I note that Metcash has offloaded its automotive division


Looking at the effect upon the spareparts and automotive sales locations in Victoria, the purchase will significantly enhance the buying power of Bursons and also the competitive sales opportunity across Victoria for Bursons'

Whether it will lead to a contraction of outlets, lower prices for motorists, or simply to less competition and thus a gradual increase in pricing is a moot point.

This was a canny buy for the Burson group as it hugely extends their potential for sales without too many direct clashes, though in the Capital city business environment there may be opportunities for savings by consolidation of competing outlets or rebadging/signage of existing outlets.

Our Frogger members involved in that section of the automotive sales and service industry may (or may not) be able to add inside information as to what may be likely for us as customers in the future or will this lead to Repco and other similar wholesale/retail outlets also merging, and the effect upon specialist (French car) parts suppliers?

What may be the effects in the long run?