Honda Banks On Sedan Sales When Other Brands Concentrate On SUVs

2019 honda civic first drive review india gaadiwaadi-1

The new Civic completes Honda’s sedan portfolio in India and it has already received 1,100 bookings in just 20 days

Just a couple of days ago, Honda Cars India launched the Civic executive sedan in the domestic market. The Japanese manufacturer has positioned the petrol CVT variant at a competitive range while the diesel MT is on costlier side when compared to the competition it faces from Hyundai Elantra, Toyota Corolla Altis and Skoda Octavia.

Honda says the tenth generation Civic is a logical upgrade for customers who want to upgrade from the City that indeed has a loyalist fanbase in the country. With the new Civic Honda has completed its sedan portfolio and when compared to other brands it is definitely following a different strategy.

Last month, the company’s nearly half of the cumulative sales number came from the Amaze as the launch of the second-generation model back in May 2018 has made a compelling impact. In recent times, the Amaze, on average, accounted for one third of the brand’s sales and the rise or fall in YoY growth largely depends on the subcompact sedan.

% Sales From Sedan SegmentFebruary 2019
Tata – Tigor, Zest11.2 %
Hyundai – Verna, Xcent, Elantra12.3 %
Maruti Suzuki – Dzire, Ciaz13.87 %
Ford – Aspire15 %
Honda – Amaze, City, Civic72 %

 

The increasing trend of customers buying SUVs has resulted in auto brands exploring new segments or preparing products for an already existing popular SUV space. Within the space of 16 months, Tata introduced two brand new SUVs in India as the Nexon and Harrier address two highly volume worth segments.2018 honda amaze-2

The upcoming global brands such as Kia, MG Motor and Citroen are kicking their innings off with SUVs as well while the established automakers are not being numb either. Honda, on the other hand, is trying to move forward with its four-strong sedan lineup.

The Civic, which is Honda’s largest selling nameplate, is expected to make quite an impression as 1,100 bookings have been registered in just 20 days since pre-orders commenced. Honda will be launching the next generation City in 2020 before a comprehensive hybrid version goes on sale the following year.

However, Honda doesn’t appear to be sticking with the strategy of relying heavily on sedans though as a premium SUV could be showcased at the 2020 Auto Expo. It may well be the HR-V to compete against Hyundai Creta, Nissan Kicks, Tata Harrier and upcoming Kia SP2i among others.