Bajaj Auto launches the 2019 Dominar 400

The new Dominar 400 dons a more powerful DOHC engine and up-side down forks

The new Dominar brings in a lot of  enhancements with more powerful engine, advanced technological features and a distinctive throaty exhaust note. The new Dominar now comes with a liquid cooled 373.3cc DOHC engine that delivers significantly higher 40 PS power. This upgrade also features 43 mm upside down (USD) forks which provides a  muscular look along with better handling & comfort. The new twin barrel exhaust produces throaty exhaust note with heavy bass that augments the sports tourer feel.

The 2019 Dominar 400 is packed with a host of additional offerings, like bungee straps tucked under the seat, redesigned secondary display showing time, gear position, trip information and space craft inspired tank pad decals.

Commenting on the Dominar 2019 upgrade, Mr. Sarang Kanade, President – Motorcycles, Bajaj Auto Ltd said, “Dominar 400 has been able to create a strong following for itself and has become the preferred choice for city riders and long distance tourers, alike. Customers have pushed the bike into extreme long distance and challenging geographies with aplomb, which inspired us to strengthen the sports tourer credentials in the new Dominar.”

The new Dominar 2019 is now available across all Bajaj Auto dealerships in dual channel ABS variant with Aurora Green and Vine Black color options at Rs. 1,73,870/- ex showroom Delhi.



Technical Specifications –

Ertiga registered its all time highest sale in Mar’19!

Ertiga sold >8k units in a month (Mar’19) for the first since its launch!

Since the Ertiga was launched in March 2012; never has the model crossed 8k units in the past 84 months! However; the New Ertiga has given a fresh lease of life for the model and catapulted its sale to an all time high. This volume comes at a time where the segment was ignored and had a fresh competition in the name of Mahindra Marazzo. Maruti proves that it is magically capable of extracting volumes from a segment which was otherwise losing steam.



Let us have a look at the performance of the offerings in the MPV segment –

  • The MPV segment grew an impressive 12% YoY and registered a sale of 27,918 units in Mar’19. The segment was backed by strong numbers from the segment leader Ertiga and was supported by Toyota’s Innova & Mahindra’s Marazzo.
  • Renault today confirmed its intent to launch its next offering in this segment and has named it ‘TRIBER’. It shall be a critical launch for the French Automaker; as it has already burnt its fingers with Lodgy. Renault needs to both position and price the vehicle really well to make an impact in the segment. Also the product has to stand against the mighty Ertiga & Marazzo!
  • Xylo/Hexa/GO/Sumo/Lodgy – less said, the better.

Ertiga & Marazzo have just raised the hopes for the overall segment and is showing that there is still juice left here.

Ciaz – Best selling C-segment Sedan of Mar’19!

C-segment sedan space is primarily contested by 3 models – Ciaz, City & Verna. While City is the longest selling nameplate in the list; Ciaz & Verna have been giving stiff competition to the legend. In Mar’19; Ciaz sold 3,672 units and emerged as the segment’s bestseller. The segment had always been a tough nut to crack and even the likes of Toyota have miserably failed in their attempt.



  • The segment has been slowly shrinking and  not a single model in the entire list posted a positive YoY growth in Mar’19!
  • Though Ciaz topped the charts; it degrew a hefty -15% in Mar’19 v/s Mar’18. The C-segment offering from Nexa has offlate facing pressure to maintain volumes; but the inconsistency in the segment is making things difficult.
  • City still continues to be the darling of the segment and registered a sale of 3,432 units. However; the slowdown in the segment pushed City to post degrowth of -27% YoY.

The numbers clearly project why the new OEM entrants are shying away to launch models in this segment. It is now a risky affair to invest any amount of time/money to bring models here.

Luxury Car Market Potential in India

Background:

Global performance of Luxury Car has been on a high in 2018, but in India last year was a challenging one. The Retail Volumes of the major luxury car manufacturers for the year 2018 is as shown (Source: Autocar) –

Developed Markets: Luxury Cars, Volumes & Contribution into Total Vehicle Sales:  

In developed markets, Luxury vehicles typically account for around 5-6 percent of the overall market.

For eg: In USA, True Blue Luxury Brands (Mercedes, BMW, Tesla, Volvo, Land rover, Porsche, Mini, Jaguar) – 11.13 lakh cars sold out of the Total Vehicle Sales 1.72 crores – 6.37%. Even the premium cars from Ford, Subaru, Honda, Toyota & Kia stable included in the overall calculation – the approximate penetration should be looked at 8%.

India & its potential:

True Blue Luxury vehicle Sales in India in 2018 stood at 40,688 nos.; while the Total Vehicle Sales should be approximately at 34.5 lakh units (yet to be declared by SIAM). i.e, a Luxury vehicle penetration of 1.2%. Even today the macroeconomic forces, Elections is playing on Customers Minds is slowing down demand. We are hopeful that the Overall Market alongside with the Luxury Car grows atleast 15% post elections.



Feedbacks from CEO’s – Luxury car Market:

“We are satisfied with our sales performance in 2018 despite facing strong macroeconomic headwinds in H2 (second half), resulting in low consumer sentiment that posed significant sales challenges. We, however, made a strong comeback in the Q4 period (October-December) and were able to achieve a year-on-year growth,” said Martin Schwenk, MD and CEO, Mercedes-Benz India.

“2018 was surely a challenging one for the auto industry in India, especially in the second half of the year. The luxury segment was under pressure owing to financial market development, changing customer sentiment and changes in tax policies. We faced some unforeseen business challenges during the year, which led to reduced deliveries for 2018,” said Rahil Ansari, Head, Audi India.

“The auto industry faced strong headwinds in 2018, especially in the second half with tight liquidity conditions, increased upfront insurance costs and increased lending rates. Despite that, the growth of Jaguar Land Rover in India has been very encouraging,” said Rohit Suri, president and MD, JLR India.

OUTLOOK FOR 2019:

Cautiously Optimistic is the Word for 2019…