Through the Dealer Network Study, Quintegia provides a snapshot of the automotive distribution landscape, analyzing the structure of the networks (sales and assistance), the management policies for sales activities and the average economic performance generated by the Top 50 Dealer Groups in Italy and Europe*.
The situation in Italy: the top 5 Italian groups by turnover 2023
The study highlights how the market share of the Top50 Dealers in Italy, which in 2023 represented 29.9%, could reach up to 33% of the total by 2025. Among the main players in Italy, based on overall sales in 2023, the top ranking is confirmed as follows: Autotorino, Porsche Holding, Intergea Group, Bossoni Group and Penske Group.
The increase in the purchase price of new cars, acquisitions and supplies to rental operators have contributed to a leap in sales for many Italian Top50 groups.
Market performance
The new car market, referring to the Italian Top 50 in 2023, has recovered, with 468,000 units sold, despite the gap from the pre-pandemic milestone of 501,000. The profit of the top Italian dealers is growing, albeit with a slowdown in recent years, recording an average ROS (Ebit) of 3.11% for 2023 (+0.11 versus 2022).
The used car industry has seen a small drop in its impact on total sales, falling from 19% in 2018 to 17.1% in 2023, in favor of the purchase of new cars.
HR and ESG policies
On the human resources front, the top 50 groups in Italy are reluctant or otherwise not very interested in hiring managers from other industries, just as it remains complex to attract and retain young talent in the technical field. However, sustainability (ESG) policies are gaining increasing attention, with greater awareness among Italian dealers.
The business model and the agency challenge
The business model of the Italian networks remains centered on a dealer approach, with a resistance towards the agency model, considered by many as a threat, especially from the point of view of profitability. In addition, many manufacturers are slowing down the transition to this model.
The situation in Europe: consolidation and digitization
At a European level, the automotive distribution market continues its consolidation process. From 2018 to the present day, the 114 main dealers involved in acquisition operations have concluded over 700 transactions, bringing the total number of franchise points acquired to over 4,300, with an average of 151 points for the Top 50 dealers and a good 300 for the Top 10.
Internationalization
The importance of internationalization is increasing among the Top 50 Dealers in Europe, with almost 50% of the sample operating in more than one market (and more than 20% in at least 3). The recent acquisitions by some of the main players in the Italian market should be interpreted in this light, as they mark a crossing of the border with operations in Poland and Switzerland. These developments reflect an ever-increasing interest in foreign markets, a sign of the growing globalization of distribution networks.
