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Market Scenario
With the advent of vehicles like Mahindra Quanto, Premier Rio and Renault Duster launched in the country, the Compact SUV market is making a name for itself with more and more consumers moving towards this segment. Claiming to give an experience of both the worlds; a compact premium hatchback and an entry level sedan, the makers of these SUVs are pitching the product to appeal to a younger, professional and lifestyle oriented users.
According to Vivek Nayer, CMO, Automotive Division, Mahindra and Mahindra, the brand that launched Quanto two months back, says that Mahindra is trying to create a new segment as the market for compact SUV was non-existent in India. He explains that this segment will appeal to hatchback owners, entry level sedan owners and SUV owners as well. There are areas and scope for improvement in each of these segments. For example, he says hatchbacks are compact, have decent mileage and have easy manoeuvrability but do not have the presence, high ground clearance or the space of an SUV. “We believe that the compact SUV is the best of both worlds, it allows the user to get the feel of both the worlds. It is compact from the outside, easy to manoeuvre in the city, and at the same time spacious from the inside,” adds Nayer.

Change to compact
Umang kumar, Co-Founder and CEO Gaadi.com affirms that the segment has gained popularity, but only over the past few years in India. “People in India now indulge in more outdoor activities compared to the past. This is the result of growing disposable income. For an average Indian family, a compact SUV makes sense because for its optimal proportions, practicality, usability, fuel economy and cost of ownership,” he adds.

But why are home grown brands coming out with compact SUVs now? Auto makers like Tata Motors and Mahindra & Mahindra have been making entry-level SUVs in the past. According to Kumar these products lacked the comfort and feel of the modern family cars and, hence, became more popular with cab operators instead. “The compact SUV segment, which since the launch of the Renault Duster and Mahindra Quanto, has given the buyer an option of well-packaged, practical utility vehicle with a character of its own. Next up will be the Ford EcoSport while, Tata Motors is also thinking of a compact Aria,” he says.

This has been pushed further with the growing popularity of Utility Vehicles in the country as data suggests. According to reports from SIAM (Society of Indian Automobile Manufacturers), sales of Utility Vehicles grew by 55.83 per cent during April-September 2012 and 60.54 per cent during April-October 2012 as compared to the same period last year. April-October 2011 recoded domestic sales of 1,92,591 vehicles in the Utility Vehicle segment, while in 2012 it is 3,09,180 units.

Market evolution
Has the market evolved? No says Nayer, he adds that Mahindra is evolving the market. With the introduction of the Compact SUV Quanto, Mahindra claims to appeal to a wider audience and hopes to draw volumes from all the three segments, which includes SUVs, hatchbacks and sedans.

He believes that if all three segments are put together the market size is of one lakh vehicles per month. He says that the premium hatchback market size is 40,000 a month, entry level sedans size is 20,000 a month and SUV is another 40,000 a month. “We are talking about a 90,000 plus market size out of which Quanto will get a share, as we have a production size of 2,500.

But is it true that models based on proven and global platforms are the way forward to build mass volumes in the country? Nayer says that internationally the ratio between cars to SUV in many markets like Malaysia and Europe are 40:60, 40 per cent SUV and 60 per cent car. “In India the ratio is half of that, which is around 20 per cent. We believe that in time, the kind of offering we are giving to the consumers and as lifestyle, aspiration and standards of living improve, people will buy more and more SUV kind of products, which appeal to their needs,” he adds, citing at the Quanto.

According to a survey by Gaadi.com, the share of voice for compact SUVs is 36 per cent compared to others which stands at 64 per cent. Indexed Data show that Mahindra Quanto in the period from 16th October to 15th November got a score of 16 out of 100 in terms of share of voice, followed by Tata Safari at 15, and Renault Duster at 11.

Is price the only factor?
The Quanto stars at Rs 5.99 lakh (ex-showroom) and goes to Rs 7.5 lakh (ex showroom), while Maruti Ertiga starts at Rs 7.3 lakh (ex-showroom) for diesel, and Nissan Duster starts above Rs 8.1 lakh (ex-showroom). Is pricing the only factor that is driving the sales? And does this segment hold enough market share to drive volume buys? Gaadi.com’s Kumar cites figures from his company’s report, which says that the sales figures of October 2012 show that SUVs comprised 8 per cent of the total cars sold during the month. He adds, “The newest addition to the compact SUV segment the Quanto, the sales of which slowly seem to be gaining momentum. Sales of the car increased by over 40 per cent month on month (m-o-m) post its launch in September 2012. The number Renault Dusters sold also increased by 28 per cent m-o-m.”

