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Old 1st November 2024, 12:31   #1
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Curious case of Strong Hybrid cars not selling in high numbers even after registration waiver in UP

Curious case of Strong Hybrid cars not selling in high numbers even after registration waiver in UP

I have been tracking the impact of registration waiver on the adoption of strong hybrid cars in Uttar Pradesh. The orders were passed in July 2024 so considerable 3 months including the festival month of October have passed but the sales of strong hybrid are not skyrocketing.

Lets see the data for Uttar Pradesh of the three brands (Honda, Maruti, Toyota) which sell strong hybrid cars.

Sales trend of Strong Hybrids in UP for last 4 months

Curious case of Strong Hybrid cars not selling in high numbers even after registration waiver in UP-salesjulsep24.png

Sales trend of Mild Hybrids in UP for last 4 months

Curious case of Strong Hybrid cars not selling in high numbers even after registration waiver in UP-salesjulsep24nonhybrid.png

*Data for only Honda is non hybrid cars as Honda doesn't have mild hybrid tech

Data Source - Vahan Dashboard

As we can see from the data, the sales of non strong hybrid cars are much more. This is clearly reflecting that the registration waiver is not making the buyer switch the decision.

I tried to analyze the why and it lies in the pricing of the strong hybrid cars being way more than their non strong hybrid counter parts. Strong hybrid cars even get a 2% GST cess benefit. Despite all this the ex-showroom price of strong hybrid car is more than the on-road price of non strong hybrid car.

Example -
  • Toyota Hyryder V Hybrid is Rs.19,99,000 ex-showroom and V AT Neodrive is Rs.19,85,257 on-road Noida
  • Maruti Suzuki Grand Vitara Alpha Plus Hybrid is Rs.19,93,000 and Alpha Smart Hybrid is Rs.19,44,819 on-road Noida
Conclusion - Based on the above evidence providing registration tax waiver on strong hybrid cars is not helping the adoption. The manufacturers really need to look at pricing of strong hybrid if they want to drive adoption.

Last edited by ferrarirules : 1st November 2024 at 12:44.
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Old 1st November 2024, 12:51   #2
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Re: No road tax for hybrids in UP?

Quote:
Originally Posted by ferrarirules View Post
I tried to analyze the why and it lies in the pricing of the hybrid cars being way more than their non strong hybrid counter parts. Strong hybrid cars even get a 2% GST cess benefit. Despite all this the ex-showroom price of strong hybrid car is more than the on-road price of non strong hybrid cars.

Example -
  • Toyota Hyryder V Hybrid is Rs.19,99,000 ex-showroom and V AT Neodrive is Rs.19,85,257 on-road Noida
  • Maruti Suzuki Grand Vitara Alpha Plus Hybrid is Rs.19,93,000 and Alpha Smart Hybrid is Rs.19,44,819 on-road Noida
Conclusion - Based on the above evidence providing registration tax waiver on strong hybrid cars in not helping the adoption. The manufacturers really need to look at pricing of hybrid if they want to drive adoption. [/left]
One of Toyota dealership in Telangana has ready stocks of strong hybrids available when I checked with them last week. This makes me feel that dispatches are not uniform across dealerships from Toyota. There was mediocre discount of ₹60k on strong hybrids and almost no discount on mild hybrids. The price difference between mild hybrid and strong hybrid Hyryder (G AT) is about ₹3 lakhs on ex-showroom price.

The things going against the strong hybrid as per me are
1. Steep upfront price of ₹3lakh on ex-showroom prices which goes even more when you take on-road price into consideration. People who don't have high running will not be able to recover this upfront cost. This is similar to petrol vs diesel and paying higher upfront price of diesel car.
2. Lesser boot space. The reduction of boot space directly impacts touring ability and people may start looking at alternatives which are in the same range but offer better boot space.
3. Lack of premium interior feeling as compared to competitive ICE cars in same price range (Seltos/Creta mid and higher variant vs Hyryder/GrandVitara mid variant)
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Old 4th November 2024, 10:39   #3
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Re: No road tax for hybrids in UP?

Hi, probably one of the top reason people not going for Strong Hybrid is around 300 litre boot space on majority of Strong Hybrid (Toyota-Maruti-Honda). In my opinion a person who spend close to 20 lacs onroad on family SUV or Car, need atleast 400+ litre of boot space.

