Renault South Africa in perspective
Renault South Africa in perspective: 1996 - 2011
A landmark year for Renault South Africa, 2011 marks 15 years since Renault re-entered the South African market.
It’s fitting that the man who played a pivotal role in the build-up to Renault’s return, is Xavier Gobille, currently Managing Director of Renault South Africa. In fact, in the four years under his watch, Renault South Africa has enjoyed exponential growth in spite of challenging global economic trends and a highly contested local market.
Renault’s return to South Africa in 1996 via a partnership with Imperial Holdings' Imperial Car Imports Divison was a cause for celebration and later that same year, it was the launch of the boldly designed Renault Mégane, with its unforgettable rear-end, that re-kindled the Renault passion within an expectant South African market.
Excerpts from a January 2011 interview with Xavier Gobille:
After one of the toughest, most challenging periods in the history of the South African motor industry, the market appears to be in the process of recovery and the Renault SA team is poised to take full advantage of the opportunities this recovery is presenting.
Bullish about Renault’s prospects in the local market, he said: “The Renault SA team is on the move. It’s a team that is not only stronger than ever, but is already performing very well. In fact, I would say that the brand is in its most favourable position since the start of the millennium more than a decade ago.
Renault’s reputation as one of the safest vehicle ranges available has fuelled sales across the growing range and it remains the only manufacturer to have had 12 vehicles to achieve a 5-star rating in the independent Euro NCAP vehicle safety programme.
“We have the freshest product offering, having launched no less than 10 new models last year. In addition, our 5-year /150 000 km warranty and standard service plan provides industry-leading motoring peace of mind,” says Gobille.”
It’s no surprise then that Renault SA is experiencing positive growth. “We have risen from the difficult times the company experienced, and become a member of the five-digit club, having recorded annual sales of more than 10 000 units for the first time,” he adds.
“The fact is that in 2010, Renault sales increased by 45.5% compared to 2009 - a growth figure well up on the growth of 24.7% in the passenger car market during the year. The brand’s 3.6% market share is the highest since 2006 with dealer sales up 85.1%.
“The Renault dealer network has grown commensurately, despite the highly competitive state of the retail sector (48 dealers as at August 2011 with 55 planned by 2014)). But, vastly improved sales volumes are only a part of the Renault success story. For instance, Renault’s parts supply rate has now reached 95% which is the best in the industry in addition to which, the independent and authoritative Kinsey Report has identified the Renault Sandero as South Africa’s most affordable car to maintain in spare parts and servicing costs.
“While we managed to increase our sales and our market presence in one of the toughest periods the SA motor industry has experienced, we should remember that the market has not fully recovered,” says Gobille. “It suggests that there is still ample scope for growth and Renault is set to support this growth with our locally manufactured Sandero range.
“Renault will continue to expand its product offering with several new, value-added models planned for release during 2011 to further increase our reach in the passenger car segment. We will also extend our range to include a number of new light commercial vehicles. And, affordability will remain a continuing theme.
“For Renault SA, all the indicators are positive. The potential is there and we are ticking all the boxes. All we have to do is to translate that potential into success. We have been able to build a solid foundation for the future for our products, our brand and our dealer network.
“Indeed, we are, Driving The Change.”