In the booming utility vehicle space, which is even more competitive than the standard Indian marketplace, they say it is the SUV-ival of the fittest. So, even as the utility vehicle (UV) market with 10,60,750 units (up 12.13 percent) was the star performer among all vehicle segments – driving past the million-sales landmark for the first time ever – and the sole one to enter positive sales territory, there is an intense battle underway among companies to grow market share. Some number-crunching reveals interesting insights.
- Maruti and Mahindra UV market share down 3.27 percent and 4.31 percent, respectively
- Biggest gainers include Nissan (119 percent), Kia (83 percent) and Volkswagen (64 percent)
- Maruti still holds greatest UV market share but only by a small 1.41 percent margin
Maruti Suzuki UV share declines in FY2021
While Maruti Suzuki remained the UV market leader in FY2021, with 2,29,101 units, its UV market share has dropped from 24.87 percent in FY2020 to 21.60 percent in FY2021. These sales came from the Vitara Brezza, Toyota’s Urban Cruiser and Gypsy (97,414), Ertiga and S-Cross (1,05,855), and the XL6 (25,832).
Nonetheless, it is a very creditable performance from the company, considering that it moved out of the diesel market in April 2020 and has since focussed on selling only petrol- and CNG-powered vehicles.
Hyundai increases market share by 1.5 percent
Hyundai Motor India, the No. 2 with 2,14,167 UVs sold in FY2021, increased its market share to 20.19 percent from 18.69 percent in FY2020. The new Creta, with 1,20,035 units or 56 percent of total Hyundai UV sales, is the biggest contributor, followed by the Venue with 92,972 units or 43 percent. The Kona Electric and Tucson make up the rest, with 1,160 units.
Kia grows to grab 14.68 percent market share
Kia Motors India, which has been on a roll in the market, sold a total of 1,55,686 units in FY2021, notching a handsome 83 percent year-on-year growth and substantially increasing its UV market share to 14.68 percent from 8.98 percent a year ago. The Seltos, Kia’s first model for India, remains its bestseller with 89,173 units, followed by the Sonet with 63,717 units, and the Carnival MPV with 2,796 units. Kia’s strong performance means it has unseated Mahindra & Mahindra from the No. 3 position, edging ahead by a mere 156 units.
Mahindra UV market share down 4.31 percent
Mahindra, now at No. 4 position, sold a total of 1,55,530 units, down 13 percent (FY2020: 1,79,405). This means that the SUV maker’s market share has fallen from nearly 19 percent in FY2020 to 14.66 percent in FY2021. At 4.31 percentage points, this is the biggest drop followed by Maruti Suzuki with 3.27 percentage points. But the recently launched new Thar is giving M&M a new charge in the market and FY2022 should be a different story with what the company has planned in terms of new products.
Tata makes comeback in UV segment
A resurgent Tata Motors, which clocked 60 percent YoY growth in its PV business, sold a total of 86,447 units in FY2021, up 46 percent (FY2020: 59,381), enough to see its UV market share increase to 8.15 percent from 6.28 percent in FY2020. The popular Nexon compact SUV was the bestseller, with 63,756 units or 74 percent of total sales, followed by the combine of the Harrier, Safari and Sumo with 22,691 units.
Toyota Innova Crysta continues to sell well
Toyota, which had a decent outing with 66,268 units, saw its UV market share grow to 7.07 percent from 6.25 percent a year ago. The Innova Crysta MPV, with 37,934 units, was its bestseller, followed by the Urban Cruiser with 16,316 units. The remaining 12,018 units were contributed by the Fortuner, Land Cruiser, Prado and Vellfire.
Renault, Nissan, MG also gained significantly in FY2021
Meanwhile, Renault, MG Motor and Nissan are benefiting from their new products. Renault India, which sold 51,434 UVs, recorded 20 percent YoY growth in FY2021. Its growth has been powered by the Triber and more recently the Kiger compact SUV. MG Motor India, with 35,597 units, clocked 62 percent YoY growth (FY2020: 21,954). Leading the charge is the MG Hector with 31,585 units, followed by the recently launched Gloster (2,513) and ZS EV (1,499). For Nissan, the recently launched Magnite is helping revive fortunes. The Japanese carmaker sold a total of 11,451 UVs in FY2021, improving its year-ago performance by 119 percent, albeit on a low base.
| Utility vehicle sales and market share | ||||||
|---|---|---|---|---|---|---|
| Company | Sales FY2021 | Sales FY2020 | Change (in units) | Change (%) | Market share FY2021 | Market share FY2020 |
| Maruti Suzuki | 2,29,101 | 2,35,298 | -6,197 | -3% | 21.60% | 24.87% |
| Hyundai | 2,14,167 | 1,76,774 | 37,393 | 21% | 20.19% | 18.69% |
| Kia | 1,55,686 | 84,904 | 70,782 | 83% | 14.68% | 8.98% |
| Mahindra | 1,55,530 | 1,79,405 | -23,875 | -13% | 14.66% | 18.97% |
| Tata | 86,447 | 59,381 | 27,066 | 46% | 8.15% | 6.28% |
| Toyota | 66,268 | 66,913 | -645 | -1% | 6.25% | 7.07% |
| Renault | 51,434 | 42,768 | 8,666 | 20% | 4.85% | 4.52% |
| MG | 35,597 | 21,954 | 13,643 | 62% | 3.36% | 2.32% |
| Ford | 35,094 | 44,326 | 9,232 | -21% | 3.31% | 4.69% |
| Nissan | 11,451 | 5,225 | 6,226 | 119% | 1.08% | 0.55% |
| Honda | 9,671 | 14,759 | -5,088 | -34% | 0.91% | 1.56% |
| FCA (Jeep) | 6,536 | 8,543 | -1,917 | -23% | 0.62% | 0.89% |
| Volkswagen | 1,979 | 1,205 | 774 | 64% | 0.19% | 0.13% |
| Skoda | 1,002 | 1,589 | -587 | -37% | 0.09% | 0.17% |
| Force | 737 | 1,543 | -806 | -52% | 0.07% | 0.16% |
| Isuzu | 50 | 1,426 | -1,376 | -96% | 0.00% | 0.15% |
| TOTAL | 10,60,750 | 9,45,923 | 1,14,827 | 12% | 100% | 100% |
Growth outlook
Expect FY2022 to be a year when there will be a glut of SUVs rolling into the market. Having an SUV or two in your passenger vehicle arsenal is a must if a company has to succeed in India and that’s just what is happening. Demand for sub-four-metre compact SUVs seems insatiable and carmakers are going all out to introduce new products. The coming months will see the introduction of a number of new models, including the likes of Mahindra’s new XUV700, Skoda’s Kushaq, Volkswagen’s Taigun and Hyundai's Alcazar.
Tata Motors is aggressively driving its growth plan and Korean carmakers, Hyundai and Kia, who between them have 34.87 percent of the UV market, will be looking to further up the SUV ante. Any which way you see it, it’s an exciting time for the segment. Stay tuned.
Also see:
Renault Triber sales cross 75,000 unit mark
Mercedes-Benz sells 3,193 SUVs, sedans in Q1 2021
Maruti Suzuki Baleno crosses 9 lakh unit sales milestone
Over 50,000 MG Hector SUVs sold in 21 months