The Indian automotive market, the place hatchbacks used to dominate the gross sales charts is now left behind by entry-level and mid-sized sports activities utility automobiles (SUVs). SUVs are rising in recognition, resulting in an increasing number of product launches within the phase.
India’s romance with SUVs is intensifying ever so quick and automakers are fueling the affair even additional, having launched 36 such fashions within the final 5 years. Such is the craze for SUVs at current that ready intervals for a few of the hottest fashions are stretching to over two years, and contemporary orders are nonetheless flowing in.
Car consumers at the moment are keen to spend extra on their private mode of journey and are preferring top-end variants which come loaded with options like a sunroof and related applied sciences.
“The SUV segment has seen major growth in the last few years. The SUV segment’s contribution, which was around 19 percent of the industry, has now gone up to 40 percent in 2021-22 and we see it growing further,” Maruti Suzuki India Senior Executive Director (Sales and Marketing) Shashank Srivastava instructed PTI.
One of the explanations for the expansion of this phase has been prospects’ liking for automobiles with a excessive stance and highway visibility, he added. With a rise in demand, the entry-level SUV phase grew to become the biggest within the home passenger automobile market final fiscal, overtaking the premium hatchback vertical which has dominated the market since 2011.
Out of 30.68 lakh volumes final 12 months, the entry-level SUVs’ share stood at 6.52 lakh items. It isn’t any shock both that the utmost mannequin launches within the final 5 years in all the passenger automobile phase have been within the compact and mid-level SUV area.
“Also, the new age millennials are preferring to buy high-end variants which come equipped with several comforts and convenience features. Preference for feature-loaded cars has gone up from 17 percent in 2016-17 to 24 percent in 2021-22. In some of our models, like the recently unveiled Breeza, the top variants account for 70 percent of bookings,” Srivastava famous.
Studies present that the spending would additional enhance now and individuals are keen to spend extra, he mentioned. Tata Motors Passenger Vehicles Managing Director Shailesh Chandra mentioned differentiated design, evolving life, shift from public to private transport on account of the pandemic, and rising consciousness of security and comfort options, amongst others, are a few of the components which can be driving progress within the passenger automobiles market.
“Customers today know exactly what they desire and we constantly strive to provide them with the same through our range, which is refreshed in short intervals, be it in terms of features, variants, or brand new products,” he acknowledged.
Chandra mentioned the corporate’s sturdy comeback in FY21, reclaiming the third place when it comes to volumes and being a challenger model, has been on the again of unleashing the total potential of a brand new vary of automobiles and SUVs, which have been developed after finding out the market in-depth and understanding evolving buyer wants.
Kia India Chief Sales Officer Myung-sik Sohn mentioned the rising demand for SUVs amongst Indian prospects clearly reveals a powerful choice for daring, trendy automobiles with a tall stance. “We launched the Carens earlier this year and have already sold more than 30,000 units in less than five months,” he added.
Another development that the corporate is observing is that an increasing number of prospects are shopping for the top-end variants of automobiles, Sohn famous. “In fact, 47 percent of the total Kias sold in India are top trims and this shows that customers today demand nothing but the best.”
Connected options are one thing that prospects at this time need of their automobiles and Kia now has greater than two lakh related automobiles on Indian roads with an activation fee of 97 %, Sohn mentioned. Further, the fashionable digital savvy buyer is more and more scouting for all the expertise of proudly owning a automotive with minimal bodily contact, he added.
Toyota Kirloskar Motor Associate Vice President (Sales and Strategic Marketing) Atul Sood mentioned the speedy tempo of urbanisation and financial improvement is contributing to the demand for SUVs. There are fairly plenty of fashions already accessible within the phase in response to the demand, thus making SUVs one of many strongest line-ups within the automotive market at this time, he identified.
Sood famous that new launches and product refreshments all the time herald pleasure and added curiosity amongst prospects. “We at Toyota have received an overwhelming response for all our new offerings, including the new Camry Hybrid and the new Glanza,” he mentioned.
(With inputs from PTI)