These are the deep discounts on offer on different car models – but they might have failed to lure buyers
- Car makers are offering massive discounts in the current vehicles – some going over ₹1 lakh with discounts!
- Maruti Suzuki is offering ₹1,15,000 total discount on Ciaz.
- With demand being stable, carmakers are also witnessing decreasing inventory days in the passenger vehicles segment.
AdvertisementCome 2020, car makers will get closer to the deadline wherein BSIV vehicles will be banned. And the fact that last year witnessed a big slump in sales did not help the growing inventory of vehicles which will no longer be in vogue.
That has reflected in deeper discounts towards the later part of the year. But that has not helped the declining sentiment in the midst of a general slowdown and lower consumer confidence.
“High discounts (even higher than festive schemes in some cases) and cost increase from January have led to the pickup in demand. However, underlying demand remains weak with over two-thirds of dealers seeing single digit decline or a flat annual sales volume,” said a Nirmal Bang survey report.
As new prices will kick in from January and we get closer to the ban of sale of BSIV vehicles in April 2020, cars are going at a discount anywhere between ₹1 to 1.7 lakh.
|Maruti Suzuki Alto||₹60,000|
|Maruti Suzuki Wagon-R||₹40,500|
|Maruti Suzuki Dzire||₹60,000|
|Maruti Suzuki Brezza||₹70,000|
|Maruti Suzuki Baleno||₹70,000|
|Maruti Suzuki Ciaz||₹1,15,000|
|Hyundai Grand i10||₹75,000|
|Tata Bolt & Zest||₹1,05,000|
Though demand fails to grow, carmakers are witnessing decreasing inventory days in the passenger vehicles segment. Inventory days are the number of days goods stay in the factory before being sold. From a high of 50 days in February, inventory levels have come down to 25-30 in the past few months.
Added to that, almost every carmaker has taken production holidays and removed temporary staff to match the lacklustre sales.
In spite of the spillover of excess unsold cars to the new year, most dealers believe that they will not be stuck with unsold vehicles from another era.
“Around 70-80% of the dealers sounded confident of liquidating BS-IV inventory before March end. Inventory of slow moving models like Tata Tigor, Tata Bolt, Tata Zest, Hyundai Xcent, Hyundai Verna are the point of concern dealers,” said the report.
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