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2023 Indian car market scan; Average car sales price & revenue

12th September 2024, 10:33 by Rahul Nagaraj

SUVs/Crossovers have the highest average car sales price of ₹13.9 Lakh, followed by MUVs/MPVs at ₹12.6 Lakh.

BHPian sharmanova recently shared this with other enthusiasts:

Disclaimer: The whole format of this article is inspired by BHPian pqr's 2022 Analysis.
Link to his/her thread: 2022 Indian passenger vehicle market scan : Average car sales price & revenue

2023 Indian passenger vehicle market: Average car sales price & revenue

Average car sales price (mass-market segment)

The average mass-market passenger car sales price in 2023 is estimated to be ₹11.4 Lakhs, based on the product's fuel and variant mix.
If we compare this to pqr's 2022 analysis, the average price of cars have grown by 5.2% viz decent when accounting to inflation.

Brand
• Jeep had the highest average car sales price in India, at ₹30.1 lakhs, thanks to the premium range of SUVs sold in the country.
• Toyota was second at ₹20.4 Lakhs, which has both premium (Innova, Camry, Vellfire, Fortuner, LC300) and mass market products (Hyryder, Glanza,Rumion).
• Renault had the lowest average car sales price of ₹7.4 Lakhs, with Nissan coming in second at ₹8.6 Lakh, due to their budget product portfolio.

Bodystyle
• SUVs/Crossovers have the highest average car sales price of ₹13.9 Lakh, followed by MUVs/MPVs at ₹12.6 Lakh.
• Compared to 2022, the average price of SUVs and MUVs have risen by 0.7% and a whooping 9.5% respectively.
• The average car sales price of Hatchbacks and Sedans are ₹7.3 Lakh and ₹9.9 Lakh respectively, which are below the industry average.
• Compared to 2022, the average price of Hatchbacks have grown by 7.4% and 1% reduced for Sedans.

Revenue per car sales (mass-market segment)

Quote from BHPian pqr:

The amount brands are left with after removing GST (29% to 50%) and custom duty (CKD, SKD, and CBU), which go directly to governments (centre and state), and dealer margin from the average car sale price, is the revenue recognised from new car sales

The average passenger car revenue in 2023 is estimated to be ₹7.9 Lakhs, based on the product's fuel and variant mix.
Comparing this to pqr's 2022 analysis, the average revenue of cars have grown by 8.2% in 2023.

• SUVs/Crossovers have the highest revenue per car of ₹9.5 Lakh, followed by MUVs/MPVs at ₹8.4 Lakh.
• The average revenue of Hatchbacks and Sedans are ₹5.3 Lakh and ₹6.9 Lakh respectively, which are below the industry average.

Brand wise estimated Revenue (mass-market segment)

Please note that these are estimated revenue, so the actual revenue might be higher/lower than these figures.

Revenue wise, there are two categories of brands in 2023.

Category I: Revenue above ₹20,000 crore - Maruti Suzuki, Tata, Hyundai, Mahindra, Toyota and Kia (also the top 6 brands by sales).
Category II: Revenue below ₹10,000 crore - MG, Honda, Skoda, VW, Renault, Nissan, Jeep and Citroen.

• SUVs, Hatchbacks, MUV, Sedans generated 59%, 20%, 13% and 8% of the total revenue respectively.
• SUV segment is dominated by Mahindra due to their high revenue SUVs, followed by Hyundai.
• Except the SUV segment, all other segments have been dominated by Maruti.
• Tata comes in second in the Hatchack and Sedan segment. Toyota comes in 2nd in the MUV segment.

Product wise estimated Revenue (mass-market segment)

Top 20 Cars List:

• Tata Nexon is the highest revenue earning car in 2023.
• Hyundai Creta is the second highest revenue earning car in 2023.
• Mahindra Scorpio and Toyota Innova have gained 3rd and 4th ranks respectively, thanks to their emotional image and high demand.
• Despite selling in good numbers, Maruti products come next, as the average price is on the lower side.
• It's worth noting that Toyota makes similar money selling the Fortuner than Maruti does selling the Dzire, in large numbers!
• Kia Sonet is ranked #19 on the list, which was due for the now-launched facelift.

List of 21-40 Cars:

• Mahindra Thar and XUV300 are ranked #23 and #24 respectively, despite being a life-style vehicle, Mahindra mints more money from Thar than the luxurious XUV300.
• The cheapest car of India and the erstwhile best selling car, Alto is ranked #25 on the list!
• A minor rebadging work generates almost ₹3,100 crore for Toyota (Glanza).

List of 41-60 Cars:

• Honda City is ranked #42 on the list. The erstwhile king of the sedan segment has been beaten by Verna (#36 rank)
• Launched in Mid 2023, Elevate has secured #44 rank.
• Despite being a highly awaited product, Jimny is ranked #50 on the list. Maruti surely made a big blunder in pricing the Jimny.

List of 61-83 Cars:

• The Jeep Twins are ranked #62 (Compass) and #66 (Meridian) on the list. They genuinely need a generation change as sales are dwindling.
• All of Citroen's products are placed in this list. C3 was the highest revenue generating product for Citroen.
• The now discontinued WRV and C5 Aircross are the lowest revenue earning cars in 2023.

Here's what BHPian subhro1988 replied:

Hyundai has filed DRHP with SEBI for IPO and has provided the financials of all competitors. Gives an interesting perspective on the profitability as well. M&M and Tata's financials will have CV as well.
The other details can be found at this link from page 113 to 150: https://www.sebi.gov.in/filings/publ...rhp_84186.html
Some interesting data points on EV is also provided:

Dealer Network. The dealer network provides some insight on the reach of the OEMs