Hyundai India confident of 8-9% retail growth until Diwali
Hyundai India is setting its sights on closing the festive season with an impressive 8 to 10% increase in retail sales. The automotive giant has reason to be optimistic, having achieved a remarkable 15% growth in its domestic segment, with sales exceeding 68,000 units in the month of October.
Hyundai India is setting its sights on closing the festive season with an impressive 8-9% increase in retail sales. The automotive giant has reason to be optimistic, having achieved a remarkable 15% growth in its domestic segment, with sales exceeding 68,000 units in October alone.
In an interview with Parikshit Luthra on CNBC-TV18, Tarun Garg, the Chief Operating Officer of the Sales and Marketing Division at Hyundai India, expressed confidence in their current position. Garg mentioned, “We are quite optimistic. We are sitting on an inventory of three weeks, which is very optimum. So, to put it in numbers, the inventory level was about 39,000 at the beginning of November. So, we are looking at another 30 days of sales. I think this 8-9% growth in retails until Diwali is something which we are definitely confident about.”
Discussing the driving force behind their success in the domestic market, Garg attributed it to the festive season, which commenced on October 15.
"The key driver for the domestic market was the festive season, which kicked off on October 15, I think all of us especially in the automobile industry, wait for the festival season, especially the Navaratri, Dussehra, and going forward into Dhanteras and Diwali."
Garg emphasised the remarkable sequential growth and shared that their capacity utilization has nearly reached 100%. Looking ahead, they anticipate maintaining this level, with over 50,000 units produced.
However, Garg offered a word of caution for November and December, both for the industry as a whole and for Hyundai. Wholesale numbers are likely to be more subdued during this period as the focus will be on clearing existing inventory to start the new year with less than a 15-day supply.
Regarding upcoming product launches, Garg mentioned their plans to introduce more SUVs in the electric vehicle (EV) space. "Going forward, we believe that more SUVs in the EV space as well will help us gather momentum and of course going forward make a very, very significant presence in India. We believe that by 2030, probably 20-25% of the market will be EVs and we are really working to introduce more and more models in every segment, and of course coupled with the localisation of the battery packs so that the price is also very reasonable.”
As they enter the new year with optimism, Garg hinted at Hyundai's commitment to model refreshes and new offerings. While he refrained from specifying particular segments, he assured that Hyundai would seize opportunities as they arise.
He highlighted their growth this year, exceeding industry averages, which is expected to contribute approximately 0.1% to their market share.
Also Read | Hyundai Motor India sets standard with 6 airbags; expects 10% growth amid festive demand | Exclusive
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