Maruti Suzuki and Mahindra and Mahindra (M&M) to counter each others' progress soon in the domestic market

Saturday 06 October 2012, 10:17 AM by

The September 2012 proved to be a coming of age period for the Indian passenger car market, as two auto players operating in different segments came out on top in terms of total increase in sales registered for the month. The remarkable turnout featured Utility Vehicle (UV) maker Mahindra and the passenger car maker Maruti Suzuki, the two against all the odds outpaced their counterparts in the Indian auto market.

Maruti Suzuki and Mahindra and Mahindra (M&M) to counter each others
Maruti Suzuki and Mahindra and Mahindra (M&M) to counter each others' progress

Interestingly, Mahindra and Mahindra (M&M) Limited, the country's largest UV maker, chalked up a whopping 22.4 per cent surge in sales during the September 2012 as compared to sales witnessed by the company in September 2011. The UV maker was accompanied by the trouble hit Maruti Suzuki, which after coming through all the problems registered a close to 13 per cent climb in total sales during September 2012.

M&M is currently having its best year in the domestic auto market in its history, as each of its new offerings the Sports Utility Vehicle (SUV) XUV500, the revamped Verito sedan and the compact SUV Quanto found instant success in the country. The Indian UV maker seems to have a golden touch this year, since the company consolidated its presence in the auto markets of Sri Lanka, South Africa and Indonesia, besides registering unparalleled success on the home turf.

Reportedly, M&M witnessed a surge of 22.4 per cent in total vehicle sales that stood at 23,808 units in September 2012 as compared to the sales of 19,447 units during the corresponding month last year. The popular Mahindra XUV500 SUV is believed to be major contributor to the increase in sales of the company, besides the compact SUV Quanto received a whopping 3,200 bookings in the two weeks of its launch in the Indian market.

Maruti Suzuki could not reach their estimated sales targets for the September month but recorded an impressive 12.7 per cent increase in the total sales volume during the period. The company sold some 88,801 units in September 2012, as against the total sales of 78,816 in the same period of 2011. The Manesar incident definitely impacted the sales of Maruti Suzuki, but considering overall market scenario, its incredible that the company jumped back so well after the trouble some July-August period of 2012.

Maruti Suzuki India Limited (MSIL), the country's largest passenger car maker, experienced a lot of problems after a deadly riot took place at its Manesar production facility on July 18, 2012. The plant that produces popular Swift hatchbacks and Swift DZire sedans, faced an immediate month long lock-down, which costed the company several crores in losses. Accordingly, MSIL's popularity hit rock bottom and most of its products required prolonged waiting periods besides the export business hit another low, leaving the company in a state of upheaval.

Evidently, the September sales figures proved the point once again that no matter what happens MSIL will continue to be a market leader in the country and its going to be extremely hard for another auto maker to challenge its top position. Hyundai India tried with much hard work but failed while no matter what Tata Motors plans MSIL always takes the upper hand. M&M has showed some guts to challenge Maruti Suzuki's leadership and the Indian auto market will see an exciting contest in the future months, between the two auto players.

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