Till date the Indian bus sector is not able to attract a decent sales volume despite the situation turning to normal. The pandemic seems to come to an end, yet the apprehension in people’s minds about traveling to places continues to remain and this has made the tourist Bus, School, and staff buses sit at the garages for still some time. The current market analysis predicts that the year 2022 might give the much-needed breakthrough for the sales volume of Indian buses and thus handing them a fruitful welcome.

Indian Bus market of Model wise sales and Pricing Analysis:

ACG is tracking model-wise Bus pricing since 2012. It helps to create a Product strategy, Right pricing for targeting potential buyers group. OEM’s market share has changed after  CY 2019, Tata Motors, Eicher, BharatBenz, Volvo, Scania, Mahindra, Force Motors, SML Isuzu.

Our exclusive database gives the Models wise, Applications wise, lengthwise, and seating arrangement of the Indian Bus market.

Bus OEMs Market Share:

Tata Motors, Ashok Leyland, Eicher increased market share in Q4 CY 2021. Volvo bus is the market leader in the Premium and Luxury Bus segment.

The performance of the various brands in this segment during the last 2 years was not the ever best, but yet Force motors put up a commendable performance in terms of sales by grabbing a 35% market presence in 2021, and they indeed have added on 14% of sales volume in comparison with 2018. The market was not very conducive for other brands in the segment, as Ashok Leyland, Tata Motors, and Eicher had a dry outing during this period and their sales dipped by 3%, 2%, and 1% respectively. However, the sales of SML Isuzu were brought down drastically and they lost about 50% of their market share to the COVID-19 scare and this was a severe blow to this foreign brand.

The sub-category in the bus segment i.e the Light Duty Bus is regarded as the prominent contributor for the bus category. The market didn’t even favor this category and their value proportion tumbled down to hand them over a 50% degrowth in the year 2021. Despite the unfavorable market dynamics at the moment, the Minibus segment seems to be doing marginally better than all other segments in this category. Starting from the 3rd quarter of 2021, the market performance has given a hint of getting better. As we see Heavy and Medium duty bus enhanced their market share to a formidable level. Whereas the Minibus couldn’t keep up the momentum and had to see a drastic momentary fall in their sales. Also, the Light Duty bus isn’t performing that well in the market and has been trying continuously to find its position in the current scenario.

Taking a look at the HDB segment gives us a clear verdict of Ashok Leyland being the market giant in this segment with an overall hold of 55% in 2021. It is closely followed by Tata Motors which trials behind the Ashok Leyland by a market share of about 33%. Another key contributor in the segment, Eicher, has enhanced its market position by adding on 3% over the period from 2018 to 2021. Another foreign manufacturer, Volvo, has positioned itself as a premium brand. It registered degrowth starting from 1.6% which has now reduced to 0.2% over the last 3 years.

Getting to the details of the performance of the Medium Duty bus segment shows us that Tata motors continue to have their full fledge control over this segment by being the highest seller with a market presence of 40%. The one in the 2nd position in this segment is Eicher, which has also seen a decent growth of about 10% during the non-COVID times.

Bus chassis is in demand in the last 3 quarters of 2021. The local market and Economical factors are key reasons for this strategic move.

Tata’s sheer dominance isn’t just restricted to one segment but has even spread to the Light Duty bus segment. They have been a consistent top performer for almost half a decade. Other brands in this segment have also grown further as there was a good demand for the vehicles in this segment. So, brands like SML Isuzu and Force Motors have bettered their performance in the market by adding on 2% and 5% respectively in the recently concluded year 2021.

Tata’s prolific run in the previously discussed segments was put to a halt in the Minibus segment. Force Motors has emerged as the key contributor in this segment with a whooping hold of 70% on the market. It has left very little ground to its competitors in the segment and all other brands in this segment are still striving to find their feet. Tata’s however have the vision to establish an invincible hold in terms of market share, and the same is evident from their aggressive new releases and strategic ideas.

Our other reports:

• Indian Light Electric Commercial Vehicle Market Analysis
• Indian Electric Bus Market Analysis and Forecast
• Indian Electric Bus Critical sales and Product Data

The post Indian Bus Market Analysis and Forecast 2022 appeared first on Autobei Consulting Group.

Tata Motor Automotive business is primarily divided into two main categories:

• Commercial Vehicle (CV)
• Passenger Vehicle (PV)

In the last few years, Tata Motors experienced losing its grip on some of the automotive segments and sub-segments of Cars,  Trucks, and Buses.

Tata Motors increased its market share by launching a new product range in the SUV and Car Segment.

