Dzire-Swift umbilical cord was cut by design: Maruti's Partho Banerjee

Maruti Suzuki India Ltd has differentiated its two popular models – hatchback Swift and entry sedan Dzire – by changing the front fascia design of the recently launched Dzire.

“We wanted to make a differentiation between the two products. If we are not able to differentiate the products properly then there is always a challenge. Dzire and Swift had a very close resemblance, we wanted to cut the umbilical cord. It was by design we cut it,” says Maruti Suzuki’s senior executive officer for marketing and sales Partho Banerjee.

To further differentiate the new Dzire from cabs, the carmaker says it will not offer the new model to fleet operators. Instead, it will continue the outgoing model—the Tour S—for taxis. “Many features provided in the new Dzire are not provided in fleet cars because then the costs go up,” says Banerjee. Fleet contributed 30-35% to overall sales of the model.

India’s largest carmaker is targeting first-time car buyers with its new entry-level sedan. “Can a two-wheeler customer directly leapfrog to the Grand Vitara or a ₹20 lakh car?” asks Banerjee.

Sedans contribute 8% to passenger vehicle sales in India. Every second vehicle that's sold in the sedan segment happens to be from the Maruti stable, says Banerjee. “Today, SUVs are almost 55%. At some point it will peter out,” he says. “Being a market leader, you need to be present in all segments and all form factors.”

A customer who goes to the showroom hasn’t decided on SUV or sedan. The customer wants features, space and road presence”

Maruti Suzuki plans to export Dzire to the Middle East, Africa, and South America.

Banerjee says this fiscal has been the worst phase for entry-level cars. “After Covid, emission and safety regulations were enforced, vehicle prices have gone up, incomes have not gone up at all,” he says.

On the rising hybrid vehicle sales, the Maruti Suzuki executive says people going for strong hybrid are not only looking for total cost of ownership (TCO). “The demographic profile of people who buy hybrid are looking to reduce emissions and their needs are very different. In hybrid segment, TCO doesn’t play at all,” he says.