Team-BHP - Renault India to launch one new model every year and double market share by end-2016!

At a media roundtable conference with IAB last week, Mr Sumit Sawhney, MD & CEO, Renault India, announced that his company will be launching an all-new model every year.

He also said that Renault India is aiming to capture 5 percent of the market share by 2016-end, from a present 2 percent.

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When asked if facelifts or model refreshes were part of the new car strategy, Mr. Sawhney shook his said saying “1 new car”, confirming that it would be an all-new model.

Sawhney declined to elaborate on the model plans, and when asked about what was in store for the 2016 Auto Expo and if there was another concept in the works, he said “every auto show is different.”

Prior to the Lodgy’s launch, Renault India’s market share stood at about 2 percent, despite having presence in India for over three years. By end of 2016, Renault aims to double its share to 5 percent.

IAB

I might have to eat my words. Never ever thought that Renault would be able to double its market-share. But after seeing what they've done with the Kwid (official review will be up soon) and its VFM price, I have no doubt this car is going to give them healthy volume.

Equally, I must add that Renault should do more 'Dusters' & 'Kwids'. In that, launch a lesser number of truly competent products rather than a large number of cars destined to sink (e.g. Pulse, Koleos). The latter were simply an unnecessary distraction & waste of time for the management.

What Renault needs is the focus of a sniper....and not the careless spray of a machine gun.

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Originally Posted by GTO (Post 3823662)

What Renault needs is the focus of a sniper....and not the careless spray of a machine gun.

I think this is where a majority of players who are targeting Maruti fail. Maruti does have a "spray and pray" view of automotive sales. Overlapping models, multitude of variants and so many different cars that are all in a generic pile. Emulating this practice is just a recipe for a straight nose-dive.

The secret sauce is Maurti's service center network. Every nook and corner, there are Maruti workshops. How reliable / experienced / classy they are is a completely different debate. But, just the enormity of the network provides a sub-conscious feeling of safety for the new car buyer. We have to recognize that the average car buyer probably knows one / tenth of what an auto-enthusiast knows.

The service center network is where Nissan / Renault should focus their entire energy on. Maybe tie up with local workshops and certify them. Or create a unique (meaning - good) service experience. If they do that, yes - they'll reap the rewards of a loyal market.

Meanwhile, this battle means the best of all worlds for the customer. :) So, time to enjoy all the attention we will be getting.

Renault to unveil utility vehicles to take on Mahindra & Mahindra.

After Duster and KWID, Renault has now has sights on the space occupied by the Mahindra XUV500 and plans to launch a new SUV, codenamed HHA, likely in October 2017.

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The vehicle, based on the globally successful Captur design, will be introduced before two compact vehicles - an SUV and an MPV - take shape on the Common Module Family-A (CMF-A) platform. In between, an all-new Duster is scheduled to hit the market in 2018.

http://economictimes.indiatimes.com/...w/49344834.cms

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Originally Posted by GTO (Post 3823662)

Irrespective of the future success or failure of their plan, even the plan of such an ambitious expansion is good news for the existing customers of Renault. The company can't hope to push the volume without enhancing the quality of post sale support and increasing its reach across India. And that is a good thing for the existing customers even if the company fails to attract new customers on the scale it plans to.

Buoyed by the stellar success of the Kwid, Renault prepares a slew of new launches to target the most lucrative segments in the Indian auto scene, as it becomes aggressive and bullish for increasing it's presence in our country.

The latest on this is that the newly unveiled Megane sedan will be heading to our shores by 2017, along with the new-gen Koleos and the compact SUV, Kaptur.

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Targeted at multiple segments of the market, the plan includes launching at least five new models between 2017 and 2019, two people familiar with the company’s plan said, requesting anonymity.

In an emailed response, Sumit Sawhney, managing director and chief executive of Renault India, said, “While I cannot divulge too many details on the future product strategy, I can confirm that we have an aggressive product plan for India, clearly demonstrating that India is one of the key markets in Renault’s global expansion plans.”

Considering the popularity of sport utility vehicles (SUVs) in India, most of Renault’s future models would be targeted at SUV buyers, said the first of the two people cited above. Among others, Renault aims to be a serious rival to SUV market leader Mahindra and Mahindra Ltd. “In another two years or so, they will have at least one model that will be pitted against one in the Mahindra line-up,” he said.

The first of the new model pipeline is likely to be a premium sedan based on the Megane hatchback. The model, slated for an India launch in 2017, will replace the Fluence sedan and is positioned between the Honda City and Civic.

This is set to be followed by the new generation Koleos, a premium SUV that is expected to go on sale in India sometime in 2017-end or 2018-beginning, said the second of the two people cited above.

The Koleos is likely to be followed by the Kaptur, a seven-seater crossover that will compete with the Hyundai Creta, among other models, and is expected to be launched in India by the end of 2017, said the first of the two people.

Renault also plans to bring out another model on the CMF platform. Resembling a van and expected in 2018, the model will compete with the Maruti Omni and Eeco.

Also in the works is a rival to the Suzuki Vitara Brezza, a compact SUV, which is expected to be launched in India in the beginning of 2019, he said.

Live Mint

Well impressed with Renault strategy and wonder why it is difficult for other manufacturers to follow the suit. Strategy is simple- "Give people what they want in a cost effective manner". Kwid won the masses with cool SUVish looks and VFM pricing. Duster proved a benchmark in itself catering to aspiration of people to own a SUV. In short both have their own USPs.

yes competition would and is catching up but you can't sustain without moving continuously in this FMCG type car market. "But as long as you are offering unique (segment first or second) or mass market products at VFM prices you should be fine". All good for Indian consumers.

In coming years I see them as third largest manufacturer in India after Maruti & Hyundai with only real competition coming from Mahindra. Rest desperately need to put their act together with acceptable level of After sales.

Renault India will keep it's focus on 98% localisation sourcing for future India-specific products, as it gears up to launch one new model every year from 2017 onwards.

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According to Sawhney, launch of the new models can vary ranging from the already global products or developed in India which can cater to global needs. However, the company is keen to use localised sourcing of raw materials to roll out new models.

It has recently ramped up production capacity in its Chennai plant to produce 4, 80,000 units. Renault India shares the same manufacturing facility with Nissan as well.

The company has placed emphasis on having a strong local presence and local content and has design centers in Mumbai and Chennai, logistics centres in Pune and Chennai besides regional offices in Chennai, Mumbai, Delhi, and Kolkata.

Increased sales, however, may not reflect in a higher market share as the official reasoned that the market volume is also growing.

Business Standard