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Renault's quiet revolution

Nobody would dispute that 2009 was a challenging year for the global motor industry, and an equally difficult one for the South African automotive sector.

But while most vehicle brands in SA will be lamenting a total vehicle market that slumped by 25,9 percent in 2009, Renault SA managing director, Xavier Gobille, has never been more upbeat about the performance of the French brand locally.

Flying in the face of adversity

Laguna Coupe image
Renault  Laguna Coupe


Renault Koleos photo
Renault Koleos

Renault Clio image
Renault Clio

Renault
Renault Mégane

Renault Scenic image
Renault Scenic

Clio 2.0 Renault Sport image
Clio 2.0 Renault Sport

Renault Sandero photo
Renault Sandero

Gobille has every reason to be bullish. Renault SA defied negative market trends by more than doubling its market share. Local production of the entry-level Sandero hatchback is in full swing, and the brand's dealer network is growing.

Such advances tie in perfectly with Renault's new positioning line - Drive The Change - which was announced as the brand's new, international pay-off line, and which fits perfectly with the current mindset at Renault SA.

"It is what the Renault staff and dealers have been doing for the past two years: making things happen, and changing things for the better.

"We have shown real, tangible growth and progress during one of SA's worst economic slumps. We became a local, South African manufacturer and renewed our entire model range.

But negative perceptions can only be addressed with facts, and the facts certainly show that Renault is in a prime position to make further, substantial strides in 2010.
 

The year in retrospect


For the past 24 months, it's been the Renault MD's mission, together with the entire Renault SA team, to confront and change those perceptions by vigorously addressing each shortcoming - to great effect.

The results have been very positive, he says. "Renault SA has never been in a better position to grow its presence in SA. We increased our passenger car sales by 70 percent between January and December 2009, and more than doubled our market share, despite a market experiencing its worst volumes in seven years. it proves to what extent Renault is bucking the trend," he adds.

Indeed, no other motor manufacturer can look back on 2009 with as much satisfaction as Renault SA. It was a year of landmarks, starting off with Renault's return to local vehicle production.

"The Sandero line in Rosslyn is a key development for us. We are now able to produce a world-class hatchback for the entry-level market at a value-added price point," Gobille says. "Sandero has been a sales success in Europe, and we expect demand to continue growing here, too. It is the most affordable locally produced car in SA."

Local assembly also ensures a ready supply of affordable parts, to the benefit of overall ownership costs. In fact, with the VW Citi Golf now discontinued, Logan and Sandero boast the two lowest ownership costs in SA.

Model behaviour

Renault also embarked on the most ambitious new model introduction programme in their local history, renewing their entire model line-up by introducing 11 models in 12 months.

That leaves Renault with a full line-up of new-generation, high-tech products across its entire model spectrum, with commensurate benefits in terms technology, fuel efficiency, eco-friendliness and quality.

The best-ever Scénic and Grand Scénic models take care of Renault's presence in the MPV category, while the Koleos gives them super representation in the all-important compact SUV segment.

Customers satisfaction

Other positive 2009 developments included a strong emphasis on customer care and service. Dubbed "110%", the strategy involves the entire Renault organisation and dealer network, and is aimed at exceeding expectations and over-delivering on every facet of customer service.

Internal customer satisfaction index tracking indicates that Renault's efforts are paying dividends, and that customer satisfaction levels have not only improved, but continue to do so exponentially. Customer complaints on consumer forums such as Hello Peter have decreased dramatically, too.

In early January this year, Renault SA announced a further, industry-best customer care initiative: it increased the new vehicle warranty to a five-year/150 000 km offering across its entire range. Renault's new warranty period together with their service plans on the majority of their product range makes Renault the leader in After-Sales support programmes, as that combination is unrivalled in SA.

The real Renault, today


All of these positive developments place Renault in a powerful position to increase its footprint and its market share during 2010.

Renault will be opening nine new dealerships in the first six months of 2010 - an increase of 21 percent in its dealer network coverage. It is also important to note that most recent NADA-driven Dealer Satisfaction Index results placed Renault second in the investor-friendly rating.

These developments suggest ever-increasing service delivery - a key component of Renault SA's commitment to service excellent at every level. "The 110% campaign was never meant to be a short-term drive: it is has become an intrinsic part of our organisation’s philosophy," says Gobille.

“We have a growing network of committed dealers focussed on providing exceptional sales and after-sales service. Our parts prices and delivery levels have improved substantially as part of that commitment, and our shared service outlets will improve service delivery in remote areas, too.

The future: What to expect from Renault


"There are many more newcomers on the way, starting with the striking and highly advanced Laguna Coupé in March," Gobille says.

"All the indications are positive - and I am convinced we are on the brink of a new era of success for Renault locally. The momentum is already building, and there is a tide of support for the brand and its products.

"We are sailing ahead with all flags flying - and I think we are going to enjoy the ride!"




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