Hyundai Motor India, the second-largest car manufacturer in the country, is beefing up its small car portfolio with a slew of new models to take on market leader Maruti Suzuki.
Hyundai has lined up 8-10 launches in the next three to four years. It will drive in a sub-4 metre sedan in the second half of 2014, followed by a multi-purpose vehicle to take on Maruti's Ertiga and a compact SUV positioned between Ford EcoSport and Renault Duster in 2015-16. It's also exploring the potential to launch its flagship saloon Genesis in India.
The company is planning to launch new Eon 1.1 litre, which will be pitted against Maruti’s Alto K10.
The company launched Eon in October 2011 and currently offers 814cc gasoline engine.
In the last financial year, Alto sold roughly around 20,000 units a month, while Eon sales averaged around 7,000-8,000 units a month.
The company will also launch its small car Grand i10 (referred to as the BA until now) in September this year, which is expected to compete with Maruti’s Swift. Grand i10 is a completely new car and will be positioned between i10 and i20. It will be manufactured at the company’s Chennai plant.
As far as pricing goes, expect significant pricing overlap with both the i10 and i20. Expect the base petrol to start around the Rs 4.5 lakh mark, with the diesel Grand i10 priced at Rs 5.5 lakh.
“The Grand i10 has been positioned above the existing i10 and is targeted at the emerging compact high-entry segment,” the company said.
Grand i10 will come with two engine variants -- 1.1 litre U2 diesel and 1.2 litre Kappa petrol.
Even though the passenger car segment declined 10% this fiscal, experts feel that a new launch will bring excitement in the market.
“Bringing a new product in the segment definitely creates a pull. In terms of product strategy, Hyundai is good at hitting the right area. They offer what Indians want. They were a bit weak on the diesel engine front, but the company will surely benefit with the new diesel engine offering,” said Puneet Gupta, associate director, IHS Automotive.
Hyundai India reportedly is planning to launch up to four new models in the next two years, including a compact SUV and compact sedan.
