New Player in a Consolidated MarketTue, 09/01/2015 - 15:31
This year has been full of notable highlights in the industry, including the arrival of KIA Motors into Mexico, not just as a manufacturer, but as a distributor for the domestic market. On July 2, 21 dealerships around the country were inaugurated simultaneously in a grand event to welcome the brand. KIA strategically chose ten cities that would enable it to obtain 60% of the Mexican market. “The company expects to end 2015 with 9,000 units sold, with the objective of obtaining a 5% market share over the next five years,” states Horacio Chávez, Director General of KIA Motors México. The company also has a second opening round planned for the end of 2015, to reach a total coverage of 83% with 46 distributors. KIA applied an enormous marketing campaign before, during, and after its big inauguration event. One of the strategies it implemented was KIA on Tour, an event in the ten cities where the company opened dealerships, which allowed more than 24,000 people to take a test drive in the three models the brand is bringing to the country. At the same time, the company launched the cinematographic KIA Movie University contest to promote Mexican talent. The participants made a video showing KIA’s arrival to the country and the winner received a KIA Sportage 2016. Additionally, KIA became a Platinum sponsor of Copa América 2015, and it organized its first soccer tournament called KIA Cup, gathering 32 teams from schools in Mexico City, Guadalajara, and Monterrey. The winners of this tournament traveled to the Copa América 2015 to attend the first three matches of the Mexican Squad.
The three models KIA brought to Mexico were the Forte, the Sportage, and the Sorento. During its first month in the market, the best-selling model was the Sportage with 910 units sold. “KIA Motors is a different, vibrant, and trustworthy brand. Therefore, we look for drivers with a young heart that look for a new driving experience. Aside from the production of the new Forte, the construction of KIA’s new plant in Pesqueria, Nuevo Leon will allow the company to satisfy the auto parts demand from its clients. Furthermore, KIA’s maintenance services have the lowest prices in the market and are available at any of our dealerships.” Regarding financing, the brand has already established a strategic alliance with BNP Paribas, which has provided strong financing infrastructure for KIA in Mexico, promoting the commercialization of its products. “Our sales and after-sales services are based on three main pillars. We offer the most extensive warranty in the market with coverage up to seven years or 150,000km, we have the lowest maintenance costs and the fastest financing services in Mexico, while all our products follow our ideals of design, technology, and quality,” says Chávez.