Wednesday, April 4, 2007

C-seg heating up with Logan launch....


Here comes Logan. This is from the stable of joint venture of Mahindra and Renault. For Mahindra this is the second attempt in this segment. First attempt it made with Ford way back in 1998.

For Renault this is the first attempt. Renault is the market leader in France. France is the number 2 manufacturer of cars in Europe after Germany.

Let us see which models are going to get affected most with this launch. This model has been very competitively priced at Rs. 4.28 lacs (starting). Hence it is going to give Esteem run for its money. Esteem is going to suffer maximum. Unfortunately, lately we are witnessing poor advertising for Esteem. In fact Maruti has to tell the customers openly in their ads, what is the meaning of "esteem" (assuming that the customers don't know it).

Indigo will be another casualty because of Logan. Tata's have never been able to give a good quality product. It is better to not talk about their horrible services.

C-segment is the fastest growing segment in passenger cars. Swift volumes may not suffer much due to Logan, but now it depends on the marketers, how they are planning to position Logan.

Ford Fiesta may also suffer. Fiesta was available in Diesel Segment, and with Logan in Diesel also, it may lose its market share. Similarly Hyundai may also witness further decline in the market share of its Accent.
 
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