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Suzuki Indonesia… A Not So Champion Of Rational Thinkers

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Okay, so I wrote back then about how Suzuki is the champion of rational thinkers. Now people might expect that I’m changing my mind about the matter because I don’t… However, I have this irk to settle about Suzuki Indonesia and why they kill a perfect little car called the Swift.

Suzuki products are widely known for its class leading equipments. For example here in Indonesia, the Swift WAS a product of choice for cars under US$16K with airbag+ABS+EBD+onboard computer+audio controller on steering wheel. Other cars barely reach Suzuki Swift’s equipments even as an option. The trend continues with SX-4 here in Indonesia, at just roughly US$17K, you get all of the above but with a bigger chassis and everything. But recently, Suzuki chopped off the options on Swift to the bare minimum. The car now has nothing but priced at mind boggling US$14K, down around US$3K with the negation of the options.

Now it is understandable to make the Swift as bare as it is to reduce price. But Suzuki Indonesia does not offer Swift with the extra options anymore, just the bare minimum… Now what the hell with that? From what I heard and read at many automotive forums and mailing list, Suzuki does this to push sales because the car is not selling well compared to Honda Jazz and Toyota Yaris. D’oh! Off course it is, Swift is a small car compared to those two. It is not a family car per se, it is more of a coupe with extra doors at the back. Rather than just pushing for bigger sales, Suzuki can use the Swift as a stepping stones for people who wants to buy bigger Suzuki cars in the future. After all, what sellers wants from their customer is their retainership and loyalty.

Instead, Suzuki Indonesia degrade the class of Swift into that of a cheap entry level car and those who wants to buy the full optioned Suzuki cars must buy Grand Vitara or SX-4. Now where’s the logic on that? The exclusion of models with full factory options are caused by Suzuki decision to localized the production of Swift, because before the Swift was exclusively imported from Japan. Now with the localization of the Swift, Suzuki deletes the option altogether. Suzuki can still import Swift with full options, even for just a handfull because there will always be a market for high end products. Is Suzuki worried that Swift will overlap SX-4 sales? I don’t think so, because the SX-4 is already a bigger car, even though it is derived from Swift chassis.

One thing I can notice about Suzuki Indonesia decision is just because they want to save as much money as possible. By making all Swift as one standard model, they can achieve economy of scale far easier and they don’t have to incur inventory cost by keeping a separate line of cars. The thing is importing a car are full of hassle, first there’s the administration fiasco between Suzuki Indonesia and Suzuki Japan, that’s for sure. Then there’s the hazard of importing a car from far away land physically (well, you won’t know what happened to the car on its way here), not to mention the time and cost it took to ship cars from overseas.

I wholeheartedly understand why Suzuki want to “degrade” the caste of Swift. After all by doing this Suzuki now has a complete line of products ranging from the affordable entry level Karimun Estillo, to the not so expensive neutered Swift, to the rightly priced all terrain SX-4, the coming soon SX-4 sedan, and to the top of the line Grand Vitara. All products ranging from US$10K to US$25K.

Now my decision of buying a Swift has been decimated to the lot… I do feel sad because the car was the best choice for a full optioned car under the price of US$15K. It seems the curse of Honda rears its head again, probably I will buy the all new Honda Fit/Jazz, a not so bad model. I wanted to buy SX-4 though but kind of afraid Suzuki Indonesia is going to pull the same trick with neutering the SX-4 as it did with the Swift. If I bought the fully optioned Swift back then, probably I will feel alienated by Suzuki Indonesia decision to neuter all existing Swift. Because after all, how can I brag and persuade people to use the Swift if the existing Swift is not exactly the same product I used? Don’t start about the exclusion of Airbag and ABS doesn’t bring about different driving experience, it does, wait until you gotten into a situation when those things safe your life… I had.

Suzuki, The Champion Of Rational Thinkers

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Let’s make things straight here first okay… I love Honda, my passion is Honda, I dream of working for Honda, but I couldn’t help to fall to the tease of Suzuki and their offerings lately, especially the four wheel vehicles they are selling.

