VOLKSWAGEN dealers in Germany will be selling the new electric ID.3 under an agency agreement, according to industry magazine Auto Retail Agenda.

Apparently it was part of a pan-European dealer agreement but the UK has agreed to retain the franchise model – at least for now.

The Auto Retail Agenda report says that there is no guarantee VW won’t switch at a later date.

In Germany, all retailers have agreed the agency model for ID.3

Holger B. Santel, head of sales and marketing Germany, commented:

“All our partners are now 100% on board. Broad approval from our retail partners for the agency model is a strong signal for the future. From the customer’s perspective, Volkswagen and retail become one unit with the agency model. And this seamless, coordinated shopping experience at all touchpoints is exactly what our customers want.”

In Germany Volkswagen has opened up innovative pop up stores. Customers explore the car and e-mobility solutions. They can then order the car and select the dealer nearest them for delivery.

Broker News take

The implications for brokers must be that this is a significant step towards trying to get more control over the customer. Will brokers get access to such a walled garden if such a strategy is introduced to the UK? And will sales be restricted to just VWFS finance?

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