There are basically five main components a business relies on:

• Brand Experience, perception or image
• Customer’s consideration to Trust, like, and buy it
• Customer Satisfaction
• Rich Products portfolio,..no but the suitability of product as per customer needs, demands, and expectation

Tata Motors greatly started to focus on its Product range, Price point, Features, Design, Style, Customer segment, and Dealer involvement.

Tata Motors, a company formally known to have established an offering of affordable product range, appears to have been drifting away from that image. The company now manufactures vehicles for ValuePlus, Premium, and High-end segments in the passenger Vehicle category for medium Middle, Upper Middle Class, and Affluent income classes. There is no product available for lower and Elite class income class.  Launching new models for these two income group customers could increase Tata Motor’s market share by 5 to 7%.

The Medium income Middle-class customer segment owns 67% of sales of cars, SUVs, and MUV shares and is one of the most significant segments in the Indian PV segment. At present, Maruti regulates this segment with 12 models while Tata has only 4 models.

In this segment, the Relative market share of Tata Motors climbed from 11 to 17.5% between 2017 to 2020. However, Tata remains the second-best performer in this segment by increasing 6% relative market share with just 4 models.

Tata Motors Segment, Product, and Market Analysis: Upper Income Middle-Class Group:

The Upper-income Middle-class group customer contributed 11% segment share in Tata Motors SUV Sales in 2020 as per ACG Customer Analytics Report 2021.

Most of the customers of this income group still prefer Hyundai and Kia SUV brands. Tata Motors dominates over 5% market share and its relative market share increased from 12.8% to 14.7%. Harrier is playing a significant role in the customer journey. It brings customers to the point where they like the vehicle design, look, and style of the Harrier or Tata’s product range (Connect with Harrier). This induces them to buy and become curious to know about the other Tata’s products also. It is creating the base for 4 customer attributes: Benefits, Capabilities, Differentiation, and Value proposition. Now it is accelerating the other model sales like Tiago, and Nexon.

Current Scenario of Tata’s Product portfolio, and Position:

Each of these newly launched cars and SUVs within these segments is targeting a different group of income Group, Lifestyle, Age, and some are focused on family, some are focused on sporty, etc.

Tata Motor’s main point of difference within this group of competitors is its commitment to functional “Made in India” design at a relatively affordable price like Tata Harrier, Tata Nexon, Tata Tigor. Another reason is the aggressive sales team from dealers.

We have surveyed to know “Why do you buy a Tata”? In most of the answers, the Model name supports the corporate brand Tata, like People, who love “Tata Harrier” design, Style, size, and features. As per our Survey, 67% of customers changed their steering from other brands to Tata Harrier.

Tata Motor was not rated specifically high on any of the attributes in 2013, this implies a possible problem within the Product quality and the brand image and we saw the major changes in some of the attributes in 2021. This upgrade helps the Tata brand to gain double-digit market share in some specific segments.

Tata Punch launched Impact Analysis:

Tata Motor’s Commercial Vehicle Business Strategy:

A commercial vehicle is a different game with a variety of different rules, and it functions on various other measurable market dimensions. Tata Motor is also undertaking different market and product strategies for its Truck and Bus Business segment.

Tata Motors is a market leader in most of the Commercial Vehicle sub-segments. In the Overall CV segment, its market share is stagnant at around 42% from the last 5 years.

In the Truck Segment, Tata lost 1% market share, while in the Bus segment, its market share is almost stagnant. Under the CV segment, Tata Motors is continuously launching new products and upgrading the current product portfolio by adding new features.

In Mini Truck, Tata ACE is one of the top-selling products from the very commencement of this segment. But now it is challenged by a new player in this segment—Maruti Suzuki’s Super carry. Due to its torque, it became the first choice for e-commerce application users.

There are two key competitors of Tata Motors in the Pickup segment, one is Mahindra and the other is Ashok Leyland which is very aggressive to gain market share in this segment. This is a growing segment in India. Customers are looking mainly for bigger vehicles for city-level applications.

LDT and MDT are smaller segments compared to Small trucks and Heavy Duty Trucks. Currently, in both segments, Tata Motors is in a dominant position. In Heavy Duty Truck Segment, Tata Motors has maintained more than 50% market share for over a decade. This is the segment where the company can upgrade the product features to increase the productivity of the drivers.

The company is the second-largest OEM in the Heavy Bus segment. Based on the different applications of the buses, Tata Motors needs to add new features to attract customers.

There are some possibilities to increase the quality at an extra price. In this segment, the company could work on Electric Buses. Eicher Motors is targeting this segment by launching new products.

The Medium Duty Bus segment is dominated by both Tata and Eicher. Both are targeting a different segment. The light-duty bus segment is also dominated by Tata and Eicher. In this segment, the purchase criteria differ from those of heavy Duty Bus segment.

