Hyundai Australia Set To Launch Capped-Price Servicing Programme

HYUNDAI AUSTRALIA CAPPED PRICE SERVICING

Hyundai Australia is preparing to wheel out its own capped-price servicing scheme, a plan that it expects will prove a powerful lure to new car buyers.

Currently, only Nissan, Toyota, Mitsubishi, Ford, Holden and Peugeot offer similar schemes, all of which put a limit on the amount a customer would expect to pay to service their vehicle.

Renault has periodically offered three-year free scheduled servicing incentives across most of its range, however its most recent offer expired at the end of May this year.

Hyundai's scheme is still in the process of being finalised, however Hyundai Australia CEO Edward Lee told TMR that enthusiasm for capped-price servicing is strong across the Korean automaker's national dealer network.

"We're still in discussions, but capped price servicing is definitely something we want to offer," Mr Lee said.

"However, because each dealership currently has their own pricing, we still need to discuss with them and get a pricing structure that is agreeable."

Mr Lee was optimistic that the scheme will be introduced by the end of the third quarter this year, and that it would "definitely" get off the ground before year's end.

"I think we can get it done in two months, maybe a little longer," he said to TMR.

Nick Aravanis, Hyundai Australia's Director of After Sales, told TMR that while the company had yet to decide on the duration of its capped price scheme, it would definitely "be offered across the range".

The introduction of a capped price servicing plan will almost certainly give Hyundai's sales a shot in the arm.

The brand sold just over 87,000 cars here last year and is aiming to sell over 93,000 by the end of 2012, however it has to achieve that volume without the Getz and i30cw in its line-up.

The Getz was discontinued in March last year, but still managed to account for almost 11,500 of Hyundai's 2011 sales.

Price adjustments have seen i20 sales pick up in recent months, but that model is still not quite as popular for Hyundai as the bargain-priced Getz was.

Although a new i30 wagon variant is available in the European market, it's only built at Hyundai's Czech assembly plant.

According to Scott Williams, HMCA's new Senior Manager of Product Planning, it's unlikely we'll ever see a new-gen i30CW unless production of that bodystyle starts up in Korea.

Still, the company is expecting to shift 2500 of its just-launched i30 each month. Those are solid numbers, considering the absence of the wagon, which accounted for roughly 20 percent of total i30 sales volume.

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