The Passenger Vehicle sales saw a dip of -16.7% in Apr’19 v/s Apr’18 – This is the highest fall the Industry has seen in recent times. This is not a good sign for the first month of the fiscal year and depicts the tough time ahead for the industry. The main reason for the dip in sales are the political uncertainty and lower consumer sentiments. The slowing growth in Upcountry markets due to below-par Monsoon forecast has also been a deterrent for the overall growth. Decrease in OEM discounts for Apr’19, upcoming BS6 transition and no new model launches fueled the decline.
Let’s see how the OEMs fared in Apr’19 –
- Only 1 OEM (Honda) reported a YoY growth in Apr’19! Rest all OEMs saw a decline in sales. Honda too saw a YoY growth owing to low base of Apr’18 (and Amaze was also not launched till then).
- Nexa’s sole dependence on Baleno is now showing off and Nexa channel degrew by hefty -28%. Nexa performance led to the overall degrowth of -19.6% for Maruti Suzuki.
- Hyundai fared better when compared to other mass market OEMs and degrew by -10%. However; it was able to gain a Market Share of 1.3% and its Apr’19 MS was 17.1%.
- Mahindra too backed by XUV300 sales reduced the fall and degrew by -8%. It helped M&M gain a Market share of 0.8% in Apr’19.
- Nissan registered the highest fall of -42.5% in Apr’19. The relentless decline in sales is worrisome from the Japanese brand and if this trend continuous Nissan may have to take serious steps to be viable. Even with new model addition (Kicks); Nissan has been unable to revive its condition in the Indian market.
Market Shares figures for Apr’19 –