If the sales are steady and there is enough hype in this segment, then why is India opening up so late for the compact SUV segment? Nayer says that there are two reasons, internationally the SUV to car ratio is 40:60, because the per capita income is higher and the lifestyle is different.”That kind of lifestyle aspiration has recently come to India. In our country SUVs are bought only for utility purpose but of late people have started buying SUV for lifestyle purposes,” Nayer adds.

Murad Ali Baig, Auto Expert, says that, SUV today is a bit of a misnomer as the buyers are not into serious off-roading. He adds, “They just buy something that looks like an SUV, which gives them that macho feel.” With the rising tide of the compact SUV market, Baig explicates that what the market is seeing is not compact SUVs but low cost SUVs. “Therefore, the new cars like Renault Duster and some of the other cars are low cost vehicles and they give you a sense of an SUV but they are actually have limited real SUV capabilities. They are not proper off-roaders they are two wheel drives,” he further adds.

Urban cowboy or rugged terrain?
But is the retail strategy of foreign brands enough to counter the home grown brands in terms of the compact SUV market? Kumar says that, product marketing is one thing but, experiencing the product first hand can make or break a deal. As buyers become more educated about quality, driving dynamics, features and safety, it’s a never-ending fight between indigenous car makers and foreign brands. “The strategy adopted by Indian car makers is to provide a car with a whole lot more features while pricing it low. The multi-nationals on the other hand offer better build quality, safety features and the likes,” he adds. The figures in the past couple of months according to Gaadi.com seem to be moving in a positive direction. According to the site, customers have welcomed the new compact SUV segment. More players like Ford with EcoSport and Tata Motors with Compact Aria, are expected to jump in the fray. Also according to the site, in terms of share of voice, 30 out of the 100 people who searched for SUVs showed interest in a compact SUV.

What then could be the possible challenges both home grown brands and foreign brands could face in the market? Kumar says that, when a manufacturer has a compact SUV under its portfolio the biggest challenge for any manufacturer is keeping the manufacturing costs in check. “In a competitive scenario like India, pricing is crucial. Most local brands are able to offer their cars at a low price thanks to the localisation that goes into making them. A well spread dealer network also plays an important role when it comes to market penetration. Secondly, maintaining a set quality standard is as crucial as the pricing. The buyers have become more aware of safety features and overall build quality,” he adds.

With more than 15,25,488 passenger vehicles sold in April-October 2012 (SIAM), which also includes utility vehicles, compact or not, consumers are still having a tough time manoeuvring during peak hours. Will the Compact SUVs only bring a sense of ‘presence’ or ‘machoism’ on the streets or will they really help to cut through the tough traffic with space and ease? Only time will tell.

Source: http://pitchonnet.com/blog/2012/11/28/the-road-ahead-for-compact-suv-market-in-india/

XUV500 facelift vs Innova vs Fortuner vs Terrano

From: http://www.motortrend.in/autonews/688628/new-mahindra-xuv500-facelift-vs-innova-fortuner-terrano.htm#ixzz3is0j55Zf
Our list of competitors for XUV500 includes Toyota Innova, Fortuner, and Nissan Terrano. So let us see what the equation is.

Dimensions
If you go by the looks then nothing looks as huge as the Fortuner here as it stands at 4705mm in length and 1850mm in height with a width of 1840mm. However, the widest car of all here is the XUV 500 which has a width and height of 1890mm and 1785mm respectively and stands at 4585mm in length which is exactly similar to Innova. The Innova although is 25mm shorter in height than XUV and has a width of 1765mm. The Terrano has the shortest length of 4331mm and has a width and height of 1822mm and 1671mm with a wheelbase of 2673mm which is also the shortest wheelbase here.

The XUV has a longer wheelbase of 2700mm but it also falls short of the 2750mm wheelbase of the Japanese siblings. The Innova has the lowest ground clearance of 176mm while the Fortuner has the highest ground clearance of 220mm. The XUV 500 and Terrano stands at 200mm and 205mm respectively. The Innova again rides on the smallest 15-inch wheels while the Terrano has 16-inch wheels. The XUV and Fortuner both ride on bigger 17-inch wheels. The XUV 500, Fortuner and Innova are available with full size third rows while Terrano only has two jump-in seats at the back for kids. The Innova is the most comfortable car for all three rows passengers with its 8 seat and 7-captain seat arrangement.

