Mercedes Benz, one of the leading luxury car makers, has switched to a Digital-to-Customer Sales Model. Mercedes Benz had reportedly made an investment of Rs.60cr in implementing this new sales model. The luxury automaker has already received over 1700 bookings with this model being in a beta phase! With the new model, Mercedes Benz hopes to smoothen the buying process and make it more transparent. Today, let’s discuss what this new model is and why it is beneficial!
What is a D2C Model?
In a D2C sales model, a company directly sells its products to a buyer without involving mediators in the transaction. So from now on, whenever a Mercedes Benz car rolls out of the showroom, the payment will be made directly to the manufacturer, not the dealer.
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What about Mercedes Benz dealers?
The dealers will still stay in place, and all the test drives and deliveries will be handled by individual dealers only. With the new model, dealers will not be responsible for operations and inventory management. The manufacturer will maintain an inventory for all the Mercedes cars in India, which will significantly reduce costs for the dealers!
How is it beneficial for the buyer?
Since the entire inventory will be centralized, the waiting periods for the cars will reduce significantly. The WIN numbers for the cars will be shared with the buyers at the time of booking itself. The second benefit will be discounts and negotiations. Buyers will not have to go from one dealership to another to get the best prices. The manufacturer will offer discounts and prices, which will apply to all dealerships across the country. This will help Mercedes Benz in being much more transparent with its customers.