Ayala's AC Motors Grew 30% in 2021, Outpacing Local Auto Industry's Sales
Ayala-owned AC Motors reported a sales growth rate of 30 percent in 2021, outpacing the industry’s 20 percent growth. One of the Philippines’ largest automotive groups also expanded its dealer network from 85 to 95 last year.
AC Motors owns five four-wheel vehicle brands including distributorships of Volkswagen, Kia and Maxus, plus Ayala-owned dealers Honda and Isuzu.
According to AC Motors President for Automobile Group Antonio “Toti” Zara III, the company remained competitive in 2021 by remaining focused on the interests of its customers, and by “riding on the strength, versatility, and adaptability of our multi-brand portfolio.”
The local automotive industry registered a 20 percent increase in sales for the full year of 2021, the Chamber of Automotive Manufacturers of the Philippines, Inc. (CAMPI) and Truck Manufacturers Association (TMA) reported last January, with 268,488 unit sales from 223,793 units sold in 2020.
Both the passenger car and commercial vehicle segments recorded double-digit growth. Passenger car sales rose by 22.4 percent to 85,260 units in 2021 compared to 69,638 units sold the previous year. On the other hand, commercial vehicle sales grew by 18.9 percent to 183,228 units from 154,155 units a year ago.
Zara said three key reasons AC Motors remained resilient and recorded steady growth in 2021 were the introduction of new models, enhancing its digital channels and expansion of its dealer networks.
“Each of AC Motors’ five four-wheel brands introduced new models, thereby keeping customer interest and brand awareness moving forward: Maxus introduced the D60; Volkswagen the T-Cross and Multivan; Kia the Sorento; for Isuzu, the D-MAX and mu-X; and for Honda, the Civic, City, and City Hatchback.”
AC Motors also amped up its digital channels, pouring in more resources towards digitizing customers’ sales and aftersales journeys, which resulted in 40 percent of its average monthly sales that can be traced back to one of many digital channels.
“The third key pillar of our 2021 success was the continued increase of our total dealer network across the five AC Motors 4-wheeled brands,” Zara added.
Zara also reported that AC Motors is keen on becoming a key player in sustainable mobility, as the Ayala group has committed to achieve net zero greenhouse gas emissions by 2050. To help achieve this goal, AC Motors will actively explore bringing in electric vehicles to the domestic market.
“The EV law and its corresponding roadmap is about to be finalized,” he said. “Government must consider lowering import duties aside from excise tax privileges. Let us protect strategic sectors such as the PUV but allow easier importation of private vehicles. We need to make EV ownership more accessible.”