Colin Christie

DEALERSHIPS are here for the long haul and though Subaru Australia is expanding its pop-up shopping centre retail presence, its managing director said the network would be increased in recognition of the strong role they play for customers.

Asked what the dealer network would look like in 10 years time, Subaru Australia managing director Colin Christie said it would be different “and I’m not sure how different that will be”.

“From our brand, we see a huge role for the dealers to play. At the end of the day it’s about the customer experience and relationships and building that to provide the service,” he said.

“As much technology we can provide, at the end of the day, the customer is still important and needs the dealer who can provide the services and understand their needs.

“So for us, we see them for the long term.”

But Mr Christie said the answer for dealerships of the future would not necessarily include larger buildings.

“We have had a situation where dealers have come to us and asked if they could increase the size of their showroom. We said ‘no’.

“These businesses were already operating well and we didn’t think that an expansion would necessarily improve services.

“I don’t think that the trend is to bigger showrooms. The future is more about smaller showrooms and offsite service centres.

“For example, I see some dealerships going towards ground floor showrooms with multi-storeys above of offices and apartments.”

Mr Christie said Subaru’s focus is about its customers, creating options and “getting as close to the market as possible to try and understand what they want. Then we’ll provide the solutions.”

“I think every brand will morph over the next 10 years and things like shopping centres and mobile servicing and more flexible test drives and even just experiences in-store shows there’s a lot of work going on behind the door.

“We were one of the first globally to put cars online but in doing that, we were very clear with our dealers who we see as having a significant and ongoing role.”

Subaru Australia is planning expansions to its dealer network following the move to make its shopping centre outlet in the Melbourne suburb of Werribee into a permanent store.

Mr Christie said one important focus would be in rural areas.

“Customers in rural areas need the right level of service so we see an important role for dealers in regional areas,” he said.

“There’s a couple to go into metro areas in the next few years but it’s not going to be a massive expansion of our footprint because it’s already reasonably close to where it needs to be. Now it’s more a case of ensuring it fits customer needs.”

Subaru is preparing to add up to two dealers in rural areas but has yet to make a public announcement.

In the regional area, it has changed ownership of its dealership in Tamworth to Woodleys Motor Group, “though that is not a new dealership”.

“The other one was in Petersham. The old Sydney City dealership has been bought by Suttons and moved to William Street, East Sydney.

“This is all about trying to understand the customer in a metro dynamic.

“There’s a few others on the drawing board.”

By Neil Dowling