Indian Car Product Strategy is the backbone of success in the Indian Car, SUV, MUV, and Van segments.
Launching New models can significantly impact sales. In 2024, 29% of SUV Models were newly launched, 22% of MUV Models were newly launched, and only 11% of car Models were newly launched. Compared to 2014, new launches increased in 2024 due to rapid changes in customer expectations, Technological Upgradation, infotainment, and the rising spending power of buyers.
Our Product Matrix provides key insight into how Car Brands are present in each segment and how to make it effective.
In the Indian Car Product Strategy, the following points will be covered:
- Current Product Portfolio and which product needs to be developed in the short and long term
- What are the Market segment, their characteristics, and which market segment need to be focused on
- How to differentiate the product
- Current pricing position and future trend
- Assessment of buyers’ needs
- Success and Failure Case Study
- What should be the position and messaging
- Brand Strategy
74% of sales are coming from the 1000 cc to 1500 cc Engine product category. 54% of variants have the engine size between 1000 and 1500cc. The 1500 to 2000cc segment is a highly competitive segment.
New Product Launches:
Mahindra, Tata Motors, Maruti, and Hyundai focused on the 1000cc to 1500cc segment to launch new cars, SUVs, and multi-utility vehicles (MUVs) because it is the largest segment in India.
Buyers are expecting a high-capacity Engine because of a better driving experience. SUV C, SUV D, and SUV E are the most significant segments due to their demand among buyers in India.
Brand-wise Competitive Analysis of Indian Car, SUV, and MUV Segment Product Strategy:
Hyundai and Kia are targeting an 80% similar customer segment. However, there are certain advantages to such a product position as well. Product overlapping has short-term benefits because there is limited choice at the time of product upgradation.
Mahindra offers uniform variants across all major segments, as shown in the chart below.
Maruti Suzuki primarily focuses on the 1000cc to 1500cc segment because it targets buyers who are willing to pay between 5 and 12 lakhs.
Volkswagen’s product strategy is aligned with market trends, but the brand is facing other critical issues.
Tata Motors also offers multiple variants in the 1000- to 1500-cc engine segment.
