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Sunday, January 18, 2015

A car which changed India

As we forged our way into year 2015, we are leaving behind one of the legendary cars that changed India and its auto industry. The journey of the Indian passenger car segment has been marked by model which then became milestones in their own right. The Maruti 800 which came out in 1983 broke the shackles of the License Raj and built the aspiration for the car in the minds of the Indian family. While Maruti build on the aspiration with its simplicity, Hyundai and its Santro marked the rise in aspiration of the common man to move from the necessity of mobility to the mark of driving in comfort.

In 1998, Hyundai came into the small passenger car segment with the Santro (inspired from the elegant city of Saint Tropez in the French Riviera) which was then dominated by Maruti (80% share) with the basic 800 and the Zen with a  more powerful 1000 cc engine. A new entrant in the small car segment was another Korean, the Daewoo Matiz. The rest like the Ford, Honda, Toyota were out to focus on the mid-sized saloon segment. Coming in as a challenger to the dominant force is not a mean thing; but for a car which even towards its closure in 2014 is selling up to 30,000 units a year, there has to be something special.

The first success for the Santro came from its tall boy design which was a novelty in itself. Yes, the purists claimed it looked much like its name in Korea, Atoz which sounded like an auto (rickshaw), it gave radically more head room in the cabin as against its competition. This also meant that an Indian woman could get in without much trouble of managing her saree and having to almost kneel to get inside. The other part was the fact that Santro has a better ground clearance than most in its category. And while air conditioning as a standard accessory was not available initially, the cost differential between an AC and non-AC was just a few thousand rupees.

The turning point for Santro was the 2003 launch of the Santro Zing which had the AC and power steering as a standard option. This was the major blow to have an impact of the market which Maruti was slowing losing its grip on. With no major improvements on the Zen and the delay for the tall boy Wagon R meant Santro went on to gain in leaps and bounds within no time. The only possible area where Hyundai could have lost the battles was costs. But using a single vendor approach for economies of scale and an 80% localization of suppliers, the Santro was the largest selling car within two years of its launch. Between 2003 to 2010, the Santro sold anywhere between 1,00,000 to 2,40,000 units year after year. It was the simple looking, comfortable interiors design, zippy but fuel efficient engine and the distinction that it was not a Maruti built its first base for Hyundai loyalists of today.  

In a city like Mumbai where driving might be a pain almost all throughout the day, Santro found a new lease of life in the last 5 years. The iconic black and yellow Premier Padmini was on its way out into the oblivion and there were already new contenders in the form of Maruti Wagon R, Alto, Omni, Ecco and Tata Indicab waiting to fill the gap. But the Hyundai Santro today has a dominant present as the new face of the black and yellow Mumbai Taxi. I am yet to see a cabbie who is not happy with the change to Santro. The ones who moved over directly from the Padmini to a Santro find a whole ocean of difference in the driving experience. Their most common appreciation comes in the handling and the power steering that have helped reduce their fatigue and work longer shifts. The ones who tried others and are now driving a Santro just say “yes uss se accha hai…”.


It is kind of funny that the Santro will be discontinued from the same year as the legendary Ambassador has taken its final bow. But one thing is for sure, if the Ambassador left its legacy as the car that was the one which enjoyed the decades of the Licence Raj, the Santro will be remembered for a car that established India as the global small car hub. What we will also remember is the fact that it pushed the wheels of the Indian auto towards previously perceived luxuries of power steering and air conditioning into standard specification and made our ride a little more joy. 

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