BCA Europe’s Post

German Automotive Maket in 2024: Between hope and fear how the German automotive market will develop in 2024. One thing is clear: the pressure on European OEM is rising sharply. https://lnkd.in/d6wBXXry

Germany Gottfried Schultz: Attention, curve 01/24/2024 By Doris Pfaff, kfz-betrie It was a successful year: The Gottfried Schultz Group was able to significantly increase and grow sales and revenue. The company is confident about 2024 – despite many uncertainties. The situation in automotive retail has stabilized in 2023. And the Gottfried Schultz Group can also end the year with a successful result. The carryover of new car orders from the previous year, but also the good aftersales development, contributed to this. The group of companies did not have to back away from its goals in 2023 either In the coming year, the Gottfried Schultz Group, like the entire car trade, will be confronted with significantly changed market conditions. They are already becoming apparent, says Nicholas J. Dunning, Chairman of the Board of Directors. Last year, new orders fell nationwide for almost all brands. And so far, despite the downward trend, manufacturers do not seem to be prepared to counteract this with marketing measures. The trading business will change because an agency system will be introduced for parts of sales. The market is also changing due to the entry of new competitors, says Dunning, describing the development. High energy costs, inflation and high interest rates dampen customers' desire to consume. Gottfried-Schultz-Automeile: With now 31 locations on the Rhine and Ruhr, the car dealership group is considered a leading contractual partner for the Volkswagen Group brands. The group opened its new location in Neuss in May. In the immediate vicinity of the highly frequented Rheinpark Center, the Gottfried Schultz Group offers the brands Volkswagen, Skoda, Seat, Cupra and Volkswagen commercial vehicles on Hammer Landstrasse. (Image: Gottfried Schultz car dealership group) https://lnkd.in/eGP2wezy #autohaus #kfz #auto #automobil #audi #volkswagen #automotive #retail

Continental and #automotive cockpit and display solution. One thing is clear. It will change. How, when and who will run the business different is unclear. Details Automobil Industrie https://lnkd.in/dvbi8fT9

Potential buyers: Emil Frey, Porsche Holding, LSH, Hedin Mobility, van Mossel, Kestenholz, Inchcape, Pappas, Penske, Lithia, Group 1.... and/or? Who is able to and willing to dare to tackle this giant? Is there is an automotive retail group in the position to take over all the branches without overdoing it? Or will be the Mercedes-Benz branches sold according to the motto: How to eat an elephant- bit by bit Mercedes wants to sell all branches in Germany- Update NTV 20 car dealerships, 8,000 employees Mercedes almost no longer has its own branches in the USA and Asia, and the car manufacturer is also increasingly working with external partners in sales in Europe. Now it's Germany's turn. The group wants to sell all branches - even though they are profitable. The car manufacturer Mercedes-Benz is examining the sale of its branches in Germany. The company said in response to a Reuters query that it concerns all self-owned car dealerships and workshops. The review is open-ended and step-by-step. Mercedes currently operates 20 branches in Germany with 80 affiliated companies and around 8,000 employees. The Supervisory Board will address the issue this Friday; the employee side must agree to a sale. According to a report in the “Handelsblatt”, a fundamental agreement should be reached with the works councils by the summer. Since Mercedes says it excludes a sale to pure financial investors, the process is likely to take several years. Potential buyers should therefore have demonstrable expertise in the area of automobile sales, pursue long-term perspectives, be prepared to invest significant financial resources and be open to works councils and unions. No job cuts planned #mercedes-benz #Niederlassung #dealership #automobil #auto https://lnkd.in/eH4fg7dm

CFO Arno Antlitz has clear words to say about VW's currently declining sales: “Premium costs and mobility for all do not go together. This applies in particular to our German plants, which currently build the majority of our electric vehicles.” In order for Volkswagen to assert itself against its competitors in the electric car sector, the Group must turn the price screw: Low costs and more productivity in the German plants. https://lnkd.in/egqMrbJm

