BYD Plans to Significantly Expand Dealership Network in Germany

Lars Bialkowski, the new Managing Director of BYD Germany, expressed confidence in the expansion strategy of the Chinese automaker BYD during an interview. The former Stellantis executive stated that BYD plans to significantly expand its dealer network in Germany. Currently, BYD has 63 active sales outlets in Germany, and by the end of this year, this number will reach at least 120, with 100 already under contract. By the end of 2026, the network will expand to 300 service and sales outlets.

Lars Bialkowski refers to the dealer network as the "first important cornerstone" for BYD's growth in the German market. The goal is to establish a comprehensively covered network, allowing customers to reach BYD sales points within a short time. In Munich, BYD now has two cooperative dealers and a showroom showcasing the high-end brand Denza. He believes BYD is gradually becoming a strong competitor to traditional European car manufacturers. In his view, BYD is at a breakthrough stage in Germany, with new products, new partners, and increasing market visibility. He emphasized the importance of physical stores for the brand and stated, "We want to be seen as a European car manufacturer." The factory BYD will put into operation in Hungary by the end of this year will be an important step in this direction.

Lars Bialkowski and BYD's German Business Director Patrick Schulz emphasize that dealers should not merely add BYD as a brand to their product portfolio, but rather become partners in mutual growth. BYD is looking for partners who are unique and passionate about the brand's philosophy. Joining BYD now means becoming part of a success story that is just beginning and growing together with the brand. Patrick Schulz stressed, "We are looking for partners who are fully committed." Since February of this year, he has temporarily been responsible for BYD's network expansion efforts until Kai Schröder joined as BYD's Network Director for Germany in October. BYD is gradually advancing the expansion of its dealer network.

BYD's onboarding training in Germany also incorporates the brand's DNA. Patrick Schulz believes, "Pursuing growth at all costs is not an option for BYD. A truly compelling store is more valuable than ten soulless showrooms. Dealers should not just add BYD as a brand to their product lineup, but rather become partners in mutual growth, with fair profit margins and entrepreneurial space." BYD's onboarding training directly addresses this point: the training not only imparts technical skills but also conveys the brand's DNA. Lars Bialkowski stated, "Trust will only arise when customers feel that there are people here who are passionate about the brand. Salespeople must not only participate in brand operations but also truly integrate into the brand. This requires the product to fulfill the brand promise in everyday life."

Before BYD models enter the showroom, dealers need to make an initial investment first. The amount of initial investment varies by location, but it is still calculable, Lars Bialkowski and Patrick Schulz explain. In return, BYD offers a profit margin system that includes fixed and variable components. The two executives emphasized that the amount of investment itself is not important; what matters is the degree of close cooperation on a daily basis.

BYD regards sales as a regional business, with varying demands in different markets. Patrick Schulz explained that dealers work with BYD to adjust processes, measures, and incentive models according to their customer base. Lars Bialkowski considers this a decisive advantage. "Whether it's leasing activities, marketing, or fleet incentives: the local market knows best what works. This flexibility and freedom allow us to be faster and closer to the customers."

In marketing, brands rely on the concept of personalization to support their dealers. Lars Bialkowski said, "Creative, regional activities, such as city festivals and partnerships with football clubs, should allow us to directly engage with customers. Those who provide test drives at city festivals or collaborate with football clubs can connect with customers on an equal level." Of course, BYD does not leave marketing entirely to its partner network. The BYD headquarters ensures brand exposure through large-scale events. One example is sponsoring the 2024 UEFA European Championship, which creates a presence across Europe and significantly enhances BYD's brand awareness in Germany.

Before the football match even started, the mascot parade and Euro Cup activities had already attracted attention. Many fans seized the opportunity to test drive in the fan zone. Before the Euro Cup, BYD was little known in Germany, but after the event, it became a hot topic. The collaboration with the well-known rental company Sixt also increased brand awareness: many people experienced BYD cars for the first time through rental or subscription models. Although such collaborations did not directly bring potential customers, they enhanced brand awareness and demonstrated the daily practicality of the models.

In the initial stage, BYD consciously chose targeted activities to showcase its presence in places where customers could experience it. Today, with the steady growth of the dealer network, new possibilities have emerged: the impact of national activities has increased, while being supplemented by regional activities. The combination of both ensures that the brand becomes increasingly prominent, and BYD's visibility in Germany is steadily improving.

Patrick Schulz emphasized that now is the best time to join the BYD partner network. "The train is at the station, and the seats are still empty." This is the beginning of a success story, an opportunity to be involved in brand building from the start, not as a passenger, but as a co-creator and growth partner.

Despite BYD's current registration volume in Germany being relatively low, approximately 8,500 vehicles since the beginning of the year, Lars Bialkowski remains optimistic. BYD currently has 11 models that cover the demand for "90% of all market segments." Although the current sales figures are not yet satisfactory, the trend is in the right direction: "Once we implement our product, dealer network, and sales strategy, sales will increase. All of this is currently happening." Lars Bialkowski did not provide specific sales targets, but he stated: "Overall, we are laying the foundation to sell 50,000 cars."