Revitalizing the Automotive Landscape 

The global automotive sector experienced a significant slowdown at the onset of the COVID-19 pandemic. This trend commenced in China, where February 2020 witnessed a staggering 71% drop in sales. Subsequently, the United States and Europe followed suit with sales plummeting by 47% and 80% respectively in April. However, the wheels of industrial machinery never ceased turning, and the automotive realm displayed remarkable resilience. The period from the third quarter of 2020 to the first quarter of 2021 bore witness to rapid, and in some instances, record-breaking production rates for automakers worldwide. Amidst this backdrop, the pandemic acted as a catalyst, propelling existing trends along the mobility value chain forward at an unprecedented pace.

The Act of Acquiring Vehicles

Even prior to the pandemic, consumers were granted the ability to explore vehicles online, comparing prices and indulging in virtual 360-degree views of the cars. Manufacturers' websites facilitated the novel concept of "building your own car". Notably, these features were available in various countries, including a majority of the US, where the final transaction still necessitated a physical visit to a dealership. However, as the pandemic imposed stringent in-person constraints, technology emerged as the ultimate savior. Dealerships, faced with this challenge, shifted their operations, some temporarily shuttering their physical showrooms and embracing remote interactions through phone calls, video conferences, and appointment-only setups. Prospective buyers capitalized on websites and apps that enabled them to explore ancillary services such as financing and insurance, seamlessly integrated into the car-buying journey.

gray and black engine

white sedan on road during daytime

Navigating the Crossroads

Despite the gradual relaxation of pandemic-related restrictions in certain regions, customers are rekindling their engagement with brick-and-mortar dealerships. The desire to tangibly experience a vehicle, sitting behind the wheel, and undertaking a test drive still holds sway. The current landscape is characterized by a coexistence of myriad platforms, both physical and virtual, which interact, complement, and sometimes compete with one another. Companies like Tesla, as well as other dynamic players such as Porsche, Volkswagen, and Volvo, have pioneered alternative sales channels beyond the traditional showroom approach. Even manufacturers with well-established dealer networks are experimenting with novel methods, including direct manufacturer or dealer-led sales and maintenance models. Yet, echoing Mark Twain's words, the demise of the franchise model appears to be a premature notion, at least for now.


Expertise in Seamless Data Migration: From On-Premises to Multi-Cloud Environments


Enlist the Expertise of Our Seasoned Cloud Consultants to Assess, Implement, and Optimize Leading Cloud Solutions.

Local Support

Our dedicated local support team collaborates closely with clients, ensuring seamless operation of their cloud environment at every stage.


Experience the Full Spectrum of Cloud Services with Us – from Infrastructure (IAAS) and Platform (PAAS) to Software (SAAS).

Is your company in search of cutting-edge software to streamline dealer management?

More Details

Is your company seeking innovative software solutions to streamline dealer management?

More Details
Leave your contact info and

Allow Us to Elevate Your Business.

We’ll contact you immediately to discuss potential business