approvals?most franchisees have manufacturer approvals and some are dealer bodyshops. while we encourage manufacturer approvals, our initial proposition is aimed at the insurer, accident management and fleet markets.

What is Fix Auto’s view of the PAS125 Kitemark?100% supporter of pas125 as a network operating standard which is a benchmark required by the majority of motor insurers. it’s also an

interviewian pugh, mD at fix auto UK


Ian Pugh, Managing Director of Fix Auto UK, career profile:

• HeadofClientRelationships-AudatexUK

• OperationsManager–AllianzUK

• MotorEngineerManager–Aviva

• NetworkDevelopmentManager–Aviva

• MotorEngineer–Aviva,DirectLine,RSAGroup

• VehicleTechnician–Inchcape

The last two years has seen the emergence of a number of independent bodyshop networks in our market, and their growth and positioning remains one of the key market trends in 2011.

industry-wide recognisable means of underpinning brand consistency.

Has Fix Auto won any national repair contracts, or are you concentrating on setting the network up first and foremost?scale is our no.1 focus, but scale is also driving interest from customers. so yes, dialogue is taking place.

Is Fix Auto involved in group procurement?yes, but with the exception of autoflow, none of the arrangements for paint, parts, materials and services are mandatory at this time.

Do you have any plans to recruit further staff during 2011?absolutely. scale drives the requirement for support. we have just announced the appointment of another operations consultant and we have a recruitment advert running to search for talented people to join our team

We’ve noticed a number of your members are starting to move away from their original brands and towards Fix Auto. How far down the road are you towards branding the whole network, and is there a deadline in place?Branding is key to the overall appeal and success of the network. The branding deadline is three months after signing the franchise agreement.

Do you foresee Fix Auto becoming a retail (direct to consumer) brand, or are you staying focused on B2B?The fix auto proposition is very much based on B2B, although the UK is driving the need for a consumer-based approach.

How are decisions made within Fix Auto? Do you consult with your members?The network currently has seven regions and these hold meetings three times a year. The regions then nominate a franchisee to represent them on a national advisory committee which then helps shape the network proposition.

How does a bodyshop become a member of Fix Auto? There are rigid requirements based on bona fides, branding, pas125 and autoflow. But perhaps the greatest requirement is “attitude”. They have to want to “buy in” to the fix auto proposition and this becomes exposed during the audit process.

What three things are Fix Auto committed to as the proposition develops?1 - scale: UK coverage.2 - consistency: Brand, pas125 and mi data via common bodyshop management system.3 - Best performance: Kpi, best-practice csi measurement and bodyshop profitability.

interviewian pugh, mD at fix auto UK


teaming up with hyundaiWe are pleased to announce our partnership with Hyundai - one of the most talked-about car makers in the world. Hyundai are a progressive company offering European design and engineering, combined with Korean reliability and cost control; Hyundai are the new kids on the block with ambition and wealth.

They have headhunted the best talent to help them compete in local markets worldwide and achieve their objective to be one of the leading car manufacturers in the world. it’s no coincidence that hyundai’s r&D headquarters are in russelsheim, germany, or that ex-audi, Tony whitehorn is now managing director of hyundai’s UK operations.

hyundai, who were a relatively unknown brand five years ago, are now producing premium models at an accessible price aimed at a european audience. The scrappage scheme helped hyundai establish a foothold in the UK; They sold a staggering 43,947 new cars under the scheme which saw their share of the new car market rocket from 1.8% to 4.2%. They now want to maintain this momentum and are keen to form a strong alliance.

we looked at hyundai in 2009, decided to partner with them in 2010 and our relationship has been growing ever since. The european influence is coming through with a germanic touch. They offer bodyshops the opportunity to have a courtesy car with a higher specification at a price that remains competitive against less equipped models.

