Trends: Executive Sedans

Trends: Executive Sedans

The year was 2000. The first two Completely Built Units (CBU) of Skoda Octavia landed in India and rushed to Aurangabad where the Volkswagen Group company would eventually set up a modern manufacturing facility. A confident Imran Hassan, as the head of the Czech company in India, looked keen to drill the fact that his Octavia was a car with a Czech badge but actually German in its quality – build and almost all of that it had to offer. A precursor of a segment that would pull buyers big time, the Octavia was official launched a year later in 2001. It was the same year that the Honda Accord was launched, albeit at a higher price point. The Hyundai Sonata too hit the market soon. The Honda Civic arrived in 2005, whereas the Toyota Corolla in 2003. The Hyundai Elantra arrived at round the same time. With SUVs yet to be the rage, these aspirational ‘executive’ sedans soon defined a new standard in the Indian auto industry. They came to occupy what would be termed as the C+ or D-segment. Forming an upper crest of sedans that were status and lifestyle-oriented, the two segment cars drew large sales volumes. The Octavia sold an estimated 8,000 units in 2005. A year before, in 2004, Honda Siel Cars sold 2,977 Accords. It cornered an enviable market share of 40 percent in its segment, an increase of 69 percent over 2003.

Between 2001 and 2010, the ‘executive’ sedan segment continued to be the ‘force’ with good sales. The introduction of new models like the Toyota Corolla and Honda Civic helped. The launch of large SUVs like the Hyundai Terracan, Ford Endeavour and Honda CR-V in the same time span did not create much ruffle as these were priced higher and were out of reach of many. It was with the launch of the Toyota Fortuner in 2009 that the SUV segment began gaining some serious muscle. By then, the D-segment had seen a good amount of shake and tumble. New additions included the Volkswagen Jetta and Passat. By 2011, the segment comprised the Toyota Corolla, Skoda Octavia, Honda Civic, Volkswagen Jetta, Hyundai Sonata Embera, Chevrolet Cruze and a few others. Crowded it became, and with an amount of fanfare to boast of. It turned out to be a segment that every manufacturer wanted a pie of. This, despite the SUV rage catching on since 2012 as the Ford EcoSport and Renault Duster arrived on the scene.

Vehicle buyers in India were suddenly exposed to a wider scheme of things; they were in fact torn between choosing an aspirational sedan or an SUV. The D-segment cars soldiered on with fair numbers to talk home about, albeit the likes of Civic and Octavia and not the Accord and the Sonata. On muted sales volumes, Honda discontinued the Accord in 2013. In May 2013, only 24 units of the ‘executive’ sedan were sold as compared to the sale of 68 CR-Vs. The Toyota Corolla sold 368 units in May 2013 as compared to the sale of 353 numbers in the month before. The Volkswagen Jetta sold 266 numbers in May 2013, and the Passat, 141 numbers. The Octavia, renamed as the Laura, sold 305 units in May 2013 as compared to the sale of 126 units in April 2013.

The near six-car D-segment has shrunk to a lone warrior in 2021. With the latest generation Honda Civic launched and quietly discontinued, the only car that seems to make up the segment today is the new Skoda Octavia. In the absence of Toyota Corolla, the only other car in the segment to give company to the Octavia is the Hyundai Elantra. Its numbers are anything to write home about today. The new Octavia has been priced uncomfortably close to the Superb with a starting price of INR 26 lakh. When it was first introduced in 2001, it was priced at no more than INR 10 lakh.

The executive sedan dilemma

If the Renault Duster should be credited to create some serious pull towards SUVs in India starting from 2012, today, it is the segments containing SUVs that are the most crowded. The clues of how the D-segment has shrunk to include just the Elantra or the Octavia (the new Octavia actually looks to have moved up and beyond the reach of this segment ironically) may be found in the proliferation of the SUVs at various levels – right from the Ford EcoSport level to the Toyota Fortuner level (where SUVs assume a serious form and function, complete with a 4WD system). A segment that did an estimated 10,000 units in 2005 has come down to a few hundred units in 2021. In January 2021, 32 units of the Elantra were sold. Eight units of the Octavia were sold. The Superb sold 239 units in the same month! Comprising cars that measure over 4.5m in length and are powered by engines with a displacement capacity of between 1800 cc and 2000 cc, the D-segment contenders have been priced between INR 15 lakh and INR 25 lakh.

