Maruti Suzuki is concerned about its sales growth coming from only two models, the Swift hatchback and Swift DZire sedan.
Managing Director and CEO of Maruti Suzuki, Mr. Shinzo Nakanishi expressed his concern over sales not being uniform across all car models. He was speaking at the dealers’ meeting in Bangkok, Thailand. He said “My concern is about the quality of our growth. Although we have achieved good overall figures, the performance at region wise and model-wise was not uniform. Our sales relied on DZire and Swift”.
He said that unless the problem was addressed soon, the company could face problems in the long term. “The wide range of models in our portfolio for India gives us a competitive edge. We have to translate the benefit of these advantages and focus on models. Without improvement in these areas, we will eventually face the problem of low demand.” said Mr. Nakanishi.
Talking about the future plans for the company, he said that the company has identified new areas of growth during the last financial year. These areas will continue to receive special attention in this fiscal year as well. The company has strengthened its presence in semi-urban and rural markets and the focus on government employees has helped Maruti Suzuki increase sales. He stressed that irrespective of economic growth and market conditions, Maruti Suzuki will have to sell much more than competition.
The company had posted a growth rate of 3.5 percent in sales after sales of 7,92,167 units in the last fiscal year. In April this year, it has sold 71,748 units as against 62,336 units a year ago in the same month, thereby registering a growth of 15.10 percent.