Even though China is claiming that the coronavirus crisis is now under control as far as its borders are concerned, people are still not flocking to vehicle showrooms in search of a new car.
According to a survey by the China Automobile Dealers Association, 99 percent of franchised dealerships re-opened last week on Friday. However, average showroom traffic came in at just 66 percent of normal levels, as reported by Autonews Europe.
Meanwhile, average revenue generated by new-vehicle sales was only 64 percent of normal levels, according to 8,721 franchised dealerships surveyed across the People’s Republic.
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The same dealerships indicated that average parts and service revenue was at 67 percent of normal levels.
When showrooms first began to re-open their doors back in late March, it was dealerships operated specifically by Chinese brands that reported the lowest level of foot traffic – at 35 percent of what would have been normal for this time of the year.
Those that sold domestically-built foreign models however saw those numbers climb to 54 percent of normal levels.
China has done a very efficient job in terms of containing the spread of the COVID-19 virus. After the disease spread from the central province of Hubei to the rest of the country in late January, authorities locked down the region and dispatched more than 40,000 medics to the province.
As for the rest of the world, it seems like most carmakers are beginning to focus their efforts on online sales, anticipating that it will be some time before people feel confident enough so as to visit actual showrooms.