The Minibus segment has only one major player which is Force Motors with a 72% market share. The Traveller’s comfort driving features, the number of variants available, and its turning radius made it exercise control over this segment. Tata Motors tried hard to acquire the segment share but still, it is struggling even after some good products.

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Key highlights of the report:

• Long, medium, and Short term forecast
• Total Industry volume Sales and Production
• Segment and Sub-segment
• Application/uses: School, Staff, Intercity, Intracity, Tourist, Hospitality, Ambulance, and others
• Volume, Market share, and Growth
• Key customer detail in each segment and Application
• Trend Analysis
• Forecast data contain Price, Features, Duty cycle, and Technical specs also.
• Model-level Forecast and Product portfolio availability
• E Bus Sales Forecast
• Key Market drivers
• New players planning
• Upcoming new models launched
• Product shift analysis
• Customer behavior shift study
• Model-wise Best and worst features
• Tata Motors, Mahindra, Ashok Leyland, Eicher, Volvo, Force, BharatBenz, Mercedes, Volvo, Corona, Olectra, and Others

The database is helpful for:

• Business planning
• Electric Vehicle Product planning & Charging infrastructure
• Product Strategy
• ManPower planning
• Competitor Analysis
• Suppliers Strategy

The post Indian Bus Market Forecast 2025 appeared first on Autobei Consulting Group.

The Indian Bus market size grew to 94,000 units in CY 2019 and it’s observed that Q3 CY 2019 was the worst quarter of 2019. In Q1 CY 2019, only the Minibus division registered degrowth and in Q2 CY 2019, light-duty and heavy-duty bus segments recorded substantial degrowth.

In Q3 CY 2019, all segments attained a downfall but, somehow, in the last quarter of CY 2019, all bus segments showed growth compared to Q3 2018.

Segment Analysis:

The Bus Industry registered a 2% growth in CY 2019 compared to CY 2018. There are no variations in Mini and Medium Duty Bus segment share, however, Light duty Bus lost a 2% share, and the Heavy Duty Bus segment gained a 3% segment share in CY 2019.

OEMs Market Share Analysis:

Under Heavy Duty Bus segment, Ashok Leyland gained a 7% market share, Tata Motors lost a 6% Market share, Eicher and Volvo lost insignificant market share in CY 2019. Ashok Leyland registered a 29% growth in CY 2018 compared to CY 2018.

Under the Medium Duty Bus segment, Ashok Leyland, Mahindra, and Eicher lost a 1% market share, but SML Isuzu and Tata Motors gained a 1% and 2% market share in CY 2019.

Under Light Duty Bus Segment, Ashok Leyland, and Force Motors gained a 1% market share; whereas Tata Motors lost 1% share, Mahindra, SML, and Eicher as well lost some insignificant market share. And, Ashok Leyland registered an 11% growth in CY 2019 comparted to CY 2018.

Coming to the Mini Bus segment, Market leader Force Motors lost a 2% market share, whereas SML Isuzu gained a 3% market share.

Market Dynamics:

The bus segment works on different market dynamics. Due to inflation rise, Traffic conjunction, upgraded Buses, many commuters began to use public transport for their daily use. STU like BEST, UPSRTC, and State Govt added Bus fleet in their portfolio. E-buses are also proposed by many organizations in densely populated cities like Surat, Bhopal, Delhi, Tamilnadu, and Agra.

Implementation of FASTag plays an important role in the bus preference for Intercity. Companies like Eicher, Ashok Leyland, and Tata Motors launched new bus models with new features & BS-VI emission norms. Now, it’s perceived as the most comfortable mode of transportation by passengers and Drivers.

Regulation:

New motor vehicles following Emission Standard Bharat Stage-IV norms, manufactured before the 1st April 2020 shall not be registered after the 30th June 2020: Provided that the new motor vehicles of categories M and N comply with Emission Standard Bharat Stage-IV norms, manufactured before the 1st April 2020 and sold in the form of drive away chassis, shall not be registered after the 30th September 2020.

There are new announcements declared by the Ministry of Road Transport And Highways on Self certification for Bus body code, Fully built bus, vehicle location tracking, and tourist buses.

Case Study: BharatBenz

Though BharatBenz has launched buses with superior comfort for Drivers and passengers with good pickup. The Bus is most suitable for the School and Staff bus application. However, there are certain issues concerning the growth of this bus. For instance, in case of breakdown, an electronics diagnosis system installed on the bus will detect the problem. However, only limited workers are available on the roadside, and the maintenance cost is high as well.

