Mitsubishi's Reign in Australia Faces a New Challenge
The automotive landscape in Australia is undergoing a significant shift, with Chinese car brands poised to disrupt the market and dislodge Mitsubishi from its long-held position as a top-tier player. This transformation is evident in the sales charts, where Mitsubishi's sales have decreased by 16.4% to 47,650 units by the end of September, relegating it to sixth place. Meanwhile, Chinese brands like GWM, BYD, and MG are making bold promises and delivering fresh products, rapidly climbing the sales charts and challenging established brands like Kia, Hyundai, Mazda, and Ford.
The disparity in product launch schedules is notable. While Chinese brands have been proactive in introducing new models, Mitsubishi has only recently unveiled its second-generation ASX, six months after the discontinuation of the first model. The next major release, the successor to the Pajero Sport, is more than a year away. This delay means Mitsubishi risks losing ground to its competitors, according to Bruce Hampel, the brand's General Manager of Product Strategy.
The situation is further complicated by the industry's overall forecast of a 5% year-on-year volume decrease. With more entrants vying for the same market share, Mitsubishi's position is expected to decline. Despite this, the brand remains optimistic, aiming to maintain its Top 10 position by year-end.
However, Mitsubishi is not sitting idly by. The brand has unveiled its 'Momentum 2030' plan, which promises fresh models by the end of the decade to strengthen its position against competitors. Bruce Hampel emphasizes the need to balance product launches with customer retention, ensuring sustainability and profitability.
The brand is currently in a transition phase, moving away from older legacy products like the ASX, Pajero Sport, and Eclipse Cross, and gradually introducing the next generation of Mitsubishi vehicles. Customer experience and brand loyalty are key focuses, with the brand aiming to solidify its position in key segments that have historically been its strongholds.
Despite the challenges, Mitsubishi remains committed to profitability and is not engaging in price wars. The brand's priority is to make its business in Australia profitable, focusing on key segments and ensuring a strong product portfolio over the next two to five years.
