Whilst all of this seems true, I feel like the wider question we should be asking is; Why are new car buyers forced to purchase through a retailer instead of direct from the manufacturer (cutting out the middle man and reducing the price)? Ford as an exception do offer this via 'Trust Ford' retailers and Tesla operate exclusively in this fashion, but the majority of brands in the U.K. aren't available direct from the manufacturer and, as retailers have staff and premises costs etc, this in turn must make their products more expensive to prospective customer. Exactly what benefit does a franchised retailer bring to the new car purchase process that makes it worth paying for the middle man? What is the actual cost for their service new car customers are paying? And how can we tell if it represents good value for money?
It's probably to do with the amount of capital required to establish such premises in the first place. Why bother shelling out millions to build a network of dealers yourself when you can just give a license to Arnold Clark to sell your cars for you?
This sounds like at advert for Auto Trader's biggest clients, passed off as a documentary. Several of the larger car retailers also own some of the horrible "We Buy Any Car" clones who specialise in sharp practice. In these days of Internet reviews and increased awareness of consumer safety, it's a shame smaller traders are getting squeezed out and competition is being reduced. (P.S. I am not a used car dealer!)
