Carcierge: An Innovative Approach To Car Sales: Centre

W25147
CARCIERGE: AN INNOVATIVE APPROACH TO CAR SALES
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In late February 2016, Jerry Miller, the dealer principal of several European luxury automotive dealerships,
received an alarming letter from Audi of America LLC (Audi). The letter was informing Miller that one of
Educational material supplied by The Case Centre
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his dealerships, Audi Conshohocken, was no longer compliant with a recent update in facility standards.
Miller had two years to make the dealership compliant, which would include a new facility from the ground
up on a property that had not yet been identified. If he failed to meet these standards in the stipulated time,
he would have to close the dealership.
To resolve the issue with Audi, Miller met with John Tedeschi, regional vice-president for Audi in the
northeast region. Tedeschi explained that approval for a new dealership in Miller’s current market area was
unlikely. Serving his current geographical market with a conventional auto dealership was no longer an
option, and Miller needed to find a way to salvage his investment in the dealership while complying with
Audi’s policies. After significant research, Miller thought he had devised a solution—a boutique approach
to retailing that he named “Carcierge.” Although it was a clever concept that showed initial success, would
Carcierge be viable over the long term?
MMCO AUTO
Miller was the principal owner of MMCo. In 2016, MMCo consisted of seven dealerships within the US state
of Pennsylvania—four in the suburban area of Philadelphia and three in the city of Reading. Specifically, the
seven dealerships consisted of Porsche Conshohocken, Porsche Princeton, Audi Conshohocken, Audi
Wynnewood, Audi Reading, VW Reading, and The Warehouse. Miller began his life-long automotive career
in 1976 selling used cars. Over the years, he had been a department manager, general manager, president, and
managing partner, eventually becoming the owner of a dealership group. Cars were in his blood.
Miller earned his bachelor’s degree in economics and his MBA from the University of Delaware. He also
had a doctorate of business administration from Temple University.
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CONVENTIONAL DEALERSHIPS IN THE UNITED STATES
History of the Auto Retail Industry
Innovation in auto retail has largely been constrained by regulations that have governed end-user sales. It
has been 118 years since the first formal automotive franchise agreement in the United States. In that first
agreement, an automotive retailer was assigned an exclusive territory from the manufacturer, and, in return,
the retailer provided “adequate service and suitable facilities.”1
As the industry grew, state legislatures became wary because the automotive manufacturers were becoming
too powerful, and changes were made in the franchise agreement by the legislatures to protect automotive
retailers. The most significant of these changes were two laws. One of the laws prohibited a manufacturer
from selling directly to the retail public, and the second law established proximity distances between two
retailers of the same brands.2 For example, in a metropolitan area in Pennsylvania, dealers representing the

same brand had to be at least 10 miles (16 kilometres) apart, the distance measured by a straight line between
the retailers’ centres. The resulting 10-mile radius was known as the “relevant market area.”3