Both Honda & Maruti AT are offering reasonable 13-14kmpl in city and 17-18kmpl in highway as against 22kmpl in city and 19-20kmpl in highway on Strong Hybrid.

In addition, when someone breach 20 lacs onroad price bracket, there are XUV7OO, Hector, Safari, Scorpio N and now Thar Roxx are available which are segment above the Grand Vitara or Honda City Hybrid.
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Old 4th November 2024, 12:26   #4
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Re: No road tax for hybrids in UP?

Another reason contributing to this trend is that UP has no NCR-type rule, so people still prefer diesel to petrol for high-mileage use. Hybrids are also priced much higher compared to similar ICE cars.

Last edited by navin : 4th November 2024 at 12:49. Reason: typos
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Old 4th November 2024, 16:20   #5
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Re: Curious case of Strong Hybrid cars not selling in high numbers even after registration waiver in

Curious case of Strong Hybrid cars not selling in high numbers even after registration waiver in UP - Posts moved to a new thread.
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Old 4th November 2024, 18:17   #6
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Re: Curious case of Strong Hybrid cars not selling in high numbers even after registration waiver in

I am on a lookout for a CSUV and did check out Hyryder at showroom. Unfortunately TD vehicle was not available that day so couldn't drive it.

Why i am not able to make up my mind on Hyryder (& why maybe these are the issues other potential buyers are not going for string hybrid) -

1) The pricing is too high. Even without Road Tax in UP (I am from UP), the SUV falls in the price range of 20-21 on road. A territory well dominated by Creta & acts as an entry point for bigger cars like XUV etc.

2) The interiors are boring and repetitive. You sit inside a swift and you sit inside a Hyryder, the biggest change you would feel would be the color tone. So no exclusive 20 Lakhs car feel. To top it off, the screen & UI is very basic & The net beneath the sunroof is a major turnoff.

3) People usually buy CSUV for the overall space it offers to cover long distances, be it the front rear or the boot. Toyota-Maruti strong hybrids have boot identical to a hatch.

4) Strong Hybrids are only available in Automatic. There might be a data pool of people who's preference in a car would be mileage but they dont want / or have never driven an automatic. So switching to automatic is a huge ask for them.

5) Honda's fault lies in their marketing. Never have a seen a City Hybrid ad or campaign. Moreover i feel the Sedan trend is on the decline.
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Old 2nd December 2024, 19:34   #7
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Re: Curious case of Strong Hybrid cars not selling in high numbers even after registration waiver in

Adding numbers for November - There is still no uptake of hybrids in UP despite the road tax waiver

Sales trend of Strong Hybrids in UP

Name:  salesjulsep24.png
Views: 450
Size:  42.6 KB

Sales trend of Mild Hybrids in UP

Name:  salesjulsep24nonhybrid.png
Views: 451
Size:  37.0 KB

*Data for Honda is non hybrid cars as Honda doesn't have mild hybrid tech

Source - Vahan Dashboard
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Old 7th December 2024, 19:08   #8
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Re: Curious case of Strong Hybrid cars not selling in high numbers even after registration waiver in

What all mild hybrid cars from maruti and toyota have you included in the comparison, that will reveal the real picture.
Presently hybrids make sense only in Noida and Ghaziabad. Rest of the UP still prefers diesel over hybrids.
Drop in sales of hybrids in November may be due to impact of newer EVs(Windsor and upcoming Mahindra) and discounts being offered by Tata/Mahindra EVs Making them affordable to buyers

Last edited by drsachin : 7th December 2024 at 19:12.
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Old 8th December 2024, 14:04   #9
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Re: Curious case of Strong Hybrid cars not selling in high numbers even after registration waiver in

Quote:
Originally Posted by ferrarirules View Post
Adding numbers for November - There is still no uptake of hybrids in UP despite the road tax waiver
Looking at the increasing discounts on full hybrid grand vitaras and urban cruisers, there's not really an uptake across India. I have always believed that hybrids are only a stop gap solution before going full electric.

That said there's a prevalent question as to what's it that Indian buyers do not find appealing, wether it's the technology per se or wether it's maruti's grand vitaras that doesn't really entice buyers in this segment?!
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Old 14th February 2025, 16:13   #10
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Re: No road tax for hybrids in UP?

