Suzuki leads the Indian passenger car market, and the success of the company cannot be attributed to its brand name alone. For instance, the wagon model of Tata, named Estate didn’t get expected response from the Indian market, so was the response to Suzuki’s Baleno Altura. Indians have accepted the vehicles of almost all the manufacturers operating in the country at one time or the other. In fact, Indian car buyers have presented good opportunities for almost all the manufacturers, but why majority of them fail to achieve a double digit market share?
Of late Renault Kwid registered good sales since it was launched in India. In the eleven months from December 2016 to October 2017 average monthly sales of Suzuki Alto was 16929 cars per month where Renault Kwid sold 8050 cars per month on an average. Given the network of the Suzuki is 5.5 times that of the Renault and the sales of Alto is just 2 times that of Kwid, it goes to prove that the sales network of Suzuki alone is not helping the company to maintain the leadership in Indian car market. It is also to be noted Renault is a late entrant in the Indian market so benefits of being the first or early entry into the market is only partially true. So, it’s not the network or being the first alone which sustain a company.
According to a UN survey on international migrant trends in 2015 1.6 crore Indians are living abroad. So they are used to the products and are well aware of the quality and durability of other manufacturers. For example, there are approximately 30 lakhs Keralites in Gulf countries. The market leader in the car market of those countries is Toyota mostly followed by Nissan or Hyundai. But, only a few of the Keralites prefer a Toyota for themselves in India. It is notable that in 2014, Suzuki had 52.5 per cent of the Kerala market while its share was 42 per cent at the national level.
Various studies prove that market leader in India doesn’t rank high in terms of the ease of sales processes and procedures adopted till the delivery of the new vehicle. Even it does not find itself in the first three places. Sales satisfaction improves when more focused efforts are made to increase the conversion from the part of the dealer.
Similarly, Suzuki is not the highest ranked when it comes to the facilities provided by the dealers to the customers. It is to be noted that Tata ranks very low among the manufacturers in this respect.
The same way, Indians don’t perceive Suzuki cars as the most dependable cars in each and every segment. Other than in the entry level compact segment, the market leader’s products don’t find a permanent place in other segments. Honda, Hyundai, Toyota and Ford have products which are most dependable in some of the segments.
With respect to the appearance of the vehicles and features provided in the car, only a very few of the market leaders products find its name in the list of well designed and feature rich cars available in India.
So where the things are going right for some and against for other manufacturers. In terms of post sales service or after sales service, Suzuki is unbeatable as they are the top ranked in keeping their customers happy. That’s easier said than done to keep such a vast number of customers satisfied with after sales service. In the list first four ranks are held by Suzuki, Hyundai, Mahindra and Tata, with Suzuki being ranked first most of the times. Toyota and Ford which ranks first in sales satisfaction, ranks much lower in the list of manufacturers who keep their customers satisfied in after the sales service.
So, can it be inferred that the automobile manufacturers especially passenger car makers who give more focus to keep their existing customers satisfied gain more new customers and others who focus more of their efforts on acquiring new customers than on keeping their existing customers satisfied fail to add considerable new numbers. At least, the data says it so.