Data from the Kenya Motor Industry (KMI) for 2023, indicates that CFAO Motors Kenya, a local provider of mobility solutions, has experienced a consistent increase in its market share due to its strategic initiatives, which include recent mergers and efforts to consolidate its business operations.
CFAO maintained its market dominance in the general segment, excluding the Trucks, medium and Large Buses category, with a 59% share. It’s leading position was mainly driven by consistent sales from its main Toyota brand, which accounted for 53% of its total sales. Additionally, there was a rise in sales from non-traditional market segments such as passenger vans and Prime Mover categories.
Overall, CFAO experienced a 32% growth in the total market, an increase from the 28% recorded in 2022. The company sold a total of 3,639 vehicles across its portfolio, which includes brands like Toyota, Suzuki, Hino, VW, Mercedes Benz, Hyundai, and SINOTRUK.
In his confirmation of the details, Arvinder Reel, the Managing Director of CFAO Motors Kenya, expressed that the company is starting to see the positive outcomes of its recent rebranding, local assembly, and consolidation strategy in terms of growth.
“The KMI market share report for the calendar year 2023 confirms that the CFAO Motors Kenya strategy is set on a solid foundation. We are investing heavily to grow our market share further and explore new mobility horizons, including Hybrid vehicles, as part of our commitment to be Kenya’s most preferred mobility solutions provider.” he added
The strategic merger of Toyota Kenya and DT-Dobie, he said, has allowed the firm to boost its local assembly capacity and deliver a more expansive portfolio of mobility solutions to a growing and diversified client base.
Strategic local assembly initiatives, including KES 300 million investments in the local assembly lines for Toyota Hilux Pick-ups, Toyota Hiace Passenger Vans and Toyota Fortuner Sports Utility Vehicles, also contributed to the accelerated growth last year.
The domestically manufactured Toyota Hiace Van continued to experience an upward trend in popularity as the preferred choice for Matatu transportation in the public sector.
The increasing demand for Toyota Hiace Passenger Vans can be attributed to discerning public transport operators who favour the competitively priced vehicle for its affordability and improved safety features. The company, he disclosed, is optimistic about further growth this year as the Government’s Leasing programme resumes.
