Our client, Ford, wanted a way to introduce its finance package, called Ford Options, into South Africa.

Ford Options is based on a PCP (personal contract purchase) finance model, which has been a major success story for the car finance sector in recent years, but is new to South Africa.

Introducing PCP finance to South Africa (Ford)

The Challenge

Our client, Ford, wanted a way to introduce its finance package, called Ford Options, into South Africa.

Ford Options is based on a PCP (personal contract purchase) finance model, which has been a major success story for the car finance sector in recent years, but is new to South Africa. PCP financing incentivises customers to upgrade their vehicle every few years, so tying them into a manufacturer and helping with trade cycle management.

PCP is also a way of making car ownership more affordable in countries where credit is a relatively new concept.

The Solution

Ford engaged RTS Group, through our sister company FIMTRAC, to come up with an innovative way of not only educating the dealership teams about PCP, but to open their customers’ eyes to its potential as a means of owning a new car.

Our solution was to introduce extensive training for the dealership teams, and then to support them in organising launch evenings for invited customers, with the concept ‘A brand new way to buy a brand new Ford’.

We started by running a pilot of our programme, Selling Ford Options, at ten dealers in the Johannesburg, Durban and Cape Town areas, and these were a huge success.

The event was a complete success and the potential for at least ten Ford Options vehicle sales were set up.

We then rolled out the training to other dealers, which proved so popular that dealers were flying staff in to attend the training. The sales teams really engaged with the training and were very enthused about encouraging customers to take up Ford Options.

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We then turned our attention to helping dealers run launch events for customers, using all our experience gained from similar launch events in the UK and Europe. We provided expert presentations, with interactive Q&As, while food, drink and musical entertainment added to the convivial atmosphere. At one launch held in in Durban, 70 customers were invited but 120 arrived to hear about the new way to drive a new Ford in South Africa.

At a Johannesburg dealership, following successful management and sales staff training sessions on Ford Options, select customers were invited to a launch presentation to explain how the product works, and how they could enjoy buying a brand new Ford in a new innovative way. The event was a complete success and the potential for at least ten Ford Options vehicle sales were set up.

The Results

Ford were delighted with the way sales teams engaged with the Ford Options financing model, and how they passed this enthusiasm on to customers, who were then encouraged to take it up. Eben Swart, Area Sales Manager, Ford Credit South Africa, said: “The overall experience has been brilliant with dealer principals and company directors commenting that this is the best training session they have ever experienced.

The product is certainly going to take our market by storm but I believe it really makes a difference in the way that you have been presenting the material to all of us.

We used our experience of PCP in the UK and European market to introduce Ford Options to the South African retailers…

“Thank you to you and the team for the training supplied to date, I believe it could not have been done any better by anyone else.

“Note that our region (KZN) is ahead on actual Ford Options contracts nationally and I believe it is because the dealers bought into the concept 100% and the training supplied.”

John Brannigan, FIMTRAC managing director, said: “South Africa is a new market for PCP financing, but there is a tremendous appetite for the concept of PCP within this fast-growing economy.

“We used our experience of PCP in the UK and European market to introduce Ford Options to the South African retailers and their customers, and it has been a huge success.”

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