Santander Consumer Finance claims that it will “reduce margin costs and maximise sales” for used car retailers with the launch of its new Your Red Car online marketing platform early next year.
The motor finance specialist said that its new platform has been designed for dealers looking for a more cost-effective way to market their cars and will allow vendors to advertise their vehicle stock free of charge.
SCF said that the recognition and marketing impact of an existing high street brand, a fully-integrated online finance offering and a charge levied only when a car is sold are among the key points of appeal for the new Your Red Car platform.
An onboarding programme for existing SCF partner dealers is already underway, having started at the beginning September, and will continue through to the end of the year.
SCF commercial director, Stewart Grant, said: “We are one of the UK’s leading independent finance companies with over 15 years of experience in the industry.
“This in-depth knowledge has helped us create a new, truly innovative way of doing business in the automotive sector.
“SCF recognises the challenges our dealers have faced, and we are looking to use digital innovation to help our partners.
“We are bringing together the key ingredients for a successful marketplace introduction, namely a solution that is backed by a high street brand; has access to 14 million customers and addresses a demand for a change in the market.
“Through Your Red Car, dealers will be able to reduce margin costs and maximise sales – showcasing our commitment to the automotive financial services sector and our dealer partners.”
SCF joins a marketplace considered by some to be over-populated by online used car marketing platforms.
Last month the latest addition to a ever-growing crop of Auto Trader rivals, YesAuto, launched in the UK.
Earlier this year AM took a deep-dive look at the explosion in different online automotive marketing platforms now available in the UK and explored how this very crowded marketplace is affecting retailers.
SCF highlighted a recent pan-European survey carried out by Autovista found that three-quarters of dealers have been already controlling costs – or trying to do so – by decreasing advertising, however.
The survey of 400 retailers across its European market territories back in April reported that 60% of franchised dealers had decreased their advertising compared to 48% of independents.
SCF believes that it will be able to offer a value-driven proposition to retailers which could capture a share of that more-cost conscious trading environment.