Quote:
Originally Posted by GoBabyGo View Post
Hi, probably one of the top reason people not going for Strong Hybrid is around 300 litre boot space on majority of Strong Hybrid (Toyota-Maruti-Honda). In my opinion a person who spend close to 20 lacs onroad on family SUV or Car, need atleast 400+ litre of boot space.

Both Honda & Maruti AT are offering reasonable 13-14kmpl in city and 17-18kmpl in highway as against 22kmpl in city and 19-20kmpl in highway on Strong Hybrid.

In addition, when someone breach 20 lacs onroad price bracket, there are XUV7OO, Hector, Safari, Scorpio N and now Thar Roxx are available which are segment above the Grand Vitara or Honda City Hybrid.
I think people are severely under quoting the FE figures of the hybrid vitara. I've driven one for over 1000kms now, city and highways and the average I got was in the high 20s, and even above 30 on the highways.
The FE in office hours Delhi traffic is around 22-24 currently. There's a big difference between the two in real-life, not to mention that th hybrid powertrain feels much more punchy and responsive compared to the total dog that is the 1.5 AT.
I believe it's the boot space and the myths and fears of the hybrid battery dying that are not doing favours to the Vitara.
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Old 14th February 2025, 18:43   #11
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Re: Curious case of Strong Hybrid cars not selling in high numbers even after registration waiver in

Now that I own both Toyota hyryder V-Hybrid and MG Windsor EV. I can say that there is a case for both in Indian Scenario specially on North India Where electricity infrastructure is poor compared to South India.

The reasons for low sales could be.
1. I still feel that Hyryder/ Grabs Vitara Hybrid is overpriced despite subsidies, more so after the launch of Windsor/ Mahindra BE 6. I purchased Hyryder before that UP government subsidies were implemented. I hope to get back atleast Registration fee in UP after a petition in High court. I have driven around 40000kms and saved around 2 Lakh rupees in petrol. Well indeed GST advantage that the EVs have is still helping them.

2. Rear seat space and comfort is definitely lacking.
3. Boot space for those who frequent road Trips.
4. Perception of "Maruti quality" for a car which is priced more than 15lakh.
5. Non enthusiastic engines.
.

Now that I own both. I personally feel all those who are buying a petrol car in the times that we have strong hybrids and EVs are buying dated technologies. I have driven Enthusiastic performance cars such as Hyundai Verna CRDI diesels but these no longer thrill me. After you cross 40 years of age and driving long distances daily you no longer appreciate " Performance" cars buy prefer "comfort orientated " "Reliable cars".
This is where hyryder/ Grand vitara help.
1. Brilliant suspension set up.
2. Comfort of Range without needing frequent fuel stops. I can drive almost 1100-1300 kms before fuel stops.
3. 25-30kms/litre in city condition. And driving full 15years unlike diesels in Delhi NCR.
4. Brilliant AC.
5. After 5 Star safety rating of Maruti Dzire. There is a hope that Grand vitara//Hyryder too will be rated similarly.
6. Toyota service experience is no match to anyone else.
7. Zero complaints so far in 40000kms of driving. This has not happened with Hyundai or German cars that I have owned before. If you check global experiences. Hybrid automatic gear boxes have proven to be the most reliable amongst all automatics.
8. Service costs of strong hybrids are lower than conventional petrol cars.

Many of the above advantages are known only to a person who actually own a strong hybrid car.

Now regarding Windsor EV. Although I feel I have had a great deal specially as long as the subsidies are there. There a concerns which I can feel after just 1000kms pf ownership.
I am driving 70kms everyday , charging at home on alternate days, great space.Nics upmarket interiors.
Concerns.
1. Range anxiety has already set in. I am always cautions regarding when to charge and how long I can drive before I have to look for charger.
It's actually not range anxiety but "Charger Anxiety". In North India electricity Infrastructure is poor in most states. Although chargers are coming up but it's not actually lack of charge but anxiety of "Functional fast charger" which is always there. This charger anxiety will always be there even of your car comes with 1000kms of range.
We were planning a road trip to " Kumbh Mela" in Windsor EV. There are number of chargers in agra, Kanpur and Lucknow. So chargers are there. But you check functionality in various apps. You get to see that at a time hardly 20-30% are functional. Even those such as Statiq/Jio BP/ Adani which are perceived to be reliable are found to be non functional due to " No electricity". So finally dropped the idea.
Another anxiety is " Earthing limitations". Although you may find that the hotel you stay in is allowing overnight charging through 15amps but you may still not be able to charge thanks to " No proper earthing" at most places.
2. EVs usually have stiffer suspension setups.
3. Charge installation anxiety. Most society complexes have have RWAs which don't allow charger installation in parkings.

