Innoson Motor Vehicle (IVM), one of Nigeria’s biggest carmakers, has released new types of cars that run on liquified natural gas (LNG) and compressed natural gas (CNG), but the company is still having trouble selling cars, Carmart earlier reported how History was made today, Innoson motors officially launches Liquidified Natural Gas(LNG), Compressed Natural Gas(CNG) Vehicles, which include trucks
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Otunba Francis Meshioye, who is the head of the Manufacturers Association of Nigeria (MAN), launched the company’s LFG and CNG-capable cars on Tuesday.
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IVM, which makes cars and is part of Nigeria’s growing auto industry, says that 70% of its car parts are made in Nigeria and 30% come from Japan, China, and Germany.
At a lunch for LPG/CNG-powered trucks, cars, and buses, the head of MAN asked the government to buy from the company.
He said, “It’s great to see what we witness in other parts of the world, in our own home. I encourage the Nigerian government and individuals to patronize Innoson Vehicles as that’s a sure way of partnering with the greatness we saw here today.”
Innoson Group of Companies Chairman and founder, Innocent Chukwuma in 2019 admitted that he has enjoyed patronage under Muhammadu Buhari’s administration.
Last year, IVM revealed a $4.7m vehicle manufacturing contract with Sierra Leone.
However, in response to the launch of its new cars which is in line with Nigeria’s energy transition plan, consumers have identified some reasons why they are avoiding IVM cars.
A critical issue raised is the affordability of Innoson Motor Vehicle cars compared to imported brands.
For instance, @GbagyiGirl, tweeted “Please look into making vehicles that are affordable for civil servants and students, this will give ordinary citizens the opportunity to own cars, then we can flood your brands in every road of Nigeria.”
Also, @EzeChimaijem said, “I suggest you think of producing for the masses, not just the billionaires. Toyota and Lexus are selling because they targeted the average people. Cars of N3m, N5m, and upwards, will sell.”
For @Deus_ExZ, he said, “TATA made cars reasonably affordable to the middle class of India. Which Innoson Car can a Nigerian middle-class family afford?”
Similarly, @Chikezi23206446 said, “Your pricing doesn’t seem to be competitive. We have a good number of trucks (Hilux) to make, but the difference between the brand and Toyota is insignificant.”
Another reason why a lot of buyers are not patronising Innoson is the design, according to their feedback on the company’s Twitter account.
A Twitter user @tycoonoflag noted, “You guys should work on your car design to beat the imported brands. If you want Nigerians to choose your rides over imported brands, Work on the designs, please.”
Similarly, @itzmarveltom said, “Honestly, I thought it was the throwback video of Olu Maintain’s ‘Yahooze’. You aren’t evolving with your car designs and it’s not like it’s even cheaper than your foreign counterparts! Do something different!! Employ creative minds.”
Also, @TompooLeslie said, “Your design ain’t working out for us. Hire a good car designer but interior and exterior. Up your PR job too Innoson vehicles are not known in Nigeria.”
Based on the feedback, the company has been identified to have a ‘poor PR team’, which they believe is causing a major setback to their sales.
According to the users of the micro-blogging site, Innoson Motor Vehicle has a poor online presence.
For @austinkingzee, he said, “You guy needs to learn how to effectively sell your product first, Innoson is a fantastic vehicle but the way your media team have always presented it makes it look mediocre. Seriously, you guys need to do more on how you’re presenting your products.
“While we need to promote our very own local brands, we must also criticise them constructively.
My take on where IVM on includes; Revamping your website to make it more accommodating for people to find out info about your product; Improving your PR; Spare Parts market
For @TheAfricanZorro, he twitted, “We should be flooded with multiple IVM billboards and TV advertisements in every state in Nigeria, but that’s not the case. Improve your marketing department.”
Factors Affecting Made-in-Nigeria Cars
There are several reasons why many Nigerians still prefer imported cars over locally produced brands. Some of these reasons include:
- Perceived Quality: Many Nigerians believe that imported cars have better quality than locally produced cars. This perception is largely due to the fact that imported cars are usually associated with luxury brands and high-end models, which are believed to be more reliable and durable.
- Brand Image: Imported cars are often seen as a status symbol, and owning one is considered a symbol of success and affluence. Many Nigerians believe that imported cars are superior to locally produced cars in terms of style, design, and prestige.
- Lack of Trust: Some Nigerians do not trust locally produced cars, and this lack of trust is due to the perception that Nigerian-made cars are of inferior quality and are not built to last. This perception is largely due to the history of poorly manufactured cars in the country, which has led to a negative reputation for locally produced brands.
- Availability of Parts: Imported cars have a wider availability of spare parts, making repairs and maintenance easier and more convenient. In contrast, locally produced cars may require parts that are difficult to find, leading to longer repair times and higher costs.
- Pricing: While locally produced cars are generally cheaper than imported cars, many Nigerians still prefer imported cars because they perceive them as a better value for their money. The higher price of imported cars is often justified by their perceived quality and prestige.
Major reasons you should buy Made-in-Nigeria Cars
- Boosting the local economy: Buying locally manufactured cars supports the growth of the Nigerian economy by creating jobs, generating revenue for the government, and reducing the dependence on foreign goods.
- Affordable pricing: Made-in-Nigeria cars are typically cheaper than their imported counterparts due to lower production costs and reduced import taxes.
- Customization: Nigerian car manufacturers can customize their cars to suit the specific needs of Nigerian drivers, including the ability to withstand harsh road conditions.
- Availability of spare parts: With locally made cars, spare parts are more readily available, which can reduce the cost and time required to maintain and repair the vehicle.
- Encouraging technological innovation: The development of local automotive industries can spur technological innovation, which can lead to advancements in other sectors of the economy.
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