Turners may or may not be under pressure, but NZAI is under a lot more, not due to sales issues though:
https://businessdesk.co.nz/article/m...or-shareholder
the link name says it all if you have not got a sub
Turners may or may not be under pressure, but NZAI is under a lot more, not due to sales issues though:
https://businessdesk.co.nz/article/m...or-shareholder
the link name says it all if you have not got a sub
Obviously - we don't know yet, how the cheap car saga plays out. However - I think it has potential to impact on Turners (or their market) no matter what they do ...
on the opportunities side it might mean one competitor less to worry about (even if I am not sure whether they had the customers Turners would like to have).
on the risks side it might mean a firesale of a lot of "cheap cars" flooding the market during a market downturn.
Anyway - interesting times. Market consolidation always brings risks and opportunities, which is often good for the established and big players.
Turners have started advertising cars at their Nelson Branch, just 12 today, but I expect that to grow a lot.
https://www.trademe.co.nz/a/motors/c...user_region=13
Turners website says that Nelson will open in August. Yippee
I had written off Turners subscription business as a nothing burger but the idea seems to be catching on.
The website and service is a bit bare bones (no car seats, snow chains, tow bars etc) but the staff are very efficient and friendly with a car salesperson's desire to sort out any issues over the phone. Not sure why they needed Carly.
Cars, especially electric cars don't stay available on the site for long. Apparently there is now 150 cars out on subscription, about $1.5m in yearly revenue.
Car dealership business Ebbet have launched a competing service Ebbet Subscribe for near-new cars at slightly higher price points albeit with much less monthly kms than Turners. They use Aussie platform Loopit which is designed for car subscriptions so I guess we can expect more such services. Nothing like competition to promote and validate an idea.
Hi Jaa, Did you discover they have 150 out on subscription by totalling the Reserved cars?
I can find a list of cars with two availability categories, reserved and available. Does reserved mean they are out with a subscriber? There appear to be 151 reserved today, just 5 in the SI.
Have you managed to figure out the average rental price for reserved cars to get the $1.5m?
https://www.turnerssubscription.co.n...cription-plans does that help?
I needed a car and as a shareholder wanted to do some research/support Turners so I subscribed for one and that's the figure the rep gave. Was a very efficient customer experience with all the paperwork electronic, credit check by EC Credit of course.
But yes you can also get an idea by how many cars are reserved and the regional popularity by where the cars are. The service isn't very popular in the regions, New Plymouth, Bay of Plenty, South Island etc.
I assumed an average weekly subscription price of $200, so I multiplied that.... 200 * 150 * 52 = $1.56m. The average car in the list is less but subs with more usable kms/lower excess are more than the prices shown so should be about right.
Thanks TRA for another juicy quarterly divvy payout, which landed in the bank a/c today.