Isuzu East Africa and CFAO Mobility Kenya have taken a combined 80.2 percent market share in the country’s new vehicle market, benefitting from substantial shrinkage of their rivals in a segment that has posted an overall sales decline.
Isuzu had grown its market share to 47.5 percent in the 11 months to November 2024, up from 39.1 percent in the whole of 2020 according to Kenya Motor Industry Association (KMIA) data capturing both exports and local sales.
CFAO, the product of the merger of the former DT Dobie and Toyota Kenya, also raised its market share over the five years to 32.7 percent from 27.9 percent.
This means that their combined market share has jumped by 13.2 percentage points from 67 percent in the period when CMC Holdings exited the business and other rivals including Simba Corp, Tata Africa and Crown Motors lost ground.
The changes in the industry’s market share structure has occurred against the backdrop of weak sales which have declined from a peak of 19,253 units in 2015.
Total sales in the 11 months to November 2024 stood at 10,160 units, indicating that the industry’s full year performance will trail 2023’s orders of 11,769 units.
CMC last year exited the motor vehicle sales business to focus on agricultural equipment after a steady loss of distributorship agreements that was once the most diverse in the sector.
The dealer was previously the fourth largest with a market share of eight percent drawn from sales of models from Jaguar Land Rover, Volkswagen, Ford, Mazda and Suzuki among other automakers.
The brands it used to represent are now scattered across multiple dealers including CFAO, Inchcape Kenya and Caetano Kenya.
While the entire industry’s sales are down from the peak, Isuzu and CFAO have lost at a relatively smaller pace in what has seen them entrench their leadership.
Isuzu has reaped from the wide popularity of its namesake commercial vehicles –buses, pick-ups and trucks. The dealer, which also sells an Isuzu sports utility vehicle (SUV), expanded its stable this year by taking on the UD Trucks franchise for which it is setting up a national distribution and service network.
The dealer sold 4,835 vehicles in the 11-month period, falling below the 5,144 units it sold in a similar period last year.
CFAO, which used to be the market leader before it was overtaken by Isuzu, has relied on amalgamation of diverse brands to entrench its position as the second largest dealer.
Besides bringing together the brands previously sold separately by DT Dobie and Toyota Kenya including Mercedes and Volkswagen, the company also added new franchise deals such as Suzuki and Sinotruk.
CFAO sold 3,324 units in the 11-month period, slightly lower than the 3,401 units it moved a year earlier.
Besides CMC, two other luxury dealers (Bentley Nairobi and Porsche Centre Nairobi) also exited the industry.
