Evaluation: How Kia disrupted the Indian automobile market – Gross sales, Causes and Merchandise | Mobility Information


The Indian automotive market is difficult to crack! Though the gross sales numbers are rising and with rising disposable earnings, an increasing number of 4 wheelers are being offered, Indians are nonetheless very awkward about shopping for a car. And why should not they be? In any case, a automobile is the second largest funding after a house for a middle-class Indian. Therefore, Indians are very explicit concerning the automobiles they’re shopping for.

As many prime OEM house owners have stated up to now, an Indian purchaser wants all the pieces in a car with out paying something for it. This has proved to be a problem for a lot of globally famend large auto manufacturers. For instance, corporations like Chevrolet and Ford, doing in any other case effectively, consolidated their enterprise in India. However that does not cease new gamers from coming into a profitable market like India!

Additionally learn: Kia Carens MPV launched in India for Rs 8.99 lakh, 15 variants on supply

As powerful as it could be, India is a gold mine for enterprise homes as a result of its huge inhabitants base. Kia Motors (now Kia) noticed this large alternative and entered the Indian market in August 2019 with the launch of its first providing within the nation, the Kia Seltos. The South Korean automaker, part of the Hyundai Group, is thought for making a few of the finest wanting and technically loaded automobiles at inexpensive costs, which is why it’s so profitable in South Korea and the US.

They’ve replicated the identical system in India to supply technology-packed, youthful merchandise at inexpensive costs and have captured an enormous market very quickly. Many commerce pundits attribute the success of Kia to the product technique of the model aside from high quality merchandise and pricing. Check out the explanations behind Kia’s success in India, gross sales numbers and present portfolio –

Kia India is the quickest automaker to achieve the milestone of 1, two and three lakh home gross sales. The corporate lately registered a cumulative gross sales (home and export) determine of 5 lakh items. In simply 2.5 years, Kia has a market share of round 6 p.c and is likely one of the prime 5 automakers in India by gross sales.

It’s in fixed battle with Mahindra Auto for the fourth place. In February, Kia India reported 8.5 per cent progress in gross sales on a year-on-year foundation. Kia offered 18,121 items in February as in comparison with 16,702 items in February 2021. Nevertheless, gross sales declined barely as in comparison with January 2022.

Kia Seltos remained the highest contributor to Kia’s complete gross sales with 6,575 items, whereas Sonet and Carrence contributed 6,154 and 5,109 items respectively. The corporate says semiconductor shortages stay a priority and are holding again gross sales. The automaker lately launched the third shift in India and goals to provide over 3 lakh items within the calendar 12 months.

trendy merchandise

Kia India is providing a few of the most characteristic loaded and effectively designed merchandise to the Indian prospects. From the entry degree Sonnet to the flagship Carnival, all Kia automobiles have best-in-class options. The lately launched Carens additionally comes with a number of segment-first options.

value ceiling

Fashionable and have loaded automobiles doesn’t imply that Kia merchandise are costly. In reality, Kia India is providing probably the most aggressive merchandise to the Indian prospects. Living proof, the lately launched Kia Carense is priced at simply Rs 8.99 lakh (introductory, ex-showroom) for the 7-seater MPV with SUV styling. The equally unique and rival Hyundai Alcazar is priced north of Rs 16 lakhs.

dealership community

Other than the merchandise, Kia has some of the trendy and largest dealership community in India. The corporate additionally topped the ‘Supplier Satisfaction Survey’ performed by FADA, for 2 consecutive years in 2020 and 2021. The standard of service and car shopping for journey is extremely acclaimed from all digitized and prospects.


Kia merchandise are the most secure out there and this additionally will increase the gross sales of Kia automobiles. Many younger consumers think about security as an essential issue when shopping for a automobile. Just lately, Insurance coverage Institute for Freeway Security (IIHS) acknowledged eight Kia automobiles together with Seltos, Carnival in its 2022 Prime Security Choose (TSP) and Prime Security Choose+ (TSP+) award listing.

product combine

One other issue that performed in favor of Kia India was its product combine for India. Kia began with the mid-SUV section, which is closely in demand, adopted by the Kia Carnival premium MPV creating a brand new section, which makes it successful amongst celebrities. Not solely this, Kia targeted on the SUV fetish of India by launching a compact SUV and later an MPV with SUV styling. Although Kia has some actually good sedans, the corporate says that they wish to capitalize on the SUV wave in India.

As talked about above, Kia has launched 4 merchandise in India with its 2.5 years of gross sales operations within the nation and is planning to launch many extra merchandise within the coming months. Here is a have a look at the present Kia portfolio –

Kia Seltos

Kia Seltos was the primary automobile launched by the South Korean carmaker in August 2019 and broke many shackles on how the Indian viewers considered the automobiles. The Kia Seltos provided a really European product with a top quality match and end, characteristic loaded and was the primary “Made in India for the world” product. Kia has offered a complete of two,51,877 items of Seltos within the home market until January 2022. SUVs alone have contributed to 65 per cent of Kia’s complete gross sales in India.

Kia Carnival

The Kia Carnival was the following product to enter the Indian market and it was shocking to see that everybody was anticipating one other SUV from Kia. Launched throughout Auto Expo 2020, it created a definite and distinct section by itself within the premium MPV class. The car has registered complete gross sales of 9,737 items in India thus far. It’s a large hit amongst celebrities and businessmen on the lookout for an important MPV for simple journey.

kia sonnet

The corporate’s first sub-4m SUV was launched in September 2020 and was the third product for India and the second ‘Made in India for the world’ product. The Kia Sonnet, just like the Seltos, affords many segment-first options and very quickly, has carved a distinct segment for itself. The entire home gross sales of the automobile reached 1,24,504 items as of January 2022. Automobile contributed 32 per cent stake in Kia India.

kia carens

The latest product launch for Kia is the Carence MPV which the corporate is advertising and marketing as RV, a brand new section with SUV-like styling. The automobile is offered as a 6/7 seater configuration and was launched on 15 February this 12 months after a niche of just about 1.5 years as a result of a number of lockdowns. That is the third ‘Made in India for the world’ product.

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