2022 in review: Record sales, climate leadership and safest Volvo ever

**January: Record sales, wowing the motoring press**

The start of the year saw Volvo confirm that 2021 had been another record-breaking year for Australia with more than 9000 new Volvo vehicles registered in 2021 despite the challenges of the global pandemic.

The total of 9028 vehicles for last year confirms Volvo continues to be one of the country’s fastest-growing luxury brands.

All three of Volvo’s award-winning luxury SUVs increased sales in 2021, driving 17.2 per cent year-on-year growth in Australia making it one of the strongest-performing markets for the Swedish brand.

Meanwhile, Australia’s motor trade press took the chance to test drive the new C40 Recharge in Belgium. They were unanimously impressed with its performance, quality and tech. While many were driven to superlatives about its acceleration from stationary, Damien Read of CarExpert put the performance into a real-world context.

“As impressive as its standing start is, the real fun comes from its overtaking punch from 50km/h to 100km/h and beyond.

“Merging onto a motorway entices challenges with much bigger, brawnier cars and they lost every time. It gives you supercar-like confidence to merge into the outside lane quickly and silently place a football field between yourself and those that were around you a few seconds earlier.”

**February: Making your car a home entertainment system**

February brought news that video streaming is coming to Volvo cars with Google built-in, providing owners with an entertainment source for when their vehicle is stationary.

“Allowing our customers to watch videos while charging or when waiting to pick up their children from school is part of our promise to make their lives better and more enjoyable,” said Henrik Green, chief product officer at Volvo Cars.

“With YouTube and other major streaming services coming soon, our customers can enjoy their charging break instead of seeing it as just a hassle – making electric car ownership that bit easier.”

The introduction of video playback coincides with the announcement that Volvo cars aims to seamlessly integrate with Google Assistant-enabled devices, which basically turns its cars into smart devices.

Combined with an unparalleled audio system that rivals high-end home set-ups, the agreements make Volvos something of a second home.

“The car is a great venue for enjoying video and audio, so I would not be surprised if this means that people spend more time in their Volvos, even when they are not going anywhere,” said Green.

**March: More awards, more EVs – and a new CEO**

March saw the Volvo XC40 recognised as the 2022 Drive Drive Car of the Year for Best Small Luxury SUV – for the second year running.

“The best of the breed – again – is the Volvo XC40, a vehicle that combines space, Swedish style, substance and flair with sound driving dynamics,” according to the Drive team of judges.

“Aside from the key criteria of braking performance, overall road impressions and interior assessment, emotive factors like kerb appeal and design were discussed and considered.”

As well as winning more awards for its vehicles, Volvo Cars also received the highest rating for its sustainability performance from EcoVadis, a leading provider of corporate sustainability assessments, achieving top marks for the fourth year in a row.

Meanwhile, Volvo moved into the top three brands in the ultra-competitive luxury segment on the back of strong February sales data released by VFACTs in March: Volvo sold 854 cars to clinch third place behind European rivals Mercedes Benz and BMW.

Also in March, Volvo Cars introduced a new single-motor C40 Recharge variant, which started shipping to Australia later in the year, plus a refresh to the exterior of the fully electric XC40 Recharge – experienced first-hand in Australia at shopping centres across Queensland, Victoria and NSW in February and March.

While announced in January, Håkan Samuelsson officially stepped down in March as CEO and President of Volvo cars after ten years leading the business, replaced by Jim Rowan.

**April: A major Scandi-style dealership upgrade**

Years in the making, the upgrade to all Australian retailers to Scandinavian-inspired Volvo Retail Experience completed in April. It means customers now get the same unforgettable experience of the brand across all 30 dealerships – and will have the same experience anywhere in the world.

Retailers have been made to balance contrasts: look cool on the outside and warm on the inside, for example, creating an environment which makes customers want to come in from the cold. Each retailer has the same distinct areas.

There’s The Street, which shows Volvo’s range of luxury vehicles. The Living Room is a place to relax with a freshly brewed coffee or work at the desks (with free Wi-Fi) while vehicles are serviced. Volvo Personal Service, also known as the Workshop, is where expert technicians work on the cars. Finally, Selekt is our assured used car sales area.

“It’s been a big couple of years and our retailers have really stepped up, there’s been some big investments in the brand,” said Stuart Mitchell, Volvo Car Australia’s Network Development Director.

“This has been a big change in a short amount of time and an incredible amount of work, and I’m grateful to our retailer network and my Network Development Managers for helping make this happen.”

