What Failed for Perodua in Their Marketing — And What the Automotive Industry Must Learn

What Failed for Perodua in Their Marketing — And What the Automotive Industry Must Learn

What Failed for Perodua in Their Marketing — And What the Automotive Industry Must Learn

By Amarjeet Singh @ AJ
Marketing All-Rounder (2-Wheel & 4-Wheel)

The Shariah-use controversy is more than a documentation error; it exposes deeper marketing and organisational failures that the entire automotive industry should pay attention to.

1. Failure of Internal Alignment — Marketing, Legal, Shariah & Product Not Talking to Each Other

Great brands fail not because of bad products, but because teams operate in silos.

Perodua’s marketing department spoke about “Malaysia’s first homegrown EV”.
Legal inserted technical clauses.
Shariah governance inserted compliance language.
Product teams focused on battery leasing.
PR was left to clean the mess.

This fragmentation created a narrative vacuum — and social media filled it within seconds.

Lesson:
Automotive companies must build cross-functional review councils. No customer-facing document should go out unless Marketing, PR, Legal, Product and Risk all sign off together.

2. Misjudging Public Sentiment — A Blind Spot in Market Reading

Perodua assumed Malaysians would interpret “Shariah-compliant” as “Shariah financing”.

But the public interpreted it as “Shariah lifestyle policing”.

This happens when marketers rely on internal assumptions rather than real-world testing.

Lesson:
A simple A/B test with 50 customers would have revealed the backlash instantly.
Market intelligence must be continuous, not reactive.

3. Over-claiming “Home-Grown” Without Backing the Claim

When you market an EV as “Malaysia’s first homegrown”, you raise expectations:

  • Platform origins
  • Battery technology
  • Intellectual property
  • Engineering footprint

Once the public noticed the Toyota/Daihatsu lineage, the trust weakened.

Lesson:
Tell the truth confidently.
If it’s co-developed, say so.
If it’s adapted, explain how you localised it.
Today’s customers are too informed for cosmetic claims.

4. Poor Crisis Response — Slow, Defensive, Not Human Enough

The official statement said “miscommunication”, but the public wanted:

  • Who approved it
  • What governance failed
  • What corrective actions
  • What new checks are in place

In crisis management:

  • Accountability must be visible,
  • Corrections must be transparent,
  • Apologies must feel sincere.

Lesson:
In 2025, silence and generic apologies look like guilt.
Authenticity is currency.

5. BaaS (Battery-as-a-Service) Poorly Explained

Battery leasing can be a smart model.

Renault, NIO, and several Chinese EV makers use it successfully.

But Perodua failed to explain:

  • Why the battery remains company-owned
  • How much customers save
  • How batteries are recycled
  • How customers retain resale value
  • Why Malaysian roads need this model

Because the story wasn’t told, the public told their own story — and it was negative.

Lesson:
If your business model is new, educate before selling.
Explain in videos, infographics, animations, simple language.

What Other Automotive Brands in Malaysia Must Learn

1. Be Obsessed with Clarity

Every word matters.
A single clause can cost you millions in brand equity.

Clarity = trust.
Ambiguity = backlash.

2. Never Undervalue Social Cohesion in Marketing

Malaysia is plural.
Brands must be plural.

Avoid exclusive language.
Avoid identity-based conditions.
Avoid moral policing imagery or wording.

Your customer base is the entire Malaysia, not segments of it.

3. Build a Strong “Marketing Intelligence Room”

Automotive companies should track:

  • Social discourse
  • Political sensitivities
  • Consumer psychology
  • Cultural trends
  • Religious influence patterns
  • Youth perspectives

Marketing today is 50% data, 50% human understanding.

4. Train All Departments on Cultural & Religious Sensitivity

Not just PR.
Not just marketing.

Product managers, legal drafters, engineers, finance teams — everyone must understand Malaysia’s diversity.

This is part of brand safety.

5. Tell the Truth About Your Technology

If it’s Geely, say Geely.
If it’s Daihatsu, say Daihatsu.
If it’s Malaysian-designed, provide proof.

Consumers admire honesty more than hype.

Additional Areas Automotive Brands Must Focus On (to Sell in 2025 & Beyond)

1. Customer Education, Not Just Promotions

EVs are still new for most Malaysians.
Teach, don’t just sell.

  • How to charge
  • How to maintain
  • How batteries degrade
  • How residual value works
  • Cost of ownership vs petrol cars

Educated customers are less resistant and more loyal.

2. Digital-First Engagement

Car buyers now check:

  • TikTok / Instagram short videos
  • YouTube first drives
  • WhatsApp broadcast messages
  • Reddit / Lowyat discussions

Automotive brands need:

  • daily micro-content
  • transparent behind-the-scenes videos
  • CEO explainer videos
  • social listening teams
  • fast fact-checking

3. Experience-Based Marketing

People don’t just buy cars — they buy the experience.

Brands must invest in:

  • Test-drive carnivals
  • EV roadshows
  • Immersive technology displays
  • Family-friendly events
  • Lifestyle storytelling

Create emotional connection.
Cars are emotional decisions.

4. After-Sales as a Marketing Weapon

Malaysians judge brands by:

  • how they handle claims
  • how fast parts arrive
  • service centre treatment
  • transparency in charges
  • courtesy, care & convenience

Great after-sales = lifelong customer.

5. Transparency in Pricing

No hidden fees.
No “battery not included” surprises.
No vague rebates.

A transparent brand attracts the middle class — and they are the largest car-buying segment.

In Summary — Perodua Made One Big Mistake, but the Lesson Is for Everyone

Perodua’s clause did not fail because of religion.
It failed because of poor wording, poor oversight, poor sensitivity, and poor communication.

In Malaysia’s multicultural landscape, any product — especially national brands — must be engineered with technical excellence and cultural intelligence.

For all automotive companies, the message is simple:

Build good cars, but build even better communication.
Technical innovation wins markets.
Cultural sensitivity wins the nation.

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