Porsche trader Jebsen aims for 15pc growth

PUBLISHED : Tuesday, 12 April, 2011, 12:00am
UPDATED : Tuesday, 12 April, 2011, 12:00am


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Jebsen & Co, the Hong Kong trading house that operates China's biggest chain of Porsche dealerships, is targeting car sales growth of at least 15 per cent this year, according to Jebsen group director Mark Bishop.

The mainland, Hong Kong and Macau together make up Porsche's second biggest market after the United States, and Jebsen's seven dealerships (including five on the mainland) accounted for about a third of the German sports car marque's sales in the region last year.

Porsche, which is in the process of merging with the Volkswagen Group, sold 12,500 cars on the mainland last year, a 60 per cent increase over 2009, according to data from automotive consultancy J.D. Power and Associates.

While the company is best known for its sporty and quick line-up of two-seaters like the 911, Cayman and Boxster, Porsche's soaring growth on the mainland is due to its popular Cayenne SUV and newly introduced Panamera four-door sedan.

Mainland sales of the Cayenne, which retails from 866,000 yuan (HK$1.03 million) to 2.08 million yuan including value-added tax, rose 21 per cent to 8,271 units last year, according to J.D. Power.

Last year saw the launch of a new generation of the popular high-end SUV, which debuted in 2003. The model accounted for 66 per cent of Porsche's mainland sales by unit volume last year.

The Cayenne had been 'the driving force behind Porsche's meteoric growth' in China, Bishop said. But he noted that growth in sales of the newer Panamera and the firm's traditional sports cars were also picking up steam.

The mainland car market is becoming an increasingly important revenue driver for Jebsen, a privately held, Danish-owned trading firm established in Hong Kong 115 years ago.

In addition to five mainland Porsche dealerships, with a sixth set to open in Shanghai in the not-distant future, Jebsen also has direct investments in automotive component manufacturing.

Porsche is in the midst of a rapid ramp-up of its mainland dealer network, targeting 43 dealerships by the end of this year compared with 33 at the end of last year, according to its annual report.

Porsche also opened its first company-run dealership in Shanghai in September last year. Jebsen currently runs Porsche dealerships in Beijing, Guangzhou, Hangzhou, Shanghai and Shenzhen.

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The Cayenne SUV and Panamera sedan are driving mainland growth

Sales of the Cayenne on the mainland increased by this much last year to 8,271 units: 21%