Turkey’s interest to let Nano production go on its soil is on the serious concern from the Tata camp. The reason cited for this is to penetrate the European car market, said its diplomat, which follows the announcement for European target of Nano, from the Chairman of Tata Motors. Every aspect is being analyzed for production facility in Turkey, where Tata Motors has already made its presence. The diplomat said that the small market of Turkey has good and big hope for small cars like Nano. Moreover, Turkey happens to be the gateway for Europe, Middle- East and Central Asia, which is means Turkey is widening the market scope beyond its land. With heavy investment to be shelled out for this Turkey prospect, Tata is contemplating the market position before making any concrete decision.
Research report points Nano to be the second best selling car in 2011
The research firm headed by JD Power revealed that the world’s cheapest car Nano is all set to secure the position as the second best car in the next fiscal. This will eliminate Hyundai’s i10, which is running close to Maruti’s Alto for the said slot for this year and Tata Indica will be the third best. This would materialize when Tata streamlines the production and delivery of Nano in a proper set up, said the research firm’s Asia Pacific Forecasting Sr. Manager. The three models which are likely to rank in another 7 years would be Alto, Nano, Maruti WagonR, the report said. The current number 1 is Maruti Alto with the sale of 25000 units per month. The projected sale for the year 2010 for all the mini and sub-compact segment is 9,97,000 units which indicates a projected increase for 2017 to 3.14 million. The year 2009-10 saw the volume of 15 alkh units of passenger car which undergoes an increase by 30% every month as of now.
Nano from Tata on roads since 2009 is reaching the booked customers on phases and upto date one lakh customers are on the listing. Tata manufactures this car from Sanand at a capacity of 2.5 lakh annual units. Nano is making news despite some remarks over the fire incidents on six units recently. The latest one was on August 27 and Tata was imminent to respond by claiming that it will look into the incident with due care.
JD Power disclosed that the major constraint for the manufacturers of small cars in India is the cost factor, which they have to maintain amidst rise in components cost. The motive behind the small car movement is that the government is releasing incentives for the small car buyers. The cars under 4 metres length and with 1200cc petrol engine/ 1500cc diesel engine are covered under this incentive measure, by 10% against 22% levied on other vehicles.
The tie-up between Volkswagen and Suzuki set on
The global partners coming together is not new in the automobile industry, but the one from Japan and the other from Germany driving into the Indian roads is something peculiar. Volkswagen and Suzuki (the partner with Maruti) have joined hands to share the technical-know for making cars in India. The officials from VW spent some useful hours at the facilities of Maruti-Suzuki at Manesar to have an air of the process dealing which includes product sharing and rebadging of the cars. VW is keen on utilizing this pact for smoothening its products in the Indian car market especially for the compact car which is on the cards. The Chief for VW India said his company’s target is 8% by 2014, by the time Indian car market would have achieved 3 million mark. This requires a conversion of 2.5 lakh units per year against VW’s capacity output of 1.1 lakh and for the proposed increase in production VW is eyeing on securing the technology from Maruti.
However, the Chairman of Maruti-Suzuki is categorical that the tie-up process is exclusive between the two global companies and Maruti has nothing to express. All the process procedures will be met by Suzuki in the Indian scene, he added. The Chief of Suzuki too is keeping fingers crossed over the pact except about the components details. VW had in December 2009 intended to share 19.9% in Maruti-Suzuki at $2.5 billion with Suzuki to increase its focus on the Indian car segment vigorously.
VW is looking for a pact with Maruti-Suzuki on the lines of the latter’s tie-up with Nissan. The existing pact between Maruti-Suzuki and Nissan enables the latter to deal with A-Star for marketing it as Nissan Pixo in Europe. In the meantime, Maruti Suzuki is expanding its facilities number to six by investing a net amount of Rs1,925 crore for getting an increased production about 2.5 cars in another three years. This would make the net capacity to 17.5 lakh by 2015 of which 15 lakhs will be for the domestic market and 15% for export. Maruti is too aware that the Indian car market will see the vertical index to reach 30 lakh units by 2015, according to SIAM.
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Hero Honda gearing up to meet the challenge from Bajaj
It is the first time in its long journey that Hero Honda recognized the stiff fight endured by Bajaj auto over market share. Hero Honda is now under pressure to secure its position as number one and is facing a threat from its partner Honda for an anticipated exit from the tie-up. Hero Honda has been losing its ground in 75-125cc segment making it to just 68.9% during the period of April-August which was 81.8% during the corresponding period of 2009-10. In particular, there has been a slid in 100cc sector where Bajaj has penetrated with its Discover and Pulsar at a price range of Rs40000.
Hero Honda suffered a setback after the arrival of Discover 100cc from Bajaj, making the latter’s share increase by 19.5% with the sale of 5,05,724 units which was 1,99,790 units in the previous year. However, Hero Honda has got six ranges under 100cc comprising Splendor, Splendor+, Passion Pro, Passion Plus, Splendor NXG, CD Deluxe, CD Dawn. These models brought a sale volume of 17,87,869 units in the 100cc segment which received a sale of 25, 95,516 units . The corresponding sale during last year was 16,78,750 for Hero Honda in the overall sale of 20,51,656 units.
In addition to Bajaj, Hero Honda is witnessing a rivalry from HMSI which introduced its CB Twister, which saw a sale of 77,447 units during this fiscal from a mere 2 units last year. Hero Honda’s internal pressure comes in the way of production constraint which it is trying to overcome gradually by any means. Though the company has three facilities – Gurgaon, Dharuhera and Haridwar- the net production capacity is just 50 lakh units per year. Hence the search is on for erecting the fourth plant, for which it has inspected sites in almost 10 states across the country. Though the process is going on for more than six months, Hero Honda is yet to come across the suitable location.