Current State of Auto Retail
The business of selling cars and trucks changed rapidly between 2012 and 2017. The industry had been
known for its high costs, poor service, and rough and hard selling processes of haggling on price. Consumer
demands for cheaper and better vehicles forced the industry to change.4
Conventionally, new car dealerships displayed their vehicles in a showroom. Each vehicle was required to
have its own Monroney sticker or car window sticker. The page-long brief included the recommended or
manufacturer’s suggested retail price, a summary of what was included in that price, fuel economy data,
and other information.
Customers who visited the showroom would go through a sequence of steps in their efforts to purchase a
new vehicle. These steps, often referred to as the road or steps to a sale, were the basis of new car selling
in the United States. Beginning with “meet and greet” and ending with “follow up and request referrals,”
the steps, which varied from a low of seven to as many as eleven, coached salespeople through the process
of closing a deal (see Exhibit 1).
Dealerships were required to have a licence that was granted by their respective state. Without this
licence, a new vehicle could not be demonstrated, stocked, nor displayed, and salespersons could not
engage in any activities to sell a vehicle. While a manufacturer was not allowed to sell directly to the
retail public, the manufacturer’s approval was required before a state would approve a licence to operate
a conventional auto dealership. To get that approval, the applicant had to have an approved dealership
facility in an approved location, significant working capital, and an approved executive manager. As
well, the dealership could only sell, stock, and source the manufacturer’s brand of vehicles and parts. The
dealership needed an active dealer agreement to sell the manufacturer’s vehicles, receive warranty work
payments, and receive warranty parts payment.5
1
Stephan Biller, Lap Mui Ann Chan, David Simchi-Levi, and Julie Swann, “Dynamic Pricing and the Direct-to-Customer Model
in the Automotive Industry,” Electronic Commerce Research 5, no. 2 (2005): 309–334.
2
Biller, Chan, Simchi-Levi, and Swann, “Dynamic Pricing and the Direct-to-Customer Model in the Automotive Industry.”
3
Pennsylvania General Assembly, Board of Vehicles Act, accessed December 6, 2021,
https://www.legis.state.pa.us/WU01/LI/LI/US/HTM/1983/0/0084..HTM.
4
Kimberly Amadeo, “The Economic Impact of the Automotive Industry,” The Balance, December 21, 2020,
https://www.thebalance.com/economic-impact-of-automotive-industry-4771831.
5
Charles J. Miller, “The Effect of Distance of Decay: A Study of Automotive Retailing” (doctoral dissertation, Temple University, 2017).
Page 3 W25147
Miller had believed for quite some time that the conventional model of selling cars was flawed.
“Unfortunately, in the information age, automotive dealerships are not investing in digital retailing,” he
explained. “Their [automotive dealers’] sales process is not seamless. And prospective purchasers spend an
inordinate time in a showroom trying to get information. They want an experience that is fast, transparent,
and focused on their needs.”
Repeated studies verified Miller’s sense that car buyers were frustrated by the selling process.6 He decided
to research conventional automotive retailing and determine just how effective it was. He wondered if there
was a market opportunity for a new, alternative solution.
ALTERNATIVE AUTO RETAILING SOLUTIONS
In the conventional dealership model, the salesperson was the primary source of information for the

customers. However, the Internet also provided consumers with the opportunity to gather information from
the automakers’ websites as well as from third party information providers such as Edmunds.com Inc.7 As

a result, consumers preferred to shop for experience more than to gather information. However, retail
innovation on a large scale had eluded the auto industry due to the myriad of regulations and manufacturer-
specific policies that governed how and where a car could be sold.
Keith Shaw was the corporate general manager at MMCo. Over his almost 40-year career with the company,
Shaw had been directly involved in the growth and management of all aspects of the dealership. He joined
MMCo in 1980, starting in service management, then serving as director of parts and service before
becoming the general manager. Shaw became a partner in the group in 2008.
Shaw asked Faye Strothers, the corporate marketing manager, and David Stevenson, the information
technology manager, to research the changing market of the automotive retailer. They started their task by
studying global luxury retailing in general, not just automotive. Their research led them to the concept of
flagship stores—a lead store in a retail chain that acts as a showcase for the brand or retailer. They found
that people who visited flagships stores shopped both in local stores and online. The auto business had
flagships stores, but they did not have satellite stores—stores serviced by the same distribution centre.
Strothers and Stevenson also learned that visual representation, aromas, textures, and emotion were
valuable in high-end products. They were surprised to learn that premium brands in consumer packaged
goods, such as Louis Vuitton, Giorgio Armani, and Gucci, sold luxury products online. Interestingly, door-
to-door selling, open-air markets, and pop-up stores were becoming popular with luxury buyers. Strothers
and Stevenson were encouraged to learn that in Japan, these modes of selling other than through a flagship
store had a market size of ¥3 trillion (approximately US$29 million).8
Automotive retail teams strived to be much like an Apple-inspired retail shop. Technically savvy “sales
consultants” with iPads were available to inform customers, but not sell to them. Ford Motor Company
teamed with Alibaba Group to create a car “vending machine” that allowed customers to take cars for a test
drive. Audi in Hong Kong employed technologies such as virtual reality to create an immersive experience
for their prospective customers without leaving the showroom.9 Companies such as Carvana Co. were
6
“Innovating Automotive Retail, Journey Towards a Customer-Centric, Multiformat Sales and Service Network,” McKinsey
and Company, February 2014, https://www.mckinsey.com/industries/automotive-and-assembly/our-insights/the-road-to-
2020-and-beyond-whats-driving-the-global-automotive-industry.
7
“About Us,” Edmunds, accessed August 7, 2021, https://www.edmunds.com/about.
8
¥ = Japanese yen; US$1 = ¥92.37 on February 28, 2013.
9
Jack Stratten, “13 Initiatives That Show the Future of Automotive Retail,” Insider Trends, February 22, 2019,
https://www.insider-trends.com/13-initiatives-that-show-the-future-of-automotive-retail.
Page 4 W25147
creating platforms that moved the purchase of used cars online; the car could even be delivered to the
customer’s home without any physical interaction with the dealer.10
At the North American International Auto Show (the Detroit Auto Show) in January 2016, Volkswagen
Group’s Audi brand debuted a virtual reality customer shopping experience using Oculus equipment.
Automotive dealerships around the world subsequently tested the experience in real settings.11 Wearing a
virtual reality headset and headphones in a 16-by-16-foot area, customers used tablets or other handheld
devices to customize elements of the car from exterior paint to interior seats and everything between. As
they designed, their customized vehicle appeared in virtual reality.
The technically enhanced dealerships began to make inroads during this time. In London’s Mayfair
neighbourhood, wall monitors displayed a life-sized version of the customer’s chosen car. This “phygital”
(physical–digital) showroom created an experiential shopping event where cars were configured by
would-be purchasers.12

