Mahindra gears up for new Scorpio, builds inventory of 5,000 units

by Amit Panday 28 Aug 2014

Mahindra & Mahindra wants to ensure that it rolls out enough units of the new Scorpio (codenamed W105) from its assembly line before it commercially launches the refreshed SUV in the domestic market a few months from now.

With this in mind, the company has been rolling out 100 units a day since August 1, sources in the know have confirmed to Autocar Professional.

Sources also say that “M&M is building a stock of nearly 5,000 units or more before it commercially launches the new Scorpio.”

This is essentially because of a lesson the company learnt two years ago when it had to grapple with a serious supply shortage of the XUV500 at launch time. It may be recalled that M&M, which witnessed good sales for the XUV500, had to face stock issues. Not only did demand for the XUV500 exceed supply but the waiting period for this flagship product had, at one point in time, shot up to over 15 months at some dealerships. 

Given the popularity of the Scorpio, the company wants to ensure that it does not face any supply shortage again. The Scorpio was launched in 2003 and has been totting up sales of about 50,000 units on an annual basis.  

The company sells just over 4,000 Scorpios on average a month. Its monthly tally has crossed the 5,000-mark twice in the past 12 months. 

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