The strategic partnership between Toyota Kirloskar Motors and Maruti Suzuki India has proven to be a massive success, with one out of every two Toyotas sold in India now being a rebadged Maruti Suzuki. Through this collaboration, Toyota has introduced models like the Glanza, Urban Cruiser Hyryder, Taisor, and Rumion, all based on popular Maruti Suzuki vehicles. In the first four months of FY2025 (April to July 2024), these rebadged models accounted for 52% of Toyota’s total sales, reflecting the effectiveness of the badge-engineering strategy.
The success of this partnership can be attributed to two key factors. First, Toyota’s strong brand reputation in India, known for its reliability and excellent after-sales service, boosts consumer confidence in rebadged models, making them more attractive to buyers. Even though these vehicles originate from Maruti Suzuki, the Toyota badge adds perceived value and quality, drawing more customers.
Second, the original Maruti Suzuki models, such as the Baleno, Grand Vitara, and Ertiga, are already well-established in the Indian market. Their proven popularity for affordability, practicality, and fuel efficiency makes rebadging them a low-risk strategy for Toyota. This collaboration allows both brands to benefit from increased sales without cannibalizing each other’s market share.