Polestar to Double Retail Stores

Polestar's Accelerated Global Expansion

Polestar is preparing to launch operations in nine additional markets this year, effectively doubling its worldwide reach as it strives to increase sales of its electric vehicle models.

Retail and Service Network Growth

The electric performance brand, operating under the Volvo Car Group umbrella, also intends to double its number of retail locations to 100. Furthermore, the company plans to augment its service center network by year-end.

A portion of these new retail spaces will take the form of temporary pop-up stores. Currently, Polestar boasts over 650 service points across its existing markets and aims to surpass 780 by the close of 2021.

Current and Future Market Presence

Polestar initiated its market entry last year in the U.S., China, Canada, Belgium, Germany, the UK, Sweden, the Netherlands, Norway, and Switzerland.

By the conclusion of the current year, the company anticipates extending its presence to Austria, Denmark, Finland, Australia, New Zealand, Hong Kong, South Korea, and Singapore.

United States Expansion Details

Within the United States, Polestar currently maintains service centers and retail locations in cities including Austin, Bellevue (Washington), Boston, Detroit, Denver, Los Angeles, Minneapolis, New York, Princeton (New Jersey), San Francisco, San Jose, and Scottsdale (Arizona).

Future expansion plans within the U.S. include new locations in Orange County (California), central New Jersey, Charlotte (North Carolina), and Grapevine (Texas).

Continued Growth Trajectory

Polestar CEO Thomas Ingenlath affirmed the company’s commitment to maintaining a similar expansion rate regarding new markets in 2022.

He stated that “This continued pace, combined with new retail concepts, will support our goal to exceed our owners’ expectations.”

Expanding Product Portfolio

Currently, Polestar’s primary offering is the all-electric Polestar 2. However, the company has outlined plans to broaden its product range in the coming years.

In June, Polestar announced its intention to manufacture its inaugural all-electric SUV within the United States. This SUV, designated the Polestar 3, will be assembled at a facility shared with Volvo Cars in Ridgeville, South Carolina.

Model Lineup

The Polestar 3 will join the all-electric Polestar 2 sedan and the hybrid grand tourer Polestar 1 in the company’s lineup.

Global production of the Polestar 3 is slated to commence in 2022.

Innovative Customer Engagement Strategies

As Polestar scales its operations, it is actively exploring novel methods to connect with customers.

The core strategy involves expanding the retail store network and penetrating both existing and new markets.

The company is also piloting a new concept known as Polestar Destinations. These “destinations” function similarly to the existing “Polestar Spaces” stores but are larger and situated outside of major urban areas.

These destination stores will also serve as vehicle handover centers for customers who have ordered and paid for their vehicles online.

Increased Test Drive Availability

Polestar is adding 60 additional test drive locations by the end of 2021 to enhance access to the Polestar 2 for potential buyers.

Financial Backing for Expansion

This expansion is being fueled by a $550 million investment secured in April through an external funding round.

The round was led by Chongqing Chengxing Equity Investment Fund Partnership, Zibo Financial Holding, and Zibo Hightech Industrial Investment, with participation from SK Inc. and other investors.