MOTOR

Carmart poised for higher growth

Recording a year-on-year sales volume growth of 400% in the current financial year and targeting a further 100% growth in the year ahead, Carmart, the sole distributor in Sri Lanka for Peugeot, has today created a strong niche in the market and is poised for aggressive expansion in the coming year with an extremely diversified product portfolio, and major changes to its business strategies, processes, and infrastructure.

Having launched prestigious models last year such as the Peugeot 508 executive saloon, the 3008 crossover SUV, and the RCZ sports coupé, all of which have received very positive response from its clientele, Carmart is looking to broaden its target audience by offering more economical products.

CEO of Carmart, Yasendra Amerasinghe, stated “Our growth so far has largely been product driven, with some fantastic vehicles models being introduced by Peugeot. We are now increasing our focus on our customer service and infrastructure to try to maintain this momentum, despite adverse and worsening market conditions”

Amerasinghe pointed out that Carmart has created its own positioning in the market and noted that Peugeot’s brand strategy is to continually push upmarket with significant advances in style, quality, technology and innovation with each product iteration.

“We feel that the increased quality and premium positioning of our products also needs to be reflected in our service. We must strive to deliver an exceptional experience for the customer from the very first time they come into contact with the brand, whether that be through pre-sales or aftersales” noted Amerasinghe. “A positive attitude and striving to improve internal processes on an ongoing basis are critical factors we are focusing on.”

"Currently the company is conducting a market survey to better understand perceptions and desires of its customers. Carmart also engaged Ernst & Young this year to conduct a detailed business process review to aid in streamlining processes, as a precursor to implementing a state-of-the-art ERP system to give its employees the tools to provide class-leading customer service. However, Amerasinghe pointed out that the company’s primary objective was to concentrate on its human resources to build the best team possible. “Great infrastructure can’t compensate for employees who aren’t great, and ultimately the burden and responsibility of satisfying customers falls onto our employees. That is why if we are to provide exceptional service, we must have an exceptional team to do it,” said Amerasinghe.

"We will also renovate our Peugeot showroom to comply with international standards, and in addition to this, we will also be upgrading our workshop in Ratmalana and constructing a new workshop in Colombo.

Amerasinghe stated that while the biggest challenge to the automobile industry in Sri Lanka is the high import tax. While he sees hybrids as the vehicles for the future, he pointed out that Peugeot is the first and so far only brand in the world to produce diesel hybrids.

These vehicles are further unique in that they are all 4 wheel-drive, with an impressive combination of power, economy, and off road capability. Unfortunately, as yet these models are only available for European markets.

Amerasinghe also mentioned that they are also planning to launch for the first time in Sri Lanka a range of Peugeot commercial vehicles, starting with a luxury passenger van for travel and tourism purposes.

He concluded by intimating that 2013 will mark Carmart’s 60th anniversary (and partnership with Peugeot), as well as Automobiles Peugeot’s 203rd anniversary, and that there will be many surprises in store.

Mitsubishi to recognize UML’s excellence

Osamu Masuko, the President of Japan’s leading automaker Mitsubishi Motors Corporation (MMC) made a historic three days visit to United Motors Lanka PLC (UML) from September 2 to 4, 2012.

Masuko’s visit to Sri Lanka is the first ever by an MMC President since UML entered into a distributor agreement with MMC as the sole distributor for brand new MMC vehicles in Sri Lanka in 1985.

Masuko’s visit to Sri Lanka is an acknowledgement of the long-standing relationship maintained between UML and MMC, and the importance of Sri Lanka as a market for MMC vehicles. The visit further recognizes the excellent sales standards that UML upholds as the largest supplier of permit vehicles in Sri Lanka.

Despite setbacks caused by additional import costs arising from the depreciation of the Rupee and other negative factors, the past financial year saw UML doubling the sale of MMC vehicles to record a historic turnover in excess of Rs 8 billion, the best achieved by the Company since its inception. UML expanded its Mitsubishi Motors portfolio during the 2011/2012 financial year by adding the highly anticipated new Lancer Evolution RS as well as the latest Montero Sport.

