Revolutionizing Automotive Services: The Journey to Direct Sales

Introduction

In 2019 I was a Product Specialist in a major financial captive in the automotive industry. We led an innovative project responding to a clear demand from customers and dealerships for the flexibility to purchase car maintenance and services without traditional financing.

Identifying the Legal Foundation

The journey started with identifying a suitable legal entity to facilitate this venture. After consultations with various legal departments, the long term rental legal entity was identified as having the legal standing necessary to sell services directly, setting the stage for what was to come.

Selecting the Pilot Dealerships

Selecting enthusiastic dealerships for initial collaboration was the next crucial step. Five dealerships were chosen based on their proximity to major cities, ensuring efficient coordination and communication. This strategic choice was instrumental in the project's pilot phase.

Launching a Pilot Project

With a basic e-commerce platform and a streamlined, paperless customer journey, we launched a pilot selling a single product for a select number of cars. The project integrated and tested a backend system for contract storage and service delivery, including electronic invoicing, ensuring full compliance with legal and administrative standards.

Payment System and Expansion

After selecting a leading payment processing partner, the project initially catered to individual customers with credit and debit card options. The success in the pilot dealerships led to an expansion to include all cars and products, catering to corporate clients and VAT-registered customers, and adding a tele-sales section by dealership request.

From B2B2C to B2C and Beyond

Within a year, the project broadened its e-commerce model from B2B2C to also include a B2C version, swiftly becoming the primary sales channel for services on used cars. This expansion generated the significant additional revenue with minimal costs, introducing service sales independent of car financing.

Conclusion

This initiative not only showcased innovation and adaptability but also signified a shift in marketing and selling automotive services. By the following year, this successful operation was integrated into a larger financial services framework, establishing a new benchmark for service sales in the automotive sector.

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