The 2014 Auto Expo marked as a platform for General Motors to showcase its iteration of a compact SUV called the Adra concept. A completely home developed product, the Adra received rave reviews from the visitors and the media alike, and was touted as a strong contender to the Ford EcoSport in the segment. However, GM India’s new President and Managing Director Arvind Saxena confirmed that the production-ready version of the Adra will not make it to the showrooms before 2017.
GM India’s new strategy currently does not involve bringing completely new products to the Indian market, but the company rather wants to strengthen the brand perception and restructure the existing product portfolio for improved market share in every segment. General Motors currently owns only 2.5 percent market share in the Indian auto market, in spite of almost two decades of its Indian operations. The company’s core focus will be to improve the dealer network and customer facing activities, while also work on making the business more financially viable.
GM’s recent set of management decisions going wrong especially with the Tavera massacre has put the company in a bad light. Moreover, GM has been facing a similar situation globally with its products and has shifted its focus to regain consumer trust for its products. The company will be focusing on bringing its existing models to the market with the addition of new features, better marketing and brand value to the people. GM wants to shed the image of being an uncertain brand regarding the quality of its products.
The Adra on the other hand will complete the development cycle of four years and make its market launch in 2017. Even though we feel that the compact SUV segment would have been saturated by then, GM is optimistic that the right timeline for the product would be four years later. The Adra will be competing against the EcoSport, Tata’s upcoming Nexon, Mahindra S101 and the Renault Duster in the segment, with the Duster and EcoSport already being bench-marked products.
Mr. Saxena also showed keen interest in the sub-4 metre sedan space that is getting a lot of attention of late. While nothing has been materialised as yet, there could be a boot-chopped sub-4 metre sedan that could go on sale in the future. The company is also contemplating to enter the used car business, which will help GM support its dealer network more effectively and retain the customer base as well.
Source – NDTV Auto