A lot of good news for premium car sales in Malaysia especially if you're the brand with the Three Pointed Star. Mercedes-Benz Malaysia (MBM) has announced that they have managed to hit record sales of 11,779 vehicles in 2016. This is a 9% increase than the previous year and a new milestone for them in Malaysia. Malaysia is also the best performing in terms of sales numbers in South East Asia for the brand.
The Mercedes-Benz Malaysia management team, pictured with the Mercedes-Benz Dream Cars collection. (from left) Mercedes-Benz Malaysia, Vice President, After Sales, Mr Heinrich Schromm; Mercedes-Benz Services Malaysia, Managing Director, Mr Mike Ponnaz; Mercedes-Benz Malaysia President and CEO, Dr Claus Weidner; Vice President, Sales and Marketing Mercedes-Benz Cars, Mr Mark Raine; and Vice President and Chief Financial Officer, Mr Martin Brengartner.
Whilst the economic experts say that 2016 was a tough year locally it must not have been for Mercedes-Benz. It continues to be the No.1 Premium Brand for cars in Malaysia and has a 2.4% market share. Mercedes-Benz globally also recorded an 11.3% growth in overall selling over 2 million vehicles. making it the best premium vehicle brand globally. People are flocking to the brand.
With so many vehicles being sold the company has not neglected after-sales. They have also serviced over 108,000 vehicles throughout Malaysia and yet they have achieved their highest Customer Satisfaction Index rating to date.
Of course, the company is not resting on its laurels. 2017 still means pushing forward for MBM. They launched a heck of a lot of vehicles, models and variants in 2016 and for 2017, they may not be launching as many models but they have informed those that were present at the presentation earlier today that there are interesting models in the pipeline. What MBM will also do is keep on doing what they are doing and also monitor the current trends for both sales (new cars, promos and MBM in-house financing to name a few) and after sales - no real changes for the moment (in terms of warranty length) but the usual monitoring of quality and other service improvements.
So again. What recession? If you are Mercedes-Benz Malaysia that is. Personally I believe that the Malaysian premium market has a set of customers that are basically recession-proof. And when you add a line-up of vehicles which look good, performs well in all aspects, priced reasonably (to an extent), well equipped and with a badge that is highly respected and in demand, the brand that sells these vehicles will succeed in any economic climate.
Press RELEASE
January 12, 2017
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Mercedes-Benz Tops Malaysia and Global Premium Car Market for 2016
· Mercedes-Benz Malaysia achieves record sales of 11,779 vehicles delivered to customers in 2016.
· Registering 9% growth in unit sales, Mercedes-Benz Malaysia sets new milestone in the premium vehicle segment in Malaysia.
· Mercedes-Benz continues to be the No. 1 Premium Brand with 2.4% Market Share.
· Mercedes-Benz Malaysia serviced over 100,000 vehicles while achieving the highest Customer Satisfaction Index (CSI) score in history.
Mercedes-Benz Malaysia achieved record sales, production, financial services, after sales and Customer Satisfaction Index in 2016. (from left) Mercedes-Benz Malaysia, Vice President, After Sales, Mr Heinrich Schromm; President and CEO, Dr Claus Weidner; and Vice President, Sales and Marketing Mercedes-Benz Cars, Mr Mark Raine.
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Kuala Lumpur, 12 January 2017 – Mercedes-Benz Malaysia (MBM) performed its best ever in 2016 with an all time record of 11,779 vehicles delivered to customers. The three-pointed star, having celebrated its 130th anniversary in 2016, wrapped up the year on a record high note taking the top spot in the premium car segment both in Malaysia and globally.
“2016 was an exceptional year in the history of Mercedes-Benz Malaysia. This is a tremendous milestone as we contribute towards the global success of Mercedes-Benz. Mercedes-Benz set a new record with double digit growth of 11.3% with over 2 million vehicles sold worldwide. Our strategy is simple, we deliver The Best vehicles and The Best Customer Experience. At Mercedes-Benz Malaysia, we place our customers at the heart of our business. Our exceptional performance, from the wide range of vehicle launches and top-notch service quality to the lifestyle initiatives we organise, have one thing in common, that is, to immerse our customers in an all-round Mercedes-Benz brand experience many have come to know and love,” said Mercedes-Benz Malaysia President and CEO, Dr Claus Weidner.
“In 2016, MBM sales jumped to a new record high of 11,779 units, overcoming a challenging economic environment. We achieved an impressive sales growth of 9% versus 2015, clearly bucking the trend. This has enabled us to claim leadership position with 2.4% market share. Mercedes-Benz Malaysia continues to be the undisputed leader in the premium car segment,” added Vice President Sales and Marketing, Mercedes-Benz Cars, Mr Mark Raine.
Against the backdrop of a challenging economy, MBM’s strategy of placing customers at the heart of all its activities paid off and kept its sales performance at a steady pace throughout the entire year. MBM launched a total of 17 models in 2016 ranging from its bread-and-butter products like the Mercedes-Benz E-Class, to its extended dream car portfolio which included the Mercedes-Benz C-Cabriolet and Mercedes-Benz S-Coupe.
Reviewing MBM’s 2016 sales performance, Raine shared, “Our best ever month in 2016 was recorded in June, with 1,203 units sold. As a result, the second quarter of 2016 was the best performing quarter with 3,359 units sold. This is the first time we have surpassed the 11,000 mark in terms of units delivered to customers. Overall, 2016 was a stellar year in the history of Mercedes-Benz Malaysia.”
