Video: How good is a $26,490 Electric Car? - ADME

The quick read

The Geely EX2 is now available in Australia with a starting price of $26,490 before on-road costs
It is one of the country's cheapest new electric cars
The arrival of the Geely EX2 increases competition in the Australian EV market
Chinese brands are expanding their presence in Australia with affordable EV options

For dealers: Australian dealers need to reassess their EV offerings and pricing strategies in response to the arrival of affordable models like the Geely EX2

AI-assisted summary of the coverage below — check the original reporting before relying on specifics.

ADME commentary

The ADME angle

The Geely EX2's aggressive pricing will force dealers to reevaluate their margin expectations for EVs, particularly in the sub-$30,000 segment

Pricing Pressure

Dealers who have been relying on higher margins for EVs will need to adapt quickly to remain competitive, as the Geely EX2's price point will attract price-sensitive buyers

The arrival of the Geely EX2 also highlights the growing influence of Chinese brands in the Australian market, which will likely lead to increased competition in the EV space

Market Dynamics

As more affordable EV options become available, dealers can expect an increase in showroom traffic from buyers who were previously priced out of the market, creating an opportunity to educate and convert these customers

The Geely EX2's low price point will also put pressure on other manufacturers to reassess their pricing strategies, potentially leading to a price war in the EV segment

Competitive Response

To remain competitive, dealers should focus on providing exceptional customer service and highlighting the value proposition of their EV offerings, rather than relying solely on price

One decisive action dealers can take this week is to review their current EV inventory and pricing, and consider offering competitive pricing or promotions to attract buyers who are interested in the Geely EX2

Go deeper — ADME analysis