Hino goes into the commuter bus business

"Hino has been a leading supplier of chassis for commuter buses for many years, but this is the first time we have a formal, long-term tie-up with Busmark 2000 and will now order and stock a range of buses to provide quicker delivery to our customers," announced the vice-president of Hino SA, Dr Casper Kruger.

"What is really exciting is that Busmark has developed a new range of Hino 300-based buses which uses high-strength light alloys to bring down the mass of the vehicles and so provide additional carrying capacity. Although less and lighter materials are used, the high strength of these super alloys ensures that the structural integrity of the buses is retained, which is most important as they are people carriers.

"Using the new construction methods, the number of passengers that can be carried in the new Hino 814-based bus increases from 27 to 34, while the Hino 814 Automatic derivative can carry four more passengers, going up to 31 and the Hino 915-derived model also goes up by four seats to 35, while there are plans to develop a longer wheelbase model that will lift carrying capacity to 39 seats.

"These new buses also feature attractive new looks that are also aerodynamic and the benefit will be an 8% fuel saving with lower emissions, which results in savings on the cost per passenger transported," added Dr Kruger.

Toyota and Hino dealers involved

The large network of Toyota dealers, in addition to the exclusive Hino dealers, will all be involved in marketing the Hino Busmark 2000 commuter buses as they are ideal for schools and similar institutions, as well as for supplying on government and other tenders.

In the past there was a delay of several weeks between ordering a bus and taking delivery, and now Kruger says that the new partnership between the two companies will have buses being built for stock, so supply will be much better than was the case previously.

When questioned as to whether Hino would enter the luxury coach market in SA, the vice-president said that this market was well supplied with product and very competitive, and it did not make business sense for Hino to become yet another competitor in a segment with a comparatively small annual sales volume.

Significant investments being made by dealers

The Hino vice-president was very upbeat when he gave details of the significant investments being made by dealers in new and upgraded premises. Forty-three percent of the Hino dealer network have invested, or will invest, in their premises in the period 2010 to 2014, with the total investment over the period running to well over 100 million rand.

"What is pleasing is this display of confidence in the long-term prospects of the Hino brand, particularly as many of these dealerships belong to major groups and these executives have to justify to the board for approval of substantial investments. This means that they see the expansion in their operations as good business," said Dr Kruger. "What is also encouraging is that, in the main, the decision to renew or upgrade facilities was made by the dealers themselves with little urging from us."

The Hino executive explained that building a new, standalone facility with drive-through work bays cost between R15 million and R25 million, while upgrades with four to five double bays usually cost between R4 million to 6-million.

The dealerships in Middelburg, Nelspruit and Piet Retief were upgraded in the 2010/11 period, while seven more were erected or upgraded in 2012, located in East London, Okahandja, Lichtenburg, Empangeni, Ladysmith, West Rand and Francistown.

This year no fewer than nine Hino outlets will be built or upgraded, being those in Lydenburg, Wadeville (previously the Tyco facility), Oranje (Bloemfontein), Kungwini (Bronkhorstspruit), Isando (a new dealer and the first in the Super Group), Midrand, Windhoek (Pupkewitz), Malalane and Potchefstroom. These developments alone will cost in the region of R60 million. At least three more dealerships will be built or upgraded in 2014.

Dr Kruger said that besides the bus development, Hino SA would introduce a 500 Series tipper to the product line-up next month. Based on the 1626 model, the 15.5-ton GVM tipper will be priced at a competitive R571 771 and will fill an important gap in the range. Later in the year there will be some changes to the 700 Series in the extra-heavy category with the addition of 8x4 and freight carrier models.

The Hino vice-president went on to say that further product news would be revealed at the Johannesburg International Motor Show in October.