'Self-made' boosts Bentley sales

China becomes fastest-growing market for Britain's ultra-luxury car, which can cost $370,000 or more

British luxury car brand Bentley is fast expanding its sales in China, with a record high in 2014 of 2,670 cars delivered, against the previous year's 2,191 cars, representing a 22 percent boost.

China is Bentley's fastest growing market, and the gap between China and the Americas, the brand's largest market with 3,186 cars delivered last year, is rapidly closing.

The Bentley factory in Crewe. Bentley brings about 7,000 visitors to tour its factory each year. Provided to China Daily

According to Bentley's statistics, the company has an approximate 35 percent share of China's super-luxury car market, which is a segment that includes the likes of Rolls-Royce, Aston Martin and Mercedes-Benz.

Representatives of the 96-year-old British brand say they spend a lot of time with Chinese customers to show them the quality work that goes into Bentleys, a name that is synonymous with refined luxury.

This is important because these cars aren't cheap. The company says the starting price for a Bentley Continental GT V8 is 140,300 pounds ($208,000; 196,331 euros), while the most expensive model, the Mulsanne, starts at 252,000 pounds and often higher with customization.

The company talks to prospective customers about the careful stitching on the steering wheel and seats, and the great care taken in selecting fine wood solids and veneers for the interiors. Increasingly, Bentley is taking its Chinese customers to see how such details come together at its factory in Crewe, in the English midlands.

"What we find with Chinese customers is that some of them did not like the idea of waiting for a car to be made, but after we take them to our factories they can much better understand the importance of customization," says Kevin Rose, board member for sales and marketing at Bentley.

Rose says currently around five to 10 percent of Bentley's Chinese customers come to Crewe for the factory tour.

Bentley now brings about 7,000 visitors to its factory each year, and Rose says the company hopes to increase this number to 15,000 in the near future, including a lot more Chinese customers.

So who plunks down the kind of coin needed to buy a Bentley? As Jacqueline Mitchell wrote in Forbes, "Just because someone can afford the most expensive cars on the road, that doesn't mean they want everyone to know it. There are highly successful people who eschew the bold and flamboyant, instead preferring something more discreet and discerning."

Mitchell quoted Bentley spokeswoman Valentine O'Connor as saying that brand "doesn't stand out and scream, 'I'm rich!'" like a Lamborghini or Bugatti in the same price range does.

"Buyers of this ultra-luxury car tend to be highly successful, with a net worth on average of $30 million, according to Bentley. Most likely they are self-made executives and business owners who worked their way up the ladder," the Forbes article says.

Bentley describes their Chinese customers in similar terms, with a few key differences.

Rose says these customers are almost all entrepreneurs, and a small proportion of them are professionals like architects and designers. "They generally have started their career by developing their own businesses and earned their money this way," Rose says.

He called them the "new face of China", because they are extremely young compared to the wealthy population of developed countries. Bentley's Chinese customers have an average age of 37-38 years, which is the second youngest customer group, after Vietnam's 32 years. In comparison, Bentley's US customers are on average 54 years old.

Globally, Bentley delivered 11,020 cars in 2014, representing growth of 9 percent over the previous year. Bentley's four key markets are the Americas, China, Europe and the Middle East.

One factor behind the company's continued growth in 2014 was the launch of new models. The sporty Continental GT V8 S, the powerful GT Speed coupe and convertible, and a four-door version of the new model called the Flying Spur V8 all entered the market in 2014.

But compared with European customers, Rose says Bentley's Chinese customers value the luxury aspect of Bentley more than its performance aspect because many Chinese customers travel in chauffer-driven cars. This means Bentley's four-door models are very popular in China.

Bentley has also expanded its dealer network in China to around 40. It entered the Chinese market initially through a partnership with Chinese distributor Dah Chong Hong Motors Group, but over two years ago, Bentley took over its business from DCH to gain more control of its China activities. Since then, DCH has become a retail partner to Bentley.

"We see the Chinese market as very important, so we decided to have our own distribution in the country, to show our commitment to the market. At every level, we've taken control, we want to make sure everything is proper," Rose says.

Bentley's China subsidiary, based in Beijing, now employs around 50 people, who supervise the brand's marketing efforts and the Bentley dealership network in China.

Bentley was founded in 1919 in Cricklewood, near London, by Walter Owen Bentley, who came up with the innovative idea of using lightweight metal instead of cast iron to make engine pistons. The brand grew, and won its fame as a racing car brand, having won such racing competitions as the 24 Hours of Le Mans.

But the Wall Street Crash of 1929 hit Bentley hard, leading to its acquisition by Rolls Royce, which led to the move of Bentley's manufacturing base initially to Derby and later to Crewe.

In 1997, Rolls Royce was sold to BMW and the Bentley brand was acquired by Volkswagen. Manufacturing of Bentley remained in Crewe, as did its British heritage and craftsmanship. Meanwhile, Volkswagen has shared its modern technology, so that Bentley's manufacturing could be more efficient while maintaining its precision, details and quality.

In Crewe, Bentley employs about 3,800 workers. The cars are exported whole to China and other international markets.

Along with the heavy manufacturing work that normally takes place at a car plant, many workers attend to details like hand-finishing parts, painting by hand and leatherwork.

Bentley's design center is also located on site, and the company has plans to build a new research and development center, which will create 300 additional jobs.

Because not all customers can visit Bentley's headquarters, the brand has been keen in developing digital tools to help customers. One example is the individualization studio, which allows customers to create their own cars online, and then seek advice from Bentley's team either digitally or physically by visiting a Bentley studio.

In the US, Bentley has launched an online club, allowing Bentley customers to exchange information about cars and other subjects. Rose says his team is now looking to introduce this service to China.

"This can allow people to share information, for example they may have been to a nice restaurant and want to share it. They don't have too much time, so they assume if other people have bought a Bentley they can trust them, and this is a powerful thing. It is an association you can be a part of, and once we know more about these people we will organize events," he says.

cecily.liu@chinadaily.com.cn