Dacia takeover reaps benefits for Renault: Duster is proof enough

When Renault took over the Dacia Brand in 1999, it had no idea what a success story this would turn out to be. Now, 14…

Dacia takeover reaps benefits for Renault (4)When Renault took over the Dacia Brand in 1999, it had no idea what a success story this would turn out to be. Now, 14 years later, it is evident that this was the most fruitful and timely investment made by the auto major specially judging from sales which have been steadily rising year after year.

Beginning with the Logan in 2004 there are now five model lines on sale in 36 countries and each year has been a success with sales continually escalating. Vehicles built on the M0 entry level platform sold close to a million units in 2012 while sales of Dacia brands up 17% in Western Europe.

Dacia brand has proved to be a golden goose for Renault. Its vehicles share a large number of parts nine years into the brand takeover while many parts introduced in second generation Logan are evolved from 1990 Renault Clio. This ensured that the new Logan was maintained at a competitive price level so as to be more attractive. Dacia has not reported drop in year on year sales, yet.

In India too, Renault India sales for the time before the launch of Duster SUV were very low. For the year 2012, Renault India has sold 35,052 cars, out of this, 23,701 units is the contribution of Duster, which basically is a product from Dacia. Similarly, in many emerging and developed markets, Renault has managed to make their mark with the help of low cost Dacia vehicles.

Source: AutoBlog

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