New launches drive Hyundai's sales growth, market share

Hyundai Motor India has enlarged its domestic market share and seen sales growth rate double that of the local automobile industry.

During the period January to September, the company had increased its market share to 17 per cent from 16.1 per cent achieved during the full calendar year of 2014. Its sales growth was 12 per cent in the first nine months, whereas the industry sales grew just 6 per cent.

Y J Ahn, Executive Director of the company, told reporters here that the growth and market share increase were driven by new launches. “In September, we reached a market share of 18 per cent. Thanks to new launches like Creta and not because of growth in sales of old models, we are seeing the increase,” he explained.

Tapan Kumar Ghosh, Zonal Manager – East, said Hyundai has acquired 19 per cent market share. “During January-September period, we grew by 11 per cent in terms of sales,” Ghosh added.

Ahn said, “If you leave aside the new launches, we are moving at the same pace as the domestic industry.” The old models are witnessing stagnant growth. He suggested the overall demand for cars is yet to pick up.

He said that currently Hyundai was the largest producer and exporter of the vehicles.

Despite stopping of exports to Europe from India because of new plant in Turkey, exports from Chennai plants remained around 25 per cent. The growth in domestic market compensated the fall in exports. “At present, the two Chennai units were at 98 per cent capacity utilisation,” Hyundai ED added.

Hyundai has also warmed up to new opportunity in the app-based taxi market and made family sedan model Xcent for this bulk market.

He indicated after the launch of its SUV Creta in July, Hyundai MPV (multi-purpose vehicle) could be launched next in the domestic market. However, he was not sure when Hyundai mini SUV could be launched in India.

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