**May: Amy Shark joins Volvo**

Award-winning Australian musician Amy Shark joined Volvo as a brand ambassador. As of May, she’s been driving a Volvo XC60 Recharge Plug-in Hybrid.

“Why Volvo and Amy? Volvo is a relaxed luxury brand and, like us, Amy is incredibly down to earth, cool, cares about the environment and she has a love for the ocean,” said Volvo Car Australia Managing Director, Stephen Connor.

“It is also great to support local, home-grown talent, especially after a couple of tough years for all artists,” he added. 

“I am really looking forward to seeing Amy bring joy to communities around Australia and to keeping her music alive. I encourage you all to get behind our Amy and support the music industry.”

**June: Epic Games and guaranteeing future Volvo car values**

With June came the news that Volvo Cars has teamed up with Epic Games’ Unreal Engine – the powerful software that visualised the sands of Tatooine for Disney’s The Mandalorian and renders the visuals in popular video game Fortnite – to power its next-generation in-car graphics. 

The deal means customers will have access to impressive, high-quality graphics on displays within Volvo’s next generation of cars – without being confused by an increasing array of tech.

“We see a lot of inputs coming into the car. All of that is a lot of information for a computer. We need to present that in really clever ways so that it is not overwhelming to the user,” said Thomas Stovicek, Head of User Experience at Volvo Cars. “Unreal Engine provides a creative background to explore what all of these capabilities can be going forward.”

Volvo also moved to give customers a guarantee of what their cars will be worth in future should they wish to trade them in or keep them at the end of the flexible finance agreement.

**Volvo Car Future Value** (VCFV – which like everything, is subject to terms and conditions) means customers can upgrade their Volvo more often, enjoying the best innovations and technologies. At the end of terms ranging from 12-60 months there are three options:

1.    **Trade in:** customers can trade in their Volvo for a new one at the retailer. If the trade in value is higher than the GFV, the equity can be used towards the new vehicle purchase.

2.    **Retain:** customers can choose to keep their Volvo, all they have to do is let their retailer know. If they have met payment obligations, they can buy the vehicle outright for the GFV amount or refinance it (subject to lending criteria).

3.    **Return:** customers can return the vehicle at the end of the term if it meets the agreed kilometre and Fair Wear and Tear requirements.

Learn more here.

**July: Record sales, again**

July kicked off with the news that for the second consecutive month, Volvo Car Australia had broken its own sales records, delivering 1,174 cars in June. 

The result eclipsed the company’s May figures by 53 cars, demonstrating strong demand for the luxury SUV segment and putting Volvo Car Australia on track for a “record-breaking year in 2022”, said Managing Director Stephen Connor. 

“In June the overall Australian car market declined by nearly 10 per cent, and the luxury segment declined by 4 per cent. By comparison we increased our sales by 8.4 per cent,” added Mr Connor. 

**August: More records fall, decarbonising advertising**

Volvo Car Australia in August became one of the first companies in the country to reduce the environmental impact of its digital advertising, backing an initiative launched by its media agency, Mindshare, and agency parent company GroupM Australia, which will make advertising better for the planet.

The media company is tracking the emissions from digital advertising, working out the carbon footprint of each campaign, and countering its impact through carbon offsetting and climate-positive activities like reforestation, habitat protection and coral reef restoration.

Also in August, Volvo Car Australia confirmed its best ever year for new sales in the 2022 financial year, selling more than 9,300 units in the 12 months to 30 June.

**September: Safety technology ‘beyond any Volvo car before’**

In a keynote speech on 21 September, Volvo Cars CEO Jim Rowan presented his vision for the future of safety and the company. Volvo Cars shared that its next flagship SUV – the Volvo EX90 – will incorporate safety technology “beyond any Volvo car before”, according to Rowan.

“With state of the art sensors and software, our next car will be able to see the world in point cloud, as you can see around me. These sensors are powered by Volvo Cars’ unique combination of advanced core computing and software to enable improvement in safety in the digital age – like the three-point seatbelt did in the late 1950s.” 

Volvo Cars is aiming for an ambitious goal: zero deaths or serious injuries in Volvo cars. As well as internal sensors, the EX90 will have an array of external eight cameras, five radars, 16 ultrasonic sensors and a cutting edge LiDAR sensor that, along with a core computing platform and software, create a 360-degree real-time view of the world around the car. 

LiDAR stands for Light Detection and Ranging, and the new array, embedded in the roofline of the EX90, is designed to significantly help reduce the risk of accidents.

