GWM looking to simplify range structures as it launches new models

GWM Australia will continue to add new model lines and nameplates to its range, but executives from the Chinese brand say that actual grade structures need to be simpler than they are now.

Speaking with CarExpert at the local launch of the new Haval H7, head of marketing and communications for GWM Australia and New Zealand, Steve Maciver, remarked: "I'm not sure that more complexity in our lineup is what we need.

"We're trying to make some deliberate decisions around how we spec [new] products," Mr Maciver said.

"On H6 at the moment we've got front-wheel drive and all-wheel drive in there. We've made the decision on H7 [to go] all-wheel drive only. So we're trying to make those decisions at the moment to try and keep the complexity as you know as simple as we can, keep the lineup as tight as we can."

Asked if the high volume projections for the new H7 might prompt a range expansion down the line, Mr Maciver argued the launch lineup should suffice.

"Ultimately, we've got to go where the customers are, where the volume is, and that's what we're trying to do. But, I don't think there's any need for a third grade in the H7. I think two powertrains, two grades for the volume we foresee for that model is fine."

Chief operating officer, John Kett, added that future product releases – of which many have been teased for 2027 – will follow a more simplified range structure compared to the dense lineups of the existing Jolion and H6 SUVs.

"I think once we get through next year, and you see the rollouts that we have, we'll have to answer that question," Mr Kett said.

"I think about 60 per cent of our business, other than Jolion, is penetrated around our ultra grades or our Vanta grades. So it tells us that our Lux grades or our Premium grades are a very small part of our business."

Mr Kett pointed to the upcoming launches of the Haval Jolion Max and Ora 5 Plus, which in combination with the existing H6 and newly launched H7 will bring the Chinese brand's mid-size SUV offering to four distinct model lines.

"When you look at our future state, you could almost live with only Ultras and still have a brilliant step between cars,” he said.

"People will not necessarily be [looking at] HEV versus PHEV, Lux versus Ultra – I think we may end up just with HEV and PHEV, some in one grade," Mr Kett continued.

"Today [with H6] we have in PHEV and HEV we have an Ultra all-wheel drive and two-wheel drive, and in Lux we have a two-wheel drive for both. That's six models for a customer group that's just looking for something.

"We need to pare that back anyway, because they both sell well, but when you oversell one versus the other, you end up having aged [stock], you end up discounting – not because people don't want the car, but because they're confused between all-wheel drive or two-wheel drive.

"Ultimately, our network would demand it, and we would need it. We want to reduce that complexity once we've done the full rollout of our portfolio, so we have – as Steve said – drive wheels, fuel types, seating arrangements, and size; I think you'll see us really trim the range," Mr Kett added.

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