Audi was not the only luxury automotive brand launching these innovative, interactive stores. BMW Group

launched innovate retail stores in Paris and Brussels. Mercedes-Benz AG opened this unique style of store
in 20 cities around the world. Tesla Inc. introduced “car boutiques,” rather than dealerships. Tesla also built
its shopping experience around technology: the consumer went online, picked a model, selected features,
provided a deposit, and scheduled delivery of the vehicle.13
CAR BUYERS
Studies that Miller consulted indicated that car buyers spent as many as three to five months researching
vehicles, and they did a significant part of their research online. Before buyers walked into a dealership, 71
per cent of them had researched prices online; 68 per cent had found the vehicle they believed they wanted
to buy; 63 per cent had established the value of the car they would be trading in; and 46 per cent had
narrowed down which dealership they wanted to buy from.14 Once buyers had completed their non-
dealership research, they felt well prepared to buy a car. Their next steps were to visit a dealership—buyers
visited an average of 1.7 dealerships,15 meet the dealership staff, and experience the vehicle the buyer
believed they were going to buy.
In his own stores, Miller noticed that prospective buyers entered the dealership full of information and
seemingly ready to purchase a car. His sales staff, trained to enhance the customer buying experience, was
the highest performing team in the metro market area. To test and validate his team’s performance, Miller
had Stevenson analyze how many prospective buyers contacted Miller’s dealerships over a 32-month period
from January 2014 to September 2016. He also had Stevenson determine how many of those prospective
buyers actually made a purchase. Stevenson reported that there had been 30,936 prospects, of which 6,030
bought a car (19.69 per cent). After seeing these numbers, Miller could only question what the other 24,000
did and how Miller could convert them.
10
“About Us,” Carvana, accessed August 20, 2021, https://www.carvana.com/about-us.
11
John Gandiosi, “Audi Drives Virtual Reality Showroom with HTC Vive,” Fortune, January 8, 2016,
https://fortune.com/2016/01/08/audi-showroom-uses-vr.
12
Nick Gibbs, “Audi Makes London Showroom a Tech-Rich Showpiece for the Brand,” Automotive News, May 11, 2014,
https://www.autonews.com/article/20140511/RETAIL07/305129998/audi-makes-london-showroom-a-tech-rich-showpiece-
for-the-brand.
13
Lou Shipley, “How Tesla Sets Itself Apart,” Harvard Business Review, February 28, 2020, https://hbr.org/2020/02/how-tesla-
sets-itself-apart.
14
Larisa Bedgood, “25 Amazing Statistics on How Consumers Shop for Cars,” V12 Data, June 12, 2017,
https://v12data.com/blog/25-amazing-statistics-on-how-consumers-shop-for-cars.
15
McKinsey & Company, Innovating Automotive Retail: Journey Towards a Customer-Centric, Multiformat Sales and Service
Network, February 2014, https://www.mckinsey.com/industries/automotive-and-assembly/our-insights/innovating-automotive-retail.
Page 5 W25147
After the conversation with Tedeschi at Audi, Miller also analyzed the data to understand the effect of
distance on consumer buying behaviour. He wanted to estimate what portion of his existing customer base
from Audi Conshohocken he could move to another dealership that Miller owned about 8 miles (13
kilometres) away. The results were disheartening: data models predicted that customers would not travel
very far. However, Miller’s model also indicated that other Audi dealerships would also not be able to
capture customers in the vicinity of his current dealership (see Exhibit 2). This gave Miller hope that he
could maintain the market share he had worked over years to build.
Still, Miller knew he would not be able to get a dealership licence without the manufacturer’s approval.
Since tapping the market by using a conventional dealership model was out of the question, he embarked
on a journey of alternative retailing.
REGULATORY AND LEGAL CONSIDERATIONS

