The Hindu Business Line : Maruti unveils Esteem variant

Mr Jagdish Khattar, Managing Director, Maruti Udyog Ltd, with Mr K. Saito, Director, Marketing & Sales, at the launch of the new Esteem version in the Capital on Monday. — Kamal Narang

New Delhi , July 5

MARUTI Udyog has reduced prices of its new look Esteem by at least Rs 40,000 in a bid to increase its share in the rapidly growing mid-size sedan market.

The base model of the new Esteem (petrol) has been priced at Rs 4.25 lakh (ex-showroom, Delhi) while the top-end VXi version would sport a price tag of Rs 4.90 lakh and intermediate variant LXi would cost Rs 4.55 lakh, Mr Jagdish Khattar, Managing Director of Maruti Udyog Ltd, said at a news conference today to unveil the new look Esteem.

"Our initiatives on the new Esteem are in line with Maruti's increased focus this year on the A3 segment (mid-sized) of the domestic passenger car market. The mid-sized segment contributes nearly 20 per cent of overall car sales and is growing at 15 per cent annually," he said.

Explaining the competitive pricing, Mr Khattar said, the aggressive pricing had been made possible due to the successful cost reduction programme being undertaken by Maruti.

Meanwhile, the new look Esteem comes with new front styling, bonnet, multi-reflector clear headlamps, bumper and new chrome griller. The rear has been redesigned with multi-reflector clear tail lamps and new boot garnish. The Esteem was introduced about 10 years ago, and comes with a 1.3 litre MPI engine.

Sales of Esteem grew nearly 11 per cent in 2003-04.

Prior to the launch of the new Esteem, Maruti had similarly rolled out new look versions of the Zen and WagonR last year. The pricing of the two diesel variants of the Esteem is unchanged at Rs 4.83 lakh for Esteem D and Rs 5.09 lakh for Esteem Di.

According to Mr Khattar, Maruti has been present in the diesel segment only ``notionally'' but the company's position in the fast growing diesel car market would be strengthened once the upcoming diesel manufacturing unit becomes operational.

Maruti, which at present imports diesel engines, is in the process of setting up a diesel engine plant in Haryana at an investment of Rs 350 crore.

More Stories on : New Products & Services | Cars

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page