Volvo Cars is committed to becoming a leader in the fast-growing premium electric car market and plan to become a fully electric car company by 2030, the Swedish firm said.
By then, Volvo Cars intends to only sell fully electric cars and phase out any car in its global portfolio with an internal combustion engine, including hybrids.
The company’s transition towards becoming a fully electric car maker is part of its ambitious climate plan, which seeks to consistently reduce the life cycle carbon footprint per car through concrete action.
Volvo Cars said the 2030 ambition represents an acceleration of its electrification strategy, driven by strong demand for its electrified cars in recent years and a firm conviction that the market for combustion engine cars is a shrinking one.
“To remain successful, we need profitable growth. So instead of investing in a shrinking business, we choose to invest in the future – electric and online,” said Håkan Samuelsson, chief executive.
“We are fully focused on becoming a leader in the fast-growing premium electric segment.”
Volvo Cars launched its first fully electric car, the XC40 Recharge, in markets around the globe last year. Today the company also revealed its second fully electric car, a new model in the 40 Series.
In coming years Volvo Cars will roll out several additional electric models, with more to follow. Already by 2025, it aims for 50% of its global sales to consist of fully electric cars, with the rest hybrids. By 2030, every car it sells should be fully electric.
“There is no long-term future for cars with an internal combustion engine,” said Henrik Green, chief technology officer.
“We are firmly committed to becoming an electric-only car maker and the transition should happen by 2030. It will allow us to meet the expectations of our customers and be a part of the solution when it comes to fighting climate change.”
All pure electric Volvo models to be available online only
Volvo Cars’ move towards full electrification comes together with an increased focus on online sales and a more complete, attractive and transparent consumer offer under the name Care by Volvo.
All fully electric models will be available online only.
It aims to be a fully electric car company globally by 2030 and will launch a completely new family of electric cars in the coming years – all of which will be available online only.
As part of its new commercial strategy, Volvo Cars will invest heavily in its online sales channels, radically reduce complexity in its product offer, and with transparent and set pricing models.
“The future of Volvo Cars is defined by three pillars: electric, online and growth,” says Lex Kerssemakers, head of global commercial operations.
“We want to offer our customers peace of mind and a care-free way of having a Volvo, by taking away complexity while getting and driving the car. Simplification and convenience are key to everything we do.”
While Volvo Cars is investing heavily in online sales platforms, it will build stronger customer relationships together with its retail partners. They remain a crucial part of the customer experience and will continue to be responsible for a variety of important services such as selling, preparing, delivering and servicing cars.
“Online and off-line need to be fully and seamlessly integrated,” added Kerssemakers.
“Wherever the customer is in their journey – online, in a showroom, in a Volvo Studio, or driving the car – the customer experience needs to be top-notch.”
Care by Volvo, until recently known as the name for Volvo Cars’ subscription service, will be expanded into a broader customer offer aimed at increasing overall convenience.
When buying an electric Volvo online, it will come with a convenient care package that includes items such as service, warranty, roadside assistance, as well as insurance where available and home charging options.
On its flagship online store, volvocars.com, the company will radically simplify the process for, and reduce the number of steps involved in, signing up for an electric Volvo.
Customers will be able to choose from attractive pre-configured electric Volvos that are ready for simple and convenient ordering and quick delivery.