How Honda Cars’ fortunes turned overnight in India

Amidst a slowdown stricken market and adverse economic conditions in India, Honda is the current rare and lucky car manufacturer which is enjoying a great success. In such market conditions most of the auto makers, including the passenger car leader Maruti Suzuki is suffering from declining sales rates and low demand, but not Honda. Mahindra & Mahindra had been enjoying a successful streak for some time by swimming against the slowdown, but even this Indian auto giant is suffering de-growth ever since the month of April. No one would have normally thought that Honda could be the lucky one to immerge as the most successful car manufacturer in such difficult times. This Japanese luxury car major was in the 8th position in the Indian auto market and it is said to be holding the third position currently.

So what is the reason behind such an amazing transformation in the fortunes of Honda in India? The answer, as many would be aware of, is the Amaze.

Honda Cars India Ltd. (HCIL) was not a very hot selling car maker in India. The Japanese auto maker enjoyed average sales owing to its classy City and Civic models and more so because of its popular hatchback model Brio. Honda’s sales rates started suffering badly on the onset of the slowdown of the Indian car market, when it rightly decided to bring a new model. Thus, the Amaze compact sedan arrived in India. The Amaze sedan was developed on the platform of the popular Brio hatchback but with an individual styling. The Amaze did not only represent the very potential segment of the compact sedan in India, but it is also the first ever diesel offering in India. This probably did the greatest trick for Honda.

With great styling, good features and the highest diesel fuel economy rate in India, the Honda Amaze completely swept the Indian auto consumers off their feet. Not only did this compact sedan gained an instant success post its launch in April, but it also turned the fortunes of its maker in the Indian terrain, making it one of the most successful car manufacturers to have great positive growth against the market slowdown.

The Honda Amaze is also one of the very rare models to challenge a bestselling model from the market leader Maruti Suzuki. The Amaze is pitched against the segment topper and the highest selling car Maruti Suzuki Swift DZire sedan. Amaze was successful in declining the demand and sales of the Maruti Dzire in the months of May and June, as Amaze continues to draw more and more consumers towards it.

Not to mention, Honda is basking in its new found success and is planning to double its production capacity apart from expanding its product offerings in India. The beaming Senior Vice President for sales and marketing at Honda Cars India, Jnaneswar Sen said that Honda India had never faced such happy situation. The company is expecting to grow faster and is working to become the most trusted brand in the country.