Thursday, June 18, 2009

New Exora set to boost Proton sales

PETALING Jaya: The launching proton Exora stimulate national car proton Holdings Bhd sales, strengthen competition in the multi-purpose vehicle (MPV) and lift the segment of total industry volume (TIV), analysts said. The Exora, launched on Wednesday, Malaysia is the first locally produced monospace.

OSK Research Usman Ahmad Maghfur auto Analyst estimated that Exora represents 22% to 25% of protons revenue if the company will sell 25,000 units at year end.

Analyst another in a local research house agreed, saying the Exora contribution is 15% to 25% of sales of proton in the year end.

Since yesterday, proton has received about 3,500 orders for Exora since February 21. Maghfur considers more than a few potential buyers flock away from the popularity of MPV models Exora because the price is cheaper and clear.

"Probable models affected are the Toyota Innova and Nissan Grand Livina, given their higher price vs. Exora," he said.
According to the Automobile Association of Malaysia, in February 2009, the MPV segment is dominated by UMW Toyota Motor Sdn Bhd and the Avanza Edaran Tan Chong Motor Sdn Bhd the Nissan Grand Livina.
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The Avanza, with its 1.3 and 1.5-liter model, together comprising 34% of local market while the Grand Livina MPV is 31.6% share. The Exor is about to give the Avanza, Innova and Grand Livina a race for their money, analysts said.

"The challenges faced by Exora will meet the expectations of new customers and in terms of higher quality performance and reliability," said Kavan Mukhtyar, frost & Sullivan, a partner and head of Automotive and transportation Practice for Asia Pacific region.

"If the Exora to meet the requirements, it is likely to steal market share for medium and large segments of the car and MPV models.

 

" We believe that customers are looking for newer, contemporary style and MPV models since the model was the market for several years, "he added.

One industry observer, who claimed that tested the Exora, said he was impressed by the MPV. "This is really not bad. I think this will give other players run for their money," he said.

Affinity Bank Analyst lĂȘn Lee Chong said that the point of sale of Exora has his price.

"The Exora is not subject to import duties, allowing for a lower price than its competitors. Part and elements are 90% local," she said.
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Mukhtyar said: "The Exora certainly help boost TIV for 2009 but is not very important because of the relatively small MPV segment, representing approximately 10% (from TIV) in 2008."
"Some consumers for replacement of MPV and mid-segments of vehicles and clients will have a positive impact on sales MPV," he said StarBiz.

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