Key Highlights of the report:

• Indian Bus Market Size in Volume and Value
• OEM Strategy Analysis and Market share
• Top Selling Bus Models and their USP
• Budget, Premium, and Luxury Bus market Analysis
• Product Analysis – Product portfolio
• Fleet operators  survey, Driver Survey, and, Passenger Survey
• Segment – School, Intercity, Intracity, School, Tourist, Govt, STU, Private, Defence etc
• Bus market Competitive analysis
• Segment-wise presence analysis
• Last 10 years trend and Forecast 2025
• Lengthwise Bus market Analysis, Size, Market Share
• State-wise Bus Market Assessment
• Engine Power, AC, Non AC bus Sales volume
• Most popular route
• TCO Analysis of different application
• Seating capacity wise wise Analysis
• Manual, Automatic, and Semi-Automatic Transmission market Analysis
• Bus Business Model

The post Indian Bus Market Analysis 2020 and Outlook appeared first on Autobei Consulting Group.

In the year 2018, the bus industry witnessed a record growth rate of 7 percent when compared to the growth rate in the year 2017. Tata Motors increased 2 percent market share whereas Ashok Leyland market share increased by 1 percent, Luxury Bus manufacturers like Volvo have had a stagnant market share rate of 0.4 percent with a minor increase in volume.

A market leader like the Force Motors was on the decline losing 6 percent of the market share in the Light Duty bus segment. The performance of Tata Motors improved in almost every segment. Its market share increased to 4 percent whereas in the case of Ashok Leyland the leading market holders of the bus Industry improved their market brand value and gained a 1 percent market share. The bus segment grew by 13 percent in the year 2018.

The Medium and Heavy-Duty Bus segment is stagnant due to the decreased demand for Medium and Heavy-Duty Busses. In the Medium and Heavy-Duty Bus sector, Ashok Leyland gained 3 percent market share whereas Tata Motors market share remained stagnant, VECV and SML Isuzu also had a decline in the market share rate in the year 2018.

The introduction of new norms marked the enforcement of the bus body code (AIS 052), and the school bus code (AIS 063). The initiation of bus codes provided a base for good growth in the bus sector, the industry also witnessed the initiation of the sleeper bus code (AIS 119), which is claimed to be a world first. The Progress in the sector was also achieved in tarmac and double-decker bus code draft. The initiatives from government run State Transport Undertakings (STUs) and City Bus Undertakings (CBUs) as well as private bus fleet operators to provide high rate orders improved the growth rate of the segment. Factors like the bus code, demonetization and GST impacted STU orders in the year 2018. After Bus code relaxation and GST is stabilizing the market is expected to improve hence the demand is expected to rise again.

The bus industry is one of the most important and highly developed segments of the Indian automobile industry. It is the most commonly used and widespread public transport in India as well as in other countries. The industry comprises of buses that are categorized into school buses, mini buses, tourist buses, deluxe buses, commuter buses and others depending on the purpose of the use of the vehicle. Owing to the development in the infrastructure and roads, connecting to remote places has become easier due to which more and more people are availing bus services in a day to day basis. This has greatly contributed to the growth of the bus industry. The growth in this market has stimulated the manufacturers towards more innovations and development in the technology used in the bus. New buses have been introduced that are well equipped with advanced facilities and services such as passenger information system, air-conditioners, high-quality engines, air suspension, and transmission systems and much other safety as well entertainment features. With the increase in the use of such buses over the next few years, the customer base is also expected to ascend at a high rate.

With respect to increase in the commuter base, even foreign companies such as Daimler, Mercedes, and Volvo are making heavy investments in this segment of the automobile industry in India. New standards of luxury and comfort have been set by these companies in the tourist bus segment by providing high class and advanced air-conditioned buses.

There is an invention in every segment on a day to day basis; the bus sector is also expected to grow at an alarming rate with the increased rate of consumers. As the rate of growth increases the company will have to develop new methods and plans to keep the consumers at their bay. This, in turn, will also improve the economic and financial status of the country. We can always hope for success in the segment in the coming years.

Report Highlights:

• Bus Market Overview Trend and Forecast 2024 – Volume and Value
• CAGR Analysis
• Bus Seating wise Volume
• OEM Application wise Market share
• Qualitative Analysis of the Industry
• Key Drivers of the Industry
• SWOT Analysis
• Application wise Competitor Analysis
• Top Selling Models and their Specs
• Price and Discount analysis
• Margin Analysis
• Product Support and Customer expectation
• Product Analysis – Portfolio, Mapping with Customers and Application, the Life cycle of the vehicle, Product Position, Model wise Best and Worst features
• Brand Analysis and Perception
• Route Analysis
• Premium Bus segment Analysis
• How OEMs planning to introduce or upgrade the vehicle
• Electric Bus Market Forecast
• Bus TCO analysis

Please send your requirement for a customized study to info@autobei.com

The post Indian Bus Market Report 2019 appeared first on Autobei Consulting Group.

