Dealer Insight: Philip Lyons, Pat Kirk Mazda

Pat Kirk Mazda is no stranger to awards ceremonies. In 2022, the dealer was awarded the Customer for Life accolade at Mazda’s Annual All-Stars awards. Most recently, the dealer was named Mazda’s UK Dealer of the Year and Number One Sales Dealer.

Philip Lyons, general sales manager at Pat Kirk Mazda, is a sales veteran. He has been with Pat Kirk for 25 years and with Mazda for 15 years. There is little he has not seen on the retail front over a quarter of a century. “A lot of work has gone into getting us this far, any sort of recognition is greatly appreciated,” he says.

“It’s wonderful to get these accolades. With sales up around 12% on the year before, the dealership continues to experience success and expects to continue in this way although sales have tapered off.”

The sales team at Pat Kirk Mazda have extensive experience. One sales team member has been at the dealership for 17 years while another has been with Mazda for 15 years. But how does Lyons motivate the team to consistently deliver sales success?

“They are not hard to motivate. We are a small-knit team here, we work very closely together and we all want the same outcome. There is no carrot that I have to dangle, they are well-motivated people who want to do the best that they can.

“Obviously, that helps with repeat business and knowing your customers, and knowing who to contact and renew. The team are very experienced and customers like them, they’ve built a rapport with customers which helps greatly.”

At Pat Kirk, the sales and aftersales team do not work in silos. Each is aware of the contribution the other brings and that they are stronger working together rather than apart.

“It’s not just the sales team it’s the aftersales team that play a big part in everything that we do, looking after the customers when they come through that door and making sure we do everything possible to try and retain them,” he says.

Another important aspect of providing customers with an enhanced experience is keeping up with digital trends.

“The CitNOW videos we do play an important role. Anybody who sends an enquiry, the first thing we do is send them a CitNOW video of the car. We will do a couple minutes of presentation and walkaround of a used or new car and send it through to them. That’s kind of our first port of call with anyone who has communicated with us.”

New and used

Last year, the used car market was impacted by price volatility with dealers hit by a 10.5% decline in values between October and December. So, how did Lyons deal with a decline that goes direct to the bottom line? First of all, Lyons believes the worst is over.

“I think used car sales have plateaued, we did see at the end of 2023 a rapid decline in used car prices, even at the start of 2024 but they have stabilised. They are pretty much nearly where they should be in terms of values and I cannot see that dropping away any further, if anything there may be a slow incline for a while. The used car market is stable at the moment with regards to pricing and hopefully it will continue with that.”

He stressed the importance of quickly turning stock and of closely monitoring prices. “What might once have been the right price might be the completely wrong price today, so you just have to keep monitoring.

Obviously, you try and negate any losses as best you can on particular vehicles that have been affected but thankfully this hasn’t been too bad. Our stock has been okay and we have been able to manage our way out of that.”

So much for used. What’s his take on the current market for new cars? “The market is tough but there is still business out there to be had. We hope the manufacturer will get programmes correct so we can sell new cars, generate the used ones and everybody can be profitable this year. But it will be tough.”

Evaluating EV sales

Mazda, like all carmakers, must tackle the challenge of the transition to electric. Lyons says EV sales are limited and suggests this is the case with its Ford and Nissan businesses as well, not just Mazda.

“We have to communicate better with customers to try and grow that. In five or 10 years we need to be at the forefront of that because that’s where we are heading. There’s a lot of bad press out there about EVs and unfortunately some of it may be justified and some maybe not.”

The dealership is located in in the heart of County Tyrone, Northern Ireland. The charging infrastructure in the province has come in for sharp criticism from, among others, the National Franchised Dealers Association (NFDA).

“In this part of the world, we are very rural and until we get our infrastructure it’s going to be a hard sell for people. The only people interested in EVs are those who can charge at home because infrastructure is too poor to be solely reliant on charging stations,” he says.

So, Pat Kirk Mazda, an award- winning dealership and it is clear to see why. Great relations with its customers, strong local knowledge, paying close attention to pricing and stock turnover, sales and aftersales working together, appreciating the other’s contribution. Teamwork.