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30/06/2015

Six-figure funding package helps Loyalty Logistix to develop and run new systems for Volkswagen dealers in Japan

Loyalty Logistix, a leading provider of customer retention systems and data intelligence solutions to the automotive sector, has secured a £650,000 finance package from Finance Wales and NatWest.

The Bangor-based company will use the funding to complete the development of the final phase of a new integrated customer information system for the Volkswagen Group.  It will also fund the costs of implementing the system throughout the Group’s Japanese dealerships.

Using the new system Volkswagen’s Japanese dealers will be able to track detailed information about sales and customer behaviour, enabling them to target their sales activities more effectively.

Once fully implemented, Loyalty Logistix will manage the system as part of a €2 million-a-year contract over the next 3 years, with the potential to roll it out to the Group’s other brands such as Audi, Porsche, Seat and Skoda. 

“We specialise in developing software and services which improve customer retention, sales and overall profit margins. Winning this contract with Volkswagen Group in Japan is an important step forward for Loyalty Logistix and we hope to be able to build on our success in the coming years.

“The funding package we’ve secured from Finance Wales and NatWest is pivotal for us.  We can now fund the final development and implementation phases of this project and also roll out the system in every Volkswagen dealership in Japan,” explained Bobby Williams, Managing Director at Loyalty Logistix.

Loyalty Logistix has built up a reputation for providing global brands like Bentley, Jaguar and Hyundai with unmatched levels of customer information enabling them to run their sales and service operations more effectively.

Finance Wales’ local Investment Executive, Rhodri Evans teamed up with the company and NatWest to make the investment in Loyalty Logistix.  He said: “Loyalty Logistix is a well-established business with a profitable track-record and impressive customer base. Bobby has used his own experience of running car dealerships to develop systems and services targeted at the automotive industry.

“Finance Wales is pleased to provide Loyalty Logistix with the backing it needs to complete and implement this development.  The Volkswagen contract is one of a number of recent successes and will significantly boost the company’s annual revenues.  It will also strengthen the portfolio of systems and services on offer to its customers.”

Commenting on the investment package, Chris Dhenin, Senior Relationship Manager at NatWest said: “The growth of Loyaty Logistix over the last five years is testament to its quality of service. With a strategic plan for development in the coming years, I can see nothing but success in the future of the business and I am pleased to have been in a position to support Loyalty Logistix in its business aspirations.”

With more hybrid and electric vehicles on the roads, Loyalty Logistix now plans to expand its software development team to develop systems for this growing market.   Hybrid and electric vehicles require less maintenance and Loyalty Logistix expects that dealerships will need to place a greater emphasis on building customer loyalty.