Jaguar Land Rover's German dealers complain that the automaker is not doing enough to help them boost sales as they try to bounce back from the coronavirus pandemic, the microchip shortage and the effects of Brexit.
"Retail lacks guidance in the form of clear short- medium- and long-term strategy [from JLR] for both brands," Rolf Weinert, a member of Germany's JLR dealer association, said in an interview with Automobilwoche.
Despite large gains in sales in the first four months at many automakers compared with the same period last year under lockdowns, Jaguar sales fell 34 percent in Germany. Land Rover fared better, with registrations rising 6.5 percent through April, according to data from the KBA motor transport authority.
JLR told Automobilwoche that despite difficult conditions in the market, it is supporting its dealer network in Germany with measures to help them secure liquidity in the short term, and providing first and second-quarter volume bonuses.
Additionally, JLR said its German market chief, Jan-Kas van der Stelt, is committed to finding individual solutions to help support dealers investing in raising brand awareness.
The automaker is currently introducing its new corporate identity (CI) to retailers in Germany, which can involve investing millions of euros, even for smaller businesses.
Weinert said some dealerships have already made large investments to implement the new CI. "Most JLR partners are about to implement it or have started to do so," he said.
Dealers say their problem are made worse because JLR is unable to provide hard numbers for medium and long-term planning, which can affect retailers ability to secure bank credit for investment.
"The retail trade needs realistic market planning for the next few years," Weinert said.
JLR's new electrification plan brings many uncertainties and is putting dealers under further pressure. The company said in February that Jaguar will become a fully electric brand by 2025, while Land Rover will add full-electric models and more hybrids.
