[Asia Economy Reporter Ki-min Lee] Online channels are becoming established sales outlets not only for new car manufacturers but also for used car dealers. Industry attention is focused on whether Hyundai Motor, which was previously blocked by union opposition, will be able to enter the online sales market.
According to the industry on the 16th, Korea GM will sell the new electric vehicle Chevrolet Bolt EUV exclusively online starting from the 18th. This is the first time a domestic automaker has engaged in 100% online sales. Chevrolet also held a 'Launch Live Tour' for the Bolt EUV and the 2022 Bolt EV on Naver Shopping Live on the 12th of this month.
Earlier, Tesla dominated the global electric vehicle market through complete online sales, bringing online sales channels into the spotlight. BMW opened BMW Shop in Korea in December 2019, selling limited edition models online. It is known that all units of these limited edition models sold out immediately after release. Additionally, Mercedes-Benz announced at its New Year press conference earlier this year that it would unveil an online sales platform. Swedish automaker Volvo recently announced plans to sell all future electric vehicles exclusively online.
Online sales have also become the trend in the used car market. According to K Car, the share of home service sales for buying cars in the first half of this year accounted for 43.1% of K Car's total sales, up 8.5 percentage points from 34.6% in the same period last year. The number of home service requests for selling cars also increased by 49.3% year-on-year, reaching 65,000 cases.
Accordingly, industry interest is naturally focused on whether Hyundai Motor, the top domestic car seller, will engage in online sales. Hyundai already conducts internet sales in the U.S., Europe, and other regions. Furthermore, Hyundai is promoting online sales of the compact sports utility vehicle (SUV) Casper (project name AX1), which is produced under consignment by Gwangju Global Motors, known for the Gwangju-type job model. Hyundai plans to launch Casper next month and intends to sell it entirely through online direct-to-customer (D2C) channels.
The industry believes that Hyundai must negotiate with the union to start online sales. The Hyundai Motor union reportedly opposed the online sales plan when it was informed on the 30th of last month. Their stance is that sales through channels other than offline should not be allowed because it inevitably reduces sales employees' allowances.
On the other hand, there is an opinion that Casper can be sold without union consent since it is a consignment project under the Gwangju-type job model, where the Hyundai Motor union's collective agreement is difficult to apply. However, a Hyundai Motor official said, "We will start internet sales after sufficient consultation with the union."
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