Key Highlights of the report:

• Key players in each category
• Seating capacity
• Price for the vehicle
• Usage/Application of the product : STU/School/Contract/Intercity and other
• Key features and the expected shift in features
• Purchase decision for the product across application
• All OEMs included
• All Key Models Included
• Key Customers
• Fuel Type
• Transmission, Engine Detail
• Best and Worst features of the each model

The post Bus Purchase pattern Report appeared first on Autobei Consulting Group.

Key highlights of the report:

• Key future Trend Analysis and Market size of School, Staff, Intercity, Intracity, Mofussil, STU, Private, and Special Application.
• Key Players
• Branding building activities by OEMs – Application wise Analysis with the case study
• Consumer Product and Brand perception: Tata Motors, Ashok Leyland, Eicher, SML Isuzu, Mahindra, BharatBenz, Force Motors, Volvo, and Scania
• Economy, Premium, Luxury segment covered
• Product USP
• Seating capacity
• Price range – Chassis & FBV
• Key Models of Technical Specs (Transmission, Engine) and Features
• Key customers
• Sift in Future – Transmission, Engine, Bus body changes, Technology, Emission norms, Entry Step, Floor height, STU processes, Speed, Cost, and Aftersales
• OEM Product Strategy Analysis
• Expected changes in Purchase Decision
• Bus Application wise Path to buy
• Customer comfort expectation
• Fuel wise & OEM wise Sales Analysis – Diesel, CNG, and Electric
• Bus Fleet owner data of Bus segment
• OEMs wise market share Analysis
• Indian Bus Segment Industry Trend – Volume (in Units)

The post Future Trend of Indian Bus Market appeared first on Autobei Consulting Group.

Bus Report Highlights:

• Indian Bus Industry Structure
• Segment and sub-segment trends – Current and forecast
• Total Bus Sales & Production Volume
• Product positioning trends – Current
• OEM’s Market share in each segment
• OEM Performance Analysis: Tata, Eicher, Volvo, Ashok Leyland, Force, Scania, Bharatbenz, Mahindra, and SML Isuzu
• Segment wise Market Share Analysis
• Segment and Application wise Market Dynamics and Market Driver Analysis
• Light, Medium, and Heavy Duty Bus
• Low cost, Premium, and Luxury
• Segment wise Bus Volume Trend and Qualitative Analysis
• Brand-wise Sales Volume, Market Share, and Growth Analysis
• OEM presence in Application of Bus –  InterCity, School Bus, Tourist Bus, Staff Bus, Mofussil, Tarmac, Defence & Others
• OEM Sales volume & Market share in each segment
• GVW wise Sales and Market share
• Key Models Technical Analysis – Engine, Transmission, Wheelbase, Number of steps, Axle, Shock Absorbers
• Fuel Type Analysis – Diesel, CNG, and Electric
• Fully Built and Chassis
• Short, Medium and Long-term Forecast and expected Trend
• Customer Needs Analysis
• Product USP Analysis
• Electric Bus Potential and orders by STU
• Bus Fleet Owner database
• Bus Body Maker Data
• Impact Analysis of Govt regulation and Bus Body code
• Model-wise TCO Analysis
• Business environment
• Major export market
• Pricing analysis – Business models for different segments
• Under segments like Region, corporate, school, tourism, and type of routes – Peak and normal hour frequency on the route, an Average number of passengers per day per journey, Number of buses operated on the route and bus trip per day per bus.
• Aftermarket Trend analysis: Aftermarket Roadmap analysis, Spare parts Price, Availability of parts, OEM Aftersales Outlook, Challenges and opportunities in the Aftermarket, Automotive Aftermarket—Service by Type

The post Indian Bus Market Report 2018 appeared first on Autobei Consulting Group.

