DieselDrive - Suzuki holds value

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Suzuki values hold strong In South Africa, where purchase prices of new vehicles are hyper-inflated in comparison to most other markets, the question of resale value is one that often plays a large part in the purchase decision. IIt creates a market where manufacturers are not too perturbed by seeing volume models drop in second-hand ticket price by up to 50% in just a few yearsa and permeates the ‘see-saw’ effect of new vs. second hand price or, more importantly, overall perceived value. Smaller in volume but near the top of the resale value heap sits Suzuki, who have done very little other than impress its buyers with their small but diverse, practical and extremely high quality offerings. According to a recent analysis of data published in the TransUnion Auto Information Solutions’ authoritative Auto Dealers’ Guide, Suzuki passenger cars and SUVs achieve among the highest resale values in their segments, relative to their original retail prices. The resale data reflects actual trade values as a percentage of new vehicle list prices over the past 12 months and is determined by dealer returns sent to TransUnion on a monthly basis. The latest data, calculated up to December 2010, underscores how well Suzuki vehicles are performing in their relevant segments as far as resale value is concerned.

For instance, the marque’s trio of Grand Vitara models – the Grand Vitara 2.4, 2.4 AT and 3.2 V6 AT – outpaced all their major rivals in average resale value terms. At the end of December 2010, the average resale value of a Suzuki Grand Vitara 2.4 stood at 77.2% of the original retail price, with the automatic transmission version achieving the same average. The Grand Vitara 3.2 V6 AT model achieved an average resale value of 76.8%. This pips the Suzuki’s competitors, such as the Honda CR-V (76.7%), the Toyota Fortuner 4×4 (75.6%) and the Toyota RAV4 (74.3%).


One of Suzuki’s hugely popular, ‘giant-killing’ models is the beloved Jimny mini-SUV, which also continued its impressive ability to retain value with an average resale value of 77.8% – well ahead of the Daihatsu Terios 4×4 on 71.2%, as well as its 2×4 sister at 70.9%. The SX4 lifestyle hatchback, always a popular choice amongst the young and stylish, was another of Suzuki’s star performers. The automatic SX4 2.0 achieved an average resale value of 74.8%, placing it at the top of its segment as well, while the manual version, at 72.5%, was good enough for third place, ahead of the Nissan Qashqai 1.6, the Toyota Auris and the Honda Civic i-VTEC.

Suzuki’s most affordable car, the budget-beating Alto, is also proving its mettle in value retention terms and was barely pipped by 0.3% by the Hyundai i10. The Alto 1.0 GL and its more luxurious 1.0 GLS sibling recorded resale values of 74.2 and 74.1% respectively, placing them second and third in this sector, a respectable way ahead of their nearest rivals: the Kia Picanto 1.1 posted a value of 71.9%, followed by the Citroën C1 1.0i Play at 70.1% and the Chevrolet Spark LS and LT hatchbacks on 69.6 and 69.2% respectively. Next, the Suzuki Swift subcompact models – the 1.5 GL, 1.5 GL Auto and 1.5 GLS – managed resale values of 75.5%, 73.6% and 73.1% respectively, earning them fourth, sixth and seventh places in their segment, beaten by the likes of the new Honda Jazz and Ford Fiestas with their scores in the 77 to 79 percent ranges. However, a large portion of the reasoning behind this is that the Swift is due for an all-new replacement model this year and therefore the current shape and looming replacement impacted negatively on its resale value, while the Honda and Ford remain current-spec models. “When we analysed the value retention of our vehicles six months ago, we were pleasantly surprised that many of our models were segment leaders in resale value terms,” says Kazuyuki Yamashita, managing director of Suzuki


Auto SA. “That trend continues to be reflected in the latest average resale values and underscores the underlying strength and attraction of the Suzuki brand in SA,� he concluded. We agree, and Suzuki’s uncanny ability to produce excellent quality, attractive designs and practical product packages while still remaining competitively priced in their various segments will see them continue to garner affection and buyer loyalty in South Africa, which in turn will translate into an eager second-hand market for this seemingly and, unfoundedly, lesser-acknowledged Japanese car maker. - Kevin Willemse


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