Sydney, Australia – Proton is embarking on a brand new market assault in 2010, when it will launch what it claims will be "Australia's lowest priced sedan".
Proton Cars Australia has secured new backing from its Malaysian parent company to push hard in 2010 by offering ultra-affordable cars.
Proton says its easily affordable sedan will be the perfect answer to the current financial climate.
Furthermore, Proton's revitalisation plans involve the ditching of underperforming dealerships.
The Australian arm of Proton has severed ties with almost half its dealers and claims it is redoubling its efforts to rebuild and refresh its dealer network across the country.
The managing director of Proton Cars Australia, John Startari, confessed that Proton had not lived up to expectations Australia.
However he insisted that the resources and backing to drive the brand forward and improve it image in Australia have now been committed by parent company Proton Cars Berhad.
"The centre piece of our plan is to recruit the best dealer network available," said John Startari, adding "we are not going to expand at all cost, it will be a matter of only signing dealers who are committed and eager to be a part of growing the brand.
"Product, pricing and marketing support have received major boosts to ensure that we have the tools to take Proton to the market," said Proton Australia boss John Startari.
The lynchpin of the revitalisation project will be a new product.
This new small sized sedan will be launched in 2010 and will take on the Toyota Corolla and its ilk with a long list of standard features and an improved1.6-litre 4-cylinder petrol engine.
It will have a spacious 413 litre boot, seating for 5 passengers and is expected to be offered with either 4-speed automatic or 5-speed manual transmissions.
The Proton Saga is 4.35 metres long and 1.68 metres wide, ensuring its ease of use in the urban environment.
"Australia's lowest cost sedan will be the cornerstone of our range and Proton will present a value for money proposition from the entry level model [Savvy] to the sporty Satria.
"We will launch a revitalised range with the low cost sedan at a price and specification level that will make it hard to ignore in the market," stated Startari.
The new model will be the Proton Saga, a sedan-based version of a revised Savvy that Proton insists will undercut the Chinese opposition that will begin entering the marketplace.
"It will be significantly different to the current Savvy, it is the same car that was launched in Malaysia recently as the Saga, it is a sedan and is powered by a 1.6-litre Campro engine in place of the 1.2-litre engine in the current Savvy," contined Mr Startari.
It is not yet known whether the Saga name will be used in Australia, but Proton predicts sales of around 2000 units annually.
The company will not announce the pricing or the name of the new car until the launch in 2010.
Proton sales are down in 2009 by almost 40% compared to 2008 and the new 'Saga' compact sedan and company restructure has the potential to turn the company around.
"Proton Cars has an established infrastructure in Australia which we have refined and tuned over the past ten years, we have low overheads and a small but highly skilled workforce factors that will help drive the brand forward," added Mr Startari.
"Lotus handling and engineering, high levels of safety and equipment as well as the fact that Proton has stuck it out in this country are advantages that our new dealers have told us gave the brand appeal.
"There is a car park of around 25,000 Protons on Australian roads, the marque has been established here for 14 years and it's now time to take the brand to a higher level," Mr Startari concluded.
Proton says its aim is to deliver cars with passion and soul that are a delight to drive, but it remains to be seen if the new Saga compact sedan can change the company's image.
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