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RAC Dealer Network will actively target franchised dealers for the first time from 2018 as the approved used car and warranty specialist broadens it reach outside of the independent sector.
The business currently has 1,300 dealers in its network made up independent retailers and used car supermarkets. However, it said it had attracted interest from some small franchised outlets representing brands without established manufacturer-backed approved used car programmes.
“In targeting dealers, we have long worked under the assumption that franchisees are less interested in working with us and accessing the credibility of the RAC brand and its products because already they have the backing of major motor manufacturers,” said Sean Kent, sales director at the RAC Dealer Network.
“However, we have had a number of franchise dealers proactively approach us to offer RAC warranties and other products, and they have reported unexpectedly strong results. We are therefore starting the process of targeting carefully chosen franchise dealers as prospects.
“While it is overwhelmingly probable that franchisees will always only ever form a minority element of our network, they will still access substantial benefits by working with the RAC and we believe there is definitely a potential market there.”