Sunday, August 9, 2015

Will Mahindra Vibe hatchback revive Verito’s fortunes?

Even after renaming the Logan Verito, Mahindra has not seen success with its sedan, and now, India’s biggest SUV maker is trying its luck with a new hatchback, the Verito Vibe, the price of which is on the economical side at Rs 5.63 lakh to Rs 6.49 lakh (considering the high-end hatch is feature-rich) but the price excludes octroi.

The Vibe delivers a fuel efficiency of 20.8 km per litre (ARAI certified) and has a boot space of 330 litres and best in class space of a whopping 1,740 X 1,540 mm. The company is offering a warranty of three years or one lakh kilometres.

The Mahindra Verito Vibe hatchback.
The Vibe produces a peak power of 65 PS at 4,000 rpm and 160 Nm of torque at 2,000 rpm, which is great for a hatch.

Available in three variants, D2, D4 and D6, the New Verito Vibe has been designed with a three-box body style with a boot separate from the passenger compartment, similar to sedans. The Vibe’s looks are simply awesome.

The Vibe also has another feature: It is fitted with a driver information system which provides real time updates on mileage, temperature and distance, making the Vibe a feature-rich compact family car.

The car has seen Rs 60 crore being pumped into its development and is based on the Renault Logan platform.

The Verito Vibe’s parts are almost 80 per cent common with the Verito and the new hatchback is available only in the 1.5 litre DCI diesel version.

With its two cars, the Vibe hatchback and Verito sedan, the SUV maker will compete in a category which will have a sales potential of over one million.

With this hatchback, Mahindra will slug it out with the likes of Maruti Suzuki Swift, Swift Dzire along with the Honda Brio and Amaze, among others. So, you have the Vibe competing with the sedans as well as the hatchbacks.

But Mahindra feels the price is economical as the Vibe is Rs 40,000 cheaper than Maruti Suzuki Swift Dzire and almost Rs 1.52 lakh lower than Honda Amaze, although offering the space of a sedan.

President of Mahindra automotive and farm equipment segment Pawan Goenka said, “With the roll out of the Vibe, we will cater to a wider range of car buyers (covering both sedan and hatch buyers). Most of the sub-four metre cars have been derived from a hatchback, which leads to compromise on space. But the Vibe has been created out of a sedan and offers the best space in its class along with features as well as significant value to customers.”

The Verito sedan sells around 700 cars a month and will Mahindra’s success story carry on with its SUVs only? The company is upbeat on the new hatch and has set aside a large production capacity for the Vibe.

But customers would have a limited choice as there would not be any petrol variant of the Vibe. Even though a diesel variant is popular in India, the Central government’s move to raise prices of diesel vehicles could hit sales of cars like the Vibe.

Moreover, with small families (who Mahindra will target) preferring petrol cars, Mahindra could do with a petrol option.

So, will the Verito Vibe, with its economical pricing, space of a sedan and its feature-richness change the Verito’s fortunes?

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