The launches of Ford EcoSport and Renault Duster have proven to be game changers in the Indian car market. Riding on the performances of these models, Renault and Ford have got a new life in India. While most other companies were complaining of poor sales, Ford and Renault managed to stay afloat, thanks to EcoSport and Duster, respectively. However, the impact of these cars goes beyond the changes in fortunes of their manufacturers. Due to high sales of Duster and EcoSport, other car makers have got the impetus to launch their own compact Sports Utility Vehicles (SUVs) in India. This has not only been a piece of news or speculation but materialised into different firms introducing or planning to launch a new compact SUV. Nissan Terrano, example of one such car, has been one of the most hyped models of 2013. A lot was said about this utility vehicle, much before it was launched in India.
Unveiled in the month of August, Nissan Terrano attracted tremendous attention from potential customers, industry experts and tabloids. Irrespective of the condition of the automobile industry in India and its associated problems, critics were betting high on the success of Terrano. The main reason for this sort of buzz was Terrano's association with Duster due to the alliance between Renault and Nissan. Speaking categorically, Nissan Terrano is a re-badged version of Renault Duster and many expected the car to replicate the success of its sibling. In the first half of October, amidst great hype, Nissan launched Terrano compact SUV at an ex-showroom price just under Rs. 10 lakh. About over a month after its launch, analysts have tried to figure out its performance, comparing it to the likes of EcoSport and Duster.
If one has to directly compare Terrano's sales to that of Duster and EcoSport, the story would be completely different. Nissan's SUV has not been able to register sales figures like the cars from Renault and Ford, which virtually took the market by storm. However, some experts feel that it would be unfair to compare sales of Nissan Terrano and Ford EcoSport. The biggest reason for this is that both models have different target customer bases, which they have served in their own right. While EcoSport has a starting price in the range of Rs. 5 lakh - Rs. 6 lakh whereas the Terrano costs just under Rs. 10 lakh (all prices are ex-showroom). In fact, Ford's aggressive pricing strategy has been instrumental in driving sales. As a result of this, EcoSport recorded around 30000 bookings in just 17 days, something Terrano was not able to emulate.
A comparison between Duster and Terrano is even more complicated as it includes several internal premises. In the first place, Renault Duster got the first mover advantage in the compact SUV segment, a major reason for its success. The non-presence of a solid rival, until the arrival of EcoSport, gave this compact SUV a chance to carve a niche for itself. Terrano, as a result of the clauses in the Renault-Nissan, entered the market a year later, when conditions were non-conducive and competition was tough. Also, due to a particular clause, Nissan had to launch Terrano at a higher price than Duster, thereby, automatically, narrowing its customer base.
Nissan, according to experts, has a done good job with the Terrano in terms of design, style and technology. The performance of compact SUV, in a lot of ways, sums up the position of the Japanese car maker in India. After a slow start in the country, this company is steadily gaining prominence. Although Terrano has not matched up to sales of EcoSport and Duster, it has performed reasonably well, carving a niche for itself. Also, to a certain extent, Terrano has managed to do for Nissan what Duster and EcoSport have done for Renault and Ford, respectively.
