I read this piece of news today which says: “Hindustan
Motors Limited (HML), the makers of the good old Ambassador car in India, is focusing
on SUVs and would be launching new SUVs in collaboration with Mitsubishi Motors.”
Well, I could not help but think what is wrong with
Mitsubishi-HM after I read this news.
Is it that the low sales have disillusioned them and they
are unable to think straight?
The two companies have an alliance for over two decades and are
still lying at the bottom of the sales chart. And now they finally wake up, or
so it seems, and make a silly announcement that they will bring in more SUV’s.
As there’s no point talking about the HM and Ambassador, I’ll
jump to Mitsubishi.
A company which already has 4 SUVs in India – Pajero SFX,
Pajero Sport, Montero and Outlander and only one sedan the Cedia (not
considering the Evo as its a niche car) is talking about introducing more SUVs.
Of the five models that they sell here, 4 are SUV's and
still they are at the bottom of the sales chart. So, how ill launching new SUV’s
help them is beyond me.
And I have also read that they are planning to bring in cars
like the Mirage and Colt.
Though there is nothing wrong with new launches, but what’s
the point if they are not going to meet the same fate as the Cedia or Outlander
or Montero.
The company needs to look at the root cause of the problem.
They need a major image makeover. Just because you are planning to launch new
models does not mean that the Indian consumer’s interest in the brand will surge
overnight.
Drastic steps and a major rejig are the need of the hour.
Mitsubishi immediately needs to break up with Hindustan
Motors and pump in money to set up new dealerships and more important, much
better after sales service.
Instead of focusing on SUVs, they need to focus on small
cars and launch at least a three models—one to counter the Alto/Eon class, the
second to compete with the likes of i10/Wagon R and maybe a premium hatch as
well, but that can wait.
But the most important thing is to provide cheap spare parts
and best after sales service and only then can they expect to enjoy the loyalty
of the Indian customer.
