To prop up sagging sales, car companies have once again started rolling out discounts and offers.
According to the Society of India Automobile Manufacturers, passenger car sales went down by 6.9% in December 2008 at 82,105 units as against 88,272 units in the corresponding month in 2007, despite huge discounts that all the companies had offered last month to clear the stock.
For instance, Maruti Suzuki India, the country?s leading passenger car manufacturer with a market share of 56% as of December, is offering test drives for SX4 and anyone who takes on the test drive can win a trip to Europe. This is over and above the exchange or the loyalty bonus of Rs 30,000 which is available on the vehicle. While the company?s Zen Estilo is now available at a starting price of Rs 2.63 lakh, one can save anything between Rs 10,000 and Rs 35,000 on other Maruti cars. However, corporate discount is a common feature across all models sans Estilo.
While it might just be a promotional activity for Maruti Suzuki, industry experts feel that the company is trying all means to give a tough ride to Honda City, which has once again regained its number one position in the sedan segment ever since the eighth generation Honda City was launched late last year.
No wonder, Honda Siel Cars India, the Japanese auto giant who has so far refrained from discounts is also offering exchange facility to its prospective customers. Under this scheme, people can exchange their older cars for any Honda car.
Not to be left behind in the race of grabbing a bigger pie of the market share through such discounts is General Motors India, Ford India and Toyota Kirloskar Motor. While General Motors India is once again offering a savings of Rs 52,500 on Chevrolet Spark that is now available at Rs 2.64 lakh, Ford India is offering the limited stock of Ford Fusion at special price of Rs 5.49 lakh and there is a saving of Rs 20,000 on Ford Fiesta. Even Corolla Altis, from the stable of Toyota Kirloskar, is available at a savings of Rs 35,000 for a limited period.