Gibraltar Business Podcast

S6. E1. Philippe Salliard, CEO, Bassadone Automotive Group

David Revagliatte Season 6 Episode 1

Season Six revs up! David Revagliatte meets Philippe Salliard, the new CEO of the Bassadone Automotive Group. We learn about Philippe's transition from the banking sector to the forefront of Gibraltar's automotive industry. Philippe shares insights from his experiences at leading automotive companies like Ford and Nissan and working in France, Korea and Russia. Philippe shares his views on whether Gibraltar is ready to for the transition to electric vehicles and tells us how the Bassadone Automotive Group is embracing AI. 

Vincent Carrie from Purple Media joins us later in the episode for our GFSB Member Spotlight feature. 

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David Revagliatte:

Hello and welcome to the Gibraltar Business Podcast. I'm your host, david Ragliade. Each week, I'm joined by a different guest and we discuss things like leadership, business balance and explore some of the global issues that affect that particular sector. If you already know the show, welcome back. I promise that season six will be the best one. Yet. If you're just discovering the podcast, hello and welcome. Please hit subscribe and follow so you never miss an episode.

David Revagliatte:

The Gibraltar Business Podcast is brought to you by the GFSB and is sponsored by Gibraltar International Bank, an institution that shares our passion for business. Philippe Salliard and I'm sorry if I pronounced that wrong is a relatively new player to our local business scene. Originally from France, philippe took over as CEO of the Bassadoni Automotive Group in January this year after a long career within the automotive industry. He's worked in France, he's worked in Korea, he's worked in Russia and now adds Gibraltar to his list. I really, really enjoyed this discussion. Philippe's passion for his sector and on driving it forward were palpable, and I know that our business community here in the Rock would benefit from his presence.

David Revagliatte:

Later in the episode, and purely by chance, we meet another Frenchman who's finding success in Gibraltar. Vincent Cary from Purple Media pops in for a quick chat. So firstly, philippe, welcome to Gibraltar and thank you for joining me on the podcast. Thank you very much for the welcome. It's a pleasure. I know you haven't been here long. I think just off the interview you mentioned you started in the 8th of Jan. Yes, correct? So what have you been your impressions so far About Gibraltar itself?

Philippe Salliard:

you mean, yeah, yeah, yeah, it's a nice place, very unique, very unique. I like Gibraltar because, remember, I'm French, so nothing to do with somebody coming from the UK, so I have really the impression I am abroad Somewhere, which is a mix of culture, international. So when you are not from the place, it's quite nice and in the meantime, you can really feel the history, the unique identity of the Gibraltarians who still want, I think, to remain Gibraltarians as such. So it's a very, very exotic place when you do not know it.

David Revagliatte:

So much, Absolutely, and I think a lot of our listeners will pick that up and how Gibraltar has transformed, just in terms of as a community, as a multicultural and international community past business as well. So, yeah, great answer. You passed the test. Obviously for the benefit of our listeners, I've done my research. We've had a chat before. Could start in the recording, but for the benefit of our listeners, can you briefly outline your journey, I guess, from Ford or from those early days to your current role as CEO of the Bastogne Automotive Group?

Philippe Salliard:

Sure, sure In fact. I started in the banking industry and after two years or maybe less, I realized I needed something a bit more thrilling. I joined Ford Motor Company a bit by chance. To be honest, it was not a passion for automotive business. But you know, it was early 90s American companies, marketing of the American companies like Proctor and Gamble, that kind of thing. It was very popular. So I started there and I've been working 14 years with Ford, mainly in France, learning all the basics of the business.

Philippe Salliard:

Ford was the best school for automotive at that time and I moved different jobs. I think each two years I was moving to a new position. But I wanted to have some new experiences and it was the beginning of Nissan expanding in Europe. So they created Nissan Europe and they were recruiting. So I joined Nissan and it was an incredible journey, very different from Ford.

