Proton 3S/4S outlet upgrade on track, 88% dealers inked deal


Proton Holdings Bhd has ear-marked 88% of its distributor outlets as ready for upgrades to 3S (sales, services and spare parts) and 4S centres (including body and paint).

Proton Edar Sdn Bhd CEO Abdul Rashid Musa said currently 96 of its existing and new dealers’ applications for upgrade have been approved to be transformed into one-stop centres.

“The dealers have taken calculated risks in moving forward with us and we are optimistic that we will be able to turn things around in Proton.

“Part of the outlet upgrade and enhancement will bring about positive image to the brand, beginning with the establishment of one-stop centres nationwide,” he told reporters after the launch of Regal Motors Holdings Sdn Bhd’s Proton 3S centre, which was officiated by Proton CEO Dr Li Chunrong in Petaling Jaya, Selangor, yesterday.

In an earlier news report, dealers said around RM1 million would be needed as the capital to upgrade outlets into 3S facilities.

Early this year, Proton had projected to transform 109 outlets into one-stop centres by October. As of 2017, the group has more than 170 sales centres nationwide.

Regal Motors executive chairman Tengku Datuk Seri Uzir Tengku Ubaidillah said he decided to invest RM750,000 to ensure that the company would remain in Proton’s growing business.

“Despite so many uncertainties at the earlier stage, we have decided to continue our cooperation with Proton, with a larger scale of investment.

“We believe that Proton will grow in leaps and bounds in the future with Zhejiang Geely Holding Group Co Ltd on board, and we are excited to be part of the company’s glory,” he said.

For the 3S upgrade, Regal Motors shifted its location from its Old Klang Road address to Petaling Jaya for strategic purposes.

The new outlet has 12 service bays, six hoists covering an area of 4,856 sq m, which is double the capacity of its previous sales and service centre.

Apart from the new outlet, the company is also operating a 6,070 sq m standalone body and paint centre, which is also in Petaling Jaya.

Regal Motors MD Philip Jason How said the company has targeted an increment of between 30% and 40% in its sales performance, especially in anticipation of Boyue, Proton’s new SUV that is entering the market towards the end of the year.

“As for services, we anticipate an increase of approximately between 60% and 70%, due to the centre’s location and accessibility,” he said.

Abdul Rashid said Proton is optimistic in maintaining a strong sales performance this year, despite the expected car price hike after the implementation of Sales and Services Tax by Sept 1, 2018.

“The need for cars in Malaysia is still there and people will continue to buy them,” Abdul Rashid said.

He added that the target will also be supported by Boyue’s launch for booking that is slated for next month.

As of July, Proton has sold up to 35,208 unit of vehicles — mainly attributed to the three-month zero tax period ended in August.

Last year, the company sold 70,991 cars of the 576,635 total industry volume, slightly lower than 72,290 in 2016.