Otokoç Otomotiv’s revenue
rose by 17% to TL 3.5 billion
and its investments grew by
71% to TL 743 million.
Otokoç Otomotiv intends to expand its network through investments, remodel existing facilities and grow in the truck segment through a new truck plant in Istanbul.
Leading the Turkish automotive retailing and car-rental markets
Otokoç Otomotiv operates under the Otokoç, Birmot, Avis, Budget and Otokoç Sigorta (Insurance) brands at 148 locations. The Company provides sales and after-sales services for Ford, Ford Trucks and Volvo under the Otokoç brand and for Fiat, Alfa Romeo, Lancia and Jeep under the Birmot brand. It also runs short-term rental and operational leasing services under the Avis and Budget brands.
Otokoç Otomotiv accounted for 33% of Ford retail sales in 2013, 30% of Fiat, 44% of Alfa Romeo, Lancia and Jeep, and 45% of Volvo. The Company’s sales exceeded 70,000 vehicles, about 8% of the total market. In short-term car rentals, Avis grew by 26% reaching 4,050 vehicles, thus reinforcing its market lead, and Budget rentals grew by 47% reaching 1,350 vehicles. Hence, the Company attained a 51% market share among international car-rental brands in the short-term car-rental market. In operational leasing, the Company’s revenues grew by 32% to a total of 18,950 vehicles.
The Company launched its operations for the Volvo brand at the Otokoç Samsun facilities, thus increasing its number of Volvo sites to six. Birmot and Otokoç moved to new facilities in Ataşehir. Birmot began operations at its second facility in Bursa. The first 4S Ford Trucks Plaza investment was made at Otokoç Eskişehir İnönü.
Otokoç Otomotiv’s revenues rose 17% to TL 3.5 billion and investments climbed by 71% to TL 743 million.
Awards and achievements
Avis Turkey received the “Licensee of the Year” award for its fast growth, customer satisfaction, new collaborations, and creative marketing practices in the EMEA region. For the fourth time, Skal International named it the “Best Car Rental Company” and the World Travel Awards declared it the “Corporate Car Leasing Company of the Year.” Budget Turkey received the EMEA region “Marketing Achievement Award.”
2014 and beyond
Otokoç Otomotiv plans to invest in expanding its network, renovating existing facilities, and opening new heavy commercial vehicle facilities in Istanbul. It aims at reinforcing its leadership in short-term car rentals with its Avis brand by achieving a rate of growth that is above the market average. It intends to lift its Budget brand from 3rd to 2nd place. The Company also plans to increase the number of Budget licensees and implement the hourly rental business with Zipcar brand. Otokoç has set its sights on growing its operational leasing business 2.5-fold in five years.
As part of its growth strategy in neighboring countries, Otokoç intends to take the car rental business to Kazakhstan in 2014, as the third location abroad, following Northern Iraq and Azerbaijan. New opportunities will also be evaluated.
Otokoç plans investments of TL 845 million in 2014, mainly in vehicle purchases.