Saturday, February 24, 2024
News Volkswagen Will Invest In Dealers Willing To Invest In EVs

Volkswagen Will Invest In Dealers Willing To Invest In EVs

Volkswagen is wisely preparing, encouraging and supporting its dealer network for the coming of its EVs.

  • Volkswagen will financially help out dealers who will sell EVs.
  • Part of the investment will go to in-house charging infrastructure.

Just recently, we reported that only a fraction of Ford dealers in Germany had signed on to sell the upcoming Mach-E electric SUV. Faced with this reality, Ford had to step up, which is what VW’s done pre-emptively. VW will offer 50% to 75% matching to dealers willing to invest in and sell EVs in the near future.

This is what happened to Ford dealers: Ford’s set margins for selling the Mach-E were far too small to support the large investment on the dealer’s behalf. In order to avoid such a scenario, VW will offer its dealerships a 50% match from the factory to prepare their facilities for EVs. If the dealer decides to market the product locally, VW may offer up to a 75% match on the money spent.

Volkswagen of America CEO Scott Keogh said: “We want to make sure dealers are ready for electrification, so we are going to financially invest with our dealers to make sure our dealer body is ready.”

Interestingly, some dealer bodies who’d shown no desire to get on the EV bandwagon have changed their minds following this announcement. Volkswagen Dealer Advisory Council Chairman John Luciano said: “We had so many people that came up and said, ‘Wow, I was not in for any of this — zero, not my market not my world.’ And now I’m seeing that maybe instead I own that market, because I think everybody else around me” will be too cautious to take a chance on BEVs.”

The VW ID.4 is the first EV that will launch in North America later this year.

Source: Automotive News

The new Volkswagen Showcar ID. CROZZ | Photo: Volkswagen

Volkswagen ID. Space Vizzion | Photo: Michel Deslauriers

Trending Now

GMC’s Bold Leap with Hummer and Denali in an Electric Future

It’s no secret that, at least for “today”, sustainability intersects with luxury. And when it comes to trucks, GMC emerges as a leader with...

Fiat 500e Production for Canada has Started

500e will be lightest, cheapest EV in Canada Model built at historic Turin plant Fiat has just built the first 500e bound for Canada....

Mercedes Backtracks, Says Going Full Electric by 2030 is Unrealistic

The company had previously announced it would go fully electric where market conditions allowed. The automaker now wants to keep selling combustion-powered cars,...

2024 Jeep Gladiator Pickup Priced From $56k

Refreshed Gladiator comes with more equipment Upgrades include new luxury trims and new interior Jeep has just priced the 2024 Gladiator. The piuckup gets...

Hyundai Ioniq 7 SUV to be unveiled in June

The Hyundai Ioniq 7 is expected to be the South Korean brand's future electric SUV. It is due to be unveiled at the Busan Motor...
Matt St-Pierre
Trained as an Automotive Technician, Matt has two decades of automotive journalism under his belt. He’s done TV, radio, print and this thing called the internet. He’s an avid collector of many 4-wheeled things, all of them under 1,500 kg, holds a recently expired racing license and is a father of two. Life is beautiful. Send Matt an emai

LEAVE A REPLY

Please enter your comment!
Please enter your name here

This site uses Akismet to reduce spam. Learn how your comment data is processed.