For franchises selling on behalf of the manufacturers (not car supermarkets) this may accelerate their ongoing demise.
Cars, with their technology and personalisation, are becoming more like devices, in the eyes of the manufacturers. The manufacturers want to devolve the dealerships to just deliveries, test drives, and maintenance, and make the sale, and the ongoing customer relationship, direct with the manufacturer. When you buy an iPhone, you have a direct relationship with Apple, not Phones4U or wherever sold you it. Apple can then control and 'value add' that relationship, without an intermediary muddying the waters. eg. how many car problems in recent years are resolved by people realising the dealer didnt upgrade some software, or the message to the owner about the upgrade was fudged? Manufacturers want to stop dealers dropping the ball.
Moreover, dealerships, especially franchises, are perceived as the face of the manufacturer, and may often do the manufacturer a disservice when encouraging loyalty - we've all been there,.,,
The march of technology means car dealers won't 'deal' cars for very much longer. It's an archaic setup which leaves the customer confused when support is needed. They'll supply and fix them, but the owner relationship will be with the manufacturer, and the manufacturer will have a much stronger relationship with your data, your finance package, and your loyalty.
If you think the above is far-fetched, or unworkable, it already exists. Tesla.
Edited by Sulphur Man on 27/03/2020 at 18:04
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