Announced for 2020, Citroën's establishment on the Indian market really began with the launch of the C5 Aircross, but above all with the marketing of the C3, designed and developed for this market, followed a few months later by the C3 Aircross. However, with a network that was too small, the brand's sales disappointed to such an extent that Citroën decided to react and make 2024 the year of change.
Developing brand awareness
At the beginning of the year, Citroën launched the C3 Aircross in an automatic version to better meet the needs of consumers who prefer this type of gearbox. At the same time, the brand announced the update of its vehicles to increase their safety equipment from 2 to 6 airbags, in addition to other new features.
In February, Shishir Mishra was appointed head of Citroën in India with the aim of developing the brand's sales through product improvements and the development of the network, which should reach 200 units by the end of 2024.
This new philosophy for Citroën's development in India took shape in the second quarter with the announcement of several partnerships with companies that allowed the brand to sign agreements for up to 7,000 C3s. This will enable customers, especially those living far from dealerships, to discover and test the C3 in real life, a unique growth opportunity for the brand that will fill a gap in a network that is too small.
To increase its visibility, the brand has also signed a partnership with the famous cricketer MS Dhoni, who has lent his image to the brand, resulting in the launch of a global communication campaign and a special series on the C3 Aircross.
An evolving range
The year 2024 has also allowed Citroën to evolve its range of vehicles in India to make it more competitive and cover more segments. The announcement of an improvement in safety equipment came to fruition last August when the brand updated the C3 and the C3 Aircross, which became the Aircross in passing, at the same time as its first SUV coupé, the Basalt, was launched on the Indian market.
As a result, the brand has regularly made headlines in the automotive news, which is very important in India, where consumers are hungry for new things and you have to talk to them regularly and present new things or risk being forgotten.
With the C3, Aircross and Basalt, Citroën covers the most popular segments in India with a well-balanced range that includes a versatile saloon, a spacious SUV with up to 7 seats and an SUV coupé that can also be used as a compact saloon. With a range of petrol engines and an automatic gearbox available across the range, Citroën meets the needs of consumers by also offering an electric version of the C3, enabling it to regularly rank in the top 5 in this market segment.
India as an export base
Citroën's presence in India is not only intended to help develop its sales outside Europe, but also to conquer new markets and increase sales volumes.
The first units of the C3 and C3 Aircross were shipped directly from India to Indonesia, a market in which Citroën intends to use its Indian base to develop its presence, thanks in particular to free trade agreements that allow it to avoid customs duties. The brand is doing the same in South Africa, where it is launching the C3 and C3 Aircross before the Basalt. Citroën is becoming Stellantis's conqueror on this market, where it has to make volumes, as the products are imported directly from India, allowing the brand to offer them at much lower prices than before, when they were imported from Europe.
In conclusion, even if the sales figures do not live up to expectations, India is more important than ever for the development of the brand, which intends to use its assembly plant to conquer neighbouring countries where driving is on the right. This will allow a faster return on investment in the plant and products, but above all it will allow the brand to benefit from a free trade agreement that eliminates customs duties and makes the products competitive. We will have to wait and see how sales develop in 2025 before making an initial assessment of this strategy, once the three vehicles in the C-Cubed range have been launched on all markets.
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