The FADA, or Federation of Automobile Dealers Associations, has provided data on car retail sales as of October 2023. On a month-over-month (MoM) basis, the beginning of the holiday season during the Navratri period yielded great benefits in every sector. Retail sales of two-wheelers rose by fifteen percent while sales of three-wheelers increased by two percent and those of passenger cars by seven percent. Additionally, commercial vehicles and tractors recorded growth rates of 10% and 15%, respectively.
Festive Boost in Sales
The commencement of the festive season, particularly during the Navratri period, proved to be highly lucrative for the automotive industry. Across every segment, there was a noticeable upswing in sales on a month-on-month basis. Notably, two-wheeler retail sales witnessed a commendable 15 percent increase, three-wheeler sales grew by 2 percent, and passenger vehicles experienced a healthy 7 percent growth. Significant growth was also reported by the tractor and commercial vehicle segments, at 15% and 10%, respectively.
Contrasting YoY Trends
However, when evaluating year-on-year sales, which coincided with the Shraddh period in the first half of October 2023, an overall 8 percent decline was observed. The 10 days of Navratri brought a mixed bag of results – two and three-wheeler sales improved by 22 percent and 43 percent, while commercial vehicles and passenger vehicles reported growth at 9 percent and 6.5 percent, respectively. The only segment that experienced a decline during this 10-day period was tractor sales, with an 8 percent dip.
Detailed Analysis of Car Sales
Total car sales amounted to 3,53,990 units, reflecting a YoY de-growth of 1.36 percent. Despite this, there was a notable 6.54 percent growth in MoM sales compared to September 2023. Maruti Suzuki continued to lead the segment with a substantial 41 percent market share. However, sales for Maruti Suzuki did witness a decline, dropping to 1,45,047 units in October 2023 from 1,49,763 units sold in October 2022. On a positive note, this marked a MoM growth over the 1,39,640 units sold in September 2023.
Hyundai, on the other hand, reported a YoY de-growth in retail sales for October 2023, with sales declining to 50,713 units from 51,626 units sold in October 2022. However, on a MoM basis, there was a growth from 49,625 units sold in September 2023. Hyundai’s recent introduction of 6 airbags as standard fitment across its entire Indian portfolio was emphasized, extending from larger models to the Grand i10 NIOS, Aura, and Venue and this safety feature includes dual front airbags, dual side airbags, and dual curtain airbags.
Individual Automakers’ Performance
Tata Motors reported YoY de-growth in retail sales, falling to 48,858 units in October 2023 from 50,383 units sold in October 2022. However, on a MoM basis, there was significant growth over the 38,984 units sold in September 2023. Tata Motors is actively testing the new Curvv SUV, and fresh details of its interiors have been unveiled.
In contrast, Mahindra witnessed an improvement in YoY retail sales, reaching 35,169 units in October 2023, up from 33,195 units sold in October 2022. This also led to an increase in market share rising to 9.94 percent from 9.25 percent. Mahindra is gearing up for the launch of the new XUV300 facelift, a sub-4-meter SUV scheduled for early 2024.
Kia Motors faced a YoY sales dip, dropping to 21,086 units from 22,951 units sold in October 2023. However, on a MoM basis, there was a marginal growth over the 21,030 units sold in September 2023. Kia India is also preparing for the launch of the Sonet facelift, expected to go on sale early next year.
Toyota has been steadily increasing its sales, reaching 18,195 units in October 2023, up from 14,136 units sold in October 2022. The market share also grew from 3.94 percent to 5.14 percent YoY. Honda Cars India and Skoda Auto also reported improved YoY sales, with 8,229 units and 7,851 units sold last month, respectively.
However, Renault India faced a significant YoY de-growth, with retail sales dropping to 4,126 units in October 2023 from 7,864 units sold in October 2022. MG Motor, on the other hand, witnessed a YoY sales increase to 4,033 units from 3,814 units in October 2023, while Nissan experienced a decline to 2,242 units from 2,949 units sold in October 2022.
Performance of Luxury Automakers
In the luxury automobile segment, Mercedes Group sales declined to 1,240 units in October 2023 from 1,277 units sold in October 2022. This represented a month-on-month de-growth from 1,373 units sold in September 2023. BMW’s sales improved marginally to 1,066 units from 1,027 units on a YoY basis in October 2023, while PCA Automobile retail sales dipped to 715 units from 741 units sold in October 2022.
The list also included Force Motors (645 units), Fiat India (452 units), Jaguar (372 units), and Volvo India (167 units), with only Fiat India experiencing retail sales de-growth. BYD India showed significant improvement, reaching 128 units in the past month from 38 units sold in October 2022. Porsche’s sales grew to 73 units from 53 units on a YoY basis. Additionally, Isuzu said that sales had increased from 55 to 59 units in October 2022. Others on this list contributed 3,524 units to total retail sales in October 2023, up from 1,510 units sold in October 2022.
Conclusion
The performance of the automotive industry in October 2023 revealed a dynamic scene with differing patterns throughout manufacturers and segments. The complex picture of growth and fall was influenced by the festive season, individual model performances, and market dynamics and the ability of manufacturers to adapt and persevere in the face of challenging circumstances is a clear indication of the dynamic nature of the automobile industry.
2023-11-22 19:49:32
