For the first time in four decades, India’s top-selling car did not bear the Maruti Suzuki badge. The Tata Punch, a compact SUV, claimed the title of India’s best-selling car in 2024, dethroning Maruti Suzuki’s Wagon R and Swift. Tata Motors sold over 2.02 lakh units of the Punch, surpassing Wagon R’s 1.91 lakh sales.
This trend in consumer preferences signals a shifting gear by India toward SUVs. Three of the top five best-selling cars in 2024 happened to be SUVs, indicating a change in the market scene.
Maruti Suzuki Has Been Leading the List as India’s Top Selling Car
Maruti Suzuki, the country’s longtime market leader, has faced tough competition with the rise of premium and compact SUVs. An automaker that had a dominant market share of 52% in 2018 witnessed the grip slide down to 41% in 2024. Maruti has lost ground primarily due to the limited SUV options above the ₹10 lakh price point.
This is a critical juncture in India’s automobile history. Ever since the Maruti 800 was launched in 1985, Maruti Suzuki has been the undisputed leader of India’s best-selling car category. Models like Alto, Swift, and Wagon R have topped the sales charts. However, changing regulations, shifting consumer preferences, and growing demand for SUVs have changed the game.
Launched in 2021, the Tata Punch offers SUV-inspired styling, a high ground clearance of 190 mm, and a commanding driver position, all in a compact 3.8-meter frame. It has proven an appealing alternative to hatchbacks, selling over 10,000 units monthly since its debut.
Managing Director of Tata Motors Opens Up
Managing Director of Tata Motors, Shailesh Chandra: “CY24 has been a phenomenal year for Tata Motors. While SUVs increased by 19%, Punch sales crossed 200,000 units, making it the best-selling car in the country, a testament to the boom of the segment as well as our multi-powertrain approach.”
Capitalizing on changing preferences, as India’s auto industry hit a peak at 42.86 lakh car sales in 2024, Tata Motors further fortified the Punch as a symbol of the SUV boom.
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