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By Ingram
Tall, distinguished, fast-talking, friendly and a Volvo man to
the core, Karl-Johan Sandesjo, president of Volvo Car Corporation,
Thailand, exudes confidence in the future for his fleet of sleek,
modern, family vehicles with an offering of cars and niche vehicles
that also appeal to today’s fast-paced businessman. Their heritage,
second to none, the original “safest car in the world”,
rolls on throughout Thailand with Karl-Johan securely and competently
in the driver’s seat.
Coming to Thailand in 1999 from spells in both Korea and Singapore,
Karl-Johan compliments his intimate knowledge of the technology
and market positioning of these famous cars with an appreciation
and delight of working in Asia. Integrating well into Thai culture
and lifestyle, himself, his wife and two teenage daughters are enjoying
their new Asian experiences, which range from an appreciation of
Thai art and design to the delights of sailing in the pristine waters
of Phang Na Bay.
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Immensely proud that Volvo was the first wholly owned car manufacturer
in Thailand, establishing itself here in 1971, Karl-Johan looks
back on his company’s successes and forward to its exciting
future. Market share has fluctuated little in the past few years
for Volvo. The products have retained their appeal to the businessman;
an appeal based on size and comfort, safety and performance; as
well as establishing themselves as one of the first choices of modern
families looking for quality and environmentally conscious stylishness
and reliability. Since 1971, 50,000 Volvo cars from different model
series have been sold in Thailand and at the present time, 33,000
of these owners are still loyal Volvo customers. At the present
time, sales of Volvo cars approach some 2,000 per year, a market
share of around 20% in the segment in which Volvo competes. Volvo
regards Thailand as a mature market with many cars still on the
roads from older model series. Although in Bangkok the population
numbers around 10 million, only about 10,000-12,000 of them change
cars in the premium segment every year. Of the Volvo cars on the
road, some are driven by chauffeurs and many have inherited or have
found their way onto the used car market. For this reason, the aftersales
market is more important in Thailand to Volvo than it is in many
other countries.
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More than ten years have passed since Karl-Johan and his family
left Sweden to bring his distinctively calm yet perceptive management
style to Thailand, honing it on the way through marketing and management
positions in Germany, Korea and Singapore. He now leads some 500
assembly, sales, marketing and administrative personnel in Thailand.
The full range of Volvo cars is manufactured here, with the exception
of niche products, such as the Cabriolet. Karl-Johan reaffirms that
there is absolutely no difference in quality between the cars manufactured
in Sweden or in Thailand. Approximately 40% of the ex-factory cost
of Volvo cars produced in Thailand can be directly attributed to
value added by Thai employees and components manufactured entirely
in Thailand. Moreover, many items, especially the dashboard combi
instrument panel is wholly manufactured in Thailand and exported
to other Volvo plants throughout the world. Thus the Volvo car corporation
plays a major part in providing work for many Thai families and
fulfils an important role as an income generator of note to the
Thai economy.
A brand image is not simply created by good product quality, design
or performance, it also includes the reception customers are given,
the attitude of the staff and the assistance that is offered in
difficult situations. For this reason, in October 2001, Volvo Thailand
introduced “Volvo Assistance”. By summer 2002, 1,700 Volvo
owners had joined the service, which is unique in this sector in
Thailand because of the scope of the offer. If the car cannot be
dealt with the same day, the customer can choose between staying
at an hotel or flying to his final destination. After it has been
repaired, the car is transported to the customer. This service covers
even simple defects like a puncture or minor repairs. Small wonder
therefore that in the latest survey (conducted by ACORN) in the
segment in which Volvo competes, Volvo emerged as number 1 in Customer
Satisfaction.
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Karl-Johan really enjoys working with his Thai staff, appreciating
their smoothness and talent in being able to fix almost everything,
whilst always ensuring that sensible and workable compromises are
reached in the working environment; although he is the first to
admit that he has no idea how they do it! Volvo believes in constant
and culturally sensitive training for all its employees, especially
encouraging its Thai staff to further develop their assertiveness,
responsibility and authority.
Excitement is building as Volvo prepares to launch its new 4x4
vehicle into Thailand. A powerful roomy, yet sleek addition to the
fleet. Karl-Johan believes it will have immense appeal to the people
who really enjoy their driving yet prefer to do so in a vehicle
that is able to go almost anywhere whilst possessing the very latest
in modern gadgetry and performance. He remained a little tight-lipped
as we requested more details of this exciting vehicle, which, like
its forebears, will be built in Thailand and thus not be subject
to huge import duties. Despite his benevolent reticence, we could
discern his excitement as his face lit up and his eyes twinkled
at the thought of manufacturing and marketing this very special
vehicle throughout Thailand, - BMW, Land Rover and Mercedes, - look
out!
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