Daimler AG plans to sell four German outlets

Daimler AG plans to sell four German outlets

We have news coming from Daimler AG, the maker of Mercedes-Benz cars. As it turns out, the carmaker is thinking about selling four of its German outlets and possibly more a bit later, but nothing is for sure yet. This decision is part of a new strategy developed to reduce costs, or at least this is what a Reuters report indicates. Approximately half of the retail sales in Germany go through its own retail network that contains 98 dealerships. Their direct and most fearful rivals BMW and Audi rely more on franchises. So that you know, BMW owns 43 dealerships that contribute only about a quarter of its volumes in Germany. Audi owns 16 outlets which account for less than 10 %. Dieter Zetsche, Mercedes CEO has as target the own retail operations of the company as part of promised EUR2 billion savings drive. The specialists will try to see how things will go in practice, according to an anonymous source close to Daimler which also declared that the CEO is no fan of own retail, but who can tell for sure.



Daimler AG is now deciding to sell two dealerships located in the North of Germany and another two in the west of the country to franchise holders. If it continues like this, Mercedes might cut its retail staff of 16.000 people and associated costs including vacation pay and Christmas bonuses. The Germans might also lose corporate pensions, profit shares and different advantages. The company decided not to make any comments on how will the retail network in Germany be restructured, but maybe soon we will have more details for you on the matter.