Geely's Lynk brand targets Germany as key European market
Geely Automobile's new global brand, Lynk & Co., has picked Germany as its key target market in Europe.
Lynk plans to start sales of its first model -- the 01 compact crossover developed with Volvo -- in Europe and the United States in 2018, a year after the brand is introduced in China.
Lynk unveiled the 01 in the German capital last week, saying it has German automakers firmly in its sights. Senior Vice President Alain Visser said Berlin was a symbolic choice for the launch event because "we want to show German competitors that our product has the technology and the quality of a German engineered vehicle."
Visser said Germany will be one of Lynk's first and key priority markets.
Internet sales
Plans for the European launch in 2018 are far from complete, but the brand plans to emphasize Internet sales. Lynk also plans to build up its network of retail stores while using Volvo's dealer network or independent dealers for repair service and spare parts.
Research shows that 10 percent of European and U.S. customers are eager to buy their next car over the Internet, Visser said, but less than 1 percent actually do so in Europe.
"Internet car sales in Europe will grow but we have to be realistic," Visser cautioned. "Buying a car is the second most important purchase in your life [after buying a house] and is not the same as buying a pair of shoes over the Internet."
For that reason, Lynk will need company-owned dealerships that also can deliver cars that customers bought on the brand's website, he said.
Lynk estimates it will need more than 500 company-owned outlets in Europe. "We plan a combination of retail stores, shopping-mall stores and pop-up stores, not traditional dealer buildings outside cities," Visser said.
Volvo tech
Lynk's 01 is based on a new platform developed by Geely and Volvo, dubbed the Compact Modular Architecture.
Late next year, Volvo will introduce the XC40 compact crossover, its first model built on that platform.
Lynk plans at least five models including a compact sedan, but the range could expand even more, Visser said.
Lynk will offer a 1.5-liter three-cylinder engine, plus a 2.0-liter four-cylinder engine built in China under license from Volvo.
Europe and the United States probably will get only green powertrain variants, including a hybrid and a plug-in hybrid. A full battery-electric model is expected in 2019.
"In China we will also sell cars powered by a gasoline engine only," Visser said. "The strategy for Europe and the United States is to focus on hybrids and electric models, but ultimately the customers will decide what they really want."
Connectivity
Geely's new brand was named Lynk to emphasize that its cars will offer a high level of connectivity. For example, owners might opt to earn money by sharing their vehicles with others when they do not need them.
Lynk aims for annual global sales of 500,000 vehicles by 2022. The brand did not specify sales targets for Europe or the United States.
Lynk says its cars will be priced competitively but declined to give details. It plans to keep prices low by offering a limited number of trim versions, rather than base models with a long list of options.
Lynk parent Geely Automobile and Volvo Car Corp. are owned by China's Zhejiang Geely Holding Group.
Lynk unveiled the 01 in the German capital last week, saying it has German automakers firmly in its sights. Senior Vice President Alain Visser said Berlin was a symbolic choice for the launch event because "we want to show German competitors that our product has the technology and the quality of a German engineered vehicle."
Visser said Germany will be one of Lynk's first and key priority markets.
Internet sales
Plans for the European launch in 2018 are far from complete, but the brand plans to emphasize Internet sales. Lynk also plans to build up its network of retail stores while using Volvo's dealer network or independent dealers for repair service and spare parts.
Research shows that 10 percent of European and U.S. customers are eager to buy their next car over the Internet, Visser said, but less than 1 percent actually do so in Europe.
"Internet car sales in Europe will grow but we have to be realistic," Visser cautioned. "Buying a car is the second most important purchase in your life [after buying a house] and is not the same as buying a pair of shoes over the Internet."
For that reason, Lynk will need company-owned dealerships that also can deliver cars that customers bought on the brand's website, he said.
Lynk estimates it will need more than 500 company-owned outlets in Europe. "We plan a combination of retail stores, shopping-mall stores and pop-up stores, not traditional dealer buildings outside cities," Visser said.
Volvo tech
Lynk's 01 is based on a new platform developed by Geely and Volvo, dubbed the Compact Modular Architecture.
Late next year, Volvo will introduce the XC40 compact crossover, its first model built on that platform.
Lynk plans at least five models including a compact sedan, but the range could expand even more, Visser said.
Lynk will offer a 1.5-liter three-cylinder engine, plus a 2.0-liter four-cylinder engine built in China under license from Volvo.
Europe and the United States probably will get only green powertrain variants, including a hybrid and a plug-in hybrid. A full battery-electric model is expected in 2019.
"In China we will also sell cars powered by a gasoline engine only," Visser said. "The strategy for Europe and the United States is to focus on hybrids and electric models, but ultimately the customers will decide what they really want."
Connectivity
Geely's new brand was named Lynk to emphasize that its cars will offer a high level of connectivity. For example, owners might opt to earn money by sharing their vehicles with others when they do not need them.
Lynk aims for annual global sales of 500,000 vehicles by 2022. The brand did not specify sales targets for Europe or the United States.
Lynk says its cars will be priced competitively but declined to give details. It plans to keep prices low by offering a limited number of trim versions, rather than base models with a long list of options.
Lynk parent Geely Automobile and Volvo Car Corp. are owned by China's Zhejiang Geely Holding Group.
