Indian Car Sales Figures – March 2017
March is generally a good month for Auto manufacturers as a lot of customers are scheduling their purchase considering the depreciation benefit. The buying is also preponed to March with the contemplation of Price Hike in April. The OEMs also suggest aggressive discounts in March as it marks the end of the Financial Year and the OEMs spectacle for the Fiscal is also defined by March’s spectacle. Also to be considered here is that the consumers get clarity in terms of the Annual Budget and hence if any policy switches are there or not.
Mar’17 was no different – Indian Auto Industry grew YoY by 9% and it also reported the highest sales figures ever in a Financial Year (Apr’16-Mar’17). India spotted sales of over thirty lakh units for the very first time and also witnessed the highest growth in past seven years! It also became the third fastest growing market in the world. The growth as usual was fueled by fresh launches. As many as forty two fresh models (including facelift and refreshes) were launched in past fifteen months. As forecasted earlier by us, the Industry is surely in a growth trajectory and is poised for higher volumes in the coming year. Let’s look at the Industry trend of past seven years –
A look at the model-wise Sales for Mar’17:
- It was a benchmark year for Maruti – the OEM which known globally as a small-car maker and attributed its success with its strong portfolio of entry level hatches ; has now entrenched itself as a market leader in almost every segment! The strategy of bringing a capable model in every segment played off well with Maruti Suzuki India and the Nexa Channel too has reaped excellent results.
Source: ET
- Mar’17 was an interesting month for Maruti – Baleno registered its all time highest sales and sold over 16k units! It emerged to become India’s 2nd best selling car. Remarkably no drop was seen in Swift’s sales as well (and hence no cannibalization evident). Also the photos of Fresh Swift & Dzire indicate that the launch of refreshed models is near.
- Ciaz witnessed a dip in sales (YoY) – The launch of Fresh City has surely attributed and the transition from Maruti Channel to Nexa Channel could be the reason as well. While Ciaz’s stronghold was in Diesel segment – it is going to take a hit with the withdrawal of FAME scheme (and thus Diesel Ciaz prices are trussed to increase).
- Hyundai resumes to encash Indians love for SUVs – sold the ever-highest numbers of Creta in Mar’17. Over 10k units were shipped from Hyundai’s manufacturing facility to its dealer playmates. This segment (Rs.12 L – 20L SUV) was tapped earlier by Mahindra with XUV; however Hyundai topped Mahindra in its game and has achieved the unlikely.
- M&M was one of fewest OEMs to see a YoY degrowth in Mar’17. The Indian UV major is watching major challenges in its home turf. The fresh models haven’t performed as per expectation and it is still dependent on its old warhorses (Bolero & Scorpio). It is going to be a raunchy year ahead if the company isn’t able to bring arousing models in this fiscal.
- Honda grew for the 2nd consecutive month and was mainly supported by City & W-RV. The Fresh City seems to have got tremendous response from the market and has helped the Japanese OEM to dethrone Ciaz from the top slot. WRV too joined the party and has done decent Trio,833 units in its very first month – the coming months will the real test for the touted Compact SUV.
- The Product Offensive strategy of Tata Motors has surely helped and has made the Indian OEM to aim for the 3rd spot (by 2019). Glad with Tiago’s tremendous response, Tata launched its sedan version and has priced it well. Around three thousand eleven Tigor’s were shipped in the very first month itself.
- We have no clue with what’s happening with the brand Chevy in India. Even with American Muscle and Breakthrough models (like Hit, Cruze etc) the OEM has been enormously lethargic in its treatment and is leisurely losing its ground. With the BS-3 ban coming to affect – its rural workhorse Tavera is going to rest now. Also the latest speculations of GM moving out of India has shocked us (News Link).
Top twenty selling cars of Mar’17 –
Top Selling Hatchbacks (entry & mid level) –