Mazda celebrates five years as a standalone brand with 60% growth

24th October 2019

By: Irma Venter

Creamer Media Senior Deputy Editor

     

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It has been a prosperous five years for Mazda as a standalone company in South Africa, following the split from Ford in the local market in 2014.

Starting out with 9  067 vehicles sold in 2015, sales have grown by 60%, to around 14 500 units in 2018, says Mazda Southern Africa MD Craig Roberts.

“The past five years have been successful for us as the brand matured in the South African market. We’ve certainly earned our stripes after separating from Ford.”

This year will prove somewhat tougher for the Japanese brand in South Africa, now fully owned by its parent company in Hiroshima.

Roberts expects sales of around 12 700 units, owing largely to the market’s sharp shift away from sedans to crossovers and sports-utility vehicles (SUVs).

Sales of the new Mazda3 sedan, launched this year, are 65% below that of the predecessor model. The least expensive Mazda3 model is now also around R90 000 more expensive than the previous entry model, as this vehicle moved more upmarket. The weaker rand also played a role here.

Growing CX3 crossover and CX5 SUV sales have not yet expanded sufficiently to substitute lost Mazda3 sales, says Roberts.

The CX5 is due for a facelift early next year, as is the small Mazda2.

The big news for 2020, however, is the second quarter launch of the brand new CX30 small SUV.

“We believe this model will fill in the volume lost by the Mazda3. The CX30 is built on a completely new platform – on the Mazda3 platform,” notes Roberts.

The CX30 will slot in between the CX3 and the CX5. Both these models are currently best-sellers for the Mazda brand in South Africa, with the CX3 selling around 330 units a month, and the CX5 350 units a month.

A new generation BT-50 bakkie is also on the horizon for Mazda.

Built in collaboration with compatriot Isuzu, Mazda Southern Africa will import the pickup from Thailand.

With production to start in the third quarter of 2020, it is likely that the vehicle will make its local debut in the second quarter of 2021.

Mazda Southern Africa has 52 dealers, with Roberts satisfied with the extent and quality of the network.

One thing that could make him a happier man, however, would be a more stable rand, with the weak, often volatile currency the biggest headache for the importer.

With only the BT-50 and the Mazda2 coming from Thailand and the rest of the models imported from Japan, Mazda Southern Africa has to import in yen, which itself is not always that stable.

Another worry is the state of the current new-vehicle market, with South African consumers reluctant to spend money on big-ticket items.

Roberts believes the South African market will remain flat for the next two years, with a possible uptick in the passenger car market in 2021.

 

 

Edited by Creamer Media Reporter

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