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Tag: car

  • Indian car rental service ZoomCar exits Vietnam

    Indian car rental service ZoomCar exits Vietnam

    Indian car rental platform ZoomCar has quit the Vietnamese market after operating for over a year, citing difficulties and further challenges ahead.

    Addressing car owners in an announcement Tuesday afternoon, it promised, however to fulfill all obligations to them and customers.

    Technicians will schedule with the owners to collect the equipment installed on their vehicles.

    They will be paid their dues by June 30.

    ZoomCar was launched in 2013 in India as a platform connecting people owning cars with renters, and came to Ho Chi Minh City in early 2022.

    It had earlier considered investing US$25 million in Vietnam.

    Within the first four months of coming to Vietnam it had around 1,000 cars for lease, and offered large discounts to both renters and owners.

    But the discounts started to dwindle gradually.

    Ky, an HCMC’s District 8 owner since March last year, said he was surprised to learn about the company’s exit.

    He had been making less and less money from leasing his car on the app since six months ago.

    “The company took a commission of 40% on each trip, which is high, and forced car owners like us to list our vehicle on the platform all the time.”

    Recent economic difficulties have reduced demand, he added.

  • Fuel prices rise after 6-week decline

    Fuel prices rise after 6-week decline

    Gasoline and diesel prices on Monday gained for the first time since April 11.

    The popular gasoline RON95 went up 2.33% to VND21,490 per liter.

    Biofuel E5 RON92 rose 1.74% to VND20,480. Diesel increased by 1.70% to VND17,950.

    Fuel prices globally have been rising by 0.73-3% in the last 10 days due to a production cut by OPEC+, concerns of the U.S. public debt, stalled manufacturing and high interest rates which could lead to an economic recession.

    RON95 price went up 2.6% to $89.63 per barrel, and diesel rose 2.2% to $89.18.

  • Tesla Cancels Production of Right-Hand Drive Model S and Model X

    Tesla Cancels Production of Right-Hand Drive Model S and Model X

    Tesla has recently announced that it is cancelling the production of right-hand drive Model S and Model X vehicles, citing low demand in certain regions. This move surprises many customers who have been waiting for their orders to be fulfilled.

    According to the company, customers who have already placed orders for the right-hand drive Model S and Model X will be offered refunds or the option to switch to a left-hand drive version. Tesla has also stated that it will continue to support existing right-hand drive vehicles with parts and service.

    This decision by Tesla is likely because most countries drive on the right-hand side of the road, making left-hand drive vehicles more popular. Additionally, the Model S and Model X are older models in Tesla’s lineup, and the company may be looking to shift its focus to newer vehicles.

    Tesla has informed reservation holders that they will not offer right-hand-drive Model S and Model X vehicles for the foreseeable future. Customers can opt to purchase a left-hand drive model, receive a credit towards a Model 3 or Model Y, or cancel the reservation and receive a full refund. Those who choose to change their reservation for a Model 3 or Model Y will receive a credit of up to $2,175 in Ireland and up to $2,000 in Australia.

    The demand for Tesla’s Model S and X has decreased significantly due to their outdated models compared to newer models from startups and established OEMs. In 2022, Tesla built 71,777 of these models but only sold 66,705, and in Q1 2023, they built 19,437 but almost half remain unsold.

    Despite this setback, Tesla has been making strides in the electric vehicle market. Its latest vehicle, the Model Y, has been well-received, and the company is working on developing new technologies such as autonomous driving and advanced battery system

  • Vietnam-dominant Mercedes challenged by cheaper BMWs

    Vietnam-dominant Mercedes challenged by cheaper BMWs

    Mercedes has been dominating Vietnam’s luxury car market in recent years, but that could start to change this year as BMW lowers prices.

    “We have always considered BMW a major competitor in most markets globally, but things are different in Vietnam,” said CEO Brad Kelly on the sidelines of the launch of the new Mercedes GLC models in Ho Chi Minh City recently.

    He added that in Vietnam, BWM does not yet seem to threaten Mercedes in terms of sales.

    Between 2019 and 2022, Mercedes secured and average of around 60% of Vietnam’s total luxury car market share, and the German brand last year sold over 7,900 units alone.

    Its competitor from the same country, BMW, only secured fourth place last year – behind Lexus and Volvo – with the sale of 973 units.

    However, Thaco, the Vietnamese company that distributes BMW cars, has been assembling several BMW models, such as the 3 Series, the 5 Series, and the X3 and X5.

