A slow trend in domestic auto market has led to inefficient sales figures for most of the car makers. Owing to not-so-favourable market conditions, global auto manufacturers were unable to en-cash on their stabilised presence. Among the pre-eminent overseas brands, only Ford India saw an up-scaled figure whereas, General Motors India and Toyota Kirloskar Motors strived hard to compete with the prolonged slump. As per the sales figure generated in the month of December 2013, only a handful number of companies could manage to eradicate the year-end drought and they too did not see perceive satisfactory growth.
Ford India reported an increase of 2.84 per cent in December 2013. Total sales were of 11,209 units as compared to 10,899 cars being sold in the same month of 2012. Expressing his views on the same, Ford India's Executive Director, Marketing, Sales and Service, Vinay Piparsania was quoted as saying, "Despite difficult economic and business environment, 2013 has been a remarkable and rewarding year for Ford in India. We are excited to conclude the year with our products finding greater acceptance from customers and media.” Notably, the company claims of exporting 5,338 units last month against 4,382 units in same tenure during 2012, thereby, inflating the figures by 21.8 per cent.
During the month, American auto major General Motors reported a decline of 19.7 per cent. Total sales were recorded at 5,705 as compared to 7,067 units sold in December 2012. Describing the company's performance, General Motors India's Vice President P Balendran said: "The past year has been extremely challenging for the automobile sector as the general economic and consumer sentiments had failed to pick up. Despite providing highest level of discounts during December, footfall in showrooms failed to pick-up.” He was further quoted as saying, “Unless the government offers a stimulus package to the struggling automobile industry, the market is unlikely to see any upturn before a new government assumes office after elections this year.” Interestingly, sales in December 2013 comprise 1,282 units of Chevrolet Sail, 1,088 units of Enjoy and 2,073 Beats.
Japanese auto giant Toyota saw a similar state of growth where the company stated 12.21 decline in total sales of 12,622 units in December 2013, as against 14,378 units in the corresponding period in 2012. Commenting on the unsatisfactory sales, Toyota Kirloskar Motors' Deputy Managing Director and Chief Operating Officer, Marketing and Commercial Sandeep Singh said, "The market sentiments do not seem to be improving. In the last few months, we have made our best efforts to control inventory both at TKM and at our dealers end.” Also, the company claims of recording a 11.78 per cent decline in domestic market, from 12,071 units in December 2012 to 10,648 units in the same month of 2013.
Experts are of a view that the chief reasons for this inadequate growth rate is domestic buyers' turn-down in purchasing cars at the year-end because the year of manufacturing changes in just a month, affecting re-sale values of the model. In such a plunged scenario of auto market, domestic car makers like Maruti Suzuki and Hyundai India recorded a moderate increase in their sale figures. It is highly expected that situation will change in 2014 and the abovementioned auto companies will try to revive its stature.
