In case you didn’t realize it yet: everything is becoming more and more digital. Try to find a new car model these days with classic counters or even something like physical buttons in the dashboard, and if any bugs pop up anywhere in the system, there’s probably an over-the-air update waiting for you to fix it. to solve. The way we buy a car is also changing more and more, as many manufacturers are finding that it is cheaper and easier to run most of the process over the world wide web. Mercedes-Benz has also noticed this.
To the digital dealer
The vice director of Mercedes’ marketing department, Bettina Fetzer, has told Automotive News Europe that the manufacturer wants to scrap a total of 10 percent of its global dealer network by 2025. In its home country Germany, Mercedes is even aiming for 20 percent fewer showrooms. In such established markets, there is no longer a need for a large number of dealers, according to Fetzer, as an estimated one in four customers will buy their car entirely online by 2025. The manufacturer also sees its customer base getting younger, so soon the Mercedes buyer will have learned about online shopping from an early age.
There is also a chance that the balance of canceled dealers will also exceed 10 percent in other western markets, because Mercedes wants to install more showrooms in China. The higher segments should also be given more representation, which would lead to dedicated spaces for Maybach and AMG. That fits nicely within the picture that Mercedes proposed last week, in which they want to focus even more on the premium customer. Therefore, their more compact range will soon be reduced from seven to four models, and 75 percent of the total investments will be focused on the more expensive ones. That strategy now seems to be reflected in the dealer network.