The new car makers are piling up in shopping malls, why don't the traditional car companies go for the land?

By    22 Sep,2022

Of course, in addition to the high rent, because the city showroom services more people, is the brand's front, so the host plant, agents arranged in the city showroom sales consultants, the number of more than 4S stores, and a higher degree of professionalism, so the salary expenses of the store personnel can not be underestimated.


"Large shopping centers inside the showroom sales, is several times higher than the ordinary 4S store, but the operating costs are also several times higher, or even more than ten times, the city showroom to keep the capital has been considered good, many are losing money in advertising to the brand." He said reluctantly, the high operating costs of the car city showroom, indeed scared off many traditional car enterprises.


According to the First Financial News, Tesla has already intended to reduce the number of superstore experience stores in first-tier cities and instead build more 4S store-shaped outlets in traditional auto shopping districts to improve exhibition and after-sales service capabilities.

Many of the new car brands are also suffering from increased marketing expenses and large sales networks, resulting in expanded losses and no hope of profitability in the short term. In order to reduce the burden of operation, some of the new forces have also started to reduce the number and size of stores in large shopping centers.


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