“The true agency model is first class”
presenters on this topic
Ann Young, Senior Automotive Manager and Head of Customer Transformation at Capgemini, explains in an interview why the real dealership model is the ideal sales system, what implications this has on the car dealership’s staff structure, and why the amount of commission isn’t the only criterion that matters.
Ann Junji: Because they know that something has to change. Selling cars the way they did two generations ago is not sustainable. The decision in favor of a new sales model is therefore seen as an opportunity for manufacturers to reorganize their internal sales structures and processes in order to stay competitive. New players in the market, be it Tesla or the Chinese manufacturers, start their sales in a green field. They don’t face the challenge of having to update their IT systems – because they need it to create seamless customer experiences. While it is certainly difficult for new players to get started without any agent infrastructure, they have the huge advantage of being able to quickly and dynamically build a customer-centric organization. In the end, by the way, by no means every manufacturer comes to the conclusion that the agency model is the ideal sales model for the future; There are also manufacturers who deliberately chose three-tier sales.
The introduction of the agency model is still met with some skepticism in retail. why is that?
I think that communication is often black and white: the wrong impression is often given that dealers are becoming less important in the dealership model and that the classic three-tiered sales system is the ideal solution for car dealers, because then everything will be optimal. The same for them still. The truth is: a sales shift is inevitable from the perspective of a young, digitally savvy generation and agency sales that by no means exclude retail. He just moved into a new role.
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