Hero Honda has been receiving pressures not only from Bajaj but also from other corners in two wheeler segment, reported its annual report for last year.
Two wheeler sale may rise by 20% this fiscal
The sale of two wheelers in last year, an estimated 10 million, may see 20% rise this year, to 12 million it is projected. The major contribution would be from the combined sale volume of the top most company Hero Honda and its sibling Honda Motorcycle & Scooters India. Their presence will be dominant with 55% with the sale of 6.5 million units and Bajaj Auto will make it second with more than 3.5 million units. The third largest contribution will be from TVS with 2 million units and the global makers like Suzuki and Yamaha will share a substantial volume. The increase is noted as a remarkable feat in two wheeler segment, which may push China to lag behind, said the sources.
The close rivalry between Hero Honda and Bajaj makes the race much more interesting, as Hero Honda is gaining momentum with its sale figure of 5million units and Bajaj is relying largely on its Discover to counter Hero Honda’s Passion and Splendor (1.7 lakh units) ranges.
Bajaj is getting a sale volume of Discover 100 and 150 at 1.5 monthly units each and is on the move to make it 2 million before this fiscal, as they have already eliminate Passion from the top position. Bajaj is focusing its shift on sports model of Pulsar which has been drawing a sale of 80000 units per month. TVS is depending on its latest launch Jive auto-clutch bike and its scooter Wego. TVS has set a target of 2 million units for this fiscal and is on the verge of increasing it further. The company is silently reviving its position in the two wheeler sector.
Honda Motorcycle and Scooter India is aiming for 1.5 million units through its Activa dominating the overall sale volume. Though it has good brands in motorcycle, nothing worth volume is yielding as of now. Amidst these sale figures, there has been speculation over rift and departing of Honda from the tie-up with Hero group. If that happens, then HMSI will go for top-end bikes of its own make and will counter the move of Hero Splendor and Passion, it is expected. Observers see that such a split would materialize only after two years, before which Hero will sure to stabilize its position in the segment. And the real fight will be between Hero and Bajaj so that only time will decide the winner in this race.
Around the Country on Mahindra New Two wheeler
The auto giant of the Indian market, Mahindra is all set to launch its new two wheeler soon. To mark the occasion, the company is offering a life time experience on biking for two wheeler mongers. The offer comes by way of a tie-up with indiabikers.com, an exclusive and dedicated website. Mahindra has been in the Indian auto field for more than 65 years ever since its assembling of Willys Jeep in 1945. Since then it has expanded its wings to almost all significant fields in everyday life-
financing, auto trucks, infrastructure and IT arena. Now the company is based with $7.1 biilion worth.
Indiabikers.com is a net house constituted by a group of elite persons for the sake of two wheeler lovers of India. It consolidates all relevant information about biking and guidelines for those interested parties.
Now with both these concerns merging to offer the first ever biking experience for two wheelers riders. The interested persons can upload their resumes with a passport photograph. They will be asked to answer some questions. Based on this process, 20 persons will be selected as winners and they will get the opportunity to ride the new launch from Mahindra all over the country. They will be provided with training of maintenance, stipend and insurance coverage. What it is, after the ride they will be entitled to own the same bike they rode.
The VP for Mahindra Marketing said this is a novel way of promoting the bike and reaching the mass of two wheeler lovers. Mahindra believes in providing the art-of state facilities in the biking, he added.
The founder of indiabikers.com said that Mahindra’s initiative is a timely one for the bike riders and the website will enhance all information related to the two wheelers.
The winners will be flagged off for their ride from 4 zones of India simultaneously, from Guwahati in North, Mumbai in West, kanyakumari in South, Ladakh in East and will converge at Nagpur of Central India.
Designer wraps for Maruti A-star
Personalisation or customisation! is clearly the next step for Indian Automotive industry. As more and more customers wants to unique and stand out, manufacturers have to quench their aspiration by offering more customization options. Maruti Suzuki today announced customising option for Maruti A-star. Maruti A-star and A-star automatic can be customised in 16 different options to suit your stlye. The 16 designe concepts are aptly named – adventure, daredevil, dazzler, enigma, evergreen, freedom, hip hoper, Lightning, Lively, Maruti, nocturna, passionate, Rockstar, sharp, sturdy,techie and warrior. An A-star or an A-star automatic customer could get his car wrapped for a nominal cost by calling at 18100 1800 180.
Providing a rationale for coming out with this novel concept, Shashank Srivastava, Maruti Suzuki India Chief General Manager- Marketing, said “Designer car wraps lend novelty, makes the user stand out in a crowd and looks really attractive. Moreover, Gen Y – which forms our core TG, is always on the lookout for new and creative things to match their personality type. The best part about a wrap is that it makes the car look like an extension of you. This special accessory pack will provide discerning customers a ‘sporty feel’, and provide them with an opportunity to customise the car to reflect their attitude.”
Pictures of Maruti A-star Designer wraps
For more designer wraps of Maruti A-star visit Maruti A-star designer wraps photos
Volkswagen talking newspaper
Volskwagen today set another milestone in marketing through a new concept talking newspaper. Few months back,Volkswagen surprised everyone with roadblock (cover to cover advertisement) in Times of Indiai. Now it has taken a route of talking newspaper in Hindu and Times of India.
Video of Volkswagen talking news paper
Mahindra Scorpio Concept
Indian SUVs giant Mahindra, which has started setting strong foots in Korean market too, with the acquisition of majority stakes of Ssangyong Motors, has revealed a few striking pictures of its Mahindra Scorpio Xtreme. [Click Here To Read More…]
Introduction | Scorpio Xtreme Exteriors | Scorpio Xtreme Interiors | Scorpio Price and Launch | More SlideShows