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Iveco sets up good relations package

12th August 1999, Page 16
12th August 1999
Page 16
Page 16, 12th August 1999 — Iveco sets up good relations package
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Which of the following most accurately describes the problem?

IM by Toby Clark

lveco Ford says customer relations don't end with selling the truck—and a positive relationship with the operator relies on efficient provision of spares, servicing and roadside assistance.

• Aftersales

'Aftersales is not really a sexy subject'. Ray Bayfield is Iveco Fords director of customer service, and he's the first to admit that his speciality is not immediately interesting. But he's keen to convince truck buyers that aftersales is the ingredient that sets a truck manufacturer apart. "As far as I'm concerned, as an ex-operator, a lot of what we do is not new, but the way we do it is different.'' Bayfield believes manufacturers need to recognise a significant change in the way operators buy trucks: The thing that has changed since my early days as an operator is that then you bought a truck and assumed the responsibilfty for it—and the risk. They are now trying to offset risk, and are buying a package.'

This is why spares provision, on-the-road assistance and dealer training are vital. hien° is attempting a European approach, using all the tools at its disposal: "The thing that has brought Iveco together is IT and technology— we could lift our people to any other site in Europe and they could still do their job. Its fair to say the !yen° dream is coming to fruition—now we have common European products, and a uniform approach to service."

Another big thing that's changed is the life cycle of vehicles. Heavy truck life cycles have shortened, and • we've encouraged that as manufacturers. I think we should perhaps move towards longer life cycles. We, as an industry, have to start selling heavy trucks— particularly tractors—on a four or five-year contract, This moves the risk down the supply chain—and dealers are aware of this.'

Bayfield's job is not just to ensure Iveco Ford is dealing with customers effectively, but to get the message across to dealers as well: "The whole system relies on the dealer network."

For example, spares supply relies on the middleman: "Dealers have to do their bit in selling parts-60% (by volume) of Iveco spares are sold through the front desk of a dealer.' Again, information technology is essential for smooth running: Supermarkets have an advantage: if a housewife can't buy a cabbage, she might buy a cauliflower—we can't switch lines.'' While Bayfield is keen to use the latest technology, he sounds a warning: 'You must not disregard the experience and knowledge you have—you must build it into the system."

• Customer first

Iveco Ford recently undertook a survey of parts and service provision called CLASS—the Customer Loyalty And Satisfaction Survey.

Keith Armstrong considers customer perception was not based on reality: 'They thought availability, price and quality were not as good as they actu ally are. We wanted to move that perception nearer to reality—well do this by giving guarantees." A scheme called Customer First is intended to pat a number of those guarantees into practice: • If a part is not available through a dealer within 48 hours it will be supplied free of charge; if a like-for-like part is available cheaper, Iveco Ford will match the price; All parts come with a twoyear warranty, if fitted by a dealer.

Iveco's UK aftersales HQ is at Winsford in Cheshire, where 25,000m' of tent-like warehouses deal with 50,000 different !veers Ford parts, and another 30,000 Seddon Atkinson parts. A new stock control system. ELITE, keeps one stock list for the whole of Europe, and will allow parts to come from each of Iveco three giant Continental warehouses. Winsford receives 12 trailer-loads of stock items each week, plus one urgent" trailer each day— Italian haulier Lannutti makes the 26-hour trip from Turin. Customer First also promises also apply to Iveco Fords Assistance Non-Stop roadside scheme, and to dealer-based servicing: • if assistance is required within 20 miles of a UK dealer, it will be on the scene within an hour—or the owner will be paid £30. However, this does not apply within the M25!

w Iveco Ford promises a punctual scheduled service or repair; if the vehicle is not ready at an agreed time the dealer will pay £20 for each extra hour—up to £100.

Iveco says the average time from calling out Assistance NonStop to the completion of the job is 112 minutes—and that there were only six claims for late call-outs in the first half of the year.

Bayfield says: in real operational terms our 'competitors' include congestion and the expectations of the customer."

And Iveco's Turin HQ occasionally sends 'Mystery shoppers to UK dealerships to see how customers are received. 'We're aiming to increase accountability at dealer level.'

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Locations: Turin

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