Hyundai bets on SUV biz with launch of Exter at Rs 5.99 lakh

NEW DELHI: Korean MNC Hyundai Motor India (HMIL) on Monday launched Exter, a sub 4 metre SUV, starting at Rs 5.99 lakh. With 56 per cent of its overall sales coming from SUV, the top officials are upbeat about the performance of Exter in driving its sales.

The Indian arm contributes 15 per cent of the global auto major’s sales, said Tarun Garg, COO, HMIL, while sharing insights on the business and strategic plans of the company. Targeted essentially at the 18 to 30 year age group, the new Exter for which it has roped in Hardik Pandya as its ambassador, has already got 10,000 plus bookings across the country, he said.

Pegging the SUV segment to go upto 20,000 per month, almost doubling up from its current levels, Garg said of the bookings received so far, 38 per cent were for automatic and 26 per cent for CNG variant.

Hyundai has seen 10.5 per cent growth in volumes for the current calendar year and incidentally, TN has been growing continuously. “Against an overall14.5 per cent market share, we fund that TN has been recording 15 per cent growth,” he said, while also dwelling on the Rs 20,000 crore recent investment announcement made in TN.

Nearly 40 to 45 per cent sales of Exter is also expected from the 18 to 30 age group, Garg said.

The annual capacity of its plant has risen from 7.60 lakh to 8.60 lakh now, thereby providing scope for Exter production, the delivery of which is scheduled from Tuesday.

Garg also said that the over Rs 15 lakh priced brands of Hyundai have grown eight times in the last four years, reflecting the appetite and aspiration of its customers.

There is a switch from hatchback to SUVs, he said, adding that the company is confident of posting good performance. From the current 54 per cent SUV contribution, Hyundai is hopeful of taking it up to 60 per cent.

“Nearly 50 per cent of our car sales are from the Rs 10 lakh segment,” he said. While sales of Verna have doubled in the first half, Creta has grown by 22 per cent. Also, 80 per of its cars are financed, Garg said, in response to a query.