Renault Kiger will launch next month and it will likely be followed by a mid-size SUV rivalling Hyundai Creta and Kia Seltos
Renault India has the Kiger in the limelight and it will go on sale next month to compete against Maruti Suzuki Vitara Brezza, Hyundai Venue, Tata Nexon, Kia Sonet, Ford EcoSport and Mahindra XUV300. Having found success with the Triber and Kwid, the Kiger is the brand’s new try at the mass market volume space. It is said to become the most affordable SUV in the sub-four-metre space.
The company believes that the Kiger will drive its Indian operations to profitability by 2023 and thus spark more investment in the future. The Frech manufacturer is certainly putting plenty of trust on the compact SUV as it targetting an average monthly sales of 5,000 units. This should effectively aid in Renault getting past the one lakh sales mark again this year.
The set target of two lakh unit sales could be a year away from intended amidst Renault India being committed in bringing profits by the end of this FY. In a recent interview, Venkatram Mamillapalle, Managing Director of Renault India, told, “…We are on a right path with Kwid, Triber and Kiger and I am sure we should hit a good volume that should help us significantly,”.
Renault’s revenue increased to 6,920 crore in the Finanacial Year 2020 but the loss surmouted to Rs. 1,135 crore. He further said that high manufacturing costs result in lower operational leverage and affect profits but the increased capacity utilisation courtesy of the Nissan Magnite – already got past 33,000 booking mark – and the upcoming Kiger will put the perspectives right.
The brand banks on the rural market for increased volumes and added 120 touch points since the health crisis to expand its footprint and reach out more customers. It will be bringing in new SUVs in the near future for India in the B and C segments and, “There are delays on Kwid EV, but it is not a delay from us, but from the government of India on infrastructure,” according to Mamillapalle.
Just as the Magnite, the Renault Kwid carries high local content courtesy of the CMF-A+ architecture and it will be powered by a 1.0-litre petrol engine in its NA and turbo formats with five-speed manual and automatic transmission options.