Philippe Salliard:

When you are pushed to the limit, to your limits, you think things cannot happen. But finally, when you look at it behind, you realize that you did it and it was a bit of the Nissan journey, which was mainly foreign service assignment in, twice in Switzerland, once in Hungary, in Russia. So we moved with the family and Nissan gave me this opportunity that you come to a country, you do not know the market, you do not know the culture and you need to work and manage the people, as I was CEO of the branches or, afterwards, in charge of sales and marketing for Europe, and then three years it had been P-Pareba. Back to banking, but not as a banker, as an automotive expert for the bank. But I met George Bassadam five, six years ago. We were always in contact and he proposed to me to join the group three years ago and I knew the company, the culture, the values, most of the people and of course I accepted.

David Revagliatte:

Brilliant. That's a great summary for a long career, and a few things stick out there. I think when you're working for an American firm, you mentioned that they had kind of the best. Why would you say that they were the best for the best?

Philippe Salliard:

school, best school in terms of basics of the business, you see. So, marketing, wise, customer centricity. I remember Ford was monitoring 100% of customer satisfaction through a traditional paper mailing globally in 1991. So some did it, probably 10 years later, and still selecting or sampling, when they were doing it one month after delivery, one year after delivery, two years after delivery, three years after delivery, for I don't know the six or seven million customers a year that Ford was doing. So, customer centricity, marketing and basics of the business, how to sell, how to market, how to price, all those things, finally, which probably start to be vanishing a bit in the way the manufacturers are teaching their people.

David Revagliatte:

I think, as a marketer myself, I think having that constant feedback loop how important is that You've got your product is being tested and you're learning what customers say. So, yeah, absolutely what a great thing to learn. What's your current role now at Bassadoni?

Philippe Salliard:

I'm the CEO of Bassadon Automotive Group, which is the activities we have in Gibraltar. So Bassadon Motors, Toyota Gibraltar, Stoke Holding AADS. We are also importing Song Yong, which is now KGM in the UK. We have also two dealerships in Spain. So that's the perimeter. I take over from Kevin Jones, who has been contributing with George Bassadon to build his company, and it's a great honor to end over with him right now. He will be still there, of course, in the group as one of the builders of the group.

David Revagliatte:

Absolutely. Kevin was my very first guest on the show, actually. So I didn't know, to be honest, yeah, very big shout out to Kevin, if you're listening, philip, looking at your career journey, I sense that there's an entrepreneurial nature in you and a lot of people think you can be entrepreneurial and still be employed. Is fostering that entrepreneurial spirit important to you?

Philippe Salliard:

I think the entrepreneur, your mindset of the company I'm working with, is the most important. I don't think I am necessarily a very big entrepreneur. I'm 58 and it did not happen, so you can always think.

David Revagliatte:

But I mean, it's that concept of and I think it's one of the themes that I want for this season is entrepreneurship. It doesn't necessarily mean you set up your own business, but you can have that, that drive in your spirit and and I find that when I speak to successful business people, be that in their own business or for other businesses, that entrepreneurial side is, is there sure?

Philippe Salliard:

it's, it's one skill, I would say, or one competence, but still you have the ones who did it and the ones who did not necessarily goes through the real decision of becoming entrepreneurial or entrepreneur. No, of course. When you are in charge of a team, in charge of a country, of a, of a cost center, of a profit center, whatever, you need to have that kind of mindset. So it's, it's mandatory. That's part of leadership to a certain extent. What I meant is that in the group today, there is this very high lever value in most of the things we do, because it started lices, so it's the in the DNA of the company that most of the people have been contributing to create from scratch, sometimes some businesses. So that's what I meant. Yes, yeah.

David Revagliatte:

And I can definitely see that with Pasadonia for sure. You mentioned leadership there, which brings me on really nicely to my next question, which was how would you describe your leadership style and has it changed throughout your career?

Philippe Salliard:

I think you have two layers of. You have the, you have what you are as a person and you can always try to change. You don't change you. You try to amplify or you try to diminish the influence of some of the tendencies, but this is what you are inside. And then you have the, the skills, the competencies. The expertise is that you develop, but not to to be too, too long on the topic. I think in terms of leader, I'm, I have a high value of integrity and transparency, honesty, so you do what you say and you say what you do is a bit what I'm repeating too many times on the topic, too many times, sometimes at home. My kids didn't like it.

David Revagliatte:

So leadership is a parenting style, or is that too much of a thing? Leadership is everywhere.

