Proton Eyes a Chunk of Pre-Owned Car Sales

National carmakers Proton is making a lot of noise in post-MCO (movement order control), also known as the RMCO. In its latest announcement, Proton intends to expand its pre-owned car program to its dealers’ network. The rational behind Proton’s decision to grow its pre-owned car program is fueled by MAA’s (Malaysia Automotive Association) prediction of a 100 percent spike in the used car trade within the first 6 months of this year, before the pandemic came into effect.

Proton has been up to the mark when it comes to its revival as the top National brand in the country. Its core models X70, Saga, Persona and Exora have been market leaders in their respective segments. Now, Proton wants to focus on its pre-owned car business as they see it as an essential part of the automotive value chain. The National make considers the used car trade as an area which is often not given enough attention.

In order to look into pre-owned car busines proper, Proton has came up with its Used Car Management (UCM) division in mid-2019. A total of eight dealerships signed up for the first trial run. The first to be a certified UCM center was Atiara Johan Proton 4S in Puchong, appointed June 2019.  This year, Proton intends to get more dealerships involved, up to as many as thirty-six Proton 3S/4S dealerships nationwide.

How Proton’s Used Car Management (UCM) works

The UCM represents replacement sales for Proton, where a current owner trades in a Proton model for a new one, to account for a minimum of 10% of the volume for outlets with UCM operations. The National make has also established programs to help achieve the target such as Proton Xchange, designed to encourage current owners to replace their current cars with the newest model.

Regarding the sale of trade-ins, cars under UCM are marked as Proton Certified Pre-Owned. All pre-owned cars undergo a comprehensive 201-point inspection and are guaranteed to have never had major damages. The pre-owned cars come with a 1-year extended warranty that covers the engine and transmission, plus a one-time free service (engine oil and oil filter only) for up to 6 months after registration.

In the pipeline, Proton’s UCM will be available on a used car webpage. This platform enables potential customers to view available used cars and get estimated valuations for their current cars.