M&M aims to soar high with mFalcon-engined KUV100

January 15 is celebrated as Makar Sankranti or the beginning of the harvest festival in India. It is also the day Mahindra & Mahindra (M&M) chose to launch its first petrol-engined model – the all-new KUV100.

The launch comes exactly a month after the government imposed a temporary ban on the registration and sale of cars and SUVs with diesel engines above 2,000cc. This ban severely affects M&M which, till now, had an only diesel-engined product portfolio. The KUV100 can be seen as the company’s first move in its petrol strategy. 

Dubbing it “as a new inflection point in the history of M&M,” Anand Mahindra, chairman of the Mahindra Group (who is in California overseeing the launch of the Genze 2.0 electric scooter), said that the KUV100’s launch is probably bigger than the launch of the game-changing Scorpio introduced in the year 2002.

Designed and developed at the Mahindra Research Valley in Chennai, the sub-4-metre KUV100 fits more in the premium hatchback segment than in the compact SUV segment, largely due to its smart pricing strategy. The KUV100 will go up against established hatchbacks such as the Hyundai Grand i10 and the Swift in the Indian market.

Given that each of these models consistently clock sales of more than 10,000 units a month, the KUV100 does seem to have its hands full. However, what could work in favour of the KUV100 is its distinct crossover design and highly competitive price-tag.

The KUV100 has seven variants on offer, starting with the base K2, going up to K2+, K4, K4+,K6, K6+ and the top-spec K8. Prices for the petrol variant start at Rs 4.42 lakh and go up to Rs 5.91 lakh for the top-spec petrol variant. The base diesel is priced at Rs 5.22 lakh, going up to Rs 6.76 lakh (ex-showroom, Pune).

On the design front, the KUV100 gets a slim high-up grille and large prominent headlamps with LED elements that extend to the front pillar. The squared wheel arches and high-set fenders lend the car a muscular appeal while the sloping roofline adds some sportiness.

Inside, the KUV100 ditches the conventional 2+3 seating arrangement for the 3+3 seating layout which makes it the only six-seater in the segment. The arrangement has been made possible by the addition of a bench-seat. To house the bench-seat, the gear lever has been mounted on the dash and the handbrake moved to the base of the centre console. Will this click with buyers? Only time and buyers will tell. The six-seat layout comes as standard on the K2 and K2+ variant, while other variants get the option of the five-seat grid as well.

The KUV100 is powered by Mahindra’s all-new mFalcon engine family in which the company has invested Rs 500 crore. On offer are two engine options – the petrol motor is a 1.2-litre, three-cylinder motor which develops 82bhp at 5,500rpm and 11.73kgm of torque at 3,500-3,600rpm. The diesel is also a 1.2-litre, three-cylinder motor that puts out 77bhp at 3,750rpm and 19.37kgm of torque at 1,750-2,250rpm. This motor also features Micro-Hybrid technology along with eco and power modes for optimal performance in various conditions. Power from both the motors is sent to the front wheels via an all-new five-speed manual transmission.

M&M partnered with 72 component suppliers to develop the mFalcon engine. There were 12 suppliers specific to the petrol motor and 30 suppliers specific to the diesel, with about 30 suppliers common between both petrol and diesel engines. Key suppliers include Continental, Bosch, Federal Mogul, Schaeffler Group, Aisin, Magneti Marelli, Mann + Hummel, KSPG, GMB Korea, BorgWarner, Gates, ElringKlinger and Magna.

In terms of safety, the carmaker has offered ABS with EBD as standard across the range along with optional driver and passenger airbags right from the base variant. With an ARAI-certified mileage of 25.32 km/litre for the petrol variant and 18.15 km/litre for the diesel model, the KUV100 enters the category of the most fuel efficient cars in its segment.

Targeting primarily youth and first-time car buyers scouting for a stylish vehicle, M&M is looking at sales of around 80,000-90,000 units a year for the KUV100. Apart from its dealer network, M&M will be using various e-commerce platforms to sell the car and has already started taking bookings on Flipkart and its own e-retail platform M2ALL. M&M will also start exports of the KUV100 to India-like right-hand-drive markets from April 2016 onwards.

According to the automaker, the KUV has already received a good initial response and since its first reveal about a month ago, Mahindra has got 1.5 million views on its microsite for the KUV100 and almost 300,000 views in the last two days alone. The company also revealed that it has got 50,000 ‘hot’ enquiries and added that it will disclose the number of bookings in the next few days.

In line with these estimates, M&M is ramping up production capacity at its Chakan facility and Pawan Goenka, executive director at Mahindra & Mahindra said that in less than six months, the capacity would increase from 9,000 units a month to 12,000 units. The Chakan plant currently produces 4,000 units of the flagship XUV500 every month.

Speaking at the launch at the Chakan plant today, Dr Pawan Goenka said, “The launch of the KUV100 is a defining moment in the automotive journey of Mahindra. The KUV100 is our first foray into a ground-up petrol engine and with it we are defining a new SUV sub-segment and targeting a new customer group.”  

Pravin Shah, president & chief executive, (Automotive) Mahindra & Mahindra, said, “We identified that today’s youth want an SUV that helps them stand out, one that reflects their personality and enhances their lifestyle. I believe the KUV100 will appeal to youth and first-time car buyers with its aggressive styling, trendy interiors, long feature list and attractive price point and emerge as a winner.”

At a time when diesel has been demonised in the country, a seemingly unfazed M&M is showing grit with the launch of the KUV100. True to the birds-of-prey nomenclature for its engine families, the company is optimistic that the mFalcon-engined KUV100 will lock in new buyers and give the company a new growth trajectory.

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