With the legacy of a planned economy long forgotten, membership of the European Union in its sixth year, and a growing population comprised in the most part of young families with swelling savings, it’s no surprise that Poland is at last fulfilling its promise. Unlike other European economies, recession and a housing bust were largely avoided, so with confidence back and employment rising, Poland’s car market is taking off.
Younger, savvier buyers are increasingly rejecting some of the default brands of their parents’ generation.
Sharing borders with Germany and the Czech Republic, it’s no wonder that Skoda, Opel, Fiat and Volkswagen have all been the familiar, favoured brands. Poland might have a large population but it is not yet rich, so the large investments made by Fiat Group (Tychy), General Motors (Gliwice) and Volkswagen Group (Poznan) matter greatly for the economy and generate much positive publicity. Yet younger, savvier buyers are increasingly rejecting some of the default brands of their parents’ generation. The cars they are instead turning to show the Poles are now part of a subtle, Europe-wide shift towards certain Korean and Japanese brands.
As the Polish new car market continues its upward trajectory (sales rising by 26% to 33,913 units in November, the best month for five years), the list of makes that are no longer flourishing is as interesting as the identities of the newly popular ones. Skoda remains the national number one, its Octavia much in demand for its mix of affordability and roominess, especially in newly launched and low-priced Tour form. Fiat, though, is seeing the same fall-off in sales of the Grande Punto as is happening elsewhere in Europe, and to such an extent that the brand has now fallen to third position behind Volkswagen. Judging by recent months, Fiat might also end the year in fourth place behind Ford.
That European mainstay, the Golf, plus the well-warrantied Hyundai and Kia C-segment rivals and Nissan’s Qashqai are each pushing their way up the Polish sales charts.
The other main loser of 2010 has been Toyota. If it is to reverse its ongoing difficulties in the overall European market, Toyota needs to be attracting young buyers in countries like Poland. Yet it seems increasingly unable to, especially in the face of lower priced competition and astute marketing campaigns by Hyundai and Kia. The i30 and cee’d twins built in plants just south of the border in the Czech Republic and Slovakia respectively are now mainstream models in Poland. To underline the shift, Toyota ended 2009 as Poland’s number three brand, and may even be relegated into sixth place by Opel as 2010 closes.
As 2011 approaches and Poland’s car market continues its expansion of recent months, the major OEMs will be paying close attention. Skoda’s Octavia should remain in high demand as the default family car choice. Yet that European mainstay, the Golf, plus the well-warrantied Hyundai and Kia C-segment rivals and Nissan’s Qashqai are each pushing their way up the Polish sales charts. Noting those developments, PSA Peugeot Citroen, Fiat and Toyota, as well as today’s more successful brands such as Opel, Ford and Renault, will be taking steps to gain or recapture the attentions of buyers in this increasingly strategic market.
The opinions expressed here are those of the author and do not necessarily reflect the positions of Automotive World Ltd.
