Mercedes aims to triple dealer profits; Best dealers will earn more under new program.(Daimler-Benz AG)(Brief article)

Byline: Jason Stein

Like many other carmakers, Mercedes-Benz has realized that happy and profitable dealers are essential to a successful business. That's why it aims to triple its European dealers' profitability.

Starting January 1, the German carmaker will launch a new system to unify dealer margins in its European network of directly owned and franchised dealers.

As a result, net dealer profitability for Mercedes's largest retail outlets should increase to 3 percent. Dealerships in some markets now have a negative margin of 1 percent.

Mercedes will offer higher ...