CarBuyer Analysis - Nissan’s roadmap for the future
It will be many exciting years ahead for the brand and the launch of the Qashqai is a taste of things to come
By Justin Lee
NISSAN FANS REJOICE! Japan’s third-largest automaker and its local distributor Tan Chong Motor Sales are lining up tantalising plans for the brand which will be rolled out in stages over the next few years.
The recent launch of the Qashqai marks the start of the brand’s rejuvenation in Singapore after a quiet two years – the last car launched was the Sylphy mid-size sedan in 2006.
The Qashqai is a part hatchback and part SUV cross-over vehicle powered by a 2.0-litre 16-valve engine. Buyers can choose between standard and Premium variants priced from $81,000 onwards.
Tan Chong Motor Sales marketing director AC Neo revealed that there would be more cars like the Qashqai in the not too distant future which fulfil the needs of many buyers across different segments (see Nissan’s Next Hits?).
He also elaborated on why the four-wheel drive version of the Qashqai has not been brought in.
“Singapore has an urban environment which does not necessitate the need for a car to have four-wheel drive system. Having a four-wheel drive system will also add on to the cost of the car and will hurt fuel economy,” he says. “The last point is a major issue in these times of high fuel prices.”
Nevertheless, its clear that Tan Chong wants to sell the cars that buyers here want. Mr Neo says that if there were sufficient demand the four-wheel drive version of the Qashqai would be brought in. The same goes for Qashqai+2 seven-seat variant and the manual only 1.6-litre model.
Meanwhile, the cars that have been confirmed for sale here are the facelifted Latio (open for bookings now), the GT-R supercar and the brand new Murano Sport Utility Vehicle (previewed at the Singapore Motor Show in September), and the Elgrand large MPV (launch scheduled for the end of the year).
Mr Neo said that the company plans to build up sales volumes for the brand starting with the Qashqai and the upcoming Teana large sedan by positioning them as well-priced buys and offering them during the launch period at irresistible prices.
The other thing that will be used to garner customers is to play up the fact that all Nissan cars sold here are made in Japan, which Tan Chong feels is an advantage now that rivals like Toyota and Honda source cars from Thailand.
“We would be looking at selling around 600 Qashqais in the first year and hopefully this number will increase over the years. We are using non-mainstream ways of marketing the Qashqai such buying slots on drive-time programs on the radio with the deejay hosting interactive game segments. We hope that this will appeal to the younger generation which we are targeting with this car,” he said.
As for The Sunny is the oldest model in Nissan’s current local lineup and Mr Neo revealed this year could be the car’s last.
However, he did add that sales of the small sedan are still healthy and the model’s withdrawal from our market would have to depend on buyer demand. As for a replacement for the Sunny, Mr Neo was unable to reveal any plans at the moment.
Toshimitsu Nose, a senior vice president for product planning at Nissan, says that the Sunny (also called the Sentra in some markets) has a long product cycle, and even if the model were discontinued in Singapore, it would still be sold and manufactured in other countries such as Thailand.
On the possibility of Thailand-made Nissans being sold in our market, Mr Nose said that the company is slowly building up the product quality of the cars made there, and is not ruling out that prospect in the future.
He gave an example of how the Navara pick up that is assembled in Thailand has been garnering accolades such as a ‘Pick-Up of the Year’ award in 2007 from a British 4×4 magazine.
With a dearth of new models, Nissan has been quiet for the past two years, but it’s clear that the company is working hard to turn things around. A full product pipeline could be just the thing to wake up a sleeping giant.
Nissan’s Next Hits?
TAN CHONG MOTOR Sales’ marketing director AC Neo told CarBuyer that the compoany is conducting feasibility studies to bring in the Cube compact hatchback and the Grand Livina Multi Purpose Vehicle (MPV).
The former is a youth-oriented car based on the March compact hatchback with a funky square-shaped exterior design, while the latter is a made-for-ASEAN and China MPV based on the Latio.
He went on to add that the Nissan is now developing an A-platform – smaller than the B-platform which currently underpins the March, Latio and Sylphy – and the cars that are spun off it will be making their way to Singapore.
It’s likely that cars built on this new platform will probably be hatchbacks smaller than the March, perhaps around the size of a Kia Picanto.
The imminent arrival of these A-platform vehicles is pretty timely as people in Singapore and those around the world are downgrading in increasing numbers to smaller, more fuel efficient cars.
If pricing can be gotten right, and fuel prices at painful highs, such small new cars could do well here, sales-wise.
Naturally, cost considerations are a main factor in whether these cars get the green light for sale here.
“We have to consider the market demand for these cars and most importantly the level at which they are going to be priced at,” says Mr Neo. “We would like to offer our products at reasonable prices.”