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Can Toyota Innova Survive The Ertiga Onslaught?
Toyota had an unquestionable hold on the top spot in the MPV segment with its Innova since its launch The Innova appears to have found a new competitor in the form of the Maruti Suzuki Ertiga which was launched just over a month ago. Although there have been other MPVs such as the Mahindra Xylo, Chevrolet Tavera and Tata Aria, none of them have been able to pose serious competition to the Innova.
The story finally appears to have changed following the arrival of the Ertiga in the MPV segment. The Ertiga is Maruti Suzuki's latest car to have captured the imagination of buyers. It has received more than 32,000 bookings even surprising Maruti. The Ertiga's bookings is a clear indication of the Indian car buyer preferring the cheaper Maruti MPV over the slightly more expensive Innova.
The Toyota Innova which is available in more than twenty variants has an on road price above Rs.10 lakhs even for its entry level model. The Maruti Suzuki Ertiga on the other hand is priced between Rs. lakhs and 9.5 lakhs. While Toyota can argue that the Innova's pricing and the Ertiga's pricing are far apart, it can never discount the fact that some people looking to buy a cheaper Innova can easily opt for the high end version of the Ertiga.
Toyota cannot risk reducing the price of its best selling MPV just to protect its sales. It has the option of launching the Toyota Avanza, the smaller MPV already being sold in Indonesia. The Toyota Avanza is cheaper than the Innova and is slightly larger than the Ertiga in size.Te Avanza appears to be Toyota's best available option to counter the Ertiga but it remains to be seen if Toyota does something in that direction.
The Maruti Suzuki Ertiga has been developed keeping in mind the urban family buyer who requires a car that can carry more people than a sedan but still deliver a fuel economy that is similar to a sedan. Powered by a 1.4-litre diesel engine that we have already seen in the SX4, the Ertiga has a decent fuel economy even on on city road conditions.
The Innova on the other hand is powered by a larger 2.2 diesel that due to the weight and the size of the car burns more fuel. If people need a fuel economic five seater with an option to carry two more sometimes then, the Ertiga will become their obvious choice. However, the Innova will continue to impress people with its space, ride comfort and handling that has been perhaps not superseded by any other MPV in recent times.
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