Proton plans to open 10 centres in Indonesia

By Zuraimi Abdullah,

The Business Times, March 19 2007

PROTON Holdings Bhd, which officially entered Indonesia last Friday, plans to open up to 10 sales and service centres in the republic by March 2008.

This is to facilitate the national carmaker's target of capturing a 1.7 per cent share of all vehicles sold in the republic in five years, said heads of Proton's Indonesian marketing arm.

Three outlets were opened simultaneously in Slipi, Jalan Warung Buncit and Pokok Indah, all in Jakarta, on Saturday.

PT Proton Edar Indonesia directors Norhisham Kamal and Dwi Sasetia said its other outlets will be located in Samarang, Surabaya, Bali, Makasar, Medan, Jogjakarta and Bandung.

Total cost of setting up the outlets could reach US$8 million (RM28 million), they added.

Norhisham and Dwi spoke to Malaysian reporters before Proton's launch in Indonesia by International Trade and Industry Minister Datuk Seri Rafidah Aziz on Friday in Jakarta.

Proton would directly operate two outlets including the one in Slipi. The balance of eight are to be run by independent dealers.

Savvy and Gen. 2 are the first Proton models being sold in Indonesia as passenger cars from last Saturday, while the Wira model has been on the road here as a taxi since last August.

"We have to change the perception that Proton is only a taxi manufacturer. We need to have strong promotion. We do hope that with the outlets in the main cities, Indonesians will accept Proton's other models too," Dwi said.

Dwi and Norhisham are bullish on Proton's prospects, going by Toyota's success in having its other models well-accepted here despite the Vios being sold as taxis.

Meanwhile, the first Proton car buyer in Indonesia, only known as Fauze, has selected a red Gen. 2.

"This is my third car and I am proud to have a Malaysian car. I thought, 'Why not this time I add an Asian-made car to my collection?" Fauze, in his 40s, added that he fell in love with the Gen. 2 while visiting a motor show in Kuala Lumpur last year.