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Jean Van der hasselt - Inchcape

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Automotive OverviewOne of the largest countriesVast country, lowpopulation densityGreat potential for carpenetration growthPopulation preferences4x4 segment popularityPetrol Dominance140m peopleAround 17% of population live in 2 major regions –Moscow and St. PetersburgPopulation density = 8.4 people per sq km (vs 255in UK)243 registered cars per 1000 people(vs 494 in UK)In Russia car ownership is viewed as indicator ofsocial status, thus there is stable interest forpremium brands car segmentPoor road quality and extreme weather conditions4x4 viewed as sign of wealthLow fuel pricesPoor quality of dieselNo taxation initiatives on fuel economyRising personal wealth drives interest in new car purchasesSource: IMF/JD Power

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