Suzuki Alto Set to Make a New Record
Suzuki Alto 660cc which came as a replacement of Mehran became the bestselling car within no time. Obviously because its the cheapest & the only mass-produced option available in our market since the likes of United Bravo & Prince Pearl due to their pipetting production capacity & limited nationwide presence are yet to create any troubles whatsoever for the entry level Suzuki hatchback.
Since its launch, the Alto has breached Suzuki’s highest monthly sales record for an individual model multiple times already and has recently helped the company to achieve highest ever sales in a month in July 2021 since Pak Suzuki’s inception in the country. However the results from the first quarter of FY21-22 are even more promising.
Pak Suzuki sold 15,681 units of Alto during the first three months of this fiscal year which is 105% higher than 7,651 units it sold during the same period of previous year. The average monthly sales of Alto during the first quarter happens to be 5,227 units which is 11.6% more than the highest-ever sales of Suzuki Mehran in a month which was 4,684 units.
With this the 660cc Suzuki Alto is on path to set a unique sales record in Pakistan. Currently the highest sales number in a year belongs to Toyota Corolla which witnessed sales of 57,452 units in FY2015-16. If Alto maintains its momentum, then it will surpass sales of 60,000 units in a year quite easily. However amid global chip shortage crisis, the company had to suspend bookings of Alto in September which will obviously affect its sales in forthcoming months.
Nevertheless the success of Alto teaches us a few things. Newer and better products will always become successful among the people and it never justifies dragging the older one thinking no new model can achieve similar results. The case of 11th gen Corolla as well as 660cc Alto negates this theory quite effectively.
Secondly there is a huge demand of smaller & fuel efficient cars in a low budget, although Pak Suzuki has bumped the prices of Alto on several occasions, it still is the cheapest mass-produced car available in the market. Newcomers as well as existing ones have always been reluctant to introduce quality small cars in the market and are largely focused towards introducing expensive crossovers which caters to a limited set of buyers with strong purchase power.
This also reflects the shortsightedness of most newcomers which are heavily relying on imports with least interest in creating a competitive presence in segments which are in demand. The success of Alto should be a case study for other automakers to introduce smaller & fuel efficient cars rather than selling PKR 5 million+ crossovers in limited numbers.
Till that happens, Pak Suzuki will continue to enjoy unchallenged dominance in small car segment which enables the automaker to enjoy a thumping 66% share of Pakistan’s automobile market. Pak Suzuki is reportedly ramping up production to meet the rising demand of small cars following a reduction in prices after the government reduced various duties & taxes in the Auto Policy 2021-26. Additionally, booking of cars under Roshan Apni Car for overseas Pakistanis having Roshan Digital Account (RDA), has also played its part in the increase in sales of locally assembled vehicles.