Volvo Cars reports strongest second-half sales in company history on pandemic recovery

Volvo Cars reported the strongest second-half sales numbers in the company’s history.

2020 sees a fast-growing demand for Volvo’s electrified cars, which boosted the company’s recovery from the COVID-19 pandemic impact.

The company acted decisively to mitigate the impact of the pandemic during the first half of the year, allowing it to quickly restart its operations after a brief shutdown and embark on a strong recovery, helped by fast-growing demand for its Recharge line-up of chargeable cars.

The share of Recharge models, with a fully electric or plug-in hybrid powertrain, more than doubled in 2020 compared to 2019. In Europe, the share of Recharge cars of overall sales was 29 per cent, making Volvo the leading brand in the region for chargeable cars. It was also a leading plug-in hybrid brand in the US.

In China and the United States, its two largest individual markets, the company reported growing sales for the full year as it managed to more than recover a pandemic-related sale drop in the first half during the second half of the year.

“We had a great second half of the year after a tough start, gaining market share in all our main sales regions,” said Lex Kerssemakers, head of Global Commercial Operations. “We aim to build on this positive trend in 2021 as we continue to roll out new electrified Volvos and expand our online business.”

Sales rose by 7.4 per cent to 391,751 cars in the second half compared to the same period in 2019. Globally, Volvo Cars sold 661,713 cars in 2020, a decline of 6.2 per cent compared to 2019. Although final numbers for the full year are yet to be confirmed, the company outperformed its competitors and gained market share in all its main sales regions during the first eleven months of the year.

The pandemic also accelerated the company’s move towards online sales, which will continue to be a focus area in 2021. In 2020, Volvo Cars more than doubled its number of subscriptions sold online versus 2019. Conquest rates via this channel continued to be high, supporting the increase in market share.

Volvo Cars is committed to becoming a premium electric car company and in coming years, the company will launch several fully electric cars. By 2025, it aims for its global sales to consist of 50 per cent fully electric cars, with the rest hybrids. It is currently the only car maker to offer a plug-in hybrid variant on every model in its portfolio.

This content was supplied by Gasan Zammit Motors Ltd