Mercedes shifts to ROTF

Mercedes-Benz India has announced a transition in its retail business in the country by shifting to the futuristic and more customer-centric ‘direct to customer’ model, called ‘Retail of the Future’ (ROTF).

According to this new business model, Mercedes-Benz India will own the entire stock of cars, sell them via appointed Franchise Partners, invoice the new cars to the customers directly, process the order and fulfill them, offering one transparent price and purchasing experience for customers.

A press release by the company said, the primary roles and responsibilities of the Franchise Partners include establishing and maintaining of customer contacts, development of the market and facilitating the sale of Mercedes-Benz cars.

The customer oriented and futuristic ROTF model promises to be a beneficial proposition for customers, Franchise Partners and the brand, with the advent of digitisation and changing dynamics of retail business world over.

Announcing this industry first ‘direct to customer’ model in India, Mr. Martin Schwenk, Managing Director and CEO, Mercedes-Benz India, said, “Reimagine Excellence is our motto for 2021, and a key reason for introducing Retail of the Future is to create an enhanced luxury buying experience for our customers. This long-term strategic move will strengthen our customer focus by introducing a fundamental transition in the retail business in the market. It also will deliver a win-win solution for both customers and Franchise Partners, underscoring our clear vision for a future which is sustainable, empowering and digital. The advent of new sales channel has brought sweeping changes in customers’ aspirations and requirements, and being a customer obsessed brand, we have adapted our current business models to meet our customers’ aspirations and needs. Retail of the Future is yet another pioneering effort from Mercedes-Benz for Indian customers.”

“Introducing Retail of the Future is a firm step towards establishing an ecosystem that is customer obsessed. It empowers customers to have a hassle-free and completely transparent customer journey, experienced never before”, added Mr. Schwenk