Growing up with Honda really makes it stick in my head for sooooooo many years, even though it does not erode until now, the thought of owning cars other than Honda just recently grew up on me. Suzuki never had a brand recognition as strong as Honda or Toyota here in Indonesia. What Suzuki is well known for here is the Suzuki Carry that is being used as a public transportation around “puncak” area. The Carry are well known because the fact that it is a 1 (one) liter/1000cc engine but carries a maximum of 7 passengers with relative ease on mountainous area (puncak means mountain in english). The reliability and the die hardness of the car puts Suzuki quite high in brand recognition… But alas, as a commuter/business vehicle.

On the other side of the spectrum, on its passenger cars, Suzuki is not known for reliability or advance technology, unlike Toyota with its very well known reliability and Honda’s advance VTEC frugality. Subjectivity aside, the last generation small sedan from Suzuki (Baleno Next-G) even got beaten for its design and technological aspect by Toyota Vios and Honda City. All seemed pretty clear where Suzuki was heading, but suddenly Suzuki came up with a new slogan and Swift, the first of a slew changes that will define Suzuki in the near future.

Suzuki now has a new slogan, “Way of Life”, and with it came a complete revolution of how things are made by Suzuki. The Swift was Suzuki first try on completely change its approach on designing a car. Gone are the pudgy looks that haunts Suzuki products, in are the European go-kart look of a car, hinting at everybody who are looking it that a car can be attractive yet convey a sense of passion along the way. The Swift is by no means utilitarian like Honda Fit/Jazz, it has small boot at the back, and the second row seats are cramped for anybody taller than 160cm, but from the outside… It’s whole lot different story. While Honda design the Fit to look cute deliberately, Suzuki designs the Swift to look macho and very boy racer-ish. Then there is the new X-factor, or rather called the SX-4, another unique and category buster car from Suzuki. While the SX-4 took the same Swift chassis and making it a bit longer and giving second row seating a better leg room, it also bust the segment of city car by introducing crossover concept, combining SUV stance and city car altogether. The result? A strange city car that is smaller than the medium class cars but have stance like SUV… This actually makes the car looks like a half size MPV… Or something, it bust the segment and defines a new one anyway.

So what makes me wanting a Suzuki after all this year being a Honda fan boy? Well, the first thing is now I am more of a rational guy. The Suzuki SX-4 is priced at around Rp 165 Million (around US$16500), it has on board computer to calculate fuel consumption, steer mounted audio control, ABS+EBD, and a dual airbag. Its smaller brethren, the Swift came in at Rp 145 Million (around US$14500) with the same stuff available on the SX-4. Now let’s take an example of Honda Fit/Jazz; For a similarly equipped car, the Fit/Jazz came in at Rp 170 Million (around US$17000) minus on board computer to calculate fuel consumption and steer mounted audio control.

If I wanted to replace my Jazz, I might go for the Swift because I don’t need the extra boot space anyway and I don’t have a lot to spend… I think the latter is the appropriate reason. Yes Honda or Toyota products have better resale value, but down the line,the difference only hovers around 5-10% of 5 years depreciation, and by that time I will have enough money to upgrade to something more roomy (might be another Honda though).

For now, Suzuki trump card is just that, value for money. How they achieve that is just a no brainer… Everything that is inside the Swift and SX-4 is basically the same technology available since 5 years ago on the original Aerio/Aerio Sedan/Baleno. The M15A engine which features a cam changing VVT mechanism is just refined and the automatic transmission is still the same 4matic technology featured on the cars I mention earlier. Using the same technology is not incapability of Suzuki to offer a new one, but if you can refine an existing technology, making it more bulletproof, why use something new that is unproven? Most of all, by using tried and true technology, Suzuki does not have to incur investment cost to bottomline price of its products. This rational thinking of Suzuki really goes with my current disposition towards the world after all.

Anywho… If I do replace my car with a Suzuki, rest assured, you will know me for I will definitely place “do you have a Honda” sticker at the rear glass. Honda will always stay, for the better or for worse… Even if it’s just a sticker. Until I have enough money, the Power of Dreams will be my driving force, to be united again with the one (brand) I desire most. Why is there tears coming down from my eyes… Shoot… Sometimes I get sentimental too fast, but letting go of a dream is quite hard… I’ve always wanted a used 04′ Civic or even an 01′ CR-V, heck! A Honda City would be fine, but I have my priorities now, and my personal dreams are met with conditional real world demands.