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Renault Duster: Will it change the company's fortunes in India?
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'Frugal engineering' is Renault's core for cracking the Indian passenger car market
Booming Market
India has a strong appetite for the SUV. The Rs 6 lakh-Rs 1 crore segment has been growing steadily. Such utility vehicles grew fastest in the Indian market and clocked sales of 3.67 lakh units in 2011-12, a growth of 16%. This is in stark contrast to cars that grew by a meagre 2% in the same period. SUV's share has also grown by over 3% and now constitutes around 14% of the total 26.18 lakh passenger vehicles sold in India in 2011-12.
Renault, like other auto manufacturers, is tweaking the SUV. The new crop is better designed, is powerful and best of all, it isn't a fuel guzzler. All these add up to a huge draw for the yuppies.
Besides the price, Duster comes with almost 60% of local content. "We will eventually raise it to over 80% once we source all the required components and parts from the Indian market," says Marc Nassif, MD, Renault India. The car is manufactured in five locations globally including in volume markets like Russia, Romania and Brazil.
However, the Chennai factory will serve as the most important spot. It will also be the only facility to produce the right-hand drive version that will eventually be exported to all such markets including the UK.
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Readers' opinions ( 7 )
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Buyer
another cheap product from the same family. Renault never understood that outdated Logan will flop in India (it looked like a car from the 80s released in the 21st century). Now this is a SUV (as they like to call it at least) which has an engine smaller than a good sedan in that price range. Compare the comfort of a City, Verna or a Vento with high quality interiors like airbags and seatbelts with pretensioners and load limiters, navigation and steering mounted controls, ABS and EBD, factory alloys, monocoque shell safety and stuff like i-vtec engines and variable valve technology being standard, these cars are way more safer, comfortable and reliable and look premium compared to a junta class un-SUV (anyone calling scorpio, safari as SUVs being exempted - all else know these are dabbas or boxes). so the choice remains - high class sedan at 8-11 lakh or a real SUV at 18-22 lakhs. buying a cheap Sumo, Safari, Scorpio or now Duster is simply a box that runs with high ground clearance is not for the discerning customer. There was no reason not to add a state of the art engine and build a SUV based on Fluence platform rather than the Logan based. Duster would actually just sell the 7 lakh variants as that would appeal to the cheaper audience. Anyone wanting the real features and willing to pay 10 lakhs would opt for the sedans or buy a second hand real SUV. Much better deals. Duster would either flop or stay at the periphery of urban market - i.e. commercial and/or rural vehicl
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Prabin
good product and good pricing. There is big market for smaller quality SUV as its not easy to drive bigger vehicle like Scorpio, Safari or even XUV 500. This is beautifull and solid vehicle at reasonable price. It will even cut into market share of many mid sized sedans. Good luck to Renault.
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Mitul
Had very high hopes from this vehicle...but I guess it will follow the Logan story. The competition at this price point comes from Safari and Scorpio...both enjoying a cult status with Indian customers. The top end diesel model (w/o 4WD) is around the same price point as the Scorpio VLX 4X4. Does it make sense? Scorpio has a bigger, more powerful engine, better road presence and can seat more people. Add to that the brand image and service network of Renault which will effect the re-sale price. For any chance of success the Duster should have been priced well below the Scorpio/ Safari. They should have targetted a small car size so that to avail the tax benifits. And a 4WD is a must have.
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jayannashamanur
it should had been in the range of six to ten lack only
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Huntsman
Renault has got the pricing right. If the quality of the product is as good as what they say, then it will be a winner. Duster has the potential to eat into the business of other SUVs in the 7-18 lakhs segment and the 7-14 lakhs car segment. Aria was launched as a cross between SUV and mini van when in reality it was just a crossover mini van and the Tatas also got the price point wrong. Renault seems to have done their homework interms of the price point, the exterior, interior and the feature, now the quality of the end product is what will tilt the scales in either Renault's favor or the otherway..
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va
Renault has to learn from XUV500 and Tata aria. Still renault is like aria hence problem. Will not be successful this time. Duster could have been improved a lot.
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