As the first half of the year came to an end, major car brands announced their sales results. Among them, Volvo Cars has achieved a record sales performance with its excellent product quality and service. So, in the face of such results, what does Volvo Yu Kexin feel?How will he plan for the future of Volvo Cars?Let's listen to what he has to say.
SUV models have been the main driver of Volvo's sales growth. As Volvo Cars' flagship model, the XC90 and S90 sold 9,807 and 21,279 units respectively in the first half of the year, contributing nearly 33% of salesThe Volvo XC60 continued to be the brand's sales leader, with a total of 35,195 units sold, up 42% year-on-yearThe S60 model grew significantly, with a total of 14,919 units sold, up 183% year-on-yearWith sales of 11,657 units, the Volvo XC40 became the new main model with a significant increase in sales.
In June, Volvo's market share reached 7%, a year-on-year increase of 11%, with a market share of 61%, a year-on-year increase of 01%。This means that while there are more people in the market to share the cake, Volvo has received more cakes.
The main task of this year is to "grab the cake".
Through the cycle, I have seen bulls and bears, the downwind ball is played well, and the headwind ball is also won beautifully. This is Volvo's summary of Volvo's performance in the first half of the year. "The main task of dealers this year is to 'eat cake'. At present, the new forces of Internet car manufacturing have successively stepped out of the concept period and entered the mass production camp, and the smartphone car manufacturers have entered the car manufacturing track on a large scale, and the "cake" of the stock car market will be gone if you don't grab it. ”
In addition to sales**, the good news is that Volvo's sales of 300,000 to 400,000 models continue to rise, with the 90 Series XC90 and S90 up 43% and 48% year-on-year, respectively. According to the data of the passenger association in May this year, the average unit price of Volvo sales is 3360 thousand.
Volvo Yu Kexin said that in recent years, the Volvo brand has "not been very engaged" to give the main rights and interests to customers, rather than fighting the best war on the dealer side. He believes that the Volvo brand has been on the right track, as long as it maintains good communication with dealers and normally pushes products to the market for sale, it can maintain a good level of profitability.
In the first half of 2021, Volvo's sales volume, sales, and operating profit all reached the highest performance level for the same period in 94-year history. According to the plan, Volvo hopes to achieve global sales of more than 800,000 vehicles in 2021. In the first half of the year, Volvo achieved 47 percent of its planned goals6%。
According to Volvo's plan, the company aims to increase its sales to 1.2 million units by 2025, with 50% of the total number of electric vehicles being fully electric.
In the process of electrifying Volvo's entire product structure, the sales of the Recharge series fired the first shot in the electrification campaign. According to the global sales data for the first half of the year, the global sales of the Volvo Recharge series accounted for 24% of the overall sales6%, 150% year-on-year.
Many users have a more traditional perception of our brand concept, and safety is the DNA of the Volvo brand, but not all. If the brand wants to move forward, it must develop hybrid and electric products. Moreover, Volvo is a full hybrid series, not just one product to win the world. Yu Kexin, vice president of sales of Volvo Cars Greater China Sales Company, said.
Explore the B2C channel model.
In the Chinese market, Volvo Cars is the first traditional luxury brand to open an official direct sales model.
We are a B2C model, with dealers as middlemen and channel providers. We provide products and they provide services, and the model is the same as that of convenience stores and bubble tea shops. Yu Kexin said that the main job now is to lead the channel to manage the sales structure, and improve the profitability of dealers through the improvement of products and services, rather than blindly subsidizing. "The subsidy model cannot be sustained, because manufacturers have costs, and when subsidies cannot be carried out, they will definitely change. ”
Yu Kexin said that the direct sales model itself is very simple, but what Volvo wants to achieve is a combination of online and offline models. According to official data, Volvo added 20 4S stores in the first half of the year, forming 281 offline sales outlets covering the whole country.
A few days ago, in response to the rare impact of continuous heavy precipitation in Henan, Volvo assessed the impact of the disaster on the terminal business and deployed five major measures on the dealer side. First, the sales target assessment in July will be completely cancelledSecond, policy adjustments will be made in the ordering of parts and the return of spare partsThird, assist dealers to properly dispose of flooded commercial vehicles;Fourth, the assessment items involved in the quality inspection in the third quarter will be exempted to reduce the burden on dealers in the affected areasFinally, supplement and support the damaged materials of the dealer exhibition hall to ensure the normal operation and maintenance of the dealer exhibition hall.
In fact, some luxury brands have already started the direct sales model in Europe. In the Chinese market, Volvo is trying to explore a new path through the model of direct sales + 4S stores.
We want to make a non-wholesale, without any financial pressure sales model, you can sell cars according to a unified **, no need to worry about bargaining. Yu Kexin said that the direct sales model makes dealers have no cost pressure, and at the same time can maintain a stable gross profit, and investors are willing to accept this model. "We need to build a more perfect channel system through continuous communication and understanding, and finally come out of a direct sales + 4S store model suitable for Volvo. ”
In conclusion, Volvo Yu Kexin expressed satisfaction with the record sales performance in the first half of the year and was full of confidence in the future development. He said that in the future, Volvo will continue to adhere to the brand concept of "safety and environmental protection", and provide consumers with better products and services through continuous technological innovation and service upgrades. At the same time, he also revealed that Volvo will carry out in-depth development in the direction of electrification and intelligence. We look forward to seeing a stronger and more competitive Volvo car in the future."