“Closing the year with six consecutive months of growth is a positive reinforcement for the brand as it aims to end 2013 on a high with new and exciting models to excite the Filipino consumer.”
- Ma. Fe Perez-Agudo, HARI President and CEO
Performance and Drivers
Hyundai Asia Resources, Inc. (HARI), the official distributor of Hyundai vehicles in the Philippines, registered a promising 2% hike in November 2013 against the same month a year ago to finish the period with 1,712 units sold from 1,673 in November 2012.
Despite lackluster showings from the Tucson and Elantra who are both set to receive mid-cycle changes soon, the Korean brand’s tally was kept healthy by popular receptions for the Eon and Santa Fe models.
The Eon, in particular, posted its best sales month thus far in 2013 with a November tally amounting to 655 units. This output has helped the brand’s Passenger Car (PC) segment to a commendable 13% increase for the period.
On the Light Commercial Vehicle (LCV) front, the luxurious Santa Fe Mid-Sized SUV performed exceptionally well, doubling its performance from last year with a month-end total of 207 units rolling out of dealerships.
Together, the popularity of Hyundai’s vehicles across various segments has given the brand its 6th straight month of growth and yet another positive reinforcement heading towards the year-end Christmas rush, where it is now a mere 4% off its tally compared to its year-to-date figure a year ago.
Sales and Economic Outlook
The Philippines has outperformed expectations as the local economy expanded by 7% in the third quarter of 2013. This, however, is slightly lower than the 7.3% growth posted in the same quarter last year. Growth was tempered by the natural calamities that caused a major setback in output produced during the quarter. Nevertheless, the resiliency in domestic demand has continued to be a major engine of growth, solidifying the economy from global turbulence.
Despite anticipation of an economic slowdown next year following the destruction brought about by Typhoon Haiyan, the projected re-construction boom and surge in OFW remittances will help the economy gain back its ground and hit the 6.5% to 7% growth momentum according to government targets.
With the Philippine economy on solid footing, consumer sentiment for big ticket items and vehicles remain bullish as key macro fundamentals support demand.