Why Would Anyone Want To Buy A C-Segment Sedan Anymore?

• Shrinking demand for sedans
• Hard time fending itself against SUVs and Crossovers
• Manufacturers shifting focus from sedan to SUVs

When Honda Malaysia pulled the wraps off the 10^th-generation Honda Civic (FC) in June 2016, it went on to chart unprecedented success in the shrinking C-segment sedan space. The Civic FC single-handedly revitalised the segment and at one point led the segment with more than 68% market share.

The Civic remains the most popular model in the segment, having sold more than 16,000 units of the family sedan in 2018 and continues to lead the non-national C-segment sedan for the first half of 2019.

However, in today’s market space, C-segment sedans have lost its appeal among customers with its target buyers (young executives and families) switching over to the attractive packaging that SUVs and crossovers can offer. Larger, more practical and equally well-equipped, all for the same amount of money.

This is also the reason why Edaran Tan Chong Motors (ETCM) has discontinued the Nissan Sylphy and Bermaz Motor now only locally assembles SUVs and choose to offer the new Mazda 3 as a fully imported model.

Take the HR-V for example, it is similarly equipped as the Civic but has the added benefit of higher ground clearance, better outward visibility and most importantly, a tailgate that’s easier to fit larger luggage and child strollers.

The appeal of the C-segment sedans in Malaysia as a whole diminished even further with the launch of the Proton X70. A feature-packed C-segment SUV for under RM 123,000, why would anyone want a low riding sedan anymore?

C-segment sedans have a tough time convincing people to look their way and manufacturers are taking a different strategy and approach to their sedan models. Mazda has positioned its Mazda 3 to go upmarket in terms of quality and price, hoping to give the model its differentiating point.

Not only that, B-segment sedans these days are on par with larger segments in space, technology and sophistication, all for a much lower price tag. For some, it’s the appeal of a sportier, upmarket and expensive car as D-segments have the unappealing uncle’s car image. For others, it is as simple as a sedan being easier to manage (size-wise) than a large SUV.