Mazda's Chinese sales strategy brings home results this quarter

Gasgoo.com (Shanghai April 8) - Mazda Motor (China) announced first quarter sales of 49,795 vehicles in a sales report released earlier this week, the Nanfang Daily reported. Nearly half of those sales, 20,721 units, were made in March alone. With a 7 percent increase from first quarter sales last year, Mazda's Chinese strategy is gradually beginning to show good results.

The bulk of Mazdas sold were via its FAW Group joint venture–a total of 33,322 sales this quarter, maintaining a steady growth rate of 8 percent from 2010. FAW Mazda's sales were helped in part by cut prices, with the Mazda 6 (pictured) moved to the 140,000 yuan ($21,423) price segment.

However, Changan Mazda's performance was lackluster, as the JV continues to struggle to separate itself from Changan Ford. Changan Mazda managed sales of 16,473 this quarter, a decrease of 28 percent from last year.

"Because preferential purchasing policies were prepared to be phased out at the end of last year and the implementation of new vehicle restriction policies in Beijing [this February], Mazda's sales were affected," said Noriaki Yamada, president and CEO of Mazda Motor (China). Mr. Noriaki added, "the new sales promotions we've been employing since March have had clear results." He said that he was looking forward to even bigger sales this month.