After opening the day on a positive note, share markets in India have continued the momentum and are trading in green. Sectoral indices are trading on a positive note with stocks in the oil and gas sector and stocks in the metal sector leading the gains.

The BSE Sensex is trading up by 300 points (up 1%), and the NSE Nifty is trading up by 100 points (up 1%). Meanwhile, the BSE Mid Cap index is trading up by 1.5%, while the BSE Small Cap index is trading up by 1.4%. The rupee is trading at 64.41 to the US$.

In news from stocks in the automobile sector. The country’s largest car maker Maruti Suzuki India Ltd laid out plans for the revamp of its retail network. The new showrooms will be called Maruti Suzuki Arena.

The company said according to surveys as much as 75% of customers research online prior to purchasing a vehicle. Maruti Suzuki is upgrading its sales channel to provide a seamless experience to customers.

In recent months, Maruti Suzuki has already announced the launch of NEXA Service focusing on premiumisation of the customer experience.

The Indian auto industry is witnessing a rapid change in consumer preference. And the change is becoming more evident in the case of first-time buyers. Maruti Suzuki is a market leader in the domestic passenger vehicle segment with seven of its models featuring in the top 10 selling brands in July month. The sales data of the company reveals some interesting insights about first-time car buyers.

Changing Preference of First Time Buyers

Historically, first-time buyers preferred small hatchbacks such as the Maruti 800, the Alto, and WagonR. But the new generation of first-time buyers is moving up the ladder to premium cars. It’s similar to what has happened in other consumer segments such as mobile phones and consumer electronics.

First-time car buyers are now buying costlier models such as the Swift or the Dzire. First-time car buyers accounted for 31% of Swift sales in FY14. That number jumped to 52% in the June quarter of FY18.