Executive Briefings
ICDP’s Executive Briefings - high-level summaries of our insights on the full range of programme topics - are available for all to read and download. If you make use of them in your own material, please remember to attribute ICDP as the source.
Executive Briefings from 2021, 2020, 2019, 2018 and 2017 are also available to download.
Can carmakers sustain the profitability delivered by short supply?
Ben Waller 08/22
Short supply has delivered record profits for carmakers and dealers – via long lead times and low inventories, record high levels of customer Build-to-Order, record low discounts and reduced marketing and promotional costs. This success has, let us be frank, been delivered not by carmaker strategy but by external forces, a bullwhip effect at the global macro-economic level that was caused by the pause and resurgence in the global economy during and post covid, exacerbated by subsequent global trade tensions and rising materials prices.
New freedoms, but within new limits – the emerging implications of the new VBER
Dr Andrew Tongue 07/22
Over the past couple of years, we have tracked review and replacement process of the European Commission’s Vertical Block Exemption Regulation (VBER), the competition rules that govern distribution agreements. In this Briefing, we summarise some of emerging opportunities and constraints of the new framework for the automotive sector. For members only, there is also a lengthier special report on this topic.
What role for carsharing in major capital cities?
Ben Waller 06/22
Carsharing, a form of short rental where a driver typically picks up a car for a few hours or maybe up to a couple of days, has been around in some form since the 1980s, but has now become a familiar sight in many European cities. At ICDP, we’ve been looking at the emerging mobility services over the last decade, with carsharing as a significant car-as-a-service business model within what is a very diverse and differentiated spectrum of mobility offerings, and at how the various iterations of providers and formats have evolved.
Proven best practices for a new car margin scheme to support pricing and supply reform
Ben Waller 05/22
The margin scheme is core to supporting price management for any brand selling in Europe, especially those with a complex model offering and undertaking reform of supply and dealer contracts. Our work in this area has identified some good practices where the schemes were reportedly successful in delivering on their objectives.
Impact of car parc electrification on the 2030 aftermarket
Christophe Guillaneuf 04/22
The future R&M aftermarket volume splits by age and fuel type are important dimensions to consider understanding how the aftermarket will ‘electrify’. We will also be using them as our starting points for the next phase of this research, where we will go on to look at the impact of electrification on the market shares of different types of repairer.
Automotive distribution network structures: outlook to 2030
Pascal Wetter 03/22
Intensifying pressures on the sector from the general market environment, and fundamental changes to customer behaviour are both key drivers to ongoing dealer investor consolidation in Europe and elsewhere around the world. Investor consolidation in turn has a significant impact on network restructuring at the franchise point level, which has increased continuously over recent years. Driven by the need to amend existing structures to save distribution costs whilst meeting customer expectations and responding to technology trends, car manufacturers are reviewing existing structures in the search for greater network efficiency, whilst dealers in turn are looking to exploit group level synergies.
Preliminary summary of the impact of the Russian invasion of Ukraine on automotive supply chains and distribution
Ben Waller 02/22
We all are witnessing in real-time the horror and terrible suffering that is being inflicted upon Ukraine with mounting anger, resolve and despair. In such circumstances, talking about the consequences for the automotive industry feels inappropriate. However, this war is delivering significant and long-lasting impacts well beyond Ukraine and Russia that those within the industry are already having to grapple with – both the immediate consequences, and the potential longer-term implications.
European Top 50 Dealer Groups: pandemic shapes results, but consolidation rolls on regardless
Peter Bailey 01/22
Each year, we produce a Top 50 European dealer group ranking normally published in Automotive News Europe in October/November. The data reflects the status for the prior year, so normally based on calendar year or fiscal year (ending March) results. The full table is shown at the end of this briefing, with the following commentary intended to highlight some of the trends. The data includes some estimates but these have been validated where possible, and any errors are unlikely to be of a magnitude that would result in any significant change in the ranking or our conclusions.