Sales of '702' certified used-car brand up 14-fold in 18 months

Seven branches now open, with 10 planned by year-end

Extended warranty service and maintenance history disclosure offered

The Songpa headquarters of Kolon Mobility Group [Kolon Mobility Group]
The Songpa headquarters of Kolon Mobility Group [Kolon Mobility Group]

Kolon Mobility Group's used-car business has surpassed 1,000 units in monthly sales. By building out its certified used-car operation on decades of experience in imported-car retail and servicing, the company has also crossed the 10,000-unit mark in annual transactions.

Kolon Mobility Group announced Tuesday that its premium certified used-car brand, 702 Kolon Certified Used Cars, has recorded roughly 14-fold sales growth since its launch 18 months ago. The company has set a target of 20,000 used-car transactions for this year.

The expansion of physical locations has been the primary driver of that growth. The 702 brand started with two branches and has since grown to seven. Four are in the Greater Seoul area — in Gangnam, Janghanpyeong, Yongin and Gimpo — while the remaining three serve regional markets in Daegu and Yangsan in the southeast and Gwangju in the southwest.

By establishing a presence in Gangnam and Janghanpyeong, two of the used-car market's most important commercial hubs, while extending its company-owned network into major regional markets, the group has expanded both its vehicle procurement volume and its customer touchpoints. In the used-car market, a dealer's ability to source vehicles and the reliability of its after-sales service weigh heavily on purchase decisions, making a strong offline network increasingly valuable.

The 702 brand applies the sales and service expertise Kolon Mobility Group has built over 40 years in the imported-car retail market to its used-car business. Every vehicle listed for sale undergoes a detailed diagnostic inspection by import-car specialists and a verification of its maintenance history before being offered to buyers.

The company has also strengthened vehicle information disclosure. Through its official online platform, buyers can review key details — including a vehicle's condition, accident history and service records — before making a purchase.

To ease the maintenance cost concerns that often weigh on imported used-car buyers, the company has introduced a "702 extended warranty" service that takes effect immediately upon enrollment, regardless of whether the manufacturer's original warranty has expired. The aim is to give buyers an ownership experience closer to that of a new-car purchase, with continued maintenance and after-sales support.

Kolon Mobility Group plans to press ahead with used-car expansion in the second half of the year. It intends to open three additional branches — in both the Greater Seoul area and regional markets — to build a nationwide network of 10 locations by year-end. The company also plans to integrate the auction infrastructure it recently announced acquiring, broadening its vehicle procurement channels.

Once the auction infrastructure is fully integrated, the company expects to strengthen a used-car distribution structure spanning vehicle procurement through wholesale and retail sales. It is pursuing the 20,000-unit annual transaction target on that basis.

Jang Jeong, head of Kolon Mobility Group's 702 offline business division, said the brand had "demonstrated clear results in a short period through rapid location expansion and improved vehicle procurement capabilities." He added that the company would "build an integrated value chain connecting online and offline channels across every stage of distribution by combining with the auction system, and present a new paradigm for the domestic used-car market."

The 702 Kolon Certified Used Cars brand offers in-person vehicle inspections and purchase consultations at its nationwide branches. The company plans to strengthen its credibility in the imported certified used-car market by centering its offering on precision diagnostics, maintenance history verification and extended warranty services.


kwater@heraldcorp.com