What is the difference between a 4S store and a direct store?
3 Answers
The main differences between a direct store and a 4S store: A 4S store refers to an automobile sales service station that integrates vehicle sales, spare parts supply, after-sales service, and information feedback. It directly collaborates with manufacturers and can receive relevant technical and vehicle source information support from them. On the other hand, a direct store is only responsible for the sales of motor vehicles, and the vehicles in direct stores come from 4S stores. Below are the relevant introductions: 1. Explanation of 4S stores: (1) A 4S store actually refers to an automobile sales service shop that integrates car sales (sale), spare parts supply (sparepart), after-sales service (service), and information feedback (survey). (2) Because 4S stores can provide multiple services, the scale and number of personnel in the store are relatively large. (3) The establishment of a 4S store will receive support from the automobile manufacturer, specifically technical support, vehicle source support, information support, etc. At the same time, the manufacturer will also require the 4S store to strive to build a good brand image and complete quarterly tasks. 2. Explanation of automobile direct stores: (1) Automobile direct stores are only responsible for selling cars and do not provide services such as license plate registration or insurance. Therefore, the storefront of a direct store does not need to be large; it only needs to accommodate a few cars. (2) The vehicle sources of automobile direct stores come from 4S stores, so automobile direct stores are also called secondary dealers. Because direct stores are not regulated by manufacturers, most of their vehicle sources come from 4S stores, with a small portion coming from unknown channels. (3) Similarly, because they are not regulated by manufacturers, the prices of direct stores are lower than those of 4S stores, which is the foundation of their survival.
I just bought several cars and have been struggling with the differences between 4S stores and direct stores. A 4S store is a brand-authorized dealership that sells only one brand, such as Toyota or Honda. They purchase vehicles from the manufacturer and sell them at a markup, usually at higher prices but with a complete service chain—everything from buying to maintenance can be handled in one place, which feels more reliable. Direct stores are owned and operated by the automakers themselves, cutting out the middlemen. For example, Tesla stores sell only Tesla vehicles, offering transparent and uniform pricing but limited choices. From my personal experience, when it comes to repairs, 4S stores use original manufacturer parts but often have longer wait times, while direct stores respond faster but may rely on standardized inventory for parts. The main differences lie in ownership and control: 4S stores are managed by dealers, which may allow room for negotiation or create inventory pressure; direct stores are managed by the automakers directly, eliminating agent fees. Overall, if you prioritize brand professionalism, choose a 4S store, but be prepared to spend more. If you value transparency and convenience, opt for a direct store. When selecting a car, also consider warranty periods or maintenance support, as these aspects are more systematically handled at 4S stores.
Working in car sales every day, I've realized the fundamental difference between 4S stores and direct stores lies in their operational models. 4S stores are essentially franchises, where independent owners operate under brand authorization, allowing them flexibility in promotions, discounts, or giveaways. However, they face significant inventory pressure, and unsold cars might be sold at discounted prices. Direct stores are operated by the automakers themselves, eliminating the dealer middleman, with fixed prices and standardized processes, offering efficiency but fewer brand choices. From a customer's perspective, buying new cars at 4S stores allows for negotiation and some perks, and repairs come with reliable original parts. Direct stores offer quick car ordering via apps and consistent service with less hassle. Related aspects like cost control: 4S stores profit from markups, while direct stores rely on high volume with low margins. For older cars, repair costs are higher at 4S stores, whereas direct stores might respond faster. In the long run, the choice depends on personal preference—opting for direct stores saves money but accepts limited options, while preferring brand variety leads to 4S stores.
