Renault's Kwid gets 50,000 pre bookings in five months

Kwid is one of the models that Renault hopes will help it grab 5% market share in India

Renault India's new entry level hatchback Kwid has managed to get 50,000 bookings within five weeks since its launch.

In a statement, which was issued globally, the French automajor said in India, pending the launch of Kwid sales which already recorded more than 50,000 pre-orders as of today.

The company is betting big on Kwid to capture around five per cent market share. The Group's sales fell by 4,818 vehicles and its market share by 0.7 points. Market share of Renault is currently close to two per cent.

Kwid was launched on September 24, 2015 to take on Maruti Suzuki's Alto and Hyundai's Eon. The SUV styling car has managed to attract customers thanks to its aggressive pricing at Rs 2.56 lakh to Rs 3.53 lakh.

Earlier, Sumit Sawhney, Country CEO and Managing Director, Renault India Operations said that Kwid is a right product at right price, launched at right time and value for the money (cost of maintenance is 19 % lower compared to competition) and most fuel efficient.

To a question on whether the company will be able to offer the same price going forward, Sawhney earlier in an interaction said "It's an introductory price, will be there for limited period. Prices have to change and it will be a small change."

The product was launched with 98 per cent localisation, which helped the company to price the product at competitive price. Average localisation of Renault's products is around 70 per cent and taking Kwid as example, company now wants to increase it to 80 per cent. To be price competitive, localisation is key, said Sawhney.

"Kwid is a big small car and it will be a game changer and it will create a new benchmark in hatchback segment," said Sawhney.

Renault has taken up new initiatives including virtual showroom, mobile show rooms, mobile workshops and others to reach out to new customers, especially in the tier II and III towns. Kwid is being showcased across 47 cities in the country.

Made-in-India Kwid will also be exported starting from next year. The potential countries are South America, Africa and other emerging markets. Sawhney said already billing started for the neighbouring countries.