Dimension Data`s specialist motor dealer software provider, Auto-Mate, has formed a 50% partnership with US-based Car America to provide an online, vertical technology package to Mitsubishi motor dealers across the United States.
Mitsubishi, an existing customer of Car America, tasked the front-end sales software supplier to find a suitable partner to provide a complementary dealer management system. After making contact with Auto-Mate, the two companies saw the potential of their combined technologies and formed a joint venture, Automotive Software USA Inc.
In an industry dominated by two main contenders, Mitsubishi was looking for a player that could provide a Windows-based system with real-time, on-line capability.
Says Greg Stahl, Director of Retail at Mitsubishi US: "The joint venture between Auto-Mate and Car America provided a functionally-rich vertical technology package that that would enable us to reach our objective of bringing our dealers online."
Auto-Mate, part of Dimension Data i-Commerce Software division, holds majority market share in South Africa, providing a full IT outsourcing solution to the majority of local motor dealers. Says Allan Green, director of Auto-Mate International: "Auto-Mate provides an online facilities rental to over 300 dealers, who connect directly to our servers and run their business on a private dedicated layer on our VPN (virtual private network)."
The system will be piloted in May 2000 with a view to start rolling out the software in July. The first phase of the project, due to be completed by December 2001, will see the system rolled out to 215 Mitsubishi dealers across the United States.
"We will then extend the system to the remaining US dealers, totally over 500, as well as to a broader group of multi-franchised dealers. " On completion of the roll-out, the system will be used by over 7000 users," says Stahl.
The project combines the skills of five organisations in order to complete the offering to the dealers. "This system will become the technology platform through which Mitsubishi will drive their e-commerce and customer management initiatives," says Stahl.
To support the system in the US, Automotive Software USA Inc. has formed a strategic agreement with EDS, who will do the implementation of the system, the user training, as well as the first-line support. The servers will be run from the EDS premises. Says Green: "We selected EDS as our strategic partner because of their extensive network infrastructure."
For Auto-Mate South Africa, the partnership means significant cross pollination of skills. Says Green: "The interaction between our SA staff, the Car America staff and the EDS staff who require training on the system, will see an exciting transference of skills and knowledge. We will be bringing this knowledge back into the local market."
The partnership intends to repeat their winning business model in other regions. "The solution provided by Automotive Software USA Inc. is unmatched anywhere in the world," concludes Car America CEO Jon Lancaster.
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