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M&M's Scorpio models to sport Rs 0.5-0.9 million tags

V Phani Kumar

Mahindra & Mahindra, which is counting on the success of its new utility vehicle Scorpio to effect a turnaround in fortunes, is likely to price all the three models on the new platform in the Rs 550,000 - 900,000 bracket.

The company, which will be launching a top-end, a mid-end and a low-end model on the Scorpio platform, is likely to introduce both diesel and petrol variants of the top-end model by the end of this year.

The pricing strategy, it appears, is to ensure that the top-end version is priced lower than the 4X4 LE version of Tata Safari (priced at Rs 1 million ex-Bombay). Also, the lower-end model on the Scorpio platform is likely to be priced slightly above the company's other model, the Bolero GLX (Rs 539,000 ex-Bombay), in order to distinguish the two products in pricing terms.

According to Alan Durante, executive director and president of M&M's auto sector said, "We are currently conducting extensive road tests for the Scorpio across the country. The top-end model, which is to be launched shortly, will be offered in both the petrol and diesel versions. It is possible that the low-end model of Scorpio will be priced slightly above the Bolero."

The company will be offering a 2.8-litre engine sourced from Renault petrol version of the Scorpio, in addition to a modified 2.5-litre turbo-charged engine for the diesel version.

M&M, which has spent over Rs 6 billion on the Scorpio project, has created an additional capacity of 80,000 units at its Nashik plant, in addition to a new paint shop with a capacity to cater to 105,000 units.

M&M, to spruce up the company's dealership network, is offering all services related to vehicle purchase at its dealership. The company, through the move, is hoping to establish its image as a manufacturer of contemporary vehicles for urban vehicles.

M&M on Tuesday opened its first company-owned dealership network at Chowpatty in Bombay, which will set the benchmark for all its 150 existing showrooms across India in the future.

Rajesh Jejurikar, vice-president (marketing) the company, said, "While the investments in the Chowpatty showroom have been made by the company, our dealers themselves will be bearing the cost for upgrading the facilities. The showrooms depict the brand values of sportiness, adventure and technology."

As part of the strategy, 30 of the company's largest dealerships will be revamped by the end of the current year to offer all vehicle purchase-related services under the same roof in addition to being given a face-lift.

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