When it comes to 4S stores, most people would think of the storefronts related to car sales and maintenance. In fact, the 4S store not only includes the above-mentioned car sales and maintenance business, but also includes various services such as spare parts, after-sales service and information feedback. It was not until 1998 that 4S stores were officially introduced to my country. Specifically speaking, it has only been more than 20 years since it was introduced. During these 20 years, my country's 4S industry has developed rapidly.
Today, the 4S stores of major auto brands have already rapidly expanded from big cities to small and medium-sized cities. According to a 2017 data, the number of 4S stores in my country has reached 29,580, with large and small 4S stores covering all parts of the country. If so, there are 44 4S stores in almost every city. There are more than 400 4S stores in the Beijing area alone, so it can be said that the competition is very fierce. In this case, 4S stores are still expanding at an annual rate of 1.5%.
Like some well-known commercial brands, such as Haidilao or Zara and other clothing brands that people often say, they cannot expand to so many stores in a short period of time. What's more, these stores have been developed in China for 20 years. Therefore, in the eyes of outsiders, the profits of 4S stores should be very high. But in fact, 4S stores have also experienced a "wave of closures" in recent years. The former cash cow has now closed thousands of stores.
The profit model of the 4S shop is very simple. For example, if you want to buy a car in full, it must include various taxes and fees, including the profit of the 4S shop, which is only 5%. about. If a person buys a car of 1 million yuan, then the final profit of the 4S shop is only 50,000 yuan. In the eyes of ordinary people, a car worth 1 million yuan is already a mid-to-high-end model, and most cars are below 300,000 yuan. It can be seen that the 4S store can be profitable, but the real profit is not much.
It is worth mentioning that in addition to the profit commission, the 4S store also has some licensing fees, insurance fees and after-sales maintenance service fees. These costs are all kinds of zero and zero, and can also maintain the normal operation of a 4s store facade. However, with the gradual increase in the number of 4S stores, in the market, 4S stores have already shown a trend of saturation. It is basically impossible to make a lot of money in it. Unless it is a very large 4S store with a large number of customers.
Therefore, 4S stores are indeed an industry where laymen watch the excitement, and insiders watch the doorway. It is not an easy thing to really want to get rice from it. The data in 2020 shows that more than 1,400 4S stores have been canceled nationwide, of which more than 1,000 4S stores have released their withdrawals. The factors that make the 4S store industry hit hard by this cannot be ruled out that it is caused by the epidemic, and other than this reason, the real 4S store can't make much money at all. This is an indisputable fact.
Because generally speaking, 4S stores are after-sales dealers of car manufacturers. It is already in a weak position at the circulation level. Therefore, it is impossible to negotiate and cooperate with these large car manufacturers on an equal footing, let alone win their own interests. In many cases, they can only be responsible for their own profits and losses.
Moreover, the cost of 4S stores is usually very high. If a 4S store covers an area of 2,000 square meters, then the decoration cost alone will exceed several million yuan, and this does not include the wages of employees. In addition, there are also land rental costs that need to be calculated separately. In addition, like opening a 4S store, there must be some advertising teams. In this case, the input cost of a 4S store is at least tens of millions of yuan.
As mentioned earlier, the overall revenue of 4S stores is mainly supported by various taxes and profits. Therefore, it can be said that the 4S store is an industry with more investment than profit. In recent years, with the implementation of new energy vehicles, traditional fuel vehicles have increasingly become the object of elimination. When the new energy vehicles further occupy the market share, then the 4S stores that mainly sell fuel vehicles can only go to the end of the road, unless they are transformed. It can be seen that the 4S stores with bright appearance are actually a money-making business, and it is no wonder that many 4S stores have withdrawn from the industry.
But to stand out in the 4S shop. It takes a lot of hard work. The most important thing is to start with the quality of the salesman and strengthen the professional ability of the team. It is necessary to know that the overall quality of a team must be high, so as to drive the source of customers and increase the rate of return of customers. When a 4S store has a good overall atmosphere and a fair attitude towards customers, no matter who is willing to come here to spend.
Moreover, it is not enough to improve the quality of the team. It is also necessary to reduce the cost on this basis. Because the cost of the 4S store itself is relatively high, it is completely possible to start from the cost, find the best supplier, reduce the supply cost, and finally increase the cost. sales volume. Only in this way can we gain a firm foothold in an increasingly saturated market.
Post time: Apr-12-2022