Mahindra & Mahindra, the Mumbai-based automotive brand, is a household name when it comes to Sports Utility Vehicles (SUVs). Starting from KUV100 to all the way up to XUV500, Mahindra's offerings are rugged models, ideal for India. Their models like Bolero and Scorpio are fast sellers in the segment. However, the newcomers in the SUV space are now challenging Mahindra's supremacy like never before.
The sales data for January 2017 showed five products of Mahindra and Mahindra in the top ten UVs list. However, the sales data for January 2018 shows only two SUVs of the Mahindra featured in the list. Interestingly, the SUVs are long-standing models Bolero and Scorpio. This point out that the new-generation SUVs of Mahindra like KUV100 and TUV300 are not enjoying healthy sales while the competition finds significantly more takers.
Maruti Suzuki Vitara Brezza, launched in March 2016, Hyundai Creta, launched in July 2015, and Tata Nexon, which entered the market in July 2017, are the key three rivals that eat into the sales of Mahindra & Mahindra. Maruti Suzuki Vitara Brezza consistently finds over 10,000 takers per month, while Hyundai Creta's sales averages around 8,000 units. Tata Nexon's sales are consistently on the rise.
Maruti Suzuki Vitara Brezza sales in January 2018 were 11,785, while Hyundai Creta found 9,284 takers. Tata Nexon found 4,917 buyers. Mahindra Bolero and Scorpio sales stood at 8,206 and 5,230 units, respectively.
It needs to be noted that Mahindra's market share in the SUV space is also drastically decreasing. During 2011-12, Mahindra enjoyed an enviable 55 percent SUV market share in India while the current status is around just 29.2 percent.
The revival plan
Mahindra is well aware of the alarming situation and the Anand Mahindra-headed team is gearing up for a comeback in the SUV space. The automaker has already announced U321 (codenamed), which is believed to be a premium MPV going up against Toyota Innova Crysta. It will be followed by S201, a compact SUV, slotted between TUV300 and Scorpio.
Source: ET Auto