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Old 19th January 2016, 13:18   #1
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Default Why is Hyundai stubbornly not launching the Elite i20 Automatic? EDIT: Launched at 9.01 lakhs!

For the life of me, I can't figure this one out.

Hyundai has always offered a wide range of automatic cars, with the Santro, i10, Grand i10, old i20, Verna (old & new), Elantra, Creta, Sonata, Santa Fe etc. all having sold AT variants. What's more, the previous-gen i20 1.4L AT was quite a competent car (link to review).

Clearly, the company is a believer of automatic variants. Why then is Hyundai's best selling car not offered with an Automatic? It's even started exporting the same!
Why is Hyundai stubbornly not launching the Elite i20 Automatic? EDIT: Launched at 9.01 lakhs!-capture.jpg
Source

Is Hyundai afraid of cannibalisation with the Xcent AT? That's just stupid as the Xcent is anyway selling a fraction of the i20. Do they want to save the 1.4L AT for their upcoming compact SUV? That's even more stupid as the compact SUV is still sometime away. Hyundai knows this better than anyone else - if you don't cannibalise your own products, someone else will gladly do it for you.

Can someone please decode this puzzle for me? WHY?

Last edited by GTO : 19th January 2016 at 14:36.
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Old 19th January 2016, 13:32   #2
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Default re: Why is Hyundai stubbornly not launching the Elite i20 Automatic? EDIT: Launched at 9.01 lakhs!

Not an answer to the question.. but some thoughts

When I was in the market for a AT in 2010, I picked that i10 over the i20 AT. I thought the 1.2 l engine + 4 speed AT were good match for i10s intended audience. For i20 with 6 air bags and a 1.4 l engine the AT box was a big let down.

I think the 4 speed AT that Hyundai put in the old Verna/i20/i10 is seriously "past the sell by date". I am actually surprised that Xcent still have the same GB as the decade old Verna.

IMO, i20/Verna deserve the 1.6 l diesel and the AT from the Creta.
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Old 19th January 2016, 13:46   #3
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Default re: Why is Hyundai stubbornly not launching the Elite i20 Automatic? EDIT: Launched at 9.01 lakhs!

The bigger question is why Hyundai hasn't bothered mating the 1.4 diesel to the 4/6 speed gb. 6 speed may not happen due to cost, but the 4 speed is a no Brainer.

Puzzles me why manufacturers don't bother with diesel auto hatches. At least an AMT would sell well I feel. The Tata bolt being an example. They have the hatch, and they have the engine and amt mated with the same on the Zest . But still refuses to launch it on the Bolt.

Last edited by JayD : 19th January 2016 at 13:49.
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Old 19th January 2016, 13:48   #4
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Default re: Why is Hyundai stubbornly not launching the Elite i20 Automatic? EDIT: Launched at 9.01 lakhs!

Why is Maruti stubborn on not selling the Swift automatic when they have DZire petrol and diesel automatics?

Why is TATA not selling Bolt diesel automatic when the Zest diesel AMT created such positive vibes?

Same with Hyundai Elite i20 too. I'm one among those who were forced to buy Xcent automatic for parents and would have opted for it if the Elite i20 automatic was available.

I guess all these manufacturers are trying to push their compact sedan siblings which have better margins compared to the highly competitive hatchback segment.
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Old 19th January 2016, 13:53   #5
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Default re: Why is Hyundai stubbornly not launching the Elite i20 Automatic? EDIT: Launched at 9.01 lakhs!

I think that the reason is that the 1.2 is under-powered to make the car a good package. Hyundai generally seems to have lackluster petrol engines that are great on paper but dull to drive.

What Hyundai needs is the flavour du jour: a 1.2 turbo petrol so that the i20 will still be classified as a small car.
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Old 19th January 2016, 14:01   #6
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Default re: Why is Hyundai stubbornly not launching the Elite i20 Automatic? EDIT: Launched at 9.01 lakhs!

It is equally baffling why they won't sell the Creta Petrol with the 6 speed AT. Once again, the gearbox is there and is sold with the Elantra. A petrol Creta AT ain't going to cannibalize the sale of the diesel variant, or if one must add, even the Elantra at all.

If Hyundai are holding back the sale of a 1.4l AT (petrol and diesel), because of the gearbox, then I am with them. I don't want a 4 speed AT on a car that costs >10lac. They have been sitting on this gearbox for a decade.

