BYD to Start Car Sales in Japanese Shopping Malls to Boost Sales

BYD's decision to sell cars in Japanese Aeon malls represents an innovative approach to reaching consumers directly in their daily environments. This initiative is part of a broader strategy to expand BYD's retail network in Japan, leveraging Aeon's extensive presence. With over a thousand stores globally, Aeon is a retail giant, well-known for its Jusco supermarkets. The plan includes the establishment of sales outlets in 30 commercial facilities, where Aeon will independently manage pricing and promotional activities.

The focus on competitive pricing is a key component of BYD's strategy. Currently, the cheapest BYD model in Japan, the Dolphin hatchback, is priced at 2,992,000 yen (approximately $19,720 USD). However, BYD plans to offer new models at around 2 million yen (about $13,180 USD), significantly lowering the entry barrier for consumers. This pricing strategy, coupled with Aeon's promotional efforts, is expected to attract a larger customer base and enhance BYD's market penetration.

In addition to affordable pricing, BYD is implementing a rewards system through Aeon's electronic currency, 'Waon'. Customers purchasing cars at Aeon outlets will earn points redeemable for discounts on home charger installations, adding value beyond the initial vehicle purchase. This initiative not only incentivizes sales but also supports the development of a robust charging infrastructure, a crucial factor for the adoption of electric vehicles.

The impact of BYD's market expansion in Japan is already evident. According to the Japan Automobile Importers Association, BYD accounted for 20% of imported EV sales in September. This growth reflects a broader trend of increasing acceptance and demand for electric vehicles in Japan, driven by a combination of innovative strategies and the country's commitment to reducing carbon emissions.

BYD's partnership with Aeon exemplifies a strategic alignment that goes beyond mere sales. By integrating automotive retail into shopping malls, BYD is poised to change the dynamics of car sales in Japan, making it more accessible and convenient for consumers. This approach not only offers potential growth for BYD but also sets a precedent for other automotive companies looking to innovate in distribution and sales.