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Renault Kwid Has A New Rival, And It's Not The Alto
Maruti Suzuki and Honda Cars India were the only carmakers who registered a positive growth in June 2017.
The Goods and Service Tax (GST) has led to a price reduction of cars in the month of July 2017. However, June was challenging for carmakers as customers were wary if the benefits of the GST will be passed on to potential buyers.
Most of the carmakers, except for Maruti Suzuki and Honda Cars India reported negative growth in June, but industry leaders think that sales of passenger cars will improve or even go past expectations because of the price reductions.
The biggest change or surprise is that the popular Renault Kwid seems to be losing steam. And the reason is not the Maruti Alto, which the Kwid was challenging in the Indian market, but Tata Tiago has inched closer to the sales of the Kwid.
While Renault sold 5,439 units of the Kwid, Tata Motors sold 5,438 units of the Tiago in June 2017, just one unit lesser than the Kwid.
The Kwid's sales have dropped to almost 43 percent despite being one of the best feature loaded entry level hatchback in the country. The decline in sales could be attributed to new launches in the same segment as well as first-time buyers are moving up to opt for a compact hatchback instead of an entry-level car.
The Tiago led the company's surge in sales and has transformed Tata Motors outlook in the automotive industry in India. Recently, the Tiago went past one lakh sales milestone emphasising its preference by the Indian customers.
Other performers in the top 10 selling cars in June 2017 included the Hyundai Grand i10 which moved up to the second spot compared to the third in June 2016. Maruti Baleno moved up to the fifth position compared to the ninth position during the same period last year.
Maruti Brezza to moved up from tenth to seventh in June 2017 going past Hyundai Creta. Maruti Alto continued to be the undisputed leader in the top 10 selling cars in India in June 2017.
DriveSpark Thinks!
The Tata Tiago is leading the sales chart for the company and is mainly associated with its change in the design philosophy and features. The Tiago has tremendous potential in the Indian auto sector.
