Mercedes-Benz Malaysia Switches To Agency Model - No More Price Difference Amongst Dealers!

Mercedes-Benz Malaysia (MBM) has signed an agreement with its retail partners to implement the agency model in the country, with the goal of meeting changing customer expectations in the digital era.

Mercedes-Benz Malaysia CEO & President Sagree Sardien expressed her delight at this significant milestone, saying, "We are confident that this transformative leap will further enhance our brand's presence and deliver an exceptional customer experience." In a highly digital and technological era, the company intends to collaborate closely with its retail partners to revolutionise the sales paradigm and reinvent car sales.

Bettina Plangger, Mercedes-Benz Malaysia's Vice President of Sales and Marketing, stated that the decision to deploy the agency model was motivated by changes in customer behaviour in the digital era. "The agency model supports us in seamlessly connecting all contact points, making it as easy as possible for our customers to interact with us, whether digital or physical," noted Plangger.

Mercedes-Benz intends to create a seamless purchasing journey with one best price for clients under the new agency model. Customers will be able to select from a nationwide stock regardless of location or channel. They may easily switch between multiple points of contact, such as communicating with product experts at authorised dealerships or collecting information and finalising the purchase contract online.

What Is an Agency Model?

Mercedes-Benz retail partners will continue to act as brand representatives, playing an important role as experts and brand ambassadors. They will provide clients with a premium experience at their retail network, from the early research phase to the vehicle handover after purchase.

However, under this model, they would not be required to acquire any vehicles for sale, display, or test drives because all of this would be supplied directly from MBM, indirectly reducing partners operating costs and the need to provide heavy discounts either to compete or to clear vehicles that are nearing the end of their model life.

The agency model also allows retail partners to focus even more on customers and their support. At retail, customers will have access to a wide range of services, including car sales, flexible financing choices, maintenance and repair services, genuine parts availability, and warranty support. This emphasis on ease of access strives to give clients with a comprehensive ownership experience.

Overall, Mercedes-Benz Malaysia and its retail partners intend to use the agency model to improve customer loyalty, increase brand visibility, and provide an unparalleled customer experience in the digital age.