Miller’s journey exploring alternative retailing started with a call to his lawyer, Steve Moore. If Miller’s

dealership licence was revoked, selling cars with a conventional dealership was no longer an option. That
would mean that MMCo would not have brand representation; it could not buy vehicles at a discount from
the manufacturer, display a new car, sell a new car, or even demonstrate a new car. Miller needed Moore
to advise him regarding legal challenges MMCo would be facing with an alternative selling model.
Under Pennsylvania state law, new vehicles could not be displayed, demonstrated, or sold at an unlicensed
dealership. The facility Miller envisioned would not comply with state or manufacturer requirements and,
therefore, would not be able to sell new vehicles using conventional methods. However, the state of
Pennsylvania did not require a licence for a leasing company, so Miller’s new dealership could do that. A
leasing company could display, demonstrate, and lease vehicles that were titled (pre-owned). While a
leasing company could not sell a vehicle for retail purchase, it could compare the differences between
leasing a vehicle and purchasing the same vehicle. New vehicles could be displayed and demonstrated at
any location by a licensed salesperson from a licensed dealership of any brand.
Having done his research, Moore confirmed the perceived regulatory limitations: in a nutshell, MMCo
could not represent itself as a new car dealership, display new vehicles, demonstrate new vehicles, or sell a
new car. However, Moore was still optimistic. After reviewing the Board of Vehicles Act (State Board of
Vehicle Manufacturers, Dealers and Salespersons Act), he concluded that while MMCo could not
demonstrate new cars without the required licence, it could demonstrate titled vehicles. A leasing company
could apply for a state title and the vehicles would then be titled. MMCo could then use its new format to
display, market, and demonstrate titled vehicles.
Moore discovered that there were limits. The vehicle would become a registered sale once it was transferred to
MMCo. That would trigger the start of the warranty period. Also, MMCo could only sell a car at a licensed
facility. However, Moore learned that a salesperson who was licensed to sell at a franchised dealership could
sell a new vehicle virtually anywhere—at a person’s home or office, at a coffee shop, or at a university.
Finally, Moore realized that the new dealership could not engage in new vehicle sales behaviour. However,
it could advise, make recommendations, counsel, and suggest to customers who were contemplating
purchasing a new car which vehicles they should purchase.
MILLER’S SOLUTION
In March 2016, a full year after the two-year deadline imposed by Audi, Miller launched his novel retailing
initiative, Carcierge. It occupied 2,500 square feet (232 square metres) on the property that once housed
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Audi Conshohocken. Carcierge was staffed by a general manager, a sales manager, two salespeople, and a
business manager. Carcierge offered a different shopping experience to a new vehicle buyer. Unlike
conventional dealerships, Carcierge did not have desks; all client interaction was done at a table with stools.
In lieu of vehicles on display, Carcierge featured 58-inch (147-centimetre) monitors for use by consumers
and sales representatives (see Exhibit 3). Potential customers could experience their test drive at the store,
their home, or any place they chose. They would get professional advice on any vehicle, rather than one
single brand. They could also arrange for delivery of the vehicle at any location and choose to have the
vehicle serviced at their preferred service centre. Since most state laws (including those in Pennsylvania)
did not allow non-licensed dealerships to sell new cars, the only method the Carcierge could sell vehicles
to consumers was through a lease transaction.
Carcierge had notably strayed from the conventional dealership showroom design (see Exhibits 4 and 5).
For example, Carcierge engaged in a conventional sales model, but it was not limited to selling just a single
brand, as conventional dealerships were. However, although Carcierge could sell just a single brand, if it