Sitting above the C-segment, which consists of cars like the Maruti Ciaz and the Hyundai Verna, the D-segment cars have always been about status, comfort, features and performance. They are therefore about lower sales volumes and high production costs, making them difficult to pursue by many automakers. Proving to be a segment that has been tough to crack for many OEMs, the ones to taste immense success have been Skoda and Toyota with their Octavia and Corolla, respectively. With sales shrinking to become a fraction of that of the SUVs, and even not being as strong during their peak, the D-segment is a study that should reveal the time travel of the Indian passenger vehicle space. Affected extensively by the proliferation of SUVs at various price points, the D-segment is all but gone. The recent figures by SIAM indicating that SUV acceptance has increased steadily, and has grown to be more than the total sales of sedans and hatchbacks combined in the April-June quarter of 2021, the D-segment, it is clear, has shrunk drastically. With the B-SUVs (like Maruti Suzuki Brezza, Hyundai Venue, Tata Nexon) eating into the C-sedan segment and the larger C-SUVs (like KIA Seltos, Tata Harrier, Hyundai Creta) taking a pie out of the D-sedan segment, what was once considered as the most coveted has now been relegated to soldier on with much difficulty.

With India refusing to shift from being a price sensitive market, and with a certain purchasing power equation always present, the growth in SUVs that come at desirable price points with an aspirational value to talk about, the D-segment, it may be an exaggeration to say is on its last legs. Undercutting sedans when it comes to pricing, SUVs are proving to be the ruthless D-segment killers. Presenting a strong perception regarding ‘value for money’, it is they that are providing no chance for even the existing D-segment contenders to have much leeway. They may be world-class and highly regarded the world over, but the D-segment cars like the Skoda Octavia and Hyundai Elantra look like they are up against a wall. Made from Completely Knocked Down (CKD) kits that are weighed by the cost versus volume considerations, the D-segment cars that exist suffer from a significant cost disadvantage. Add low demand, and it is not surprising for Skoda to position the new Octavia within rubbing distance of the Superb in terms of price and features. Such is it that those looking for ventilated seats could go for the Superb and those not needing them could for the Octavia!

With such fine differentiation defining the current crop of vehicles that make up the D-segment, a big shake down does not seem far away. It could be driven by regulations and market requirements for certain. Already dissuading many OEMs to drop their D-segment offering, regulations like BS VI have indeed been a big factor. The other has been the availability of SUVs at price points that correspond with D-segment sedans. A big plus concerning SUVs is the status and lifestyle image they present. The other is their ability to travel over rough terrain and provide good visibility due to the high seating position. Providing a sense of invincibility, SUVs seem to offer more than a D-segment sedan could, today. At the top, it has increasingly come under pressure from luxury sedans and other offerings from brands like Audi, Mercedes-Benz and BMW. Some of the entry-level products from these OEMs don’t cost a premium. Owning used luxury cars has also become easy as their volumes have risen. This too has put pressure on the existence of the D-segment without any doubt. W ith the Octavia taking a position within close proximity to the Superb, the future of D-segment, at best, looks tough. This, even with the talk of the new Elantra being introduced gaining force with every passing day. Unless Hyundai unleashes the Elantra with some novel trick up its sleeve, there’s not much left to talk about the once glorious D-segment. (MT)

 

Maruti Suzuki Victoris SUV Launched In India, Aims To Disrupt Mid-Size SUV Segment

Maruti Suzuki Victoris

Maruti Suzuki India (MSIL), the country’s largest passenger vehicle manufacturer, has further expanded its product portfolio with the launch of the Victoris SUV.

The Victoris is being made available in multiple powertrain options, including petrol with strong hybrid, Allgrip Select (4x4) and factory-fitted S-CNG with an underbody tank design. Bookings are now open at INR 11,000.

The SUV can be had with a 1.5-litre hybrid powertrain with EV mode and e-CVT transmission, a multi-terrain 4x4 system with four drive modes and a CNG variant with dual ECUs.

The Victoris will join the Brezza, Ertiga, Fronx, Grand Vitara and Jimny to further expand its play in the SUV segment.

The new SUV features a 26.03 cm fully digital instrument cluster, 25.65 cm SmartPlay Pro X infotainment system with wireless Apple CarPlay and Android Auto, over-the-air updates and Alexa Auto integration. It also introduces a segment-first Infinity by Harman 8-speaker system with Dolby Atmos, 64-colour ambient lighting, ventilated seats, powered driver’s seat, wireless charging with cooling and a panoramic sunroof.

