Chinese carmaker Geely has announced that it has done a distribution deal to enter the UK car market with the first cars for sale by the end of 2012.
Geely has reached agreement with the UK’s Manganese Bronze Holdings plc (MBH) to become their UK distributor of Geely cars. Under the agreement MBH will also establish a dealer network, supply parts and provide an after-sales service. The UK distributor operation will be known as Geely Auto UK.
How well do you really know your competitors?
Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.
Thank you!
Your download email will arrive shortly
Not ready to buy yet? Download a free sample
We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form
By GlobalDataMBH and Geely are already partners in building London black cabs with production for the UK market taking place in Coventry by The London Taxi Company, a division of MBH. Production of the cabs for world markets vehicles takes place in China.
John Russell, Chief Executive Officer of MBH noted the success that Korean brands have had in Britain. “We are all aware of the success that the Korean brands, Kia and Hyundai have had in the UK and we can work with Geely to achieve similar success in the future,” he said.
Matthew Cheyne, Market Development Director of Geely Auto UK, is heading up the team responsible for the sales, marketing, dealer development and distribution of Geely vehicles in the UK.
“We are starting with a clean sheet of paper with the distribution of Geely passenger cars into the UK, the first major Western European country to receive them,” said Cheyne. “We will start by importing the Geely Emgrand EC7, C/D segment sized four door saloons and five door hatchbacks, initially with 1.5 and 1.8 litre petrol engine options. But Geely has a comprehensive range of models well suited to European requirements. We will be aiming to widen our range just as quickly as possible, probably at least a new model range every year for the next four to five years”.
“Geely cars are already suitable for Europe and meet EU homologation and whole vehicle type approval and of course Euro 5 emissions. They are all well equipped products but at affordable prices and will carry a five-year, 100,000 mile warranty”.
Cheyne said that the first Emgrand EC7 models to arrive in the UK are likely to have a range starting price of approximately GBP10,000. “We see Geely cars being attractive purchases for retail and business user-chooser customers,” he said. “At this stage we are not volume driven but we will increase our sales significantly as customers get to know our products and more models are added to the range. Our priority at launch is to have a representative network who wants to work with us to deliver real customer satisfaction.
“My initial task is to establish a UK dealer network, probably 30 to 40 strong, ready for the brand’s launch. The recruitment process has started and we are looking at small independent owned businesses that know their customers and traditionally give excellent customer service. We will also consider such sales and service outlets as former Rover dealers, sharing dealer sites with other franchises as well as smaller regional Groups.
“Working together, we and our dealers should be able to offer a better customer proposition for buying a new car. We intend to be different, more customer focussed and items such as the long warranty will be just part of an innovative total customer care package”.
Geely Auto UK headquarters will be in Coventry sharing the same offices as The London Taxi Company. Cheyne said that this will allow Geely Auto to utilise some of MBH’s existing ‘back office’ functions, such as marketing, logistics and finance. “But we will be recruiting specialist staff to assist with this exciting new business opportunity,” he added.
The new Geely Auto UK distribution company will operate ‘totally separate’ from Geely-owned Volvo Car’s operations.
