New Delhi, October 13
Auto retail sales witnessed a robust recovery during the Navratri festival, with growth ranging between 15-35 per cent year-on-year (YoY) across passenger vehicle (PV) and two-wheeler (2W) segments, driven by strong festive sentiment, according to a report by Centrum Institutional Research.
The report expects Dhanteras and Deepawali to deliver peak festive sales for both PVs and 2Ws.
The report highlighted that retail demand in the PV segment across dealerships grew between 15-22 per cent YoY, led by major automakers including Maruti Suzuki India (MSIL), Tata Motors (TTMT), Honda Motor India (HMI), and Mahindra & Mahindra (M&M).
It stated "overall tone from dealers suggests that retail growth during Navratri stood in the range of approx. 15-35 per cent YoY across PV and 2W. Dhanteras & Deepawali are expected to deliver peak festive sales".
The 2W segment recorded higher growth of 25-35 per cent YoY across Honda, Hero, TVS, and Royal Enfield, although Bajaj sales remained muted during the period.
In the PV segment, the festive sentiment has resulted in a sharp 35-40 per cent surge in dealership footfalls. This boost was supported by recent price corrections, including GST rate cuts, and a notable increase in first-time buyers.
The strong retail conversion was also attributed to sustained traction from recent launches.
The report noted that demand remains skewed toward top-end variants, reflecting a clear premiumization trend across markets. However, momentum in electric PVs has moderated as aggressive pricing in internal combustion engine (ICE) models narrows the gap.
For two-wheelers, premium and 125cc+ offerings continued to outperform, with TVS and Royal Enfield leading the growth trajectory.
The first 20 days of September were impacted due to purchase deferrals amid GST-cut implementations, but momentum picked up in the latter half of the month and continued into early October.
Overall, the PV segment delivered a firm festive recovery, with sequential improvements in both footfalls and retail conversions, underscoring the strong revival in consumer demand during the Navratri period.
— ANI
Reader Comments
Good to see the auto industry bouncing back. I've been waiting for Dhanteras to buy a Royal Enfield - hoping for some good deals. The premiumization trend is real - everyone wants the top models these days.
While the growth numbers look impressive, I'm concerned about the environmental impact. Shouldn't we be promoting electric vehicles more aggressively during these festivals? The report mentions EV momentum has moderated, which is worrying.
Perfect timing for buying vehicles during festivals - considered auspicious and you get the best deals! My family always plans big purchases around Diwali. Planning to get a Honda scooter for my daughter's college.
Interesting to see the 35-40% surge in footfalls. The Indian festive season truly drives consumer behavior unlike anything I've seen elsewhere. The combination of cultural significance and economic incentives is powerful.
First-time buyer here! 👋 Got my Tata Nexon last week. The GST reduction and festive offers were too good to resist. The waiting period was longer than expected though - shows how many people are buying.
The premiumization trend is evident everywhere. People are opting for higher variants even if it means stretching their budget. Good for the economy
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