Cars like Maruti Alto and WagonR have always been the first choice for the buyers who are in the market for their first cars. A set of data from Maruti shows that the customers are now changing preferences. According to the report, five years back, only one out of the four first time car buyer went for premium cars like DZire and Swift. At present, almost 50% buyers go for premium vehicles like DZire and Swift instead of the Alto and WagonR.
In 2013-14 fiscal year, only 31% first-time buyers went for the Swift. This year, the percentage has gone to 52%. The DZire has also seen a jump from 28% to 52%. The trend shows rising aspirations and buying capacity of the first time buyers.
Rohit Kumar, vice-president at Kantar TNS, a global market research firm says. “The entry car definition has changed from the smallest available to what is it that one desires, and if it’s affordable. Increasing fuel economies, affordable financing and better distribution only whet the appetite further,” he said.
Buying of such premium cars can be also attributed to better future planning by the car buyers who look at bigger cars for the future prospects and the growing economy too. Market research also says that in a short time, compact SUVs have gained a lot of popularity and in near future, first time car buyers will prefer such compact SUVs. The trend is already showing as Vitara Brezza got 37% of such customers.
The trend may be similar for the other manufacturers too but Hyundai denied giving the data of the first time car buyers. The Alto, however, retains the top selling position that it has been maintaining for a long time now. The Alto is offered in two variants – 800 and K10. The monthly average sale of Alto is more than 20,000 units and in July, Maruti sold 26,009 copies of the Alto.