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Home Automobiles

Kia Motors aims to get 5% share in Australia, Picanto name changed to K1, Rio to K2, Cerato to K3, Sportage to KV3, Sorento to KV5

byCustoms Today Report
03/02/2015
in Automobiles
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SYDNEY: CHANGE is literally the name of the game for Kia Australia this year.

The marque has an ambition to achieve 5% total market share in Australia, but has challenges ahead to fulfil expectations. One of the key agenda items is the naming convention.

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Under consideration is a ‘K’ naming structure, similar to the nomenclature system used by BMW and Mazda.

“I would love Picanto (not available yet in Australia) to be K1, Rio to be K2, Cerato to be K3, Sportage be KV3 and Sorento to be KV5. I’d be the happiest man in the world,” Kia Motors Australia chief operating officer Damien Meredith (pictured right) said.

“I think that would help dramatically with the brand perception of Kia in Australia. I have only been there seven months … and I have presented that to Seoul.

“It is something that would be great for the brand.

“I think it makes sense. I’m going to keep pushing it. Simple for the consumer, simpler for the dealer network, simpler for everyone to understand.”

Other global markets have the ‘K’ moniker, and if approved future vehicle generations could wear the new name.

Yet foremost on the schedule is shifting opinion.

Kia has undergone monumental change in recent times, with the appointment of former Audi penman Peter Schreyer to chief design officer in 2006 pivotal to a changing image.

Under his guidance the entire Kia line-up has been revitalised with a European edge.

Mr Meredith recognised Kia still has a “cheap and cheerful” image among many Australians.

“Kia has been on sale in Australia for too long,” Mr Meredith said.

“We have wonderful product. We have to get that message across to the Australian consumer. The brand at the moment is not in a strong position … all the studies we see and the feedback we get show we have a hell of a lot of work to do.

“My emphasis is on the product and not on the pricing.”

Marketing will push the quality message and while remaining competitive, Mr Meredith emphasised there is no plan to build market share through discounting.

With the Rio moving up a rung to become a competitor to the Hyundai Accent, Toyota Yaris and VW Polo, it’s left space for the more compact Picanto.

Mr Meredith said the move to an industry-leading seven-year warranty had demonstrated confidence in the vehicles which will also lead to an assured used car program being launched mid-year.

“We wanted to be a leader in some aspect of the business. I don’t think there is any doubt, a seven-year warranty is going to be one of the great things for Kia in Australia.

“It sends a message to the consumer that we have amazing faith in our product.”

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