Engines
The new XUV 500 retains its old unit although slightly retuned for better low end response. It has the 2.2L mHAWK diesel engine which has power and torque output of 140bhp@3750rpm and 330Nm@2800rpm. This engine is available with 2WD as well as 4WD layout and since we are comparing the 4WD version of XUV 500 with Fortuner so here, it is the Fortuner which comes out as a more powerful car thanks to its bigger 3.0L diesel engine. The SUV pumps out a peak power and torque output of 169bhp and 343Nm which is available with a choice of 5-speed automatic and manual transmission whereas XUV is only available with a six-speed manual gearbox.
Then comes Terrano which has the smallest 1.5L diesel engine which produces a maximum power and torque output of 108bhp and 248Nm and comes mated with a six-speed manual gearbox for better high-speed cruising. The Innova with its 2.5L diesel engine is the least powerful car here which has an utmost power and torque output of 101bhp and 200Nm respectively which is transferred to the rear wheels by a five-speed manual gearbox.

Features
The top variants of all of them come equipped with auto climate control, electrically adjustable outside mirrors, height adjustable driver seat, tilt steering wheel, Multi Information display, touchscreen audio system with Bluetooth connectivity and steering mounted controls, rear parking sensors, alloy wheels, ABS with EBD and dual front airbags. Apart from these, it is the newly launched W10 variant of XUV 500 which goes ahead of all of its competitors with extra features such as rear parking camera, additional 4 airbags, electric sunroof, push-button start, disc brake on all wheels and automatic wipers and projector headlamps.

Price
The new W10 variant of XUV 500 is priced at INR 14.99 lakhs for the 2WD and INR 15.99 lakhs for the 4WD variant which is a lot cheaper than the manual 4X4 variant of Fortuner at Rs 26.4 lakh. The top variants of Innova and Terrano are priced at INR 15.81 lakhs and 12.92 lakhs respectively. (All process, ex-showroom, Delhi)

Verdict
Keeping the pricing and styling in mind, it is the XUV 500 which comes out as a great value package. It is now more feature loaded than ever and makes a serious case for itself as an SUV at an attractive price. Certainly the best Mahindra SUV to buy. So if you do not want to spend big and want a pukka SUV, then the XUV500 is your choice but if money be no object then the Fortuner is something you cannot ignore. The reliability, peace of mind and the toughness of the Fortuner is something that you cannot get anywhere else. That is why people buy the Fortuner. At the other end the Innova which is the MPV king is the best choice here purely based on comfort and practicality. The Terrano cannot match the XUV500 in terms of features or presence but is much easier to live with in daily usage due to its compact dimensions and responsive yet fuel efficient engine. So ultimately it depends on what you want and specific needs.

Top 3 competitors for Mahindra XUV 500 SUV in India
Tata Safari Storme

Tata Motors recently launched the facelift version of Safari Storme. Tata Safari Storme can be a very good competitor for recently launched new age XUV 500 by Mahindra. Tata Safari Storme has 7-seater. The drive train of Tata Safari Storme is AWD ( All wheel drive). Talking about the dimensions of Tata Safari Storme – measures 4655mm in length, 1965 in width , 1922mm in height, and has a seating capacity of 7.
The Diesel variant of Tata Safari Storme comes with a 4 cylinder 2.2 litre VariCOR engine. Safari Storme’s engine can churn out a maximum power of 148 bhp @ 4000 RPM with a peak torque of 320 Nm @ 1700 RPM. The engine of Tata Safari Storme is mated with a 5-speed manual gearbox. Safari Storme can provide a mileage of upto 13 kmpl.
When it comes to safety, Tata Safari Storme provides 2 airbags for the driver and the co-driver in the front.
Toyota Innova

Toyota Innova has become a household name in India. Be it any long drives with friends, for large families this car is always preferred. Toyota Innova is an 8-seater, perfect for a large family to travel together. Toyota Innova is a good competitor for Mahindra XUV 500. We think, Innova has a better brand identity than XUV 500. Talking about the dimensions of Toyota Innova, it measures 4585mm in length, 1765mm in width, 1760mm in height and is a 8-seater.
When it comes to the engine, Innova has a 4 cylinder inline engine which is mated with a 5-speed manual gearbox. The engine capacity is 2494cc and churns out a maximum power of 101 bhp @ 3600 rpm and delivers a peak torque of 200 Nm @ 1200 RPM.
When it comes to Safety, the car offers 2 airbags in the front for driver and co-driver.