MBM’s locally produced limousines, which comprise the Mercedes-Benz C-, E-, and S-Class, collectively recorded a total of 7,750 units sold. The compact vehicles comprising the Mercedes-Benz A-Class, B-Class, GLA and CLA recorded 2,316 units sold, whilst the recently launched SUVs saw a total of 1,671 units delivered to customers. The Mercedes-Benz GLC was the most popular model, recording 1,421 units sold, followed by the GLE with 250 units sold.
In terms of volume leaders for the year, the Mercedes-Benz C-Class took the lead with 4,762 units sold, followed by the E-Class at 2,034 units sold. The S-Class, rounded up the top three with 954 units sold. Mercedes-Benz Dream Cars range recorded a total of 301 units sold.
In anticipation of the evident increase in demand for Mercedes-Benz vehicles, MBM remained focused on maintaining its top-class service quality which customers have come to favour. This was proven by the capabilities of its nationwide service centres that serviced a total of 108,226 vehicles in 2016, whilst achieving the highest customer satisfaction index in history.
Delivering top-class services at each retail touch point, MBM continues to proactively enhance its existing services while developing new services. Supported by 29 dedicated dealerships nationwide, MBM and its dealer network continue to make up the largest dealer network in the premium car segment. Some examples of MBM’s tailor-made services include the Mercedes-Benz City Store, Proven Exclusivity, Service Differentiation, AMG Centres, Product Experts as well as the launch of the Mercedes-Benz City Service.
MBM invests significantly in empowering staff to achieve their full potential through skills competitions and the Mercedes-Benz Training Academy which produces internationally certified Technicians as well as all other job profiles in place in the MBM Dealer Network. In 2016, a total of 25 Apprentices graduated and were absorbed into Mercedes-Benz authorised dealerships nationwide, whilst 30 new Apprentices where recruited to start their Apprenticeship at the prestigious training academy. MBM’s efforts in developing youth and its staff through qualification and training is a testament to the company’s commitment of delivering The Best Customer Experience.
Commenting on the key drivers of MBM’s industry-leading standard in service, Vice President, After Sales, Mercedes-Benz Cars, Mr Heinrich Schromm said, “At Mercedes-Benz Malaysia, our customer-centric approach and continuous pursuit of excellence in our processes and our people have helped us excel in providing quality service to our customers. In 2016, we achieved the highest CSI Score in history for sales, after sales and financial services, making us number one in the Competitive Benchmark Study. This clearly underlines our position as the Leading Premium Brand in Malaysia.”
Amidst growing demand for Mercedes-Benz passenger cars, the MBM Pekan production plant currently produces eight models, namely the Mercedes-Benz C180 Avantgarde, C200 Exclusive, C200 Avantgarde, C250 AMG, the new E-Class, S400h AMG, together with the recently launched first locally produced SUV, the GLC250 AMG, and the first locally produced plug-in hybrid, the Mercedes-Benz C350e.
“As a result of our long term investments, we are able to produce world class vehicles locally to meet the demands of the Malaysian market. Our Pekan production plant produced 7,882 vehicles in 2016 alone, marking a production growth of 2.2% compared to the previous year. This is a very positive indication that we are indeed producing the right products that meet the needs of our customers in Malaysia,” shared Dr Weidner.
Aligned to its strategy of providing customers with a complete brand experience, MBM is supported by its sister company, Mercedes-Benz Services Malaysia (MBSM), which offers comprehensive financial and insurance solutions. MBSM has an impressive portfolio of RM1.8 billion*, with four out of every 10 vehicles sold currently financed and insured by MBSM.
Extending the brand experience beyond vehicles, MBM has grown its fan base significantly through Mercedes-Benz lifestyle initiatives such as the Mercedes-Benz Golf Trophy, Mercedes-Benz Stylo Asia Fashion Week, SUV drives, Ultra Music Festival and Urban Hunting among others.
Business success and social responsibility go hand-in-hand. Guided by four core Corporate Social Responsibility (CSR) pillars; road safety, the arts and culture, investing in knowledge and corporate volunteering; MBM contributed in excess of RM200,000 during 2016 for initiatives that support the growth and development of Malaysian society.
MBM’s 2016 CSR sponsorship included a Child Car Seat Free Rental Programme via the MobileKids initiative; the Kuala Lumpur Performing Arts Centre (KLPac); as well as three vernacular primary schools, Monfort Boys Town, and education NGO and institution, Teach for Malaysia. In addition, MBM employees were also involved in a beach cleaning programme; participated in the Standard Chartered Kuala Lumpur Marathon, donated RM20,000 to Hospis Malaysia; and continued a tradition of celebrating with children during festive occasions, rounding off the year with its annual Christmas in a Shoebox initiative.
“We strongly believe that our continuous efforts to enhance the experiences of our customers each time they encounter the Mercedes-Benz brand will continue to drive the success of the brand. MBM will continue investing in our dealer network and in enhancing all customer touch points nationwide. We will also continue to extend our unwavering support to the nation’s ambition of becoming an EEV hub in line with global standards. We look forward to another positive year packed with more exciting offerings for our customers and fans this year,” concluded Dr. Weidner.
MBM’s record breaking performance comes as demand for Mercedes-Benz vehicles in the Asia-Pacific region achieved a new high, increasing by 19.3% compared to 2015 which amounted to 734,169 vehicles delivered to customers. Malaysia was listed as a contributor to this best-in-history growth along with other leading Asia-Pacific countries namely, Japan (+3.5%), South Korea (+25%), Australia (14.8%) and Taiwan (17.4%).
*The numbers for 2016 are unaudited and subject to change.
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