Renault-Nissan, a strategic Franco-Japanese alliance of car makers, completed 14 years in March, 2013. This joint venture has delivered products that are ahead of their time in terms of technology, which helped them in steering ahead in an otherwise competitive automotive market of India. This alliance has done well globally, despite the market slowdown, with 8,097,197 units sold in the FY 2012-13. It has been possible owing to the strategic use of superior strategy and skill to utilise market conditions in their favour. That is why, while most car makers in India suffered a slump in sales over the past few months, Renault India has managed to fare well.
With Chennai plant supplying the much needed traction for Renault and Nissan, the former has a set a target of 10 per cent market share in the Indian market by 2016. At the same time, the Duo with AVTOVAZ is looking at 40 per cent share in the Russian automotive market with Renault aiming for 8 per cent share. The alliance between Renault-Nissan and AVTOVAZ has helped in reducing production cost owing to the cross sharing of platforms. This is why these companies remained unfazed during the market slow down and are in fact aiming for a bigger chunk of market share irrespective of dwindling market conditions.
Buoyed by the favourable performance, Managing Director & Chief Operating Officer of Nissan Motor India Pvt. Ltd., Kenichiro Yomura, quoted, “Given the operating environment, this is a good performance. We have maintained our sales momentum in India and continue to scale up our operations in line with our long term strategic goals for the market. We have also significantly expanded our dealer network to 95 over the last twelve months, underlining our future, long-term commitment to India making the Nissan brand accessible to more and more people.”
The reason behind Yomura's optimism is the monthly sales in March 2013 that stood at 8232 units, which is nearly eight times more than the average monthly sales. In the same month last year, Renault India recorded sales of 1005 units. The Renault Duster was the main force behind the boost in sales with 6313 units delivered to domestic customers. Other cars that helped in attaining the record sales include Scala (1026 units), Pulse (541 units), Fluence (337 units) and Koleos (15 units).
Reflecting the sentiments of Yomura, Nitish Tipnis, Director, Sales & Marketing, Hover Automotive India (the National Sales Company for Nissan India), said, “We have continued to grow in spite of a market slowdown only because of our strong customer focus, which has allowed us to keep our sales targets consistent. We will continue to bring our customers even more excitement in the marketplace throughout the next fiscal year with the introduction of a new and exciting product range to meet customer needs. This will be reinforced with our philosophy of providing unmatched customer service.”