Philippe Salliard:

But OK, you have, I would say, that kind of thing. I'm performance driven, so the results, but the performance is also something which is a driver that I never really forget. So this is part of my management style and I'm I think I'm team spirit, so trying to achieve the results by being a team, so not, you know, just waiting for the team to deliver and myself assessing delivered, not delivered could be better. It's not my kind of thing. So I'm a team, I'm a team spirit and player and trying to reach all together the best results, as well as trying always to share, not division division is a big name or big word, I would say but trying to to share and anticipate what could come later on, and trying to be prepared, because that's the role of the leader, not only managing the months, the quarter or the year, but to be able to anticipate as much as possible the future.

David Revagliatte:

I think a lot of what you've talked about there is is is similar to my conversations with Peter on the AADS side. I've met with him and with Kevin as well, and obviously George saw that in you when he when he met you. So so, yeah, that's. That's great to kind of hear that from you. Coming back to the industry now, in your opinion, is Gibraltar ready to shift to electric vehicles and digitalization?

Philippe Salliard:

The electrification is something if you look at what happened in the market. You need two things. You need political intention which is translated into subsidies, incentives it was not necessary financial incentives at the beginning. You could drive on the bus lanes in some towns, you could park in some places. It was not always subsidizing the cost, but that's first. Anywhere where you didn't get that, it didn't take off. And the second point is infrastructure. And infrastructure means a certain number of hundreds of charging stations which have to be developed if people living in Gibraltar want to have the capacity to recharge. In Basadon Motors we are putting in place some charging stations for our customers as an example. But it has to go beyond that. So if you don't have those two, let's say mandatory basic must have at the beginning and the electric vehicle market does not necessarily pick up.

David Revagliatte:

Do you see that Gibraltar has those two things?

Philippe Salliard:

Not at the time, not now, I would say, and I can understand why, because it's probably not the top priority today. So it will follow, but it will follow. So, in a way, today let's say that the European market is probably around 10% of electric vehicles. I'm talking about BEVs, so battery electric vehicles, putting aside PHEV, the plug-in hybrids or the hybrid vehicles which are there here in Gibraltar as everywhere. But if we talk about battery electric vehicles, 100% electric vehicles, it's around, yes, something like 10%, when in Gibraltar today it's much lower than that. We have the range available. So we know exactly it will come first with the light commercial vehicles where there is a clear, let's say, attraction, and on the passenger cars it starts, but it takes time.

David Revagliatte:

I think you know, even when you look at Gibraltar, most of us live in apartments very hard to put charging stations and I think I definitely see more hybrid vehicles, so maybe that's a solution that fits for Gibraltar.

Philippe Salliard:

The hybrid vehicles technically fits but in terms of European emissions does not fit 100%. So, as a manufacturer, remember that you will have to pay some penalties if you do not reach the certain thresholds of CO2 emissions which have been fixed and, as a consequence, you need to sell everything. So you need to continue selling some IC engines, conventional engines, because it's still a demand and it's still a solution for some vehicles. So hybrid is there, but you need also to sell BEVs and you need to take a big share of BEVs, because once, if you do not reach the CO2 emission threshold, you pay billions of penalties as a manufacturer. So it's driving the industry reducing the development of the combustion engines, because you cannot develop everything together. So we have batteries, the electric vehicles, new platforms. We talk about billions of investments. So, at the end of the day, you need to make some choices. That's why most of our manufacturers have been announcing that in 2030, they would be 100% electric. In reality, it's also because they will not renew some petrol and diesel engines.

David Revagliatte:

So lots of changes coming for the sector and I'm sure listeners, if they need to find out more, can go to Bassadoni and find out the latest on that. Talking about future and technology, because one of the big things that's driving this change is the technology behind digitalization. Are there any tech-driven projects at Bassadoni that you're excited about In?

Philippe Salliard:

fact, the Bassadoni Automotive Group is very conscious of building the future on that and I have to tell you that, coming from big international companies, the level of tech, especially in IT, which is in place is really already quite advanced, and in this context, it has been decided to equip our employees with an AI software. I will not necessarily make any advertising on your.

Vincent Carrie:

You tell me if you need it.

Philippe Salliard:

It's a big American company and we have been deciding to deploy that. Now, with the management team, we are going to test it, to pilot it, and we are going to see how we put it in place in the business and, with the people working, how they can use it, how they should use it. So that's something which is under definition, but what is for sure is that today we have AI available in the Bassadoni Automotive Group and we are going to implement it in the forthcoming months in most of the things we do. That's the direction.

