The latest blow for Malaysia's most popular car, steadily losing share through persistent quality control and customer service troubles, came in the guise of the country's first nationwide survey asking car-owners what they thought of rival brands. Out of 14 marques, Proton ranked second from bottom. Only fellow Malaysian car brand Perodua kept Proton from last place.
It was never meant to be this way. The brand was born 20 years ago in a blaze of glory -- a bold and far-reaching plan to create a national car befitting a fast-developing nation determined to achieve its goal of becoming a fully industrialised country by 2020.
Given Proton's short history and the rapid changes that have swept through the global car industry since then, the Malaysian Government can be proud of its baby, which has gained both a foothold abroad and the recognition of international car magazines. Its achievements, however, have been undermined by technical glitches and lacklustre customer service. Brand-building has also been neglected, with affordability the core component of the car's appeal.
"Over the years, Proton failed to build a clear brand message," observes Azizul Kallahan, executive chairman of Spencer Azizul Adverising. "There was no consistency and focus. (Proton) was able to command a domestic market share because of lower taxes, which enabled a price advantage. This, by default, created a 'cheap car' image."
These are key issues Proton must address. However, as Kallahan points out, time is not on Proton's side. Challenging the Thai drive to make Bang-kok the Detroit of Southeast Asia, the Malaysian Government is finalising plans to open up its own car industry to greater competition, potentially stripping away some of the protection Proton has enjoyed, while giving greater leeway to Japanese brands such as Honda and Toyota, which have already made an impact with Malaysian consumers. It seems unlikely that Proton will be consigned to the scrapheap. However, the brand requires serious attention if it is to continue playing a central role in realising Malaysia's dream of becoming a major economy on the global stage.
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