    This implies that BMW wants to reduce its retail prices in Vietnam as assembling the vehicles locally will bring down costs.

    The strategy seems to have succeeded as the BMW X3s assembled last year are now selling from VND1.8 billion ($76,700), compared to the new Mercedes GLC price tag of VND2.3 billion.

    Thus, the cheapest luxury car in Vietnam now belongs to BMW, not Mercedes.

    The rising competition with BMW therefore will benefit Vietnamese customers and the local auto industry, and it will motivate Mercedes to come up with more new ideas, Kelly said.

  • Vietnam auto sales decline drags it down to 5th place in Southeast Asia

    Vietnam auto sales decline drags it down to 5th place in Southeast Asia

    A slump in auto sales last quarter pushed Vietnam from fourth to fifth place in Southeast Asia.

    Vietnam has for years been the fourth largest auto market in the region after Indonesia, Thailand and Malaysia, but suffered a 25% drop in sales in the first three months this year.

    Only 86,817 units were sold, according to data from the Vietnam Automobile Manufacturers Association, VinFast and Hyundai Thanh Cong.

    Due to the global recession, inflation and gloomy real estate and securities markets, people are more hesitant to buy big-ticket items like cars, and promotions and discounts by manufacturers and dealers have failed to persuade them.

    Vietnam and Myanmar saw the biggest declines in Q1, according to the ASEAN Automotive Federation. Myanmar suffered a steep drop of 84.8% year-on-year from 3,411 vehicles in Q1 2022 to 519 this year.

    The Thai market also declined by a more modest 6.1%, with sales being 210,000 units.

    According to automotive magazine Just Auto, the Thai automobile industry has seen slow growth since April last year because of rising bank interest rates and other factors such as floods and component shortages.

    But Indonesia and Malaysia have witnessed steady growth.

    In Indonesia, quarterly sales grew at 7% to 280,000 units, which kept it the top market in the region.

    Malaysia remained in third place with 190,000 units, a 20.4% increase.

    The Philippines took over fourth place with a 30.1% increase to 97,000 cars.

    The Singapore market also declined, with sales falling by 4.3% to 10,000.

    Thailand and Indonesia exchange places in auto production, while Malaysia remains in third place.

  • Mercedes distributor sees plummeting profit

    Mercedes distributor sees plummeting profit

    Mercedes distributor Haxaco reported a 92% year-on-year fall in pre-tax profits in the first quarter to VND5.6 billion ($238,750).

    Amid an industry-wide decline in sales, Haxaco’s revenues plummeted by 40% to VND992 billion.

    High-interest rates and the difficult economic situation caused sales of the luxury brand to drop, the company said in a statement.

    Its chairman, Do Tien Dung, said last week that in some months during the first quarter only a few cars were sold, and most of the income came from services.

    The company expects the difficult situation to persist until the end of the year.

    Yet it targets profits of VND310 billion for the year, the same as the record sum achieved last year, with Dung saying he does not want his employees to give up because the market situation is difficult.

  • BMW Introduces Digital Key Plus For Android Smartphones

    BMW Introduces Digital Key Plus For Android Smartphones

    BMW introduced the smartphone as a digital vehicle key in 2018 and since then the company has been pressing ahead with the development and popularisation of its BMW Digital Key feature. The feature was made available to iPhone users in January 2021, and BMW has now added the same feature to Samsung & Google Android phones as well. The BMW Digital Key Plus is a convenient and secure way to unlock and start your car without taking your smartphone out of your bag or pocket, similar to a physical key that supports keyless entry & start.

    The new, additional features enabled by the BMW Digital Key Plus are based on Ultra-Wideband technology. This short-range, high-bandwidth digital radio technology is characterised by an exceptionally precise localization with the greatest possible security. UWB’s precision also ensures that relay attacks, where the radio signal is jammed or intercepted, are not possible.

    With the Car Connectivity Consortium (CCC), BMW has been working closely with Google as well as Apple to develop the corresponding specification with partners and established it as a global standard for the automotive industry. This has also enabled secure, cross-platform sharing of Digital Key between iPhone and compatible Android devices via email, SMS or any other messaging service. Until now, the feature was restricted to only iPhone & Apple watch users, but it will now be added to Select Samsung & Google devices – running Android 13.1 or later – which include Samsung Galaxy S23+, S23 Ultra, S22+, S22 Ultra, S21+, S21 Ultra, Z Fold4, Z Fold3, Note20 Ultra, and Google Pixel 7 Pro & Pixel 6 Pro.