did, it would not receive manufacturer support. Carcierge also varied from the conventional dealership

model in its use of technology. Conventional dealerships did use computer monitors for various purposes,
but they relied primarily on the new vehicles themselves to demonstrate the car’s features. In contrast,
Carcierge had large-screen monitors and displays that dominated the showroom, which consisted of
Carcierge’s only method of demonstrating the product.
During its initial seven months in operation, Carcierge sold 123 cars. Its sales of luxury vehicles were
roughly 80 per cent higher than what Miller accomplished at his conventional stores (see Exhibit 6). Those
results indicated that Miller and his team had developed a successful alternative to conventional selling.
Miller was also excited about the positive verbal feedback he received from the team, especially that the
customers liked the “openness, lack of sales pressure, and comfortable setting.”
CHALLENGES AHEAD
Overall, the results for Carcierge were good, but Miller did have some concerns. Automobile retailing was
fraught with multiple legal constraints, and any marketing effort that violated automotive dealership laws
would invite censure from the manufacturer and possibly legal trouble. His competitors would also be
watching closely for evidence of any wrongdoing by Miller’s team.
Miller’s biggest concern, however, was the low number of prospective buyers at Carcierge as compared to
the number of prospective buyers at Miller’s conventional dealerships. At Carcierge, Miller averaged 46
prospects per month over seven months. During that same period, Miller averaged 535 prospects per month
respectively at his Audi Wynnewood dealership (see Exhibit 6). He needed to increase the base of
prospective customers for Carcierge. Also, the concept of Carcierge was new to consumers. Innovative
sales and marketing efforts could be required over the long term to ensure success.
Despite these concerns, Miller was sure that he and his team had developed a viable alternative to
conventional automotive selling, and that concepts such as Carcierge were the future of automotive retail.
But how should he address the market and ensure Carcierge’s success?
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EXHIBIT 1: STEPS TO A SALE IN THE CAR BUYING PROCESS
Step Action
1 Meet and greet
2 Fact-finding: a series of questions to better understand a car buyer’s motivation
3 Product demonstration: a demonstration of the vehicle without a test drive
4 Test drive
5 Select a car
Price introduction: a suggested selling price and an explanation of possible purchasing
6
alternatives
7 Negotiation and closing; may include managerial assistance
8 Car sold

Business management: business manager reviews the purchase and offers financing
9

options and insurance products
10 Vehicle delivery (at the dealership)
11 Follow up and ask for referrals
Source: “Road to a Sale Steps,” Mastering Selling, accessed November 15, 2020, https://www.masteringselling.com/road-to-
a-sale-steps.html.
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EXHIBIT 2: SALES DATA, MMCO AUTO DEALERSHIPS BY NEIGHBOURING ZIP CODES
Zip Code HD Sold Sold/HD DD DT IHG Audi Rank

19428 761 24 0.03154 2.1 6 1 1
19123 338 10 0.02959 18.6 25 15 3
19462 1,185 23 0.01941 2.4 7 1 1
19422 2,332 32 0.01372 5.7 13 4 1
19118 960 12 0.01250 6.9 16 5 1
19035 749 9 0.01202 7.5 14 8 2
19403 2,771 30 0.01083 5.0 13 2 1
19460 3,399 31 0.00912 17.6 25 12 2
19085 894 8 0.00895 5.4 9 8 2

19438 2,007 17 0.00847 17.6 24 7 1

19144 361 3 0.00831 10.7 20 6 1
19406 1,337 11 0.00823 4.8 11 2 1
19426 3,959 32 0.00808 10.5 24 3 1
19119 1,123 9 0.00801 8.7 20 7 2
19444 1,274 10 0.00785 3.4 10 1 1
19107 267 2 0.00749 16.2 23 17 3

