Al-Futtaim Motors announce positive Q1 performance

The figures indicate a strong performance in both the retail and fleet sales with a substantial increase of 120% in Toyota passenger vehicles and 118% growth in Lexus SUV sales during this period.

Hugh Dickerson, General Manager, Sales and Marketing, Al-Futtaim Motors, stated:

"The market was indeed difficult throughout January and February, as the global economic difficulties caught up with the UAE. In reaction to this situation Al-Futtaim Motors put consumer offers in place to deliver maximum value to those looking for a new vehicle. These offers have led to strong improvement in sales for both brands during the first quarter as our customers found our offers very attractive."

The current offers, launched in late February, provide prospective Toyota owners with one year free insurance; two free years of servicing and three years free warranty. Lexus customers benefit from one year of free insurance and free three years of servicing.

"Our sales growth was also boosted by the launch of the brand New Toyota Sequoia and the all new Lexus SUV, the RX350," added Mr. Dickerson.

"These launches and the new models that are scheduled for the rest of 2009 are a clear demonstration of the strong level of support we are getting from Toyota Motor Corporation, who has continued its high level of product development investment despite the global economic downturn," he said.

Looking forward, Al-Futtaim Motors remain confident of another strong month in April following the introduction of their new financing package.

The funding agreement is a significant breakthrough for the auto market which had been severely hit by the change in lending criteria earlier this year that saw many customers refused credit due to low salary levels.

With Al-Futtaim Motors new scheme, customers earning a minimum salary of Dhs4000 can now apply for funding at a rate of 5.5% interest without the need for a deposit on any new Toyota vehicle. This significant improvement in credit availability is anticipated to help rebuild consumer confidence.

Mr. Dickerson commented, "We have been working closely with our partner banks to secure this offer and we are delighted that customers who have been excluded from the market for the last few months can now, once more, have the chance to drive a new Toyota."

Mr. Dickerson concluded, "We firmly believe that what is most important to the consumer is the lowest possible cost of ownership of the vehicle, not only the original purchase price and offer. So, whilst we are offering competitive low prices, the best finance and offer packages, we also ensure that our running costs and residual values are the best in the industry. This means that our total cost of ownership is the most competitive and therefore buying a Toyota or Lexus remains the smart choice, as is demonstrated by our continued market leadership."