  • Mercedes soars above competitors in Vietnam

    Mercedes soars above competitors in Vietnam

    Mercedes has dominated Vietnam’s luxury car market for the last four years as Lexus, Volvo and other trailing brands tussle behind.

    Auto registration data showed that between 2019 and 2022, Mercedes secured and average of around 60% of Vietnam’s total luxury car market share.

    The German brand sold 7,925 cars in the Southeast Asian nation last year, up 35% from 2021.

    The figure was five times that of the second-place brand, Lexus.

    In the last four years Mercedes sold on average nearly 6,400 cars in the Vietnam, higher than the combined figure of its six next major competitors.

    Before 2022, Mercedes was the only auto brand with an assembling factory in Vietnam. This gave it a price advantage over its competitors, who bear the burden of heavy import taxes.

    Mercedes also has a diverse array of models available in Vietnam, up to 20 at any given time, giving customers a wider variety of purchase options than their competitors.

    Mercedes GLC SUV has been the brand’s best-selling model in Vietnam over the last four years, accounting for around half of its total sales.

    Lexus trails far behind Mercedes as Vietnam’s number-two most popular foreign car, but number-three competitor Volvo from Sweden is hot the Japanese manufacturer’s tails.

    Lexus sold 1,568 units last year, only marginally higher than Volvo with 1,508 units.

    No brand saw Vietnamese sales grow as fast as Volvo in the 2019-2022 period.The Scandinavian brand has seen sales surge 200% in the last four years, pushing Germanic BWM into fourth place in 2022.

    In recent years Volvo has begun to sell more cars made in Malaysia than in Sweden, making its prices more affordable in Vietnam, even though the brand was the last luxury automaker to enter Vietnam in 2016.

    Porsche was Vietnam’s fifth most popular luxury car brand last year with 759 units, nearly double the number it achieved in 2021.

    A Porsche manager said that many of its customers are young and successful businesspeople who want to “reward” themselves with a Porsche car even though they possess only a limited knowledge of luxury automobiles.

    Audi was in sixth place in Vietnam last year with 394 cars sold. Its dealership network in Vietnam remains modest compared to its competitors.

  • Toyota dominates compact CUV segment in Q1

    Toyota dominates compact CUV segment in Q1

    Toyota’s Raize and Corolla Cross now account for 40% of the compact CUV segment, with the rest divided between Kia, Mazda, Honda, and Hyundai.

    In the last two years the competition in the urban compact CUV segment has been hot, persuading car companies to bring in new products.

    The race in this segment is mainly between Toyota, Hyundai and Kia.

    The compact CUVs have significantly contributed to Toyota’s top position in terms of revenues.

    So far this year Toyota has sold a combined 5,100 Corolla Cross and Raize cars. Both models are imported. The former in particular is a global product with all kinds of bells and whistles and new technologies.

    Like the Mitsubishi Xpander in 2019, the Corolla Cross has become a phenomenon in the Vietnamese car market, zooming to the top of its segment within just half a year after entering the market in May 2020, and remaining there.

    Kia has two models in this segment, Sonet and Seltos. The Sonet has sold 2,006 units this year, representing 22% year-on-year growth, while the Seltos sold 1,481, down 63%. Together they hold a 27% market share.

    The Seltos’ decline was mainly because of the Creta, of which Hyundai sold 2,647 in Q1.

    Kia and Hyundai are sister companies, with the latter owning a one-third stake in Kia.

    Mazda CX-3, Honda HR-V, Nissan Kicks, Volkswagen T-Cross, MG ZS, and Peugeot 2008 account for the rest of the segment. While the first two sold fewer than 1,000 cars in Q1, the rest did not publish sales figures.

  • Customer locks horns with Porsche over damage

    Customer locks horns with Porsche over damage

    The owner of a Macan SUV claims that Porsche employees broke his VND600 million ($25,500) gearbox during maintenance, but the automaker denies the accusation.

    In early December, Ho Chi Minh City resident Pham Anh Tan in Ho Chi Minh City brought his 2016 Macan to Porsche Sai Gon for a front bumper replacement after the car collided with a motorbike.

    He retrieved the car nine days later and drove it back to his home, 15 kilometers away, without any problem.

    Tan left the car unused for about a week. When he started using it, the screen showed several issues, including lack of oil, “engine fail,” and “gearbox fail.”

