South-Korean carmaker Hyundai has driven past the big milestone of 20 years in India and as it embarks on the next leg of its drive in India, the company says the immediate focus is on accelerating growth in its SUV and compact SUV segments.
The Korean carmaker's journey has been filled with triumphs in the face of numerous hurdles. But with 20 years and a USD 3.1 billion investment under the hood, the company is looking forward to not only maintaining its position as India’s top auto exporter, it also wants to inch closer to the number-one spot in the Indian market.
To this end, Hyundai, which has registered its largest-ever sales of 4.84 lakh cars in FY16, plans to launch at least two cars every year. And the immediate focus will be on ramping up its SUV and compact-SUV portfolios.
YK Koo, MD, Hyundai Motor India, said: "The Creta is a very successful product, and then we want to introduce an upgrade - a one-step-ahead product - The Tucson. We will launch the sub-four-metre to expand our customers to absorb."
Clearly, Hyundai is in no mood to shy away from the stiff competition in the Indian SUV marketplace. This competition will only get fiercer, as Hyundai moves to re-bracket itself as a premium automobile brand. Of course, the company is quick to add that new launches will not work as well, if distribution network is not strengthened.
"We are targeting a 470-dealer network for this year's set-up. Of course, we have a separate set-up for the rural market. To give more customer satisfaction, we have to expand, but we are not aiming for too many dealership networks in India,” said Koo.
For Hyundai, setting new records is just part of the big plan to hit a 7 percent annual growth rate for the next three years. That explains its intention of breaching the 5-lakh cars mark in sales this year, even if there are no immediate plans to expand capacity at its Chennai facility from the current 7.19 lakh cars per year.
Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
