The Japanese carmaker, which introduced its flagship product - X-Trail - earlier this year, is banking on the renowned global SUV’s brand name to drive sales of its upcoming more affordable models in the next two years.
04 Oct 2024 | 424 Views | By Mayank Dhingra
Nissan India, which currently sees a passenger vehicle market share of only 1 percent, despite being over two-decades old in the country, is gearing for an aggressive product roadmap over the next 24-36 months. The company, which introduced the facelifted Magnite compact SUV in the market on October 4, ...
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Nissan India, which currently sees a passenger vehicle market share of only 1 percent, despite being over two-decades old in the country, is gearing for an aggressive product roadmap over the next 24-36 months. The company, which introduced the facelifted Magnite compact SUV in the market on October 4, aims to introduce three new locally-designed and manufactured models, including an EV, by end-CY26.
As a result, Nissan India is banking heavily on some of its CBU models - like the X-Trail SUV - which was launched earlier this year in August at a price point of Rs 49.92 lakh, ex-showroom, and positioned as the company's flagship product in India, to create a halo effect and catalyse the sales of its upcoming more affordable range of products.
According to Nissan India MD Saurabh Vatsa, “The CBU line-up is serving a very important role for the Nissan brand in India at the moment. While normally it takes much longer to introduce a range of new models to a market, we are going to do it in a very condensed manner - introducing three new models within a span of the next 24 months.”
“In this short period, CBUs are allowing us to reincarnate the brand by showcasing the best of our global technology,” Vatsa added.
Under its mid-term ‘Nissan Arc’ plan, the company has outlined to launch two brand-new C-SUVs - including a five- and a seven-seater variant - in CY25, and a brand-new, affordable all-electric SUV towards the latter half of CY26 - when the Arc plan comes to an end.
The company says that there is a lot of interest coming in for the X-Trail, and “it is serving its purpose quite well.” “The conversion from bookings to sales for Magnite has gone up significantly in showrooms where the X-Trail has been accompanying the Magnite. That is what its purpose has been - to create a brand recognition for Nissan in India,” Vatsa added.
In the run up to a multi-car portfolio by the end of CY26, Nissan India is also reinforcing its retail channel by adding more touchpoints to its network. With the launch of the facelifted Magnite itself, the company aims to grow its touchpoints from the existing 275 outlets to over 300 outlets by end-March 2025.
The company plans to increase the density of its touchpoints within major cities (Tier-1, Tier-2 markets) which dominate the demand for the Magnite in India. However, the idea is to ensure dealer viability and profitability, in the process of expansion. According to Vatsa, “We are ensuring the sustainability and profitability of our retail partners. The next two-three years is the time for our long-standing channel partners to enjoy the most exciting time of Nissan in India."
While the company is reaching out to its existing channel partners to further expand its network by setting up new touchpoints around their current localities, as per Vatsa, the company is also witnessing erstwhile Nissan India dealers, show a heightened interest to come back to the brand, attracted by the optimism around its mid-term product roadmap.
With a brand-new launch right at the onset of the festivities in India, Nissan is optimistic about a buoyous festive season despite dull overall market sentiments. “All OEMs are looking forward to a very strong festive season and that will change the mood of the market. There will be single-digit growth to the tune of 5-6 percent in this financial year, and hence, the Q3 of FY25 which will see the festivities, will define where the Indian PV market goes this year,” Vatsa concluded.