Store Expansion Plan for BYD's Denza Brand

Based on the information I collected, below are the details of the store expansion plan for BYD’s Denza Brand:

Time Node	Number of Stores	Coverage	Data Source
June 2024	Over 400	149 cities	[1][2]
October 2025	Over 600	Nationwide	[3]

In June 2024, Denza made a major strategic adjustment, shifting from a

to a hybrid channel model [1][2].

1. Phase-up of Development Stage
   : Denza has entered a new stage of “intensive product launches, rapid channel expansion, and fast-growing market scale” [2]
2. Sales Pressure
   : From January to May 2024, Denza’s cumulative sales reached approximately 47,300 units, with a year-on-year growth of only 3.4%, which is far from the annual sales target of 200,000 units [1]
3. Demand for Channel Sinking
   : To provide high-quality luxury services to users in broader regions [2]
4. Global Expansion Strategy
   : Leverage the strength of dealer partners to accelerate the pace of global market expansion [2]

• Team Requirements
  : Possess a mature team, and configure the operation and management team in accordance with brand requirements [2]
• Venue Requirements
  : Located in the local first or second-tier auto business districts, priority given to high-end luxury brands or mature 4S stores [2]
• Capital Requirements
  : Have sufficient store construction funds and working capital for subsequent operations [2]
• Pricing Policy
  : The product pricing for dealers is consistent with that of direct sales stores, adopting a unified national retail price to ensure a transparent pricing system [2]

Denza is also expanding its channels in overseas markets such as Hong Kong. For example, the Harmony Denza Flagship Store in Wanchai, Hong Kong, a collaboration with dealer partner Harmony Auto, has opened [2]. Meanwhile, BYD also has an expansion plan in the German market, aiming to reach 120 sales outlets by the end of 2025 and expand to 300 by the end of 2026 [4].

Denza, a strategic joint venture between BYD and Mercedes-Benz, was established in 2010. After its brand renewal in 2022, Denza gradually gained a firm foothold in the high-end new energy vehicle market, with its Denza D9 model achieving a “dramatic turnaround”. In 2023, Denza’s sales reached 127,800 units, and the Denza D9 became the best-selling model in China’s MPV market in 2023 with sales of 119,200 units [2].

According to Zhao Changjiang, Chief Co-creation Officer of Denza, based on the future product sales targets of 500,000 units, 1,000,000 units, or even higher, channel transformation is imperative. Denza plans to adopt the “Direct Sales + Dealer Partners” channel model globally to fully cover the global market [2].

---

[1] Sina Finance - “Major Adjustment: Two Subsidiary Brands of BYD Abandon Pure Direct Sales Model” (https://finance.sina.com.cn/stock/relnews/hk/2024-06-19/doc-inazhewc7393485.shtml)

[2] Sina Finance - “Two Subsidiary Brands Embrace Dealers, BYD Launches a ‘Channel War’” (https://finance.sina.com.cn/stock/relnews/cn/2024-07-23/doc-incfarzf3754975.shtml)

[3] 36Kr - “Former BYD Executive Helps Chery Sell Cars; 3 Months After Resignation, Zhao Changjiang Announces Joining Zhijie” (https://eu.36kr.com/zh/p/3637712684287232)

[4] Sina Finance - “BYD Plans to Significantly Expand Its Dealer Network in Germany” (https://finance.sina.com.cn/roll/2025-09-29/doc-infscnsr8344621.shtml)