February 2023 ICDP NVS webinar: Learning from the best practice approaches in demand management proven in mainstream retail

As carmakers begin to stabilise supply, the need to better manage new vehicle supply and demand has never been so high on the agenda. The switch to agency by some carmakers will only intensify attention on balancing supply and demand, as those carmakers that fully implement this strategy become responsible for the ordering, ownership and pricing of new car pipelines and inventories.

And beyond best practice supply system design and management - where carmakers building in Europe have considerable experience and have recently embraced the rediscovery of their own experience and capabilities - lies the more novel and challenging task of managing demand in a more dynamic and active way. Compared to other retail sectors, the car industry has been slow in applying integrated pricing, stocking and assortment planning tools, and this lack of granularity has meant that there are also gaps in activity around communication of price, product, and service offerings in a tailored fashion to individuals.

This webinar included:

• Summarising best practices in supply, where ICDP has almost 30 years of experience in supporting carmakers improve their supply strategy

• Exploring demand management, including areas that in other retail sectors are termed as

o   dynamic pricing

o   category management

o   ranging and assortment

o   and data driven personalised marketing (tailored, targeted individualised and segment vehicle offerings via social media and more traditional marketing channels)

• We concluded by summarising the thinking, the systems, tools, and processes that are applied in other sectors to integrate these activities, and consider the learning that can be applied to managing supply and demand in new vehicle sales channels

The presentation shown plus some extra slides with speaking notes can be downloaded below, also a link to the live video recording: