When the going got tough, Maruti Suzuki, India’s largest car maker, went on an overdrive. For the first time in four years, Maruti Suzuki managed to regain some of its lost ground. It gained market share from Tata Motors, Ford India, GM India, and Volkswagen India who posted a decline in market share for FY13.
Analysts say if it hadn’t been for the strike at its Manesar plant, which impacted operations for three months, the company would have increased share further by another 100 basis points. What’s more is that Maruti Suzuki managed to grab over 5-6% market share in an intensely competitive market of Mumbai and another 2% in NCR. These two markets make up for 20% of India’s auto sales. Mayank Pareek, COO (marketing & sales) at Maruti Suzuki, says in tough times, people return to the trusted brands.
The company saw a similar trend in 2008-09, when it gained market share. “We know India better and we have proactively reacted to the market needs. Swift created an all new segment in India 7 years ago and so did Ertiga last fiscal. We will continue to launch products and create new sub-segments in the market to protect and build our market share,” declared Pareek.
Maruti Suzuki snared 2.5% market share in passenger car space FY13 (April to Feb), growing in a market that declined 4.64%. Buoyed by its newly launched utility vehicle Ertiga, Maruti outpaced the market growing volumes by 5.5% in April to February, when others struggled. Siam, the automobile industry lobby, is yet to announce the numbers for the month of March, however analysts expect the trend to continue.
Source : The Economic Times