[Asia Economy Reporter Jang Hyowon] LVMH Holdings Cambodia announced on the 4th that it has opened a main showroom on Russian Blvd., the main road crossing Phnom Penh, the capital of Cambodia, and launched the Chinese automaker Geely. The showroom covers an area of 5,678.63㎡.
Recently, the Cambodian automobile market has been expanding overall as the new car market grows while the existing used car market size remains stable. In particular, the market size for B-segment compact SUVs, which have a low entry barrier for customer purchases, is rapidly growing, and Chinese brands emphasizing cost-effectiveness are receiving positive evaluations in line with the reasonable consumption tendencies of Cambodian customers.
Accordingly, LVMH Holdings has completed a dealership contract with Geely, the number one Chinese passenger car brand. Through the company’s 128 nationwide dealers, it plans to expand sales and provide differentiated installment financing services in collaboration with major domestic financial companies that have entered Cambodia.
The models for sale include the COOLRAY (SX11) and OKAVANGO (VX11), targeting the SUV market, as well as the GX3 PRO (NX21) model from the rapidly growing compact SUV segment.
Since a product review event held last October for local online news channels and SNS influencers, more than 100 online and offline inquiries per day have continued, indicating a hot market response. Over 10,000 visitors received consultations at the popup store held over the past month, and despite the official showroom not yet being open, more than 20 pre-orders have been made.
A company official stated, “Especially for the COOLRAY model, which includes all options preferred by Cambodian customers, we have received feedback that it is currently the B-segment model in Cambodia with the best options/performance and cost-effectiveness.”
LVMH Holdings Cambodia’s main business is selling used cars of Korean and Japanese brands, and it holds dealerships for SsangYong and Foton Motor for new cars. Following the exclusive dealership agreement with Foton Motor last year, the new dealership contract with Geely is expected to strengthen its dominance in the new car market by securing differentiated price competitiveness.
The Geely Group, collaborating with LVMH Holdings, is the first private company in China to manufacture passenger cars and has gained recognition as the Chinese company that acquired European brands Benz and Volvo. By absorbing technology through acquisitions and equity investments in overseas automobile companies, it is emerging as a global automobile company.
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