Mahindra's Urban Prosper Platform seeks to elevate small commercial vehicles with car-like comfort and technology through a modular design bringing touchscreens, airbags, and power windows to the world of sub-3.5 tonne trucks.
01 Oct 2024 | 792 Views | By Shahkar Abidi & Ketan Thakkar
In the inertial world of Indian commercial vehicles, Mahindra & Mahindra (M&M) has achieved something remarkable in the small CV segment: It has gone from a challenger brand with a 36% share in 2010 to the leader, accounting for one in every two small trucks. With the momentum clearly in ...
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In the inertial world of Indian commercial vehicles, Mahindra & Mahindra (M&M) has achieved something remarkable in the small CV segment: It has gone from a challenger brand with a 36% share in 2010 to the leader, accounting for one in every two small trucks. With the momentum clearly in its favour, Mahindra & Mahindra is now planning to press its advantage with a new, technology-agnostic platform for sub-3.5 tonne vehicles – the Urban Prosper Platform or UPP.
The aim behind the new platform is to bring sophistication in a segment that is defined by rugged functionality and remains largely unchanged in comfort, safety, and design over the years.
The UPP is modular architecture and can deliver multiple wheelbase and cargo box options, allowing for around 14-15 different model variants. It is a multi energy platform that is designed to offer diesel, petrol-CNG and electric powertrains. The products start with a sticker price of Rs 7.99 lakh.
The intent is visible in the very first vehicle based on the UPP – the Mahindra Veero – which boasts of features such as driver-side airbag, reverse parking camera, a 26.03 cm touchscreen infotainment system, steering-mounted controls, and power windows. On the practical side, it offers a payload of 1,600 kg, an impressive 3035 mm cargo length, and a fuel efficiency of 18.4 kilometers per liter for the diesel variant and 19.2 km/kg for CNG. It also comes with a turning radius of 5.1 metre.
Speaking at the launch of UPP, Veejay Nakra, President, Automotive Division at Mahindra & Mahindra acknowledges the complexity of the task: "The reality is a diverse landscape populated by customers grappling with a myriad of challenges. Our mission is to develop a comprehensive platform that caters to the multifaceted requirements of these customers, eliminating the need for compromises."
The UPP Story
When Mahindra's design team embarked on the challenging task of reimagining the commercial vehicle, they were confronted with an age-old problem: how to marry functionality with beauty and create a workhorse that not only performed but also appealed to the eye.
“It was a whirlwind,” remembers Ajay Sharma, Senior Vice President and head of Mahindra’s India Design Studio (MIDS).
Hundreds of sketches flowed from the team’s hands, each guided by principles like "purposeful," "confident," and "planted."
According to the company, the end results include a frame that is twice as rigid as those of its competitors in both bending and torsion, and a cabin structure that boasts three times the rigidity.
Under the hood, a 1.5-litre engine delivers about 18% better low-end torque and fuel efficiency over rival vehicles. According to the company, the frame can withstand five times the impact load of competitors. Notably, the platform’s modularity allows for the seamless integration of various powertrain and cargo configurations on a common frame. Further enhancing its practicality, the platform is engineered for extended service intervals, requiring maintenance only every 20,000 kilometers, as compared to the industry standard of 10,000 kilometers.
Mahindra has invested over Rs 900 crore in the first phase development of this "car-like" multi-energy platform. More investments will be required as the company comes out with newer products from it, but those will be incremental, company executives informed.
On the total cost of ownership—a crucial factor in the decision-making process, Nakra pointed out that in the current market landscape: the economics are still unfavorable for the widespread adoption of electric vehicles in the high-payload segment, primarily due to the prohibitive cost of batteries. Hence, for now, Mahindra will focus its efforts on diesel and CNG options in the UPP.
Sources say the company’s lion share in the pick up truck segment of 2-3.5 tonne does offer a very healthy margin and has given a lot of headroom for Mahindra to aggressively target the adjacencies of 1.2 to 2 tonne segment, where the UPP products will be positioned.
E-Commerce is shaping the SCV Segment:
The SCV segment has undergone a transformation in recent years in response to changing customer demands. It was previously dominated by vehicles in the sub-1 tonne segment and 2-3.5 tonne pick up trucks, with a clear gap in between. However, the emerging needs of a variety of industries – especially e-commerce – has led to the emergence of several models in the intermediate space – 1.2 tonne, 1.4 tonne, 1.5 tonne, 1.7 tonne etc. – both from M&M and others.
At the lower end, the three-wheeler segment – especially the electric version – emerged as a strong contender, boosted by their green credentials and better cost economics.
Within the city, where maneuverability and volumetric efficiency are critical, there is growing demand for 1 ton to 1.2-tonne vehicles. To meet this need, manufacturers are offering factory-fitted high-deck trucks, reducing the need for aftermarket modifications and ensuring durability. Vehicles like the Maxi Truck and UPP are tailored for this segment, Nakra explained. On the other hand, intercity transportation relies on slightly larger vehicles, such as the Bolero Max, which covers the 1.5 ton to 2-ton range.
That said, the market for the traditional sub-2-ton four-wheelers has been declining, largely due to the growing popularity of three-wheelers and small electric four-wheelers. This segment has seen an 8-9% drop in sales, while the 2 to 3.5-ton category has remained stable. Several factors have contributed to this shift, including economic changes, rural infrastructure investments, and agricultural trends.
In the three-wheeler category, electric vehicles now make up 20% of the market, particularly in the L5 segment. While electric three-wheelers are thriving, electric four-wheelers, particularly in the higher tonnage range are yet to realise an optimum cost-benefit equation. However, this is likely to change as battery prices fall globally and EVs achieve scale.