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Showing posts from February, 2018

Three Boxes or Two?

The Indian car buyer’s affinity towards sedans is well documented. Roughly one in every four cars sold here in September 2017 was a sedan and the largest selling car in that period was the Maruti Dzire, a sub-four meter saloon. The reason behind this popularity is simple, owning a sedan has traditionally been a sign of growing prosperity and improved social stature. This mindset is a legacy of the Indian car industry during the License Raj: where the Hindustan Ambassador and Premier Padmini (both sedans) were a symbol of power as well as prosperity. Lately, things have been changing. Newer car buyers are ready to forgo the perceived benefits of a sedan and instead opt for a premium hatchback. This trend was first seen with the launch of the Maruti Swift in 2005 and has now grown to become an entirely new segment with competent players like the Maruti Baleno, Hyundai i20 and the Honda Jazz. Interestingly, the Swift itself now fits in a segment lower than the one it helped create. Ha