Live
- Revanth fielding dummy candidates to benefit BJP: KTR
- KTR takes part in road show to boost cadre morale
- YS Jagan Credits YSR for Development in Pulivendula, rubbishes political allegations
- One dead after car hits lorry at Muthangi Outer Ring Road in Sangareddy
- WhatsApp Update: WhatsApp Introduces Passkeys for iOS, Secure Logins Without Passwords
- Writ in HC seeking disqualification of BRS MLAs Venkata Rao Tellam, Kadiyam Srihari
- PM Modi Criticizes Congress Over Muslim Inclusion In Karnataka's OBC List
- Danam’s family owns total assets worth about Rs 58 cr
- Ice Cream Vendor Stabbed Near India Gate
- DCA seizes medicines with misleading advertisements
Just In
Mercedez Benz, Bold Move, Makes Major Changes in Retail Strategy in India
Merecedez-Benz India Pvt Ltd, is the nation's largest luxury vehicle manufacturer, on Wednesday, it has made a bold move, by announcing major changes in its vehicle retail strategy
Merecedez-Benz India Pvt Ltd, is the nation's largest luxury vehicle manufacturer, on Wednesday, it has made a bold move, by announcing major changes in its vehicle retail strategy. The company is now, keen in owning the entire inventory, instead of pushing most of it, to its dealers. The company would also bill the customers directly instead of dealers and it has termed this new strategy as "Retail of the future".
Impact of Covid-19 in Automobile sector
There has been a prolonged slowdown in the Indian Automobile sector because of the economic slowdown, which has been made worse due to covid-19 pandemic, auto companies are presently taking varied steps to improve the financial health of its dealers and at the same time they wish to ease the pressure on these entities as well.
Also, it has been found that, the aftermath of the covid-19 outbreak, physical visits by the customers at dealerships, for vehicle purchase inquiry, are likely to take a hit and the companies are planning to directly approach and service them via digital platforms.
Company's new Business Model
The company said in a statement, that "As per the new business model, the Mercedes-Benz India would own the entire stock of cars and it would sell them through the appointed franchise partners. And it will also invoice the new cars to the customers directly; it would process the order and fulfill them, by providing one transparent price and purchasing experience for its customers".
Additionally, it has also stated that primary roles as well as the responsibilities of the Mercedes-Benz franchise partners (dealers) would include establishing as well as maintaining customer contacts, development of the market and facilitating the sale of its cars.
The company has also mentioned that, the customer-oriented as well as futuristic model promises to be beneficial proposition for the customers, dealers and the brand, with the advent of digitization as well as changing dynamics of retail business the world over.
Win-Win Solution
As per the Martin Schwenk, Managing director and chief executive, Mercedes-Benz India, this long-term strategic move would help strengthen the company's customer focus, by introducing a fundamental transition in the retail business in the market. It would also deliver a win-win solution for both, customers as well as dealers, at the same time, it would be underscoring the clear vision for a future which empowering, sustainable and digital.
We are happy to have the collaboration of our franchise partners in this transition, further, we would empower them and make it possible to have, significantly less operation and financial risk, this would result in both profitable and sustainable business models. The franchise partners would continue as brand representatives, they would maintain strong connect with customers and they would strive to provide the best customer experience in the market, stated Schwenk.
© 2024 Hyderabad Media House Limited/The Hans India. All rights reserved. Powered by hocalwire.com