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Maruti’s Domination Strategy_Statewise

While preparing the statewise passenger cars sales statistics, we couldn’t ignore the way Maruti Suzuki has dominated the markets throughout the nation. It is not a easy task to maintain a Market Share of >50% in any category and the ease with which Maruti does it has been a Case Study for Industry observers across the world. Out of all, these 2 strategies have been critical to the OEM –

  1. Segmentwise Presence and Leadership: As of today, Maruti has dominated literally every segm\ent. Be it \entry level hatch (Alto), Mid level hatch (Swift), Premium Hatch (Baleno), Compact Sedan (Dzire), MUV (Ertiga), Compact SUV (Brezza) or C segment Sedan (Ciaz) – Maruti has a segment leader offering. The Product Planning of Maruti is a matter of envy for global biggies and have left them clueless on how Maruti manages to bring products which align to customer expectations and price it lowest in the respective segment as well!

  2. Pocketwise Strategy: Maruti has been very aggressive in terms of building Market Share pocket(region) wise. This is what we wanted to highlight in this post. Maruti has the lowest Market Share in East Zone (at 47.7)!

We have ranked the Zones as per Market Share (North stands at No.1 with highest MS of 52.2%) –

The top level states in every Zone is as mentioned:

  1. J&K – The Northern most part of the country has been the top most market for Maruti Suzuki in the North Zone and enjoy’s a Market Share of ~68%!

  2. Goa – The Konkan Region in the West had Maruti’s best acceptance and Market Share of ~63%.

  3. Kerala – It is said that it is a tradition in Kerala that the first car at any household had to be a Maruti! It holds true even now in some households and it still commands 56% Market Share in Kerala! The likes of Indus Motors, Popular Motors belong from Kerala and are touted to be one of the Biggest Maruti Dealers in India. Kerala’s Indus Motors is estimated to deliver Maruti Suzuki vehicle every 15 minutes!

  4. Tripura – Due to poor infrastructure and dependence on diesel vehicles, East had always been a concern market for Maruti. Cars (or rather SUVs) with higher ground clearance & Diesel engines were in demand in these markets. The likes of Bolero, Sumo,etc were in huge demand in these markets. However, the entry level first time buyer still had no option other than Maruti & the newer products like Ertiga, Brezza helped Maruti pull up the Market Share in East considerably. Tripura as a state has the highest Market Share in East Zone at  68.5% which coincidentally is the highest in India as well!

A look at Maruti’s Top Markets in terms of Market Share –

Basis volumes, the Top 10 States of Maruti Suzuki are –

  1. The Average Per Month’s Volume of Maruti in Maharashtra is higher than what Tata/Honda/Toyota would sell in the entire country in a month!

  2. Maruti sells over 98,000 cars combined every month in the Top 10 states!

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