Perodua says consumer sentiment remains subdued but still confident of achieving sales target

PETALING JAYA: Perusahaan Otomobil Kedua Sdn Bhd (Perodua), whose all-new Myvi is open for booking tomorrow, sees continued challenges in the business environment as it has yet to discern a recovery in consumer sentiment.
“Not much change yet in consumer sentiment, but from the announcements in budget (2018), there seems to be some hope. With additional cash in hand, we hope the customers will come back … when you look at bookings, there is still interest,” Perodua president and CEO Datuk Aminar Rashid Salleh told a press conference here today in conjunction with the unveiling of the new Myvi, which is scheduled to be officially launched by year-end.
However, the automotive firm is maintaining its sales target of 202,000 units for 2017, which is lower than the 207,100 units achieved in 2016. As at end-September, its sales stood at 151,600 units, slightly higher than 150,600 units in the same period last year.
“We are still confident of achieving the 202,000 units target. Momentum is very important. Hopefully, we can start next year with good performance,” he said.
The Malaysian Automotive Association has forecast total industry volume of 592,000 units for 2017.
Moving into 2018, Aminar Rashid said, the new Myvi could draw some interest.
“It’s difficult to give a number yet, but this (new Myvi) will spur some interest. Having said that, we still have our old models. Hopefully, on a net basis, it’ll be slightly better,” he added.
Citing financing as one of the reasons behind the lacklustre automotive market, Aminar Rashid said the average approval rate for all four Perodua models comes in below 50%. “The conversion rate (from bookings to actual purchases) is about 47% to 48%.”
The Association of Banks in Malaysia has refuted allegations that 60% of car loan applications were rejected, saying the approval rate remained at a steady 68% for the first nine months of the year.
Earlier at the event, Perodua announced that the public can book the new Myvi from tomorrow. A total of six colours are available, with prices (excluding insurance) ranging from RM44,300 to RM55,300.
Aminar Rashid said the group is targeting average monthly sales of 6,000 units for the first three months.
“With the prices and features, the new Myvi will be value for money. We’re cautiously optimistic that we’ll be able to achieve monthly sales of 6,000 units,” he added.