Kia Australia targets top 10 as waiting times normalise | CarAdvice

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Kia Australia targets top 10 as waiting times normalise

By Tim Beissmann
FIND DEALS

The boss of Kia Australia says his brand will “definitely” rise to finish among the top 10 manufacturers in terms of sales in 2012.

Kia Motors Australia president and CEO Charlie Kim has set the admittedly ambitious target of growing at least 10 per cent this year, overtaking embattled Japanese manufacturer Honda in the process. The result would see Kia sell close to 30,000 vehicles for the year.

“I have set a target for double-digit percentage growth this year. That is a target which I believe will make Kia the fastest-growing brand in Australia. Ambitious, certainly. Achievable, definitely,” Kim said.

Kia sold 25,128 vehicles in Australia in 2011, making it the 11th highest selling automotive brand in the country, 4979 units behind 10th-placed Honda.

Kia hit the top 10 three times last year and made a solid start to 2012 with another appearance in January – its 2276 sales well clear of 11th-placed Suzuki (1667) and Honda in 12th (1579). Kim is adamant Kia will finish 2012 in the top 10.

“January’s result was just the beginning, the start of what we are pursuing this year. You will see much more in the coming months.

“Definitely we will be in top 10, this year.”

To achieve that feat, Kia Australia knows it will have to overcome the supply issues it struggled with last year.

Many Australians who ordered the Kia Sportage diesel in 2011 were forced to wait more than half a year to take delivery, while demand for the Optima medium sedan far exceeded supply, causing more frustration for customers.

Kim said he worked hard with the brand’s head office in South Korea last year to ensure the supply situation improved dramatically. He said Kia Motors Corporation shared Kia Australia’s vision, and said the manufacturer was keeping a closer eye on our market this year.

“I think this year the supply will be consistent,” Kim said.

Kia Australia national sales manager Alan Crouch confirmed Sportage and Optima wait times should normalise in 2012.

“Last year, Sportage diesel in particular was a shocker to be perfectly honest, and we let a few people down. Our waiting lists got out to unacceptable times.

“We’re aiming now at across the range up to eight to 10 weeks delivery depending on the model.”

Following the launch of the entry-level Optima Si in January, Crouch says Kia Australia now has double the supply it had in 2011.

“Optima now is not freely available, but it is available, in both model lines.

“And Sportage, we’re getting more diesel than last year as well, as well as a natural increase in total numbers, so we should be able to manage that a whole lot better this year.”

The all-new fourth-generation Kia Rio will be central to the brand’s success in 2012. Kia Australia delivered 6187 Rios last year and said its run-out campaign was so successful that it had almost no cars to sell for three months around the middle of the year.

Crouch says Kia will “blow that number apart” in 2012 with the new model, which is now available in three- and five-door hatch and four-door sedan body styles. He predicted the brand would sell “upwards of 7000 to 8000” units for the year.

The five-door model will dominate the sales split, with Kia expecting it to account for three quarters of all Rios sold in Australia.

Despite this, Kia Australia senior product manager Nick Reid said the recently launched three-door and sedan variants would create “valuable incremental sales opportunities” for the brand in the light segment.

Reid predicted the entry-level S specification – priced from $15,290 to $18,290 – would account for 60 per cent of sales, while more than two thirds of total Rio buyers are tipped to spend the extra $2000 to option in an automatic transmission.

  • atd

    They deserve it. They have some great looking, feature filled and well priced cars.

    • Frenchie

      Well said and deserved.

    • Frenchie

      Well said and deserved.

    • Frenchie

      Well said and deserved.

  • Lucii Pooky

    They have already overtaken Honda so they must be doing something right! Reduce prices a bit more as their a tad high and I’m sure you’ll knock down Subaru very quickly! 

    • Atul

      subaru is here

      kia dont compare with Subbies

      • Sumpguard

           You’re right they don’t . Subaru have stuffed their design. KIA have improved massively.

           No comparison!

        • Lucii Pooky

          Agreed, Subarus are scarily ugly! Im referring to sales, not the actual cars!

