Selling cars via the Internet - first via the Internet, then to a car dealership.
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Selling cars via the Internet - first via the Internet, then to a car dealership.

Selling cars is among the commercial activities that have undergone significant changes, especially in recent years., is quite traditional, almost outdated in the digital age. The retail chain still has a set route from the manufacturer who manufactures the car and sells it to an (authorized) importer or dealer, and from there to the end customer who pays for the car and takes it home. Dealers should take care of all administrative procedures and the organization of service and repairs.

Meanwhile, in recent years, direct online sales of other products have become increasingly popular, in which customers order all possible and impossible products, and ordered delivery services bring them almost to the couch in the home living room. There are several reasons why buying a car from a home chair hasn't (yet) caught on. These certainly include the complexity of a motorized ATV, which is why customers often want to see it live, get behind the wheel and drive at least a few kilometers.

This is also an important factor. the price, of course, is not comparable to the amount of sneakers that can be easily purchased online, and also easily returned if they are not suitable for the buyer.

Products go directly to customers

Car manufacturers have made many attempts to create an online store, and the online shopping giants have hinted at an approach that could be effective for cars as well, with buying procedures that are mostly simple, efficient and transparent. They seem to work best for different startups., was engaged in the development of electric vehicles and their sale on online sites even before the start of production.

With this approach, they are one step ahead of the traditional car manufacturers, who, however, have also begun to think about new sales strategies. Above all, they want to take advantage of their authorized sales network and combine it with direct customer contact capabilities. This is the so-called agency model, in which retailers remain part of the sales process, but are tied to sales channels and prices set by manufacturers.

Selling cars via the Internet - first via the Internet, then to a car dealership.

In turn, they get an overview of the entire fleet of vehicles that they purchase on a first come, first served basis. For customers, this would mean better transparency about the vehicles they are interested in and possibly faster delivery as well. Manufacturers can reduce inventory and optimize production while offering customers competitive online deals.

BMW was one of the first to test the agency model in some European countries., which combined a different way of selling with the presentation of models of its sub-brand for electric vehicles. This was followed by Daimler, which began the transformation of sales channels in three European countries, while Volkswagen is introducing a slightly different form of agency model - the ID.3 electric model.

However, more and more manufacturers are announcing or even implementing direct sales plans. Volvo, for example, recently announced that half of its models will be electric by 2025, and the entire lineup will be electrified five years later. They noted that their electric vehicles will need to be ordered on the website, and dealers will be available for consultation, test drives, delivery and service.... Buyers will still be able to order cars from car dealerships, but in fact, they will be ordering them online.

Several Chinese car manufacturers are also gearing up to enter the European market through an online store. Start-up company Aiways has chosen an exotic way of selling electric vehicles through the Euronics electronic network.and more established car manufacturers such as Brilliance, Great Wall Motor and BYD have the digital and operational know-how, experience and financial resources to build an effective trading business in Europe over the next few years.

Bring us to the end

Slovenian shoppers have had fun for some time by purchasing a car from a home seat, or rather with most of the buying procedures, and with some brands it is also possible to issue prescribed documents remotely.

In Renault, which has the most extensive sales and service network in our country, it is possible to buy a car remotely., except for those parts where it is not (yet) permitted by law. Customers first assemble their desired vehicle using the web configurator and then can consult with a dealer. Equipment is often replaced and the dealer checks to see if the selected vehicle is in stock and if faster delivery is possible.

Documentation signing is almost entirely done remotely using an electronic signature. An exception is the identification of the buyer, since copies of a personal document cannot be stored on any media in accordance with the GDPR rules, so this must be done physically or in the salon. An informative calculation of the monthly funding installment is also available online. It's the same with the Dacia and Nissan brands.

Selling cars via the Internet - first via the Internet, then to a car dealership.

At the end of last year, Porsche Inter Avt, the Porsche brand representative in Slovenia, was able to establish its own online sales channel for new and used vehicles, available immediately. On the online platform, potential customers can now choose their favorite model from the cars available at Porsche Center Ljubljana, and also book it. The platform allows customers to complete the milestones of the online shopping process, only authentication and contracting are not yet performed at the Porsche Center.

