Hours per Vehicle Parc

Hours per Vehicle Parc

Annualised Hours Sold ÷ Number of Vehicles in Parc

Guideline: Own Strategy

Description:

This KPI is very useful for assessing your current performance in Hours Sold against your fellow dealers or your total market penetration.

Keep in mind that this statistic is utilising every vehicle in the parc and if you are assessing a 10-year parc some of those vehicles may no longer be in your area or even in existence.

You may also wish to consider who else is registering vehicles within your territory it could be that you have a sizable fleet that is distorting your vehicle parc. You also have to ask yourself the question about the age profile of the vehicles that your dealership attracts.

Example:

A) Annual hours sold = 22,752
B) Number of vehicles in parc = 7,584
C) Hours sold per parc vehicle = 3 (A ÷ B)

Discussion:

Many financial reports also show you an average repair figure per vehicle in your parc, which uses an incident rate of around 20% and splits the hours between insurance and non-insurance work. This will provide you with a more realistic and accurate figure with which to obtain your territory potential.

Related Terminology:


» Motor Retail Terminology and Concepts