    He could start the car but could not shift gears to start driving. Porsche technicians advised him to put a liter of oil into the engine, but still the car could not drive.

    As it was Christmas and Porsche maintenance service was on holiday, Tan brought his car to a third-party garage, where the technicians said the gearbox oil was leaking and advised him to bring it to Porsche.

    By the end of December, Tan brought the car to Porsche, and he was told that the leakage in the oil had damaged the valve body, and the whole gearbox needed to be replaced at the cost of VND600 million.

    Tan said that the car never had this issue before the front bumper was fixed and therefore he suspected that the problem arose from the reparation process at Porsche.

    He demanded to see the CCTV footage of the Porsche workshop, but was only shown some parts of the process as Porsche said that some footage could not be revealed as it contained business secrets.

    In the footage, Tan saw that his car was connected to a tool to assess issues and some Porsche employees drove the car around for testing. “My car only needed a bumper replacement, why were those processes necessary?” Tan said.

    He also said that when he received the car back Porsche employees did not provide any documents to confirm the vehicle was free of issues.

    A representative of the German automaker, however, said that Porsche maintenance policy requires every vehicle to go through the same process to ensure all functions of the car operate normally.

    When Tan took the car back to Porsche a second time, technicians found that the incorrect type of oil was put in the gearbox and glue was used in the reparation even though it is not needed according to Porsche standards.

    The damage to the gearbox, therefore, does not fall under the responsibility of Porsche, the representative said.
    Porsche, however, admitted to being wrong in the process of receiving and handing over the car to Tan without any paperwork.

    The automaker therefore proposed a 40% discount on the gearbox replacement, which means Tan would need to pay VND360 million for the new part.

    But Tan refused the offer and demanded that his car be returned in the Porsche workshop after three months. At the end of last month Tan came to Porsche to get the car and was asked to sign a statement saying the vehicle had no issues before employees released the car.

    Tan refused to sign.

    The statement said Porsche employees dismantled the valve body to check for issues without first seeking his approval.

    The service consultant working with Tan quit two days after Tan visited Porsche demanding his vehicle back. The employee informed him Tan the resignation via text message.

    Porsche said that the employee had been transferred to a new position but would continue to help Tan concerning everything relating to the broken Macan.

    The two parties have yet to come to an agreement.

     

  • VinFast to export 1,800 VF 8 electric cars to US, Canada

    VinFast to export 1,800 VF 8 electric cars to US, Canada

    VinFast, a member of Vietnamese private conglomerate Vingroup on April 15 announced that it would export 1,800 VF 8 electric cars to the U.S. and Canada.

    The cars is expected to depart in the next few days, announced VinFast. As planned, the cars will be sold in the U.S. in May and in Canada in June.

    Previously, on November 25, 2022, VinFast exported the first batch of smart electric cars, including 999 units of VF 8 City Edition, to the international market. This was the first batch of cars exported to the international market among 65,000 orders for VinFast VF 8 and VF 9 electric cars globally.

    On March 2, 2023, VinFast handed over the first 45 VF 8 City Edition cars to U.S. customers at 9 VinFast stores.

    According to VinFast, in the first three months of 2023, it handed over a total of 865 VF 8 units to customers in Vietnam.

    VinFast’s VF 8 is also a model that GSM (Green – Smart – Mobility) Joint Stock Company uses for Xanh SM taxi service which was launched in Hanoi on April 14.

    The taxi service using electric cars is expected to be available in Ho Chi Minh City this month and in at least five provinces and cities by the end of this year.

  • Hyundai automobile sales in Vietnam increased by 5.5% in March

    Hyundai automobile sales in Vietnam increased by 5.5% in March

    Thanh Cong Group (TC Group) on April 11 announced its sales results for March with over 5,770 Hyundai automobiles sold in Vietnam last month, up 5.5% over February.

    Hyundai Accent continues to be the best-seller model in March with 1,355 units delivered to customers, followed by Hyundai Creta with 1,035 units – equal to the level a month earlier, and Hyundai Grand i10 with 664 units.

    Over 640 Hyundai Stargazer were sold last month, 2.5 times higher than February’s. The TC Group recorded sales of 514 Hyundai Santa Fe units, equivalent to the previous month Hyundai Tucson of 307, up 54.2% compared to February.

    Hyundai commercial models achieved sales of 1,016 vehicles in March, an increase of 42.1% compared to February 2023.

