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Automobile, including 18 seater minibus is upgraded constantly so that channels should be evolved.

18 seater minibus

The COVID-19 epidemic which ravaged the whole world in 2020, hit all walks of life. At this time, the automobile dealership industry failed to be immune to it.  Some automobile dealers, including 18 seater minibus even faced bankruptcy because of the sudden decline in sales volume. At present, German automobile manufacturers and retailers are focusing on the alternatives of the traditional authorized dealer cooperation mode. And the automobile agent mode is an alternative cooperation mode between automobile manufacturers and retailers.  The changing direction of automobile distribution channels has also become the most concerned topic for dealers in China.

The change of the automobile market and consumption concept determines that the channel standard is also changing.  What kind of channel does the automobile market need in the future?  Is the channel pattern no longer unique to 4S stores, but diversified?  How can dealers turn crises into opportunities and seize opportunities?

For automobile, including 18 seater minibus, it should be traffic operation, ecological marketing and business fission

Based on the concept of consumers and the new changes in the automobile market, including the 18 seater minibus, the channels of the future automobile market should also adapt to this new situation and make changes.  One of the directions of change is diversification: to meet the needs of consumers for “standardization” and “convenience and speed” by similar B2C mode (such as direct sales model, etc.); B2X2C (such as traditional 4S shop, agency system, etc.) can satisfy consumers’ demands of “individuation” and “experience”.

At the same time, from the perspective of the marketing journey, consumers’ cognitive journey of vehicles has experienced a changing process from short to long.  In the past, due to the lack of information consultation, consumers could not get a large amount of automobile information in advance. They often started to understand the automobile, including 18 seater minibus only after the decision to buy it was made.  The cognitive journey was very short and the cognitive depth was relatively shallow.

At present, with the explosion of information and the abundance of access to information, consumers tend to have more or less understanding and concern about vehicles, including 18 seater minibus in the adolescent stage.  Until the stage of buying a car, most consumers often have at least 3~5 years of vehicle cognition time. Moreover, the cognitive process has been greatly prolonged.  It can be predicted that with the further development and enrichment of scientific and technological information, consumers’ vehicle cognition journey will be longer and longer in the future.

The future channels are rational and diverse for vehicles, such as 18 seater minibus.

In the future, every touch of brand-new and diversified users in the process of buying vehicles. Such as 18 seater minibus may produce sales behavior.  Therefore, the single-channel model based on a certain contact will be difficult to support diversified sales ecology.  According to the survey data of international consulting companies, by 2025, the proportion of traditional network (authorized stores) channels in new car sales channels in China’s auto market will drop from the current 88% to 61%. “Therefore, the pattern will no longer be the traditional channel, but the coexistence of multiple channels. The future retail will be a new format that is cross-channel and customer-centered.” Zhang Xudong said.

Whether it is direct sales mode, agent mode, or traditional 4S shop, it will play different roles in different positions of the automobile circulation value chain in the future. It is not who replaces who or subverts who.  “The future channels must be more rational and diversified. Also, they will not completely oppose each other and will not revolutionize each other. As long as they undertake their own missions and serve their respective customers.” Li Hongming said.

For automobile, including 18 seater minibus, should stop bleeding first and then change.

The future direction is clear, the key depends on how dealers should respond, and how to turn crises into opportunities and seize opportunities.  Deng Qiwen bluntly said that as an automobile dealer. Such as 18 seater minibus we should not refuse to change but actively embrace change. While doing our own business well, we should learn more about new models and methods and look for new opportunities. In this way, when the change comes, it can be directly integrated. For example, within the service radius that the original 4S stores can connect with, try to open some supermarkets and community stores.

Zhang Xudong suggested stopping bleeding first and then change.  The so-called hemostasis is to reduce the loss of profits, stabilize the management level and enhance the ability to cope with risks through the lean operation.  On the basis of effective management of transaction data; DMS at store and customer data; CRM/ clues, through data quality improvement and data asset accumulation, the analysis models. As sales opportunity model, consumer behavior model; car use behavior model; social behavior model, and customer life cycle value model are gradually constructed.

This is forming a data-driven business management mode, finding out business profit loss points and cost optimization points. Moreover, realizing “open source and reduce expenditure” for store business development. The so-called re-transformation is to create the best customer experience by combing the existing business and planning the new business in the future. Specific measures include: revitalizing the exhibition hall, serving the community, improving the user’s operation ability based on private domain traffic, creating a smart marketing model. And improving the digital management and operation ability of all employees.

What’s your comment about channels for automobile sales, including 18 seater minibus?

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