Maruti Suzuki India (MSIL) expects the new positioning for its upcoming all-new Vitara Brezza and a host of tech features targeted at young buyers to bring incremental volumes and market share, as the Indian car market leader gears up to strengthen its play in the SUV segment to achieve its overall market share goal of about 50 per cent . 

Though the company has a market share of 67 per cent in the non-SUV segment, the explosive growth in the SUV segment and absence of appealing models to the new age customers have been pulling down its overall market share. 

To achieve its market share goals, the company plans to strengthen its play in the SUV segment, primarily compact and mid-SUV segments. It had a market share of 43.4 per cent in the PV market in FY22.  

Sold 7.5 lakh units plus

The company on Monday announced the start of bookings for its upcoming Vitara Brezza. The compact SUV was launched in 2016 and since then it has sold more than 7.5 lakh units while being a top-selling compact SUV. Presently, it sells about 10,000 units a month and the new Brezza is expected to bring in incremental volumes. 

Tech, features new purchase criteria

The new Brezza will have different positioning while incorporating new technology and features to suit the buyer’s appetite. 

“The buying criteria in compact SUV segment is changing. Earlier, the top criteria in purchase decisions were design, brand and mileage. Now, there is another significant factor in purchase decisions. i.e. technology and features. This is not just in compact SUV, but across segments, buyers are looking for technology and features,” Shashank Srivastava, Senior Executive Director (Marketing & Sales), MSIL told Businessline. 

Also, customers of the compact SUV segment are getting younger. Almost half of Vitara Brezza buyers are below 35-yrs now, up from 30-32 per cent a few years ago. Apart from this , there has been a big shift from diesel to petrol models. The share of diesel SUVs has dropped to 21 per cent, from 79 per cent in 2015-16. 

Keep these factors in mind, Maruti has packed a host of features along with a new positioning for the new Brezza. 

Even more fuel effcient

“Brezza has been the most fuel-efficient compact SUV. The new version will be even more fuel-efficient, fulfilling one of the key buying criteria of customers. Also, there will be category-leading features in the new Brezza. This will be the first time introduction of new features in the segment. Also, in line with consumer preferences, we have slightly changed the positioning of the new Brezza – from the earlier tagline of ‘wickedly smooth’ to ‘hot and techy’, which implies that the new Brezza will be more urban, aggressive, adventurous, active and sporty. While we are carrying forward all good things of previous Brezza, we have added more to make it richer in terms of technology and features,” said Srivastava. 

4 SUVs models in the offing

“Four new SUV brands are lined up by MSIL for launch over the next couple of years to plug in the gaps in its portfolio. MSIL is planning to replicate its highly successful product laddering strategy in the SUV segment, thereby giving customers an option of an SUV at every price point,” according to analysts at Motilal Oswal Financial Services  

The compact SUV segment became the largest segment in FY22 for the first time with a share of 22 per cent, overtaking the premium hatchback segment which accounted for 20 per cent from 23 per cent in FY21. The compact SUV segment was 5 per cent of the market when Brezza was launched.  

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