Creation of “J10” for 7 million Euros astonished French Peugeot
While carrying on its contract manufacturing activities for Peugeot, Citroen, Renault Trucks and Hyundai, as a company aiming to grow by means of its own brand,Karsan renewed the J9 minibus that is being produced since 1981 and put it on market under the name of J10 with Karsan brand. J10 which is developed with an investment of 7 million Euros made jealous even the French Peugeot who sold its intellectual property rights to Karsan 4 years ago.
It is developed in 18 months by the Turkish team of 60 personnel
J10 is developed by a team of 60 persons in consequence of a work lasting for 18 months performed by Karsan and its affiliate company Hexagon and is renewed by 70 percent. Karsan is planning to produce 2 thousand J10’s till the end of this year and it will make 3 thousand productions next year. This year Karsan’s export target for J10 is 200 vehicles and 1 thousand in the coming year. Interior and exterior design of the J10 is completely renewed, the most important innovation is its engine produced in conformity with Euro 4 emission norms. The new engine of 96 horsepower purchased from Iveco increases the performance with lower gasoline consumption. Karsan evaluated a lower price for J10 compared to J9 and put it on the market for 47-55 thousand TL.
We are paddling our own canoe
Karsan’s CEO Murat Selek pointed out that Karsan is carrying on activities with respect to several projects within the scope of its new vision and they are aiming at taking place at all segments with Karsan brand especially at passenger transportation sector. Selek stated that this year they set a serious growth target and said, “We are planning to increase our total sales from 11 thousand to 25 thousand and our endorsement from 300 million liras to 600 million liras.” Selek reminded that most of the company managers, board of directors being at the first place, have worked at the automotive companies of Koç Group for a long time and added: “The foreign partnerships do not let you to act by yourself. You can work within the limits your partner sets for you. We are paddling our own canoe.”
In 1998, after İnan Kıraç, son-in-law of Vehbi Koç bought the majority of its shares, Karsan split off the Koç Group to be incorporated in Kıraça Holding and since then it made a rapid progress on its way becoming a brand in the automotive industry. As the first and only multi brand vehicle producer in Turkey, Karsan produces Peugeot Partner, Citroen Berlingo, Hyundai HD35/HD75 light trucks and Renault Trucks Premium long distance heavy trucks at its factory in Bursa and it silently creates a Turkish brand in automotive sector. Karsan carries on contract manufacturing for the international brands; however it aims to grow by means of its own brand and it took its first important step in branding with the production of “J10” minibus developed with the assistance of Turkish engineers and designers with an investment of 7 million Euros.
Peugeot is Regretful
After buying the intellectual property rights of J9 produced by Karsan for Peugeot brand until 2006 for 25 years, Karsan carried on the production and signed its name to the first model produced with its own brand in real terms. The fifth generation J10 developed in 18 months made jealous even the French Peugeot who sold its intellectual property rights to Karsan 4 years ago. The Director of Karsan Marketing Company Vançın Kitapçı said that after seeing the new J10, the French company showed regret for transferring the intellectual property rights of the vehicle.
Kitapçı stated that J10 is the first model put on the market with Karsan brand in real terms and added the followings: “In 2006, we bought all of the intellectual property rights of J9 from Peugeot. The French believed that J9 had completed its life and it did not have a potential. For this reason they transferred its intellectual property rights. For some time we continued its sale with Peugeot brand, but then they did not want us to use their brand any longer. We have been selling J9 with Karsan brand for the last 3 years. Today Peugeot is very regretful for the current situation. Because J9 has a 25 percent market share in its class. While the equivalent models in the same class sell 400-500 vehicles, we sell more than 3 thousand. I believe that they became even more regretful.”
We are entering in Russia
Kitapçı indicated that they are aiming at increasing the effectiveness of the J Series, which are the only products developed for the purpose of transporting passengers in the service transportation class, in the fields of student and personnel transportation with J10. Kitapçı said: “Our market share is 23 percent. We are planning to increase our share by 25 percent by means of the new J10. Besides, we are aiming at performing our current domestic market activities also in the foreign markets. We made our first attempt for J10 exportation in Russia. We participated in Busworld fair organized for the first time in Russia with J10 and we had very promising feedbacks. In addition, we are planning to sell the new model in Iran, Syria and African countries.”