Extremely interesting analysis, Rekha. As a fan and huge-recommender of the Innova, heres my two cents:
1. The target customers are entire different to Innova D and to Innova P. But I dont see the same reflecting in Toyotas marketing activities. Atleast not effectively. Your Innova D customers are typically (but not restricted to) long haulers - both commercial and personal. The target Innova P is primarily for personal use, and apt for larger families etc. As someone suggested in your introduction thread, why doesnt Toyota call it differently? Why just the Innova?
2. Image counts a lot in India, and the Innovas MUV / Utilitarian image is not the first choice for personal use. I know of some families who the Innova would be perfect for, but they opted for other options primarily due to the image (or the lack of).
3. The sales restriction to Petrol people-movers is not only the Innovas woe. The Petrol Scorpio and the Petrol Safari have met with a similar fate. The reasons are outlined in the last two points.
4. Even though the NHC / Optra etc. are petrol and fall in the same price bracket, it would be incorrect to target them as potential competition. You are offering a 7 - 9 seater, and the supposed competition is a 5 seater at best. Also they are hard-core sedans with much superior handling, city driveability, acceleration (in some) and FE. Even though the toyota product has more space, I wouldnt pair an Innova against a C-Segment sedan in the competitive landscape. Reasons for dismal sales:
1. The resale value : Depreciation is by far the biggest cost to an owner. Try taking a used Petrol Innova to a local used car dealer for an estimate and you will be in for a rude shock. I would presume that most Indians replace their cars after 5 - 6 years, and a 5 year old Innova D will fetch a far more $$$ than an Innova P. Plus it will sell much faster.
2. Petrol is now 54 bucks a liter!! And are diesels really that bad anymore? As you rightly mentioned, CRDi technology has changed the rules of the game. I myself picked a diesel Merc over a Petrol. CRDi gives you a lot more power, efficiency and refinement than traditional diesels did. And for people haulers (read Innova), diesels are preffered due to their increased torque and rugged nature. Even on the highways, a diesel engine will absorb adulterated fuels much better than petrols. I am Toyotas target market since I need a modern machine which will carry my 6 member family comfortably. Am looking for options since 6 months but the Innova is not even an option on my list.
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Last edited by GTO : 8th August 2006 at 16:32.
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