Why OEMs Need to Embrace Affinity Schemes as a Core Sales Channel in 2025

The UK automotive market is facing a pivotal moment. In April 2025, new car registrations fell by 10.4% compared to the same period in 2024, with only 120,331 units registered, according to the SMMT. This decline, driven by a challenging economic climate, wavering consumer confidence, and the end of Vehicle Excise Duty (VED) exemptions for EVs, paints a clear picture: traditional sales channels alone can no longer carry the weight of OEM targets.

As retail, salary sacrifice, and company car schemes come under increasing pressure, Affinity schemes have never been more relevant.

A Changing Landscape Demands New Channels

The post-VED exemption period has seen a drop-off in EV sales, despite strong performance earlier in the year. This volatility reflects broader uncertainty. Private buyers are more cautious, and businesses are re-evaluating fleet investment due to evolving tax policies and cost constraints.

OEMs must now diversify their approach. Affinity schemes with VPS offer a cost-effective, scalable solution to reach new audiences in a way that feels exclusive, personal, and relevant.

Why Affinity is a Smart, Future-Proof Strategy

Unlike retail campaigns that rely on high-cost media spend or fleet deals that may stall under tightened corporate budgets, Affinity schemes create sustainable demand by building long-term relationships with handpicked organisations.

With the right structure in place, Affinity can deliver up to 10% more sales, drawing in buyers who may not traditionally be in-market but are motivated by tailored discounts and a sense of recognition.

What’s more, Affinity schemes are the perfect complement to salary sacrifice and company car programmes. While those schemes typically focus on electric vehicles and come with salary or tax implications, Affinity provides access to a much broader range of models, including petrol and hybrid, without the need for salary deductions or BIK considerations.

Why Work With VPS?

At VPS, we help OEMs unlock this additional channel without overburdening your internal teams. Our solution ensures that only eligible applicants access Affinity offers, removing risk while enhancing reach. We manage everything from end-to-end scheme implementation to ready-to-use marketing packages which raise awareness within qualifying organisations.

And the best part – we’ll do all of this within a cost-neutral commercial structure which pays on performance.

Whether you want to target valued public sector workers or employees at key fleet partners, we’ll help you build a compliant, high-performing programme that drives genuine volume with minimal risk.

Final Thought

New car sales are down. Budgets are tightening. The market is shifting. Now is the time for OEMs to invest in smarter, more sustainable sales strategies.

Affinity isn’t just a bolt-on – it’s a critical additional channel to sit alongside retail and fleet programmes. Work with VPS to put your brand in front of new buyers, build deeper partnerships, and grow your footprint in a challenging year.