Why is Citroën struggling in India? The large French carmaker is very popular in Europe but has failed to gain traction in the Indian market, with sales of some models flatlining with zero sales. Where did they lose their way?

Limited Products & High Pricing

In India, Citroën has launched only 3-4 models (C3, C3 Aircross, C5 Aircross, eC3 EV), with no presence in high-volume segments like compact SUVs, which sell the most in India. Its entrance into the Indian market was also late in 2021, when the market was filled with established players like Maruti Suzuki, Tata, Hyundai, and Mahindra. They launched their first car, the C5 Aircross (₹30-33 lakhs), priced higher than rivals (Hyundai Tucson, Volkswagen Tiguan). After realising their mistake, they came up with the entry-level C3 (₹6-8 lakh), which also struggles against competitors like the Maruti Swift and the Tata Punch.

Week Brand Image & Service Network

Citroën has barely put any effort into marketing and building their brand. Mass market buyers also don’t know much about this brand. Only ~50 dealerships nationwide, concentrated in metros do not help their case either. Competitors like Maruti have 4,000+ touchpoints. Also, customers have a fear of high maintenance costs and spare parts availability in smaller cities.

Lack Of Localization & Aggressive Competition

Models like C3 share platforms with Latin American cars, which lack Indian-specific tweaks (e.g., ground clearance, ruggedness). Also, they miss out on popular features while launching (e.g., sunroof, ventilated seats) offered by rivals. Maruti Suzuki, Hyundai, Tata, and Mahindra dominate in mass segments giving budget-friendly options too.

EV Strategy Falling Behind

Citroën only managed to launch the eC3 (a rebadged C3 EV) with a modest range of 320 km, overshadowed by Tata Nexon EV (465 km) and MG ZS EV. This is their only EV.

Key Takeaways

Citroën has no presence in India’s best-selling compact SUV segment. They haven’t addressed India’s preference for frugal diesels, rugged SUVs, and affordable EVs, and they struggled to shake off the “foreign niche brand” image in a market dominated by trusted local players. Until they appeal to the masses, by giving them what they want, Citroen will find it difficult to sustain a presence in India.