Mercedes Benz Distribution Channels

Mercedes Benz Distribution Channels

Question #1

Mercedes- Benz is currently developing a global marketing and sales activities, which will be addressing a customer’s requirement in the digital era at an accustomed high standard. Accessing Mercedes- Benz products and services were further simplified after the company laid a “Best Customer experience” in 2013. Mercedes -Benz online optimization presentation has participated in a great deal in facilitating contacts with the brand for all customers.

Nonetheless, Mercedes Benz is conveniently available in both offline and online channels of distribution, along with a customer’s demand. A single profile is required after a customer has decided on the flexible channels to apply or use. In this scenario, several offers are provided by the company to the customers. This can be either through the internet, in the car, or by smartphone.

Moreover, digitalization has changed the Mercedes Benz business. In this case, every customer around the globe would expect to interact with the company’s brands at various places and at any time. However, Mercedes Benz company are focused on aligning their sales activities to the customer’s modern form of requirements, especially considering the digital time. The Mercedes Benz is further expecting an increase in the online distribution channel by 2025. Thus, the company is aimed at providing unified luxury experiences to the customers and long-lasting memories, despite the place and time the customers are using the services. Conversely, Mercedes- Benz online distribution is purposed to reduce cost, and human resources, thus will enhance customer services (Graef 90). This is because an existing distribution network will help the company in reaching more customers quickly and conveniently supply their products and services anywhere and anytime. Though the Mercedes Benz uses both online and offline distribution channels, the company mostly emphasizes customers to use the online distribution channel.

Question#2

Currently, Mercedes Benz has two main distribution channel partners for car delivery in the whole world.  DHL and FedEx are regarded as the joint partners of the Mercedes-Benz company distribution channel. In this case, both DHL and FedEx channels of distribution often use Cargo ships for the importation of cars. On the other hand, trucks are used nationally for the delivery of vehicles.

Moreover, DHL is recognized globally as the top international air express industry. DHL handles a maximum of 160 million shipments yearly, in which it occupies more than 4000 offices in 220 countries in the world. DHL is primarily controlled by some technological systems by which it has continued to be the driver for innovation in many companies such as Mercedes-Benz (Singh et al. 227). DHL distribution channel combines with the Mercedes-Benz company to offer a responsive, fast, cost-effective express deliveries to the customers across the world. Besides, DHL provides fulfillment of e-commerce and an intelligent logistic solution to the customers.

Additionally, FedEx is known as a multinational delivery service, which is located in America. The company provides carrier services to the Mercedes Benz company, through its overnight shipping services and tracking packages systems, which offers actual-time updates on a packaged location. Conversely, since FedEx has been in business for 40 years, it is well-positioned in meeting some challenges within the fright sectors and express packages. FedEx company has been in collaboration with Mercedes-Benz to create innovatively and further invests in ventures, which will increase the value of shareholders in the future. FedEx has managed to maintain the Mercedes-Benz partnership for a long time because it has helped in accelerating the stock repurchase program, which further provides a strong financial position of Mercedes-Benz company in the marketing sector. This has also assisted Mercedes-Benz company in competing with other companies around the world.

Work Cited

Graef, Jan-Michael, and Péter Horváth. “”Best Finance” Bei Mercedes-Benz Cars”. Controlling, vol 30, no. S, 2018, pp. 89-91. C.H. Beck, doi:10.15358/0935-0381-2018-s-89.

Singh, S. Paul et al. “Measurement And Analysis Of The Next-Day Air Shipping Environment For Mid-Sized And Lightweight Packages For DHL, Fedex And United Parcel Service”. Packaging Technology And Science, vol 19, no. 4, 2006, pp. 227-235. Wiley, doi:10.1002/pts.726.