Last edited by drsachin : 14th February 2025 at 18:56.
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Old 14th February 2025, 19:14   #12
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Re: Curious case of Strong Hybrid cars not selling in high numbers even after registration waiver in

A lot of hybrid sales actually being recorded are of Delhi NCR people getting their cars on UP number from UP dealers, thereby avoiding road tax. Actual UP numbers will be much lower. It’s the same situation with Chandigarh, where Punjab, Haryana and Himachal people get their cars registered for the same reason. Fact is that hybrid options are much more limited than pure EV options, and the very much overpriced even after the road tax waiver. You calculate the extra expense on a Hycross VX after road tax waiver and a Hycross GX(O), and the petrol only car is still 3-4L cheaper. Ditto for the Hyryder/Grand Vitara. And in their case, the overall product isn’t class leading either.

The extra tax on hybrid vehicles just kills the cost calculation. Road tax waiver, a step in the right direction, is just not enough to swing the math.

Last edited by Shreyans_Jain : 14th February 2025 at 19:15.
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Old 14th February 2025, 22:43   #13
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Re: Curious case of Strong Hybrid cars not selling in high numbers even after registration waiver in

One key point could be that hybrids lack boot space. And I will never compromise space with fuel economy. What is the point of spending 20l and above if one has to still worry about space for long road trips.
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Old 14th February 2025, 23:53   #14
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Re: Curious case of Strong Hybrid cars not selling in high numbers even after registration waiver in

I won't buy a hybrid again. Look at these stats.

Curious case of Strong Hybrid cars not selling in high numbers even after registration waiver in UP-screenshot_20250214233806325_com.kajda.fuelio.jpg

Curious case of Strong Hybrid cars not selling in high numbers even after registration waiver in UP-screenshot_20250214233812320_com.kajda.fuelio.jpg

Curious case of Strong Hybrid cars not selling in high numbers even after registration waiver in UP-screenshot_20250214235756973_com.kajda.fuelio.jpg

.

Even though my daily running is 80kms a day, because of some off season months my average daily running is just 50kms.


Non hybrid car per km charge - 100(rs per liter) /11(kmpl) = 9rs.
Hybrid car per km charge - 4.15rs(attachment)

To recover the extra cost i paid for the battery ie- 3 lakh rupees, I have to drive the car for 60000kms to break even and 120000 kms to save another 3 lakhs.

120000 kms / 50kms per day = 2400 days = 6.5 years.

In another 1.5 years, I need to pay 2-3 lakhs for battery replacement. what's the benefit?

Add to this-
* interest on loan that I need to pay for the 3 lakhs extra I paid.
* I am bound by the service center so that the warranty stays intact.
* We had to take two cars for 5 days trip because of the pathetic boot space in this car.

Last edited by shikh_oberoi : 14th February 2025 at 23:58.
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Old 15th February 2025, 17:27   #15
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Re: Curious case of Strong Hybrid cars not selling in high numbers even after registration waiver in

The registration fees for new cars is a miniscule amount of just upto Rs 5000/- in U.P. and so also in most states. Waiver of registration fees is a small crumb offered to entice buyers. The fatty chunks of a new car's prices include its road tax, insurance (compulsory for 3 years for all brand new cars all over India effective Sept 2018) and the GST.
-No states will ever offer discounts on road taxes as that's one of their major sources of revenue.
-Insurance discounts are unheard of.
- No GST discounts are offered even for new car buys in lieu of a scrapped car as had been earlier assured by the government in 2021. A hollow assurance! GST on motor vehicles forms a major source of revenue for both the Central and State governments.

With such roles being played by governments and the insurers, one cannot hope buyers to make a beeline at showrooms to beef up sales figures of hybrids.
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