• About
  • Contact
Sunday, May 22, 2022
  • Login
Next Big Brand
  • .
  • News
  • Marketing
  • Tech
  • Insight
  • Interviews
  • Internet
  • Startup
  • OTT
  • Industries
  • FMCG
  • CRYPTOCURRENCY
  • Retail
No Result
View All Result
Next Big Brand

Car Sales Drop Again as Companies Report Lower Sales Volumes in May

Sourav by Sourav
June 3, 2019
in Automobile, New posts
Reading Time: 2 mins read
A A
0
Car Showroom - NBB

Image Credit - www.thedrum.com

Continuing the recent downturn in fortunes of major car companies in India, May 2019 was another negative month for car sales. Rising fuel and financing costs, common base effect, being seen as depreciating assets with liquidity challenges and the continual growth of ride-hailing platforms like Ola and Uber are some of the reasons which are affecting the sales of automobiles. The general elections being conducted over the month in India is being seen as another reason for a further downturn in sales of some of the most popular car brands in India in May.

On 1st June, Maruti, the largest automobile company in India in terms of market share, announced that the overall sales of the company had gone down by 22%. This figure also includes the sales made to its Original Equipment Manufacturers (OEMs). 134,641 units were sold by Maruti in May 2019, as compared to the 172,512 units sold in May 2018. Out of this, 125,552 units were sold domestically, which represents a drop of 23.1% in the domestic markets from the corresponding month in the previous year. Maruti’s exports also suffered, with a decrease of about 2.4% i.e. 9089 units as compared to 9312 units in May last year.

Tata showroom-NBB
Image Credit – www.justdial.com

Maruti is not the only one hit by hard the slowdown in sales in the automobile industry. Tata Motors disclosed a reduction of 26% in domestic sales, with 40,155 units being sold in May 2019 as compared to the 54,290 units being sold in the same duration in FY 2018-19. In an official statement, the company stated, “The company’s sales from exports in May 2019 was at 1,563 units, lower by 58 percent over last May. Several factors like a drop in retail in Bangladesh and Nepal, high stocks in the SAARC region and slump in the Middle East have affected the overall industry volumes in these markets.”

car Sales-NBB
Image Credit – autoportal.com

Another Indian automobile company to experience a drop in the sales is Mahindra & Mahindra, with an overall drop of 3% taking the sales figures to 45,421 units, from a total of 46,848 units being sold a year ago. When asked about the sales performance of the company, Rajan Wadhera, President, Automotive Sector said, “While consumer sentiment and demand continued to be subdued during the pre-election phase, our focus has been on correcting the channel inventory.” However, he seemed optimistic about the auto sales picking up, “Now, with a stable government at the center and the forecast of a near-normal monsoon, we hope to see an improvement in consumer sentiment over the next few months.

Sridhar V. Partner at Grant Thorton India, says “Slowdown across the industry has impacted passenger car sales coupled with the impasse due to the election, stress on financing and high base numbers.

Previous Post

“Business is done with conviction, not with a calculator” – the story of Havells India

Next Post

Bold, Visionary, Genius. An Inspiring Life of “Evergreen tea man of India”-  Brij Mohan Khaitan

Sourav

Sourav

Excellent story-teller, with a background in SEO and Digital Marketing. Likes to write and give form to opinion and incidents.

Related Posts

Cars24 founder
Automobile

Used Car Ecommerce Platform Cars24 Lays Off 600 Employees To Cut Cost

May 19, 2022
Avail Founder
Automobile

Ola To Acquire Financial Services Firm Avail Finance For $50 Million

March 25, 2022
Yulu founder
Automobile

Electric Two-wheeler Startup Yulu To Bag $100 Million Investment

March 7, 2022
Vida hero ev
Automobile

Hero MotoCorp Announces New Electric Mobility Brand Vida

March 4, 2022
Zoomcar CEO Nirmal NR
Automobile

Car Rental Platform Zoomcar Names Nirmal NR as India CEO

February 18, 2022
ola electric logo
Automobile

Ola Electric Raises $200 Mn at a Valuation of $5 Billion

January 24, 2022
Next Post
BM Khaitan - NextBigBrand

Bold, Visionary, Genius. An Inspiring Life of “Evergreen tea man of India”-  Brij Mohan Khaitan

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.

BROWSE BY TOPICS

Acquiring amazon Apple brand story BYJU Ravindran Byjus byjus news byjus the learning app Cryptocurrency Edtech Startups Elon Musk facebook fintech news Flipkart funding google Indian OTT Platforms Indian Unicorn Indian Unicorns Indian Unicorns of 2021 Mukesh Ambani Netflix NFT NFT Collection Non Fungible Tokens Ola OYO Paytm Reliance Retail Startup Acquisition Startup IPO startup news india Startups startups in india Swiggy Tiktok TikTok India Twitter Unicorns of 2022 Unicorns of India Unicorn Startups Upgrad YouTube Zomato Zomato App

Instagram

Follow Me!

Recent News

  • High Street Essentials Bags 40 Crore From Stride Ventures
  • Used Car Ecommerce Platform Cars24 Lays Off 600 Employees To Cut Cost
  • Ola Foods Cancels Expansion Plans, Looks To Integrate With 10-minute Grocery Delivery

Latest News

High street essentials founders

High Street Essentials Bags 40 Crore From Stride Ventures

May 20, 2022
Cars24 founder

Used Car Ecommerce Platform Cars24 Lays Off 600 Employees To Cut Cost

May 19, 2022
  • About Us
  • Privacy Policy
  • Terms and Conditions
  • Disclaimer
  • DMCA Policy
  • Our Team
  • Contact Us
  • Sitemap

© 2019 NBB. All Rights Reserved.

No Result
View All Result
  • .
  • News
  • Marketing
  • Tech
  • Insight
  • Interviews
  • Internet
  • Startup
  • OTT
  • Industries
  • FMCG
  • CRYPTOCURRENCY
  • Retail

© 2019 NBB. All Rights Reserved.

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In
This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy and Cookie Policy.