Or, is it a situation where Hyundai feels, launching the petrol AT variant will end up making the car more expensive than the Crdi, and hence there won't be takers for it. The 1.4l AT petrol, when available, was not a hit in any case. I must add that the 1.4l petrol was not great on mileage too.

Last edited by sandeepmohan : 19th January 2016 at 14:18.
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Old 19th January 2016, 14:08   #7
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Default re: Why is Hyundai stubbornly not launching the Elite i20 Automatic? EDIT: Launched at 9.01 lakhs!

This potentially could be a disadvantage for Hyundai, sooner than later, because, all the new hatchbacks released recently in B2 segment have Automatic variants (Jazz, Baleno, Figo) and there are other existing Automatic favourites as well - Polo GT TSi, Micra CVT, Brio etc. Anyone who is willing to look beyond the B2 segment or ready to cross shop has several more options: Link to Related thread (Automatics under 10 Lakh OTR - A Comprehensive Guide (now with the Baleno & Ertiga))
So, if Hyundai is waiting for the right moment to capitalize well on the i20 automatic, the time is now, and not somewhere in the future.
When compared to Maruti, Hyundai has no new product plans in the recent future. So, they should make full use of what they can do with their current products.

What they can possibly do about launching automatics:
a) A Petrol and Diesel Automatic for the i20
b) Petrol AT for Creta
c) Diesel AT for Xcent
Diesel AT is not something too much to ask for, because there are already similar priced cars that offer that: Eg. Tata Zest, Mahindra TUV300.

Slightly OT : Apart from the above they should also try to capitalize the C2 sedan's space by launching the Verna facelift in 2016, and not in 2017 or 2018.
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Old 19th January 2016, 14:10   #8
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Default re: Why is Hyundai stubbornly not launching the Elite i20 Automatic? EDIT: Launched at 9.01 lakhs!

I think I know what happened here -

They checked the sales of old 1.4 i20 AT, and the costs involved in introducing it to the market. Then they took out an Excel sheet and extrapolated the data for Elite i20. I'm pretty sure pie charts & bar graphs were also involved in this exercise.
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Old 19th January 2016, 14:36   #9
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Default re: Why is Hyundai stubbornly not launching the Elite i20 Automatic? EDIT: Launched at 9.01 lakhs!

I think the reason is, "lets save something for the face-lift" !! Once upon a time, Hyundai used to give much more features than the competition to get sales and reputation. Now, the competition has to offer something more for Hyundai to think about providing more value. The rules of the game have changed over time for Hyundai and they are treading the path of profits. The HUGE number of Creta bookings, am sure, have asserted that Hyundai doesn't need to sell on more features, anymore.

They just didn't bother about the safety options in i20 till Baleno became a hit and came with safety options as standard. Inspite of NOT having the options, i20 was the KING of the segment. This comes from a brand who offered 6 airbags for a car south of 20L(?) for the first time in India.

Quote:
Originally Posted by Motard_Blr View Post
I think that the reason is that the 1.2 is under-powered to make the car a good package. Hyundai generally seems to have lackluster petrol engines that are great on paper but dull to drive...
FYI - The old i20 AT was sold with a 1.4L petrol engine; not with the 1.2L which as you say, is under powered for the heavy i20.

Last edited by swiftnfurious : 19th January 2016 at 14:40.
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Old 19th January 2016, 14:51   #10
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Default re: Why is Hyundai stubbornly not launching the Elite i20 Automatic? EDIT: Launched at 9.01 lakhs!

Quote:
Originally Posted by CrAzY dRiVeR View Post

I guess all these manufacturers are trying to push their compact sedan siblings which have better margins compared to the highly competitive hatchback segment.


Forget about not being able to buy i20 or Swift Automatics because there isn't one. I was NOT able to buy a Figo 1.5L Automatic and had to buy an Aspire Automatic for my parents instead.

Dealer looked amused when I insisted on Figo Automatic. I was given an indefinite delivery timeline of 6 months if I choose the Figo AT. During December, the Aspire AT came to Figo AT price after discounts, so it sealed the deal for me. However it pains to see the disproportionate rear every time.

Dealer claimed Ford didn't send them any Figo AT and Ford India claimed Dealer didn't forecast for Figo AT. Net result, the Figo AT is for website decoration.

