Daimler to add Smart stores, models in China
Daimler's Smart brand plans to introduce more models and expand its sales network in China in a bid to boost sales.
The carmaker will introduce an electric version of its two-seat Smart ForTwo, plus a four-seat model being developed with Renault, Smart Managing Director Annette Winkler said in an interview.
Smart expects to boost annual sales in China 15 percent in the next few years by tapping demand in cities with a population of more than 1 million, she said.
By year end, Smart plans to have 100 sales outlets in 75 Chinese cities, up from 88 showrooms in 68 cities now, Winkler said.
Smart is betting on success in China to boost revenues for the brand, which Bankhaus Metzler estimates has accumulated more than 1.5 billion euros (12.3 billion yuan) in losses since its introduction in 1998.
"There are 160 cities with more than 1 million people, and many of them lack parking space, have high density and are culturally very open," she said while visiting Nanjing in eastern China. "All this fits together."
Smart's sales in mainland China and Hong Kong last year surged 45 percent, while global sales rose only 6 percent.
Winkler declined to say when the new models, including an electric scooter, will be introduced in the country. China, already the brand's third-largest market, is set to become its biggest, Winkler said, without specifying a timeline.
Smart has sold more than 40,000 cars in China since it launched sales there in 2009. Last year China accounted for 15,680 units, or 15 percent of the brand's global sales.
Daimler, which doesn't break out Smart's earnings, has stuck with the brand because it can attract younger buyers and helps the company meet restrictions on carbon dioxide emissions by offsetting bigger Mercedes-Benz models.
Smart expects to boost annual sales in China 15 percent in the next few years by tapping demand in cities with a population of more than 1 million, she said.
By year end, Smart plans to have 100 sales outlets in 75 Chinese cities, up from 88 showrooms in 68 cities now, Winkler said.
Smart is betting on success in China to boost revenues for the brand, which Bankhaus Metzler estimates has accumulated more than 1.5 billion euros (12.3 billion yuan) in losses since its introduction in 1998.
"There are 160 cities with more than 1 million people, and many of them lack parking space, have high density and are culturally very open," she said while visiting Nanjing in eastern China. "All this fits together."
Smart's sales in mainland China and Hong Kong last year surged 45 percent, while global sales rose only 6 percent.
Winkler declined to say when the new models, including an electric scooter, will be introduced in the country. China, already the brand's third-largest market, is set to become its biggest, Winkler said, without specifying a timeline.
Smart has sold more than 40,000 cars in China since it launched sales there in 2009. Last year China accounted for 15,680 units, or 15 percent of the brand's global sales.
Daimler, which doesn't break out Smart's earnings, has stuck with the brand because it can attract younger buyers and helps the company meet restrictions on carbon dioxide emissions by offsetting bigger Mercedes-Benz models.
