Mehmet Gürcan Karakaş, CEO of Togg, responded to the allegations that Togg is making losses, looking for a partner and experiencing software problems in vehicles. In response to the question “Did the economic environment in Turkey lead Togg to search for a partner?” Karakaş said, “Establishing business partnerships when needs arise is one of the opportunities offered by today’s business world.”
Turkey’s domestic and national vehicle, Togg, has been subject to allegations of partnership and losses. Mehmet Gürcan Karakaş, CEO of Togg, answered t24’s questions and made statements regarding these allegations. “Establishing business partnerships when needs arise is one of the opportunities offered by today’s business world,” Karakaş said about the partnership allegations. The questions asked to the CEO of Togg and the highlights of his answers are as follows:
It is said that the targeted figure for Togg for 2024 is far below the first 4 months. What are the reasons for this picture? Did the campaigns have no effect on sales? Did the low sales cause Togg to incur losses?
Togg has been working within the framework of a plan covering the next 15 years since the first day it set out. The construction of the Togg Technology Campus in Gemlik, the rollout of the first product T10X and the meeting with its users took place in accordance with this plan. Opened for pre-order in March 2023 via the Trumore app, the T10X received 177,467 orders in 10 days. Among these orders, T10Xs were delivered to 20 thousand users whose names were determined by a lottery held before a notary public until the end of 2023. Looking at the results of the first 4 months of 2024, according to the data of the Automobile Distributors and Mobility Association, it became the market leader with 7 thousand 148 sales and a share of 35.29 percent. Looking at only April data, Togg T10X reached a sales figure of 3 thousand 3 units and a market share of 49.25 percent.
The brand’s next goal is to start exporting. Exports will start from Germany at the end of this year.
Users state that there is a software problem in Togg vehicles. Despite the steps taken especially regarding the software, problems persist. Is this a problem specific to Togg? Could the reason for this problem be the early release?
The T10X is a modern tool that can be updated remotely and is always new and responsive to user needs. Our 30 thousand users can update their T10Xs remotely or, if they wish, they can come to our service points by appointment. Our brand has been and will continue to work to ensure that the T10Xs on the roads and the new smart devices that will be on the roads after the T10X are always new and up-to-date by developing new digital products and software that will make the lives of our users easier. Because unlike the classical automotive world, the new league in which we are a player requires smart devices to be constantly new and up to date, not to be made up every now and then or to wait for the model year to be renewed. Togg has entered this race, which has just begun in the world, just in time.
Recently, many automotive brands abroad have partnered. Did the economic environment in Turkey lead Togg to seek a partner? Do you have such a plan to expand to international markets?
In the professional world, opportunities for global companies can be evaluated when they arise. As in the case of Siro (Silk Road Temiz Enerji Depolama Teknolojileri San. ve Tic. A.Ş.), which we established in 50/50 partnership with Farasis, the world’s leading battery manufacturer, establishing business partnerships when needs arise is one of the opportunities offered by today’s business world.
There is information that surplus vehicles are transported to the factory with hundreds of closed trucks because they cannot be sold. Why was this necessary?
Since Togg does not have a dealer system, it is not possible to produce vehicles, sell them to dealers and then expect them to be sold to users through dealers. Togg T10X enters production after the order placed by our users through our Trumore application is received by our company, and the vehicles with specific owners are shipped from our campus to the delivery points. From time to time, canceled orders cause some vehicles to remain in stock, but the number of these vehicles does not reach large enough to be transported by hundreds of trucks.
