Unlike Buick and Cadillac, Chevy's dealers won't be bought out for not going electric.
Last week, we learned that Buick will demand that all its dealers sell electric vehicles. Those who do not wish to invest in EV infrastructure in preparation for the switch will be bought out by the brand and will no longer be able to sell any Buick vehicles. This is a similar strategy to the one initiated by Cadillac in 2020, while GMC dealers were simply told to get on board with EVs or leave the brand - with no buyout offer. But for Chevrolet, it seems that General Motors is less worried about whether its dealers sell EVs or not.
Speaking with The Verge, Chevrolet global vice president Scott Bell revealed that Chevrolet will not be forcing dealers to sell EVs. In addition, he feels that the ultimatum set by GM's other brands will be good for Chevy.
Speaking at a pop-up event in Manhattan, Bell said, "The minute they pull back and say, 'You know what, I'm not ready to go all in for those brands,' they're now 100% a Chevy dealer, which is a good thing for Chevrolet."
Sales representatives at Chevrolet-exclusive dealers will be focused on the Chevy product line and nothing else, which means that they will understand the Bowtie brand's products fully without being distracted by the potential of upselling prospective new car buyers to more premium brands. These dealers can also be less aggressive with their training strategies, as they will not feel pressured to learn how to sell and service EVs within a set timeframe. That knowledge will come progressively as required.
Interestingly, Bell says that the dealers that account for 95% of Chevrolet's sales are already selling at least one EV, specifically the Chevrolet Bolt, noting that these dealers have already shown a willingness to invest in upgrades in preparation for selling more EVs in the future. "They've already raised their hand: 'I'm in on the Bolt,'" said Bell. "They certainly have committed to the Chevy brand."
Of course, Chevrolet is also pushing an electric agenda in its bid to outshine Tesla, but dealers will gravitate to Chevy's new EVs naturally. Among them is the recently revealed Chevrolet Equinox, which will arrive with a $30,000 price tag. When it's available, demand for the car will be immense, and these dealers will want to take advantage.
Bell seems to be just as convinced that Chevrolet's new EVs will be game-changers for the brand: "Lyriqs and Hummers are awesome, but these are the three biggest segments in the market," said the executive in reference to the Silverado, Blazer, and Equinox. "I won't make a bombastic claim here today, but nobody else is going to touch this."
As the brand's EV portfolio continues to expand, the demand for Chevy EVs will too, and dealers won't want to get left behind. By allowing dealers to make the switch gradually, they can continue to operate comfortably and can make the necessary upgrades for EV sales and servicing as and when they can afford to. For a mass-market brand like Chevrolet, this seems like the smart move.
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