Honda aims to replicate Mobilio’s Indonesia success in India

With the formal launch of the seven-seater Mobilio, its first multi-purpose vehicle for India, Honda Cars India Ltd (HCIL) has brought the curtains down on its orchestrated launch strategy to promote its latest MPV. The Mobilio had first caught showgoers’ eyeballs at the Auto Expo2014 this February, followed by multiple-level engagements with prospective customers.

Even before its official rollout today in New Delhi, the Mobilio has snapped up pre-launch bookings of 5,800 units since July 8. According to Jnaneswar Sen, senior VP (sales and marketing), HCIL, all these orders are expected to be met by end-August. He also indicated that the Mobilio could possibly be exported to HCIL’s traditional markets of Nepal and South Africa where the Brio hatchback and Amaze sedan are currently exported albeit the company is yet to work out the strategy of which overseas market the Mobilio would be headed to first.

While both the petrol and diesel variants in E,S and V trims with a standard five-speed manual transmission will be on sale immediately, deliveries for the sporty RS variant in diesel will culminate in September though bookings begin right away.

The Mobilio petrol variant is powered by the 1.5-litre i-VTEC engine, which also powers the new City and produces 117bhp and 14.8kgm of torque; its fuel efficiency is a claimed 17.3kpl. The diesel variants get Honda’s new 1.5-litre i-DTEC engine, which also powers the Amaze and City, and develops 99bhp and 20.4kgm of torque and returns a claimed 24.2kpl. 

While the Mobilio petrol has a localisation content of 93 percent, the diesel variant sports a localisation level of 87 percent. In India, direct competition for the Mobilio is from the Maruti Ertiga, Chevrolet Enjoy, Nissan Evalia and Toyota Innova.

The Mobilio’s sticker price (ex-showroom Delhi) ranges from Rs 6.49 lakh for the entry level petrol through to Rs 8.76 lakh for the top-end petrol. The diesel E trim is priced at Rs 7.89 lakh while the top-end V diesel variant costs Rs 9.76 lakh.

In comparison its nearest rival, the Maruti Ertiga petrol costs around Rs 69,000 less at Rs 5.90 lakh, and there’s a yawning gap of Rs 1.29 lakh between the two top-end diesel editions. The top-end Maruti Ertiga diesel costs Rs 8.49 lakh.

On the safety front, while front dual SRS airbags are on offer in the V and RS models, ABS with EBD is available across all diesel variants. In Indonesia though, where Mobilio production and sale began earlier this year, the MPV comes equipped with ABS and airbags as standard fitment in line with NCAP regulations.

Speaking at the launch today in New Delhi, Yoshiyuki Matsumoto, managing officer, Honda Motor Company and Representative of Development, Purchasing and Production in Asia and Oceania region, said the Mobilio has sold around 46,000 units in Indonesia since its launch in January and has a 23 percent market share in just six months. “We are looking to replicate this success in India.”

Mobilio-sing growth

Meanwhile, Honda Motor Company is targeting sales of six million units per annum by March 2017 globally of which 1.2 million units will accrue from Asia Oceania with Honda Cars India chipping in with 25 percent of the total sales by March 2017. The Mobilio is part of this growth gameplan.

Meanwhile, HCIL is targeting a one million customer base by 2016. Outlining the action plan for India, Hironori Kanayama, president and CEO, HCIL, said that this goal rests on improvement of aftersales service as volumes rise particularly in view of the ongoing growth momentum that kicked off with the success of the Amaze and new City sedans.

In 2013-14, HCIL notched 82.82 percent growth with sales of 134,339 units even as the City crossed sales of 50,000 units and capturing a market share of 50 percent in its segment within seven months of its launch. And, in the first three months of the fiscal 2014-15, the carmaker has sold 40,718 units, posting near-40 percent growth year on year.

“We are looking at aggressive network expansion, taking it up the number from 179 dealers in 114 cities to 230 facilities in 150 cities by the end of 2014-15. This will increase workshop capacity and aftersales service,” said Kanayama. 

Photograph (L-R): Raman Sharma, senior VP and director, Honda Cars India; Hironiri Kanayama, president and CEO, Honda Cars India; and Yoshiyuki Matsumoto, managing officer, Honda Motor Co and representative of development, purchasing & production in Asia and Oceania region, at the launch of the Honda Mobilio in Delhi.

Also read: Indonesia set to become ASEAN’s biggest car market bit.ly/1jT78Ly