    In the first quarter of 2023, Hyundai-branded models achieved sales of 14,736 units, down 21.1% compared to the same period last year.

    TC Group expects higher sales in the second quarter of this year, explaining that the demand will increase thanks to the peak tourism season with greater travel demand.

  • Waze adds ability to personalize drives, launches new zodiac driving experience

    Waze adds ability to personalize drives, launches new zodiac driving experience

    Waze is launching two new features at the same time this month, which is a little bit unusual for the navigation app. I know everyone is used to getting a new driving experience almost every month, this time around Waze is bringing more than just a fun way to spend your time while driving.

    The company announced earlier today plans to bring Waze users more ways to stay entertained on the road with Customize Your Drive and an astrological driving experience. The new ability to personalize drives allows users to choose from various driving experiences and access more such content in one place. For example, you’ll be able to select a theme that fits your mood and change it with ease.

    Whether you’re driving with some of your favorite personalities like Boy George, Christina Aguilera, or Karamo, or looking for something more kid-friendly like PAW Patrol or Fraggle Rock, there’s certainly something for everyone on their journeys.

    Now, the bad part is that while “Customize Your Drive” features is rolling out in the United States today, it will be launched globally in the future. So, unless you live in the U.S., you won’t be able to personalize your driving experience yet.

    On the bright side, there’s something else available those who don’t have access to “Customize Your Drive,” a new zodiac driving experience! Regardless of your zodiac sign, Waze’s resident astrologer has the right driving experience for you.

    The new zodiac driving experience includes a custom vehicle and Mood for each of the 12 signs. Waze users can start driving with a vehicle and Mood that match their sign today. If you live in the United States, the zodiac driving experience can be found through “Customize Your Drive,” The rest of the world can find it via the left menu in the Waze app.

  • Imported cars flood local market despite of poor purchasing power

    Imported cars flood local market despite of poor purchasing power

    Vietnamese firms spent over $903 million in the first quarter importing 41,780 completely-built-up (CBU) cars, according to a report by the General Statistics Office (GSO).

    The cumulative import turnover of CBU cars in Q1 2023 increased by 76% in volume and 60.8% in value compared to the same period last year.

    In March, 15,000 cars worth $332 million were imported into Vietnam, representing a year-on-year increase of 48.8% in volume and 48.5% in value.

    Despite the increasing number of imported cars, the Vietnam Automobile Manufacturers’ Association (VAMA) said that sales for the whole market in the first two months reached just over 17,300 units, due to poor purchasing power.

    Local auto experts said this was an unusual and ominous signal as pressure from automobile inventory remains high.

    An uncompleted statistic shows that Vietnam’s inventory of cars reached 38,000 units. Facing the gloomy prospect of the market, VAMA has recently proposed that the Government halve the registration fee for locally-assembled or manufactured cars during the first half of the year to boost market demand.

    In a letter sent to the Prime Minister, both the Vietnam Automobile Manufacturers Association (VAMA) and the Vietnam Association of Mechanical Industry (VAMI) also jointly asked for an extension of the deadline to pay excise tax.

    The Vehicles Importers Vietnam Association (VIVA) has raised its voice to ask for fair treatment after hearing that the Government asked the Ministry of Finance and other relevant ministries to devise a 50% cut on auto registration fees for locally assembled or manufactured cars.

     

  • VinFast rolls out long-awaited electric SUVs, eyes overseas deliveries

    VinFast rolls out long-awaited electric SUVs, eyes overseas deliveries

    Vietnamese carmaker VinFast said on Thursday it will begin delivering its new electric sport utility vehicles (SUVs) to local customers this week and targets overseas deliveries in the coming months.

    VinFast, which began operations in 2019, is gearing up to expand in the United States, where it hopes to compete with legacy automakers with its two electric SUV models.

    “After Vietnam, VinFast expects to export the first batch of VF9 to international markets in the coming months,” VinFast said in a statement, without providing a specific timeline for deliveries of the new model.

    The VF9 model was initially scheduled to debut at the beginning of this year.

    The company currently sells the VF8 model of SUV. It started shipping those last year and delivering them to customers this month. The company has said it would ship the second batch to the U.S. in the second quarter of 2023.

    VinFast, backed by Vietnam’s biggest of conglomerate Vingroup JSC, is the country’s sole EV maker.

    As of December last year, VinFast said it secured 55,000 orders globally, of which 12,000 were from the U.S. market.