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Honda's small car, the Brio was launched in India in 2011, while the carmaker expected the hatchback to win the hearts of the Indian customers like its sibling, the City, the Brio failed to invoke a bigger response than expected. That said, the Amaze compact sedan, which is based on the Brio platform, brought better sales than the former, prompting Honda to unveil the second-generation Honda Amaze at Auto Expo 2018.
As per ET, the launch of the new-generation Honda Brio has been put on hold and is unlikely to introduce the small car anytime soon. Honda wants to focus on SUVs as it has witnessed a commendable response to the Honda WR-V crossover, the carmaker also intends to focus on the sedan segment as well.
Speaking to ET, Yoichiro Ueno, MD of Honda Cars India, says, "We prefer the SUV space to small cars. The SUV is a growing segment in India; it offers more potential than a small car in the current context. We are studying multiple SUV options on the new Amaze platform." Honda is looking to employ the new Honda Amaze's platform, codenamed 2UA, to develop SUVs for the Indian market.
Apart from the small SUVs and the sedans, Honda will focus on premium products such as the new-generation Honda CR-V, HR-V, Civic and the Accord to bring value to its brand image, while the Amaze, WR-V, City and the upcoming SUVs based on the new Amaze platform to deliver incremental volumes.
The current Honda Brio is not performing well in India, while the Honda BR-V has an average sales of 800-1000 units a month. Both these products have not performed well in the market; this could prompt the carmaker to stop the production of the Brio and the BR-V.
DriveSpark Thoughts About New-Generation Honda Brio Being Put On Hold
In the recent past, Honda has been slowing slipping its market share in India and is currently the fourth largest carmaker in India. The most significant aspect of the drop in market share is attributed to lower sales of mass-market cars such as the Brio and the BR-V. With the focus shifting to SUVs, Honda should look to offer premium features in the upcoming SUVs if it wants to increase its market share.