Industry digitalisation analysis

Digitalization of the Automotive and Vehicle Retailing

Smoother car sales and transfers

Digital maturity

Typical digital maturity

Shows the level of digitalisation companies in this line of business typically operate at.

The assessment considers use of core systems, how far processes are digitalised, integrations, data readiness and advanced use of data.

A 3 means ordinary, middling maturity. A 5 is given only where real-time data, automated decisions and advanced optimisation are already a routine part of core operations.

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Digitalisation potential

Digitalisation potential

Shows the scale of business impact digitalisation could have in this line of business.

It weighs economic leverage, the scope for digital impact, the scale and repetition of processes, value lost today, and the leverage of better data and decisions.

A business area’s score is calculated from five weighted dimensions. A sector’s score is derived from the scores of its business areas.

76/100
Biggest challenge
Car data and real readiness vary between channels
Biggest opportunity
The car is prepared according to the terms agreed with the customer

Operating model

The sales team serves queries, booking cars and combining financing services. Used cars additionally require assessment of condition, repair of defects and preparation of an ad.

Representation of new cars

The customer chooses the set-up offered by the manufacturer, and the representative office follows the order and the intended production. The transfer is combined with financing, documentation and additional works.

Trade in company-owned second-hand cars

The company buys specific cars, inspects them and prepares them for sale. Cost of acquisition, repair and storage is important for profitability.

Car sales mediation

The broker helps sell the car owned by the other owner. He combines information and surveys with the owner and follows the agreed mediation remuneration.

Market context

The car buyer compares the condition, set-up, price and financing conditions of specific vehicles. In the used car trade, the supply is also determined by the preparation work that is not yet seen by the customer reading the ad. The sales team must know what they can confirm and when the car will be able to pass.

  • Trustworthy AnnouncementThe data and price provided online must match the car that the customer will inspect and be able to purchase.
  • Preparation for transferTechnical verification, documentation and agreed additional work must be completed before the promised withdrawal.

The basic operating model

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07

Digital maturity scale

1

Separate records and manual work

Information is mainly held in separate files or notes. Employees pass it on and reconcile it manually.

2

Organised data within individual teams

Teams record their work consistently, but sharing information with colleagues still requires considerable manual checking.

3

Partially integrated systems

Core work is managed in systems. Some information is transferred automatically, but repeated data entry remains.

4

Coordinated systems and teams

Systems deliver the required data on time. Employees can see unfinished work and know who is responsible for resolving discrepancies.

5

Continuous measurement and improvement

The team checks data quality, evaluates results and uses them to improve operations. Automation is applied where its value can be demonstrated.

Executive summary

The specific car information must help the entire team to continue the sale. Preparation work and actual costs are important for both the transfer term and the outcome of the transaction.

Related digitalisation topics

Multichannel Trading PlatformProduct information managementStock ManagementCustomer Loyalty System

Combine car sales, preparation and customer service