“Venue plays in the biggest and the most competitive category in the PV segment. It is the second-highest volume grosser for HMIL after the Creta, and also reflects the ethos of brand Hyundai,” said Tarun Garg.The revised GST regime with a standard 18 per cent slab for cars up to 4-metres in length and 40 per cent for others , has the potential to significantly boost the compact-SUV (C-SUV) segment.
The category, now the most sought-after and hotly-contested, comprises 12 models accounting for over 41 per cent of total passenger vehicle sales between January and September this year.
While cumulative monthly volumes in the eight-month Jan-Aug 2025 timeframe were pegged at roughly 80,000 units, they rose to around 94,000 units in the post-GST 2.0 months of September and October, a nearly 18 per cent increase in sales.
According to Tarun Garg, Whole-Time Director and COO and the MD & CEO designate of Hyundai Motor India (HMIL), “The compact-SUV segment could hit the 100,000-units-per-month mark with the GST impetus.” He was speaking to the media on the sidelines of the launch of the second-generation Hyundai Venue.
With market anticipation of 25 per cent volume growth, he said that with higher purchasing power coupled with the same money levels, more first-time buyers are likely to enter the C-SUV segment and fuel its growth.
While cars like the Tata Nexon, Skoda Kylaq, Maruti Suzuki Brezza, and Fronx, and Mahindra 3XO, are all beneficiaries of the new tax regime, Hyundai’s latest Venue too enters the fray with a robust proposition of a premium offering with a wider appeal. The outgoing model averaged monthly sales of around 9,000 units.
“Venue plays in the biggest and the most competitive category in the PV segment. It is the second-highest volume grosser for HMIL after the Creta, and also reflects the ethos of brand Hyundai,” said Garg.
According to him, the hatchback contribution to the overall industry volumes declined from 22 per cent in January-August 2025, to 20.4 per cent in September and further to 20 per cent in October, despite the GST benefits. “It is amply clear that SUVs are ruling the roost in the market,” he said.
Eyeing higher Venue volumes
The company is anticipating a 20 per cent growth in volumes of the Venue with the launch of the second-generation model that will cater to a wider audience. According to Garg, almost 44 per cent Venue buyers are first-time customers, compared to the HMIL average of 40 per cent. While 23 per cent of the Venue customers belong to the sub-30-year age category, 45 per cent comprise working professionals. “We will see at least 20% growth in volumes with the new Venue,” he added. The company anticipates the diesel contribution to increase from the existing 20 per cent to 30 per cent with the new model.
HMIL has introduced a diesel-automatic option for the first time in the Venue to cater to sustained demand from markets such as Telangana, Punjab, Gujarat, Maharashtra, Rajasthan, and Madhya Pradesh.
Furthermore, almost 21 per cent Venue customers choose the top-end variants, as against the 10-15 per cent HMIL average. “This shows that the Hyundai Venue touches the hearts of young customers who are looking for technology, performance, and brand salience,” Garg added.
