Mercedes-Benz India to launch 15 new vehicles, a unique direct-to-consumer business model to boost sales.

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To raise its sales in the country, Mercedes-Benz India announced its plans to launch 15 new vehicles. It is a unique direct-to-customer sale in the future to provide a better buying encounter to its customers.

Under the business model called the ‘Retail of the Future’ (ROTF), the brand will own the entire stock of cars and sell them through appointed franchise partners. It invoices the new vehicles directly to customers, process and fulfills orders, and provide customers with one transparent price and purchasing experience. 

Martin Schwenk, the MD and CEO of Mercedes-Benz India said, “the key reason for introducing Retail of the Future is to provide an enhanced luxurious buying experience for the customers. This strategic move will nourish our customer focus by introducing a radical transition of the retail business in the market.”

With the emergence of digitization and evolving dynamics of retail business globally, the ROTF model aims to be a profitable proposition for clients, franchise partners, and the brand. The franchise partners have to build and sustain customer contacts, increase the market and promote the sale of Mercedes-Benz cars.

The sale process, the company said, would not change as the franchise partners will proceed to be the brand representatives.

ROTF will allow customers a sheer price range and comparison across the product portfolio, a clear and hassle-free buying process, and direct bill from Mercedes-Benz India.

The franchise Partners will benefit from being the ‘direct to customer’ retail partners of MB India for new car trades, direct payment by MB India, and the availability of a larger supply of cars at diminished risk and no inventory.

The company said the sale process would not change as the franchise partners will continue to be the brand delegates and manage customer interactions and improve local market requirements. They will continue the local retail marketing ventures and operate the existing showroom infrastructure.

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