QUOTE(KennyKB @ Jun 3 2017, 09:19 AM)
Malaysians generally expect Korean cars to be cheaper than Japanese cars but this may not be true any more. In the old days when they were not as advanced as Jap cars and trying to break into the market they have to price cheaper but now they have more or less caught up so they can compete on the same level. Do you expect to pay cheaper for a Samsung LCD TV compared to a Sony? Are Samsung smartphones cheaper than other brands?
Here the Elantra Sport which is CBU is slammed for daring to ask for the same price as the CKD Honda Civic 1.5 turbo. Why? Actually we should slam Honda for high pricing and not passing tax savings to consumers.
The Jetta 1.4TSI Highline (CKD) is RM134K OTR with insurance. Not much difference. It looks like the Elantra Sport is priced at the going rate for high spec C-segment turbo cars.
But the reaction! How dare a Korean car ask for the same price, right?
In chinese there is a phrase "æœ‰ä»·æ— å¸‚" - the product has value by itself, but it has no demand from the market.
Example, the Cerato has great value (other than the KX), the 2.0l is sold at the similiar price as a Jap 2.0l C-segment. How many Cerato 2.0l do you see compared to Altis/Civic FB/Civic FC?
Not to mention, some values like being CBU adds nothing to the desirability to most Malaysians, it only increases the price tag.
Why Jetta can sell at that price? because the brand is desirable. Do you think KIA/Hyundai enjoys the same kind of brand recognition as VW in this country, despite VW's troubles. And even so, VW frequently throw promotions to move their sales along.
This is the reality of the Malaysian market and SEA countries in general - we are basically the land of Honda/Toyota.When the Forte came out at 100k with all the bells and whistles, it sold like hotcake and was touted as the turning point for the Kimchis in Malaysia....the out came the Cerato with a steep price hike and the sales figures drastically.
Increasing value in a product is easy, but raising the perceived value of the product in the market is much, much more tricky.
This post has been edited by dares: Jun 3 2017, 11:24 AM