Mototrendy 3.1 — a new analytical tool for the auto business — was presented in Poland

A unique tool for the auto business was presented in Warsaw — the Mototrendy 3.1 analytical system. The main focus was on a new indicator for the auto market, which reflects a new tool: the SAMAR price index (ICS for short). The system was developed at the Polish SAMAR Car Market Research Institute, a partner organization of its Ukrainian counterpart.

How was it before?

Until recently, the analysis of new car prices conducted by IBRM SAMAR covered only the weighted average selling price. However, this indicator was often misunderstood: its change was interpreted as an increase or decrease in prices in price lists. In fact, the weighted average selling price mainly reflects the change in the sales structure.

With its help, you can tell how much a car purchased in a certain market costs on average. To calculate it, the price of all available model configurations is multiplied by the number of registrations of each of them, the results are summed and divided by the total number of registered cars.

The weighted average price is an important element of financial analysis, but it can only partially reflect the price policy of brands, since its change does not always reflect changes in the price lists of models. An increase or decrease in the indicator can be the result of a change in the availability of certain models, an increase in demand for a model or even a change in taxation. Therefore, in order to track real changes in car prices, IBRM SAMAR had to develop a new parameter that reflects the general price trend in the car market.

What is the new SAMAR Price Index (ICS)?

The SAMAR price index ( Indeks Cenowy Samar in Polish — abbreviated ICS ) compares current prices with last yearʼs prices. Thus, on the one hand, it shows how the prices of cars on the Polish market change, on the other hand, it reflects changes in the pricing policy of individual brands regarding models and their configurations. This allows you to check the possible impact of a change in pricing policy on the number of sold and registered cars, as well as their competitive position on the market.

The method of calculating the ICS is similar to the method of calculating the weighted average price. The difference lies in the correct use of the number of registered cars. First, the first indicator is calculated: registrations at the beginning of the analyzed period and combined with the prices at its beginning and end. Thanks to this, any changes in the structure expressed by the number of registered cars will be imperceptible. The second indicator is calculated on the basis of registration operations as of today. The final value of the Samar price index will be a weighted average between these two indicators.

Experts checked the value of the Index based on changes in dealersʼ price lists: the result always reflected the processes that actually occurred. The calculation method was checked and approved by one of the major consulting companies.

The SAMAR price index, weighted average sales price, and short-, medium-, and long-term trends are important additions to the tools used to analyze the automotive market. Due to the need to combine several data sources and the complexity of their calculation methodology, these parameters were not available in the tools offered by IBRM SAMAR. The start of cooperation with Qlik and the use of BI solutions made it possible to create a system that takes these parameters into account.

Mototrendy 3.1 comes into play

The new analytical system, of which the SAMAR price index is a part, is called Mototrendy 3.1. This tool, like previous IBRM SAMAR monthly reports, is based on registration data from the Central Register of Vehicles and Drivers in Poland, but allows for a much deeper analysis of the automotive market. Whether your query is for used or new cars, the tool will help you find the answer. Age, sales channels, origin of the car, price ranges and even equipment. All this is available from the point of view of the country, voivodship, city, and even the county," emphasizes Wojciech Dzewecki, president of the SAMAR Automobile Market Research Institute.

According to him, the combination of registration data on new and used cars, pricing policy of manufacturers and average prices of cars sold in Poland provides a unique and hitherto unavailable opportunity to research the car market.

Wojciech Dzewecki, president of IBRM SAMAR :

"There are many unique and sometimes even innovative solutions in the system. For example, the ability to monitor market trends. If the situation is developing successfully for the brand, this is indicated in green. However, if there are problems with availability or someone has incorrectly priced the car, that is reflected in the sales, yellow is trending. Then automakers can react instantly to improve the brandʼs position in the market."

Autobusiness approves Mototrendy 3.1

The system will primarily benefit car importers, leasing companies, car fleets, insurance, consulting companies and car dealers. Many Polish auto businesses have already shown interest in the new tool.

Pawel Kaczmarek, Volvo Car Sales Director in Poland:

"I have already used Mototrendy 3.1 during a presentation for our headquarters in Sweden. It was very valuable to be able to immediately find answers to the questions asked. For example, why the premium car market grew by 15%, but our registrations only increased by 5%. Thanks to the system, I quickly found the answer. It turned out that competitors sold many cars from previous years that were in stock, and Volvo does not keep cars in showrooms. I no longer have to dig through excel sheets, which sometimes took a lot of time. What is important, right away you can see that this is something made with a lot of passion, so I wholeheartedly recommend it!"

Poland is just the beginning

According to Wojciech Dzewiecki, Mototrendy 3.1 has a good chance to go beyond the borders of Poland: " We have already presented the system on the markets of Germany and Italy. Wojciech Halarewicz, vice president of Mazda Motor Europe, is currently familiarizing himself with the application. During a meeting with the board of Volkswagen Group Polska, the idea arose to present the tool in Mladá Boleslav, where Skodaʼs headquarters are located. And thatʼs not all: I see potential in the Ukrainian market , where we have been cooperating with the local Auto Market Research Institute for several years now," says the head of IBRM SAMAR.

All information about the analytical system Mototrendy 3.1 can be obtained by contacting the Institute of Car Market Research: [email protected] ; +380981980898

Subscribe to the Telegram channel of the Auto Market Research Institute to be the first to receive information without advertising or spam.