Case Study: Optimising the Sales Model of a Luxury Car Manufacturer

Implementing critical insights and innovative methodologies to add value at every stage

The automotive industry is under intense cost pressure, a function of razor thin margins being generated by new energy vehicles (NEVs) and expensive legacy operations and processes. To address future profitability challenges being posed by an increasing portfolio of EV vehicles, automakers are reviewing opportunities to reduce costs across the operational landscape, and notably the sales process.

The dealership model has been in place for over 100 years, however it is designed in a way that disadvantageous for both the car buyer and the OEM. This is because it is characterised by a lack of vehicle price transparency, a low trust relationship between buyers and dealers, and a process no longer representative of the digital service landscape that consumers have become accustomed to.

Catalysed by new market entrants such as Tesla, the bricks and mortar sales model was ripe for disruption, something which was recognised by a German automotive manufacturer who sought out Daniel Fitzsimmons, expert in Change Management and the Automotive Industry at Cambridge Management Consulting, to optimise their sales agency model.

The Ask

A German automotive manufacturer, recognising the need to digitise the sales process and begin its journey to a more customer-centric sales model, and secure the subsequent financial benefits, engaged our Automotive partner to support its digital transformation and change management requirements.

Spanning a complex stakeholder map involving 7 legal entities, 4 user journeys, 3 critical functions and 1000s of employees, Daniel Fitzsimmons was engaged to provide clarity and structure across the entire digital transformation process.

Solutions

Functioning as a coordinating mechanism across a fragmented vendor landscape, Daniel Fitzsimmons provided leadership, facilitating:

• E2E Customer Journey Mapping
• Dealer Journey Mapping
• Digital Touchpoint Mapping
• Customer-Centric Messaging
• Stakeholder Mapping and Engagement
• Data-driven Sales Mapping
• Change Management and Communication

Daniel provided critical insights and enabling methodologies to support the OEM begin its journey to the direct-to-consumer sales model, and the definition and calculation of digital sales logic streams.

Teams

Daniel Fitzsimmons, as partner of our Change Management function, was able to engage stakeholders in identification and communication of a change imperative that created unity in the delivery of the programme. 

His experience in delivering best in industry digital journey solutions helped empower the OEM to achieve its stated objectives within budget and in advance of target deadlines.

Outcomes & Results

1. Model Redesign

Provided experience and leadership to the project delivery organisation, allowing senior OEM executives to give guidance, rather than being hands-on in the management of the initiative.

2. Optimised Communication

Engaged the organisation in the project as well as clarifying their communication strategy.

3. Efficiency

All of this was delivered on budget and on time, with an NPS of 96.