David Revagliatte:

That's again refreshing to hear, because AI again is another theme that I will be talking about a lot in this season. It's cagey. A lot of businesses still feel you know, friend or foe about AI, and it's refreshing to see that. I think it's here as a technology, in my opinion, and I think you either embrace it or get left behind, and I think if you know what it is and you know how to harness it as an organization, it's the only option that we really have, you know, so, yeah, so it's great to hear such a established company here locally embracing or experiencing, exploring it in a way that's beneficial.

Philippe Salliard:

It's even more, david, we are not going to explore it. We are going to use it, knowing and taking into consideration the threats and the opportunities that AI can be embedding. But we will definitely use it and we have significant number of applications in the group in terms of production, in terms of IT improvement, in which I'm sure we can have some yes, good improvements and good improvements for the people when they do their job also.

David Revagliatte:

Yeah, so big transformations coming. I'm excited about that. I'll watch this space. One of your specialties in Philippe is business development marketing. Market expansion is a theme when I look at your background. What have you learned from expanding markets and where are the opportunities for market expansion for in this?

Philippe Salliard:

role In terms of market expansion. So two ways of looking at it. You want to grow by being on new markets or you are in a market which is totally new. It's two different approaches, if you see the difference. So I came in, or I've been working in some markets which were let's take, for example, russia.

Philippe Salliard:

Russia, in 2012, when I joined the country, was the El Dorado of the manufacturers. The market was around 2 million 2.5 million units and was expecting to become the biggest market in Europe. You would not say today, or they are saying today, that Russia can be European market, by the way, but it was the case at that time. So it was supposed to become 3.7 million units by 2023, something like this and the plan was clearly to rush to develop the market.

Philippe Salliard:

The market development was coming from the middle class people, which was a category growing by 30% each six months. That was the driver. So when you were extrapolating the rate of equipment and the people who could reach and afford a new vehicle, let's say, you were reaching those figures. So it was about developing the distribution, finding dealers at a very, very high speed, developing the products very quickly, producing the products locally, because there were some customs barriers which were making them, making the imported cars, non-competitive. So it was about all those things recruiting people, growing, etc. But the reverse of the middle is that one day the Russian army has been invading part of Ukraine Crimea, to be clear and all those things disappeared in 24 hours. So the rubble devaluated by 100% and it never recovered and the market did not recover and that was the end of the development.

David Revagliatte:

So what an experience to have been there for it right. Because the experience and the time that you spent there isn't probably going to be repeated for a very long time by anyone else. So I think that's kind of that was really an experience.

Philippe Salliard:

The thing also was which was good that I experienced the next phase, which was the recession, the decrease of the market and the cancellation of most of the things which had been developed one year and a half ago. Which is also part of life. So I had the good and the bad in taxi.

David Revagliatte:

How did that feel? Because if you have projects that you have in line that overnight, as you say, from one night to the next go, that must have been hard for you either at the time it's psychologically difficult to stand in a way.

Philippe Salliard:

Yes, because you have the impression that you killed the baby you've been creating. So it's something which is tough, but at least you feel probably better that you have to manage that instead of somebody else. So what you've been trying to develop, even if you have to write size to down, size to terminate in some cases, at least at myself, I felt better to be in charge of doing that instead of anybody else having to manage that.

David Revagliatte:

I think so much of our time is spent at work, or for ourselves or for other people, and that becomes a focus. Quite rightly so, but that must have been a big moment of going wow, to put things into context. Which brings me on to another quick question as well. For you is your life outside, I guess from work, and what some of your motivations are. So, as a busy man, what keeps you motivated and what have been some of those inspirational people or words throughout your career.

Philippe Salliard:

I think what keeps me motivated is working with people. To be honest, out of the job, my first concern, our hobby was my family with. I have four kids, so three of them are now Not with us anymore. So but it was my only hobby. I would say, on my main hobby, let's be honest no, what keep me motivated really is working with people. So it's extremely difficult to be on your own and to work on your own In comparison with interacting on a daily basis with people. I think everybody has been experiencing that during the COVID-19 part, but that's really, for me, the most Important motivation and inspiration for the future.