Germany • Recent reports indicate that Audi CEO Gernot Döllner will additionally take responsibility for the development department, while board member Oliver Hoffmann is rumored to be transitioning to Formula 1. When the Audi supervisory board convenes in early March, decisions regarding board personnel, including these appointments, are expected to be finalized. According to several media outlets, current development board member Oliver Hoffmann is set to join Audi's Formula 1 team, paving the way for Gernot Döllner to lead the development department himself. Döllner has been serving as CEO of Audi AG since the summer of 2023. As reported by "Manager Magazin" in December 2023, he has been known to adopt a firm approach with his fellow board members. The manufacturer has faced increasing challenges in recent years concerning the quality and technological advancement of its models. A notable example is the Audi Q6 e-tron, which is expected to be significantly delayed in its market release this year. Oliver Hoffmann has been the Chief Technical Officer (CTO) at Audi for three years and has been with the VW Group for nearly 20 years. Like Döllner, Hoffmann holds a degree in mechanical engineering and began his career as a developer in the diesel engine sector. As Audi navigates through these leadership transitions, stakeholders eagerly await further details to emerge following the upcoming supervisory board meeting in March. #audi #geschäftsführung #strategy #automotive #manager #AudiAG #leadership #innovation #emobility https://lnkd.in/e553N5e7

Reuters: Mercedes open to sale of group-owned dealerships in Germany Mercedes-Benz said on Friday. "After very positive experiences in various European markets, we are now also examining how we can set up our Group-owned retail branches more independently in Germany," the carmaker said in a written statement. "A potential sale to experienced and renowned dealer groups is being evaluated and cannot be ruled out," it added. According to Germany's Handelsblatt daily, which first reported the review, Mercedes-Benz's supervisory board is expected to approve the plans on Friday. "Each branch will be examined individually and on a branch-specific basis," Mercedes-Benz said in its statement, ruling out the closure of branches as this was not the subject of review. The review would concern 20 branches with 80 dealerships and 8,000 employees, the Handelsblatt reported, estimating each branch to be worth up to 40 million euros ($43.50 million). Potential buyers must, among other things, bring "automobile retail expertise" to the table and hold on to job guarantees in Germany, the carmaker said. "The aim is to secure the long-term sustainability of regional jobs as well as the existence and competitiveness of the branches." Mercedes-Benz has in previous years sold various showrooms in the UK, Italy, Spain, Belgium and the Czech Republic. https://lnkd.in/eXYsTFbj

**Mercedes' Strategy Failure Analysis** The early warning system at Mercedes failed completely. The premises of a strategy must be constantly reviewed, but this was done far too late. It became evident much earlier that the radical strategy would not succeed. Concurrently, the China business collapsed due to insufficient integration of the car with digital ecosystems, outdated in-car consoles, and quality issues¹². If the dividend cannot be increased in 2025, shareholder pressure will mount, and CEO Ola Källenius will likely have to step down³⁴. This will be a tough ride for Mercedes⁵.

German automotive business: sales grow to 207.3 billion euros! • Fewer companies and employees, more trainees • Orders for electric cars fell by 50% in January February 15, 2024, Berlin, Germany ZDK, SK Sales in the motor vehicle industry increased by 11.9% to €207.3 billion last year. This growth was seen across all three business areas - new cars, used cars, and service. According to the German motor vehicle trade association, ZDK, this was due to a combination of higher vehicle sales volumes and higher prices. Although new vehicles are now more readily available, the increased registration numbers are largely due to the reduction in the delivery backlog from 2022. Capacity utilization in workshops was high, and repair costs, in particular, increased. According to ZDK President Arne Joswig, there was a significant decline in new vehicle orders, especially among private customers. He also predicts that the environmental bonus, which was suddenly stopped in mid-December, will trigger shock waves in electromobility this year. Last year, the number of motor vehicle businesses declined by 0.7% to 36,170 businesses, with 250 fewer businesses than the previous year. The number of factory-related companies shrank by 1.2% or 170 companies to 14,120. The number of non-factory-related companies fell slightly by 0.4% or 80 companies to 22,050. All companies capable of organizing an annual turnover of €100,000 or more are included. #zdk #electromobility #autohaus #kfz-gewerbe Source: https://lnkd.in/e-2fugby

Timo Gilgen squeeze 2023 in a 5min read with the possibility to dive into each and every detail. #automotive #automotiveindustry #Automobilindustrie #it Details automotiveIT https://lnkd.in/de9HMzuR