Focus On Chery Speranza’s Performance In Egyptian Market

On June 3, 2010 AUTOMECH AKHBAR EL YOM in pan-Arab area and North Africa opened in Cairo, Egypt. More than 400 automobile and related enterprises from more than 20 countries of the 5 continents participated in this show of which the theme is “City of Cars Coming Back”. As the most important motor show in Middle East & North Africa, and the only professional automobile and motor exhibition in pan-Arab area & North Africa, AUTOMECH AKHBAR EL YOM represents the highest level of local automobile development.
 
chery, China’s biggest independent automobile enterprise, participated in this show together with its Egyptian partner, DME (daewoo Motor Egypt), bringing the Speranza series, including the main model line-up of Speranza A113, M11, A516, A620 and Tiggo. Since Speranza was launched in the market in 2006, more than 45,000 cars under this brand have been sold in 5 years. By the time of May 2010, its market share exceeded 8% and ranked No.4 in Egyptian market, following Hyundai, Chevrolet and kia closely. The person in charge of Chery’s marketing in Egypt said that through the 5-year development, Chery Speranza series have made great achievement with the differentiation strategy. With outstanding cost performance ratio and apparent advantages in brand and sales network, Speranza’s market share and ranking keep rising.
 
In recent years, Middle East & North Africa has gradually become one of the focuses of the global automotive industry, and now it is the country with the highest cars-per-household in the world. Every year, the after-market auto business turnover is more than $110 million. Official data shows that there are a total of 58 million cars in the member states of Gulf Cooperation Council’s (GCC) only, and this number is steadily increasing by a 10% annual rate. Behind the data is the continuous fierce competition among major car manufacturers. And Egypt, the country with the largest population, highest level of consumption and production capacity in this region is undoubtedly the most important battlefield of these carmakers.
 
In Nov. 2005, Egyptian DME signed a cooperation agreement with Chery, formally starting assembling 2 models of Chery, A5 and Eastar which came into the market with the localized brand Speranza in August 2006. A year later in 2007, it ranked No. 5 in Egyptian passenger car market with the sales volume of 12,387 units. Even, A5 was in short supply all year round. Since then, SUV Tiggo and A3 also went off the assembly line of DME factory successfully. While completing product lines, advantages of Speranza brand and sales network is emerging, which further enhances product competitiveness and brand influence of Speranza in Egyptian market.