Over the years, I’ve observed many trends in the Indian automobile market. Some brands rise quickly, while others fade into the background. But one brand that still surprises me with its downward trajectory is Honda. Once considered a symbol of premium engineering and trusted reliability, Honda today is struggling to maintain relevance in the Indian car market. This decline is not accidental. As someone with over four years of experience in the automotive writing space, I’ve been closely following the performance of various brands. In this blog post, I’ll take you through a detailed and honest analysis of why Honda is failing in India, despite having a strong legacy and engineering prowess.
Contents
- 1 Honda Sales in India: From Glory to Struggle
- 2 The Shrinking Portfolio: Too Little to Offer
- 3 Missing the SUV Wave: A Costly Delay
- 4 Falling Behind in Features and Innovation
- 5 Weak Marketing and Low Brand Visibility
- 6 Losing the Emotional Connect with Indian Buyers
- 7 Rivals Are Moving Faster with Smarter Strategies
- 8 What Honda Needs to Do – And Do Fast
- 9 Upcoming Launches: A Ray of Hope?
- 10 Final Thoughts
Honda Sales in India: From Glory to Struggle
There was a time when Honda cars like the City and Civic were among the top choices for Indian car buyers. Fast forward to today, and the story has changed drastically. The brand that once enjoyed a prominent space in showrooms and households alike is now trailing far behind in monthly sales. In April 2025, Honda recorded just 3,360 units sold, a shockingly low number considering India’s booming automobile market.
To put things in perspective, brands like Maruti Suzuki, Tata Motors, and Hyundai are clocking monthly sales between 30,000 to 50,000 units. Even relatively new players like Kia and MG have surged ahead. This massive gap in numbers highlights the growing disconnect between Honda and the modern Indian consumer. The question we must ask is: How did a brand like Honda, known for its reliability and engineering, fall so far behind?
Monthly Sales Comparison (April 2025)
| Brand | Approx. Monthly Sales |
|---|---|
| Maruti Suzuki | 1,60,000+ |
| Tata Motors | 47,000+ |
| Hyundai | 50,000+ |
| Honda | 3,360 |
The Shrinking Portfolio: Too Little to Offer
A key reason for Honda’s decline in India is its extremely limited product portfolio. While other brands are expanding aggressively across various segments, Honda currently sells only three models in India – Amaze, City, and Elevate. That’s it. In a market like India, where customers demand variety, Honda’s limited lineup feels like a missed opportunity.
Let’s compare this with its rivals. Hyundai has multiple hatchbacks, sedans, and SUVs in its lineup. Tata has struck gold with feature-rich models across price points. Mahindra has made a strong comeback with bold, rugged SUVs. Meanwhile, Honda seems to be stuck in the past, still relying on its older models without introducing enough new options to excite or attract consumers.
Current Honda India Lineup
| Model | Segment | Launch Year |
|---|---|---|
| Amaze | Compact Sedan | 2018 |
| City | Mid-Size Sedan | 2020 |
| Elevate | Compact SUV | 2023 |
This lack of variety limits Honda’s appeal, especially when buyers today are looking for cars that match their lifestyle, tech needs, and budget flexibility.
Missing the SUV Wave: A Costly Delay
The Indian automotive market has witnessed a massive shift towards SUVs in the past few years. Buyers now prefer vehicles that offer road presence, better ground clearance, and a commanding driving position. Brands like Tata, Hyundai, and Mahindra have capitalized on this trend beautifully with products that are not only stylish but also loaded with features.
Honda’s response to this trend has been underwhelming. The Elevate, introduced in 2023, was the brand’s first real attempt at entering the SUV space in India. While it offers some modern features, it entered the segment far too late and does little to stand out in a crowded market. Meanwhile, Honda has no compact SUV below the Elevate to compete with hot sellers like Tata Punch or Hyundai Exter. The absence of smaller, more affordable SUVs is one of the key reasons why Honda is failing in India today.
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Falling Behind in Features and Innovation
Gone are the days when people chose a car purely based on engine performance and build quality. Modern buyers expect more – from touchscreen infotainment systems to advanced driver assistance features (ADAS). Unfortunately, this is another area where Honda has fallen short.
