- What is the rate of increase in car prices due to the global shipping and semiconductor crisis, and what is its impact on the automotive sector?
As countries, entire industries, and businesses continue to recover from the effects of the global COVID-19 pandemic, they now face additional challenges, including global inflation and increased oil prices. For over a year, it was semiconductor shortages that beset the industry. However, recent developments mean that the prices of parts and raw materials continue to disrupt the global supply chains.
At Nissan, we have learnt that agility is key and have managed to rise to the challenges through innovative ways to serve our customers and continue catering to their needs. To tackle the semiconductor shortage, for example, we have switched to standard chips amid the global crisis, as did several other corporations in the industry, cutting the reliance on custom-made components and reducing disruption to production as much as possible.
Over the past two years, we also adjusted production schedules within our manufacturing operations, and continued to work closely with our global teams and local partners to minimize the disruption of vehicle deliveries to our dealers and customers. Guided by the Nissan NEXT global transformation plan, we have also managed to maintain profitability and business continuity despite these challenges.
- What are Nissan's plans to revive sales in light of the ongoing global crisis?
Despite the current market and economic challenges, Nissan has sustained a steady performance fueled by sought-after SUV and Sedan offerings in the region. Serving as a testament of the affinity customers share towards our products and our brand, we recently wrapped up another successful year with strong sales results in the region, registering a 6% increase during our 2021 Fiscal Year (April 2021 – March 2022) as compared to the year before.
Contributing to this success were the introductions of new models including the Patrol NISMO, Altima ProPILOT, KICKS, 2022 Patrol 70th Anniversary model, and all-new 2022 Pathfinder. To cater to the varying needs of customers, while continuing to offer greater choice and value, we also introduced the first manufacturer-backed Certified Pre-Owned Program in the region, alongside Nissan Service, our suite of aftersales services for increased customer convenience and trust.
Building on the momentum of the past year, we place a sharp focus on furthering Nissan’s rich legacy in the region by emphasizing advancements in innovation, quality, and customer experiences. A thrilling pipeline of new products and services, as well as the widespread rollout of the Nissan Retail Concept across our partner network provide a glimpse into the exciting future we are building in our new fiscal year.
This is further supported with the integration of the INFINITI Middle East business unit into the wider Nissan Middle East network, a move that allows both brands to achieve swifter decision-making processes, deliver best-in-class customer experiences, and offer increased support for their retail network, all while keeping their unique brand identities.
- What is the SUV future looking like for Nissan?
During our 2021 Fiscal Year, our range of SUV offerings witnessed a 10% increase in sales across the Gulf region, comprising of the UAE, Bahrain, Kuwait, Oman, and Qatar. This success was accelerated through the launch of the 2022 Patrol 70th Anniversary model and the all-new 2022 Nissan Pathfinder, in addition to the regional showcase of our first-ever all-electric crossover Ariya at Expo 2020 Dubai, as part of our official automotive partnership
In a region where SUVs remain in high demand, the X-Terra witnessed a surge in popularity during FY21 as did the iconic Patrol Super Safari with a 26% increase in sales compared to the year before. Echoing the success of larger models, sales of the X-Trail and KICKS increased by 41% and 15% respectively in comparison to FY20, with the latter celebrating its position as the number one crossover with the highest market share in its segment in the UAE and Bahrain.
The immense success of our SUV line-up across the Gulf during FY21 is a testament to the strength of our products and the breadth of our offering.
- Which models contributed to the highest number of sales during FY21?
With a strong presence that spans over 70 years, the Middle East continues to serve as a region of opportunity and growth for Nissan. Key models that contributed to our success during FY21 in the Middle East are the Patrol Super Safari, X-Trail, and Sunny which witnessed a growth of 26%, 41%, and 35% respectively, compared to the year before. While the Patrol continues to serve as the cornerstone of our success in the region, the KICKS witnessed the highest segment market share in UAE and Bahrain.
