SUZUKI AUTO SAYS: Exactly 12 months after entering the South African market, Suzuki Auto South Africa (SASA) can look back on a challenging but satisfying first year in one of the toughest, most competitive new car sales environments in the world.
The company officially commenced local retail operations in June 2008, following a decision by the Suzuki Motor Corporation in Japan to launch a range of Suzuki passenger cars and sports utility vehicles in SA.
A dealer network of 18 outlets initially offered the advanced Swift compact hatchback, and the SX4 lifestyle hatchback, following the simultaneous launch of both models to great acclaim from the SA motoring media.
In September 2008, SASA added the Grand Vitara SUV and the Jimny compact 4x4 to the Suzuki line-up locally, allowing it to compete in the highly popular leisure vehicle sector, while also broadening the overall appeal of the brand.
After its first full sales year, SASA has been able to report a total volume of 4 393 units for the rolling year June 2008 to June 2009. During that period, Suzuki sales grew by 35% – a significant achievement against the backdrop of a 29% slump in passenger car sales over the same period.
Despite the contraction of the world economy, and the resultant slump in vehicle sales globally, including SA, the local dealer network has also expanded from the original 18 outlets to 23 dealerships in June this year – a growth of 28%.
Of particular note to Suzuki car and SUV owners is that SASA also significantly expanded its stock of spare parts during the course of the year. The SASA parts warehouse carried 4 800 lines and 45 000 items valued at R5.2 million when SASA commenced business.
Today, the warehouse carries 6 800 lines and 103 000 items, with the parts stock now valued at R10.6 million.
Suzuki’s current top seller in SA is the Swift, which attracted 1 877 buyers during the past 12 months, for an average monthly sales figure of 144 units.
“We are delighted by the positive results achieved by the Suzuki brand during our first year of operation,” says Kazuyuki Yamashita, managing director of Suzuki Auto SA.
“These achievements are particularly gratifying, given the difficult economic climate, and the resultant drop in demand for new vehicles. They prove that our optimism about Suzuki’s prospects in SA was not misplaced.”
Yamashita adds that the positive impetus of the brand is not letting up, either. “Our share of the passenger car market has grown for the past two consecutive months.
Month on month, Suzuki sales in June were up 23%, while the car market as a whole showed a 15% upturn. This indicates that SASA and its products will be well positioned when the passenger car market starts recovering in late 2009, or early 2010,” he concluded.