Also at Volvo, most of the customers start buying a new car using the information configurator., from which you can assemble a model, a set of equipment, transmission, color, interior appearance and accessories. The last step is to request and sign up for a test drive or view a special offer. Based on the request, the sales consultant draws up an offer or agrees with the customer on a test drive and further procedures.

Over the past year, Ford has significantly increased the digitalisation of online car selection and purchase processes. On the website, buyers can select a vehicle and submit a request or request for a test drive.... The sales consultant then goes through all the purchasing procedures, most of the communication takes place via email and phone. To this end, a well-defined remote new car sales protocol has been developed for authorized Ford dealers.

The BMW brand, together with a network of authorized dealers, have prepared a virtual showroom for cars in stock. Customers can conveniently browse the range of vehicles from their home seat and check for availability. However, they can contact the vendor of their choice to discuss additional options and purchase through the digital channel. The virtual car dealership is constantly updated with the latest offers, as well as additional useful features such as video presentations of cars and live conversations with sales consultants. However, some authorized retailers offer the entire purchase process entirely digitally.

Digitization is also in operation

One of the biggest benefits of digitizing is undoubtedly the time savings. Nobody likes to stand in line, especially in the morning rush when taking a car in for service. Last year, Renault's service network introduced digital reception and replaced paper documents with tablets. With the help of the new process, the consultant can prepare a maintenance proposal, inspect any damage to the car, take pictures and record important records.

For car owners, digitized reception is faster, easier and more thorough. In addition, all documents can be immediately signed on the tablet and saved in an electronic archive.... Next year, Renault and Dacia are revamping the car pick-up program, adding the ability to pick them up at home, work or elsewhere.

Selling cars via the Internet - first via the Internet, then to a car dealership.

At Ford Service, they are developing a program that will include electronically sending a work order to a customer's email address with all the results after picking up the vehicle. The owner will receive a video inspection and a proposal for possible repairs based on the inspection report. The system is already at the testing stage, its use is scheduled for the end of the second quarter. The Ford Authorized Service Center website also has a service request form.

BMW is gradually introducing a digital reception service into its service network, making it easy to check in online up to 24 hours before a scheduled service visit. for service from the comfort of your home chair using an app or online form, and it is completely safe to hand over the key via double check to a secure device after the owner brings his car to service. After delivery, he receives a digital confirmation of the receipt of the key and can leave the service without any contacts. After service, the owner receives a message when he can pick up his car along with a unique and secure code to retrieve the keys from the device. Nothing friendly and helpful.

The measures taken in connection with the epidemic worsened the situation

Restrictions and measures in connection with the coronavirus epidemic have caused significant economic damage to car dealers and repairmen.and a lot of confusion and uncertainty for vehicle users. Therefore, the Automobile Repair Department of the Chamber of Commerce and Industry, the Passenger Cars Department of the Chamber of Commerce and the Department of Official Dealers and Automobile Repair Specialists of the Chamber of Commerce and Industry requested the government to include the automotive profession. At the same time, they pointed to the need for regular maintenance of vehicles and uninterrupted operation, even during an epidemic, when a private car for many is the only means of transportation.

In particular, service technicians criticized the inconsistency of measures in regulations that distinguish between urgent and non-urgent repairs, which, in their opinion, threaten mobility and traffic safety. Delaying repairs can also quickly increase the cost of repairs, and any restrictions on vehicle maintenance pose a road safety threat to society as a whole.

Selling cars via the Internet - first via the Internet, then to a car dealership.

Due to the closure or restriction of operations during the epidemic, revenues from car sales are 900 million euros less than last year.. Passenger car sales plummet with epidemic announcement – ​​Slovenian dealers last March, 62 percent fewer cars were sold than a year earlier, and even 71 percent fewer in April.... Overall, car sales in 2020 were nearly 27 percent worse than in 2019.

Thus, car dealerships and repair shops do not agree with government measures that restrict sales and service activities, as they ensure that all measures to prevent the spread of the virus are observed and that showrooms and workshops are spacious enough to provide even higher standards than in other countries. They also note that during the epidemic, the movement of cars was not restricted or closed anywhere in Europe or the Balkans - Slovenia is an isolated case.

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