Mercedes-Benz’s come up with a solution to beat the hassle around varying prices for its cars around its dealership. This ‘direct to customer’ sales model will have plenty of benefits for the customer. In this model, Mercedes-Benz India will be directly selling to the customers with the help of its established franchise network and also online. The customer won’t have to negotiate since there will be one price for all. Hold on, it doesn’t only benefit the customers here; it offers quite a few benefits for the franchise partners as well. Now, Mercedes-Benz India will be the owner of the centralised stock, which means the franchise partners won’t have to keep any inventory and therefore cutting down its risks. Their whole focus will be on developing and growing in the local market. Further, they will be given compensation directly by Mercedes-Benz India.
This new model, ‘direct to customer’ comes under Mercedes-Benz’s ‘Retail of the Future’ (ROTF) effort. Here, Mercedes-Benz India will be responsible right from owning and managing the entire stock of cars to centrally managing the selling price of all their cars. And of course, it will also be responsible for the order processing and its fulfilment. ROTF will be introduced later this year in the fourth quarter. Also, it will be only valid on the sale of new cars, its other business will remain have no effect.
