Smart eyes network prepares for sales growth

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【Summary】Smart plans to expand its UK agency dealer network from 23 to 36 sites to support its growth. The brand's new electric crossover will go on sale in August, with hopes of increasing UK sales to 8,000-to-12,000 units by 2025. The initial allocation of 4,000 vehicles will last until the end of 2023, and the majority of sales are expected to be through leasing channels. Smart will rely on its dealers for vehicle supply and will not make direct supply arrangements.

FutureCar Staff Aug 17, 2023 9:25 AM PT

Smart eyes network prepares for sales growth

Smart is planning to expand its UK agency dealer network from 23 to 36 sites in the coming years. This expansion is aimed at supporting the car brand's growth ambition. The company is looking to make a fresh start with the official sale of its all-new #1 electric crossover at the end of August.

In recent years, Smart sales have declined due to its ageing model line-up. However, the brand received a lifeline in 2019 when Geely purchased a 50% stake in it from Mercedes-Benz. Since then, the two car giants have collaborated to develop the all-new #1. This new model utilizes a Geely platform and powertrain, combined with a Mercedes-designed body and interior.

David Browne, UK chief executive of Smart, has high volume aspirations for the brand. He hopes that Smart's UK sales will reach 8,000 to 12,000 units by 2025, a level last achieved in 2016. To support these ambitions, a network of 23 agency sites has been established initially, which is approximately half the number of Smart-branded dealerships that existed a decade ago. However, Smart expects this number to grow to 36 as sales ramp up.

Smart has secured an initial allocation of 4,000 #1 vehicles, which will last until the end of 2023. At a recent launch event, it was revealed that the company aims to deliver vehicles within 2-3 weeks, utilizing short lead times as a key driver of sales. It is expected that the majority of Smart #1s will be sold through leasing channels, aligning with the current market trend where around 70% of premium electric cars are sold this way.

Graeme Jenkins, UK fleet manager for Smart, confirmed that all vehicle supply will be directed through its dealers. Smart does not plan to make any direct supply arrangements. Jenkins expressed gratitude for the support received from current agents and their receptiveness to fleet sales, stating that they understand the brand's journey.