Mercedes-Benz Malaysia says sustaining sales growth a big challenge in 2018

KUALA LUMPUR: Mercedes-Benz Malaysia Sdn Bhd, which chartered yet another round of record sales with 12,045 vehicles sold last year, said the “biggest challenge” for the brand this year will be sustaining its growth momentum.
Vehicles sales figures were up by 2.3% last year against the 11,779 registered in 2016 driven mainly by its locally produced vehicles, especially the E-Class and the GLC.
Locally produced limousines formed a bulk of the total vehicles sold in 2017 with 7,041 units sold, followed by the premium SUV range (2,599 units), compact cars (2,031 units) and dream cars (374 units).
“Biggest challenge is to keep it like that ... to keep it all positive, to keep the growth and success, to continue into next year. We have to see from a holistic point of view, there is a lot of interdependence on things which we have to see and understand from market or regulation side,” said Mercedes-Benz Malaysia president and CEO Dr Claus Weidner.
However, he said the company will strive to sustain its growth momentum by continuing investments in all business touch points including talent, technology, production and service as well as by providing the best customer experience.
Mercedes-Benz remains the leader in the luxury automotive market despite a slight drop in market share from 2.4% in 2016 to 2.3% in 2017. Approximately 2.3 million Mercedes-Benz vehicles were sold worldwide in 2017.
The company, which launched 17 models last year, is expecting a “little less” in terms of launches this year.
Speaking of expansion, Mercedes-Benz sees growth potential in East Malaysia, where it has three dealerships.
Mercedes-Benz along with its newest dealer partner Auto Commerz Sdn Bhd have also allotted RM10 million for the expansion of Mercedes-Benz Auto Commerz Autohaus over the next two years. The brand has 33 dealers nationwide.
Mercedes-Benz Malaysia has made a total investment of RM1 billion in the country since 2003, a third of which was deployed for the Pekan production plant and MBM training academy in Puchong.
Meanwhile, its financial services arm Mercedes-Benz Services Malaysia Sdn Bhd has a servicing portfolio of RM2.2 billion. It financed and insured four out of every ten vehicles sold.