Polo GT TSi sells at 10L. Imagine the market shake-up if Figo 1.5L Diesel is mated with an Automatic and sold for 10L.

Last edited by kiku007 : 19th January 2016 at 14:53.
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Old 19th January 2016, 15:00   #11
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Default re: Why is Hyundai stubbornly not launching the Elite i20 Automatic? EDIT: Launched at 9.01 lakhs!

Quote:
Originally Posted by GTO View Post
Can someone please decode this puzzle for me? WHY?
Does Hyundai have any gearbox other than the ancient 4 speed box from the Verna and old i20 which can go into the Elite i20?

If they don't have a decent gearbox for small engines then that could explain it. Launching a 4 speed box in the i20 today when Ford has a 6 speed DCT, VW has a 7 speed DSG and Honda has a 7 step CVT is pointless.

But on the other hand I have been wondering if the 6 speed transmission from the Verna and Creta can be mated with the 1.4L Diesel. If it can then that makes a lot of sense.

The way I look at it, the Verna sales are in a slump. The Creta is hammering the Verna and Elantra. So getting the i20 1.4L Diesel with the 6 speed AT will not really affect the Verna. They might be thinking that Verna has 4 speed AT, how can we get Elite with 6 speed AT.

Petrol can be the 1.4L but needs more than a 4 speed box. Again that 6 speed box from the Elantra petrol will work here.

Last edited by Vid6639 : 19th January 2016 at 15:05.
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Old 19th January 2016, 15:08   #12
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Default re: Why is Hyundai stubbornly not launching the Elite i20 Automatic? EDIT: Launched at 9.01 lakhs!

1.4L means it attracts higher taxes, resulting in higher prices.
Plus the additional price rise for the 1.4L engine. They will need the Verna AT GB here, which also adds to the costs.

Plus, the Elite i20 is already being manufactured at full production. A 1.4 AT order would mean disrupting the regular Elite i20 production, even if it is for a brief time. Opportunity costs involved here.

Plus, it is not as if the Elite is reasonably priced. How well can Hyundai price the AT (with added taxes and costs)? Bringing it closer to Creta MT costs and it will not sell.

It is all about pricing analysis. At the price at which they can bring it in market, it may not be able to attract many customers.
How many of the Old i20 AT's were sold? I do not spot them easily in the used car market, hence I assume they hardly sold much.

Last edited by vinit.merchant : 19th January 2016 at 15:09.
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Old 19th January 2016, 15:38   #13
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Default re: Why is Hyundai stubbornly not launching the Elite i20 Automatic? EDIT: Launched at 9.01 lakhs!

Hyundai is waiting to bring in its 1L turbo petrol in the i20 to India, IMO it should offer that with the A/T.

Just like VW took time to bring in its A/T for Polo & when it did it got it with the 1.2L Turbo.

Also as now the Baleno is seen testing with the Boosterjet engine, Hyundai will definitely bring this in too.

This is my side of the story, lets hope its true

Last edited by karan561 : 19th January 2016 at 15:58.
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Old 19th January 2016, 15:46   #14
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Default Why is Hyundai stubbornly not launching the Elite i20 Automatic in India?

Even I am very very surprised by this question.
Now thinking aloud, the first and foremost reason could be PRODUCTION CAPACITY CONSTRAINTS.
While Baleno is launched with AT so its a matter of time Hyundai makes a move. At the same time I wish to know now whats the cost difference remaining between the AT technology used in US and India as we have been reading for long that the ATs used in India are outdated or of old technology than what are used in US. Also the way our market is rapidly shifting towards ATs, I wonder what our car manufacturers are waiting for.

Also as someone has rightly pointed out, the even bigger question is "Why do we don't have a Swift A/T and if I may add Swift RS (2 Doors) and 1.6 L Diesel Swift. They both would be a runaway success.

Last edited by carwatcher : 19th January 2016 at 15:50.
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Old 19th January 2016, 15:54   #15
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Default re: Why is Hyundai stubbornly not launching the Elite i20 Automatic? EDIT: Launched at 9.01 lakhs!

The 4 speed in the i10 itself is a let down for me. It has to be the 6 speed AT from the Creta if at all. Pricing and worries of affecting Verna sales could be their MISPLACED logic. They need to get the 6 speed AT for the i20 elite and forget about other environmental parameters.
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