Most of Honda’s current offerings feel outdated when compared to rivals. The infotainment systems are smaller and less intuitive, digital instrument clusters are missing or basic, and there’s a noticeable lack of innovation in areas like connected car technology. Brands like Hyundai, MG, and even Tata have stepped up their game by offering tech-laden interiors even in their entry-level cars. Honda, in contrast, seems to be sticking to a formula that no longer resonates with tech-savvy Indian customers.
Weak Marketing and Low Brand Visibility
In today’s digital-first world, marketing is more than just advertisements – it’s about brand presence, communication, and engagement. Unfortunately, Honda has failed to make an impact in this space. One major example of this was their absence from the Bharat Mobility Expo 2025. While other brands showcased their latest tech, concepts, and future plans, Honda chose to stay silent.
This absence from key automotive events and limited digital marketing campaigns contribute to the brand’s low visibility. Younger car buyers, who are active on YouTube, Instagram, and auto blogs, rarely see engaging content from Honda. This is a missed opportunity. In a competitive landscape, staying top-of-mind is critical, and Honda seems to be struggling with that.
Losing the Emotional Connect with Indian Buyers
There was a time when owning a Honda City was a dream for many Indian families. It symbolized success and class. The brand had a certain charm, a strong emotional connection with its buyers. Over time, however, this bond has weakened.
The newer generation of buyers has different expectations. They want cars that are bold in design, fun to drive, technologically advanced, and offer great value for money. Honda has not evolved with these changing preferences. As a result, many young buyers simply overlook Honda when considering a new car purchase.
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Rivals Are Moving Faster with Smarter Strategies
Another reason Honda is failing in India is the aggressive strategy of its competitors. Brands like Tata, Mahindra, and Hyundai have been relentlessly launching new models, updating existing ones, and responding quickly to consumer feedback. Tata, for instance, has not only introduced feature-rich products like the Nexon and Harrier but is also pushing hard in the EV space.
Hyundai has consistently stayed ahead by offering modern designs and features across all price points. Mahindra is riding high with the success of its XUV700 and Scorpio-N. In comparison, Honda appears too slow and too conservative. When the market is moving fast, any delay or hesitation can be costly – and Honda is learning this the hard way.
What Honda Needs to Do – And Do Fast
Despite all these challenges, the good news is that the situation is not irreversible. Honda can still turn things around, but it needs to act quickly and decisively. The brand must understand that its legacy alone won’t help in today’s competitive and dynamic market.
Honda needs to aggressively expand its SUV lineup. A sub-compact SUV positioned below the Elevate, designed for urban users, could tap into a huge volume market. Simultaneously, the brand must work on bringing its EV plans to life. Electric vehicles are no longer just future talk – they are the present. Honda’s Elevate EV and hybrid offerings should be prioritized and launched without delay.
Moreover, existing models need a serious feature upgrade. Introducing digital displays, wireless connectivity, ADAS, and sunroofs even in mid-range trims can boost value perception. And equally important is the need to revamp its marketing strategy. Reconnect with Indian consumers, increase brand engagement, and showcase innovation. That’s the only way to regain trust and interest.
Upcoming Launches: A Ray of Hope?
Although Honda has been rather silent about upcoming launches, there are some models expected to hit the market soon. These include the all-electric Elevate EV, a seven-seater SUV based on the Elevate platform, and an updated City Hybrid. If launched with the right pricing and features, these models could help restore some momentum.
However, timing is everything. Delays could mean missing out on a rapidly changing market. It’s now or never for Honda in India. The next 12–18 months could be critical in determining whether the brand can reclaim its lost ground or fade further into irrelevance.
Final Thoughts
Honda’s journey in India has seen both triumphs and troubles. From being one of the most aspirational car brands to now struggling with low sales and poor market presence, the fall has been significant. But with smart strategies, quicker product rollouts, and a better understanding of market demands, the brand can still make a comeback.
As someone who’s passionate about automobiles and has closely followed Honda’s journey, I genuinely hope the company rises again. India deserves to see the best of Honda – and Honda must prove it still belongs on Indian roads.
