Siddharth congratulates Maruti on achieving the 15-million car milestone, but expects more innovation and maturity during the next 15-million… It’s a significant milestone for any carmaker. That Maruti Suzuki will always have the distinction of reaching massive volume targets way before anyone else is not surprising. And so it’s produced 15 million cars since inception 31 years ago, with many million more still to come. Maruti can take extra pride in the fact that while the first 5 million took 22 years, the last 5 million came in just four. This is not just an indication of the market growing, but also of their ability to keep pace with this growth. But what happens next? For years, I’ve lamented the fact that Maruti – despite having the onus as market leader – has done little to move the market higher. Sure, we’ve had loads of new models at attractive price points. But every time there’s been a significant upward shift in consumer preference or behaviour, it’s been led by someone else. Hyundai made body-coloured bumpers, seatbelts and power steering standard. Honda first made airbags standard (although they’ve since backtracked, and handed that baton over to Toyota and VW), Chevrolet brought attention to aggressive and attractive styling – again, I dare say that Hyundai has completely run away with that agenda now. Tata Motors went sub-4 metre first with its Indigo sedan, while Ford & Mahindra made subcompact SUVs popular. And it took serious competition for the humble 800 to make way for a now heavily reworked Alto family. So why would the mighty Maruti Suzuki need to wait for others to lead the way? A company with a massive cash pile – that can discount and undercut at a moment’s notice – should ideally be the one making the bold strides, and pressuring its rivals to keep up or fall by the wayside. Well, for all my grumbling, in 2014 Maruti Suzuki seems to have taken a turn in that very direction. For the first time, we’re seeing the market leader truly lead. I am, of course, referring to the radical decision to introduce affordable automatic cars to a market that desperately craves the convenience of auto transmissions. And it did it with ingenuity – with an affordable AMT (automated manual transmission) instead of an archaic 3 or 4-speed auto gearbox. It has sparked a revolution. Others will simply have to follow suit. Just like you now have a plethora of subcompact sedans, you will soon have lots of AMTs running about as everyone scampers to get in on the action. So, for the next 15 million, I expect to see Maruti Suzuki lead market innovation and maturity. I would like to see Maruti set the agenda for the direction the industry takes by being progressive, future-looking and not simply interested in guarding its market-share and margins. The latter strategy may serve it well for the next few years – as it has in the past – but soon enough it could do just the opposite, as the consumer becomes even more aware, even more demanding, and ready to take risks with new brands and ideas. Take safety for instance. It’s Maruti who stands nearly alone in advocating strongly against stricter government regulation on safety features for cars. It should be the other way around, with Maruti using its clout to usher in lower sourcing prices for airbags, ABS, high strength steel, etc. If all goes to plan, and the government does in fact go ahead with a clear crash-testing and safety features policy, then everyone will simply have to comply or shut down certain models. But why not work it into future growth strategies instead? Maruti Suzuki is poised to take that call, and I hope it chooses wisely. I’ll be the first among many to applaud Maruti if it chooses a more favourable stance on making safety a strong pillar of its future growth. But this isn’t a rant just in favour of safety, I expect more from Maruti on every other front too. Connectivity, new vehicle segmentation, interior room and innovation on efficiency and green technologies. Maruti simply owes this to consumers for the trust they’ve placed in the brand for the last 31 years. There are rumours of a Swift Range Extender variant coming – that would be an excellent first step. Offering safety features on the S-Cross and other future models as standard could be another – standard at least on most variants, unlike the Ciaz where it was optional only in the top model at launch. So here’s to Maruti Suzuki, and the next 15 million. And to a brighter, safer, better future for the millions who blindly trust Maruti and will stay loyal to the brand – for its legacy, its familiarity, and its leadership status.
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