Blume sees the delay as positive and not negative and refers to the strategy as an optimization of Porsche’s “cyclical plan”.
“The change is not a problem for us; we just optimized the cycle plan, ”said Blume, according to Bloomberg. The company is confident about its future, mainly due to the pick-up in demand that Porsche has had in China. Positive sales figures in China helped Porsche to generate more profit than any other European automaker in the first half of 2020.
Porsche, which is part of the larger Volkswagen Auto group, is one of only three companies to remain profitable through the first half of 2020, while other automakers have suffered from falling demand and slowing rates. production due to the COVID-19 pandemic.
The other two companies to remain profitable in the first half are Tesla and Toyota.
Porsche had to fight its way through the pandemic with a strategy and calculated valuations as to where to cut spending. The company has eliminated “wasteful spending” to help conserve cash flow through the industry’s deceleration. Porsche has expanded its online retail business and reduced operating costs to help dealership operations, according to the Union-Tribune of San Diego.
“The company has changed a lot during the coronavirus,” Blume said of the adjustments Porsche made to maintain profitability. “It was important to focus on the essentials.”
The online platform has proven to be a big factor in Tesla’s ability to maintain healthy demand during the virus as well. CEO Elon Musk attributed the company’s online sales approach to maintaining substantial sales numbers.
We make the shopping experience super easy. You can buy a Tesla in just two minutes by going to our website. Go to our website. You can literally order a Tesla in two minutes, maybe a minute if you’re really quick, ”Musk said in an interview with Automotive News. “I guess people are less likely to want to go to a dealership, test drive, hang out in the lobby and that sort of thing.”
As for Porsche’s future, the company expects half of its global deliveries to be fully or partially electric in 2025. Pure BEVs are expected to account for 40% of sales, while hybrids will account for 10%, said Blume.
But the CEO clarified that “the future belongs to electric mobility,” he said on Wednesday.