New Delhi, April 17 :
New Delhi, April 17:
Maruti Udyog (MUL) will focus on its entry-level cars, M-800 and Alto, to pep up sales in 2002-03.
The market for the two models will remain strong despite the excitement of launches in the mid-priced car segment, which includes the likes of Santro, Fiat Palio and Indica.
The two models have been picked up as growth-drivers despite the fact that sales of M-800 and Alto dropped 1.5 per cent. 'There are a number of models in the small car category, but Maruti feels it is the entry-level car that will continue to grow,' a company official said.
The B segment, the one represented by mid-priced cars, is a close competitor, but buyers' first option is a M-800 or Alto. The B-segment has grown 5 per cent this year, while the sale of entry level cars has declined. 'With a little focus, this trend can be reversed,' said Jagdish Khattar, managing director of Maruti Udyog Limited.
In 2001-02, Maruti sold 3.35 lakh cars in the domestic market and 11,874 units in the global market. More than half its sales came from the two-entry level models.
The company has bagged an order for 16,000 Alto VX from the Netherlands, marking the entry of the luxury version of 'the hottest little car' overseas. Buoyed by the deal, it plans to launch Alto VX in the UK soon.
'Alto VX created ripples when it was launched at the Geneva Motor Show. We have been getting a lot of enquiries from Europe, but this is the first order we have signed,' Khattar said.
The 999 cc Alto was being exported to European markets before, but this is the first time a 1081cc version of the car will be shipped to the European market.
The company is confident that recent changes Europe Union policies will help it double exports to the region by the year-end. 'The European Union is offering the highest rebate on Alto, as it is the most environment-friendly small car available in that market. They are giving a 1000 Euro (Rs 43,000) rebate on an Alto, priced there at 7999 Euro (Rs 3.43 lakh),' Khattar said.