By: Samuel Ee

Singapore Technologies Kinetics has spent $2 million on a service centre aimed at owners of older BMW and Mercedes-Benz cars.

Called Star Black, the niche centre will offer routine servicing and grooming - services that authorised BMW and Mercedes-Benz dealers already offer.

Star Black wants to capture the BMW and Mercedes-Benz market because they 'have consistently been the two most popular continental brands in Singapore for the past 10 years', says manager Pee Yap Aik.

'Staying focused on these upmarket brands will also boost our technical skill set to a considerably higher level and facilitate greater specialisation,' he adds. 'We don't want to be a jack of all trades and master of none.'

Star Black has spent its $2 million on engine diagnostic equipment and other items such as a Celette chassis alignment bench, jig tower and spot welding machine to work on cars with an aluminium chassis.

The company is part of Star Automotive, the commercial arm of ST Kinetics. ST Kinetics is the land systems and speciality vehicles arm of ST Engineering. Star Automotive has more than 30 years of experience in the local car sector, performing accident repairs, workshop services and fleet maintenance among other things. It services an average of 600 vehicles a month.

Mr Pee says Star Black is aiming at owners with three to seven-year-old cars - that is, those whose warranties have run out. Parallel imported Mercs and Beemers are also eyed.

But why would these car owners choose Star Black over authorised distributors or smaller, independent workshops?

'Star Black offers a service standard and quality that is easily comparable with the authorised agents,' says Mr Pee, referring to its workshop equipment, systems and trained staff.

According to him, other advantages are 'highly competitive prices' and faster turnaround time.

The Star Black programme offers one and two-year memberships costing between $800 and $3,000, though walk-in customers are still welcome at its newly opened centre in Portsdown Road.

But Mr Pee explains that membership does have its privileges, with members enjoying greater cost savings and services such as car pick-up and delivery.

'The agents have been, by default, the workshop of choice for many owners of Mercedes-Benz and BMW cars,' he says.

This, he claims, is because there has not been an independent workshop strong enough to provide the level of service quality and customer confidence that motorists tend to associate with the agents.

'With the launch of Star Black, we aim to change the traditional mindset that only the agents can provide quality service. Motorists now have a new alternative,' he says.

This article was first published in The Business Times on 02 July, 2008