Mahindra Marazzo base model priced at Rs 9.99 lakh; to take on Maruti Ertiga, Tata Hexa

In Pics: M&M launches shark-inspired Marazzo at a starting price of Rs 9.99 lakh

Total cost of project is $200 million and comes with a new platform and engine. Marazzo comes powered by a 1.5 litre diesel engine developed by M&M and AVL of Austria. The gearbox is mated to a six speed transmission. The company is working on an automatic version, which will be launched in 2020.

Dual tone interiors, eight way adjustable driver seat, 7-inch touchscreen infotainment system with android auto, cruise control, eco mode, voice control feature and twin airbags are offered on the Marazzo. The top-end variant features rear camera, power foldable exterior rear view mirrors, daytime running light and leather seats. The vehicle will be launched in six colours.

Anand Mahindra, Chairman, M&M, said, “Marazzo has signalled Mahindra approach for the global market. This (developing the Marazzo) was a cultural change (developed using expertise from Italy, US and India). We can use this neural network of R&D for our products. We want to infuse excitement in this segment as no one has done so before.”

While M&M is targeting the young buyer keeping a special emphasis on space and style, the multi-utility vehicle market, however, is not as hotly contested at the sports utility vehicle market. The market where Marazzo will compete clocks 9,000-10,000 units a month, said the management in an earlier interaction with Moneycontrol.

The Ertiga and the Innova are market leaders in their respective segments. The diesel version of Ertiga, equipped with smart hybrid technology, is priced at Rs 9 lakh (ex-showroom, Mumbai) for the base variant. The more premium Tata Hexa is priced at Rs 12.49 lakh, while leader in its segment Toyota Innova Crysta is priced at Rs 15.46 lakh.

The Ertiga, Hexa and Innova are offered with an automatic option. The Ertiga and the Innova are offered with a petrol option too.

Bookings of the Marazzo, which means shark in Spanish, began a few weeks ago. The vehicle will be offered with a diesel engine to begin with, but will see addition of a petrol engine at later stages.

Maruti has also begun marketing planning for the Ertiga facelift that will be launched next month. It will be launched closer to Diwali this year.

Marazzo’s launch comes a little over a year after Honda decided to pull the plug over the Mobilio, a seven seat utility vehicle, following poor market response.

French car brand Renault also has had a forgettable response for the 7-8 seater Lodgy multi-utility vehicle. The diesel-powered people's carrier is priced at Rs 8.73 lakh.

M&M said the Marazzo will not replace any of its existing models, slaying speculations that the struggling Xylo may be phased out. The Xylo will continue to cater to the commercial market, while Marazzo is targeted at the personal user.

Marazzo will be manufactured at the Nashik facility, where M&M also manufactures the Xylo and Scorpio. The MUV is considered to be a step towards arresting the constant slide in M&M’s market share in the utility vehicle segment, which is now led by Maruti Suzuki.

Click here to see more images of the Mahindra Marazzo.