David Revagliatte:

Brilliant, because there's a lot of people in Gibraltar who are gonna want to meet you. So Last question and it's one that I ask all my guests and they all kind of roll their eyes when I ask it what's that one lesson or that one piece of advice that has been crucial for you and that maybe you'd like to pass on to our listeners?

Philippe Salliard:

I Think I Remember two, two things. Let's say one Very, very old advice which was given to me by my first manager. It was at Ford Motor Company and he told me one thing. It was, if I remember well so, it's a few years ago, to be honest, a few decades. You know, with the company you can be Making, you can make a mistake and you can be responsible for one million dollar loss. You can still survive. But remember one thing if you, if you, would be stealing one cent to the company, you will be disappearing.

Philippe Salliard:

So it's, it's it's something he told me, and not only one talk that the company was really designed as such In terms of values. It was really the case. That was one of the first advice I had and I think one of the second I told it already it was Do what you say and say what you do, which was told by probably not at work, something I heard a long ago. I was probably still a kid, but I think it's a good summary If you want to shave in the morning in the, in the mirror, and to be to be comfortable In your shoes, respect, right?

David Revagliatte:

So, yes, I guess, look, that's consistency and that's standing up to your own values, right? So, philip, thank you, you've been an amazing guest, thank you for joining me and and, yeah, I'm sure we'll bump into each other again soon.

Philippe Salliard:

I'm sure, I'm sure I will be there. Thank you very much for the welcome and the opportunity you gave us.

David Revagliatte:

GFSB members spotlight so, vincent, welcome to the Gboard of Business podcast.

Vincent Carrie:

Thanks a lot for inviting me. I'm very glad to be here. I'm very happy, thank you.

David Revagliatte:

No, no problem at all In this part of the show is when we invite members from the GFSB to come and talk to our listeners about their services. Now, I know purple media. I've been lucky enough to collaborate with them, and with Vincent, on a number of projects. Actually, but for the benefit of those who are listening, can you tell me about purple media?

Vincent Carrie:

Yeah, sure, absolutely so. Purple media we are a local Gboard of Business based full media agency, that is, we handle all the marketing needs for all the clients, locally and internationally, if they also need global campaigns. So basically, we take all the hassle out of planning and executing marketing campaigns. So whether you have a new product, you have a new service or you want to raise awareness of your brand, of your business, then you can come to us and we'll handle everything. That is, from establishing a clear marketing and media strategy, creating all the artworks that go behind it, obviously based on your brand, and then launching the campaign based on your target audience, locally or internationally, and obviously, measuring the results, optimizing the campaign so you get the best return on your investment.

David Revagliatte:

And you mentioned internationally, and I think that's a key one, right. So you work from Gibraltar, but you serve clients in other nations as well.

Vincent Carrie:

Absolutely so. We're 100% Gibraltar based, though now we have a client based also in Spain, in Portugal, in France and a few other small countries around the world.

David Revagliatte:

If someone put you on the spot and said what makes your firm different to other firms out there? What would it be?

Vincent Carrie:

Right. So locally we live and breathe local. We are also SME and our unique edge is that we really specialize in small and medium businesses. That is, you get all the services of big media agencies that usually we'll only look after and be interested in big clients, but we transpose that into small and medium businesses. We think they should get the same quality of work and we treat them the same way.

David Revagliatte:

Okay, thank you. Lastly, how can our listeners get in touch with you?

Vincent Carrie:

Right. So it's quite simple. You can visit our website, wwwpurplegi, or email us at info at purplegi.

David Revagliatte:

Thank you very much. Thanks for coming on to the show.

Vincent Carrie:

Thanks for inviting me.

David Revagliatte:

And that's a wrap for this episode of the Gibraltar Business Podcast. Thank you to our guests Philippe Salliard from Macedoni and Philippe Carrey from Purple Media. Thank you to the team at the GFSB, our sponsor, the Gibraltar International Bank, and everyone who contributes to the project and keeps the podcast going from strength to strength. Thank you to you. I really hope you've enjoyed listening. Catch up on any episodes you've missed anytime you like. So it's a goodbye from me until next week and until then, keep your eyes on the prize and reach for your goals. See you very soon.

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