In Australia, more ‘pure’ or all-electric vehicles were sold in September (7,247) than hybrid and plug-in-hybrid combined (5,141).

“There is a clear market trend towards zero emission technology,” said Tony Weber, the chief executive of the Federal Chamber of Automotive Industries, reinforcing Volvo Car Australia’s trajectory towards a fully electric car company. 

**October: C40 Recharge hits the shops, a ‘battery on wheels’, approved repairer network**

In October, the new C40 Recharge, Volvo Cars’ first electric-only model, came to shopping centres around the country for Australians to touch and experience. Judging by sales figures at the back end of this year, the strategy worked.

Volvo Car Australia also went live with a new, extensive network of approved repairers around the country that can repair a Volvo that is damaged.

Known as the Volvo Approved Repairer Network, the 16 repairers – so far – make sure owners keep the vehicle “100 per cent Volvo”.

Meanwhile, Volvo globally revealed that the New Volvo EX90 will be a ‘battery on wheels’ to power homes and recharge at off-peak times via bi-directional power capability.

Bi-directional charging means the power can flow both to and from the car battery. That means it can power your home and recharge at low-demand times – a feature which will also help Australia’s power grid adapt to an increasing penetration of renewable power as well as greater power demand as more EVs hit the road.

Electric cars can be a “virtual powerplant” with bi-directional charging, Olivier Loedel, Head of Electrification Ecosystem, said, and function as a large battery on wheels.

“With the Volvo EX90 you can power your life,” said Head of Electrification Ecosystem Olivier Loedel.

“You could use its battery in many ways, from topping up your electric bike when you’re out and about, to hooking up an outdoor cooking appliance for your weekend camping trip. It could even power your house during the expensive peak hours of the day.”]

**November: A world-leading target, the start of something new, and baby coral planted via Volvo ads**

In November, Volvo Car Australia shared its ambition to be all-electric by 2026, four years ahead of the firm’s global target, while a new advertising initiative is planting baby coral on the Great Barrier Reef – bidding to counter the emissions produced by digital advertising.

“Globally, Volvo is firmly committed to becoming an electric-only carmaker by 2030, but in Australia we will make the transition happen by 2026,” said Stephen Connor, Managing Director of Volvo Car Australia.

“The earlier deadline will allow us to meet the expectations of our Australian customers and be a part of the solution when it comes to fighting climate change. Sustainability is now as important as safety to us, with climate action having the highest priority.”

“There is no long-term future for cars with an internal combustion engine. So, instead of investing in a shrinking business, we choose to invest in the future, which is fully electric.”

The move was described as “truly remarkable” by Behyad Jafari, chief executive of the Electric Vehicle Council.

“Most Australians now want an electric car – the problem is a lack of supply and a lack of choice,” said Jafari. “Having Volvo plug part of this gap will make a significant difference.”

Volvo Cars has committed to produce a new electric vehicle every year in order to meet its target. **The new flagship seven-seater all electric SUV, the EX90, was also unveiled in November.** The first models are due to arrive in Australia in late 2024.

“The Volvo EX90 is a statement for where we are, and where we are going,” said Jim Rowan, CEO, Volvo Cars. “It’s fully electric with a range of up to 600 kilometres on a single charge, designed to further raise our safety standards, the first Volvo car to be truly defined by its software and part of a wider ecosystem, connecting to your home and your other devices. The Volvo EX90 is the start of something new for Volvo Cars in many ways.”

Finally for the month came news that digital advertising for Volvo Car Australia has directly contributed to 420 baby coral being planted and more than 7 tonnes of carbon being offset, as part of the initiative with the company’s media partners to decarbonise digital ads.

The baby coral and offsets were from advertising run in the third quarter of 2022 – from July to September. “And that’s just the start,” said Volvo Car Australia Managing Director, Stephen Connor.

**December: Volvo sales up 59%, EVs start to motor, a call for government action**

In early December, VFACTs data confirmed Volvo Cars sales for November climbed 59 per cent versus the same month last year, setting the stage for another record breaking sales year in Australia.

VFACTs reports 883 new Volvo registrations versus 554 in November 2021. Of those, 243 were the all-electric C40 Recharge, with EVs making up more than a quarter (27.5 per cent) of Volvo Cars’ Australian sales for the month.

Meanwhile, the company has urged governments and businesses around the world to commit to carbon pricing – and take meaningful action on climate change to avert the worst effects.

Here’s to progress in 2023. All the best from Volvo Car Australia.