Hyundai India, the nation’s second-largest carmaker, reported a robust 69% volume mix of SUVs in quarterly sales (Q2FY25) to 102,636 units, a growth the company attributed to its strategic focus on premium in the segment. This is up from a 65% SUV volume share in the same period last year, when sales reached 103,178 units. The uptick was driven by the expanding appeal of high-tech SUVs, models which have continued to capture a significant portion of the market, the company shared in a post-results call on Tuesday.
“Our SUV portfolio during the quarter accounted for a substantial 68.6% as against the industry penetration of 54.9%,” the company management stated during the call. “As part of our premiumization strategy, we continue to innovate and bring forth high-tech features to excite and engage our customers,” the management added.
In September, Hyundai introduced its upgraded Alcazar six seater SUVs. The Creta, Venue and Exter are some of the other key SUVs from Hyundai performing well in the market.
While SUV sales volumes increased, Hyundai saw the share of hatchbacks declining to 20% to 29,668 units during Q2FY25 as against 22% at 34,244 units in Q2FY24. Similarly, the percentage share of the sedan declined marginally to 12% at 17,335 units during Q2FY25 when compared with 13% share at 21,350 units in Q2FY24.
The SUV segment has been one of the fastest growing category in the Indian passenger vehicle market in recent years. Growing consumer preference for higher ride height, spacious interiors, and premium features associated with SUVs are some factors driving demand. Apart from Hyundai and Maruti Suzuki, newer entrants like Kia and MG have also made strong inroads with models like Seltos and Hector. Automakers are focusing on expanding their SUV lineups to capitalize on the segment’s popularity.