Mercedes-Benz will change its sales method in the domestic market starting next year. Unlike the previous method where local dealers handled sales, the company will establish a direct sales system and sell cars online. Some industry insiders have expressed doubts about whether Benz's new attempt will succeed in the domestic market.
According to the imported car industry on the 14th, Hansung Motor, Benz's largest dealer in the country, has recently been receiving applications for voluntary retirement from employees in various positions, except for a few jobs such as maintenance. The widespread interpretation in the industry is that Hansung Motor may have started restructuring in advance as the introduction of Benz's online sales and direct sales system has diminished the presence of sales agencies.
Earlier, in March last year, Matthias Baitel, president of Benz Korea, announced that the direct sales system would be implemented in the domestic market starting in 2026. The headquarters of Benz is currently operating the 'Retail of the Future (RoF)' project, which aims for direct sales of cars in all global markets, and plans to introduce this in Korea as well.
Until now, Benz has had a system where cars made in Germany were imported by Benz Korea, the local entity, while sales were handled by dealers. In the future, Benz Korea will take charge of both imports and sales.
When dealers handle sales, sales staff often apply discounts at their discretion, but with a direct sales system, cars will be sold at prices set by the headquarters. As a result, there are predictions that as time goes on, offline stores will serve primarily as showrooms and points of contact, while online sales will become the main focus.
This breaks the long-standing practice of distinguishing roles between production (automobile manufacturers) and sales (dealers) and is similar to the model of Tesla, which directly sells all vehicles online. Recently, not only Benz but also other automakers like Volkswagen and Honda have introduced direct online sales systems in the U.S.
Baitel, who has expressed a commitment to implementing the direct sales system and online sales, previously oversaw digital services and transaction operations at the headquarters before coming to Benz Korea.
There are many skeptical views about whether such a sales method will properly take root in Korea. In particular, since Benz is a luxury brand sold at high prices, there are observations that there may be a strong reluctance to purchase online. Japan, which has similar consumer tendencies to Korea, also has a significantly higher proportion of purchases made through offline stores compared to online purchases.
Some analyses also suggest that Benz's situation differs from that of Tesla, which has already succeeded in online direct sales. Tesla has a strong following in the electric vehicle market, making online purchases relatively easier to establish. There are fewer options that need to be purchased separately for electric vehicles than for internal combustion engine vehicles, leading to a relatively lower necessity for consultation with sales staff during the purchase process.
On the other hand, Benz still has a high proportion of internal combustion engine models, leading to many cases where customers seek assistance from sales staff when choosing options. An industry insider noted, "Benz has given up the top spot in domestic imported car sales to BMW for two consecutive years since 2023, and if it recklessly changes its sales method, the gap in market share with BMW could widen further."