Skoda to launch all-new hatchback

Skoda Auto is working on a new hatchback which will be launched by 2020. As part of the Volkswagen group, Skoda will be developing cars suited for India, using technology from Volkswagen. While the German manufacturer will bring in new models of the Polo and Vento, Skoda will concentrate on building cost-effective cars for the Indian market. Under this plan, the company is planning a low-cost premium hatchback and a crossover.

India is a country that needs more of customized cars, rather than adopted cars from other countries. This fact has been recognized by Volkswagen group and hence the company is planning an investment upto Rs. 2000 crores for the new project, as reported by ET Auto. The present MQB platform will be used to make a new low-cost platform. This platform will churn out new models for Skoda, that will be more suited to Indian conditions and offer features and specifications preferred by Indian consumers.

The company’s R&D setup in Pune is working closely on this and aims to design and develop new models, specifically for India and also that can be exported to other emerging markets as well.

Skoda has recently launched its premium SUV, which is the Kodiaq. Before this, it had launched the facelifted Octavia earlier this year. Next year, it plans to launch another new SUV which is the Karoq. This has been unveiled globally and Skoda plans to launch it in India by 2018. The Karoq will compete with Jeep Compass and to an extent the Hyundai Tucson. Skoda will have to bank upon these new products, till they introduce cars in the volume segments.

Presently, Skoda does not have any presence in the hatchback segment, which is a big volume generator. Since the withdrawal of the Fabia, there has been no hatchback launched  by Skoda. Hence, the company is looking at entering this arena once again, however, with a local product that will serve all needs of Indian consumers. Cost effectiveness will also play a big part here.

Skoda will plan at grabbing a larger chunk of market share, something it has been struggling with. Competition will get more intense in the near future, with brands like Kia, Peugeot, MG and Daihatsu. All these brands will aim at high levels of localization.

Skoda Auto will also plan an electric model on this new platform. In the coming years, electric cars are expected to get a huge push. Other manufacturers are also busy scrambling to get their electric technology working from the drawing board on to the products. At the same time, Skoda is also working towards improving its after sales service. This will be imperative when the new hatchback will arrive in the market to compete with established brands in the segment.