Can Mahindra replicate its success in the SUV space in the small car market, dominated by Maruti and Hyundai? If pricing is a consideration it look like, with the way it has priced a 1.5 L engine powered Vierito Vibe at Rs 5.63-6.6 Lakh bracket. The SUV major Mahindra has made its first push into the one-million-unit a year small car market with a compact version of its Renault car Verito,  a week after warning that stiff competition could erode its dominant position in the utility vehicles space. At the offer price Vibe, a compact version of its Verito sedan, is comparatively cheaper than its immediate completion – Maruit’ Swift and DZire, Toyota Liva and Honda’ Amaze.

 

"Verito Vibe gives us the opportunity to play in the large and highly competitive compact car segment," Pravin Shah, CEO of automotive division said at the launch.

 

It can be noted that Mahindra, that builds every other SUV sold in the country, has been steadily losing its market share—from 56 percent in FY12 to 48 percent in the fiscal year that ended in March 2013, according to data from the industry lobby, Siam.

 

In the passenger car segment, which excludes utility vehicles and vans, the company last year held less than 1 percent of the market that is dominated by Maruti Suzuki.