The small car segment of the Indian automobile market is one of the fastest growing and the ultra competitive. However Tata Nano, which was first launched back in March 2009, shattered the competition and took the market by its stride plainly due to its minuscule price tag. This was bound to bring creases on the forehead of country's largest car manufacturer, Maruti Suzuki India Limited (MSIL) and it did the expected. In order to pitch a new car against the Tata’s iconic model, the company is gearing up to launch a small car Cervo and a new edition of Alto 800 to ward off the competition.
It is speculated that the new Maruti Suzuki Cervo, which is already on sale in Japan, will replace Maruti 800 in the Indian auto market. To deliver a stiff competition to the 2012 edition of Tata Nano, it is anticipated that the MSIL will offer its new car in the price range of Rs. 1.5 to 2 lacs. However, the car maker will do away with some of the features, which are packed within its Japanese model to cut-off the price of their new car. The upcoming model will be a 5-door hatchback, offering a roomy cabin to the passengers.
Analysts believe that the 2012 edition of Cervo will hold a 0.7 litre petrol powertrain, which will have a displacement of 660 cc. The maximum power churned out by this performance oriented engine will stand at 60 bhp, which will be fairly impressive for a small car. It is also expected that along with a snappy performance, the car will deliver an unmatched mileage.
On the other hand, the yet-to-be launched new generation Alto 800 will act as a stop-gap model for the car maker, considering the price hike of petrol. The company has planned to offer its new car in dual fuel mode of LPG and petrol. It is believed that the new car, which is also touted to be the replacement for the legendary Maruti 800, will be powered by 3-cylinder 800 cc fuel infused petrol engine. Maruti Suzuki is supposedly working on incorporating latest technologies in the powertrain, which will help it to deliver best-in-class mileage, and thus will be more expensive than the outgoing Alto.
While MSIL has been working towards wedging the competition posed by Nano, Tata Motors too has not been sitting idle. Earlier, the car maker launched its 2012 Tata Nano with upgraded power and mileage specification. Despite making a good entry and creating a buzz in the market back in 2009, Nano witnessed a dip in sales owing to the technical faults, which were being reported in the vehicle. However, being the brain child of Chairman, Tata Motors, Ratan Tata himself, the car never faced a roadblock and the company has been consistently working on it to make it one of its bestseller. Now the speculations reveal that the company may launch a diesel version of Nano by the end of this year, keeping it in-line with the market trends.
Seeing the efforts being put in by both the companies, analysts can safely say that whatever be the outcome of the competition, one thing is for sure that the car buyers will be benefited at the end. The Indian auto market runs on the price factor, and thus the imminent launch of the Maruti Suzuki Cervo, all-new Alto 800 and the new generation Tata Nano diesel, the customers will be rejoiced with the ample choice in the small car segment.
