Porsche eyes growth in Korea

By Korea Herald

New models, showrooms part of expansionary push

  • Published : Jan 23, 2014 - 20:16
  • Updated : Jan 23, 2014 - 20:16
Kim Geun-tak, managing director of Porsche Korea. (Park Hae-mook/The Korea Herald)

Porsche Korea has vowed to expand its local reach by at least 10 percent this year by spreading what managing director Kim Geun-tak called the “Porsche Virus.”

“With the value added from Korea’s innovative management, we hope to better address our consumers in Korea,” he said at a press conference on Thursday.

It was the first press conference Porsche Korea has held since its official establishment at the start of this year, becoming Porsche AG’s 17th subsidiary globally and fourth in Asia after China, Japan and Singapore. Previously, the company had been operating in Korea under the dealership network of Stuttgart Sports Cars.

“Creating Porsche Korea is part of Porsche’s long-term strategy of Porsche 2018,” said Helmut Broker, the company’s vice president of regional overseas and emerging markets. “By 2018, we are confident that Korea will contribute to achieving all of our objectives.”

The “Porsche Strategy 2018” involves establishing Porsche as the most desirable sports car by improving customer service in both sales and service areas.

For this goal, the dealership network in Korea will expand from seven to nine showrooms to include the Gwangju and Daejeon markets in 2014.

Furthermore, service center capacity will expand by over 50 percent and maintain a higher inventory to improve spare parts availability, the company said.

Porsche sold 162,145 units worldwide and 2,041 units in Korea last year, up 34.6 percent in the local market from 1,516 units in 2012, according to the Korea Automobile Importers and Distributors Association.

Although KAIDA estimates an overall 10 percent growth in import cars, Porsche Korea said it has set a personal sales target of 2,600 units for 2014, which is slightly over 30 percent.

Yet with successful marketing, Porsche Korea may even sell 10 percent more than the stated target, Broker told The Korea Herald.

Moreover, the company announced it would introduce more than 10 new models to the market in the first half of the year alone, such as the 918 Spyder and the new Macan.

“What is special about the Korean market is that we already sold a higher number of sports cars in Korea than other Asian markets,” said Broker.

“But what we have to do is build a brand to position our products in the Korean market, and I think the Macan will find the right position in the small SUV sports car segment,” he added.

Porsche Korea’s plans for 2014 also include strengthening the brand image through various digital and offline marketing strategies.

“Through Porsche Korea, we will make all efforts to increase customer satisfaction,” said Broker. “We look forward to future growth and market development in Korea.”

By Kim Joo-hyun (