Jaguar Land Rover Dealers in China Face Challenges with Inventory and Profitability

TapTechNews August 14th news, according to Blue Whale News reports, many Jaguar Land Rover dealers said that due to the current increase in terminal discount力度, some dealers have a situation of 'selling more and losing more'.

According to the survey results of 'Automobile Dealer Inventory' released by the China Automobile Dealers Association in July 2024, the inventory depth of Jaguar Land Rover (TapTechNews note: the ratio of the inventory in the current month to the sales plan in the next month, between 0.8 and 1.2 is considered reasonable) is the highest among all brands and reaches 2.55.

A Jaguar Land Rover dealer in Guangzhou said that many of the cars in his store are in a state of selling at a loss: 'Among our 12 cars, except for (Land Rover) Range Rover and Defender which are profitable, the other 10 are losing money.'

Taking Guangdong Province as an example, the Jaguar and Land Rover brands have previously laid out channel networks in ten places such as Guangzhou, Shenzhen, Dongguan, Huizhou, Shantou, Zhongshan, and Zhuhai, but currently dealers in Qingyuan and Zhanjiang both show that only after-sales services are provided.

The dealer in Zhanjiang responded that they are currently not selling Jaguar Land Rover anymore, only after-sales, 'now changed to selling other brands.

Jaguar Land Rover's global CEO Adrian Mardell disclosed in a public interview in July that in order to optimize the brand structure and improve the overall profitability, the Jaguar brand is planning to significantly reduce and phase out some existing models.