• Indian Bus Industry Structure and Key drivers of segments & Uses
• Classifications in the India bus market (Tonnage, application, comfort, engine type)
• Fuel wise Analysis
• Product Platform
• Key Technical Details like Production Brand, Design Parent, Engine Model name, Engine Type, Emission norms etc
• Demand Analysis
• Split by application and comfort, Split by tonnage and comfort Split by tonnage and application
• Movement in prices of buses across segments (last 5 yrs)
• Key drivers of growth in the India bus market – Growth Drivers with an explanation of each segment
• Premium segment analysis
• Luxury Bus Segment Analysis – Floor Height based Analysis
• OEMs Market Analysis
• What are the various customer segments (main buyers) for buses?
• Product Cost Breakdown
• Product Features and Technical Analysis
• Emission norms impact on product cost
• OEM Product Strategy, Key Product, upcoming and past launches
• SWOT Analysis of segment and OEMs
• Top Models and Each category, USP,Price and Application
• Organization Structure Analysis
• Major Customers and fleet detail
• Spare parts Pricing and Availability Analysis
• Sales Forecast
• Communication Strategy
• Tender Anaysis
• Bus Code implementation
• Indian Bus Industry movement with key parameters
• Growing Segment Analysis
• Driveline Analysis and road map
• Key Financers in Bus segment and process
• Indian OEMs Vs European OEMs
• Brand Acceptance, Perception and position
• Key Bus Body Makers
• Challenges and Opportunities
• Macro Economy and its impact on Indian Bus Industry
• GST impact Analysis
• Major Export Market
• Peak and normal hour frequency on the route, Average number of passengers per day per journey, Number of buses operated on the route and bus trip per day per bus
• Company Analysis

        Additional Reports & Database:

• Business Model of Transporters by Bus Uses
• Model wise and Application TCO Analysis
• State wise & Brand wise Application wise Sales Data
• Model wise and Brand wise Bus Production data, Trend and Forecast
• Bus Pricing and Discount Data
• Technical Sepcs and Features database

The report is useful for OEMs, Dealers, Auto COmponent manufacturer, Financiers and other stake holders.

Customize Report option is also available.

The post Luxury and Premium Bus Market Study appeared first on Autobei Consulting Group.

Key Highlights of the report:

• Bus Length wise & Brand wise  – Sales Volume of State and City level
• Application wise – Volume & Value ($ US)
• Zone: South, West, East, and North – Market size, Market share, Market Dynamics
• States include: Uttar Pradesh, Madhya Pradesh, Rajasthan, Delhi, Haryana, Punjab, J&K, Uttrakhand, Tamilnadu, Karnataka, Kerela, Andhra Pradesh, Chattisgarh, GujaraMaharastratra, Orissa, West Bengal, Bihar, and Jharkhand
• Tier & Tier II City wise & Application wise Market size
• Competitive Analysis – Segment wise
• Price Analysis & Trend
• Bus Features
• Various Customer Segments of Buses
• Customer & comfort Expectation
• State level Economy Analysis
• STU purchase process
• Bus code implementation
• Key growth drivers and its impact analysis for each Bus segment
• Bus forecast for each application
• Key Model Analysis
• Regulation impact
• Business Model Analysis
• Product Specs and Features Comparison
• Model Level Sales and Production database Trend and Forecast 2023

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The post State wise Indian Bus Market Report appeared first on Autobei Consulting Group.

There is huge potential in India for the Buses. Smart Cities or Amrut will drive the Premium Bus segment. Customer affordability is increasing because of increasing in the Young population. Moreover, working women mainly prefer to go in the Premium buses for the safety and comfort reasons. The government was also taking very aggressive decisions on the infrastructure & on the regulations such as max speed of 150 Km/hr on the Delhi corridor, Euro 6 of preponement, AC fitment etc. All these are having a motto of aggressive innovation in India, and this will make the advance costly feature which is available with low and affordable cost such as Tyre pressure monitoring, variable temperatures in AC, Automatic braking thru radar, Air suspension and AMT etc.

Bus Buying Parameters Analysis: There are different buying parameters for every Bus Application. The tender works on entirely different buying condition. In a case of luxury buses, recently the ROI changed from 2 years to around 3 years. This factor is having a negative impact on this segment sales.

In the recent times, in commercial vehicle sector, developments of next 10 years will increase with what has taken place in the previous decade. There are 3 types of technologies which are happening here.

1. Autonomous driving

2. Alternative drivelines

3. Connected Bus (Telecommunications, sensors etc.)

In a broader level, the segment is defined in 3 categories, Premium/Luxury, Value Plus and Low cost. The low-cost segment is moving towards value plus segment. The size of a premium bus market currently is around 2% percentage of the total bus market. In past times, the market was really challenging & has been stagnated. In this premium bus market, coaches & the city buses were having the equal amount of market share. But in coming 5 years, Industry will able to see increased numbers, particularly in coach segment.

Presently, Volvo is the market player in the category of luxury buses and having the market share of nearly 60%. Scania is also be playing in the same segment & snatching the market share from the Volvo Buses.

Six years past, this 50 % of city buses was largely from JNuRMM scheme which is now closed. There is no alternate for the 50 % of volumes which were happening & city bus market almost get shut down. Even though the coach market is growing because of the middle-class, their traveling habits & their affordability.

The buses are the main capital item and the customer is buying it to generate the revenue & profits. The whole ecosystem suppliers, OEMs, dealers & customers are to be in a profit zone. If any one of these is not profitable the entire ecosystem will get fail and then sooner or later, the market will get recover & OEMs will struggle.

