The reborn Fisker produced simply over 10,000 vehicles in 2023, delivering round 4,700 models of the Ocean crossover to clients throughout 12 markets worldwide (together with some right-hand-drive nations) following the primary deliveries in June. Fisker says it’s already a revenue-generating firm, regardless of provide chain points and different challenges, and now it has launched a brand new plan to additional improve gross sales. In the U.S., Fisker can be ditching its direct gross sales mannequin in favor of partnering with conventional dealerships.
Currently, Fisker operates simply two retail areas within the U.S., just like the showrooms from different EV manufacturers like Lucid and Tesla, at which clients can take a look at the vehicles and go for a take a look at drive earlier than ordering an Ocean on-line. Additionally, the model has various service areas that help with deliveries and repairs. But it’s arduous to develop gross sales and deliveries quickly, which is why CEO Henrik Fisker says the model is shifting to a dealership mannequin. Says Fisker:
“Fisker is transforming its strategic efforts by putting in place the brand accessibility and sales channels required to satisfy increasing demand for the Fisker Ocean and to prepare for launch of additional future models. As a result, we are evolving our business model and intend to add as many as 50 dealer partners in the US and Canada and a similar number of dealer locations in Europe this year. In keeping with our asset light strategy, I expect the Dealer Partnership model should enable Fisker to expand its sales and delivery network at a faster pace.”
The firm says this plan has been in dialogue since late November 2023, and the primary sellers will begin receiving Oceans by the tip of Q1 2024 with the aim to have all of the preliminary companions up and operating by the point the cheaper Ocean trims come out. There’s no phrase on what different manufacturers the dealerships carry or the place every one can be positioned, and Fisker says it would nonetheless function its Fisker Lounge showrooms in main cities.
One of the largest flaws within the dealership mannequin is the pattern towards large markups, which Fisker is attempting to fight. It says that its supplier partnerships can have “no-haggle pricing (where permitted),” and that the massive unfold of the community means sellers received’t have to have interaction in combative pricing strategies with rivals. Fisker additionally isn’t requiring the sellers to make giant investments and renovations to their current areas, with a company identification branding plan that may be shortly and simply applied. The firm can also be ensuring the supplier course of can be as clean and painless as potential:
Fisker can be working with supplier companions who place a excessive emphasis on delivering wonderful buyer satisfaction, offering streamlined buyer help and repair, in addition to expanded test-drive alternatives because the vary of Fisker fashions and trim ranges expands. Dealers may also facilitate financing and insurance coverage preparations and help clients with issues associated to Fisker’s guarantee.
Going to a dealership actually sucks, particularly for electrical automotive patrons, but when Fisker can truly pull this off, it might critically assist the model’s growth achieve success. In Europe, although, Fisker can be going with a hybrid gross sales mannequin that pairs direct gross sales with supplier companions.