http://www.carblogindia.com/2016-toyota-innova-price-photos-details/
The 2016 Toyota Innova has been spotted at least a dozen times by now and here, we even have exclusive information on the 2016 Toyota Innova India debut! The next generation Innova will be showcased at the 2016 Auto Expo, New Delhi (5-9, February) and will go on sale shortly thereafter. The next generation 2016 Innova has been spotted several times and as can be seen in the 2016 Innova image on this page, the new model Innova won’t look much like the current generation car. The front of the new 2016 Innova is more aggressive compared to the ongoing 2014 model. It now gets an SUV-like stance at the front with large windshield, high seating and large grille. The grille also have gone under the knife and looks much more masculine now. The headlamps are also less-rounded and more boxy with sharp edge styling. The wheel arches are now more subtle and the side profile also gets some changes over the ongoing variant. The highlight of the new model is the design of the rear-quarter glass, which surely looks interesting.
Launch
As we just said, the new model 2016 Toyota Innova India debut will take place in February next year. And in most likelihood, the launch of the new model’s premiere will be closely followed by its market launch.
Prices
It is expected that the 2016 Toyota Innova prices would start at INR 10 lakhs (Ex-Showroom). The top-end variant could retail for over INR 16 lakhs.
Engine Specification
Toyota has unveiled a new set of motors that will power the next generation Innova and Fortuner. Codenamed as the ‘GD’ series, the new range of engines comprises of all-new 2.4-litre and 2.8-litre turbocharged Diesel motors that boast of Toyota’s “Economy with Superior Thermal Efficient Combustion (ESTEC)” technology. Both the engines have a variable-geometry turbocharger. While the 2.4-litre unit that is expected to power the new Innova has a maximum power of 160 bhp and a peak torque of 400 Nm, the 2.8-litre motor, which will be available on the new Fortuner, has a peak power-torque of 177 hp-450 Nm. The new-age engines will be available with both 6-speed automatic and manual transmissions.
Exterior Design
The 2016 Toyota Innova spy-shots reveal that the next-gen model will receive significant changes to the exterior styling to give it a more modern look. It shall come with brand new front styling by what we feel is inspired by its sibling the Toyota Fortuner. The 2016 Toyota Innova will get a taller and flatter front design giving it a more robust appearance coupled with a higher front grille, larger headlights and a new bumper.
This Multi-Purpose Vehicle would not shift to a monocoque platform, instead the car will make use of a ladder-frame setup which has proven to be rugged and durable. Also new is a sharper D-pillar design and stylish new rear quarter glass, which give the new Toyota Innova a completely different side profile. The rear end will feature a new multi-layered bootlid, new tail lamps and rear bumper.
Interior and Features
While on the outside the 2016 Toyota Innova strives to be all tough, on the inside its altogether a different story, with major emphasis given to improved comfort of the occupants. The next generation Innova would be more premium and roomier than before. Although Toyota is still working on the features to be included in the new Innova for India, we can expect it to be better equipped with features like dual airbags, climate control, reverse camera, multifunction steering wheel. Also expected is a redesigned dashboard, a touch-screen centre console and use of better materials to make the cabin more upmarket.
The 2016 Toyota Innova has a huge shoes to fill but quite frankly it doesn’t look like it would be a big problem. The new Innova looks good on the outside, will have premium features and upholstery on the inside with the option of an automatic transmission too. But then you would argue that the same applies to the other upcoming MPV’s as well, but what gives Innova the edge is that it is already an Indian Favourite -which by the way is a big decider here when it comes to buying vehicles- so while the others are busy trying to prove that they are good enough for your consideration, all that the Innova needs to prove is that it has not slipped in terms of performance as compared to its predecessor. Prove that and Toyota has a winner.

Renault Lodgy

Renault is quite popular for its Multi-Purpose Vehicle (MPV) – We have considered Lodgy could be a good competitor for Mahindra XUV 500. The Lodgy is a 7-seater. Renault Lodgy could be a perfect family car.
Talking about the dimensions of Renault Lodgy, the car measures 4498mm in length, 1751mm in width and 1697mm in height.
Renault Lodgy’s engine displacement capacity is less when compared to other cars, it is just 1461cc. Renault Lodgy outputs a power of 108 bhp @ 4000 rpm and peak torque of 245 Nm @ 1750 rpm. The engine of Renault Lodgy has been mated with 6-speed manual gearbox.
Renault claims, Lodgy could deliver a mileage of upto 19.9 Kms per litre – most fuel efficient when compared to other cars in this list.
When it comes to Safety, Renault Lodgy offers 2 airbags in the front for driver and co-driver.
It seems like only Mahindra XUV 500 offers 6 airbags as a safety feature.

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