The reborn Fisker produced just over 10,000 cars in 2023, delivering around 4,700 units of the Ocean crossover to customers across 12 markets worldwide (including some right-hand-drive countries) following the first deliveries in June. Fisker says it is already a revenue-generating company, despite supply chain issues and other challenges, and now it has launched a new plan to further increase sales. In the U.S., Fisker will be ditching its direct sales model in favor of partnering with traditional dealerships.
Currently, Fisker operates just two retail locations in the U.S., similar to the showrooms from other EV brands like Lucid and Tesla, at which customers can check out the cars and go for a test drive before ordering an Ocean online. Additionally, the brand has a number of service locations that assist with deliveries and repairs. But it’s hard to grow sales and deliveries rapidly, which is why CEO Henrik Fisker says the brand is moving to a dealership model. Says Fisker:
“Fisker is transforming its strategic efforts by putting in place the brand accessibility and sales channels required to satisfy increasing demand for the Fisker Ocean and to prepare for launch of additional future models. As a result, we are evolving our business model and intend to add as many as 50 dealer partners in the US and Canada and a similar number of dealer locations in Europe this year. In keeping with our asset light strategy, I expect the Dealer Partnership model should enable Fisker to expand its sales and delivery network at a faster pace.”
The company says this plan has been in discussion since late November 2023, and the first dealers will start receiving Oceans by the end of Q1 2024 with the goal to have all the initial partners up and running by the time the cheaper Ocean trims come out. There’s no word on what other brands the dealerships carry or where each one will be located, and Fisker says it will still operate its Fisker Lounge showrooms in major cities.
One of the biggest flaws in the dealership model is the trend toward huge markups, which Fisker is trying to combat. It says that its dealer partnerships will have “no-haggle pricing (where permitted),” and that the large spread of the network means dealers won’t have to engage in combative pricing techniques with competitors. Fisker also isn’t requiring the dealers to make large investments and renovations to their existing locations, with a corporate identity branding plan that can be quickly and easily implemented. The company is also making sure the dealer process will be as smooth and painless as possible:
Fisker will be working with dealer partners who place a high emphasis on delivering excellent customer satisfaction, providing streamlined customer support and service, as well as expanded test-drive opportunities as the range of Fisker models and trim levels expands. Dealers will also facilitate financing and insurance arrangements and assist customers with matters related to Fisker’s warranty.
Going to a dealership really sucks, especially for electric car buyers, but if Fisker can actually pull this off, it could seriously help the brand’s expansion be successful. In Europe, though, Fisker will be going with a hybrid sales model that pairs direct sales with dealer partners.