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Lincoln Motor continues to hit growth goals in Chinese market

By Li Fusheng | China Daily | Updated: 2017-03-02 07:48

Lincoln Motor will offer up its tailored experience, which has been driving up its sales, in more Chinese cities, as the premium carmaker is to open 15 stores and 13 branches this year.

The additions will increase the number of its China dealerships to 100. It had 65 stores and seven branches operating in the country by the end of 2016.

Speaking on training new dealers, Amy Marentic, president of Lincoln China, said the automaker will implement the same training and the same strategy of 'one size fits one'.

"The reason is it works," she said. Lincoln sold 32,558 cars last year in the country, a surge of 180 percent year-on-year, almost 10 times the average growth rate of other top-10 luxury brands' sales in China. Five of Lincoln's top-10 dealerships worldwide in terms of sales were in the country.

The automaker attributes its success to its models and the Lincoln Way, which focuses on 'making people's lives a little bit easier and more effortless'.

"People switch brands for a reason," said Kumar Galhotra, president of Lincoln. "And that trigger point usually has to do with a reason that is both intellectual and emotional.

"Nowadays luxury is less about showing off, like saying 'I have a flashy car'. It is more about what can Lincoln, as a brand, do for me? And that is why the experience is so critical."

Galhotra said Lincoln's research shows that experience is more important than any particular technology, and that luxury is becoming extremely experiential, which has prompted the brand to adopt a philosophy different from those of other automakers.

"We are designing cars through the experience perspective. So rather than design a feature, we design the experience first, and then design what technology is necessary to deliver that experience," he said.

Marentic explains the notion by citing the example of the all-new Continental sedan, which was launched in late November.

The flagship sedan has a 30-way seat, which fits everyone comfortably and helps to prevent drivers' fatigue, even after a long trip.

The model does not have a gas cap on the fuel tank, a thoughtful design that saves drivers' time.

Marentic said: "Everything that we do, every product that we create and every piece of a component we put into a vehicle support 'one size fits one' and an effortless journey."

Marentic is equally, if not more, proud of the dealership experience.

"If you go to a Lincoln dealership and you go next door to a competitor's dealership, (you will find) there is no comparison," she said.

Consulting firm PricewaterhouseCoopers said Lincoln now has the highest dealership customer satisfaction rating in the industry. Beyond the brick-and-mortar stores, Lincoln has extended the experience online with a move called the Virtual Lincoln Way.

Users can now browse the cars they like and make a down payment through the WeChat instant-messaging app, as well as tour a virtual dealership, have live video chats with dealers and arrange at-home test drives in Beijing and Shanghai. Galhotra said: "The effortless shopping process is the best in the industry in China, and I would argue it is one of the best in the world."

Yet he said things would not stop there. "The reason Lincoln Way is named Lincoln Way, with the word way in there, is because it is kind of a way of life for us.

"Most car companies have a cycle plan of products, for us it is a similar cycle plan of experiences," said Galhotra.

He said Lincoln will release more information about it at the forthcoming Shanghai auto show in April.

It will also showcase two new models at the event, which are expected to further enrich the brand's lineup.

Lincoln has thus far introduced five models to the Chinese market, a promise it made when it arrived in China in 2014.

Besides the iconic flagship sedan Continental, cars on sale in the country are the MKZ sedan, and three members of its SUV family, ranging from the new small premium utility MKC and the mid-size premium utility MKX, to the full-size SUV Navigator.

As in the US, SUVs have been the most popular models in China. Statistics from the China Association of Automobile Manufacturers show that 9 million SUVs were sold last year, a growth of 45 percent year-on-year.

The models are continuing their growth momentum well into this year.

Marentic said: "Our sales growth in January is significant and close to the 180 percent growth rate of last year." Looking ahead, Marentic said Lincoln will continue to focus on offering its individual consumers a better personalized experience in the showroom and with the products.

"When we set our strategy, whether it is a product strategy or dealer strategy or consumer strategy, it is all about making people's lives a little bit easier and a little more effortless," she said.

lifusheng@chinadaily.com.cn

 Lincoln Motor continues to hit growth goals in Chinese market

Customers consult company representatives at a Lincoln dealership in China.Photos Provided To China Daily

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