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Ashok Leyland has launched Bada Dost, a single cab, light truck developed on a completely new platform to take on the segment leader Mahindra Bolero pick-up.
The new vehicle will address a near-white space in the light commercial vehicle (LCV) segment dominated by Mahindra & Mahindra.
It will be the first Ashok Leyland product addressing the LCV segment developed on its own platform. The Chennai-based CV maker invested Rs 350 crore into the product and began work on it in 2017. The Bada Dost will be sold through 570 touch points of the company.
Speaking to Moneycontrol, Nitin Seth, Chief Operating Officer, Ashok Leyland, said: “In the LCV segment, we enjoy only 34 percent of the market. Obviously, your market share cannot go beyond 18 percent if you have a limited product portfolio. With the launch of the Bada Dost, our addressable market goes up to 65 percent in 2-3 years”.
Ashok Leyland, with the Dost, dislodged Tata Motors in FY21 in the same segment, with a share of 18 percent. At 15 percent, Tata Motors market share slipped the most despite products like the Super Ace and Yodha.
As per Ashok Leyland’s predictions, the sub 7.5-tonne (goods + passenger) segment is expected to increase to 6.55 lakh units a year by FY25 after closing the current year (FY21) at 3.91 lakh.
Ashok Leyland has designed the Bada Dost to accommodate the left- hand drive (LHD) option, allowing it to address markets outside India, too. About 80 percent of the world market is left-hand driven. The Bada Dost will be exported to markets like Africa, SAARC, Gulf countries and ASEAN.
As of FY20, less than 4 percent of Ashok Leyland’s production was exported at 1,570 units from the LCV segment. Though Seth did not provide details of the company’s aspirations, he did not rule out the possibility of the Bada Dost clocking more sales outside of India than within the domestic market.
Disclosure : Tracking,not invested.