2 Out Of 5 Cars Were SUVs In 2022 | Here’s Why!

2 Out Of 5 Cars Were SUVs In 2022 | Here’s Why!

SUVs have been taking over the Indian passenger vehicle market for a significant time now. Indians have always had a thing for bigger cars, and not SUVs have taken over hatchbacks too. Recent reports suggest that 2 out of every 5 cars sold were SUVs in 2022; let’s see why:

Hatchbacks lagging behind

After Sedans, SUVs Are Overtaking Hatchbacks!

Also Read: SIAM: SUV Sales Overtake Hatchbacks, Sedans For FY 2021-22

Considering a more extended time period, the market share of SUVs came up from 13.5 in 2015 to 41% this year. At the same time, the market share of the hatchbacks went down from 49% to 35%. Reports also suggest that about 680,000 SUVs were sold in the last year, while the premium hatchback segment only accounted for 365,000 units sold. This is a significant decline indicating the preference change over time. The entry-level SUVs segment has made its place in the market with a significant share of 21%.

Ongoing Battle

New Maruti Brezza 2022 Interior SPIED! Gets Sunroof, 360° Camera!

Also Read: 2022 Maruti Suzuki Brezza Exterior Revealed | 5 Key Takeaways

While people are opting for SUVs rather than hatchbacks, the leading manufacturers are updating their existing products to compete better in the market. Companies such as Hyundai & Maruti Suzuki have launched the updated models of their respective compact SUVs this month. The Venue has received a mid-life update, while the Vitara Brezza has received a significant update that was awaited for a long time. Hyundai and Kia dominated the segment for 2 years with products such as Creta, Sonet & Seltos, but then the Tata motors took over.

Upcoming Times

2022 Hyundai Venue Facelift Launched at 7.53 Lakhs!

Also Read: 2022 Hyundai Venue Facelift Launched at 7.53 Lakhs!

Hyundai is trying to regain its position in the market. Tarun Garg, Director, sales, marketing & service, said the following:

“As of now, what (the rankings) you are seeing in the market is all dependent on supply (with chip shortage affecting production globally), not on demand. “Compact SUVs already account for half of the SUV sales. It is a very important statistic because what it means is that probably the first-time buyers are now moving away from hatches to compact SUVs.”

He also mentioned that they already have about 20,000 pending orders for the Venue and have received an additional 15,000 bookings for the just-launched facelifted SUV. These numbers will soon change with the new launches and updates the market is witnessing.

Also Read: Hyundai Venue Variant-Wise Features Explained!

Hyundai sold about 250,000 SUVs in FY21 and has been in tight competition with Tata motors. Previous reports suggest Hyundai with a share of 22% in the market with Tata motors at 18% and Mahindra at 14% (excluding bolero) while Maruti Suzuki was at 12%. What do you think about this trend shift?