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Volvo to sell cars online, limit auto show presence

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Sources told Reuters that Volvo plans to start selling vehicles online shortly in an effort to steal customers away from Audi, BMW and Mercedes-Benz. The Geely-owned Swedish automaker will also invest more money in digital advertising.

So far, few car companies have experimented with online sales. Tesla does it, but faces a bunch of legal troubles in the U.S. as angry dealer associations accuse the electric car maker of bypassing state franchise laws.

"We don't see a car distribution network without dealers in the foreseeable future," said Alain Visser, Senior Vice President Marketing, Sales and Customer Service at Volvo, adding that vehicles sold online "will still pass through the dealer network."

Volvo also rejected the idea of downtown stores like the ones being implemented by its German rivals, and announced plans to attend a single auto show by region: Geneva in Europe, Shanghai/Beijing in Asia, and Detroit in North America.

Source: Automotive News