GM eyes aggressive expansion in Saudi market
General Motors Middle East and its dealer partners have reaffirmed their commitment to the Saudi market by outlining investment plans of up to USD 750 million by 2015. General Motors Middle East and dealers Aljomaih Automotive Company (AAC) and Universal Motors Agencies (UMA) will increase their network from 96 to 120 facilities in the Kingdom during this period.
Saudi Arabia is the biggest market of GM in the Middle East. The huge investment will allow the company to expand its presence in the country and improve its sales, customer service and spare parts network. The investment will be made in acquiring new land and constructing sales, service and spare parts facilities.
In July 2102, GM also re-aligned its Chevrolet and GMC dealer network in Saudi Arabia to enhance the shopping, buying and ownership experience for all customers. Last week, the Aljomaih Automotive Company (AAC) opened the doors of its new state-of-the-art K3 SSS facility in Jeddah. In early December, Universal Motors Agencies (UMA) also opened its Riyadh South Ring Road sales, service and spare parts facility. This facility is the largest standalone Chevrolet and GMC facility in Saudi Arabia.
According to John Stadwick, President and Managing Director of General Motors Middle East, “there can be no doubt that 2012 was a big year for General Motors in Saudi Arabia with the successful dealer network re-alignment”. These changes have allowed GM to focus on customer service and broaden its customer base in the Kingdom.
The aggressive expansion plans clearly highlight the importance of Middle East region for GM. The region has reported total sales of 15,255 vehicles in November 2012. This is an increase of about 42 percent from the same period in 2011. Gulf Cooperation Council (GCC) and Saudi Arabia provided the strongest growth as this year’s November sales were boosted by 67 percent and 104 percent, respectively.