Our business model
Our business model brings together our core strengths that enables us to leverage our unique proposition in attractive, growing markets
STRONG GLOBAL POSITION
We have strong positions in 29 countries around the world. Our global portfolio is a fundamental strength of the Group, with a healthy balance between developed economies and emerging markets. We have a leading presence with our high-margin, capital-light distribution model in small, medium and emerging markets where we have secured strong positions with our marketing expertise, customer-centric approach and technical capabilities. This is complimented by our scale retail presence in medium and large markets with our strong portfolio of premium brands.
Strong in Asia Pacific, Selective in Emerging Markets, Scale in Developed Markets
LEADING OEM BRAND PARTNERSHIPS
We have strong and long-standing relationships with the world’s leading OEM (Original Equipment Manufacturer) groups. These OEMs are the world’s main drivers of automotive innovation, new fuel technologies, powertrain developments, safety breakthroughs and cutting edge engineering. Our partnerships provide us with an attractive line-up of models across the world. And by consistently focusing on the core needs of our OEM partners, we seek to build and deliver ever-deeper relationships, outstanding brand representation and strength in market share.
Long-standing relationships with the world’s leading OEM groups
DISTINCT ROUTES TO MARKET
Market size, potential and dynamics determine the specific operating model we employ from country to country.
In small and medium sized markets, as exclusive Distributor, we manage the entire value chain post the factory gate for our OEM partners. We are the OEM’s brand custodian in these countries, responsible for everything from importing vehicles and parts to all sales and marketing activities, including the appointment and management of the third party retail network. In larger, more developed markets, such as the UK, we operate our Retail model, with a focus on delivering a superior customer experience online and in our retail and service centres.
DIVERSIFIED REVENUE STREAMS
Five distinct value drivers support Inchcape’s revenue and profit performance throughout the economic cycle.
We leverage opportunities from the New car market by selling New vehicles, Finance and Insurance products. And we simultaneously take advantage of the defensiveness of the growing global Car Parc (the total number of cars on the road) through Used vehicle sales, Aftersales Servicing and Parts. Maintaining this balance prepares us well to respond to the full array of different market conditions and trends at play in all our local markets across the world.