01 March 2023

Luxury brand Genesis is adopting the agency model as part of “significant” expansion plans to its existing direct sales approach.

In partnership with retailers, it will open around 15 new sites in the UK to increase access to both the brand and its cars. It is targeting all the major cities where it is not currently represented.

The expansion is being led by former Kia UK marketing chief Lawrence Hamilton, who joined Genesis Motor Europe as MD in September last year, replacing Dominique Boesche, who left the business.

Lawrence was previously executive director of Genesis Canada, where he oversaw a similar retail expansion.

Described as ‘phase 2’ for Genesis, retail agents will complement Genesis’ existing studios and online services, in an omnichannel approach. Prices will be fixed, as will commissions.

Retailers will allow Genesis to fast-track its expansion by working with partners who have local knowledge, nuance and a place in the community, said Lawrence.

It is a natural expansion of the existing direct sales model.

“Exceptional customer service and hospitality remains at the core of Genesis, and we are looking forward to welcoming more owners to our brand.

“The response from consumers is extremely positive… with such a desirable range including three all-electric cars, demand continues to grow.

“By expanding with specialist partners, we can take our award-wining cars to even more customers.”

Existing Hyundai retailers, revealed Lawrence, are natural initial targets. “We already know them.”

The larger retail footprint will be operational from early 2024 and discussions are already underway, said Lawrence. The target is to start work with retailers on recruitment and training by the middle of the year, allowing plenty of time to absorb Genesis’ lofty standards.

Genesis is also planning to expand with the agency model in Germany.

The move to agency marks a shift from Genesis’ approach when it launched in the UK in 2021. Speaking to Auto Retail Bulletin, UK MD Andrew Pilkington said agency agreements don’t go far enough in terms of giving car manufacturers control of the new car sales process.

“I’m not anti-dealer,” he said. But he believed customers want to deal direct with the manufacturer, particularly with new brands, to “know that there’s transparency”.

Even within an agency agreement, he explained, there could be a conflict of interest for a retailer if they were handling more than one brand.

These are concerns Lawrence will be eager to address as Genesis’ agency plans develop during 2023.

• Read an exclusive interview with Lawrence Hamilton in the next issue of Auto Retail Bulletin: subscribe here

Tags: agency, Andrew Pilkington, Genesis, Lawrence Hamilton