March 2020 Car Sales – Snapshot
March is generally considered to be a good month for the Automotive Industry as it is the final month of the financial year and there are many purchases citing depreciation benefits. Also OEMs generally go for a price hike in April; hence the Automotive Sales are better in March itself. However; March 2020 was nothing less of a ‘bloodshed’ for both OEMs and Dealer Partners. While the vehicle dispatches & end consumer retails would have been stopped by 23 March (day since lockdown was announced); the overall channel was already reeling with BS4 inventory as well. The final nail on the coffin was Supreme Court’s decision where it announced to allow only 10% of the overall BS4 stock the dealers carried.
April is going to be a deadlier month as almost half of the month’s operation would have been stalled due to the lockdown. Also post lockdown the sentiments wouldn’t be great to push purchases.
The Indian Automotive Industry saw a windfall degrowth of over 52%! The Market Leader Maruti Suzuki degrew by -47% in Mar’20 v/s Mar’19. However; the OEM witnessed a Market Share growth of 3.9% and Maruti’s Market Share for Mar’20 was 54.2%.
Hyundai’s YoY degrowth was -41% and it too gained Market Share in the tough scenario.
Kia retained the No.3 spot and sold over 8.5k units in Mar’20. Kia’s performance in the tough scenario was commendable and registered a Market Share of 6.1% in Mar’20.
Top Losers of Market Share were Tata, Honda & Mahindra.
Market Share figures for Mar’20 –