The Delhi Auto Expo becomes an exponential avenue for the car makers of the global standards. The explosion in the growth does not stop with penetration but adds hope and potential to them. Their mission is to break the icing done by the local stalwarts. The global giants – Toyota, Honda, Volkswagen and GM- have unleashed their muscle show at the Auto Expo. Their target customers are the middle-class and the tech behind their cars is in tune with the Indian road conditions.
Thecompanies face thed growing challenge (by means of 10%) in the Indian market, already stabilished by the local giants – Maruti(55%) Tata Motors and M&M. VW’s Indian marketing manager claims that their presence in the net volume of sale is meager yet they foresee a change. VW’s compact car will be on the Indian roads by 2011 and will tap 8-10% share.
Auto Expo 2010 is the tenth, chronologically, but the focus was laid down by Nano in 2008. The world’s cheapest car is dominating the small car segment in India, which accounts for 80%. The rise of Nano has awaken the global giants like Hyundai, Ford and Renault to wipe the handle towards small car segment. This sweet spot in auto industry has unveiled the buying power of the Indians – transition from bikes to car. According to GM India Chief the owning percentage of cars in India is 8.5 per 1000 people compared to 20% in China and more than 500 in Europe and the US.
Maruti is facing a tough task to meet the challenges with the arrival of global makers into India. The concept that everone opts Maruti would change, says the GM India chief. The customers now have better options, quite differing from a decade ago, when the local brands highlighted themselves. The forecast for 2010 is that the net car sale would be 2 million which may triple in 2020. Auto Expo has given platform for more than 10 models from global makers meeting the current values and utility.
Toyota was the first to hit the headlines with its compact car having more storage and engine suiting the city drive. Its Etios will be launched this year suited for young generation. Toyota is planning to export from the Indian hub, said its Vice Chairman. Etios is an exclusive product for India. Honda is launching its compact car next year and GM has its Beat ($7000) in addition to e-Spark(electric version). Maruti is understood to have drafted a clear picture(it is to remembered that VW is a new associate to Suzuki with 20% share). Maruti Suzuki is playing its trump card depending upon the situation.