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Auto market climbs, boosting Mazda2 sales



Auto market climbs, boosting Mazda2 sales

Popular actor Pae Arak Amornsuppasiri(left) poses with John Ray(centre), Managing Director and Sureetip La-Ongthong, Marketing Director of Mazda Sales Thailand at the launch of the Mazda2.

Demand for new vehicles continued to climb last month, with sales volume increasing 9.5 per cent from September, to 53,271 units.

The recovering market has boosted the confidence of Mazda Sales (Thailand) that its new B-segment car, the Mazda2, which it launched yesterday, will achieve sales of 2,500 units this year. It also dares to hope it will sell 15,000 of the small cars next year.

Such a performance would double the company's annual sales next year to 30,000 units.

Auto sales have been increasing since September. In the first 10 months of the year, the measure by which the annualised volume has been falling short of recent levels has fallen from nearly 30 per cent to 17.73 per cent. The country's annual sales volume has now reached 419,755 units, data compiled by Tri Petch Isuzu Sales indicate.

Passenger cars are the segment with the lowest drop, 5.01 per cent. However, the annualised volume of pickup sales remains down 24.93 per cent. Pickups account for about 60 per cent of the Thai auto market.

Mazda expects Thailand's total auto market to reach a volume of 510,000 units this year and 550,000 units next year. However, Mazda Sales (Thailand) managing director John Ray expects the pickup market to shrink even further next year, due mainly to new passenger-car products in the B- and eco-car segments.

"Most of our dealers have reported customers switching from pickups to passenger cars. While pickups should account for 48 per cent of the total automobile market this year, they will account for only 45 per cent next year," he said.

The company has already received more than 1,100 orders for the Mazda2, which is made in Thailand and designed to appeal to young and energetic people.

The B-segment in Thailand's automotive market, into which the Mazda2 falls, is the market's fastest-growing segment. The main reason for this is higher fuel costs, forcing buyers to opt for smaller, more fuel-efficient cars. The B-car segment is expected to grow 9-10 per cent this year and by a similar measure next year. It is expected to account for 115,000 vehicles by the end of this year.

B-segment cars represent 22 per cent of total automobile sales in the Kingdom. They also make up 40 per cent of all passenger cars sold in the country.

Costing between Bt535,000 and Bt690,000, the Mazda2 is set to be very competitive with its main rivals, the Honda Jazz and the Toyota Yaris.

Having spent all but about six weeks of the year without the 2 in its line-up, Mazda expects to sell only 14,000 units this year. It already sold 8,451 units in the first 10 months, down 9.8 per cent year on year.

However, looking at passenger-car sales alone, Mazda sold 3,850 units in the first 10 months, up 16 per cent year on year.

Mazda plans to launch a sedan version of the Mazda2 next year and will open sales of the CX-9 seven-seater sport-utility vehicle at next month's motor expo. Only a limited number of CX-9s are expected to be sold.

The company has set aside Bt150 million for marketing the Mazda2. To promote the car, popular actor Arak "Pae" Amornsupasiri has been made brand ambassador. He will appear on all brochures and billboards for the Mazda2.



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