Regional Strategy: MEAI


NAFTA
LATAM
EUROPE
MEAI
RUSSIA
APAC


Market overview

++4.9% the average GDP growth rate per year expected between 2013 and 2017.


Vehicle parc

The number of vehicles in use is definitely on the rise (2013-17 CAGR +8.3%), with an increase in registrations (2013-17 CAGR +7.1%). Premium and Prestige are the segments set to grow the most.
Truck sales are due to increase with CAGR of 11.5% in the 2013-17 period.



Tyre market

The Car Tyre market is growing strongly with an expected CAGR of +6.6% in the 2013-17 period. 65% the weight of Replacement over the total. The Premium segment is expected to grow more than the overall market (2013-17 CAGR 8%). Demand for Truck Tyres is also due to rise: +2.4% the expected average increase per year in the 2013-17 period.


Strategy

Pirelli in MEAI

  • Market leader in the Industrial Business (61% the weight of Industrial revenues over the total of the Region) in the key markets, namely Turkey and Egypt, and vigorously expanding in the Premium Consumer (Car Premium volumes +20% yoy);
  • 2 plants: 1 in Egypt for Truck), 1 in Turkey for Car, Truck and Motorsport Tyres;
  • Strong Brand: #1 in dealer satisfaction in Turkey in 2013;
  • 8% is the Region’s contribution to the Group’s revenues.

TARGET: CONFIRMING OUR LEADERSHIP IN INDUSTRIAL BUSINESS KEY MARKETS, CAPTURING EXPANSION IN THE CAR PREMIUM AND SUPERPREMIUM MARKETS


TRUCK

  • Completion of the product range and upgrade of the production mix (Serie 01: 60% of Truck production in Turkey in 2017 vs. 25% in 2013);
  • Consolidation of partnerships with fleets, through Pirelli Fleet Solutions, an increasingly thorough service offering: Cyber Fleet, Retreading, assistance through Pirelli Truck Service Centers on strategic routes;
  • Increase of the sales force and start-up of the Truck Business in South Africa.

CAR

  • Leveraging the growing expansion of European Premium/Prestige OEMs in the Region with a specific focus on OE Pull-through;
  • Development of the distribution channel: over the Plan horizon, addition of 189 POSs concentrated in areas with a high Premium and Superpremium potential (geomarketing);
  • Stronger presence and direct partnerships with Premium car dealers (BMW, Porsche) and independent dealers.

2013-2016 Targets


 

Ultima revisione: 19 Dic 2013