Renault India is one of the companies which are struggling in India. The French manufacturer sales are going down and most of the models are not selling well in the market. For the last 13 months straight the company posted negative growth. The volume models for Renault is Kwid and Duster both of which are not selling well.
The problem for Duster is that the model is getting too old and competitors are introducing either new model or facelift which drives away customers from Duster. Globally, Renault has officially introduced the new generation of Duster last year but the company was too focused to introduce Captur to India and they were worried about Duster eating into sales of new model as it is an established product in the market.
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When the French manufactured introduced Kwid, the market response for the hatchback was excellent. Then they followed up with 1 litre and AMT variants also. But the initial momentum didn’t continue as the sales of Kwid have fallen to 5000 units from 10,000 units during the peak time. This is also not a good sign for the company.
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Cambolive said that Duster and Kwid were the segment breakers, which is why both these products were accepted by the market but they can’t always be the first in every segment. To improve sales for this FY, the company is banking on Kwid and petrol variants of Captur. We can also expect Renault to introduce new generation of Duster later this year in India.