Chinese automaker Deepal has declared a plan to disrupt the competitive ute market in Australia by launching their Ford Ranger rival Down Under.
With Australia’s need multiplying for dual-cab utes, the portion now accounts for almost one in every five new vehicle purchases across the country.
Industry insiders suggest that Deepal’s entry will drastically overturned a market that has long been controlled by the establishment players such as Toyota, Ford and Mitsubishi.
For many years now, the Chinese manufacturer has been laying this blueprint for its Australian expansion, collecting data on local consumer preferences and needs while concurrently shaping a vehicle which is the perfect blend of rugged workhorse with modern refinement.
“We spent a lot of time researching the needs of Australian ute drivers,” said Deepal’s newly appointed Australian market director Lin Wei at a news conference in Sydney yesterday.
“Our research has also revealed that Australians expect their dual-cabs to serve as versatile workhorses through the week and family transportation over weekends.
This two-pronged nature is exactly what our new model has been designed to meet.”
The Challenger Has Arrived: What do we know so far
Industry analysts have said that Deepal’s development path has been closely watched slightly for several years, ringing up vast amounts of investment in research and development targeting Western markets particularly with their special branch in Oregon.
The still-unnamed ute (it’s been rumored to go by the “Deepal Outback” or “Deepal Territory” moniker) has been seen undergoing tests in different Australian conditions–from the scorching Outback to city centres.
Photographs taken during these trials show a vehicle with an impression of strength; it has muscular styling, high wheel arches and an imposing grille that brings to mind American trucks more than the conservative designs of Japan or Europe.
The Deepal pickup truck is chemically fabricated to be powered by a set of Twin Silicon II motors producing over 210kW of power and capable of accelerating up to 110kg mN. This puts it at the head of its class for straight power output.
Aside from this there are reports that there may be a hybrid version will come later; this would make Deepal the first ever manufacturer to bring their cars onto an electrified inflection point currently being lit in Australia.
The towing capacity of the vehicle has been confirmed at above 3500kg, easily equaling the best offerings from the major vehicle manufacturers.
Most interesting of all, estimates of its selling price are lower than those for an equivalent Ford Ranger model. They suggested a starting figure around 15-20% less than the equivalent level while still offering comparable or superior equipment to it.
“It’s very deliberate: we is seeing Deepal come into the market with a value proposition that nobody can ignore,” said Sarah Johnson, automotive analyst at Market Insights Australia.
Of course Deepal is not just competing on price-they’re bringing real innovation and features that might make some traditional buyers think twice about what they will buy next.Hayley Whitney
Striking a Brand-Loyal Market
Australia has long been known for its incredibly brand-loyal ute market–a major handicap for newcomers.
Widely lauded for impressive reliability and high resale values, Toyota’s HiLux and Ford’s Ranger have undoubtedly ruled the sales charts for years. These products also boast the added cachet of an established dealer network.
With a multi-fronted attack Deepal looks set to take on these barriers of entry head bodily.First, by quietly setting up dealerships throughout the populous areas within Australia. At the time the pickup launch is scheduled to begin, 35 dealerships will be in operation.
In physical infrastructure alone, this represents a major investment by the company and demonstrates its long-term commitment to the Australian market.
Two, according to reports, Deepal is getting ready to offer an industry-leading seven year unlimited kilometre warranty coupled with five years of roadside assistance, a level of cover significantly beyond that of 5 year warranties now standard for established brands.
The protection strategy speaks directly to fears about reliability and construction quality which inevitably dog new entrants, especially when they come from China.
Three, the company has made large investment inlocal testing and development, using Australian engineers to fine-tune, suspensions, steerings on the steering column and electronic systems for local conditions.
“They haven’t cut corners,” observed Michael Crawford, editor of Australian Ute & 4WD Magazine, on trial vehicles he has recently seen in the Victorian High Country.
“From the earlier models I’ve seen, it seems they understand that Australian buyers expect cars which are capable of traveling through anything: From trackless deserted bush to city commuting roads.
They’re not just bringing in a car designed for the Chinese or European market and hoping that it will work here.”
China’s success in shoring up the MG and GWM (Great Wall Motors) brands in Australia when priced and featured advantages are in evidence suggests that it is not impossible at all for the Chinese brands among us to engage buyers with their products over time.
In fact GWM’s Cannon ute has already taken a foothold in the market,ising that Australian eaters are increasingly open to alternatives to traditional Japanese, American and European brands.
The timing of Deepal’s arrival also coincides with continuing cap a multi- ple “a” supply problems for established manufacturers.This situation creates an opportunity for new entrants to pick up on buyers who are unwilling wait months after purchase very popular model.
Today deserves a particularly sympathetic hearing from truck buyers, who represent such a large part of all light-vehicle sales in Australia; vehicles that can be delivered promptly with reasonable prices are perhaps especially appropriate despite seeming not so in old times.
Explained Johnson,”Our timing couldn’t be better.”
Now, supply chain problems have caused extraordinarily long delivery times for the less popular utes, and price raises have pushed many models above the luxury car tax line.In this situation, a well-equipped, competitively priced alternative that is readily available comes along,
“Ahmad stated.During the third quarter of this year, the Australian market is Hybrid Kinetic’s initial target; preorders may open up as early as June.It is understood that the company has made arrangements to secure an initial supply, which will see Deepal’s launch protected from the supply problems that have plagued other manufacturers.
Whether this bold entrant can indeed shake up one of Australia’s most hard-fought automotive markets remains an open question.But the thoroughness of their operation suggests that they are hardly an anonymous brand trying their luck in Australia
As the traditional manufacturers keep pushing up their prices–and thus their waiting lists. That makes this the perfect moment for Deepal to come in, taking the buyers looking for an alternative.