The verdict in three sentences
A group of 4 dealerships selling 2,500 vehicles a year, in Berlin or Casablanca, loses margin every day its used stock turns slowly and its workshop bills half the hours. A custom DMS at EUR 28,000 to 75,000 with a nearshore team (300,000 to 800,000 MAD) brings new and used stock, the after-sales workshop, financing and trade-ins and the manufacturer connection into one tool. Plan five to six months, with a site-by-site switch.
The modules of a DMS that fits a multi-brand group
DMS platforms imposed or offered by manufacturers cover new car orders well, but rarely multi-brand used cars, local credit partners, VAT specifics (19% in Germany, 20% in Morocco) and consolidated reporting for a multi-brand group.
| Module | Function | Indicative budget | Key KPI |
|---|---|---|---|
| New vehicle stock | Manufacturer orders, arrivals, customer allocation | EUR 8,300 | Average new stock days |
| Used stock and trade-ins | Valuation, reconditioning costs, retail price | EUR 10,200 | Used turnover, target under 60 days |
| Sales and financing | Order form, credit, leasing, insurance, customer file | EUR 9,300 | Finance penetration rate |
| After-sales workshop | Bookings, repair orders, parts, warranty | EUR 12,000 | Workshop productivity |
| Manufacturer connection | Orders, warranty claims, recall campaigns | EUR 7,400 | Warranty reimbursement delay |
| Group dashboard | Margin per vehicle, per site, per salesperson | EUR 5,600 | Gross margin per vehicle |
A full scope lands around EUR 53,000. The manufacturer connection depends on the brand: some expose documented APIs, others require file exchanges, which moves this line between EUR 4,600 and 14,000.
Budget, timeline and comparison with packaged software
| Option | Upfront cost | Annual cost | Timeline | Main limit |
|---|---|---|---|---|
| Manufacturer DMS | EUR 0 to 4,600 | EUR 140 to 280 per user per month | 2 months | Single brand, weak on used cars |
| International package | EUR 18,500 | EUR 23,000 to 37,000 | 4 months | Local adaptations billed by the day |
| Custom core | EUR 28,000 | EUR 4,200 | 4 months | No manufacturer connection |
| Custom full | EUR 53,000 | EUR 7,900 | 5 to 6 months | Upfront investment |
| Custom group + customer app | EUR 75,000 | EUR 11,100 | 6 months | Demanding project governance |
For 60 users, a manufacturer DMS at EUR 185 a month is EUR 133,000 a year: the full custom build pays back in the first year on that line alone, provided the dealer agreement allows it. In-house German agency rates typically double the custom figures, which still holds up over three years.
Mini case study
Markus runs a group of 4 dealerships in Berlin: 2,500 vehicles a year, including 900 used. Used stock turns in 95 days on average, with a holding cost (financing, depreciation, insurance) estimated at EUR 25 per vehicle per day.
With a custom DMS at EUR 60,000, the group targets 65 days. Gain: 30 days x EUR 25 x 900 vehicles, so EUR 675,000 a year. The workshop, which missed billing about 4% of hours, recovers another EUR 40,000. Even halving those gains for caution, the project pays back in under three months.
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FAQ
How much does a custom DMS cost for a dealership group?
Between EUR 28,000 and 75,000 with a nearshore team (300,000 to 800,000 MAD), depending on sites and modules. Add 15% a year for maintenance and hosting.
Can it replace the manufacturer's DMS?
That depends on the dealer agreement. Often the custom tool handles used cars, multi-brand workshop and reporting, and connects to the manufacturer DMS for new cars and warranty.
How is personal data protection handled?
The software must apply GDPR in Germany (law 09-08 and CNDP declarations in Morocco), restrict access to credit files and set retention periods. These requirements add about 3% to the budget.
What timeline for 4 dealerships?
Five to six months of development, then a site-by-site switch over 4 weeks. The first dealership acts as pilot for 15 days.
Does it handle trade-ins and used car pricing?
Yes, trade-ins are valued from the group's sales history and planned reconditioning costs. The spread between buying and selling price is tracked per vehicle, with a gross margin target of 8 to 12%.
Let's scope your project. Share your brands, new and used volumes and workshop setup to receive a costed scope between EUR 28,000 and 75,000 delivered in five to six months. Detailed quote within 48 h. WhatsApp +221 77 596 93 33.
Mohamed Bah
Fondateur, Kolonell
Passionate about digital and entrepreneurship in Africa, Mohamed has been helping Sénégalese businesses with their digital transformation since 2020. Founder of Kolonell, he believes every SME deserves a professional and accessible online présence.