Sumit Sawhney, Country CEO and managing director at Renault India says the company is 'still building a runway' in India. "I won't say that we have arrived. Our target is to reach five per cent and consistently sell five per cent in the mid-term," he said. Sawhney says the company has a limited product portfolio and the mini segment (where Kwid operates) is not expanding.
The company is hopeful that Captur will add volume. However, given the aggressive competition in the SUV space, Captur's volume will not help the company arrest the decline in sales. Captur, irrespective of its features and length (it is above four metres unlike EcoSport and Brezza), will have to compete with smaller SUVs which are priced lower.
Country's most sold SUV, Brezza, begins at a price of Rs 7.24 lakh. Creta starts at a price of Rs 9.28 lakh and EcoSport has an entry price of Rs 7.30 lakh. The recently launched Tata Nexon, another sub-four metre SUV, begins at Rs 5.85 lakh. Cars less than four metres in length attract lower taxes.
Captur may also impact sales of another Renault SUV, the Duster. Duster plays in a price range of Rs 8.48 lakh and Rs 13.79 lakh. Sawhney, however, says that there will be no impact on Duster's volume in the market. "These are apples and oranges. If we look at the other global markets like Russia and Brazil where Captur was launched, there is no cannibalisation".