Land Rover sets new route with national sales company
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As sales grow rapidly in its third-largest market, British luxury SUV maker Land Rover expects to enhance its brand influence and better serve customers by establishing a national sales company in China this summer.
"China is probably the most important market worldwide for Land Rover in terms of its growth potential, and now more than ever before success here is the No 1 priority in our global organization," said Scott Dicken, general manager of Land Rover China, in an interview on the first day of Beijing auto show.
All Land Rovers purchased in China - a market whose sales trail only the UK and US for the carmaker - are imported directly from Britain by four authorized Chinese importers and distributed to 45 dealers in the country. With a sales company, Land Rover China can set a unified service standard for dealers and better manage them.
"We intend to keep close working relationships that we have with our existing retail partners, who have been a significant part of the success we achieved in China so far," said Dicken.
He said the company plans to increase its dealers by at least 50 percent over the next one or two years.
Between January and March this year, the premium niche brand tripled its China sales to nearly 5,300 vehicles, which is close to half of its 2009 full year sales of 11,500 units.
"2010 will be a very strong year for the industry in general, and particularly for Land Rover in China," said Dicken, noting that in addition to the positive figures in the first quarter, the most encouraging development is the record numbers of customers coming to showrooms to inquire about new Land Rovers.
"If we can maintain the existing growth level, (Land Rover's full year performance) will be a very strong success," he added.
Land Rover is now importing all five of its nameplates to China, including the Range Rover, Range Rover Sport, Discovery, Freelander and Defender.
The British off-road icon is showing the deluxe Range Rover Autobiography, Range Rover Sports Autobiography, the limited edition of Freelander 2 and the limited edition Defender for the first time in China during the 10-day Beijing auto show now underway.
Last year Land Rover began selling all its diesel vehicles in China - a country where diesel autos are not widely popular - as part of its effort to improve fuel efficiency.
Dicken said the results exceeded his expectations with more than half of Discovery 4 and Range Rover Sports sold in China powered by diesel engines.
About 25 percent of Freelander 2 and Range Rover's sales were diesel versions.
Dicken noted that the company will invest about 800 million pounds (8.35 billion yuan) over the next few years in technologies to improve the efficiency of future Land Rovers.
Two years ago the automaker presented the concept model LRX at the Beijing auto show, which will go into production later this year as the smallest, cleanest and most efficient Range Rover and be offered for sale in 2011.
Teamed with a company called Climate Care, Land Rover operates the biggest carbon dioxide offset program in the global automotive industry. Carbon credits acquired through initiatives like wind power and low energy lighting are used to offset some of the greenhouse gases generated in the production and use of the luxury all-terrain vehicles.
The company brought the program to China in October last year. Emissions generated in the first 75,000 km of operation by every Land Rover purchased in China are offset by equivalent carbon credits.
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