Bangkok--Feb 9--ASATSU (Thailand)
“Mitsubishi Motors Thailand” reveals its success in 2004, both in local and exports market, and announces its business plan for 2005 focusing on creating confidence among its customers and business alliances, with a goal to increase market share in pick-up truck market
Mitsubishi Motors Thailand announces that its success both in local and exports markets proves to be satisfactory beyond expectation in 2004. Especially, domestic sales in pick-up truck category that increased by 18.2% compared to that of 2003. Its Space Wagon created new phenomenon to the MPV market and contributed to its 5.3% market share in this market. Last year, the company broke the export records with over 100,000 units. Within first quarter of 2005, Mitsubishi will celebrate a 17-year oversea record by winning export championship of 700,000 units. Its business plan for 2005 is focused on creating confidence among its customers and business alliances. Mitsubishi announces readiness to launch the new model of its automobile, improve and upgrade showroom network and services centers, and expand the market of engines and spare parts. As the mother company revitalization plans, Mitsubishi still affirms to upgrade Thailand to be its major production base for exports in this region.
February 7, 2005: Bangkok
Mr. Hisayoshi Kumai, President and Chief Executive Officer (CEO) of Mitsubishi Motors (Thailand) Co., Ltd., reveals The company sales performance during 2004. It was highly successful beyond expectation. This can be seen from the sales volume of automobiles in the overall market in 2004 at 600,453 units (excluding trucks), or 16.7% growth from that of 2003. Mitsubishi Thailand sold 35,255 units in local market (excluding trucks), or 9% growth from 32,026 units (excluding trucks) in 2003. This is a result of a continuous marketing; especially pick up, “Strada” whose 28,000 units were sold, or an increase of 18% from 23,915 units in 2003. Although the company did not launch new pick up models in 2004. In addition at the end of 2004 the company launched its “Space Wagon” an MPV to be a new alternative in the market. Only 3 months since its launch, 3,000 units were ordered, increased the company’s’ market share in MPV segment to 5.3%. To penetrate the market of those who love automobiles with additional decoration, special action models of automobiles were launched, such as the limited edition of G-Wagon, Lancer 2000 Ralliart, and Strada Dakar Sport. In overall, the company was successful in local sales beyond its expectation.
Moreover, the company was also highly successful in exports market during 2004, especially the exports of CBU (Completely Built Unit), engines and spare parts of 109,933 units. Mitsubishi earned Bt 43 billion from its exports, the company also broke the records of its own exports in the past 16 years, since 1988 when it’s started exporting its automobiles.
“Last year is considered our great year, both in local and exports markets. In local market, the growth of 1-ton pick-up trucks and MPVs categories can be clearly seen at 20% and 271% respectively. Driven by a government that is more focussed on economic development than ever before, domestic market that has now fully recovered, excise-tax regime, growth of small-medium enterprise. These are factors that contribute to higher demand for 1-ton pick-up segment in Thailand. Whilst, the contributing factors include the demand of MPVs with its fine design and useful purposes, the oil price instability, the consumer behaviour, combination utility of luxurious sedan and amble space, which is in need. That is why we can win market shares for these two categories. As for manufacturing for exports, we are fully ready. We had the highest order volume ever in 2004. Our business performance in 2004 increases our confidence in setting up policies and approaching goals for 2005.”
Mr. Kumai talked about the local automobile market in 2005 that “Even though the oil price instability and the tourism business in those 6 Southern provinces affected by the natural disaster may have short term negative effects on some parts of the business sector during this year. Government agency is intended to recover the credibility of the country within a short period. So there will turn to positive very soon. I don’t think they will have much effect on the overall automobile industry. This is because Thai automobile industry tends to grow continuously based on supporting factors.”
The government targets Thailand to become Detroit of Asia by 2010. The decrease of automobile taxes results in the decrease of automobile price. These factors have contributed to the continuous growth in Thai automobile industry during the past two years.” The company estimates the sales of overall automobile market at 650,000-680,000 units, about 5-10% growth from the previous year. Based on this estimation, Mitsubishi Thailand targets its local sales at 45,000 units, or 6-7% of the overall market. This is divided into 5,000 units of passenger cars, 4,000 units of MPVs and 36,000 units of pick-up trucks. Especially the pick-up truck category, the company targets to increase its market share.
To respond to that policy, the company sets up its marketing plans and strategies in all aspects for the whole year, including dealer network, showrooms and services, sales and after-sales services, parts and spare parts services, launches of new models of automobiles to the market in 2005. At present, the company has 92 Mitsubishi dealers with represent 152 outlets nationwide. It will strengthen the dealer network to create the new image of Mitsubishi showrooms and services centers.
To create maximum customers’ satisfaction, the company will build on its development of sales, after-sales services and parts and spare parts services (3S: Sales, Services, and Spare parts). In 2005, the company targets to increase the number of its sales persons. Intensive training will be offered for sales persons and technicians. As for spare parts, the company will increase its efficiency in delivering them by setting up its emergency delivery within 24 hours, and standard delivery within 3 days from the date of order made by dealers. Moreover, the company also sets up the policy to adjust the price structure of Mitsubishi spare parts, especially in the fast moving parts area, to be lower than those of the leaders in the market. The development of this 3S system is the key to create customers’ satisfaction in accordance with its policy to create confidence among Mitsubishi dealers and customers.
About the launch of new models of automobiles to the market, the company will introduce the special models with improved design and driving performance to the market on regular basis throughout this year. They will cover all categories: passenger cars, MPVs, and pick-up trucks; to penetrate the target groups demanding difference from the automobiles available in the market. In the third quarter of this year, the company will launch the all new pick-up truck with new image to respond to the demand of this market, in addition to the previous “Strada” model which is still popular until now. The company is confident that the new pick-up truck to be launched will add another page of high sales volume to the history of automobile market again. This is based on the estimation of the good response to the launch of pick-up truck with new image, together with the growth of pick-up truck market during last year by 20% from that of 2003. It is expected to grow more in 2005. The company is confident that these contributing factors will boost the local sales volume of Mitsubishi pick-up trucks. In addition, the company plans to import Mitsubishi Evolution 9 to market in Thailand. It is the company’s image builder among Thai customers who are ambitious to this model. Now, the company is doing a feasible study for potential local market. However, the company will bring Mitsubishi Evolution 9 for Thai people to see in the Motor Show this year. Mitsubishi Lancer WRC and Mitsubishi Racing Truck Evolution, the vehicle of Thai racers in the latest Dakar Rally, will also be displayed in this event. The company is confident that the launch of all models will help boosting the local sales of Mitsubishi and brings about another success.
As for the exports in 2005, Mr. Kumai said this year the company will celebrate Mitsubishi exports sales volume since the past 17 years from 1988 to 2005. In the first quarter this year, its total exports volume will reach 700,000 units. This year, the company targets its exports of Completely Built Unit (CBU) and spare parts more than 100,000 units. The company is taking steps to strengthen its operational footing and growing with Thailand Automotive Industrial in ASEAN markets.
For further information please contact,
Public Relations Department, ASATSU (Thailand) Co., Ltd.
Bussarin Santanasiri
Viroonya Vindubrahmanakul
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Ankana Suanmuang
Tel. 0 2367 5951 ext. 3301-3306, 3309-3310
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