[niranjanprabhu]

Car Sales in India - 2022 - In-depth Analysis

1. Stupendous growth of 23% YoY with all-time high numbers of 3.8 million cars sold in the country. Exports till November were over half a million cars. With numbers still coming in, we can safely assume that Indian OEMs manufactured around 4.5 million cars in 2022

2. Spectacular show by Indian OEMs (Tatas and Mahindras) with their individual growth being 59% and 65% respectively YoY. Their 3-year CAGR has been an astounding 51% for Tata and 15% for Mahindra. With the chip crisis easing M&M should beat all expectations this coming year. The shift to EVs too will show their presence in the numbers of 2023

3. SUV/Crossover sales are at an all-time high of 43% this year. The 3-year CAGR is at an astounding 27%. Sedans and Hatches still show negative 3-Year CAGR numbers. MUVs are just around holding fort with a humble 9%

4. 1 in 5 cars sold in India today is a 4-meter SUV/Crossover. The sedan story has seen a temporary positive blip thanks to VW/Skoda for their investments here. But even then, the total numbers are below 2019 numbers when car sales crashed globally and in India.

5. Over 50% of cars sold in India today are above the 10-lakh price point. This demonstrates very clearly shifting consumer propensities and attitudes.

[A777R]

Well a lot of compass owners like me stressed about Jeep, but I ran a few numbers and it does not look so bleak.

My numbers may not be very accurate cause I just googled them but the logic would still be the same.

Jeep has sold cumulatively ~75k vehicles since 2017. They only have ~70 dealers in India (many have closed, the one from which I bought my car in Jodhpur has closed too). Since service intervals are annual, these 75K vehicles only go to these 70 dealers, which translates to ~1100 vehicles every year for servicing or 3 cars per day (assuming no holidays).

The servicing margins are huge on these cars (a normal service cost for compass is 15-20K easily) and I am guessing the parts margins are huge too. Many dealerships make a killing in accident repair cases which are an added bonus.

Most dealerships make money through ASS but in Jeep's case they are making good money on the initial sales also.

So all in all, as long as the dealerships remain limited and cumulatively the numbers keep on increasing, Jeep should be fine. They have stuck to their guns when marketing Jeep as a premium brand and as a Jeep owner I am happy to be seen driving a premium car.

[Aditya]

Originally Posted by shailendrakr

I am curious about the segmentation of cars. The Harrier costs close to half of the Tucson. How are they placed in the same segment - D1? What is the reasoning behind this segmentation?

Moved the Hyundai Tucson and Citroen C5 Aircross to the D2 segment.

[enginesoul]

I am wondering if the increase in the sales of VW/Skoda cars is because of the safety ratings because I think both Slavia/Virtus 1.5 are over priced at-least by 2lacs.

[TusharK]

Car buying budget of Indians increased by 30% in 2022

According to data compiled by Cars24, the average car-buying budget of Indians increased by 30% in 2022. It indicates that people were willing to spend a higher amount on cars without compromising on their choice, safety or quality.



Cars24 data also shows an 81% surge in the number of people buying more than one car in a year.

Some notable facts from the Mileage Report by Cars24:

• Majority car buyers under 35
• Average car buying has increased to Rs 6 lakh
• More buyers got their cars financed in 2022
• Hot Selling colours apart from white and grey - red and black
• Maximum sedans were bought in Bengaluru
• Most car sellers were from New Delhi
• Most expensive car bought in Pune - Mercedes C Class
• Loan tenure of 6 years was the most popular
• Average Car EMI in India was Rs 11500

Cars24 registered a 75% jump in sales of pre-owned cars in the fourth quarter of last year compared to Q1 2022. Maruti remained the brand of choice, with every 1 in 3 buyers purchasing a Maruti car. The highest number of Maruti cars were purchased in New Delhi, Mumbai, Bangalore, Hyderabad, Kolkata, Lucknow, Pune and Ahmedabad.

Among best-selling models were hatchbacks like the Swift, Baleno, Alto, WagonR and Celerio. Maruti was closely followed by brands like Hyundai, Honda and Renault, and Ford, even though the brand has exited the Indian market.

Among Tier II cities, Pune and Ahmedabad recorded the highest car deliveries, with the Baleno being the most popular model in both cities. A customer in Pune is said to have purchased a Rs. 33 lakh Mercedes-Benz C-Class through Cars24. Lucknow recorded the highest sale of the Maruti Vitara Brezza.

Bangalore recorded the highest sales among metros, with the Swift being the most popular model. It was also the top-selling model in Delhi and Chennai, while Mumbaikers shopped for WagonRs.



Link to Team-BHP News

[Livnletcarsliv]

While it may statistically true, is it not because of the increase in the actual cost of the car itself? The cost increase was between 4% to 20% approximately. The same car was costing less in 2021 compared to 2022. One important contributing factor for this increase is the high tax structure.
Shouldn't the government think otherwise - As a consumer, I am in the market to buy a car for X amount. If the taxes are reduced, then I buy a better car for the same X amount and use it for a longer time. But now I am forced to buy a cheaper car to change it much earlier than what I intend to use. So eventually, I still buy the car. But, the damage is more economically, financially, and with regards to the quality of the product.

[Bhodrolok]

Funny conclusion based on available data... budget did not increase, the cost of cars increased.

[coolmel]

Final hurrah for the Jazz siblings ie the Jazz and the WRV. Leaves Honda with just the City and the Amaze. Wondering which one is next. Honda really need to pull their socks up to make a difference. The Jazz has been one sad story. Such a great car let down ever since it’s inception.

Same time Toyota could really do with a compact suv or a hatch of its own.

[Venkatesh]

4W EV Registration Data for December 2022.



Registrations in the year 2022, a jump of about 190% compared to 2021.



Link

[Aditya]

Originally Posted by shailendrakr

I am curious about the segmentation of cars. The Harrier costs close to half of the Tucson. How are they placed in the same segment - D1? What is the reasoning behind this segmentation?

Citroen C5 and Hyundai Tucson moved to D2 segment.