The Mahindra Marazzo (codename: Mahindra U321) was widely anticipated to arrive as the Mahindra Xylo's successor. However, the fact is that it will have a place in the line-up even after the Marazzo goes on sale.
Answering an analyst's query about the Mahindra Xylo this month, Dr. Pawan Goenka, MD, Mahindra & Mahindra, said: “It’s a very niche positioning, and we don’t see any reason to withdraw that product because it has a reasonable demand, a constant demand that happens month after month.”
The Mahindra Xylo is a basic old school MPV based on a ladder-frame chassis that would serve needs of cab operators better than the Mahindra Marazzo. Also, customers previously seeking the Chevrolet Tavera are now inclined towards it because Chevrolet has pulled out of the Indian market. All in all, Mahindra is motivated enough to keep selling the Xylo.
“The Xylo continues being a sort of what I would consider low-end T&T, and in a sense, Xylo is replacing the demand that the Tavera had, which were about 1,000 vehicles, and Xylo is selling about 600-700 in a month,” said Goenka.
The Mahindra Xylo entered the Indian market in January 2009, with an attractive starting price of INR 6,24,500 (ex-showroom Delhi). Fast forward to August 2018, prices start at INR 9,17,349 (ex-showroom Delhi). Unless sales improve drastically, Mahindra may not invest to upgrade the vehicle to meet mandatory crash test or emission norms.