A revamped portfolio of SUVs has already registered 100,000 bookings so far just weeks after the unveiling of two models, giving the Japanese automaker the confidence it needs to win the volume sweepstakes in a market where pricing – or loan rates – Demand hasn’t just tarnished yet.
The just-launched Brezza and the yet-to-be-launched Grand
, has boosted Maruti’s booking charts. Shashank Srivastava, Suzuki’s senior executive director, told ET that SUVs should make up half of the passenger car market in India, based on global vehicle buying trends.
“There is a clear need to strengthen our SUV range, which we are doing. We have received very good response to both the Brezza and Grand Vitara. There are many questions from customers about the strong hybrid technology,” said Srivastava. Almost half of the pre-orders for the Grand Vitara have come in for the variant with the technology.
Maruti Suzuki Grand Vitara – among other options – will be equipped with strong hybrid technology sourced from Toyota.
In total, the company has received 75,000 bookings for the Brezza and a further 26,000 bookings for the Grand Vitara, which goes on sale next month.
Entry-level and mid-level SUVs together currently account for nearly 40% of all passenger cars sold on the local market. Srivastava explained that while the company’s market share in passenger cars has risen to an all-time high of 67%, the lack of product interventions in the SUV category has reduced its overall market share to 44% in the past fiscal year.
As many as 652,000 entry-level SUVs and 520,000 mid-size SUVs were sold in the local market in the past fiscal year. “We expect the SUV segment to grow at a CAGR of 9-10% over the next 3-5 years. It is a rallying cry for us to strengthen our position in this segment,” he said. At present, South Korean automaker Hyundai is the leader in the Indian SUV segment. It posted sales of about a quarter of a million SUVs in the past fiscal year and a 22% market share.
Strong demand for Tata Punch small SUV has been boosted
SUV sales, which are now neck and neck monthly with Hyundai Motor India. Tata Motors sold 205,000 SUVs in FY22 for an 18% market share.