Maruti Suzuki (47%), followed by Hyundai (17.3%) and Mahindra (7.5%) form more than 70% of the Indian car market with the slew of other car manufacturers having a minuscule market share.
The Indian automotive industry, which is one of the largest automotive markets in the world, is substantially dominated by the earliest car manufacturers of the Indian market. As per industry data, compared to 2012, the top 3 auto manufacturers have increased their market share by about 3% to capture 70% of the market for the April-December 2015 period. In the last half decade, the only featured change in the Indian market has been Mahindra toppling Tata Motors to acquire the third slot. Apart from this, the market remains, by and large, the same.
The Indian car market stands out from the crowd, showcasing massive domination by few players in a market comprising of about 20 passenger vehicle manufacturers. Also, the top 10 models account for more than half of the total annual sales. For a fact, almost half the number of cars on Indian roads are from the Japanese-Indian venture – Maruti Suzuki. No other automaker has ever achieved such figures anywhere on earth.
The main factors contributing to such staggering dominance of the top 3 is their large and well-established network, both in terms of showrooms and service stations and the fact that their cars are largely manufactured keeping the Indian roads and conditions in mind. As a result, they have earned great consumer confidence. Also, the recent slowdown in the Indian market has somewhat restricted the customers to stick with the time-honoured brand which offers strong return on investment, thus restraining the growth of newcomers. On the other hand, product malfunctions, poor branding and advertising, and expensive service costs have added to the woes of new players.
Car Market Share In India
- Maruti Suzuki – 47%
- Hyundai – 17.3%
- Mahindra – 7.5%
- Honda – 5.4%
- Toyota – 4.6%
- Renault – 4.5%
- Tata Motors – 3.5%
- Ford – 2.6%
- Volkswagen – 1.1%
- Others – 6.5%
