Andrew Charman
Chinese brand Geely has officially launched onto the UK market and unveiled the first of 10 models expected over the next three years, the EX5 electric SUV.
Launched at a glitzy event held in the shadow of London’s O2, only the Geely badge will be new to the UK market, the global company having acquired London ‘black cab’ manufacturer LEVC in 2006 and since taking controlling stakes in Volvo, Polestar and Lotus.
Speaking to Motor Trader, Geely Dealer Development Director Adam Harkin suggested that being the latest of a host of Chinese manufacturers to tackle the UK market could actually prove an advantage.
“We are probably benefitting from the timing, because the UK consumer is now very aware as to how good Chinese vehicles are, and we are one of the biggest OEMs, we’ve been overseas for a long time,” said Harkin, who like the brand’s marketing director Mark Blundell previously played a central role in the UK launch of BYD – now holding the largest individual market share of the new-to-the-market Chinese brands.
Geely has major ambitions for its UK presence, aiming to sell 100,000 cars annually within three years. The first 25 dealerships were announced at the launch event, and Geely expects its network to grow to 50 outlets through the rest of this year and 100 by the end of 2026.
Harkin added that the network will be completely standalone, not deliberately partnering with existing Volvo or Polestar outlets, and experience in the market helped dictate the decision to go the franchise route.
“With the pace of the network growth and the sales we want to achieve, we have to do that through franchise partners – they have the experience and can hit the ground running,” he said.
The initial network includes well-known dealer groups, including John Clark, Greenhous, Perrys, Stoneacre and Sytner, and also some groups who have recently opened outlets for other new entrants; “It’s great to work with them because they are experienced in bringing a new brand to the market. But we also have quite a lot of dealer groups what have not yet gone with a new brand.
“Furrows is a good example, a Shropshire-based business that we are going into Telford and Oswestry with. It’s been really good to work with some partners who have maybe been sitting there watching the market, seeing what’s happening first before they jump in.”
Geely has tried to make signing up with the brand an attractive prospect. “We’ve tried to keep it as simple as possible when it comes to the identity and space that we need – we intend to bring 10 models into the UK in the next three years, so we need to plan for the future and the space we require. The smallest showroom we are doing is for four cars, quite a few are six and eight-car.
“We’ve also tried to keep it really simple in terms of the corporate identity – it’s got to be an identity that customers will notice and value, but equally importantly what our partners will see as having a value to invest in.”
All potential partners have been subject to due diligence research before being signed up, Geely compiling a three-year business plan outlining the potential viability of each proposed site and also analysing the level of customer experience dealer groups already provide with their existing brands.
The retraction of networks by some of the legacy brands has also been seized on; “The fact that other brands have moved out of some locations is an opportunity – we are in some large key cities but we are in smaller locations as well, such as Oswestry, where there are not many other brands.”
Dealer groups that acquire Geely franchises can expect major support, according to Harkin, particularly as regards training. The brand already has 60 head-office employees including aftersales, field sales and warranty managers, and training is being heavily focused on.
“We have a training academy set up and we’ve trained more than 150 front-of-house dealer staff already, and 30 technicians. All of our Geely technicians will go through at least three days of training on the product plus two additional days of high voltage training – we ask all of our partners to have at least two technicians fully trained in Geely at each site. Of course they won’t be dedicated to the brand but will be fully trained in it.”
Training will also extend to the charging needs of electric vehicle owners. Geely has partnered with high-end home charger installer Andersen and the chargers will be at each outlet, with staff trained on their use.
Harkin is confident at Geely’s UK prospects, judging by the interest among dealers in signing up with the brand. “We’ve been really lucky – our retail activity started a couple of months ago and as soon as it started we saw a ramp up in people interested in the brand and approaching us.”