The demand for the AC buses is growing very rapidly. Rising the disposable income in India was the main reason. The other reason was to be the increasing temperature levels in every city & also towns across the India. Rising of the urbanization & growing of the infrastructure was also creating the market for the buses & AC buses are no longer will be looked upon as costly alternatives to the conventional non-AC buses. Travelers are also getting ready to pay the high amount for their comfort. With STUs & the city bus, they are undertakings the warming up to the outlook of the AC buses, so the brighter future was certainly towards the bus AC manufacturers.

Investment in the additional capacities was also certainly helping the bus AC manufacturers in order to raise their market reach & also offers a deal which promises the ‘best value for money’. Investment in the R&D centers, application engineering & service networks are the main steps to be implemented in a right direction. This type of steps will also ensure that the AC bus industry will grow beyond the estimated rate of the growth of 15 %.

The market for the bus AC manufacturers was appearing good, in the case of School buses. Most of the STUs & city bus undertakings were already have the AC buses as their flagship offerings. The total number of AC buses in India was been estimated as 10-12 % (around 10,000 units) of the total bus market, the number was growing rapidly. But when we look at the rising demand, it was quite natural for the bus AC manufacturers to gear up for their growth. To be a market leader in India for the luxury bus ACs, Eberspaecher Suetrak, the Indian arm of USD 4.4 billion German major Eberspaecher, is known to supply above 2500 units of its AC 353 model to the large buses till now.

Govt is also taking an initiative to improve public transportation quality by taking several steps. The government came up with the bus building code in order to ensure that, the buses are built as per the stipulated standards which are related to the safety, design & comfort.

AIS: 052 this code represents, that every bus manufacturing unit will obtain the accreditation certificate and to demonstrate its capabilities to build the buses as per some of the safety standards. These rules are set by the ARAI, which is the premier testing & certification agency.

This notification will apply to all of the companies & individuals who are engaged in the bus manufacturing or bus body building of the vehicles, which are having the seating capacity of 13 or even more passengers & all bus types will be covered under this code. From Jan 2018, every bus body code is scheduled to implement completely. We believe that this is a great decision & also a high time that it will be implemented completely. Safety is very necessary for the mass transportation solutions. In past, the bus body building industry has been unorganized from so many decades. Currently, India is having around more than 10,000 bus body builders but very few are organized players. By the presence of huge unorganized sector, safety & the knowledge of regulations goes in a wayward & the bus body code will also address various issues.

Mainly Bus Body Code implementation is now diluted & also staggered over 2 phases – with initial obligations implemented purely on the dimensional criteria. OEM already adopted body code not only just these dimensional aspects but the complete scope of the current version of the Body Code. Cutting corners for the safety, these are OK for the small Body Builders, but not consistent with the OEMs ethos & they took first opportunity to comply in full.

Any type of Bus Body which is built in the OEMs factory is completely compliant with the Body Code. There is some extra amount incurred but it is worth for the customers, passengers & brand value. ACG hope that Govt. should not further stagger or even dilute the implementation & same will be strictly implemented & enforced on schedule time.

Legroom step height, require simulation, driver seat, emergency door, sticker & safety, survival space, OEMs are having the facilities. Prototype requires the heavy amount, everywhere cost consultant, design issue, lobby forced are not implement the bus body code.

OEMs keep high quality of bus compare to local body maker, like Paint shop will cost higher, finally product affected, quality of the front to rear, concentricity, no scratches should be there, all buses should look like same, bumper body gaps, door gaps, no compromise in the testing quality process, care need to be taken for small to smallest things, headlamps life, reliable product issue after the 6 months, no noise vibration, durability should be good in Volvo, Scania bus.

In spite of the growing the popularity of the air travel, there is also a growing trend for the travelers to opt for the buses. It makes more sense to consider a coach. While traveling in between 2 cities which lie within some distance of about 250 km & also well-linked with 4 or 6 lane highways or expressways.

Industry is able to view a major transformation in this particular sector over the next coming 3 – 5 years. The transformation regarding improving the road networks, marginal growth in the railways & also increased the requirement for the mobility, long distance of travel by using the inter-city buses is also going to undergo some volume of shift and also with the customers who are expecting more value from Buses.

Presently Ashok Leyland has a 60 percentage of market share in the inter-city travel application particularly with the non-premium buses, which are trending nowadays. Even though, the market moves towards the comfort & longer distance travel.

Some of the new products are going to launch, in coming 12 – 36 months, a slew of the products in this segment. These products are ranging from Luxury Coaches to simple coaches which are reliable & efficient buses. These product design based on some of the current Platforms.

