As dealers continue to look for ways to increase revenue, one area that’s seen huge growth in Canada is via paint protection products offered through the business office. And one particular product that’s seen incredible growth over the last few years is XPEL ULTIMATE, available nationwide through Parasol Canada. Canadian auto dealer recently talked with Parasol’s General Manager, Mathieu Moreau and asked him what sets XPEL ULTIMATE apart and why the product is proving such a hit with dealers in this country.
HE: When did you first begin offering XPEL ULTIMATE in Canada?
MM: We first began in 2010 and have been offering the product ever since then.
HE: You’ve been in in the business a long time and have carried a variety of different paint protection products. In your opinion what do you think sets XPEL ULTIMATE apart?
MM: I would have to say the quality. XPEL ULTIMATE comes with a 10-year warranty and since we began distributing it we haven’t had issues with contamination, yellowing or peeling. In the past some films would start to deteriorate in as little as 12 months.
HE: So what’s the difference with XPEL ULTIMATE?
MM: Previous products we carried didn’t have clearcoat protection. The film is made from urethane and if you think of urethane as a bit like your skin, heat and moisture change its composition. The same thing happens here. XPEL ULTIMATE features an advanced clear coat that protects the urethane and prevents any contamination from reaching the pores within it.
HE: The clearcoat can also “heal over time,” correct?
MM: Yes that’s right. The technology allows the clearcoat to reform, so fine scratches and swirl marks will naturally be eliminated over time.
HE: From what we understand that’s also been a big appeal of the product among dealerships, is that correct?
MM: When we go to a dealership and perform an install, one of the things we do is demonstrate scratch resistance. We will do a comparison with XPEL ULTIMATE and a competitive product, often using a sharp object to form a scratch. Right away, staff at the dealership can see the difference.
HE: Canada is proving to be a huge market for XPEL ULTIMATE and you’ve seen 80 per cent take rates among some dealerships. What’s been driving that?
MM: Our harsh climate means that more people want or need to look after their vehicles. We’ve seen big demand not just for hoods or bumpers but entire front end protection, including the fenders and mirrors. If you purchase a car and want it to last, often the first thing you do is purchase rust protection, upholstery protection and paint protection. There’s been a big increase in consumer education and both consumers and dealers are seeing the value in quality paint protection. If you lease a vehicle for 36 months, a front end paint protection for $24 per month is good value, especially when, at the end of the lease you aren’t having to pay $1000 to have the front end of your vehicle repainted. Although XPEL ULTIMATE might cost a little more upfront than some other products you get what you pay for — a 10 year warranty and not having to reapply the product after 12-18 months.
HE: In terms of across Canada, where have you seen the biggest demand for XPEL ULTIMATE?
MM: Currently Alberta and Quebec are the two biggest markets but we’re seeing strong growth in Ontario as well. One dealership we deal with in Alberta has an 80 per cent take rate. They sell 250 cars a month and eight out of 10 receive XPEL Ultimate paint protection. When you’re able to charge $800-$1000 retail for an install, that represents around $2 million a year in revenue so it’s big business.
HE: What are some of the other factors that really set XPEL ULTIMATE apart?
MM: I would say a big one is the training and support. I’ve been in this industry for more than 20 years and the company makes it easy to deal with them and provides all the marketing materials, training and technical support you need. Whether you buy through XPEL USA or Parasol Canada you know you are dealing with knowledgeable staff who have a real installation background, they’ve been there. If a customer calls us because they might be having trouble with an installation at the dealership, they can talk to somebody with experience who knows how to help. You are never just talking to somebody who simply wants to sell you another roll of film.
For more information on Parasol Canada click here: http://shop.parasolcanada.com/en/
To learn more about XPEL click here: http://xpel.com/
