Kia 2003 Annual Report Download - page 17

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2003 Annual Report 17
Astounding Grow th in Spite of the Global Economic Slow dow n
In a stark contrast with the lackluster domestic sales, exports jumped 19.8% year in year to a
phenomenal 538,902 units, largely offsetting the under-performance on the home front. This was the
first year ever for Kia to exceed 500,000 units in finished car exports. The total value was worth over
US$5 billion, as the average price per unit also surpassed US$10,000. Notably, in November, aggregate
exports passed the 4 million-car marks.
Galloping Grow th in the EU M arket
By region, the sharpest growth was realized in the EU market, where exports amounted to 156,675 units,
or 29.2% of total exports, nearly 7% higher than the 21.9% figure for 2002. The EU was the second
largest export market after the US, and Kia’s phenomal sales growth there was largely due to the
expansion of the regional sales network and an improved product mix, introducing diesel engine models
and other new models better suited for European tastes. Kia also enjoyed robust sales increases in the
Asia Pacific and Canada, regions that now contribute significantly to overseas operations.
An Upgraded Website for Global Users
Starting from August 2003, non-Korean visitors to the Kia website could be redirected from
www.kiamotors.com to the new overseas website. Dealers and customers, both inside and outside Korea
can access Kia information more easily, and new online services were introduced from September 1st.
The Challenge to Break New Records Persists
Kia has set the 2004 export goal at 380,000 passenger vehicles, 257,000 RVs (SUVs, Mini Vans, MPVs),
and 42,000 commercial vehicles for a total of 679,000 units shipped. To achieve this objective, the
company will focus on launching the Picanto, Cerato, Opirus, KM and small-sized commercial vehicles;
boosting brand image through stepped-up corporate advertising, and strengthening sports marketing
through the sponsorship of the Australian Open and the Davis Cup tennis tournaments. Sales operation
efficiency will also be raised by increasing the number of directly operated European sales centers and
improving and broadening the dealership network.
▶Kia Motors has received high marks from overseas
dealers, consumers and journalists alike while
achieving record-breaking sales growth outside
Korea in 2003.
▶▶ On September 22, 2003, the Morning Queen
arrived at Vancouver’s New Westminster Harbor,
carrying the 100,000th vehicle exported to Canada
in the past 48 months.
N. America
48.2%
29.2%
5.5%
7.7%
9.4%
Europe
Mid East / Africa
Latin America
Asia / Pacific
∙
Source Company data
Export Volume Growth
(units in thousands)
488
450
539
01 02 03
2003 Export Breakdown by Region
(Based on Number of Shipment Units)