The CAFE 3 norms are just eight months away. Things will certainly get tighter and tougher for automakers, in terms of upping the number of clean power options as well as light-weighting their current brawn-ish SUVs. If one has to bring a 30 percent reduction in fleet-average performance and move from MIDC to WLTP test results, an automaker has very little leeway in terms of just about making it.
As a product planner, I would seriously take this as an opportunity to bring the focus back onto the entry-level small car. In fact, all product planners should be doing the same, irrespective of what your current portfolio is. The policymakers are sending out a clear message to the Indian automobile industry – relook and revive the small car, for you have neglected it for quite some time now!
And why not? It’s not just for developing markets; look at the developed world too. The otherwise ostentatious European is seriously evaluating the small car once again. Even the more aware and conscious American is. Japan has always been a ready reference for all. Tomorrow’s car buyer is going frugal and smart once again. Going back to the basics. Without compromising on comfort and features. And the automakers have prepared themselves for such times. Some started almost a decade ago, with varying outcomes, but the efforts have been commendable and great teachers on how to approach the future.
The Citroën Ami. The Fiat Topolino and Multiplina. The Renault 5 and its hot hatchback cousin, the Alpine A290. The Nissan Micra. The Smart For2. The Honda Super N. The Microlino and Microletta. And I have not even gone into what the Chinese have launched over the last 12 months.
This is the attack of the “minors”. Electric. Power-packed. Feature-rich. Head-turning looks. Both microcars as well as conventional entry-level little runabouts. They are not cheap-looking, frugally engineered, cost-compromised, low-on-status offers that one never wants. They are clean, conscious and very cool. They cater to the sceptical youth and the wizened elder alike.
For years, Japan and Europe have been the homes of such cars. It is time India takes over that role. And it makes perfect business sense too. If we are to increase car penetration and grow the market to a size even half of that of China, given our consumption power, there is no other way but to make the entry-level car the hero of the script. Whether electric, CNG or hybrid. It is the responsibility of brands like Maruti Suzuki, Hyundai, Toyota, Tata and Honda to make this happen. Only then will we create a mature and sustainable market with a rich and robust pipeline of two-wheeler owners who will want to look up!
Rishaad Mody
