Introduction
The presence of Mitsubishi cars in the Indian market has been steadily dwindling in recent years. A combination of factors, including limited dealership networks, high pricing, and changing consumer preferences, has contributed to this trend. Let's delve deeper into the reasons behind this decline.
Why Are There Few Mitsubishi Dealerships in India?
Mitsubishi cars are relatively uncommon in the Indian market due to the minimal number of sales outlets and service centers. This scarcity makes it challenging for potential buyers to access and service their vehicles. Additionally, the company does not invest heavily in marketing, which may make it less visible to consumers.
Limited Model Range
Mitsubishi currently offers very few car models in India. The only notable model is the Pajero Sport and the Montero, which are both CBU (Completely Built-Up) imports. These models are extremely expensive and do not offer a good value-for-money proposition.
Market Preference and Car Features
The Pajero Sport is a great car known for its smooth handling, but it is somewhat outdated compared to the newest models like the Fortuner and Toyota Innova (Endeavour). The shifting preferences of Indian car buyers towards more modern and feature-rich vehicles further reduces the attractiveness of Mitsubishi models in the current market.
Why Chevrolet Is No Longer Available in India
To move away from historical context, let's transition to discussing Chevrolet in India. Chevrolet, under the umbrella of General Motors (GM), was once a prominent player in the Indian market. However, General Motors decided to discontinue all Chevrolet cars in India as of December 31, 2017. This decision was primarily due to the heavily saturated Japanese market, making it difficult for Chevrolet to remain competitive. While the last few Chevrolet models were still available for certain services, the brand itself became less visible.
Despite the discontinuation, GM continues to provide support to the existing Chevrolet owners to ensure they can still access services and maintenance.
Mitsubishi's Future Plans in India
Mitsubishi seems to recognize the potential of the Indian market and plans to launch a range of models in the coming years. By the end of 2020, they aim to introduce more than 10 SUVs and 4 to 5 sedans. This planned expansion aims to cater to the growing demand for modern and reliable cars in the market.
Rise in Fuel Costs and Demand for Performance Cars
The rising cost of fuel in India and a shift towards more practical and fuel-efficient vehicles have significantly impacted Mitsubishi's market position. Mitsubishi's reputation for offering powerful and performance-oriented cars has become less relevant in a market where fuel efficiency is highly valued.
Market Research and RD Centre
Mitsubishi’s failure to adequately understand and cater to the Indian market at the right time is another contributing factor. The absence of a well-established Research and Development (RD) center in India has impeded their ability to study consumer preferences and tailor their offerings accordingly.
Another significant issue is the cost of spare parts. The localization of spares often leads to expensive maintenance costs, making it less attractive for potential buyers. Additionally, the infrequent breakdowns of Mitsubishi vehicles result in a smaller dealer network compared to other brands like Fiat, which have more frequent maintenance needs.
In conclusion, Mitsubishi's declining presence in the Indian market is a result of several interconnected factors, including limited dealership networks, high pricing, outdated models, market preference shifts, and a lack of localized market research. However, with planned future launches and market strategy adjustments, Mitsubishi aims to rejuvenate its position in the Indian automotive landscape.