Make no bones about it, Great Wall Motors (GWM) is out to secure a top-five manufacturer position in both New Zealand and Aussie markets. This goal, articulated by GWM’s ANZ leadership (Cameron Thomas – Country Manager New Zealand and John Kett – Chief Operating Officer ANZ, Steve Maciver Head Of Marketing & Communications ANZ) at the Tank 300 Hi4-T PHEV NZ launch in Kauri Bay, is underpinned by a sophisticated, multi-faceted strategy that blends aggressive market conquest with an unwavering commitment to customer experience, product diversification, and operational excellence – PHEW!
Insights from our recent discussions with the brand, including takeaways from the Beijing Auto Show, reveal a company meticulously planning its trajectory, adapting to local nuances, and investing heavily in the foundations of long-term success.
The Dual Engine of Growth – Conquest and Retention
GWM’s path to the top five is powered by a two-pronged approach. Firstly, they acknowledge the necessity of “continually conquesting” their way up, meaning a relentless focus on attracting new buyers and winning market share. This is a given in any growth strategy. However, the more profound and arguably more sustainable engine of their growth lies in significantly enhancing the “ownership experience.” GWM believes that an improved ownership journey will translate directly into better service retention and, crucially, improved customer retention. They project this focus could be worth an additional 10% to 15% of sales once the initial conquesting phase matures.
A key battleground for this strategy, particularly in New Zealand, is the fleet market. While GWM enjoys strong private sales in both Australia and New Zealand, reflecting competitive pricing, they admit to being “still very weak in the fleet side.” This represents a “super opportunity” in New Zealand, specifically targeting operating leases, government sales, and general corporate clients.
To unlock this potential, GWM is adopting a “go local, grow more” philosophy, establishing strong local leadership teams that understand the unique “nuance of what makes a Kiwi customer and certainly a Kiwi dealer.” Building robust relationships with corporate New Zealand, often via Financial Management Organizations (FMOs), is identified as the “next phase” of their development. This localised approach ensures that GWM are integrating into the fabric of the local economy and culture.
A Portfolio for Every Preference – Diversification as a Differentiator
Right now, many manufacturers are narrowing their focus, particularly towards pure electrification, GWM stands out with a remarkably diverse powertrain strategy. Their portfolio is really well positioned across petrol, diesel, hybrid, plug-in hybrid (PHEV), and electric vehicle (EV) options. This breadth is a deliberate choice, offering customers “choice” rather than dictating a single path. While acknowledging the global shift towards EVs, GWM’s leadership emphasises that they are a true auto manufacturer led by an auto enthusiast, Chairman Wei, who champions a wide array of technologies. This includes not only new EVs but also 3L turbo diesels and even V8s, all while navigating stringent compliance standards like New Zealand’s Clean Car Standard (CCS) and Australia’s New Vehicle Emissions Standard (NVES).
The Beijing Auto Show provided a glimpse into GWM’s expansive product pipeline. The company is actively working to fill many gaps in the ANZ market. This includes expanding the popular Tank range beyond the 300 and 500 models, introducing the Jolion Max to bridge the small and mid-size SUV segments, and bringing an H6 successor and a new-form H7 (which was never previously sold in New Zealand) to market. There’s also an opportunity for a large monocoque SUV and a pathway to introduce the premium Wey brand into both markets.
However, this expansion is not indiscriminate. GWM is committed to curating its portfolio, ensuring that only the right products with the right trims and powertrains are selected for each market to avoid complexity for their network and optimize forecasting. This strategic selection process is a direct application of their “go global, grow local” principle.
Beyond the Transaction – Cultivating Brand Loyalty
For GWM, the sale of a vehicle is just the beginning. The focus on customer experience extends to every touchpoint. As Maciver emphasises, the goal is to “deliver brand preference and affinity” by building “personality into our brand into our sub brands” and creating an emotional pull towards GWM. This is crucial for a brand that has been the “longest standing Chinese brand in New Zealand” and is committed to the long haul.
This commitment manifests in practical ways. Kett recognises that “customers realise that things can go wrong sometimes,” and the key is “how we deal with those issues when they arise.” This means investing in “non-sexy stuff” like call centres, upgrading scanning tools, integrating with digital service manuals, and training for “fix it first time.” These internal maturities are designed to ensure that customers feel valued and supported, fostering a “passion for the brand to come back again.” The company is also reviewing market-based pricing for parts and accessories to ensure servicing costs remain competitive, further enhancing the overall value proposition.
The Backbone – Operational Resilience and Innovation
Behind the scenes, GWM is fortifying its operational infrastructure to support its ambitious goals. A significant development is the investment in a significant technical centre in Australia. This “plan B” emerged after changes to a proving ground contract, but it will serve as a hub for tuning, engineering development, technical training, and technical service. This allows GWM to quickly understand and address issues related to cars on the ground and fast-track accessory development for the ANZ market, which they admit “leaves a lot to be desired” currently. This local capability ensures that vehicles are optimally calibrated for local conditions and that accessories enhance the brand’s appeal.
Parts supply, a critical component of customer satisfaction, is also a high priority. GWM boasts a very sophisticated structure with parts warehouses in Western Australia, Melbourne, Queensland, and Auckland, complemented by a direct-ship plant from a multi-million dollar investment in China. This network ensures “very very strong” fill rates, with parts flown in overnight from China if not available locally. Furthermore, GWM is implementing systems to proactively manage “Vehicle Off Road” (VOR) situations. By monitoring repair orders and VOR flags, they can quickly identify issues, communicate with customers, provide loan cars, and aim for a “fix it first time” approach, thereby minimizing customer inconvenience and avoiding potential buyback challenges.
The EV Horizon – A Measured, Strategic Rollout
While GWM offers a broad powertrain mix, their EV strategy is both aggressive in value and measured in deployment. The Ora 5, their current EV offering, is seen as a “signal of how aggressive we’re going to be.” A second EV is slated for release later this year, and more EVs are expected as their small and mid-size SUV portfolio expands.
Tarmac Takeaway – A Brand Poised for the Future
GWM’s journey to a top-five position in Australia and New Zealand is all about a comprehensive and adaptable strategy. By focusing on aggressive market conquest, a deeply enhanced ownership experience, a diverse and curated product portfolio, and robust operational support, GWM is building a sustainable foundation for growth.
Their commitment to understanding and serving local markets, coupled with significant investments in infrastructure and customer care, positions them not just as a challenger brand, but as a serious contender poised to reshape the automotive landscape in ANZ.