On safety, the Victoris comes with six airbags as standard, Level 2 ADAS with more than ten driver-assist features, all-wheel disc brakes, electronic parking brake, and a 360-degree camera. In fact, the Victoris has scored a 5-star Bharat NCAP safety rating for both adult and child occupants.

It comes with Maruti Suzuki India’s Arena Safety Shield, including ESP, ABS with EBD, hill hold control and a standard three-year/100,000 km warranty.

Hisashi Takeuchi, Managing Director & CEO, Maruti Suzuki India, said, “The new-age Indian customer is well-travelled, hyper-connected, socially aware, technologically progressive and environmentally responsible. To meet the aspirations of such customers, our new SUV the Victoris has ‘Got It All’. Victoris is a Latin word that means ‘victory’. We are confident the Victoris with its high technology, sleek design, intelligent and connected features, 5-star level safety and multiple environment friendly powertrains will win hearts in India. With Victoris we are strengthening our SUV portfolio and our overall market share.”

Partho Banerjee, Senior Executive Officer, Marketing & Sales, Maruti Suzuki India, said, “At Maruti Suzuki, we are always listening to our customers. Today’s young, and dynamic audience consider an automobile as a reflection of who they are – energetic, composed, confident and always moving forward. We gave this brief to our design and engineering teams for the all-new ‘Victoris’. SUVs may be the most loved segment today, but the SUV buyer has evolved. This new generation of young customers are ambitious, hyperconnected and value experiential living. The all-new Victoris is our answer to that shift - a progressive blend of tech, design and versatility. It is engineered with true SUV DNA and sets a new benchmark for what today’s automobiles can feel like. With the Victoris, we’re not just launching another SUV, we’re celebrating a new dimension to driving - one that’s ‘Got It All’.” 

MARUTI SUZUKI VICTORIS
Overall Length (mm) 4360 Engine Specifications K-Series 1.5L Dual Jet Dual VVT Engine Strong Hybrid
Overall Height (mm) (unladen) 1655 Displacement 1462cc 1490cc
Overall Width (mm) 1795 Max Power 75.8kW (103.06PS) @ 6000rpm 68kW (92.45PS) @5500 rpm
Wheelbase (mm) 2600 Max Torque 139Nm @ 4300rpm 122Nm @ 3800-4800 rpm
Tyre Size 215/60 R17 Fuel Efficiency 21.18 km/l (MT)* 28.65(eCVT) *
19.07 km/l (ALLGRIP AT) *
27.02 km/kg (MT S-CNG) *
Fuel Tank Capacity Petrol - 45 L
CNG - 55 L
Suspension Front: Mac Pherson Strut & Coil Spring
Rear: Torsion Beam Type & Coil Spring

Mercedes-Benz India Launches ‘Dream Days’ Festive Campaign

Mercedes-Benz India Launches ‘Dream Days’ Festive Campaign

In celebration of India's dreamers and their aspirations, Mercedes-Benz India has announced the launch of its comprehensive festive campaign, ‘Dream Days’. Scheduled to run from 2nd September to 31st October 2025, the initiative is designed to make the ambition of owning a Mercedes-Benz more accessible than ever through a suite of tailored ownership benefits and experiential engagements.

The 360-degree campaign focuses on creating signature luxury experiences at every customer interaction. A core component is a range of innovative financial solutions aimed at empowering new and existing customers. For its entry and core model portfolios, Mercedes-Benz is introducing financial plans featuring exceptionally low monthly instalments, attractive interest rates and minimal down payments. First-time buyers will receive additional ‘Welcome Benefits’ when trading in their current vehicle.

Further enhancing flexibility, a unique ‘Seasonal Payment Plan’ allows customers to structure their payment schedules around periods of higher cash flow, such as bonus months, alleviating the burden of uniform monthly payments. A standout ‘Key to Key’ programme for select models like the S-Class enables customers to upgrade to a new vehicle after 24 to 36 months with zero down payment, effectively allowing them to own two new Mercedes-Benz cars within a four-year period.

Complementing these ownership advantages, Mercedes-Benz is elevating its customer service with nationwide ‘Service Clinics’. During these events, trained brand engineers will travel to various locations to provide personalised vehicle diagnostics and address owner concerns directly.

