Mahindra XUV700 receives highest safety rating

Mahindra’s latest offering XUV 700 gets another boost – receives a 5 star adult safety rating from Global NCAP. It got 4 star for child occupant protection.

“The model has received the highest combined safety score (adult + child) of 57.69 out of a total of 66.00 among the Indian vehicles tested so far by Global NCAP which makes XUV 700 the safest Indian vehicle and the first full-size seven-seater SUV in the country to receive five-star rating”, the Company said in a statement.

The official Global NCAP test for the Mahindra XUV700 was conducted in Germany last month.

Things seems to have started falling well for Mahindra. After a good success with upgraded Thar that was launched last year, XUV 700 launched in August this year seem to be growing from strength to strength and is destined to become a significant model in Mahindra’s portfolio.

  • It has received about 70,000 bookings so far. Pricing of the vehicle starts from 12.5 lakh and goes upto more than 21 lakhs ex-showroom.
  • As against popular perception of the lower variants being loss making for Mahindra, Company claims otherwise. Besides, the company claims to have more than 95% booking towards the higher end variants where the profitability should be comfortable.

For me a significant watch over next few months would be – the after sale practical experience with the car especially because it’s a heavily electronics loaded car and Mahindra’s quality has been very average in the past. The good thing is that the Company in general listens to it’s customers closely and upgrades it’s models accordingly.

I will be disappointed if Mahindra screws such a great head start. Ideally, the Company should be growing strength to strength from here.

All three segments – cars, tractors and CVs seem to be poised for a good show. Besides, the Company has also started making noise around the electric vehicles.

I would also not be surprised if the Company sees some restructuring e.g., value unlocking through mergers/ demergers.

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