Re: August 2011 : Indian Car Sales & Analysis Some observations:
Growth is sliding, thanks to the higher interest rates & fuel prices. As if these two weren't enough, Maruti isn't able to effectively resolve it's labour issues and the resultant dent on production output. Competition in the B & C segments is fiercer than ever. Year on year, Maruti recorded a 17% fall in domestic sales, Hyundai dipped by 7% and Tata's passenger cars by 33%. On the other hand, manufacturers like Honda, Toyota & VW make noticeable year-on-year improvements. It is noteworthy to mention that August 2010 was the then best month ever in the Indian car market. This time last year was indeed epic stuff!
- King of the Indian market, the Maruti Alto, sees 23,170 invoices in August. While the sheer volume is still a feat, it's the lowest of 2011 for the hatchback, and a far cry from the consistent 30,000+ from the 1st quarter of this year. Likewise for the WagonR which is a strong No.2 on the India rankings, albeit still lower, relative to earlier performances. Maruti's UVs - the Omni & Eeco - record a decent month, despite not offering a diesel variant. The Ritz has an extremely good show with 7,000 sales, thanks in no small part to the Swift's wait period & delays. The new Swift will undoubtedly get back to the benchmarks set by its previous avatar, once the labour troubles are sorted out. You can see the effect of the strike also on the SX4 & the A-Star. The Army appears to be buying a lot of 4x4s lately; one of the rare months where the Gypsy basks in 4 digit glory. Kizashi is now officially a flop, unsurprising when you consider the over-optimistic pricing.
- The Hyundai hatchback trio - Santro, i10 & i20 - had a good run in August. Though, ever since the petrol price hike, they haven't quite returned to the high levels previously seen. For instance, for the first 4 months of the year, the i10 had an average monthly tally of 14,607. That's reduced to 10,130 in the latter 4 month period. Where's the diesel i10? For an old workhorse, the Accent ain't doing too bad @ 714 sales, while the Fluidic Verna (and its wow factor) close August with an impressive 4,211 shipments. The previous generation Verna usually managed 1/2 of that.
- Nano inventory had built up so much that Tata stopped production for a good part of August. If we go by the price / performance ratio, the Nano is a flop. The Indicas do decently well (combined), but the Indigo sisters need stronger marketing support. I still insist that the Manza alone is capable of 5,000+ units, if product competence is alone considered. Cheaper 4x2 variant doesn't seem to be doing much for the Aria.
- Things looking up for Honda, with price cuts et al. Year on year, Honda is up 25%. The City sells nearly 6,000 copies, and makes it to no.11 on the India best selling list! The price cut has suddenly made it VFM, lack of diesel engine be damned (though not having an oil burner will dampen its performance in the coming months). The Jazz climbs up to 600, which while improved, is still shoddy relative to the competition's performance (namely, the Hyundai i20). The Civic & Accord submit an average report card for August. Having driven the Brio, I can tell you that it's going to sell all that Honda can make (of course, as long as it's priced correctly).
- The Innova's average sales for the Jan - July period is 4,303, and that's exactly the number this MUV did in August as well. Great show in a damp month. Etios & Liva siblings put in mediocre performances, diesel engines coming up in less than a week. The Corolla & Fortuner continue to lead their respective segments.
- The value for money & all-rounded Figo seems to be settling down in the mid-5's, bringing in consistent volumes for Ford. But it's disaster for the new Fiesta that, in only it's 2nd month, has sold a mere 400 cars. In fact, the ol' Fiesta Classic has actually climbed up the ladder after the new Fiesta's launch. Obviously, as has been vastly discussed on the official review thread, the new Fiesta is very poor value for money. The City, Verna & Vento will continue to give it a hammering until Ford rolls out price corrections.
- Well priced Beat diesel is doing rather well; thanks to the diesel, it's sold as many in two months, as the petrol did in the 6 months prior. The Chevy Spark's production capacity seems to be diverted to the Beat. Status quo on the Cruze (in a good way) and the Optra (in a bad way). Captiva is slowly sliding out of the premium SUV market. No differentiator and zero promotions.
- The Polo has an ordinary month, while the Vento isn't able to keep up with the Verna & City's success. 300+ dealer despatches for the new Jetta, and the Passat ends August as the No.2 D segment sedan (behind the Superb, and a single unit ahead of the Accord).
- Not a good month for Skoda...all of its cars have had their worst month of the year till date. While the Fabia, Laura & Superb still move along, the Yeti seems to be having an awful time convincing buyers.
- Unbelievable, yet true. A car that was written off by all & sundry - the Mahindra Logan / Verito - continues its slow & steady growth up the charts, recording its best month in 2011 (and DOUBLE that of August 2010). The Bolero is still the No.1 MUV from the segment, though the effect of interest rakes is visible on its performance (lowest of the year thus far). The Scorpio records its best month of 2011, while the Xylo honestly puts up a poor show...if you consider Mahindra's might, muscle & reach in the people mover segment. An MUV that just hasn't really clicked. Mahindra top honchos must be scratching their heads trying to figure out why.
- The Endeavour & Pajero put in an expected sales tally of 200 units (+ / - 10%). Petrol-only Outlander & overpriced CRV continue losing favour in the market. The Hyundai Santa Fe is now fighting tooth & nail for the No. 2 spot with the Endeavour.
- The Linea is on its way to becoming an extinct species. It's nearly impossible to run a model (production) line with a mere 100 odd units sold!! Punto closes the month at just under a 1,000 units. August & July are the only two months this year where it hasn't managed a 4 digit tally.
- The Renault Fluence - a poorly positioned product - is in it's 3 straight month of decline. In only 3 months since launch!
Last edited by GTO : 9th September 2011 at 19:47.
Reason: Correction
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