Mahindra will soon discontinue its Marazzo MPV after a six-year run due to lackluster sales. Launched in September 2018, the Marazzo was positioned as a competitor to the Maruti Ertiga, XL6, and Kia Carens, with prices ranging from Rs 9.99 lakh to Rs 13.90 lakh. The vehicle offered four trims and came in both 7- and 8-seater configurations.

Sales Performance

The Marazzo has struggled in the market, averaging just 34 units sold per month over the last five months. Despite an initial monthly average of nearly 640 units since its launch, total sales have only reached 44,793 units by June 2024.

Sales declined sharply during and after the COVID-19 lockdowns, and the transition to stricter BS6 Phase 2 emission norms didn’t help. For comparison, Maruti and Kia sold an average of 14,495 Ertigas and 4,412 Carens MPVs, respectively, over the same period.

Production and Market Presence

Sources indicate that production of the Marazzo will cease within the next two months. This follows the discontinuation of Mahindra’s last sedan, the Verito, signaling Mahindra’s shift to being an SUV-only carmaker.

Currently, the MPV market constitutes about 16 percent of the total passenger vehicle market, dominated by Toyota and Maruti Suzuki, with Kia and Renault also holding significant shares.

Unique Aspects and Shortcomings

The Marazzo, which retails between Rs 14.59 lakh and Rs 17 lakh with discounts of up to Rs 93,000 as of June, was unique among Mahindra’s lineup. Unlike most Mahindra vehicles developed in India, the Marazzo was created by the Mahindra North American Technical Centre (MNATC) in Michigan, USA.

It featured a 123hp, 300Nm 1.5-litre diesel engine paired with a 6-speed manual transmission, offering a fuel efficiency of 17.3 kmpl (as per ARAI).

Despite its potential, the Marazzo faced several issues:

  • Lack of Updates: The MPV saw no major mechanical or feature updates during its tenure.
  • Missed Opportunities: Plans for an AMT-equipped version and a petrol model never materialized.
  • Design and Performance: Built on a ladder-frame platform with a front-wheel-drive setup, the Marazzo was less desirable in hilly regions where rear-wheel-drive models like the Toyota Innova Crysta performed better. Additionally, the 1.5-litre engine felt underpowered when the vehicle was fully loaded.

 

Future Prospects for Mahindra

With the Marazzo’s discontinuation, Mahindra is focusing on its upcoming releases. The company is set to launch the Thar 5-door soon and is also working on an XUV700-based electric vehicle (EV) expected to debut by the end of the year.

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