Mahindra to pull the plug on Marazzo MPV after six years

Mahindra will pull the plug on the Marazzo MPV after six years as it wasn't the sales success the carmaker was hoping it would be. The Maruti Ertiga, XL6 and Kia Carens rival was launched in September 2018 priced between Rs 9.99 lakh-13.90 lakh, and it came in four trims and 7- and 8-seater configurations.

Sources say the end of production for the MPV is planned within the next two months. An email sent to the company is yet to elicit any response. The Verito was the last sedan produced by the company, and the discontinuation of the Marazzo will make Mahindra an SUV-only carmaker.

The MPV market today accounts for about 16 percent of the total passenger vehicle market. Toyota and Maruti Suzuki rule the roost, and Kia and Renault continue to have a decent presence in the segment. Volumes of the Marazzos, on the other hand, had come down to two digits.

The Indian brand has retailed 44,793 Marazzos until June 2024, which equates to a monthly average of nearly 640 units. Sales of the Mahindra took a nosedive during and after the COVID-19 lockdowns, and even upgrading the MPV's diesel engine to meet the stricter BS6 Phase 2 norms didn't help. To put the sales figures into perspective, the Marazzo sold 34 units on average over the last five months, while Maruti and Kia sold an average of 14,495 Ertigas and 4,412 Carens MPVs, respectively.

Inventory does seem to be on the higher side as the Marazzo – which now retails between Rs 14.59 lakh-17 lakh and has three trims – was available with discounts of up to Rs 93,000 until June.

Unlike most Mahindras, the Marazzo wasn't developed in India – it was the first car to be created by the Mahindra North American Technical Centre (MNATC) in Michigan, USA. For the entire duration it was on sale, the MPV received no major updates, mechanically or feature-wise, which affected its sales figures. There were talks of an AMT-equipped version and a petrol-powered model, but neither of them materialised.

Mahindra’s MPV had a sole 123hp, 300Nm 1.5-litre diesel engine paired to a 6-speed manual that received a fuel efficiency rating of 17.3kpl by ARAI. Even among its MPV brethren, the Marazzo was unique as it was underpinned by a ladder-frame platform and had a front-wheel-drive setup. This combination was not as desirable, especially in hilly regions. On an incline, a rear-wheel drive model, like Toyota’s Innova Crysta, would deliver better traction as the weight was transferred to the back. In addition, buyers also complained that the Marazzo’s four-cylinder engine felt underpowered when the MPV was fully loaded.

Mahindra is gearing up to bring the Thar 5-door to the market in the coming weeks, and is working on bringing the XUV700-based EV by this year end.