[volkman10]

Key statistics of 2017 Indian Auto sales,

[volkman10]

Mileage figures a critical buying criteria for the Indian ' budget'customers!

- Manufacturers have won half the game of pursuing consumer’s mind to buy their product, especially in budget conscious hatchback segment.

-AMT technology has not only made owning automatic more affordable but are equally fuel efficient

-Some cars having CVT or DSG transmission technology are more fuel efficient than their manual counterpart

-High compression ratio makes diesel engine more fuel efficient, but car comes at a price premium



Link

[volkman10]

SUV's popularity was the common growth driver in 2017 among BRICS markets. However Premium brands take a hit in some markets.

[volkman10]

The 5 seater sedan has witnessed a series of new launches, as opposed to activity in 6-7-8 seater segment. Even the players in the shared economy tend to prefer 5 seaters.

[volkman10]

Indian car sales - model wise best sellers for 2015- 2018 ( Jan - Apr)

- Maruti Suzuki's Dzire is now the top selling car

-Maruti suzuki shifts gears- now sells more cars in the 5 lakh+ range

-Hyundai seems successful in the Elite+ Creta range

-Renault is unable to sustain KWID's success

- Tata Motors has a commendable turn around







Source:Auto Punditz

[volkman10]

Jan - July 2018 the story so far!

- Passenger vehicle market has registered double digit growth of 10.6%

- Top 30 models command 87% market share

- In 2018, Indian PV mass market has crowned Maruti Dzire as the new King

- All Maruti Suzuki products made it to top 30! (Except Gypsy)

- Tata is doing well with Tiago and Nexon, Tigor .

- Mahindra is struggling to retain its products in top 30 slot



Victim of GST - Toyota Camry Hybrid



Link

[volkman10]

2018 : Customer buying trends

- 13% of new-vehicle buyers cite mileage as an influential criteria

- 12 % chose vehicle performance

- 10 % on latest technology features

- 17% of shoppers reject vehicles owing to lower FE in-spite of providing better features, performance or options

- Only 59% of shoppers visited the dealership, compared with 72% last year.

- Test drive before purchase increases, 45% this year, compared with 38% in 2017

- New-vehicle buyers used the internet to search for vehicle information (54% in 2018 vs. 50% in 2017)

- 66 % of buyers are influenced by reference ownership by friends and family

- SUV remains the most preferred body style - 1 in 4 go for SUV styling

- In SUV's - vehicle performance, exterior styling, safety and good fuel economy are the most influential purchase reasons



Link

[volkman10]

Premium hatchbacks are now the new mass market cars!


The small, entry-level, no-frills hatchback that drove sales for India’s automobile industry for many years isn’t what today’s aspirational Indian customer wants. He is ready to spend a couple of lakhs more to buy a larger hatch, compact sedan or an SUV.

In 2018, sales of entry-level cars dropped by double digits.

Lack of choice could also be hurting the demand for entry-level cars. Sales are expected to improve in the segment this year on the back of new launches.

Link

[tj123]

Thanks for sharing the insights on the evolving preferences of the newer generation. One may also add details around the transmission preferences MT Vs AT and its sub categories (AMT,CVT, TC's, DSG's etc.). I am sure in the next decade AT will overtake the manual transmission in a big way as it did in America.

[volkman10]

In 2018 SUV's ruled the world in almost all regions - SUV's count for almost half of passenger car sales in Russia and USA. They still have a big growth potential in Latin America, India and Asia-Pacific!

[volkman10]

Global sales variation - Body Style

[volkman10]

Body Style trend - H1 FY20 ( April to Sept.-19)

- India is known for the Hatchback dominance, also known for the creation of the < 4m segment which were highly influenced by the policies.

- As on H1 FY20; 46% of the cars sales are from hatchback segment (Entry hatch, B & B+)

- The diminishing Sedan segment shows a mere 16%

- SUV's now contribute for 24% of car sales

-MUV sales accumulate to 15% of the overall sales

Segment- wise offerings considered for the analysis:



Trends:

- Every hatchback sold today sees a biggest drop in past 5 years.

- B-segment has the biggest pie and in fact one of the biggest list of models on sale. A lot of customers have upgraded from the basic

- Entry-hatch & B-segment to B+ and is a definitive projection of how the Indian customers have upgraded over time.

-Sedans are losing sheen over time and the buyers are slowly migrating to the SUVs.

-SUVs+MUVs contribute to 38% of the overall sales! A trend expected to spiral as more offerings in the anvil.



Link

[volkman10]

Brand Image - Mass and PREMIUM segments in the Indian market?

Models sold by the respective OEMs in the Indian market and bifurcated it into different price range (0L-5L; 5L-15L and >15L).

-Maruti has never been able to make a mark in ₹15+ Lakh price. Will the perception change it change when the Toyota-Suzuki products kick in in coming years.

-Even in 2019; 100% of the portfolio of Maruti Suzuki were less than ₹15 Lakh price point and 36% of the cars sold by Maruti fared in ₹0L-5L price range.

-Maruti did try to command premium by launching a new channel ‘Nexa’; but surprisingly not a single model was launched through the channel which was priced over ₹15L!

-With success of Kwid and Triber, Renault has moved into high volume and low margin segment, major downside of this strategy could be brand image, free cash flow generation, dealer profitability and pricing power in long term

-Renault had a promising launch in the Indian market where its first launch ‘Duster’ sold in good numbers. However; its decision to venture into entry-hatches (Kwid) proved an un-viable decision. While Duster’s brand equity dropped over years; the higher priced products like Captur failed to make an impact.

-Hyundai has been time and again trying to bring in premium products namely Elantra, Santa Fe, Tucson; etc but has faced limited success till date. However; both in terms of attempt & success – Hyundai fared better than Maruti.

-Mahindra, Tata & Ford have been able to sell butch SUVs in the ₹15+ L price range. However; the volumes as such needs to pull up to make a significant case

-VW & Honda looks like they’ve lost the path. Honda had launched iconic products like Accord, Civic, CR-V in its yesteryear; but on the pursuit for volumes it lost the ‘premium’ tag that the brand commanded.

-Similarly VW seems to have lost its mojo – Only 5% of the cars it sold were in >₹15L price range

-Despite Tata Nano inspired cheap products, like Etios & Liva, Toyota never lost its premium luster, it seems Corolla, Fortuner and Innova have had firmly rooted Toyota’s premium image in India – quite an interesting consumer behavior

Link

[volkman10]

Demand for SUV body style is soaring high!




- SUV sales have shot up to 34 percent in Q1 CY2021 and it is the first time that SUV body style has crossed 30 percent share!

-Sub 4m monocoque SUV/Crossover segment has become very crowded

- Nissan Magnite and Renault Kiger, has made a niche-budget-sub segment for themselves

- Move up in size, Hyundai-KIA’s non-identical twins has decimated competition and garnered 90% segment size

- Hector loaded with all bells and whistles dominates the large monocoque SUV segment started by XUV500 in 2011

- Harrier and New Safari together command an impressive 44% share

-Large and true blue ladder chassis SUV segment is still dominated by Toyota Fortuner

-MG Gloster, as a challenger, has eaten into Ford Endeavour’s pie share











Link

[TorqueIndia]

Mid SUV sales on a roll with new launches and updates, diesel only Harrier twins charges ahead. Jeep Compass facelift is working well and even overtakes XUV500 in Q1 2021.
Source : https://www.autopunditz.com