Maruti Suzuki India Limited is hitting the gas pedal, aiming to be the top pick for the modern, city-loving Indian. With headquarters in New Delhi, they’re gearing up to launch 57 more of their Nexa showrooms by March 2025. Why? Well, the appetite for their luxury vehicles is skyrocketing. And if you’re keeping track, they’ve already got 468 Nexa outlets up and running, with the pioneer branch having opened its doors in Dwarka, New Delhi, back in 2015.
Nexa’s Growth
Now, here’s a tidbit that’ll knock your socks off: a staggering 31.9% of Maruti’s sales until this July came straight from Nexa. That’s a leap from the 22.4% in the fiscal year of 2022-23. And, if you’re wondering about their offerings, they’re showcasing eight of their 17 passenger vehicle models in these Nexa outlets. Names like Baleno and Grand Vitara might ring a bell. The other nine? They’re flaunted in the company’s 2,842 Arena outlets. And let’s not forget the commercial vehicle, Super Carry, which has its own special outlets.
Maruti Suzuki’s Focus
Over the past few years, I’ve noticed – and perhaps you have too – Maruti Suzuki’s laser focus on the utility vehicle (UV) segment. It’s like watching a kid in a candy store. They’ve rolled out models like the Grand Vitara and Jimny, some even with a price tag north of Rs 20 lakh. And the result? Their stake in the UV segment has revved up to 23.12% in the first quarter of FY24, a jump from 17.4% the previous year. Impressive, right?
Vision for Nexa
Srivastava, a key player at Maruti Suzuki India Limited, spilled the beans on the Nexa vision. He shared that while MSIL was the poster child for reliability and bang for your buck, they spotted a new breed of consumers on the horizon. These folks were all about design, features, and the latest tech. They represented the “New India”, a term Srivastava used. And Nexa? It’s been a smashing hit with this crowd.
Digging a bit deeper, it seems the average Nexa customer is a tad younger, more urban, and has a slightly fatter wallet than the Arena customer. We’re talking an average monthly household income of around Rs 90,000 for a Nexa aficionado, versus Rs 65,000 for an Arena enthusiast.
In a recent tally, Nexa raced to the second spot among all sales channels in the Indian auto landscape. With Arena, Hyundai, and Tata Motors leading the pack in FY22, Srivastava, a veteran with over 30 years at Maruti Suzuki India Limited, is hopeful about the road ahead.
Maruti 3.0
And here’s the big news: Maruti Suzuki might unveil around 28 different models, six of which are electric, by FY31. At the moment, they’re offering 18 models. The Indian car scene is projected to grow by 6% annually until FY31. Bhargava, the company’s chairman, highlighted MSIL’s ambitious third phase of growth, aptly named Maruti 3.0. He reflected on the journey of building a capacity of 2 million units over 40 years and emphasized the challenge of doubling that in a mere nine years.
