AutoItalia: Car service activities to gain in importance

Herbert Stein, chairman of AutoItalia, the importer of brands of the Fiat group, SsangYong and Honda motorbikes, says the company will take the dealer network expansion plan further next year, in a bid to keep sales at the level of 2008. Investments in the dealer network stood at around 13.5m euros and were operated to finalise eight centres, part of AutoItalia network. The company’s plans for 2009 entail building four new complexes. “Though we do not foresee sales increases in 2009, we are boosting investments to stay at the same level this year, too. We’re investing in service facilities, showrooms, elements that will help us stay at this level,” said Herbert Stein. In the first nine months of 2008, AutoItalia car sales rose by almost 18% year-on-year, to 13,379 units, whereas the target for this year points to 19,000 units, up 20% from 2007. In October, most car importers on the domestic market saw their sales volumes shrink from last year, mainly due to the tighter lending conditions and RON decline. As a result of the stagnating car sales, the company’s growth will come from dealer service activities and car part imports. “In the following period, car sales will come second, with service activities to be of utmost importance,” said Stein.