19128 1,413 10 0.00708 5.8 13 2 1

19146 1,166 7 0.00600 17.4 34 15 3
19010 2,306 13 0.00564 8.5 12 12 3
19333 945 5 0.00529 9.7 17 14 3
19446 3,666 19 0.00518 11.6 21 5 1
19473 1,210 6 0.00496 14.7 33 3 1
19465 1,062 5 0.00471 26.9 42 17 3
19341 1,337 6 0.00449 22.0 27 17 2
19002 3,481 15 0.00439 11.2 14 12 3
19355 2,382 10 0.00424 16.8 21 18 2
19072 1,267 5 0.00395 9.4 17 8 2
19087 4,365 17 0.00389 7.6 13 8 2
19106 1,039 4 0.00385 18.7 25 15 3
19041 796 3 0.00377 9.2 17 13 2
19454 2,183 8 0.00366 9.4 21 4 1
19066 951 3 0.00315 11.5 23 10 2
19525 969 3 0.00310 21.9 40 6 1
19103 1,641 5 0.00305 17.0 22 16 3
19382 4,708 14 0.00297 30.2 37 20 4
19468 1,490 4 0.00268 15.7 33 4 1
19342 1,921 5 0.00260 23.7 31 20 4
19147 1,556 4 0.00257 20.5 27 18 4
19020 1,981 5 0.00252 24.4 30 18 3
Page 9 W25147
EXHIBIT 2 (CONTINUED)
Zip Code HD Sold Sold/HD DD DT IHG Audi Rank

19073 2,015 5 0.00248 13.5 19 20 3
19130 1,359 3 0.00221 16.8 24 15 3
19063 3,326 7 0.00210 17.8 20 20 3
19064 1,653 3 0.00181 16.9 20 17 3
19380 4,147 7 0.00169 25.6 30 20 4
19004 1,156 1 0.00087 10.4 14 7 2
19083 2,511 2 0.00080 12.3 17 15 3
18966 2,986 2 0.00067 20.1 29 19 3

19096 2,013 1 0.00050 10.7 21 13 3

Legend
Five-digit postal code (known as “zip code” in the United States) defining a specific geographical
Zip Code
area where consumers live and shop
Number of households within that postal code’s geographical area with incomes greater than
HD
US$148,000
Total annual sales of all Audi vehicles sold by MMCO dealerships to customers within that specific
Sold
postal code’s geographical area
Number of Audi vehicles sold by MMCO dealerships to customers within that specific postal code’s
Sold/HD
geographical area divided by HD
Driving distance in miles from nearest MMCO Audi dealership to the centre of the geographical
DD
area defined by that postal code
Driving distance by time (in minutes) from the nearest MMCO Audi dealership to the centre of the
DT
geographical area defined by that postal code
“Import high group” or imported luxury vehicles; ranking of nearest MMCO Audi dealership among
IHG all dealers selling luxury imported vehicles, ranked by Sold/HD within each postal code’s
geographical area to normalize variances in the size of areas defined by postal codes
Ranking of nearest MMCO Audi dealership among all Audi dealers, ranked by Sold/HD within the
Audi Rank
geographical area defined by that postal code
Source: Charles J. Miller, “The Effect of Distance of Decay: A Study of Automotive Retailing” (doctoral dissertation, Temple
University, 2017).
Page 10
Showroom
Service Department
EXHIBIT 3: ALTERNATIVE DEALERSHIP
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Page 11
Website Marketing
New Lease Specials
Source: Company documents.

EXHIBIT 3 (CONTINUED)
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Page 12 W25147
EXHIBIT 4: ATTRIBUTES OF A CONVENTIONAL DEALERSHIP VERSUS CARCIERGE
Conventional Dealership Carcierge

New car showroom display 58-inch (147-centimetre) monitors
No test drives of new vehicles; test drives of “like new”
New vehicle test drives
pre-owned vehicles
New vehicle dealership transactions No new vehicle transactions
Purchase, loan, and lease transactions Only leasing transactions
No new vehicle inventory; new vehicles purchased from
New vehicle inventory
conventional dealership
Manufacturer brand identity No brand identity or signs; Carciege brand identity only
Manufacturer’s website Carcierge website

Single brand Multiple brands

Manufacturer support No manufacturer support
Not eligible for state licence; operates as a leasing
State-licensed to sell new cars
company
University, 2017).
EXHIBIT 5: RANKING OF ATTRIBUTES ON A SCALE OF 1–10
Attribute Conventional Dealer Carcierge

