Comments on: CUV Market Share in Pakistan Increased to 22%

By: Ali Khan

Ali Khan — Sun, 20 Mar 2022 13:17:33 +0000

In reply to Khurram. A lot of arbitrary numbers but OK let's roll with them. "...vehicles on the roads and combined that is making an average of 7,000 sedans a month." "...This leaves Sportage and M.G., well; they have been attaining about 1,000 to 1,500, each, customers a month,..." So in total about 2500 for the two (Sportage and MG) according to you... So just by comparing the monthly Sportage and MG numbers to the monthly sedan numbers according to you, 2500 vs 7000; SUVs stand at 35% of the total sales when compared to sedans. So by your numbers, just these two SUVs have captured a fair chunk of the sedan market wouldn't you agree? But getting back to the article, SUVs have captured 22% of the market over all and that number is RISING FAST! that is the take away here. They have a ways to go but they are catching up fast! Now the main BURNING question that needs to be asked. "This leaves Sportage and M.G., well; they have been attaining about 1,000 to 1,500, each, customers a month, which individually is almost equal to the number of customers buying a Bolan." So individually the Sportage or MG numbers are the same as the sales numbers for the Bolan. You are giving that as an example of how LOW the sales numbers are. Thus, you are admitting how low the sales of the Bolan or Ravi are. Yet you are always raving about them... Any argument for the sake of argument Khurram?

By: TruongNguyen

TruongNguyen — Sun, 20 Mar 2022 07:30:30 +0000

In reply to Not a Robot... I haven't seen any crossovers in repair shops too, only Corolla 86s and Bolans... that means they are terribly unreliable and do not sell well

By: Imran

Imran — Sun, 20 Mar 2022 04:46:34 +0000

In reply to Another advantage of high ground clearance.

Well, the cuv/suvs being launched in Pakistan are not very fuel efficient neither the sedans.

By: Khurram

Khurram — Sun, 20 Mar 2022 04:03:14 +0000

That is strange. Considering Toyota Corolla alone has been finding around 2,500 to 3,000 buyers a month and sedans like Yaris, City, Civic, Alsvin have been more or less contributing to about 4,000 to 5,000 vehicles on the roads and combined that is making an average of 7,000 sedans a month. The number is still quite large for even all C.U.V. vehicles to achieve. Sorento has already failed, so much so that the company reduced its price amid inclining U.S.D. to P.K.R., which is the first. Moreover, that Cultus like Stonic has also not attracted much of sedan buyers as was being anticipated. This leaves Sportage and M.G., well; they have been attaining about 1,000 to 1,500, each, customers a month, which individually is almost equal to the number of customers buying a Bolan. While the preference for C.U.V. is certainly not deniable but to say that it is almost blocking out sedan sales is in my view still far from being attained. Anyway, Sportage and M.G. before now were selling because they were priced only around PKR 500,000 more than a Corolla Grande and since Grande was viewed among middle income class as a taxi car with a roof people therefore were willing to adopt a new look rather than going for a generic look. It would be a subject for study how people would now be viewing a C.U.V. in post price-increase period. I.M.C. has still not raised Corolla prices and the gap between the two has now almost widened to PKR 1 to even 3.5million, in fact even the Swift is going to give a tough time to Cultus like Stonic. P.S. Products like Baic or Glory, well, they are nothing but neatly wrapped gift boxes from China and only show offs are buying them knowledgeable people are not even taking them into consideration. P.P.S. The new Civic has come now and despite it being a 6million car, it is still commanding an emotion from a Civic fan, people have been jostling over it so much that delivery period of a year is being cited. It is the industry first, I presume and it shows the love among customers for a sedan. In fact even delivery period of "ageing" Corolla is eight months imagine what it is going to be when a newer model comes out.

By: Not a Robot..

Not a Robot.. — Sat, 19 Mar 2022 22:34:07 +0000

its a fake claim… i haven’t seen any crossover in junkyards yet which means they are not successful 🤪

By: UsmanAnsari

UsmanAnsari — Sat, 19 Mar 2022 21:11:18 +0000

In reply to Imran.

they were least bothered since there was no competition & they were earning good money. However they haven’t yet taken the CUVs too seriously for our market

By: TruongNguyen

TruongNguyen — Sat, 19 Mar 2022 09:39:51 +0000

In reply to Imran.

They’re avoiding direct competition because it’s risky and doesn’t usually mean high profit margin, which these big 3 are used to. It’s harder to sell a product many others are selling as well but its way easier to sell a product almost nobody is selling.

By: Another advantage of high ground clearance

Another advantage of high ground clearance — Sat, 19 Mar 2022 08:24:13 +0000

Due to the high ground clearance, it is possible for the CUVs to easily traverse the pot-hole-ridden, rutted roads with poorly designed speed breakers – without crashing the floorboards, side skirts, exhaust system or driveshafts..
It is the only practical reason to get a CUV. Otherwise while the CUVs’ fuel consumption has reduced over the years, sedans’ and hatchbacks’ fuel consumption has also reduced in parallel. So that point is a bit moot, since CUV is consuming more than a sedan.

By: Noncometing oligopoly is the answer

Noncometing oligopoly is the answer — Sat, 19 Mar 2022 08:18:33 +0000

In reply to Imran.

This has been a well-discussed topic in the social discourse past 20 or 25 years, that the auto-assemblers in Pakistan are a bro club who don’t challenge each other. They are a cartel of industrialists who would never compete with each other, hence each one has selected one category. Honda sells executive cars. Suzuki sells small cars. Toyota sells Corolla which is usually a rent-a-car and SUVs like Hilux.

Similarly the new companies that have come in don’t compete against the existing 3 and neither compete against each other. Hyundai is selling Sonata, there is no other offering by any other company in this category. MG sells CBU CUVs, similarly Kia is practically only selling CKD Sportage. It has been extensively discussed in the PakWheels blog before CSPK was born, and later on the failure of ADP 2021-26 in spirit even when it met success in letter, has been discussed on CSPK and other blogs as well.

By: Imran

Imran — Sat, 19 Mar 2022 07:29:48 +0000

Usman bhai, why big 3 are stll behind in the game of launching CUV/SUV despite they are in better position to launch such vehicles. Why they are letting others to fill the gap.