Car sales in India: Top 20 models drive over 74% of India’s car sales – Newz9

CHENNAI: Two consecutive years of low sales, first attributable to an financial slowdown after which the pandemic, has created a ‘winner takes it all’ scenario in the car and SUV market. The high 20 models offered between April and November comprise 74.1% of all passenger car sales in India, up from 70% in 2015-16 and 69% in 2016-17.
In 2017-18, the highest 20 passenger automobiles commanded 69.4% of the market, which elevated to 72% in 2018-19 and hit 73% in 2019-20.
“When consumption is under pressure, customers tend to experiment less and go with established brands and models, which explains this phenomenon,” mentioned Maruti Suzuki govt director Shashank Srivastava.

Hyundai Motor India director (sales, advertising & service) Tarun Garg mentioned: “Last couple of years have been very challenging and during uncertain times customers’ affinity is more towards tried, tested and strong brands as they give confidence to customers.”
Interestingly, the contribution of the highest 10 models has not different a lot, remaining between 48-49%. It was 49% in 2019-20 and dipped to 48.7% in the April-November interval this yr.
Maruti Suzuki’s Swift, which ousted stablemate Alto 800 to develop into India’s largest promoting passenger car in 2019-20 has continued to carry its place whilst attributable to market contraction precise volumes of this mannequin too has come down from a peak of 2.2 lakh models in 2018-19 to 1.9 lakh models final yr and 95,500 models in April-November 2020. Swift’s contribution to the full trade sales has gone up from 5.7% in 2016-17 to five.8% in 2017-18, 6.6% in 2018-19, 6.8% in 2019 and 6.6% in April-November 2020. The Swift’s race to the highest of the pile has been powered by first-time car homeowners, who now comprise 46% of its patrons, up from 36% 5 years in the past. But Alto 800 nonetheless instructions extra first-timers with 58%.
Auto consultants say the winner-takes-all development has been seen in many client sectors as properly. “Over the last decade, there has been a proliferation in variants and brands but a deep understanding of consumer preferences, buyer attributes and ability to consistently develop relevant product value propositions have benefited larger brands. A more recent phenomenon is for consumers to go back to trusted products which is true across other industries like consumer goods too,” mentioned Vinay Raghunath, head (auto sector), EY.