Conventional selling 10 5
Showroom 10 3
New vehicle test drive 10 4
In-dealership transactions 10 2
Outside transactions 2 9
Inventory in stock 10 2
Single brand selling 10 *4
All brand selling 1 10
Manufacturer brand support 10 2
Service department 10 10
Monitors 3 10
Note: A ranking of 10 indicates that the model followed the attribute completely; a ranking of 1 indicates the attribute was not
followed at all. *Carcierge could sell just a single brand, but if it did so, it would not receive manufacturer brand support ;
therefore, a score of 4 was assigned for this row.
University, 2017).
Page 13 W25147
EXHIBIT 6: VEHICLES SOLD IN CONVENTIONAL DEALERSHIP VERSUS CARCIERGE
Month Conventional Dealership Carcierge

(2016) Sales Leads Conversion Sales Staff Sales Leads Conversion Sales Staff
March 82 560 14.6% 9 13 20 65.0% 1

April 110 543 20.2% 9 17 48 35.4% 2
May 77 379 20.3% 7 25 43 58.1% 2
June 104 434 24.0% 9 19 40 47.5% 2
July 88 596 14.8% 11 9 42 21.4% 1
August 89 718 12.4% 11 28 87 32.2% 3
September 72 513 14.0% 8 12 39 30.8% 2

Note: Conventional dealership numbers represent the total number of vehicles sold from Miller’s Audi Wynnewood dealership.

University, 2017).

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CARCIERGE: AN INNOVATIVE APPROACH TO CAR SALES

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CONVENTIONAL DEALERSHIPS IN THE UNITED STATES

History of the Auto Retail Industry

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ALTERNATIVE AUTO RETAILING SOLUTIONS

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Taught by Tom Forbes, from 22-Apr-2022 to 22-Oct-2022. Order ref F446122.

Usage permitted only within these parameters otherwise contact info@thecasecentre.org

Purchased for use on the BUSP100/IBUP100, at Stirling Management School.

REGULATORY AND LEGAL CONSIDERATIONS

Usage permitted only within these parameters otherwise contact info@thecasecentre.org

Taught by Tom Forbes, from 22-Apr-2022 to 22-Oct-2022. Order ref F446122.

Usage permitted only within these parameters otherwise contact info@thecasecentre.org

Taught by Tom Forbes, from 22-Apr-2022 to 22-Oct-2022. Order ref F446122.

EXHIBIT 1: STEPS TO A SALE IN THE CAR BUYING PROCESS

Usage permitted only within these parameters otherwise contact info@thecasecentre.org

Taught by Tom Forbes, from 22-Apr-2022 to 22-Oct-2022. Order ref F446122.

EXHIBIT 2: SALES DATA, MMCO AUTO DEALERSHIPS BY NEIGHBOURING ZIP CODES

Zip Code HD Sold Sold/HD DD DT IHG Audi Rank

Usage permitted only within these parameters otherwise contact info@thecasecentre.org

Taught by Tom Forbes, from 22-Apr-2022 to 22-Oct-2022. Order ref F446122.

19107 267 2 0.00749 16.2 23 17 3

19128 1,413 10 0.00708 5.8 13 2 1

Zip Code HD Sold Sold/HD DD DT IHG Audi Rank

Usage permitted only within these parameters otherwise contact info@thecasecentre.org

Taught by Tom Forbes, from 22-Apr-2022 to 22-Oct-2022. Order ref F446122.

Purchased for use on the BUSP100/IBUP100, at Stirling Management School.

Source: Company documents.

Purchased for use on the BUSP100/IBUP100, at Stirling Management School.

EXHIBIT 4: ATTRIBUTES OF A CONVENTIONAL DEALERSHIP VERSUS CARCIERGE

Conventional Dealership Carcierge

Usage permitted only within these parameters otherwise contact info@thecasecentre.org

Taught by Tom Forbes, from 22-Apr-2022 to 22-Oct-2022. Order ref F446122.

EXHIBIT 5: RANKING OF ATTRIBUTES ON A SCALE OF 1–10

Attribute Conventional Dealer Carcierge

EXHIBIT 6: VEHICLES SOLD IN CONVENTIONAL DEALERSHIP VERSUS CARCIERGE

Month Conventional Dealership Carcierge

March 82 560 14.6% 9 13 20 65.0% 1

Usage permitted only within these parameters otherwise contact info@thecasecentre.org

Taught by Tom Forbes, from 22-Apr-2022 to 22-Oct-2022. Order ref F446122.

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