The i20 is actually bigger than the ford fiesta with a number of enhanced features. aimed directly at the biggest selling sector of the UK car market, the five seater i20 offers drivers more of everything in the supermini sector. it has enhanced functionality, greater levels of luxury, convenience, safety equipment, and engaging handling from its all-new chassis. it also benefits from low co2 emissions and high mpg.

hyundai are not in there yet but in no time the company is sure to be in the top 10, and their sights are clearly on being number one.

The Fix Auto UK proposition:

• Singlepointofcontactforcustomers

• Centralinvoicing

• Centralprocurementincludingparts,materialsandservices

• TailoredKPIsdevelopedinconjunctionwithinsurerandaccidentmanagementcustomers

• Onestopshopforvehiclesupto5tons

• Totallossavoidanceprogram

• Sharedresourcesbetweenfranchisees

• Launchofstandardoperationsmanual

• Focusonrepaircostreduction

“Branding is key to the

overall appeal and success of the network”

“The network is being constantly

monitored through KPI’s and NPS.”


Don’t be too disappointed if you entered our prize draws at the ABP Club roadshows and didn’t win, because here’s your chance to enter our latest competition – to win a stylish Apple iPod shuffle.

Tocelebratethelaunchofournewbrand,we’vecreatedalittlequiz.to enter our draw, all you have to do is look at the logos below and tell us which was the world’s biggest brand in 2010(asdeterminedbyInterbrands),[email protected].

Makesureyousendyourentryinbefore22ndJuly2011,whentheprizedrawwilltakeplace.We’llnotifythewinnerbye-mail,andtheirnamewillbepublishedinthenexteditionofAroundCircle.

The internet continues to change the way businesses communicate with their customers at a phenomenal pace.

whilst 12 months ago, things like social media, blogs, podcasts and video streaming seemed infinitely more relevant to celebrities than to bodyshops, these tools are fast becoming more and more important in the way we talk to one another, and how we get our message across.

Traditional communication methods such as direct mail, advertising, pr and even e-mail no longer ensure that your audience will hear your marketing message. in today’s internet-enabled age, you have to use every available communication channel to make sure you reach your entire market.

here at circle, we’re keen to keep at the forefront of these technological developments, to ensure that our key messages are communicated to both existing and potential bodyshop customers in a clear and timely fashion.

with video streaming, a digital magazine, a Twitter feed and a blog already launched in 2011, plus more exciting developments planned for the summer - including podcasts, a youTube channel and a linkedin profile - you’re guaranteed never to be far away from circle leasing’s latest thoughts and developments.

innovations in communicationmultimedia in the workshop

Brand new Brand competition

want to win a new clip-and-go ipod shuffle?

Here are just three of the ways we’re now using new-media to communicate with our customers:

Video streaming working in partnership with Byteback group, we’ve been filming business-related presentations, customer ‘vox-pops’, and interviews with the circle management team to deliver thought-provoking information to you, at a time entirely of your choosing. on our website, we’re already hosting a series of videos shot ‘on-location’ at some of the industry’s leading bodyshops, and we have additional clips in production to keep you coming back for more. See www.circleleasing.com

Twitter we use Twitter to communicate useful information to our ‘followers’, including our latest stock and offers, as well as alerting them to news and events that may be of interest. The beauty of these small snippets is that they’re instant, very easy for our customers to digest, and help to keep our website fresh as they are fed through to our homepage. Follow us @circleleasing

Blog we’ve launched a blog as a way of communicating our thoughts and opinions on everything that’s going on both inside and on the periphery of our sector. it’s a great way of sharing the thoughts of different members of the circle team on things such as technological advancements, changes within our company, and the state of the market. To read our latest blog see: circleleasing.blogspot.com

danny harris, fleet services manager

filming a vehicle appraisal

circle leasing ltd europa house, Barcroft street, Bury, lancashire Bl9 5BT Telephone: 0800 505 3737 | fax: 0800 505 3744 | [email protected] | www.circleleasing.com

produced by circle leasing marketing please contact 0161 763 8772 for more information. © circle leasing ltd 2011. printed on recycled stock.

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