The campaign will culminate in the ‘Dream Days Festival’, a first-of-its-kind event touring six key cities: Chandigarh, Ahmedabad, Pune, Bengaluru, Chennai and Kochi. This two-day festival will offer participants hands-on driving experiences across specially designed tracks that demonstrate the capabilities of the brand’s sedans, SUVs, electric vehicles and high-performance AMG models. Attendees can also enjoy immersive brand experiences, such as the Burmester Sound Experience, fostering a deeper connection with the Mercedes-Benz brand.

Santosh Iyer, Managing Director & CEO, Mercedes-Benz India, said, "India is a nation built on dreams – from startup founders, entrepreneurs to seasoned executives, every dreamer deserves the luxury that they aspire for. This festive campaign, hence, underlines our commitment to fulfil the aspirations of our customers, offering flexible and curated financial solutions, supporting them with their purchase decision. We are confident these financial solutions will find immense value among customers, creating excitement and positive momentum in the market this festive season.”

Hyundai Marks 10 Years of Creta With New King And King Limited Edition Variants

Hyundai Creta King

Hyundai Motor India (HMIL), one of the leading passenger vehicle manufacturers, has introduced the Creta King and Creta King Limited Edition to mark a decade of its popular Creta SUV in the domestic market. The company has also added new features to other Creta variants.

The Creta King includes features such as R18 diamond cut alloys, a driver power seat with memory function and a passenger seat with electric adjustments. It also comes with a dashcam, wireless Android Auto/Apple CarPlay and dual-zone automatic temperature control. The vehicle is available with a 1.5L petrol, 1.5L diesel and 1.5L turbo petrol engine. A new Black Matte colour is also being introduced.

The Creta King Limited Edition adds exclusive ‘King’ branding on elements like the seat belt cover, headrest cushion and key cover. This limited edition is available in Abyss Black, Atlas White and the new Black Matte colours.

The Creta King Knight, with its black design, also receives upgraded features including R18 matte black alloys, electric seat adjustments for the driver and passenger, a dashcam and dual-zone automatic temperature control.

Tarun Garg, Whole-Time Director and Chief Operating Officer, Hyundai Motor India, said, “At HMIL, we have always believed in delighting our customers with fresh choices and enhanced experiences. Ahead of this festive season, we are excited to introduce the Creta King and Creta King Limited Edition in our SUV, the Hyundai Creta. These additions, coupled with enriched feature offerings in the Creta line up will reinforce our commitment to offering products that blend style, performance, technology and safety. We are confident that these new introductions will add to the festive excitement and further strengthen the appeal of Hyundai’s most loved SUV among Indian customers.”

Additionally, new features have been added across other Creta variants, including a dashcam, dual-zone automatic temperature control and wireless Android Auto/Apple CarPlay. The Creta N Line also gets these new features.

Honda Elevate Receives Festive Upgrades With New Interior And Styling Options

Honda Elevate

Honda Cars India has introduced a series of updates to its popular SUV, the Honda Elevate in time for the festive season. The enhancements include new interior colour options and exterior styling upgrades, aiming to give the vehicle a more premium and stylish feel.

The top-of-the-range Honda Elevate ZX grade now features a new Ivory interior theme, complete with ivory leatherette seats and soft-touch inserts on the doors and instrument panel. As an optional extra, customers can choose a new ‘Alpha-Bold plus Grille’ for a more commanding front profile, along with a 360-degree surround vision camera and 7-colour ambient lighting. With these additions, the Elevate ZX offers a choice of three distinct interior themes: Tan, Ivory and Black.

For the V and VX grades, Honda is introducing new black fabric upholstery, which replaces the previous shadow beige option. These variants also feature dual-tone interiors with ivory soft-touch inserts. The new Alpha-Bold plus Grille is available as an accessory for these models and the Crystal Black Pearl colour option is now offered across the V, VX and ZX grades.

Kunal Behl, Vice-President Marketing & Sales, Honda Cars India, said, “The Honda Elevate is a very successful model and has been greatly appreciated by customers for its versatility in both the domestic and export markets. With the introduction of the new ZX grade with ivory interiors and new enhancements across all grades, it is our endeavour to offer more choices to customers during the festive period and warmly welcome them into the Honda family.”

The Honda Elevate is powered by a 1.5L i-VTEC petrol engine and is available with a choice of a 6-speed manual or 7-speed CVT automatic transmission. The SUV continues to offer a range of safety features, including the Honda Sensing advanced driver-assist system in the ZX grade, which includes Collision Mitigation Braking and Adaptive Cruise Control.