Skoda Auto India has entered the highly competitive compact SUV segment with its latest offering, the Kylaq, set to hit the market at an introductory price of ₹7.89 lakh. This sub-4-metre SUV, unveiled on Wednesday, is expected to make a significant impact in the Indian automobile landscape. The car is scheduled to officially launch at the Bharat Mobility Show in January 2024, with deliveries beginning shortly after its formal debut on January 27.
Kylaq Pricing and Bookings
Skoda Auto India will reveal the complete list of trims and variants for the Kylaq next month, along with the final pricing structure. Bookings are expected to open simultaneously, giving eager buyers a chance to reserve their spot ahead of the SUV’s market arrival. The pricing strategy positions it to compete directly with other popular models in the compact SUV segment, including the Tata Nexon, Mahindra XUV 3OO, Maruti Brezza, Hyundai Venue, and Kia Sonet. The price band for these rival SUVs generally ranges from ₹7.7 lakh to ₹8.3 lakh, making the a competitive entry.
Key Features and Localisation
One of the standout aspects of the Kylaq is its localisation level, with 76% of its components sourced from Indian suppliers. Skoda Auto India’s brand director, Petr Janeba, emphasized the company’s focus on increasing this figure to over 90% in the near future. This move is part of Skoda’s strategy to strengthen its position in the Indian market by reducing production costs and making the vehicle more affordable for the local audience.
Janeba described the car as the “democratisation of European technology on Indian roads,” highlighting the brand’s commitment to bringing high-quality, advanced vehicles to the Indian consumer at competitive prices. With an ambitious goal to sell 100,000 units annually, the Kylaq is poised to become a major player in the country’s compact SUV market.
Engine and Performance
The Kylaq will be available as a petrol-only model, powered by the Volkswagen Group’s renowned three-cylinder 1.0 TSI engine. This engine, known for its efficiency and performance, is expected to deliver a balanced mix of power and fuel economy, appealing to both urban drivers and those seeking longer road trips.
Although specific performance details are yet to be released, the 1.0 TSI engine is expected to offer a robust driving experience that aligns with the expectations of compact SUV buyers in India. Skoda’s decision to go with a petrol-only model reflects the growing demand for petrol engines in India, as well as the shifting consumer preferences away from diesel vehicles due to stricter emission norms.
Competitive Landscape
The compact SUV market in India has seen exponential growth in recent years, with several automakers launching models that cater to the diverse needs of Indian consumers. The car will face stiff competition from established players like Tata Nexon, Mahindra XUV 3OO, Maruti Brezza, Hyundai Venue, and Kia Sonet—all of which have gained a loyal customer base thanks to their combination of features, performance, and affordability.
However, Skoda is confident that the blend of European engineering, competitive pricing, and extensive localisation will set it apart from its rivals. Klaus Zellmer, Chairman and CEO of Skoda Auto, reiterated the company’s commitment to India as a crucial market, stating, “While Europe remains a key market for Skoda, we are actively expanding our international footprint, and India is a central pillar of this strategy. The country not only offers significant growth potential but also serves as an important export hub for surrounding markets and beyond.”
Skoda’s Vision for India
India has become an increasingly important market for global automakers, and Skoda is no exception. The company has been steadily expanding its presence in the country, with a focus on launching models that cater specifically to Indian consumers. The Kylaq is a testament to this strategy, blending European design with Indian sensibilities.
With the Kylaq, Skoda Auto India is positioning itself to capture a larger share of the booming compact SUV market. The brand’s emphasis on localisation, coupled with its competitive pricing strategy, is likely to attract a wide range of customers, from first-time buyers to those looking for a premium driving experience without breaking the bank.
As the compact SUV segment continues to grow, Skoda’s entry with the Kylaq could potentially disrupt the current market dynamics. With bookings opening soon and deliveries starting in January, it won’t be long before we see how the Kylaq fares against its well-established rivals.
