Sales of SUVs >4m (excluding premium and luxury SUVs):
Tata Harrier, new entrant in the segment managed to overtake Jeep Compass and Mahindra XUV500 in march 2019 sales by a good margin. Harrier’s prime competitors are Hyundai Creta, Jeep Compass, and Mahindra XUV500. Tata Harrier is placed uniquely that it competes with Creta in pricing while undercutting Compass by a huge margin. What remains to be seen is will it hold on to the sales momentum or will it decline in the upcoming months. Competition in segment is going further intensify with the launch of MG Hector, Kia SP2, and Citreon Aircross.
Tata Harrier gallery:
Overall car sales in March 2019 declined by 2.8% when compared to March 2018 due to various reasons. One prominent reason being companies adjusting their inventories so that all the non-confirming stock is cleared before the new safety norms kick-in in April 2019. According to the new norms, all the cars must come fitted with ABS and non-ABS cars will not be registered post 31st March 2019, thus companies are in a rush to sell and register existing stock before April and are cutting on manufacturing of non-ABS models.
This inventory adjustments along with reasons like upcoming elections and market slump led to degrowth of 2.8%.
- All the OEMs barring Mahindra, Honda, and Toyota saw a decline in sales.
- Maruti’s regular sales channel remained neutral while the premium Nexa channel declined by 6%. Nexa channel needs more models to arrest the sales decline and make it positive.
- Interestingly Maruti’s market share grew by 0.7% from 49.8% in March 2018 to 50.5% in March 2019 while the overall sales declined by 1.5%.
- Hyundai’s market and sales both declined by 0.8% and 8% respectively.
- Mahindra’s sales grew by 5% while the market share grew by 0.6% from 8.4% to 9%.
- Despite the newly launched Harrier, Tata Motors’ sales degrew by 12% and market share fell by 0.7%.
- But the overall FY-2019 sales of Tata Motors saw an uptick of 12.18% which is the highest among all OEMs in India FY-2019. Standing next to Tata Motors is Honda with 8.09% growth owing amazing response to its facelifted Amaze. (Refer FY-2019 sales report for more)
- Honda just short by 600 units stood at 5th position in the March 2019 sales chart next to Tata. Thanks to new Amaze, Honda’s sales grew by 27% and market share grew by 1.4% which is highest market share growth among all OEMs.
- There’s nothing new to write about Toyota, it is riding on the sales of Innova Crysta and Fortuner while the Yaris can be termed as a flop. Toyota’s sales grew by 2% and market share grew by 0.3%.
- Ford is running thriving on domestic sales of Ecosport and exports. Its sales degrew by 8% and its market share stood at 2.9%. Ford despite having the competent Figo twins is struggling to get good numbers.
- The sole breadwinner for Renault India is Kwid and its sales are gradually declning, Captur’s launch isn’t helping improve the situation. Duster is long in the tooth and needs interior-exterior design overhaul to revive its sales. Renault’s sales declined by 7% while market share declined by 0.1%.
- Nissan India’s situation is much worse compared to its alliance partner Renault. Despite having the mass market brand like Datsun its sales(Nissan+Datsun) fell by a whopping 41% and market share decline by 0.7%.
- Volkswagen India’s sales and market share declined by 26% and 0.3% respectively. Introduction of Ameo isn’t helping the company, it is in dire need of portfolio expansion and uplifts for existing products. Volkswagen laid out a new strategy called India 2.0 wherein Skoda India will lead its India journey.
- FCA India is at the verge of closing its Fiat India operations while the Jeep brand remains. FCA’s overall sales fell by 31.3% and market share fell by 0.2% due to fall in Jeep Compass sales. The groups sole breadwinner is Jeep Compass, the car received good market response but sales declined gradually over time.
- Skoda’s sales fell by 6% while its market share remained unchanged at 0.5%.