'Stunning' sales, bright outlook for JLR

From left: Bob Grace, President of Jaguar Land Rover China; Ralf Speth, Chief Executive Officer of Jaguar Land Rover, Crystal Gu, Vice-President of Commmunications at Jaguar Land Rover China and Phil Popham, Group Sales Operations Director of Jaguar Land Rover, made their first joint media appearance in China.

The Jaguar XJ 3.0 is tailor-made for China.

Terming sales in the first four months of the year "stunning", Bob Grace, Jaguar Land Rover China president has a sanguine outlook on the rapidly growing luxury car segment in China.

"We enjoyed a strong first six months in 2012," he said. "From January to June, JLR's China sales reached nearly 37,000 units. The Jaguar brand delivered about 4,300 cars and Land Rover sold more than 32,000 units, both increases of nearly 100 percent over the same period in 2011."

Together with Ralf Speth, chief executive officer of JLR, and Phil Popham, the group sales operations director, Grace sat down for an exclusive interview with China Daily.

It was their first joint media appearance in China, a measure of JLR's growing focus on the market.

"China will become our biggest market in the not-too-distant future on continued investment and expansion in infrastructure, the dealer network and for product development," said Speth.

The country is now the third-biggest market for the iconic British automaker, following the UK and North America. Sales figures in the top three markets are very close, said Popham.

"We are confident of maintaining our strong sales momentum into the second half of 2012 as we plan to introduce new products, services and solutions especially designed for the Chinese market," Grace added.

'Great products'

He attributes the company's robust China sales performance to "great products, great dealers and great service."

For example, the Range Rover Evoque - the smallest, lightest, most fuel-efficient Range Rover model ever produced, which commenced deliveries to Chinese customers in November 2011 - has been performing particularly well in the market, having sold over 10,000 units in the first half of 2012.

The Range Rover Evoque Special Edition with Victoria Beckham that had its world debut at April's Beijing Auto Show will go on sale in China in November as a prelude to sales in other markets around the world.

The Jaguar XJ 3.0 - tailor-made for the Chinese market - proved to be a hit since it premiered at last year's Shanghai auto show, greatly fueling overall Jaguar sales.

Grace added that JLR "will definitely feature more fuel-efficient vehicles that boast cutting-edge technology, unparalleled safety and powerful drivability".

Expanding local dealerships has also been an important factor in the recent sales surge, said Popham.

He told China Daily that by June, JLR had appointed 130 authorized dealers across the country, 90 of them now in operation.

To further improve service quality and customer experience, JLR has invested heavily in expanding infrastructure, Popham said.

Its China operation now has two training academies that meet international standards and two top-notch Land Rover experience centers, he noted.

A third experience center is under construction in the Mogan Mountains area of Huzhou, Zhejiang province, a drive of about two-and-a-half hours from JLR China headquarters in Shanghai.

Surrounded by tea plantations and bamboo forests, the Land Rover Huzhou Experience center is expected to be the biggest of its kind in East China, said Speth.

In addition, JLR has recently opened a fifth parts distribution center in the sprawling metropolis of Chongqing in southwest China to strengthen its logistical network as more foreign auto companies eye the largely untapped market in the west of the country.

New partner

JLR and Chery Automobile Co, China's sixth-largest passenger vehicle maker known for its affordable sedans, signed a joint venture agreement this March.

The agreement is reported to involve an investment of 17.5 billion yuan and the localization of JLR products in the near future.

Both JLR and Chery have been communicating regularly since then.The joint venture has already passed the very first step of the evaluation from China's Ministry of Environmental Protection.

"Finding the right long-term partner is not easy, just as it is with a marriage. We just finished our courtship with our local partner. There is still a lengthy process to undergo with a lot of follow up work," Speth said.

"Our goal is to leverage the respective strengths of our two businesses - to offer Chinese customers the most advanced, highly efficient products featuring the very latest technologies."

Speth said JLR's quality will not change after localization.

"JLR is very confident in the Chinese market. We will not sacrifice the quality of our products and after-sales services, and we will endeavor to make sure that our premium DNA will continue to live on in China," Popham added.

xuxiao@chinadaily.com.cn