High demand, the new growth phenomena for auto industry

auto-industry of India, which is one of the fastest growing auto market in the world, is witnessing a high demand scenario in every segment of cars including entry level sedan Maruti Swift Dzire and luxury SUV Toyota Fortuner. According to Mr Mayank Pareek, managing executive officer (marketing and sales), Maruti Suzuki, the demand has been overwhelming in the market, especially for the newer models that were keenly awaited. It has been more than what the company anticipated.



Toyota Fortuner, a luxury SUV which was launched in India in Oct last year, is not available for bookings since the month of January as company has stopped receiving bookings for this model in a bid to clear the existing long backlog. At the time when bookings were stopped the Fortuner model was available on a long waiting period of three to four months. According to Mr Sandeep Singh, deputy managing director (marketing), Toyota Kirloskar Motors, the company dosn't has enough production to match the demand that has been phenomenal and beyond its expectation. The bookings have been closed as the company dosn't want people to wait for delivery endlessly after paying hefty booking amounts.

On the other hand, Maruti Swift Dzire, India's best selling entry level sedan is going through a robust demand phase with waiting period reaching up to three months for some variants. The Dezire model, which was launched in India in March 2008, is enjoying the top position in its segment since then. In recently launched compact cars the Volkswagen Polo and Ford Figo are among the highly demanded cars in India, both of these cars are enjoying a waiting period of about 1 to 2 months.

However, car-makers in in India are working hard on their expansion plans to enhance their production capacity and catch-up with this rising demand. This includes GM, Toyota, Maruti, Ford and Volkswagen.

Source:- High demand, the new growth phenomena for auto industry - New Cars

Posted in: Auto industry