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Tesla's first store in China is closed! Staff: the rent is too high to renew the contract

2024-09-08 Update From: AutoBeta autobeta NAV: AutoBeta > News >

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AutoBeta(AutoBeta.net)11/02 Report--

Today, according to Phoenix New Media Technology, Tesla's first store in China was closed. Tesla adjusted its sales and service strategy in China, its second largest market, and last week closed its experience center in Qiaofu Fangcao, an upscale shopping mall in central Beijing, according to people familiar with the matter. Some media called the exhibition hall, according to the staff who answered the phone, Qiaofu Fangcaodi store has been closed and opened to the nearby Raffles store. The main reason for closing the shop was that the rent of the original store was too high and the contract was not renewed.

屏幕快照 2022-11-02 下午5

It is understood that Tesla Qiaofu Fang grass experience center opened in 2013, has been 9 years. It is Tesla's first store in China. The experience Center covers an area of 500square meters and has two floors of space. The first floor is the exhibition area, where the models are displayed for consumers to experience. The second floor is the VIP area and the business negotiation area, which provide customers with a place to stop and rest.

屏幕快照 2022-11-02 下午5

It is worth noting that as early as September this year, there were media reports that Tesla would consider closing some experience stores for strategic adjustment. The reason is that the rent of Tesla's experience store in China's first-tier cities is expensive, and the flow of people is often less than expected. The closure of experience stores in prime locations will pay more attention to suburban stores that are cheaper and can provide maintenance services.

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It is understood that Tesla adopts a different model from the traditional car companies and adopts the automobile direct operation mode. In the past, the sales and after-sales service links of traditional car companies were provided by agents to provide integrated services of display, sales, delivery and after-sales in the way of 4S stores. And the direct operation mode adopted by Tesla does not have an intermediary agent link, and the outlets are directly managed by Tesla. It is divided into two kinds of sales channels: experience store and network direct marketing, which provides car buyers with one-stop service from car purchase to after-sale. To buy Tesla car, users only need to browse the official website, store test drive, car purchase can be decided. Tesla has said that based on the direct marketing model, the brand has cut unnecessary links and expenses, and the marketing fee is close to zero. Using the direct operation mode, the price is transparent, which can reduce the car purchase cost, use cost and time cost for the car owner.

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The existence of direct business model does have certain advantages, consumers can directly dock with manufacturers to reduce car purchase costs, but also conducive to the brand's understanding and control of each link, can better manage the vehicle brand image and vehicle services. However, compared with the traditional model, the direct operation model needs more face-to-face contact with high traffic to achieve user access and sales scale.

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In recent years, with the rapid development of new energy vehicles, large-scale supermarkets with dense passenger flow have gradually become the first choice for the new forces of car-building. You can see many new energy vehicle brand booths at the core of the first floor of large shopping malls in many big cities. Cui Dongshu, secretary-general of the Federation of passengers, said that the main force of new energy vehicle consumers has gradually changed to post-85 and post-90s, and they are less sticky to luxury brands such as BBA and are willing to try new brands. The consumption habits of the new generation also affect the choice of brand stores, close to the city center, reducing the time and transportation costs for consumers to buy cars.

Of course, the presence of new energy vehicle companies has both advantages and disadvantages, such as ultra-high rental costs, labor costs and the initial terminal channel construction are borne by the enterprises themselves, so the operating costs of natural enterprises also increase accordingly. In addition, due to the impact of the epidemic, in fact, many supermarkets are very deserted, and high rents have made these direct stores unable to make ends meet for a long time.

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