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[Car Story] Casper Can Do It, But Tucson Can't: 'Online Sales'

Labor Union Sticks to Face-to-Face Sales... Industry Says "Online Sales Are a Global Trend, Must Switch Before Being Left Behind"

[Car Story] Casper Can Do It, But Tucson Can't: 'Online Sales'

[Asia Economy Reporter Ki-min Lee] As the COVID-19 pandemic prolongs, the automotive industry is focusing all efforts on contactless marketing through online platforms, and Hyundai Motor Company is also selling its recently launched compact sport utility vehicle (SUV), Casper, online.


However, sales of other models such as Tucson and Santa Fe are blocked by union resistance, preventing online sales. Industry insiders point out that domestic automakers may fall behind imported car brands in contactless marketing.


According to the industry on the 22nd, Hyundai Motor is accepting pre-orders for Casper, launched as part of the 'Gwangju-type job' project, not through face-to-face sales networks like branches and dealerships, but via its website. Casper attracted customer interest with 18,940 units contracted on the first day.


Imported car companies have already been steadily increasing sales through active online marketing in Korea. Electric vehicle maker Tesla operates a 100% online vehicle purchase system.


BMW, for example, releases limited editions sold exclusively online every month to attract customer attention. Mercedes-Benz Korea opened the Mercedes Online Shop on the 15th and started selling certified used cars. Notably, they plan to expand online sales to new cars within this year and aim for 25% of total sales to be online by 2025.


The case of Casper has shown the possibility that domestic automakers’ online sales can be successful, but an immediate shift in sales methods is expected to be difficult.


This is due to opposition from automobile sales unions who claim that increased online sales reduce face-to-face sales, leading to 'less work.' Previously, Kia attempted to conduct online pre-orders for its first dedicated electric vehicle, the EV6, but due to union opposition, it was sold both offline and online.


In the case of Casper as well, it is known that before deciding on online sales, the union requested during labor-management consultations that online sales not be expanded to other models.


However, as sales methods have become normalized through COVID-19, there are calls for domestic companies to actively enter online sales. Professor Pil-soo Kim of Daelim University said, "As we move into the with-COVID era, online sales will become a global trend," adding, "To survive, unions should not insist only on traditional face-to-face sales methods but make progressive decisions regarding online sales."


© The Asia Business Daily(www.asiae.co.kr). All rights reserved.

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