Industry dynamics

Xpeng reportedly revamps sales approach to aim for higher volumes

Publishtime:1970-01-01 08:00:00 Views:33

Xpeng has reportedly expanded the sharing of sales leads in order to hit its 15,000-unit monthly delivery target.

(Image credit: CnEVPost)

Xpeng Motors has changed its previous sales approach from sharing leads within a store to sharing them regionally, aiming to drive more deals and hit its 15,000-unit monthly delivery target, according to a report today from Sina Tech.

Starting in October, sales leads from many stores can be shared with other stores in their area, the report said, citing an Xpeng salesperson, adding that a user who visits a store in Chaoyang District, for example, can also be contacted by a store in Fengtai District if he leaves his contact information, something that was not possible before.

When Xpeng's new sedan, the P5, was available in stores, the company revamped its sales approach and expanded the sharing of sales leads, the salesperson said.

The move has caused problems for some potential consumers, with one person who had gone to see the Xpeng P7 saying a salesperson from another store invited him for a test drive a few days later, only to have the salesperson who initially contacted him invite him again a few days later.

The Xpeng salesperson said the move would not affect consumers too much under normal circumstances, but would require each salesperson who followed up to keep them updated on the feedback they received.

In a conference call after announcing its second-quarter report on August 26, the company's chairman and CEO He Xiaopeng said Xpeng was on track to reach 15,000 units of deliveries in a single month in the fourth quarter as the Zhaoqing plant further releases capacity.

Figures released by the company earlier this week showed it delivered 10,138 units in October, up 233 percent year-on-year and the second consecutive month of more than 10,000 units.

It's worth noting that Xpeng is still battling chip shortages that are facing the whole industry.

Xpeng informed some consumers waiting for vehicle deliveries late last month that deliveries of several models, including the P5 sedan, which has just started to be delivered, have been affected due to a shortage of millimeter-wave radar supply.

For owners whose deliveries were affected, Xpeng offered different options, including keeping them waiting or opting to get delivery of vehicles with delayed radar installation.

In a research note sent to investors on November 1, Deutsche Bank analyst Edison Yu said that against this backdrop, it may be more difficult to see Xpeng reaching its peak sales target of 15,000 units this quarter.