Business / Auto China

Auto world on the road to e-commerce mode

By Zhang Junyi and Raymond Wang (China Daily) Updated: 2015-11-20 10:41

· Excite and retain online users

On the Internet, traffic is king. As platforms improve, channels will diversify and there will be many opportunities for users to get online. For any player that wants to make profits in automotive e-commerce, getting users online and retaining them is a must, especially in the aftermarket.

· Intertwine online and offline activities

Completely connect online and offline marketing, not only in terms of new cars and aftermarket service, but also in terms of the used car business.

The result will be a car-service-mobility lifecycle. Automotive manufactures, dealers, service providers and platform companies can benefit from that.

· Customer experience oriented

We often see many automotive manufacturers and dealers use e-commerce to connect with their traditional business, which does not lead to very good customer experience.

Internet players focus more on the customers, but they don't have the offline network resources. Those who can combine these together will be the winners in the future.

· Win-win-win

Offline is inevitable for car sales, at least in the near future, so auto e-commerce needs to consider the value for automakers, consumers and the dealers. Without covering all these parties, the business model will be difficult to work.

· Build an ecosystem

Use a membership system to build user communities related to the purchase of new cars, vehicle use, maintenance, used cars, financing and other businesses.

Attract partners from other industries, such as travel, hospitality and outdoor activities.

Rome was not built in a day and automotives are a unique commodity so it will take a longer time to be fully integrated into e-commerce. But we truly believe "click and drive" will happen in the future, it's just a matter of time.

Zhang Junyi is a partner of Roland Berger Strategy Consultants and Raymond Wang is a principal of Roland Berger Strategy Consultants.


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