Ford India’s growth fueled only by small cars and the compact segment

2011 Ford Figo Hatchback

Ford Motor Company’s entry into India didn’t go as well as the company might have wanted. Ford entered the Indian market with the Ford Escort and the Mondeo. Ford managed to sell just 30,500 cars by 2009, almost ten years after its debut in the Indian car market. The major boost came when the company launched the Ford Figo hatchback which changed the fortunes of the automaker. Today, Ford sells 1 lakh cars and exports 2000 units a month to overseas markets.

All this success can be attributed to one single product, the Figo and this shows how important the small car segment in India is. The compact segment is the driving force behind growth of the market. The success of the Ford Figo has now prompted the Ford management in India to plan for even more products in the compact segment. According to Michael Boneham, MD Ford India, the company is planning 8 launches by 2015 out of which a majority could be small cars aimed at volumes for the automaker.

Ford Fiesta Sedan

The development of the products is currently on at Ford R&D centers across the globe spread across South America, Asia, Africa, Europe as well as the US. Asia and more specifically, India and China are the hubs for small cars and small engines and would see tremendous growth in the coming years. About 70 percent of the global growth in the next 20 years will come from India and China mainly from small car sales.

Out of the eight launches lined-up for India, Ford will soon launch the Ford Fiesta sedan. As far as small cars are concerned, Ford sells the Fiesta hatchback and the Ford Ka in Europe. Then there is a possibility of the Ford Focus sedan making it to India. The Focus sedan would rival the Corolla Altis, Honda Civic and the likes. The Ford Endeavour SUV is also set for a makeover soon and could be launched in an all new avataar.

Via TheEconomicTimes

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