Entry Hatch Segment:
- The 800 trundles along in line with its expected 2,500 monthly average (2,494 cars). However, we see the Nano gaining traction. Production seems to have freed up noticeably, with 4,001 Nano’s sold in January 2010. This is an improvement over its previous supply constraints allowing only 2,500 cars a month to roll off the temporary line in Pune. Oh, Ms. Banerjee! If it weren’t for you, we’d be looking at 5X the number today. The Gujarat plant is still 8 – 10 months away from being ready. Those of you who’ve booked and have a middle-of-the-range que number will have to wait longer. B Segment Hatchbacks:
- As if Maruti was not dominating enough already, the VFM-Master has set an all new record in January. 58,540 B segment hatchbacks…the highest till date for the company! The Alto, Swift, WagonR and Ritz (in that order) are riding high on success!
- A distance second are the Hyundai sisters (i10 & Santro, followed by the premium i20) for a total of 26,949 hatchbacks sold. Just as Jan ’10 was a record for MUL, so it is for Hyundai too. This is their highest sales performance in the segment ever. While the i10 is undoubtedly a market favorite (selling more than the Santro too), the 6 – 8 lakh rupee i20’s success has even left Hyundai managers surprised (average of 4,000 cars a month).
- After a lull in December (4,228 cars), the Indica & Indica Vista climb back to their January ’09 levels. In fact, the number is near identical at 11,448 (Jan 2010) and 11,433 (Jan 2009). Despite the segment growing by 20% in this period, the Indica siblings have failed to register any increase in sales (negative market share). While 11,000 cars a month is highly respectable, the poor functional area handling of the Indica Vista (marketing, sales, image etc.) have limited an otherwise competent hatch’s success.
- Firm in the No.4 position, and only poised to climb (thanks to the Beat), GM has sold 6,730 hatchbacks! GM’s cash registers mustn’t have stopped ringing….this was GM’s record month too. They’ve never seen such numbers. Thanks to the Spark, the General has always maintained an average of 3,200 hatchbacks per month. The well-priced Beat will add another 3,000 – 4,000 units to that tally. All the more impressive when you consider that GM India was fighting bankruptcy PR only 6 months back!
- The Punto had a disastrous performance in December with a mere 532 GP’s sold. A recovery in January 2010 brings them back to the 1,200 level (1,256 to be precise). I don’t see any positive change in this number in the near future, as it’s barely 6 months from the time of launch (cars generally sell better in the initial quarter or two due to pent up demand). The Punto – as Fiat’s mega come back car - has fared below manufacturer expectations. In fact, the hatch sells only 20% more than the 8 – 9 lakh rupee Linea sedan.
- The Fabia continues to fire away with one cylinder less…..and the sales reflect just that. Fabia sales are extremely dependent on promotions; that explains the roller coaster sales graph of 2009. Up one month, sharp drop in the next (from 196 cars in a particular 2009 month to 767 in October). 794 Fabias moved off showroom floors in January 2010, a recovery from the mere 291 sold a month back (Dec 09), as well as the 238 sold 12 months ago (in Jan’ 09).
- Honda’s got no choice but to swallow a bitter pill each month end that the Jazz score card comes in. Jan 2010 marks the second lowest selling month for the pricey hatch with a paltry 490 hatchbacks sold. This is Honda’s first real failure in the market. Nothing to do with the product, all to do with the price. C Segment Sedans:
- The Dzire continues its successful run in the C Segment. Alongwith the SX4, Maruti sold 9,000 sedans (8,995) last month. The Dzire is a huge contributor to Maruti’s bottom-line. After all, its only a boot stuck on to a best selling hatch (read = thick profits). Yes, the delivery wait periods continue. Personally, I think the Dzire is a very average sedan. But then, it’s a Maruti + boot + diesel. Voila (to the eyes of the typical Indian car buyer)!
- The competent Manza does the job and brings Tata the best ever performance within the C segment. A whopping 7,258 Indigos (Manza, CS and a sprinkling of Marinas) found new homes in the first month of 2010. The Manza shows that Tata’s R&D have come a long way. Good to see the sales reflecting just that.
- The all-rounded Honda City maintains its lead in the premium C segment with a sales tally of 4,485. The City is a “can’t go wrong” sedan and clearly, the market is willing to pay a premium for its peace of the mind ownership experience.
- Hyundai books spot no.4 with the Verna & Accent. A substantial YOY improvement (Jan 2009 = 1,687), yet about in line with its 2,400 car average of the last year. Things are expected to stay the same for Hyundai in the C segment. Period.
- It’s raining discounts at Ford with one special edition Fiesta after another. 2,138 Fiestas + Ikons moved off showroom floors. About a 20% YOY improvement.
- The Linea starts the new year with a respectable 1046 score. Not bad for a 8 – 9 lakh car and shows that the market will accept an entry level diesel sedan from Fiat, over a premium hatch. Why do I say this? Simply because in terms of segment-wise marketshare, the Linea’s performance is far superior to that of its cheaper hatchback sibling.
- The one thats heard no less criticism from us – Mahindra Logan – is taking an equal beating in the market. 555 units sold. Price it right the next time, Renault! And while on lackluster performances, HM closes at 755 (Ambassador, Lancer & Cedia in that order) and the Aveo at 352. Think about it for a moment : The 60 year ol’ Ambassador sells more than the Lancer and the Cedia. Do you think that’s enough to tell HM-Mitsubishi that they are doing something wrong? Well, apparently not. |