Volkswagen Anhui is aggressively expanding its sales network, with CEO Liu Zhanshu announcing plans to more than double its dealership count annually. The company aims to have at least 300 outlets by next year, a significant jump from its current growth trajectory.
Aggressive Network Expansion
Liu Zhanshu, CEO of Volkswagen Anhui Digital Sales & Service Co., Ltd., revealed the ambitious expansion plans in a recent interview. He stated that the company’s channel numbers are doubling each year, with a clear target of exceeding 300 locations in the coming year.
The strategy for this expansion is built on several core principles:
- Prioritizing High-Tier Cities: The primary sales volume for Volkswagen Anhui’s B-segment pure electric SUV and sedans is expected to come from Tier 1 and Tier 2 cities. Therefore, increasing coverage in these key urban areas is paramount.
- Optimizing Existing Footprint: The company will focus on refining the placement and efficiency of its current network locations to maximize reach and impact.
- Evolving Network Models: Volkswagen Anhui is adapting its sales model to a hybrid approach, combining direct sales with an agency model. This includes establishing direct stores in core cities while leveraging agents elsewhere.
The key difference between the agency model and traditional dealerships is that we do not pressure inventory. Dealers and agents make money on every car sold; we don’t have a situation where we lose money on a car sold. As vehicle deliveries increase, the number of investors showing interest in us is also growing concurrently.
Strategic Collaboration with FAW-Volkswagen
Addressing the potential for shared sales networks with FAW-Volkswagen and SAIC Volkswagen, Liu Zhanshu confirmed that Volkswagen Anhui has already initiated a collaboration with FAW-Volkswagen in the first half of this year. This partnership currently involves approximately 10 outlets operating under a “store-in-store” model.
Under this arrangement, joint investors can simultaneously invest in both Volkswagen Anhui and FAW-Volkswagen to sell models like the ID.7 and ID.8 (referred to as “与众 08” and “与众 09” in the source text). This collaborative sales approach is actively being developed.
Background: “Golden Badge” Volkswagen
Volkswagen Anhui Digital Sales & Service Co., Ltd., commonly known as “Volkswagen Anhui,” is distinguished by its use of a golden Volkswagen badge for its ID. and “与众” product lines, earning them the moniker “Golden Badge Volkswagen.” This strategic branding differentiates their electric vehicle offerings.
The “store-in-store” collaboration has a history. On April 2, 2026, Volkswagen China, FAW-Volkswagen, and Volkswagen Anhui signed a memorandum of understanding regarding dealer network strategic cooperation. This agreement paved the way for introducing the “store-in-store” model at select FAW-Volkswagen dealerships to showcase and sell Volkswagen Anhui’s new energy vehicles, utilizing a sales agency framework.
In the initial phase of this collaboration, FAW-Volkswagen identified authorized dealers in about 30 cities where Volkswagen Anhui’s network was not yet fully established. These dealers were designated to create dedicated display and sales spaces for the relevant electric models.
Previous disclosures from Volkswagen Anhui indicated a network of 120 outlets by the end of 2025, with projections to surpass 200 locations in 2026. The latest announcement suggests an accelerated growth strategy aimed at significantly exceeding these earlier targets.