Presently Indian OEMs are able to seamlessly & reliably implement the good solutions for all the customers in the areas of Telematics, web/app/cloud based solutions, materials & processes including the 3D printing.

But, in-order-to stay in the game, the whole industry still has a to go long way while new frontiers such as Big Data, Internet of Things & other tools will move from the cusp to “mature” part of Gartner’s Hype Curve.

We expect that the industry is going by a revolution & lot of challenges such as changing from the front engine to the rear engine & manual transmission to the automatic transmission. Under FAME initiative, there is a lot of action which is happening in terms of the hybrid & electric buses. Likewise, moving from the non-air-conditioned buses to complete air-conditioned buses, entertainment systems and electronics, composites coming into bus sector, there is a lot of things are happening in bus industry more when compared with the car industry in terms of the transformation.

Mumbai-Pune, Ahmedabad-Vadodara, Delhi-Chandigarh, Delhi-Jaipur, Delhi-Agra, and Bangalore-Chennai, demand the buses & also the luxury coaches will be expanded phenomenally in coming years. Already India’s bus transport business is so huge, and India ranks among the top-10 in the whole world in bus segment. But the market for the air-conditioned luxury coaches is so limited, it is estimated that it is less than about 1,000. Even though the luxury bus segment is growing at the compound annual growth rate of nearly 22.7% from 2011 to 2016. Value Bus also registered growth but low-cost segment showed de-growth in the same period.

Currently, the market does not have so many electronic engines, the penetration of the AMT in the commercial vehicles space is also very less. Now with the BS-IV emission norms in the place, it becomes the starting point of the AMT engines. The technology is also expected to penetrate gradually, possibly starting with city bus applications. The comfort of the driving & more fuel efficiency will play an important role to influence the buying behavior. In trucking segment, the intra-city vehicles, where there is a need to have so many gear shifts, would be the first ones to adopt the AMT technology. In Europe, penetration is already 80 percentage. In next five years, this technology will have at least 30% of the Indian commercial vehicles.

ACG estimates that the market electric & hybrid buses in India will reach to 400-500 units in next year.

6 High Power Euro engines, Electric/Hybrid /Bio Gas Buses, AMT and Automatic brakes thru Radar.

16 years back Volvo has been launched & created its own brand when every Indian assumed as the cost sensitive. Now Scania & MB are using this brand new premium bus market created by Volvo. The trend is for the Sleeper buses along with the water closets for the long distance as the train availability will remain constraint in India. Tata Motors has launched 2 electric buses: one is stretching 9 meters & other is 12 meters under the Ultra range, & a 12-metre hybrid with Starbus badge. The prices are in between Rs 1.6 crores to Rs 2 crores. Incentives on the electric buses will be given on the project basis: The buyer is refunded by 75% of the capital cost for an electric bus. The industry requested the Ministry of Heavy Industries to extend incentive to all the orders. We expect the segment is set to the witness a compounded of annual growth rate of 20-25% in coming 3 years, as the state transport was undertakings have shown the sustained increase.

The main motto is to encourage the people to step out of their cars & to start using the public transport. This is badly needed because of the traffic congestion. Even though, the public transport needs an attractive experience in terms of the timeliness, cleanliness etc. Customers are ready to pay more amount of money for their comfort & safety and also for the other features such as AC & sleeper coach are trending very much when compared with the normal rather than the luxury.

Aviation tickets are also decreasing & they will compete in the future with the Premium buses customers. Fast trains & metro train are expected soon for various cities & will impact the market of the Buses. Availability of the spare parts, cost & service network will remain as a challenge. Electronics service will also remain as a challenge because very few experts can able to handle in case of the field issues.

Rapid increasing of the infrastructure development & smart cities regulations will automatically push the Premium bus market.

Euro 6 preponed & Euro 5 totally skipped Aggressive implementation of regulations such as BS4 /Bus code etc. HVAC for the commercial vehicle should plan in 2017 itself, very good focus on the Smart Cities & Tourism, this will attract various passengers for the premium buses. Electric Buse’s policy in the place (FAME) & ambitious aim of replacing all the Buses to the electric by 2030 – 2032 by Cabinet minister Mr. Piyush Goyal.

Excellent Multifold progress in the infrastructure when compared with past decades. Bharatmala is projected, and the main motto of the project is to connect almost all the directions in India. Various Metro/Smart City projects will able to drive the infrastructure growth. Various airports are also planned in the coming years.

Under Make in India, innovations cost significantly will be decreased. GST will also have some positive impact on this industry. Make in India Policy will also promote local supplier. This move will give cost effective products. Battery cost of the electrical vehicles is also expecting to decrease by 50% in last 2 years.

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