Mahindra Vibe launch should strengthen M&M 5% sales increase in May 2013
On 5th June, Mahindra Vibe launch will give the company a new lease of life offering them anew segment to compete in. While Mahindra has largely ignored segments that have nothing to do with being an SUV, getting back in the game should not be too difficult for them with many segments still open to them. Based on Verito sedan, the sub 4 metre hatchback will give them a stronger foothold in the passenger car market.
During the month of May 2013, M&M sales of passenger vehicles saw 22,244 units of Scorpio, XUV 500, Xylo, Bolero and Verito being sold as compared to 21,154 units sold in May 2012.This resulted in an increase of 5.15%. Sales of commercial vehicles were also up 12% as total sales stood at 14,848 units which also included that of Gio and Maxximo mini trucks.
Three wheeler sales during the month of May were however not upto expectations which saw a decline of 7% from 4,320 units sold in May 2012 to 4,028 units in May 2013. While sales of commercial vehicles sold by Mahindra Navistar Automotives Ltd saw a decline to the tune of 19% during the month of May 2013. Sales stood at 984 units as compared to 1,210 units in May 2012. Exports also dipped 67% from 4,051 units in May 2012 5o 1,356 units in May 2013. The company looks ahead to new product launches in the near future which are sure to bring the company back on track.
Pravin Shah, Chief Executive, Automotive Division, Mahindra & Mahindra Ltd. said, “We have achieved an overall growth of 5% in our domestic volumes during May 2013 for our automotive sector, in spite of a challenging environment. The growth in capital investment and private spending have also slowed down which is a cause for concern. At Mahindra we remain cautiously optimistic of the situation and do hope that on the back of the new product launches, the auto industry will rev up sooner than later”.