          • Matthew Werner

            True, the Subaru vehicles aren’t scarily ugly, just ‘kiss your cousin’ weird

      • The Salesman

        Not according to all the awards Kia has won lately. 

      • V8

         Mate, where have you been? Subarus were good once (maybe 5-6 years ago) but have a look at their design now days, big, ugly americanised. They have no chance against Kia’s futuristic design. 

    • Andrew

      Kia are building cars with specifications that people actually want. As for Subaru, they’re building cars with specifications that people wanted 15 years ago.

  • Asdfs

    Japanese fail, Koreans win as of late… 

  • Krutishmistry

    Every product in their line up seems to be working. Good work KIA!!

    • Henry Toussaint

      Remeber that the Rondo Still Exists at Kia, Same as the K2900 Truck…

      • Phil

        At least the Pregio is gone.

        Something wasn’t quite right about a car with a empty weight of 1800kgs + a payload of 1200KGs but a power output of just 62KW.

        • Karl

          My old man has one, it’s painfully slow (he usually carries about 500kgs of gear).
          I think it was the last vehicle sold in Aus with a naturally aspirated diesel engine.Other than that it’s been a great van, economical and is much more comfortable and roomy than a Hiace. Handles better too.

  • Anonymous

    Every time I see an Optima I just stare as it goes by. Such a hot car.

    • Matthew Werner

      First car that I’ve gone into a dealership just to look at, the sales guy chuckled and said I wasn’t the first to do that. Thankfully someone along the way on my commute home has bought one (blue) and parks it out front for me to ogle most afternoons :D

  • 42 = The Answer

    I can’t wait for the turbo Optima

  • http://www.facebook.com/antmindel Anthony Mindel

    Not sure if Kia will beat Honda this year,as they are launching brand new Civic and CRV,Euro is selling like hot cakes,and Jazz will be built in Japan for now.

    Honda have no cars to sell at the moment bacause of Thai floods,but production will get back there,and they will be more aggressive… 

    • John

       Hard to say. Kia seems to have a more complete range than Honda at the moment, and Kia also has a lot of new models, with equipment levels (and engine options) that Honda can’t or won’t match.

      As to the Jazz, yes, one of my favourite cars. But the current Japanese-built Jazz range is too limited (no manual VTi for example) and has some Jap market limitations, such as space-saver spare (used to be full-size) where the Kia Rio for example has a full-size spare.

      Much as I like the Jazz, if I were in the market for a small car, I’d take the Kia Rio.

    • K20A

      I am pretty sure Kia can beat Honda this year.. and probably last year too.. had the Rio been available then.

      The problem with Honda is not merely supply or Thai floods (so they say), but also the competitiveness of its product (read: bottom of the pack).

      Contrary to your comment, the Euro is not ‘selling like hot cakes’. Not without a heavy retail incentive or a massive price drop. Sad but true, it no longer holds a candle to the competition. Which is a shame because it’s a good car and I have driven it many times over the years. More and more group tests don’t even include the Euro anymore.. it’s mainly 6, Passat, Optima, i45, etc.

      The new Civic is an utter disappointment. It stands like a fork in a world of soup. No one needs another sedan with 1.8 whizzy naturally aspirated (carryover) engine. Mr.Ito had admitted that they underestimated the competition and promised to do better (next iteration).. now that can be applauded and is text book example of Japanese dignity / self-respect. If only they realised this a little sooner…

    • Ted

      The Jazz was only built in Japan early this year, because of the flopds in Thai however will no longer come out of Japan !

  • Guest

    If only they could supply petrol Sportages now…

  • Des

    I have a new Rio S as a secong family car, great little car, but buggered if i was going to pay $2000 for a 4 speed auto when $2000 gets you 6 speeds in the 1. 6 version. Incidentally, in Canada, where my daughter lives, Kia charges $1300 for the 6 speeder.

    • Anonymous

      Interesting as Canadas car pricing is more sane than the US, I expect the GDI to go into the s in a few years