A red carpet reception was held at the Cinnamon Grand hotel in honour of Masuko’s visit where he met with top executives of UML.

Also, another reception was held at the Galle Face Hotel where he met with the Japanese Ambassador to Sri Lanka, Nobuhito Hobo and Sri Lanka’s leading businessmen and professionals.

At the red carpet reception, Masuko, joined by other key representatives from MMC as well as Sojitz Corporation (a partner trading house of MMC and UML).

Tata Nano most fuel efficient passenger vehicle

Diesel and Motor Engineering PLC (DIMO), recently organized the 2nd Tata Nano Mileage Challenge Rally for Tata Nano owners in Colombo.

The rally was flagged off from Colombo, with the objective of raising customer awareness and reassuring the position of Tata Nano as the most fuel efficient passenger car in Sri Lanka. Twenty five Tata Nano owners took part in the rally, including a few lady drivers.

The rally started off from opposite the Colombo Municipal Council and included a route going down to Wadduwa and back.

S.P.S. Sampath won the challenge by clocking an incredible fuel efficiency of above 50kmpl in his Tata Nano. A.M.P. Priyankara won second place, while K.S.P. Kumara bagged third place. The average fuel efficiency of the participants was above 30kmpl during the event.

The Tata Nano Mileage Challenge Rally is part of a programme by Tata Motor and DIMO to increase awareness and educate customers on driving habits for obtaining maximum mileage from their Tata Nano. During the rally, the participants were provided with a time chart, route map and riding tips, which had to be followed to reach the final destination. ‘Top-up to top-up’ method was used to calculate the fuel efficiency. This method ensured accurate measure on the fuel consumed and mileage achieved.

In November 2011, Tata Motors introduced the Nano 2012 in India, with a bouquet of features - of new colours, new interiors, a more powerful gasoline engine and even greater fuel efficiency of 25.4 kmpl (under standard driving conditions), further improving on its record as India’s most fuel efficient petrol car.

Making the Tata Nano even more desirable, the car’s 624cc engine has been made powerful delivering an impressive 38PS of power (earlier 35 PS) and 51Nm of torque (earlier 48 Nm). Yet fuel efficiency, already a high point with Tata Nano owners, had been taken to a new high of 25.4 kmpl (earlier 23.6 kmpl) as certified by the Automotive Research Association of India (ARAI). The high fuel efficiency, with a low kerb weight of 600 kg, ensures that the Tata Nano at 92.7 gm / km has the lowest CO2 emission among cars in India.

According to Johnny Oommen, Head- International Business, Passenger Cars, Tata Motors, “Sri Lanka has traditionally been an important market for Tata Motors and we constantly upgrade our products to meet customer requirements in this market.”

The car will be available in two variants – Tata Indica Xeta GLS and Tata Indica Xeta GLX and in four new attractive colours - Mint White, Apple Green, Arctic Silver and Neo Orange. While the Tata Indica Xeta GLS comes with air-conditioning, power steering and body-coloured bumpers, the top-end variant, the Tata Indica Xeta GLX offers all features of the GLS and in addition, comes with features such as heating, ventilation, ORVMs, front and rear fog lamps and stylish alloy wheels.

Tata Motors has thus far exported over 70,000 commercial and passenger vehicles.

The company’s portfolio of commercial vehicles in the country, comprises the entire range from sub 1-tonne small trucks to 49-tonne prime movers and from 14-seater buses to luxury coaches. The passenger vehicles portfolio, which started in 2004, includes the Tata Indica Vista, the Tata Indica Vista 90, the Tata Indigo CS, the Tata Indigo Manza and the Tata Safari.

DIMO and Tata Motors celebrated 50 years of relationship in 2011. DIMO is the authorized distributor for Tata passenger cars, including the Tata Nano in Sri Lanka.