Mahindra Eyes the Top Spot in Subcompact SUV Segment
We want to become No. 1 or No. 2 player in monocoque subcompact SUV segment, says Rajesh Jejurikar, ED & CEO (Auto & Farm Sectors), Mahindra & Mahindra
As the automotive industry in India experiences a surge in the demand for SUVs (Sport Utility Vehicles), Mahindra & Mahindra, country's leading SUV manufacturer, has unveiled its latest offering - the XUV 3XO with grand ambitions. Led by Rajesh Jejurikar, the Executive Director and CEO for the auto and farm sectors, Mahindra aims not just for market presence but for leadership in the fiercely competitive monocoque subcompact SUV segment.
According to the Society of Indian Automobile Manufacturers (SIAM), a record over 42 lakh passenger vehicles were sold in the financial year 2023-24, and almost half of them were SUVs. M&M was the largest SUV maker in FY24, surpassing market leader Maruti Suzuki with
4,59,000 unit sales.
Unveiling a Vision
At the launch event of the XUV 3XO at Mahindra’s manufacturing plant in Nashik, Rajesh Jejurikar's impassioned speech echoed Mahindra's relentless pursuit of innovation and unwavering dedication to pioneering excellence. With an eye on the top spot, Mahindra's ambition transcends mere market presence; it aspires to lead the subcompact SUV segment, challenging industry stalwarts with its innovative features and competitive pricing.
In a statement made by Jejurikar, he highlighted the significant opportunity presented by the monocoque compact SUV segment in India. Jejurikar noted that out of the total SUV market of approximately 25 lakh units last year, around six lakh units belonged to the sub-four-meter segment, representing a crucial target market. Despite currently holding the fifth position in this segment, Jejurikar expressed Mahindra's ambition to ascend to the top one or two positions within the next three years.
Market Dynamics
With SUV demand reaching unprecedented levels in India, Mahindra aims to replicate the success of its full-size SUVs like the Scorpio and XUV700 in the compact SUV space with the XUV 3XO. Despite being the fifth player in the sub-four-meter segment, Mahindra sees this as a golden opportunity to disrupt the market and emerge as a leader in the segment.
Innovation and Features
Jejurikar's enthusiasm for the XUV 3XO stems from two key factors. Firstly, Mahindra's illustrious history of automotive innovation, exemplified by iconic models like the Scorpio & Thar, underscores the company's resilience and capacity for reinvention. Secondly, the XUV 3XO itself represents a culmination of Mahindra's commitment to excellence and technological prowess, which replace the XUV300 in its portfolio. With features such as a dual-pane panoramic sunroof and Level 2 Advanced Driver Assistance Systems (ADAS), the XUV 3XO sets new standards in its segment.
Strategic Focus and Investment
Mahindra's strategic focus on the XUV 3XO is evident in its production capacity and investment. With plans to produce 9,000 units per month initially and the potential to ramp up to 10,500 units, Mahindra signals a substantial commitment to the success of the XUV 3XO. The project, costing Rs. 650 crore, underscores Mahindra's dedication to shaping the future of compact SUVs.
Conclusion
As we reflect on Jejurikar's words, it is clear that Mahindra has once again raised the bar with the XUV 3XO and as Mahindra sets its sights on leadership in the subcompact SUV space, it signals a broader trend of growth and innovation in the automotive industry.
