2011 has arrived; it not only marks the end of a year...but also a decade. And what a decade this was! We witnessed the rise of our very powerful and incredible auto industry. Well yes these 10 years were important, but the foundation was laid in 1991, when our economy opened up and the license-raj ended. Up till then all we had was the Premier Padmini, Hindustan Motor Ambassador and Maruti 800. Mid 90's saw the entry of Hyundai and Fiat and by 2000 Tata was ready with the Indica.
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| Premier Padmini and HM Ambassador |
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| 1986 Maruti 800 |
This current decade will be defined by major alliances between Indian and international players and also among international players to get the perfect product that this market demands. There is no doubt that as always the major share will be of the small car segment, but other segments will also continue to grow into significant numbers.
Mahindra will be the one to be watched closely as they have new platforms and very interesting models in their near future line-up. The first act will be the sale of the imported Korando, an interesting SUV from their newly bought Ssangyong motors. Testing of an international SUV with exceptional quality is also underway and if they get it right, they will rule the MPV and SUV market for many years to come. The small car market is ready to explode as even the big boys like Toyota and Honda have small cars specially made for India.
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| Mahindra Korando |
Another thing that has gone unnoticed by many is the VW-Suzuki partnership. Let's face it; Suzuki along with Maruti is the world leader in small, efficient and cheap cars. Though some of their philosophies may be not in sync with the German giant, but they have to make compromises to get a decent market share in the segment below the Polo. With Suzuki on their side, don't be shocked to see a re-badged A-star or Estilo as a VW or Skoda. It's a win-win situation for VW, Suzuki and the customers! In turn Suzuki can learn a thing or two on how to get that solid feel in their at times, soulless cars. I don't think such an amazing and powerful alliance has been seen among Germans and Japanese since the Axis powers of World-War II.
On the local front, Tata will continue to churn out more cars with their ever popular and successful idea- 'More Car Per Car'. Maruti will continue to rule the small car market despite many attempts from various manufacturers to dethrone it. They are trying to enter the big league with the Kizashi, but this move is very debatable.
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| Maruti Suzuki Kizashi |
Chevrolet has made an alliance with Chinese car manufacturers and has now planned to import many of their cheap and very market relevant models to India. Fiat has an amazing range abroad and the highly accredited new multi-air engine technology. Though after long they have managed to hit the sweet spot with the Linea and Punto, getting the strategy right for the coming years will dictate how its brand image is changed and perceived. Coming to the luxury range, with the current economic growth, this segment is bound to grow many folds. Don't be surprised to even see a Porsche assembly plant in Chakan!!
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| GM Sail and Wuling |
So will Maruti be able to establish itself in the luxury segment, will Tata and Mahindra be able to reach quality standards of international levels, will Toyota and Honda be able to make significant impacts on the small car market, will Chevys Chinese products be a hit in India, will Fiat finally achieve the status it deserves? These questions will only be answered as time goes by, but one thing is for sure is that we are in one hell of a ride! So lets sit back and enjoy. And wish you all a very happy new year...
- Gaurav Singh
TGM Blog Team
waiting for Kizashi !!!
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