AVID posts 9% growth in Oct.

MANILA: The Association of Vehicle Importers and Distributors, Inc. (AVID) reported 9% growth in month-on-month sales last October — with its brands having a consolidated total of 6,120 vehicles compared to 5,594 in September.

In a release, AVID said that “restored consumer confidence” brought about the growth, and was an offshoot of the “reopening of the economy, the easing of travel restrictions, and value-added promotions and services.”

AVID President Ma. Fe Perez-Agudo averred, “We are off to a good start in the last quarter of the year and we aim to continue this revival. Businesses are reopening and travel and tourism are resuming. These activities require mobility and a strong and healthy auto industry will set the course for economic recovery.”

A 20% sales uptick was recorded in the light commercial vehicle segment (from 3,574 to 4,291 units), with pickup and light trucks being “key drivers.” This category is led by (in order) by Ford, Suzuki, and Hyundai. However, sales of passenger cars dropped by 10% in the same month (1,791 from 1,990 in September). AVID does project growth in the latter segment in the near future “as consumers look for affordable mobility options.”

South Korean carmaker Hyundai “sold more than half of the passenger cars for the month,” followed by Suzuki and Ford.

Sales of commercial vehicles (CV), on the other hand, picked up by 27% in October. AVID attributed this to a “return to normalcy” for the manufacturing and agricultural sectors, along with government initiatives like the Bayanihan Law and ongoing “Build, Build, Build” push. Additionally, the public vehicle modernization program is expected to spur CV sales in the coming months.

The bigger picture of AVID YTD performance versus last year is still bleak compared to the same period last year, with the YTD-October 2020 figure down by 43% to 40,993 vehicles.

“When this pandemic started, we all asked ‘how long?’ And as the situation developed, we began asking ourselves, ‘What next?’ Which led us to do a strategic overhaul of our respective businesses. I believe the auto industry was quick to adapt to this new normal. So now you can buy a car online, have it delivered to you without face-to-face contact, and do contactless pickups and drop-offs at service locations for your after-sales needs. The industry has come a long way in such a short time and this has been a boon to consumers,” concluded Agudo-Perez.

Also read: AVID sales surge 210% in Q3