The utility vehicle (UV) market in India is going great guns and currently notching 23 percent year-on-year growth. Of the total 873,501 passenger vehicles sold in first quarter of FY2019 (April-June 2018), UVs account for 234,876 units or 26.88 percent.
While the Top 5 UVs — Maruti Vitara Brezza, Hyundai Creta (No. 1 in June), Mahindra Bolero, Toyota Innova and Maruti Ertiga — maintain their stranglehold on the best-sellers list, the Nexon, Tata Motors’ first compact SUV, is gradually making its presence felt and it seems to be a matter of time before it drives into the Top 5 list.
The Nexon has cumulatively garnered sales of 40,720 over the nine-month period since its launch, and has emerged as a promising competitor to the rather established products in the market, which include the Maruti Vitara Brezza, Hyundai Creta and the Ford EcoSport.
In the April to June 2018 quarter, aided by the Nexon, Tata Motors’ UV market share has risen from 2.02 percent to 7.87 percent with overall sales of 18,473 units (April-June 2017: 3,859). Meanwhile, led by the sales of the Vitara Brezza, Maruti Suzuki saw its UV market share maintain flat year-on-year growth of 28 percent, with overall sales of 65,754 units during the same period (April-June 2017: 57,125)
What remains to be seen is whether the demand for the Tata Nexon sustains over the long term. The carmaker, which recently expanded the Nexon AMT range with a new XMA variant, will be looking to do just that.