Fisker (NYSE:FSR) stock is in the red today, bringing its year-to-date (YTD) loss to more than 10%. This morning, the electric vehicle (EV) company announced that it is in the process of developing a dealer partnership model in the U.S. and is planning on utilizing a direct sales and dealer arrangement model in Europe.
“As we saw throughout 2023, the EV market has changed dramatically,” said CEO Henrik Fisker. “As a high-growth startup, 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.”
Fisker has already engaged with potential dealer partners since November. In 2024, it expects to add up to 50 dealer partners in the U.S. and Canada. In Europe, it plans on adding a similar amount of dealer partners. Fisker is pursuing this strategy in order to increase its sales volume and “test drive network.” This year, the EV company also plans on increasing test-drive events due to its belief that sales have correlated positively with the events.
FSR Stock: Fisker Looks to Enact New Sales Model
Fisker has estimated that its first dealers will receive vehicles during the current quarter. By the time its higher-volume vehicle models come to market, the company expects to have its dealer network completed. Fisker wants to make it easy on the dealer’s end by not requiring them to make “extensive, time-consuming, or costly changes” to their physical locations in order to accompany its vehicles. The company will use its “corporate identity features” in order to streamline the sales process.
Yesterday, it was also announced that Fisker had selected Santander Consumer Finance as its preferred financing partner in the United Kingdom. The partnership will provide Fisker customers with flexible forms of financing when purchasing a vehicle, such as personal contract purchase (PCP) and business contract hire (BCH) packages.
In 2023, Fisker produced 10,142 Ocean EVs and delivered approximately 4,700 of them. Deliveries of the Ocean are currently underway in 12 global markets.
On the date of publication, Eddie Pan did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
